workers at PT Freeport Indonesias operations in Mimika,
where the companys Grasberg Mine is located, have
canceled a planned strike that had been expected to start June
"We had extensive
discussions with union leaders and came to an understanding
that their members will return to maintenance work at the mine
in Mimika," company spokeswoman Daisy Primayanti told
AMM sister publication Metal Bulletin.
operations have been suspended since a May 14 tunnel collapse
killed 28 people (
amm.com, May 14), impacting production of about 3
million pounds of copper and 3,000 ounces of gold per day.
According to local media reports, five senior Indonesian
employees at Grasberg have been suspended in the wake of the
Copper & Gold Inc.s Jakarta-based Indonesian
subsidiary declared force majeure on concentrate
shipments following the accident (
amm.com, June 12). Market participants are closely
watching Grasberg, as well as the postponement of the first
copper exports from London-based Rio Tinto Plcs Oyu
Tolgoi project in Mongolia (
amm.com, June 13), to see how the copper
concentrates market will be affected.
Billiton Plc recently agreed on treatment and refining charges
of $72 per dry tonne (7.2 cents per pound) with a Japanese
smelter, conceding $2 per dry tonne (0.2 cent per pound) over
the terms it agreed at the start of the year. However, the
terms are better than prevailing spot terms of as much as $80
per dry tonne (8 cents per pound) seen before the Grasberg
A version of this article was first published by AMM sister
publication Metal Bulletin.