PNG mines hurt by prolonged drought

Drought in the highlands of Papua New Guinea (PNG) is hampering mine operations there.

At the Porgera gold mine, 50% owned by Placer Dome (PDG-N), mill operations were suspended June 1 owing to low water levels in the Waile Creek dam.

Mining and other operations continue unaffected.

Hugh Leggatt, spokesman for Placer, says the last significant rainfall occured on May 2. Normally, the area receives 140 inches of rainfall annually.

A similar situation occurred in the area in 1972, when drought persisted for nearly a year.

At Mt. Kare, Madison Enterprises (MNP-V) is having water trucked in from outlying areas to serve its drill program.

David Laudrum, vice-president of project development for Madison, says the company has purchased pumping equipment to ease the situation.

Meanwhile, at the Ok Tedi copper mine, near the Indonesian border, the management has reduced mill throughput and may redirect mining operations to concentrate on waste removal.

The unseasonal weather has already stopped the shipment of concentrates down the Fly river. The Ok Tedi operation uses flat-bottomed barges, capable of carrying 2,500 tons of material, to transport the material to a ship which takes it to Port Moresby for processing.

Ok Tedi is 53%-owned by Australia’s Broken Hill Proprietary (BHP-N). Inmet Mining (IMM-T) holds 30%, while the government of Papua New Guinea holds the remainder.