| Tue 13 Apr 2010, 7:30 | | GDO - Gold One International Limited - Wage negotiation update |
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GDO
GDO
GDO - Gold One International Limited - Wage negotiation update
Gold One International Limited
(Previously BMA Gold Limited)
Registered in Western Australia under the Corporations Act, 2001 (Cth)
Registration number ACN: 094 265 746
Registered as an external company in the Republic of South Africa
Registration number: 2009/000032/10
Share code on the ASX/JSE: GDO
ISIN: AU000000GDO5
OTCQX International: GLDZY
("Gold One" or the "company")
WAGE NEGOTIATION UPDATE
Gold One refers to the market updates issued on 16 March, 19 March and 6 April
2010 and advises that the industrial action which commenced on 23 March 2010 by
employees in categories A and B (`striking employees`) has now entered its
fourth week.
Gold One carefully considered the offer it tabled prior to the industrial action
commencing and has consistently retained its position during the negotiations.
Management believes that the three year offer it has tabled is significant and
is designed to ensure that all employees benefit from the expected profitability
of the company as it improves in the coming years.
Production at Modder East has continued since the industrial action began on 23
March 2010, with the company treating to date a total of 7,967 tonnes of ore at
an average head grade of 5.64g/t. For the 15 working days during this period of
industrial action, gold production has amounted to approximately 43 kilograms.
It is evident that the strike-action plan that has been implemented will allow
the mine to operate indefinitely at these profitable production rates. The
tonnes treated are a mixture of underground accumulations and fresh ore. The
fresh ore is mainly from on-reef development and is mined using mechanised
mining methods.
Morale among the 200 employees who have reported to work during this industrial
action is high and these employees, who do not form part of the National Union
of Mine Workers (`NUM`) bargaining unit, remain committed to continuing at the
aforementioned production rate.
While Gold One remains hopeful that the talks which resumed on 12 April 2010
will enable the parties to find ways to package the current wage offer in a way
that is acceptable to NUM and its members, management would like to reiterate
that a resolution to the impasse may still take some time, but that the company
is well positioned to deal with this situation.
Gold One continues to adopt a policy of `no work-no pay`.
Issued by Gold One International Limited
Website : www.gold1.com.au
For further information contact:
Neal Froneman Ilja Graulich Carol Smith
President and CEO VP: Corporate Affairs Investor Relations
+27 11 726 1047 (office) +27 11 726 1047 (office) +27 11 726 1047 (office)
+27 83 628 0226 (mobile) +27 83 604 0820 (mobile) +27 82 338 2228 (mobile)
neal.froneman@gold1.co.za ilja.graulich@gold1.co.za
carol.smith@gold1.co.za
Parktown, Johannesburg
13 April 2010
Sponsor
Macquarie First South Advisers (Pty) Limited
About Gold One:
Gold One International Limited is a gold producer listed on the financial
markets operated by ASX Limited (the Australian Securities Exchange) and JSE
Limited (the Johannesburg Stock Exchange), issuer code `GDO`. Its flagship
operation is the newly built shallow Modder East mine on the East Rand, some 30
kilometres from Johannesburg. Gold One also owns the nearby existing Sub Nigel
mine, which is used primarily as a training centre in the build-up of the Modder
East mine to full production. Its other projects and targets include
Ventersburg and Bothaville, both in the Free State goldfields, the Tulo
concession in Mozambique and the Etendeka greenfields project in Namibia. Gold
One has an issued share capital of 805,239,940 shares.
Date: 13/04/2010 07:30:18 Produced by the JSE SENS Department.
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