The Globe and Mail (BC Edition)

BARRICK SUSPENDS OPERATIONS AT MINE IN PAPUA NEW GUINEA AFTER EMPLOYEE DEATHS

Barrick Gold Corp. has suspended most of its operations at its Porgera mine in Papua New Guinea after two of its employees were killed offsite in a violent outbreak that hit the surroundin­g region.

The company said in a statement that activity at the mine will remain suspended until Thursday for the protection of its employees “while the government restores law and order.”

Toronto-based Barrick did not provide much detail on the violence other than characteri­zing it as a “tribal conflict.” The company added that the Papua New Guinea government has declared a state of emergency and is reinforcin­g police presence in the area.

The Associated Press reported that dozens of people have been killed since last weekend after clashes involving illegal miners.

Barrick had been ramping up production at Porgera after years of idling, stemming from a dispute with the government over the economic spoils.

Porgera is located at altitude in the Enga province of Papua New Guinea, about 600 kilometres from the capital of Port Moresby. The site employs 2,500 people with most coming from the local community.

Barrick in a regulatory disclosure in May said that tribal conflict occurs regularly in Enga and often turns violent. “There is significan­t intra and intertriba­l fighting and human rights abuses,” the company said.

The gold miner also said it deals with large influxes of illegal miners attempting to access the Porgera mine.

Escalating violence in the region over the past few years has resulted in the withdrawal of most of the state security forces, Barrick added.

In a statement in July, chief executive Mark Bristow said the lack of law and order is “the greatest threat” to the mine’s continued operation and profitabil­ity.

Late last year, Barrick restarted production at Porgera, after a suspension that had been in place since 2020 was lifted. Barrick agreed to grant the national government and various other stakeholde­rs a much bigger share of the economics of the mine.