Ok Tedi Environmental Disaster - Aftermath

Aftermath

In the 1990s the communities of the lower Fly Region, including the Yonggom people, sued BHP and received US$28.6 million in an out-of-court settlement, which was the culmination of an enormous public-relations campaign against the company by environmental groups. As part of the settlement a (limited) dredging operation was put in place and efforts were made to rehabilitate the site around the mine. However the mine is still in operation and waste continues to flow into the river system. BHP was granted legal indemnity from future mine related damages.

In January 2007 PNG lawyer Camillus Narokobi lodged a lawsuit on behalf of 3,000 villagers known as the Ninggerum people who live near the Birim River, a tributary of the Ok Tedi River. He is seeking US$4 billion in damages.

The Ok Tedi Mine is scheduled to close in 2013. Until that time two thirds of the profits go into a long-term fund to enable the mine to continue to contribute to the PNG economy for up to half a century after it closes. The balance is allocated to current development programs in the local area (Western Province) and PNG more generally. Experts have predicted that it will take 300 years to clean up the toxic contamination.

According to the owners of the Ok Tedi Mine, there have also been many positive social effects that have come from the mine. Because of all the new money pouring into the economy, the quality of the health care, schools and roads has greatly improved. This has also caused the average life expectancy for the indigenous people to increase.