China's Zijin faces limit on gold mining after polluting river
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Zijin Mining Group Co., China's leading gold producer, has been asked to restrict the mining of gold after its copper mine polluted a river in east China's Fujian Province, according to a statement on the Shanghai Stock Exchanges on Tuesday.
The local government of Shanghang County, where Zijin is headquartered, made the decision to limit the company's output to a level that can ensure the safety of environment, said the statement.
Trading of the company's stock was suspended for two days in Hong Kong and Shanghai pending the sensitive announcement.
The decision is expected to cut the company's gold output by 1 tonne, said the statement.
Statistics show Zijin produced 75.37 tonnes of gold in 2009, up 31.05 percent from the previous year.
Zijin was involved in the industry's worst environmental accidents in recent years.
Between 4 p.m. July 3 and 2:30 p.m. July 4, about 9,100 cubic meters of waste water spewed from a blown-out sewage tank at a copper plant owned by Zijin into the Tingjiang River in Fujian Province, killing thousands of fish.
