Johannesburg - Harmony Gold's Kusasalethu mine was in a dire
position as a result of unprotected labour action last year, according to a
report on Tuesday.
Its workers have been given until March 7 to resolve their
complaints or face retrenchment, reported Business Day newspaper.
Harmony Gold Mining Company [JSE:HAR] CEO Graham Briggs has warned in an open letter that
roleplayers had 60 days to save the mine.
The letter said murder, violence, intimidation and damage to
mine property prompted the decision to suspend operations at the mine near
He told Business Day that no company could operate in such
"We can't continue like this. Yes, it is as stark as
that," said Briggs.
A meeting between unions and mine management was scheduled
to happen on Thursday.
"The tables have turned. It is us, the company, which
has demands on the table now, not the unions," said Briggs.
"Our demands are that we respect the law, that we are
peaceful and respect the Mine Health and Safety Act."
Unprotected labour action at the mine in October and
December caused huge production losses.
On Monday another mining company, Anglo Platinum [JSE:AMS],
warned investors it may have plunged into a heavy loss last year, as a result
of labour unrest.
In a profit warning - filed with the Johannesburg Stock
Exchange - Amplats said that 2012 earnings would probably show a loss of 491 to
628 cents per share, down from a profit of 1 365 cents per share in 2011,
reported Agence France-Presse.
Follow Fin24 on Twitter, Facebook, Google+ and Pinterest.