Mintails ops suspended for mining right infringements

17th January 2014 By: Natasha Odendaal - Creamer Media Senior Deputy Editor

Mintails ops suspended for mining right infringements

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JOHANNESBURG (miningweekly.com) – A Department of Mineral Resources- (DMR-) led preliminary investigation on Friday led to the suspension of ASX-listed Mintails’ Krugersdorp operations.

Mineral Resources Minister Susan Shabangu closed the company’s Princess pit in Kagiso after a review of the operations revealed the company, and the operations’ mining right holder, West Wits Monarch, had infringed the Mineral and Petroleum Resources Development Act (MPRDA) and the Mine Health and Safety Act (MHSA).

Section 54 and 55 MHSA notices and a Section 93 MPRDA notice were issued, based on a lack of warning signs around the pit area to prevent unauthorised access; mining operations taking place within 100 m of a major power line at the highwall of the eastern side of the pit; the failure to implement the approved social and labour plan; and the environmental impacts and public safety risks emerging from opencast mining in close proximity to residential areas, with activities not provided for in the approved environmental management programme.

“We take this matter extremely seriously and, therefore, the company cannot operate, because effectively, they have not met the conditions of their mining licence,” Shabangu said.

This followed a series of often-violent protests last week by Kagiso residents against the mining company’s activities, which were allegedly having an adverse impact on the surrounding communities.

“The outcomes of this preliminary investigation will be submitted to the independent technical team, who will also be conducting an assessment, due to be concluded in due course,” said Shabangu.

Mintails said it was studying the suspension notice and would respond in due course.