Mine told to close

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Johnson Tuke

By JEFFREY ELAPA
THE Government has closed down the processing plant of the multi-billion kina Ramu nickel mine in Madang for “violating mining and safety standards”.
Mining Minister Johnson Tuke also warned other mines in the country to follow the law.
He said the processing plant shut down its operation as ordered on Monday.
“Safety cannot be compromised as it deals with lives and safety of the people,” Tuke said.
“Therefore the company was ordered to cease operations because it failed to adequately rectify defects recommended during the investigation by the (mining) inspectorate into the incident that resulted in the spillage of slurry into the sea on August 24.”
The operation shutdown is for an indefinite period. It is only for the processing plant but it inevitably affects the entire operation.
The US$2.1billion (about K6.5 bil) Ramu nickel project near Madang is rated one of the largest and most ambitious mining and processing projects to have been successfully brought into production in PNG.
The Mineral Resources Authority (MRA) said the China-owned Ramu nickel and cobalt mine had violated mining and safety standards of operations.
Its managing director Jerry Garry and Chief Mining Inspector Lave Michael were with Tuke during the announcement of the closure.
Garry said the MRA was responsible for safety and had nothing to do with environmental issues relating to mining which was the responsibility of the Conservation Environment Protection Authority.
Michael said following the slurry spillage on Aug 24, the mining inspectorate from MRA went to Madang and Basamuk to investigate. It found that the mine lacked safety standards posing risk to lives.
The defects identified included the “incompetency of the operator, inadequate bund capacity, inadequate spillage containment system and inadequate maintenance of instrumentation and machines”.
He said they issued 16 remedial action items and advised the company to address them. But after six weeks, the company did not carry them out.
In response to the shutdown of operations, the mine management said as a responsible investor in PNG, they would try their best to comply with all the laws that govern their operation in the mining industry.
“The mine inspectors are on the ground at Basamuk for inspection so upon their instruction, Ramu Nico will make its official comments if need be. Now we respect their inspection until further notice. We are also working closely with MRA and CEPA and other statutory bodies to ensure we do not breach any laws.”

11 comments

  • The National news paper could also initiate a research to establish total benefits, people and government of PNG have gained from the mine since commencement of its operation by comparision to the Investor – China.

    Sources have assess that people and government of PNG are big time loosers. We gain a mere 18% of the total proceeds while the Investor is harvesting 80%+ free ore! at the expense of a long term ‘generational’ environmental destruction. Ckeck this out guys!

  • It seemed a continuous issue in Basamuk.

    After the mining is over, we will be here, living in this country. Thankyou Minister for the precedented action.

  • Finally. Some companies think they can come to PNG and do as they wish. Australians, US, Canadians, Chinese…. In their own countries they have to follow strict environmental guidelines and regulations and in PNG they laugh at us. Just look at how that Nickel company has built their pipeline just along the Ramu-Madang highway. Such a construction should never have taken place. They government of the day also never listened to the pleas of the people from Basamuk Bay and Kurumbukari. Now damage has been done. Let’s hope there won’t be any harmful long-term effects of consequences.
    They Company should be ordered to pay a good fine and compensate all the people affected.

  • Somare Government’s Look North Policy gone wrong at the time when the project was pushed to go ahead. I wonder who’d have dished out a personal monetary benefit leaving behind PNG Government at loosing end of just 18%. Could it have been another Asian Deal?
    Good on you Hon. J. Tuke..

  • The inspectorate’s office must ensure the Mine implement the remedial actions recommended in order to resume the operations. The people of Madang relies on MRA & Inspectorate to act without fear or favour because their environment is affected meaning their livelihood is threaten and the damage is substantial. Our people’s cry are loud and clear for action by the appropriate government agencies action. Stopping the mine is temporary but addressing the root cause of the spillage so such incident should not repeat.

  • PNG & it’s people will benefit in the long run.DO NOT LET UNDER HAND DEALS compromise standards that are required for the safety of the worker and the surroundings near the mine. The equity and balance of the wealth should be 51% to 49% in PNG favour

  • Environmental safety should be taken into consideration. Papua New Guinea is small island country and global warming is too much- CO3 and CFC. Please if the Ramu Nickel Mine discharge or pollute some living organisms, shut-down the operation for good. Lets think about tomorrow by conserving and preserving the marine and environment. Thank you

  • china has some of the worst environmental damage in the world. They are hell bent of profitability disregarding the damages done to the surrounding area.

  • I totally agreed to the comments made by person 1, 3 & 4 for the concern of affected areas of the mine slurry whereby the authorities must seriously look into the matter before the mine can operate again. I for one fully support the recommendation for the closure of Mine (Basamuk refinery). It is time to listen to our own peoples cry because the Environmental damage or pollution is our paramount concern as a country and the whole world.

  • Safety first, not only for the workforce but the entire population in and around project sites- not only in Madang but everywhere where toxic chemicals are used.
    Thanks to the authorities for taking matters seriously as lastings effects from mining operations are so serious people will have to live with even after operations have ceased. Please visit other mining projects throughout the country as our people live off their environments for survival before it is too late.

  • The Saidor District is full of fast flowing rivers and streams, the Government should seriously look into asking the mine to harness the water resource into power, at the moment they are using fuel generators which burn heavy oil and it’s a real health hazard to the surrounding community and environment as well as the work force on site…

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