Canadian miners lend hand in hurricane clean-up

Mining companies operating in Honduras and Nicaragua escaped Hurricane Mitch with little damage and are now helping victims in those devastated countries cope with the aftermath.

In Nicaragua, the storm killed 6,400 and left 500,000 homeless and more than 6,000 missing.

“It’s hard not to be involved in relief efforts,” says Blois Hennigar, vice-president of finance for Black Hawk Mining (BHK-T), one of two Canadian metal producers in Nicaragua.

The company was forced to close its El Limon gold mine, north of Managua, after the storm knocked out power and dumped nearly a metre and a half of rain over four days.

Although the main pit and portions of the underground mine under development were flooded, damage to the mill and other parts of the mine was minor. The tailings pond and the dykes are intact, Hennigar says, adding that “because of all the water, there’s tremendous dilution — we don’t have a big pollution problem on our hands.”

Before mining can resume, Black Hawk may have to build another tailings impoundment, though such a task would be hampered by the saturated ground conditions. It is also essential that power be restored. “Electricity is critical for us,” says Hennigar. “We won’t be producing at full capacity — there’s still a lot of dewatering to do.” If these requirements are met, the operation could be back in business in a matter of days, with the mill receiving stockpiled ore plus material from two other pits.

Black Hawk is using helicopters to fly in food, water and medical supplies to local communities, and is also helping rebuild local roads.

In Honduras, which bore the brunt of the hurricane’s force, the El Mochito base metal mine of Breakwater Resources (BWR-T) escaped with only minor damage, owing to its mountainous location and advanced preparation. “We welded down the doors to the concentrate facility and prepared for the absolute worst,” says Breakwater President Colin Benner. He adds that although the storm flooded lower portions of the underground mine, “we’ll be back in operation shortly.”

More devastated were the low-lying and central regions of Honduras, where Hurricane Mitch left 7,000 dead, more than 20,000 missing and 230,000 homeless.

Breakwater is one of two Canadian metal miners operating in the country, and is heavily involved in local relief efforts. These include dispatching the mine’s 20-man rescue team to help the Red Cross recover victims of a mudslide in Los Andes; using heavy equipment to rebuild roads in Pina Blanca; and transporting water to Las Vegas and food to La Lima. The mine’s four doctors and hospital are also available to the local population, which numbers 25,000.

“We’re in relatively good shape,” Benner says. “Now, we’re working with people in the area repairing everything that needs to be repaired.”

Both Hennigar and Benner agree that the governments of Nicaragua and Honduras, which have limited resources, are being overextended as they attempt to rebuild their countries and that mining companies, which are well-supplied with food, water and equipment, should help with relief efforts.

Roberto Dala, president of the Honduran Mining Association, says his country is slowly returning to normal, especially on the northern coast. He adds that most mining operations in Honduras fared the storm well, including the San Andres mine construction project of Greenstone Resources (GRE-T), which also operates the Cerro Mojon and Bonanza gold mines in Nicaragua. Calls made to Greenstone officials were not returned.

According to Dala, who is also a general manager for Geomaque Explorations (GEO-T), the Honduran government is working to repair basic infrastructure, such as roads and water and power supplies.

A major concern of rescue crews and relief workers is disease, which, Dala says, foreign mining companies can help prevent. “What we have to do is get miners to vaccinate our workers for malaria and other diseases that can be controlled,” he explains, adding that mining companies often have better access to isolated communities than the government. Breakwater says it is prepared to undertake such measures, as does Geomaque, owner of the Vueltas del Rio gold property in the northwest.

Geomaque is asking that Canadian mining companies contribute to relief efforts in Central America. Cheques payable to the Canadian Red Cross Society can be sent to Debbie Pike at 1623 Yonge St., Toronto, Ont. M4T 2A1.

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