Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
Canada’s Dominion Diamond (TSX, NYSE:DDC) and unionized workers at its Ekati mine, in the Northwest Territories, have reached a tentative four-year agreement that would put an end to almost two years of ongoing negotiations over work conditions.
Deal would put an end to almost two years of ongoing negotiations over work conditions.
The provisional deal, CBC reports, includes “economic increases” and maintains vacation carry-over, severance and sick leave from the previous contract.
More than 500 workers belonging to the UNW Local 3050 union are expected to ratify the agreement in an upcoming vote scheduled for March.
Over the past year, Dominion — the world’s third largest producer of rough diamonds by value — has been hit by weak global diamond prices, as well as sudden challenges, including the death of the company’s founder, Robert Gannicott, and a fire at Ekati, which suspended processing for three months and cost the miner around $20 million in repairs.
And only last week, the company’s chief executive officer Brendan Bell announced it had decided to step down due to personal reasons related to the company’s planned move of headquarters to Calgary from Yellowknife.
