PNG's copper mine suspended following worker death

Mining operations at Papua New Guinea's Ok Tedi copper mine remain suspended on Monday following the tragic death of a worker from a rock fall, just two weeks after operations recommenced.

Papua New Guinea's largest copper miner restarted operations earlier this month following a nine-month shutdown due to the savage El Nino induced drought cutting transport links to the site. The current El Nino cycle has disrupted production across a wide range of commodity producers last year after water levels for milling operations fell across the pacific rim.

Ok Tedi Mining has blamed the section of rock and dirt falling into sump at the bottom of the pit on the effects of the drought, where tragically a worker who was attending to pit drainage was unable to get clear.

"As a mark of respect for a lost workmate, operations across the Company have been suspended until further notice," the company said in a statement.

Questions have been raised after operations were re-commenced after safety approvals were granted by PNG's Mineral Resource Authority (MRA) following Ok Tedi's management restructure and major maintenance work during the previous nine-month suspension.

Ok Tedi Mining said it was investigating the incident and PNG's mining authorities had been notified.

Ok Tedi, which declared force majeure on its sales contracts on Aug. 17 due to the drought said it expected to loose 65,000 tonnes of copper in concentrate when it announced the original suspension last year.

The restart was seen as a bright spot for the local economy as depressed commodity prices from global oversupply, and mining shut downs from the El Nino induced drought have seen government revenues fall and growth abruptly slow, creating an air of fiscal crisis.

Operations at the Porgera gold mine have also been suspended due to low water levels in the mine's reservoir, used in processing raw ore, from the prolonged drought conditions. Endit