‘Milenyo’ spares environment in run at Lafayette
http://www.malaya.com.ph/oct04/metro1.htm
TYPHOON "Milenyo" which ripped across eastern and northern Philippines last Thursday week left key parts of the country’s first mine developed by foreigners in decades severely damaged, but caused no environmental damage, Lafayette Mining Ltd. and the Mines and Geosciences Bureau [MGB] said on Tuesday.
Kay Donehue, a spokeswoman for Australian-listed Lafayette, which is running the mine under a temporary operating order after two cyanide spills last year led to a temporary closure, said a waste tailings storage facility was among equipment damaged by the storm.
"There was no environmental damage as a result of the storm," Donehue said from the company’s Melbourne headquarters.
This was confirmed by MGB’s Mining Environment Division chief Michael Cabalda. "Lafayette is okay. The tailings dam is functioning well. Our team was there during the typhoon. They are still monitoring until now," he told reporters in an interview.
Donehue said the mine and ore processing facilities on the remote Rapu-Rapu island in Albay were shut down as the typhoon hit the region, knocking out power and communication lines within the mainland. "We did not want to risk anything, certainly while the typhoon was going through," she said.
The typhoon damaged some buildings on the mine site and the water pumps at the tailings storage facilities, she said. "We will be resuming operations by about Thursday," she added.
Cabalda said mining expert Marcelo Bolaño, connected with Benguet Corp., has been chosen to act as the third party who will review the structure of Lafayette’s tailings dam and its acid mine drainage program.
Cabalda’s statement on the stability of Lafayette’s mine facilities came after Environment Secretary Angelo Reyes ordered a geological assessment of mine structures and geohazard areas in the country.
Lafayette was fined P10.7 million and its operations suspended in December 2005 by the Department of Environment and Natural Resources after two mine tailings spills last year, which released mercury, cyanide and other toxic metals into the environment.
Before the suspension, Lafayette was forecast to generate revenues of $350 million a year from production of 10,000 tons of copper in concentrate, 14,000 tons of zinc, 50,000 ounces of gold and 600,000 ounces of silver.
Total copper and zinc concentrate inventory as of Sept. 25 stood at 580 tons, Donehue said.
South Korea’s LG Co International Ltd. and the South Korean government’s resources investment arm KORES together hold 26 percent of Lafayette Philippines Inc. The rest is owned by the Australian company.
Environmentalists have opposed a Philippine law that allows 100 percent foreign ownership of local mining projects, up from 40 percent previously.
Lafayette’s shares closed down 1.3 percent at A$0.78.
– Reuters and Reinir C. Padua
TYPHOON "Milenyo" which ripped across eastern and northern Philippines last Thursday week left key parts of the country’s first mine developed by foreigners in decades severely damaged, but caused no environmental damage, Lafayette Mining Ltd. and the Mines and Geosciences Bureau [MGB] said on Tuesday.
Kay Donehue, a spokeswoman for Australian-listed Lafayette, which is running the mine under a temporary operating order after two cyanide spills last year led to a temporary closure, said a waste tailings storage facility was among equipment damaged by the storm.
"There was no environmental damage as a result of the storm," Donehue said from the company’s Melbourne headquarters.
This was confirmed by MGB’s Mining Environment Division chief Michael Cabalda. "Lafayette is okay. The tailings dam is functioning well. Our team was there during the typhoon. They are still monitoring until now," he told reporters in an interview.
Donehue said the mine and ore processing facilities on the remote Rapu-Rapu island in Albay were shut down as the typhoon hit the region, knocking out power and communication lines within the mainland. "We did not want to risk anything, certainly while the typhoon was going through," she said.
The typhoon damaged some buildings on the mine site and the water pumps at the tailings storage facilities, she said. "We will be resuming operations by about Thursday," she added.
Cabalda said mining expert Marcelo Bolaño, connected with Benguet Corp., has been chosen to act as the third party who will review the structure of Lafayette’s tailings dam and its acid mine drainage program.
Cabalda’s statement on the stability of Lafayette’s mine facilities came after Environment Secretary Angelo Reyes ordered a geological assessment of mine structures and geohazard areas in the country.
Lafayette was fined P10.7 million and its operations suspended in December 2005 by the Department of Environment and Natural Resources after two mine tailings spills last year, which released mercury, cyanide and other toxic metals into the environment.
Before the suspension, Lafayette was forecast to generate revenues of $350 million a year from production of 10,000 tons of copper in concentrate, 14,000 tons of zinc, 50,000 ounces of gold and 600,000 ounces of silver.
Total copper and zinc concentrate inventory as of Sept. 25 stood at 580 tons, Donehue said.
South Korea’s LG Co International Ltd. and the South Korean government’s resources investment arm KORES together hold 26 percent of Lafayette Philippines Inc. The rest is owned by the Australian company.
Environmentalists have opposed a Philippine law that allows 100 percent foreign ownership of local mining projects, up from 40 percent previously.
Lafayette’s shares closed down 1.3 percent at A$0.78.
– Reuters and Reinir C. Padua
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