KEM ready to submit mine closure plan for approval

Gold miner PT Kelian Equatorial Mining (KEM), a unit of world mining giant Rio Tinto operating a gold mine in East Kalimantan, said Monday it was ready to submit to the government its mine closure plan for approval.

?Mine Closure Steering Committee has now finalized all mine closure options, and KEM will submit Mine Closure Plan to the Directorate General of Geology and Mineral Resources for approval,? Kasan Mulyono, KEM?s communications superintendent, told Petromindo.Com.

KEM and West Kutai regency administration had jointly established the steering committee to provide a responsible mine closure with sustainable solutions.

KEM will stop gold production at the end of 2004 as gold reserves in its contract area in West Kutai are exhausted. Commercial production started in 1992. ?KEM has conducted exploration programs within its Contract of Work area, but has not identified additional deposits to extend its mine life,? Kasan said.

The company?s gold mine has an annual output of 14 tons of gold and 12 tons of silver.

Currently, it employs about 900 permanent workers and 1000 contractors, mostly locally recruited. (leo)