Newmont Ghana pays compensation for cyanide overflow

Newmont Ghana has announced the payment of compensation slapped on it by the Ministry of Environment, Science and Technology following the incident of contamination of water bodies in surrounding communities with cyanide from its Ahafo Mine.

Newmont in a press statement issued Tuesday April 13, 2010 and copied to ghanabusinessnews.com says “the company has paid the compensation amount it was directed to pay following the accidental overflow of process solution at the Ahafo mine in October.”

According to Jeff Huspeni, Senior Vice President for Africa Operations, the company has paid the GH¢7 million to the Ministry of Environment, Science & Technology.

After incident, the Ministry appointed a Ministerial Panel to investigate the matter and make recommendations for action. The Panel after its investigations penalised Newmont asking the company to pay a conpensation of GH¢7 million.

According to the Panel, 45% of the compensation will be used to meet some development needs of the affected communities, 40% will be paid to the Environmental Protection Agency and the remaining 15% goes to the Inspectorate Division of the Minerals Commission.

The company publicly apologized to the government and affected hamlets for the accidental overflow, which took place during the Ahafo Mine’s regular annual maintenance.  Newmont Ghana “will continue to work with all relevant stakeholders to ensure the safety of our host communities and re-establishing confidence in our environmental controls,” the statement said.

By Emmanuel K. Dogbevi