Interpretation of wording

Mopani Copper Mines plc v Millenium Underwriting Ltd [2008] EWHC 1331 (Comm), a decision of Mr Justice Christopher Clarke, was, in essence, a factual dispute as to exactly what cover the reinsurers and insurers intended to offer to the assured. The issue was whether the policy covered construction risks or operational risks as well. There is interesting discussion of principles of interpretation, and in particular whether it is permissible to take account of deleted words in determining what the remaining words mean.

Mopani: the facts

MCM, a Zambian company, entered into arrangements in 2004 to construct new copper smelting facilities at its site in Zambia. The project was to include an oxygen plant, an Isasmelt furnace, an electronic precipitator (ESP), an electric furnace (MSEF) and an acid plant. The ESP’s function was to process exhaust gases emitted by the Isasmelt furnace by removing copper dust particles from the gas. The cleaned gas could then be transferred to the acid plant, and the dust particles could be used in the production of copper.