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Jamaica seeking reserves for Noranda bauxite miner

Bnamericas
Jamaica seeking reserves for Noranda bauxite miner

The operators of the Noranda bauxite asset in Jamaica say they expect to be compensated for concessions lost as a result of the ban on mining in the Cockpit Country forest.

New Day Aluminium runs the Noranda operation in partnership with the government,

Officials are working toward a mining lease that fulfils the government's obligation to provide economic bauxite reserves for production of 5.2Mt/y over 25 years, Anthony Laura, New Day's chief administrative officer, told local daily Jamaica Gleaner.

Laura declined to comment on the specific impact from the Cockpit Country ban on its licenses, but added: "We remain confident that any impairment will be promptly addressed by the government so that it can fulfill its commitment to provide the company with the requisite bauxite tonnage in accordance with the agreement between the parties."

New Day acquired a stake in Noranda Jamaica from bankrupt company Noranda Aluminum Holding in 2016, according to the report.

In November, Jamaica banned mining in the 74,726ha Cockpit Country protected area, an inland forest in the west of the island, following a petition by NGO Jamaica Environment Trust (JET).

The move means the country will forgo potential earnings of billions of dollars from bauxite and limestone mining in the area.

Mineral deposits located outside the Cockpit Country boundary will also be subject to more rigorous scrutiny and require cabinet approval for development.

Jamaica was the world's sixth biggest bauxite producer in 2016 at 8.50Mt, according to the US Geological Survey.

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