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Philex shuts down Padcal mine as rains cause tailings spill

Photo from http://www.investmentphilippines.com/2011/04/2010-philex-mining-corporation-review.html

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MANILA - (UPDATED 6:19 p.m.) Philex Mining Corp. has been ordered to shut down its mining operations in Padcal, Benguet, following a tailings spill caused by heavy rains this week, the mining company reported to the Philippine Stock Exchange on Friday.

In a disclosure, the country's biggest mining firm said that as a precaution, the company halted the operation of the Padcal mine around 12:00 midnight on August 1, 2012 (Wednesday) to inspect the tailings pond and the surrounding areas, assess the overall condition of the tailings pond, and implement remediation measures. 

Then on August 2, 2012 at 8:00 p.m., the Mines and Geosciences Bureau issued a cease operation order to Philex "until such time that the safety and integrity of the tailings pond is assured."

"The mine will be closed to allow for a full assessment of the situation and the implementation of the necessary remediation measures," Philex told the local bourse.

The company said the "unabated heavy rains" for the past two weeks brought by typhoons "Ferdie" (international code name Vicente) and "Gener" (international code name Saola) caused an "unusual and heavy" accumulation of rain water in its tailings pond at Padcal Mine.

The firm's initial inspection showed that water and sediment are discharged from one of the two underground tunnels that darin clear water from the penstock in the tailings pond.

"Philex is exerting its maximum effort to address the accidental discharge, and has mobilized the requisite resources in this regard," Renato N. Migrino, the company's senior vice president for finance, wrote the PSE.

"Philex wishes to assure the public that water and sediment from its tailings pond are safe and non-toxic, and that no injuries or fatalities have been reported as a resulted of this incident," he added.

Leak plugged

Later in the day, Benguet Governor Nestor Fongwan said leaks from the tailings dam at Padcal had been plugged.

Fongwan lauded Philex's quick action and ruled out human error, adding that rains were to blame for the damage to the tailings dam.

"Philex was out in full force," he said, adding that the provincial government was "happy" with the work done to contain the spill.

Although the debris and siltation did not reach the Agno River, Fongwan ordered the preemptive evacuation of people living downstream.

He said MGB head Leo Jasareno is in the area leading the investigation.

Despite Philex's success in plugging the leak, Fongwan said the mine's operations will remain suspended until further notice.

Philex is chaired by Manuel V. Pangilinan, who is also the chairman of TV5, for which InterAksyon.com is the online news portal.

With a report from News 5

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