 |
January 28, 2008 |
|
|
|
 |
DOE RUN: Says Levels of Lead at La Oroya Drop 61.7% Doe Run told Business News Americas that levels of lead in the air at La Oroya, Peru, decreased 61.7% at the end of 2007, from 2.08 micrograms per cubic meter the same period in 2006. Doe Run said in a statement that it is working on projects to further decrease air pollution levels to lower than 0.5 micrograms per cubic meter from 0.796 micrograms per cubic meter in 2007. The firm has invested over US$157 million in environmental cleanup projects in collaboration with the Peruvian government efforts. Doe Run wants to complete the environmental cleanup project Pama in October 2009. The firm took on Pama after acquiring La Oroya from the Peruvian government in 1997, BNamericas states. Based in St. Louis, Mo., The Doe Run Company -- http://www.doerun.com/ -- is a privately held natural resources company dedicated to environmentally responsible mineral production, metals fabrication, recycling and reclamation. The company and its subsidiaries deliver products and services needed to provide power, protection and convenience through premium products and associated metals including lead, zinc, copper, gold and silver. As the operator of one of the world's only multi-metal facilities and the Americas' largest integrated lead producer, Doe Run employs more than 5,000 people, with U.S. operations in Missouri, Washington and Arizona, and Peruvian operations in Cobriza and La Oroya. Doe Run Peru S.R.L., an indirect Peruvian subsidiary, operates a smelter in La Oroya, Peru, one of the largest polymetallic processing facilities in the world, producing an extensive product mix of non-ferrous and precious metals, including silver, copper, zinc, lead and gold. Doe Run Peru also has a copper mining and milling operation in Cobriza, Peru in the region of Huancavelica, which is approximately 200 miles southeast of La Oroya in Peru. Doe Run Peru Going Concern Doubt As reported in the Troubled Company reporter-Latin America on Aug. 10, 2006, Doe Run Peru has significant capital requirements under environmental commitments and guarantees and substantial contingencies related to taxes and has significant debt service obligations under the revolving credit facility, each of which, if not satisfied, could result in a default under Doe Run Peru's credit agreement and collectively raise substantial doubt about Doe Run Peru's ability to continue as a going concern. Doe Run Peru continues to have substantial cash requirements in the future, including the maturity of the revolving credit facility on Sept. 22, 2006, and significant capital requirements under environmental commitments. In addition, there are substantial contingencies related to taxes. The Doe Run Peru Revolving Credit Facility expires on Sept. 22, 2006, and will require negotiations to extend its terms. There can be no assurance that Doe Run Peru will be successful in extending the existing credit agreement or negotiating a new agreement, or if it is successful, that the extended or new credit agreement would be at terms that are favorable to Doe Run Peru. Any default under the requirements of the Environmental Remediation and Management Program could result in a default under the Doe Run Peru Revolving Credit Facility. A default under the requirements of the Doe Run Peru Revolving Credit Facility results in defaults under the Doe Run Revolving Credit Facility and the indenture governing the bonds. |
|
|
||
|
Today's Top Stories have been selected from the Troubled Company Reporter - Latin America. To receive the Full TCR-LA please CLICK HERE.
