| Wed 3 Sep 2008, 14:45 | | RDI - Rockwell Settles Industrial Action And Wage Negotiations At Its Northern |
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RDI
RDI
RDI - Rockwell Settles Industrial Action And Wage Negotiations At Its Northern
Cape Operations
ROCKWELL DIAMONDS INCORPORATED
(A company incorporated in accordance with the laws of British Columbia, Canada)
(Incorporation number BCO354545)
(Formerly Rockwell Ventures Inc.)
(South African registration number: 2007/031582/10)
Share code on the JSE Limited: RDI & ISIN: CA77434W1032
Share code on the TSXV RDI CUSIP Number: 77434W103
Share code on the OTCBB: RDIAF
("Rockwell")
ROCKWELL SETTLES INDUSTRIAL ACTION AND WAGE NEGOTIATIONS AT ITS NORTHERN CAPE
OPERATIONS
September 3, 2008. Vancouver, B.C. - Rockwell Diamonds Inc ("Rockwell" or the
"Company") (TSX: RDI; JSE: RDI; OTCBB: RDIAF) reports on the resolution of
industrial action at its Wouterspan Mine and finalization of wage negotiations
with the National Union of Mineworkers (the "NUM"). NUM represents the majority
of the Company`s employees. Operations will resume at all of the Company`s
mines on Wednesday September 3, 2008.
Following negotiations between the Company and the NUM, the parties have settled
the disciplinary procedure and hearing initiated against employees at its
Wouterspan Mine on the Middle Orange River in the Northern Cape Province of
South Africa. As reported in a news release of July 25, 2008 this action was
initiated following illegal strike action at this mine.
During discussions and negotiations with the NUM in respect of the Wouterspan
industrial action, the Company was also able to conclude wage negotiations which
were implemented in June 2008. These negotiations reached a deadlock in mid
August and were followed by work stoppages at the Company`s other operations.
The Company has agreed on a 13.5% increase on the basic wage paid to its
employees, excluding management levels. This increase is in line with latest
consumer price inflation figures for South Africa.
During the industrial action and work stoppages experienced by the Company,
Rockwell was able to maintain day time shift production through the efforts of
its mine management and supervisor teams supported by non-unionized employees,
at its Saxendrift, Wouterspan and Klipdam operations. Health and Safety
procedures were adhered to at all times, routine maintenance and repairs, as
well as upgrades of certain plant and equipment was performed during the period
of industrial action.
As a consequence of the Wouterspan industrial action and stoppages experienced
due to wage issues, the Company has experienced production losses during late
July and the month of August, with production falling by approximately 55% for
the month of August.
No delays were experienced with the fabrication and construction of the
Company`s new high-volume Wet-Rotary Pan Plant being constructed on the
Saxendrift property. Start-up of this plant is scheduled for early November
2008.
President and CEO John Bristow noted "We are pleased to have successfully
resolved the Wouterspan industrial action and wage negotiations in constructive
dialog with our employees and the National Union of Mineworkers. Our
negotiations and discussions with the NUM have allowed the Company and its
employees to table and discuss challenges faced by both parties and to put
forward improved communication and information sharing procedures. We will be
implementing some of the ideas put forward including more regular meeting forums
and other dispute resolution mechanisms for the Company and its employees."
For further details on Rockwell Diamonds Inc., please visit the Company`s
website at www.rockwelldiamonds.com or contact Investor Services at (604) 684-
6365 or within North America at 1-800-667-2114.
John Bristow
President and CEO
No regulatory authority has approved or disapproved the information contained in
this news release.
Forward Looking Statements
This release includes certain statements that may be deemed "forward-looking
statements". Other than statements of historical fact all statements in this
release that address future production, reserve or resource potential,
exploration drilling, exploitation activities and events or developments that
each Company expects are forward-looking statements. Although the Company
believes the expectations expressed in such forward-looking statements are based
on reasonable assumptions, such statements are not guarantees of future
performance and actual results or developments may differ materially from those
in the forward-looking statements. There is no certainty of the financing
completing. Factors that could cause actual results to differ materially from
those in forward-looking statements include market prices, exploitation and
exploration successes, changes in and the effect of government policies
regarding mining and natural resource exploration and exploitation, availability
of capital and financing, geopolitical uncertainty and political and economic
instability, and general economic, and market or business conditions. Investors
are cautioned that any such statements are not guarantees of future performance
and that actual results or developments may differ materially from those
projected in the forward-looking statements. For more information on Rockwell,
Investors should review Rockwell`s annual Form 20-F filing with the United
States Securities and Exchange Commission www.sec.com and the Company`s home
jurisdiction filings that are available at www.sedar.com.
Date: 03/09/2008 14:45:02 Produced by the JSE SENS Department.
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