Disciplinary Sanctions Order following Mir mine accident signed by ALROSA

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ALROSA President Sergey Ivanov signed an order on disciplinary sanctions to the Company management who committed violations of industrial safety requirements that conduced to the accident at Mir mine on August 4, 2017. Director and Chief Engineer of ALROSA’s Mirny Mining and Processing Division are suspended from their positions with subsequent dismissal from the Company.

On November 10, Rostechnadzor announced the conclusions of the commission for technical investigation of the causes of the accident at Mir mine. ALROSA President received the investigation findings during the meeting with the head of Rostechnadzor Alexey Aleshin. The commission concluded that the accident was caused by a combination of hydrogeological, technical and organizational factors. One of the main causes of the accident mentioned by the commission was the anomalous hydrogeological complexity of the deposit conditioned by a system of unfavorably underlying cracks in the structural fault. Among the technical reasons, the commission also listed a number of adopted design decisions. In particular, project organizations did not fully take into account complex geological and hydrogeological characteristics of the deposit. The commission also named 16 officials responsible for the violations of industrial safety requirements that led to the accident. According to the Company’s order, ALROSA’s management was ordered to determine the complete list of persons and their personal responsibility for the accident. Pursuant to the order signed by Sergey Ivanov yesterday, the list of responsible persons is expanded to 24 people to include the management of Mir underground mine, Mirny Mining and Processing Division, ALROSA and Yakutniproalmaz Institute.

In accordance with the order, Director of Mirny Mining and Processing Division Mikhail Lopatinsky and Chief Engineer of Mirny Mining and Processing Division Alexander Kisilichin have been suspended from their positions with subsequent dismissal from the Company for the improper performance of their duties and weakening of the production control. Other responsible persons, including the top management, have been reprimanded, pecuniary sanctions have been imposed on them. The order also prescribes considering the matter related to the job competence of the Head of Mir underground mine Alexey Burkser and Chief Engineer Sergey Ekel.

In addition, the order notes the improper execution of existing legislative and other statutory acts, as well as internal regulations of the Company by Alexander Chaadaev who was the director of Yakutniproalmaz Institute when the accident happened, which did not allow to predict the occurrence of danger during works. Alexander Chaadaev left the Company earlier, and Andrey Zelberg, who was previously the Head of ALROSA’s Technical Department, was appointed in his place. One of the main tasks set to the new Director of the Institute is the organization of an integrated study and audit of design solutions for all ALROSA facilities. Moreover, he will be in charge of the creation of a forecasting system for any risks that may arise in the future while developing diamond deposits.

This page was last updated on 17 November 2017 at 14.54