By Jenniffer B. Austria

Benguet Corp. has suspended exploration activities in its copper-gold project in Compostela Valley pending a dispute with partner Nationwide Development Corp.

Benguet said in a disclosure to the stock exchange that it was stopping work in the Kingking copper gold project in Pantukan, Compostela Valley until it resolved the conflict with claim-owner Nadecor.

Nadecor last year filed a complaint with the Environment Department seeking the ouster of Benguet as operator of the project.

?The suspension is intended to give the company relief from the effects of the pending dispute, which frustrates the performance of its obligations under the mineral production sharing agreement while the parties are exploring possible resolution,? Benguet said.

?The company remains committed to developing Kingking and is prepared to resume its activities as soon as possible,? it added.

Kingking is Benguet?s largest mining prospect and among the country?s top five priority mining projects.

Minority shareholders of Benguet earlier claimed that Nadecor terminated the operating agreement because of the financial difficulties of the mining company.

Nadecor formally requested arbitration from the Environment Department after the termination of the operating agreement.