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Sishen Strike Update
Kumba Iron Ore Limited
A member of the Anglo American plc group
(Incorporated in the Republic of South Africa)
(Registration number 2005/015852/06)
JSE Share code: KIO
ISIN: ZAE000085346
("Kumba” or “the Company")
SISHEN STRIKE UPDATE
Kumba regrets to inform shareholders that talks with a group of
illegal strikers occupying the Company’s Sishen Mine, to get
them to leave the mine, have not been successful. As a result,
the employees will now be notified to attend disciplinary
hearings to show cause why they should not be dismissed and
criminal charges will now be laid against them. A court order
declaring the strike as unprotected and unlawful was served on
the strikers last week.
Events leading up to the strike are summarised as follows:
In the early hours of Wednesday morning, 3 October 2012, a group
of approximately 300 employees on the night shift stopped
working and seized the heavy mining equipment fleet that they
were using. This includes 88 haul trucks and 13 pieces of
secondary equipment (e.g. bulldozers), valued at about R3.3
billion.
The strikers are demanding a monthly salary increase of R15 000
for all Kumba employees (over and above what they are already
earning) and have on several occasions threatened to destroy the
equipment if their demands are not met. To date only limited
damage had been caused. The group has taken up position on top
of one of the mine dumps adjacent to Sesheng township in Kathu.
It is estimated that of the original group, less than 120
strikers remain on the dump. This is mainly due to individual
strikers abandoning the strike and slipping away into the
surrounding community under cover of darkness. Some have also
handed themselves over to the SAPS at the gate, while others
have left for medical reasons (e.g. high blood pressure) and
were admitted to hospital with the assistance of the Company.
They have not rejoined the strike.
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.
For further information, please contact:
Gert Schoeman
Manager Communication and Branding
gert.schoeman@angloamerican.com
+27 (0)12 683 7019
+27 (0)83 259 6843
Centurion
12 October 2012
Sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)
Date: 12/10/2012 05:30:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
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