Canadian Mining Journal

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Local blockade halts OceanaGold’s Didipio mine in the Philippines



OceanaGold (TSX: OGC; ASX: OGC) has suspended underground mining at its Didipio gold-copper mine on the island of Luzon in the Philippines due to restraints imposed by the provincial government of Nueva Vizcaya.

Local government units have impeded access to the mine since July 1, after the governor of the province issued a directive to “restrain any operations” of the company. The actions began that day, when a local government unit prevented a supply truck from accessing the mine site. As a result, the company decided to halt all truck movements in and out of the mine site to prevent any escalation.

OceanaGold’s request for an injunction against the provincial ruling, filed on July 3, was denied by the Provincial Court of Nueva Vizcaya, the company reported on July 25. Management will challenge the decision in the Philippine Court of Appeals in Manila on the basis that regulatory authority over Didipio rests with the national government, not the local government units.

In the meantime, OceanaGold has ceased mining because it lacks sufficient supplies of consumables, although the mill continues to produce concentrate from stockpiled ore.

Continue reading at The Northern Miner.