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.
A labour strike in demand for higher salaries continued at South Africa’s second-largest gold producer, Gold Fields Ld. (JSE, NYSE, NASDAQ Dubai: GFI) on Friday, as talks between KDC West miners and the company were taking place at the company’s Libanon mine in Westonaria.
Union leaders were sworn at when they tried to persuade thousands of striking workers to discuss their issues with them, local media reported:
“Voetsek! Fokof!” (Go! Fuck off!) workers shouted as a National Union of Mineworkers (NUM) delegate tried to address them.
The NUM delegate eventually tried to speak from one of the mine’s armoured security vehicles, but people shouted “Hamba!” (Go!).
It was the second day the NUM had been unable to address the workers.
Speaking at this year’s Denver Gold Forum in Colorado CEO Nick Holland told the audience t”gold miners don’t really make that much money.”
In his presentation Holland said the industry has been digging its own grave by telling just half of the real cost story.
Mining in South Africa accounts for 6% of the nations’ gross domestic product, but the sector is becoming a symbol of the economic, social and political differences that continue to characterize the country.
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Gold mining industry shooting itself in the foot >> >>
