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.
Unionized workers of Durango Sate in Mexico, forced Canadian miner Excellon Resources (TSX: EXN) to halt its operations at San Pedro mine after over 70 union members occupied the facilities last night.
The workers protested an alleged breach of a contract, signed five years ago, in which Excellon agreed to build a water treatment plant, to ensure that locals can use water removed from the mine for their agriculture needs. They also claim violations of certain freedoms, such as the freedom of association, reports Vanguardia.
Last month, CEO Jeremy Wyeth had to quit following a confrontational shareholder meeting on May 31 in Toronto. His decision, reports MiningWatch Canada, also came only a week after landowners, employees in Mexico and Canadian allies filed a complaint against Excellon under the OECD Guidelines for Multinational Corporations with the National Contact Point in Ottawa.
On Monday, the Investment Industry Regulatory Organization of Canada (IIROC) imposed a temporary suspension of trading in the Toronto Stock Exchange for Excellon. According to the file, IIROC responded to the company’s request to do so.
Trading halts are issued based on the principle that all investors should have the same timely access to important company information.
