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Wednesday, 28th March 2007 (2981 views)

Recent heavy rainfall has had a detrimental effect on Australian mining company Newcrest, with the firm having production interrupted at its Telfer property.

For two days, transport links to the site have been blocked because of the adverse weather conditions and it is predicted that this could remain the case for a further 72 hours, Bloomberg reports.

As well as production being disrupted at Telfer, Newcrest Mining has also seen the export of its copper concentrate affected by the rain. During March, the company says that some 390 millimetres of rain has fallen in the proximity of the Telfer property.

Commenting on the situation, the Australian Bureau of Meteorology has explained on its Web site that the rainfall is expected to "ease on Thursday [March 29th]".

The weather has not only affected Newcrest Mining's operations with the tropical cyclone Kara also causing both Rio Tinto and BHP Billiton from exporting its iron ore.

As a result of the disruption at Telfer, Newcrest saw its shares fall slightly yesterday by 0.2 per cent.

 

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