Ok Tedi Mining Limited (OTML) has confirmed it will maintain mining operations despite severe logistical disruptions caused by critically low water levels on the Fly River.
The company is rerouting cargo through Indonesia to sustain supply chains as the ongoing El Niño weather pattern exacerbates drought conditions in Papua New Guinea.
The decision underscores the vulnerability of regional trade routes to climate-driven infrastructure failures.
With the Fly River unable to support standard cargo transport, OTML’s pivot to Indonesian logistics adds pressure to an already strained regional shipping network.
PT ASDP Indonesia Ferry, a key operator in the region, has recently implemented intermittent operations on the Ketapang-Gilimanuk route due to rough weather and high waves, further complicating inter-island transport.
This development highlights the broader shipping risks facing resource exporters in the Asia-Pacific.