The Department of Energy lifted the suspension order on all mining activities covered by coal operating contract No. 5 of Semirara Mining and Power Corp. after the company successfully complied with safety requirements.
“We wish to inform the Exchange that today the company received official notice from the DOE lifting the suspension order and approving the resumption of mining operations except in the area adjacent of the former Casay Lake until such time that all liquefiable materials in the area have been removed,” Semirara said in a disclosure Friday.
Semirara stopped coal mining operations last month after receiving a suspension order from the DOE following an investigation on the mudflow incident in Semirara Island, Antique province last month.
“In said correspondence, the DOE stated that the company substantially complied with all the conditions of its directive as specified in the DOE’s order dated November 14, 2019,” Semirara said.
The DOE earlier said the suspension would remain in effect until the company complied with several conditions, such as addressing the apparent risk in the Casay Lake area near and adjacent to the operations of the Molave Pit.
“We inspected… We validated all our recommendations. First and foremost is the safety aspect so we recommended to reorg the safety department to have a consultant also for safety,” Energy Undersecretary Donato Marcos said last week.
The DOE directive was issued in relation to a mudflow incident in Semirara Island, Antique province on October 2, 2019. An employee of Semirara, the operator of PS27 machinery, was found dead after a three-day search and rescue operation.
A mudslide occurred in Southwest Tungao, Semirara Island at 1:05 a.m. on Oct. 2 when the equipment operator was swept by the mudslide.
“We asked them to identify the risk areas and then we established mining methodology for that. Of course always in consideration and prioritizing safety of the people working there. We asked them to address the risk areas,” Marcos said.
He said Semirara complied with the DOE order.
“I asked all the technical and legal and significantly (if) they are able to address the concerns so we are thinking of lifting,” Marcos said.
The DOE asked Semirara to implement an approved geo-hazard assessment of the Casay Lake area and in all current and proposed mining areas in order to identify and determine the risks and appropriate mitigating measures to the risks.
It also directed the company to conduct a comprehensive review of health and safety program, including management leadership, worker participation and hazard identification and assessment.
The company was ordered to reorganize its safety department to address deficiencies and provide appropriate competencies to implement a DOE-approved health and safety program and allocate sufficient budget for its implementation.