Newmont banned from dumping tailings into the sea

The local government of West Sumbawa regency in West Nusa Tenggara province has formally issued a decision to prohibit PT Newmont Nusa Tenggara (NNT) from dumping its tailings into the sea as part of its commitment to reduce the negative impact of the company?s mining operations in the regency, Kontan reported Wednesday.

Zulkifli Muhadi, the regent of West Sumbawa regency said that the decision was issued following the complaints from the local people that the activity did not only pose a threat to the health of the local communities but also had caused a decline in the catches of the fishermen living near the dumping site.

At present, NNT, a subsidiary of the United States-based mining Newmont Corporation, dumps at least 120,000 tons of tailings into Sumbawa?s Senunu Bay daily since 2000. The license is issued by the office and minister of environment and is extendable every four years.

The decree was signed by the regent on April 27, 2011 will be implemented starting May 9, 2011.

The bans were issued after the central government rejected the local administration?s proposal to buy the remaining 7 percent of NNT?s shares which should be sold to local companies as part of the mandatory divestment program imposed on a foreign mining company.

In addition, the local authority has also prohibited the mining company, which operates a gold and copper mine in Batuhijau, West Sumbawa, to operate a sea plane in the bay on the grounds that its operation had disturbed the activity of the local residents.

Zulkifli claimed that his administration had received approval from the local legislative council to impose the bans both for the tailings and the sea plane. But Sahril Amin, the head of the council?s Commission II, said that the regent had not consulted with the legislators on the bans.

He said that he would call other members of the council to hold a meeting with the regent to question the reasons of the bans.

The West Sumbawa regency administration has threatened to close NNT?s Batuhijau mine after the central government decided recently to buy the shares through a state owned investment agency Pusat Investasi Pemerintah (PIP), instead of giving the chance to the local administration to buy the shares.

NNT?s spokesman Kasan Mulyono confirmed that the company has received the decree latter t but he did not give further details just said that NNT?s operational is already comply with the existing regulation. (*)