BARBERTON – It is going to be a bleak and dismal Christmas for the more than 350 mineworkers of Vantage Goldfields Barbrook Mine close to town. They did not receive payment in full for work done in November and on top of that they were notified that operations were suspended on December 13.

According to HR manager of Vantage Goldfields, Mr Corrie Hallet, all labourers were paid according to production which entailed that they were not paid in full, but they did receive remuneration.

The workers downed tools in the first week of December after their employer failed to pay them their November salaries.

They were still on strike last week, demanding their outstanding payment.

Management was left with no option but to suspend operations at Barbrook on December 13 Mr Mike McChesney, CEO of Vantage Goldfields, told Lowvelder on Wednesday.

This action led to the company being placed into business-rescue mode with immediate effect.
He explained that the mine had operated to plan and succeeded to perform to expectations during the first six months.

“As November drew to a close, and continuing throughout December, illegal blockades of the public road which leads to the mine, increased. Consequently, management and employees have been barred from gaining access which in turn influenced production,” said McChesney.

He explained that this was done by “a small section of the community which does not have any interest in the mine and its operations”.

According to McChesney, in spite of management’s frequent negotiations and interventions with the contract workforce and community, the state of affairs deteriorated.

“Negotiations failed because the numerous solutions offered by the mine were not accepted. To date the loss of income is in excess of R20 million,” he said.

McChesney confirmed that a request for business rescue was made even though management is hopeful of investors.

“Negotiations with prospective investors are well advanced. The matter is sensitive at this stage and business rescue provides an environment to conclude negotiations.”

For him the positive outcome of the business rescue and investor negotiations would be to get the mine operational as soon as possible.
• According to Ms Anchen Coetzee, spokesman for Vantage Goldfields, “Former Lily Mine workers have not been paid their packages and compensation for the families that lost their loved ones in the incident in February”.