Mexican Mining

[Lone Clone]

Grupo Mexico Falls on Second Copper Mine Flood
By Adam Williams Sep 22, 2014 2:13 PM PT

http://www.bloomberg.com/news/2014-09-22/grupo-mexico-shares-plummet-after-copper-mine-floods-second-time.html?cmpid=yhoo

Grupo M (GMEXICOB.MX)

Grupo Mexico SAB (GMEXICOB) fell the most in more than a year after the company reported additional flooding yesterday at its Buenavista del Cobre mine in the northern Sonora state.

Grupo Mexico, controlled by billionaire German Larrea, fell 4.5 percent to 44.46 pesos at the close in Mexico City, the biggest drop since August 2013. The shares have slid 7.9 percent since a copper sulfate solution spill at the Buenavista del Cobre mine was first detected Aug. 6.

The Mexico City-based company said yesterday that heavy rains during Hurricane Odile caused new flooding at the Buenavista del Cobre mine. Grupo Mexico was forced to deploy pumping and suction systems to prevent run-off into local rivers.

The Aug. 6 spill contaminated the water supply for about 24,000 people and was deemed the worst environmental disaster in recent history, according to Environment Minister Juan Jose Guerra Abud.