Freeport Reports Small Scale Failure


Freeport-McMoRan Copper & Gold Inc. reported what it described as a small scale failure encompassing approximately 75,000 metric tons (mt) of material occurred at the Grasberg open-pit. There were no injuries or property damage. Mining and milling activities are continuing normally but access to the high grade section of “7 South” will be restricted until remediation activities are completed and safe access to this mining area can be assured. The company expects to complete remediation of the area and resume mining in October 2008. During the interim, the company is mining ore from the DOZ underground mine and lower grade sections of the Grasberg open-pit.

As a result of the delayed access to the high grade material, a portion of the metal expected to be mined in the second half of 2008 will be deferred to future periods. Initial estimates indicate approximately 150 million lb of copper and 200,000 oz of gold previously expected to be mined in 2008 will be deferred.


As featured in Womp 08 Vol 8 - www.womp-int.com