the Chinese gold producer blamed for the industry’s worst spill in two years,
was suspended from trading in Hong Kong and Shanghai today
pending a price- sensitive announcement.
BN 21:42 *ZIJIN MINING SHARES WERE SUSPENDED TODAY :2899 HK
BN 21:42 *ZIJIN MINING HAS ASKED FOR ITS SHARES TO BE SUSPENDED TOMORROW
BN 21:42 *ZIJIN MINING SAYS IT CAN'T YET MAKE DISCLOSURE :2899 HK
BN 21:41 *ZIJIN MINING SHARES' SUSPENSION TO BE EXTENDED :2899 HK
By Bloomberg News
July 26 (Bloomberg) -- Zijin Mining Group Co. said that it
has asked for its shares to be suspended from trading tomorrow,
pending the release of price-sensitive information.
That will extend today’s halt. The company told Hong Kong’s
stock exchange that an “important matter” is “still in
process” and so no disclosure could yet be made.
On 26 July 2010, Zijin Mining Group Co., Ltd.* (the “Company”) has requested a suspension of trading in the Company’s shares for one day at the Shanghai Stock Exchange and The Stock Exchange of Hong Kong Limited due to an important matter relating to price sensitive information. As such matter is still in process, no disclosure can be made at the moment and the Company has requested to continue the suspension of trading in the Company’s shares for one day on 27 July 2010.
DJ China's Zijin Offered Journalists Cash Amid Spill - Reports
SHANGHAI (AFP)--China's Zijin Mining Group Co. (601899.SH) offered cash to journalists covering a toxic spill at a mine it operates in the southeast, state media said Monday, in an apparent bid to gain favorable coverage.
Poisonous waste water from the Fujian province copper mine operated by Zijin--China's top gold producer--has contaminated a major river in the area, killing off about 1,900 tons of fish.
An unnamed business magazine was offered CNY60,000 ($8,850) by Zijin earlier this month after it sent reporters to cover the leak, the China Business News and the China Youth Daily said.
They cited the chief of the unnamed magazine's Fujian bureau.
Journalists from at least six other media organizations were offered envelopes containing thousands of yuan in cash, in some cases delivered by Zijin staff to hotel rooms where journalists stayed, the reports said.
One journalist quoted a Zijin official as saying the money 'was a note of appreciation for our hard work,' the Shanghai-based China Business News said.
Zijin denied the allegations, according to the reports. The company couldn't be reached for comment.
Zijin, listed in Shanghai and Hong Kong, was suspended from trading Monday pending an announcement about 'price-sensitive information,' according to filings with the two bourses.
The company issued a statement last week apologizing for the July 3 leak, which was only disclosed by the company on July 12, nine days after it was discovered.
Investigators have determined that 9,100 cubic meters of waste water from a sludge pond had flowed through an 'illegally built passage' into the Ting river in an initial leak.
A further 500 cubic meters of waste water had seeped into the Ting but that subsequent leak was quickly contained, the China Daily said last week, citing company sources.
Zijin said earlier that police had detained three executives over the spill and the securities regulator had launched an investigation into the company over possible violation of information disclosure rules.
The practice of Chinese companies offering cash to domestic reporters to buy publicity is widespread, state media reports have said.
Zijin Mining in trading halt as pollution crisis deepens
Shanghai 26 July 2010 04:45
"Like other polluters, Zijin has countless ties with the local government," complained an editorial in the Guangzhou Daily, a major newspaper in Guangdong province, downstream from the mine. "Zijin Mining is like a selfish, gold-hungry crocodile.
It takes no responsibility for the local people's life and health."
Also this week, an oil spill has coated beaches near the port of Dalian in the northeast after a pipeline owned by state-owned China National Petroleum Corp. blew up July 16. No cause has been announced.
Frequent industrial disasters have prompted a public outcry over the costs of China's rapid development. Communist leaders promise improvements after each but accidents still are common. Local officials sometimes are reluctant to enforce regulations for fear of losing jobs and tax revenue.
Since Zijin's waste spill, police have detained the facility's manager, deputy manager and environmental protection officer. The chief county environmental official resigned. Zijin publicly apologized and admitted a waste pond at its Zijinshan Copper Mine in Shanghang was improperly built and operated.
A meeting was convened by the Shanghang County People's Government on 26 July 2010 focusing, pursuant to expert opinions, on the handling of the Zijinshan Copper Mine incident which occurred on 3 July and the issue of limiting gold mine production in order to coordinate the rectification measures relating to the copper mine.
Upon consideration at the meeting, Zijinshan Gold Mine has been required to limit its production. Zijinshan Gold Mine is required to maintain low production levels under safe environmental conditions in order to reduce the pressure of maintaining environmental safety around the gold and copper mine area, to comprehensively reinforce the investigation regarding potential environmental safety risks in the Zijinshan Gold and Copper Mine area, to concentrate all efforts on expediting the process of dealing with the copper waste water leakage incident at the hydro-metallurgical plant, and use all efforts to take all precautionary measures in relation to typhoons so as to ensure the safe navigation of the flood season.
In accordance with the focus of the meeting, the Company has decided to maintain low production levels at the Zijinshan Gold Mine pursuant to the principles of reducing the volume of waste water, meeting discharge standards of waste water and maintaining internal recycling of production solutions. As a result of the impact of these measures, it is estimated that the level of gold production of the Company will be reduced by approximately one tonne this year.
Trading in the H shares of the Company on the Stock Exchange was suspended with effect from 9:30 a.m. on 26 July 2010 at the request of the Company pending the release of this announcement. Application has been made to the Stock Exchange for a resumption of trading in the H shares of the Company with effect from 9:30 a.m. on 28 July 2010.
