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Nifty land and mine workings not insured - loss adjuster

Nifty land and mine workings not insured - loss adjuster

Photo by Bloomberg

9th September 2014

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (mininingweekly.com) – Copper miner Aditya Birla might be faced with more woes after its loss adjuster stated that the land and mine workings of its Nifty operations were not covered by insurance.

A sinkhole was discovered at the Nifty operation in March this year, prompting the Department of Mines and Petroleum to issue a notice prohibiting mine operations on site.

Operations were allowed to resume in July this year, following two rounds of probe drilling at the mine, to ensure that the operation was safe.

The miner said on Tuesday that it had now received a copy of the report that would be issued to its insurer, in which the loss adjuster claimed that the land and mine workings were not ‘insured property’ under the company’s policy, and that certain exclusions under the policy would apply to the circumstances surrounding the incident.

Aditya Birla told shareholders that it was reviewing the loss adjuster’s report, and would seek legal advice on the report and its findings to determine its next course of action.

Edited by Creamer Media Reporter

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