Barrick Gold's Porgera Mine in Papua New Guinea Suspended Amid Local Violence

By Robb M. Stewart

Barrick Gold suspended most of the operations at a mine in Papua New Guinea in an effort to safeguard employees after two workers were killed in violence off site.

The majority of operations at the Porgera gold mine have been suspended until Thursday while the government works to restore law and order in the surrounding area, the operation said in a statement.

The company said two employees were killed in violence sparked by what has been described as a tribal conflict in the area, not related to the mine or its activities. The government has implemented a state of emergency, it said.

The Papua New Guinea Post-Courier on Monday reported that two mine security officers were among 30 people killed in fighting in recent weeks in a giant mining township in the country's Enga province. The two workers were killed while waiting for transport after work, the newspaper said.

The Porgera mine resumed operations in December after being halted in April 2020. The operation received a new special mining lease last year as part of an arrangement that saw Barrick's stake in the mine fall to 24.5% from 47.5%. Porgera is 51% held by Papua New Guinea government and local owners and 49% by a Barrick affiliate that the Toronto-based miner owns equally with Zijin Mining.

Barrick has forecast Porgera will contribute between 50,000 and 70,000 ounces of gold to the 3.9 million to 4.3 million the company expects to produce this year.

Write to Robb M. Stewart at robb.stewart@wsj.com

(END) Dow Jones Newswires

September 18, 2024 14:04 ET (18:04 GMT)

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