Kumba Iron Ore update ' Monday 15 October 2012
15 October, 2012
Kumba Iron Ore (Kumba) confirms that the illegal occupation of the Company's Sishen Mine continues.
The illegal strikers who have occupied the mine since 3 October have ignored an ultimatum to leave the mine and report for disciplinary hearings by 11:00 on Monday, 15 October 2012. As a result, they have been dismissed and criminal charges have been laid against them.
A few strikers, who are not part of the group continuing the illegal occupation of the mine, are attending the disciplinary hearings to present reasons why they should not be dismissed.
The strikers illegally occupying the mine have also been served with a Labour Court order today stating that they must immediately leave the Company's premises, release the equipment they hold, and that they are not allowed to be within 500m of the Company's premises. The order provides that, should they not leave the Company's premises immediately, the police must remove them. It is estimated that of the original group of approximately 300, less than 120 strikers remain on the mine.
The illegal strikers have seized the bulk of the mine's heavy mining equipment fleet and have taken up position on top of one of the mine dumps adjacent to Sesheng township in Kathu, where they have illegally been occupying the mine since 3 October. They have threatened to destroy the equipment should their demand for a monthly salary increase of R15 000 for all Kumba employees (over and above what they are already earning) not be met. To date only limited damage had been caused.
The Company suspended production on 4 October 2012 and is losing about 120 000 tonnes in production per day.
Kumba has kept local, provincial and national government abreast of developments since the start of the strike and is in constant contact with its recognised unions.
The Company will provide further updates as appropriate.