Update: Freeport gets govt approval to resume Grasberg operations

New Orleans-based copper and gold mining giant Freeport McMoRan Copper & Gold Inc. announced on Monday that the Ministry of Eenregy and Mineral Resources had approved the company?s Indonesian unit PT. Freeport Indonesia to resume normal mining operations at its Grasberg open pit mine in the easternmost province of Papua.

? Department of Energy and Mineral Resources (DEMR) has completed its review of the October 9, 2003 pit wall slippage at PT Freeport Indonesia's (PT-FI) Grasberg mining operations in Papua, Indonesia and DEMR has approved the return to normal mining operations. PT-FI is on track to achieve its previously reported estimated 2003 adjusted annual sales of 1.33 billion pounds of copper and 2.45 million ounces of gold,? the company said in a statement.

Eight workers were killed in the slippage accident, and another two were killed a few weeks later by poisonous gas in its underground mining operations.

Minister of Energy and Mineral Resources Purnomo Yusgiantoro said in Bandung on Monday the fatal accident could have been avoided had PTFI?s early warning system worked properly. Purnomo said the government had asked Freeport to fire mining operation chief, who is considered to be responsible in the fatal accident. (alex)