(Bloomberg) -- Authorities in New Caledonia imposed additional regulations that could limit production in the future at the Goro nickel mine -- one of the world’s largest deposits -- after a recent waste-dam leak.
The company has dealt with the leak and significantly reduced water levels at the tailings dam, but additional measures are needed to prevent a repeat of the situation, according to a statement from the South Province, where the mine is located.
Local authorities issued a decree that imposes limits on production at the mine if the water levels in the waste dam exceed certain thresholds in the future, the province said, without providing further details.
The mine was forced to reduce output due to a “limited release of salt-laden liquid” after heavy rains in August, owner Prony Resources said in mid-November. The consortium, made up of employees, commodities trader Trafigura, Agio Global, and the New Caledonian government, acquired the mine last year from Brazilian miner Vale SA. Prony didn’t respond to requests for comment on the province’s latest statement or the current status of production at the mine.
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