Newmont to close Minahasa gold mine<\/p>\n
JAKARTA (JP): PT Newmont Minahasa Raya (NMR) plans to close
\nits gold mine in Ratatotok, Minahasa regency, North Sulawesi, in
\n2003, or 13 years earlier than initially planned, because of the
\ndepletion of gold deposits, a company executive said on Thursday.<\/p>\n
NMR spokesman Tri Harjono said in Manado on Thursday the
\ncompany, which has a license to operate the mine until 2016,
\nwould close the mine because most of the available gold deposits
\nwere no longer viable for a long-term operation.<\/p>\n
\"The mine closure will leave 375 workers unemployed, but NMR
\nhas prepared a total US$4.45 million to compensate them,\" he was
\nquoted as saying by Antara.<\/p>\n
The compensation will be based on international standards and
\nthe payments will begin at the end of this year, Tri said.<\/p>\n
He said another NMR gold mine in Lobongan, which is located
\nnear the Ratatotok mine, still had large gold deposits, but due
\nto numerous problems, such as illegal mining by locals, the
\ncompany also decided to close this mine in 2003.<\/p>\n
Although the company has operated in the area for several
\nyears, it has yet to reach the break-even point.<\/p>\n
\"But we hope we can realize a profit of about $413 million
\nthis year,\" Tri said, adding that NMR, a subsidiary of the
\nColorado-based Newmont Corporation, had spent $234 million
\nconstructing the infrastructure at the Minahasa mine.<\/p>\n
Newmont started production at the Minahasa site in 1996.<\/p>\n
Besides the Minahasa site, Newmont also operates a massive
\ncopper and gold mine in Batu Hijau, Sumbawa, West Nusa Tenggara.<\/p>\n
The Batu Hijau mine, which started production in late 1999, is
\nowned by Newmont in partnership with Japanese firm Sumitomo
\nCorporation and an Indonesian partner. (05)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/newmont-to-close-minahasa-gold-mine-1447893297",
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