Wednesday, 30th August 2006 (1435 views)

Australian gold miner Lafayette has come a step closer to production at the Rapu Rapu mine in the Philippines with approval for a trial run from the government.

The project has been beset with problems since allegations were made that a spill of mine tailings at Rapu Rapu had contaminated water and killed fish. A commission subsequently recommended that Lafayette's mining licence be cancelled, but experts warned that this would result in job losses and loss of tax revenue.

Rapu Rapu's environmental management system has been tested over the past month and the company is satisfied that all is going to plan.

Managing director David Baker told the Sydney Morning Herald: "We are confident of completing that process successfully and then moving into full-scale base metals production."

He also acknowledged that the government must be satisfied that the environmental management systems are working properly and said he is "very comfortable" with the fact that Lafayette is being monitored.

When Rapu Rapu is operating at full capacity it is expected to produce around 50,000 ounces of gold each year.

 

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