Newmont Ghana Gold Limited - Ahafo Mine Process Solution Overflow
Event - January 2010 Status Update
Newmont Ghana has been
providing updates regarding the status of the Ahafo Mine process solution
overflow consistent with its commitment to transparency and public disclosure. Newmont reiterates our regret and apology for
the overflow and is committed to operating
with high standards and accepts responsibility for any failure to meet those
standards.
As indicated in our December 2009
update, the company continued to engage with the Ministerial Panel appointed to
review the causes of the overflow and its impacts. Since
the time of the overflow, water sampling has continued to confirm that there is no
threat from cyanide to human health or residual environmental impact. NGGL remains engaged with the local hamlets
to ensure their wellbeing and to provide fresh water. In addition,
Newmont Ghana
implemented a number of corrective measures to ensure an accidental release of
this nature does not happen again.
Newmont Ghana rigorously
reviewed and modified its control systems and monitoring procedures, with the
participation of regulatory agencies. As a result, the
company implemented a number of measures to:
- Reduce the risk of overfilling the event pond during
mill shutdowns;
- Improve the reliability of the instrumentation and
level detection systems;
- Increase the event pond pumping capacity to redirect
process solution more quickly during rain events;
- Improve containment within the processing plant site
in the event other systems fail during a process water overflow;
- Improve and accelerate communication with
stakeholders; and,
- Improve onsite protocols and procedures.
Newmont Ghana recently
received a letter from the Minister of Environment, Science & Technology
along with a copy of a report from the Ministerial Panel. The company is in the process of reviewing
the report and will be engaging with the Minister to discuss the Panel's
recommendations.
In recognition of the overflow's impact, the
company made initial compensation proposals to the Panel. While the report of the Panel recognized that
there was no regulatory framework by which to assess compensation or penalties
relating such incidents, it recommended that substantial compensation be paid
and Newmont Ghana
has stated its intention to meet its compensation obligations, once the process
is complete.
The report concludes that there were a number
of factors including operational supervision failures, along with numerous
systems and mechanical failures, that were the primary causes of the accidental
release. Similarly, those failures
resulted in regulatory agencies not
being immediately notified, which may have inadvertently created an appearance
of an alleged "cover-up." Newmont Ghana
reaffirms that there was no intention to behave in any manner other than being
fully transparent and cooperative with the government and the communities.
Newmont reiterates our apology to
the regulatory authorities for the delayed notification about the overflow, and
we have acknowledged this was a mistake on our behalf. The failure to communicate immediately was
not deliberate. Rather, it was due to
the fact that our initial assessments mistakenly determined that the overflow
was contained within the process plant area.
Nevertheless, we should have notified the regulatory authorities
immediately, and we have committed to working with them to improve our
reporting protocols and also to review our emergency response mechanisms to
ensure improved performance.
The panel's report also provides a number of
recommendations which are focused on strengthening risk awareness, incident
classification and notification criteria, and enhancing capacity to recognize
and respond to emergency situations.
Newmont Ghana apologized for the fish
mortality that resulted from the overflow and for any anxiety caused in the local
community regarding the safety of their drinking water.
The company is continuing to
engage with regulators to review the causes of the overflow, its impacts and
will implement any additional recommendations to ensure an accidental release
of this nature does not occur again.
Newmont Ghana remains committed to improving its
processes and to reassuring local communities of the company's ongoing
commitment to their safety, while re-establishing confidence in our
environmental controls and reporting mechanisms,
Newmont's first priority remains
the safety of our neighbors, employees and the environment.
Media Contact: Adiki O. Ayitevie
Regional Manager, Communications
024 4330870
adiki.ayitevie@newmont.com
