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Tuesday, January 27, 2009

Ports close as Cyclone Dominic approaches

January 27, 2009

Article from:  The Australian

BHP Billiton and Rio Tinto have turned defensive because of a developing cyclone.

And late yesterday a McConnell Dowell contractor was killed at Fortescue Metals Group's port operations as a crane was being dismantled ahead of the approach of the cyclone.

BHP said yesterday it had halted output at the Griffin oil field off the northwest coast of Australia and moved the production vessel clear.

Rio Tinto said it had stopped exporting iron ore in Western Australia.

"Both Cape Lambert and Dampier ports are closed," said Leith Paganoni, a spokeswoman for London-based Rio.

Four iron ore ships from Dampier and two from Cape Lambert have been sent out to sea for safety, she said. Trains transporting the iron ore from the mines to the port were slowing and stopped yesterday afternoon.

BHP said the Griffin venture disconnected from its riser last night to sail out of the expected path of Cyclone Dominic.

There may be strong winds as the tropical low pressure system gathers strength, potentially becoming a tropical cyclone, the nation's weather bureau said on its website. It could strengthen to a category 2 event. Five is the most severe rating.

The region hosts most of Australia's oil and gas and iron ore production and was expected to face more tropical cyclones than average this season, according to an October forecast by the bureau. The region may experience five to seven cyclones from November through to April, up from four last year, the agency said.

If the cyclone nears, it would be the third of the season for the region. Cyclone Billy last month forced the closure of some oil and gas operations. Cyclone Anika developed far offshore in November and had no effect on resources production.

Bloomberg

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