Newcrest Mining Ltd
(ASX:NCM) has rejected allegations that a mine-related sediment created a nuisance around its Hidden Valley joint venture in Papua New Guinea.
The miner, which received a legal writ for the MP for Bulolo and landowners, said it would ‘vigorously defend’ the litigation if it proceeds.
Newcrest says the issuance of the writ may have been prompted by voluntary compensation payments to the community for flood damage to crops, which may have been linked to mine-related sediment.
For the year ended 30 June 2010, Newcrest reported a net profit of $602 million.
