Freeport to close down Grasberg mine next year

Gold and copper giant PT Freeport Indonesia will close down the Grasberg open pit mine in Papua next year due to depleting reserves, Kontan reported on Saturday.

The paper quoted PT Freeport spokesman Riza Pratama as saying that Grasberg open pit mine may be turned into tourism site once it is no longer in operation.

PT Freeport, a subsidiary of US-based Freeport McMoRan Copper & Gold Inc, has started started production at an underground mine called Deep Mill Level Zone (DMLZ) since September 2015 anticipation of depleting reserves at the open pit mine in Grasberg.

Riza said that five under ground mines including Grasberg Block Cave, Kuzing Liar, Big Gosan, DOZ, and DLMZ will begin full production in 2022. ?The underground mines will enter full production after 2022,? he said.

PT Freeport has set sales volume target of 1.5 million pounds of copper and 1.8 million ounces of gold this year.(*)