The Department of Energy (DOE) has given Semirara Mining and Power Corp. (SMPC) the green light to resume coal mining operations in Antique, following a suspension order that was issued in the aftermath of a fatal accident last October.
Semirara said in a regulatory filing that the DOE lifted the suspension order issued in November, but this did not cover the area adjacent of the former Casay Lake until it has removed all liquefiable materials in the area.
“[The] DOE stated that the company substantially complied with all the conditions of its directive as specified in the DOE’s order dated Nov. 14, 2019,” Semirara said.
In November, coal mining activities were stopped following a mudslide that killed a worker.
Prior to the incident, Semirara already received an Oct. 15 resolution from the DOE, which found the company in violation of a circular that governs the accreditation of coal traders and registration of coal end-users.
The resolution ordered the suspension of SMPC’s coal transaction with Gold Anchorage, which the DOE alleged was an unaccredited trader. Coal deliveries to SMPC-owned power plants and other local power plants with existing coal supply agreements were spared.
The company had said the DOE orders would result in production losses of 40,000-45,000 tons per day. “The financial impact, however, shall depend on the prevailing price of coal,” the company added.