Friday, March 13, 2009

Asarco Press release: ASARCO LLC Files a 9019 Motion for Court Approval of Its Global Environmental Settlements

- just talked directly with Doug McAllister, Asarco attorney and contact, who denied that ASARCO El Paso ever incinerated secret toxic waste -- refuting Rep. Reyes' comments, the EPA's evidence and the DOJ secret settlement (released NYTimes 10/2006).    He stated that the GAO investigation from 2007 showed that no secret toxic waste was ever burned and said that Rep. Reyes' comments regarding that report were not true; he denied that a secret settlement had occurred (would not comment on any reference an Asarco-DOJ confidential agreement) and said that the EPA evidence of the secret waste burning was only their attorney's opinion- not proof. I told Mr. McAllister that they (ASARCO) have done NO TESTING here for those secret toxic chemicals and that they are in the process of going through a Bankruptcy without considering this secret toxic waste. He thanked me for my comments.

By the way, Mr. McAllister, GAO stands for "General Accounting Office" and not for "General Accountability Office" and that 2007 report did not look at whether or not illegal hazardous waste had happened here in El Paso by ASARCO, but was initiated as a study of the general handling of military toxic wastes, period.

If the EPA confidential-for-settlement-purposes-only document to the DOJ about ASARCO (1998) was "opinion" as you state, then the 70-plus pages they supplied of companies and military-sources sending wastes with no metals-in-it-to-smelt was fictitious?   I don't think so.

March 13, 2009 12:55 PM Eastern Daylight Time

ASARCO LLC Files a 9019 Motion for Court Approval of Its Global Environmental Settlements

TUCSON, Ariz.--(BUSINESS WIRE)--ASARCO LLC filed a motion with the U.S. Bankruptcy Court in Corpus Christi, TX yesterday under Bankruptcy Rule 9019 seeking the Court’s approval to enter into five settlement agreements that will resolve the vast majority of its remaining environmental claims.

The federal government has described this as "the most complicated environmental bankruptcy in United States history." As part of the global settlements, the company will allow general unsecured claims in the total amount of approximately $835.7 million and give $275.3 million in cash to federal and state governments to pay its fair share of environmental liability at approximately 54 sites across the country - making this the largest environmental settlement in history.

"The proceeds from these global settlements will infuse much-needed cash into federal and state coffers, allowing governments to clean up some of the largest sites on the Superfund National Priorities List," stated Mr. Joseph Lapinsky, ASARCO’s Chief Executive Officer.

Last week, ASARCO also announced the signing of a new agreement to sell substantially all of its operating assets to Sterlite (USA), Inc. for $1.1 billion cash plus a senior secured, non-interest bearing promissory note for $600 million, payable over nine years. The proposed sale, which ASARCO will seek to have approved as part of a plan of reorganization and the proceeds of which would fund such plan, coupled with these global settlements, are two major steps towards a successful exit from bankruptcy.

ASARCO is an integrated copper mining, smelting and refining company with approximately 2500 employees. The Company operates three mines, associated mills and a smelter in Arizona and a refinery complex in Texas, which includes plants that produce copper rod and cake, precious metals and by-products. For more information, visit http://www.asarco.com.