Media Advisory, PTFI Safety Practice

11 June 2013   |   OPERATIONAL News

Media Advisory
11 June 2013

Jakarta - The entire PT Freeport Indonesia (PTFI) organization continues to mourn our fellow workers who lost their lives or were injured in the May 14, 2013 tragic event located in an underground tunnel outside of active mining areas in Papua, Indonesia. The company continues to work with the government authorities of the Republic of Indonesia to ensure the safety of our workforce so that such events will not recur.

The safety of our workforce has always been and will continue to be our top priority. The May 2013 incident is unprecedented and is being thoroughly investigated by the company, international experts and the Ministry of Energy and Mineral Resources, including an Independent Team appointed by the Ministry.

As have been previously reported, PTFI’s internal inspection team had completed a thorough safety inspection. The main priority was to perform an inspection of the permanent facilities within our underground complex and all areas that have higher employee density like dining hall, religious places, workshop, warehouse, mining area and main entrance. This is to ensure that all underground facilities are in stable condition and have adequate ground support to allow comfortable working space for employees to perform their work safely.

The results of our internal inspections confirm that overall underground mine facilities are safe. However, there are some facilities that are still closed for further inspection and repair in adherence to the K3 (Safety and Health) standards. The company is continuously evaluating and conducting further assessment on all aspects related to the safety and health of our working environment. “We reiterate the importance of work safety to ensure our employees stay focused and adhere to all K3 standards applied in PTFI’s area of operations to avoid accidents,” said PTFI Mine General Manager Nurhadi Sabirin.

Safety Practice Implementation:
For 2012, our Total Reportable Incident Rate (TRIR) (including contractors) was 0.29 per 200,000 hours worked, compared to the metal mining sector industry average of 2.21 as reported by the U.S. Mine Safety and Health Administration (MSHA) for 2012. Over the past five years from 2008-2012, PTFI has had an average TRIR of 0.32, while the metal mining sector industry average was 2.56 as reported by the U.S. Mine Safety and Health Administration (MSHA) for the same time period.

Freeport-McMoRan Copper & Gold (FCX) is the parent company of PTFI. FCX is the world’s largest publicly owned copper producer and has a strong commitment to safety of its global workforce. Through its membership in the International Council of Metals and Mining (ICMM), FCX commits to the highest standards of safety and sustainable development in the global mining industry. The safety management systems of PT Freeport Indonesia are certified to OHSAS 18001 (the international standard for health and safety). PTFI’s safety programs are designed to the highest international standards and include management systems that utilize best practices in the international mining industry.

PTFI recognizes that the mining business is a dangerous activity and has taken steps to reduce risk and ensure worker safety. Safety is a direct-line management responsibility and is driven from the top down and implemented by a formal structure starting with our Safety and Health Policy. Our Board of Commissioners require comprehensive audits to assure that the safety management system is effective, weaknesses are identified, and resources are applied to achieve the company’s policy objectives. Independent audits are supplemented with ongoing internal safety audits and inspections that focus on specific hazards or on operations performing below safety targets. Our established safety programs are designed to reduce incidents and avoid fatalities.

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Public Policy Committee of the Board of Commissioners of Freeport-McMoRan Copper & Gold Inc. assist the Board carry out its oversight responsibilities within the company.

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