| Tue 24 May 2011, 14:13 | | EPS - Eastern Platinum Limited - News Release - Operations resume at Crocodile |
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EPS
EPS
EPS - Eastern Platinum Limited - News Release - Operations resume at Crocodile
River Mine - two year wage agreement reached with NUM
EASTERN PLATINUM LIMITED
(Incorporated in Canada)
(Canadian Registration number BC0722783)
(South African Registration number 2007/006318/10)
Share Code TSX: ELR ISIN: CA 2768551038
Share Code AIM: ELR ISIN: CA 2768551038
Share Code JSE: EPS ISIN: CA 2768551038
May 24, 2011
Trading Symbol: ELR (TSX & AIM) EPS (JSE)
S&P TSX Composite Index
NEWS RELEASE - OPERATIONS RESUME AT CROCODILE RIVER MINE - TWO YEAR WAGE
AGREEMENT REACHED WITH NUM
Eastern Platinum Limited ("Eastplats" or the "Company") is pleased to report
that as of Friday 20th May, full mining operations have resumed at the
Crocodile River Mine ("CRM"), and a two year wage agreement has been reached
with the National Union of Mineworkers ("NUM").
Operations at CRM are normalizing following the previously reported illegal
`sit-in` by 155 employees, and an illegal strike by a further 480 employees
that resulted in disrupted production at the Zandfontein and Maroelabult
sections at CRM, as well as damage to underground infrastructure.
Management at CRM have continued to constructively engage with NUM and
confirmed that all employees at the mine, except the 155 who are subject to
disciplinary action, have returned to work as of Friday 20th May. Following
extensive negotiations with NUM, a two-year wage agreement has been reached
with NUM which provides for an effective cost to company increase of
approximately 10% year-on-year commencing March 1, 2011. The Company is very
pleased to have reached an agreement on wages, benefits and other production
related issues and recognizes the efforts of both CRM management and NUM
leadership on the outcome achieved.
It is estimated that second quarter production will be negatively impacted by
approximately 7,000 PGM ounces as a result of this industrial action. CRM
management and NUM have agreed to work together to make every effort to make
up this shortfall over the balance of 2011.
"Our primary focus has been to resolve this situation safely for everyone and
we would like to thank all those involved in achieving this. It is now
critical that all parties continue to work together to maintain a safe and
beneficial working environment to increase productivity at CRM for the benefit
of employees, shareholders, the local community and all other stakeholders",
stated Ian Rozier, President and CEO of Eastplats.
Total shares issued and outstanding - 908,187,807
For further information, please contact:
EASTERN PLATINUM LIMITED
Ian Rozier, President & C.E.O.
+1-604-685-6851 (tel)
+1-604-685-6493 (fax)
info@eastplats.com
www.eastplats.com
NOMAD:
Mark Williams / Ryan Cohen
Canaccord Genuity Limited, London
Email: MWilliams@canaccordgenuity.com / rcohen@canaccordgenuity.com
Tel: +44 20 7050 6500
JSE SPONSOR:
Johan Fourie
PSG Capital (Pty) Limited
Email: johanf@psgcapital.com
Tel: +27 21 887 9602
No stock exchange, securities commission or other regulatory authority has
approved or disapproved the information contained herein.
Cautionary Statement on Forward-Looking Information
Certain statements included herein constitute "forward-looking statements"
within the meaning of applicable Canadian securities legislation. These
forward-looking statements are based on certain assumptions by Eastplats and
therefore, readers are cautioned that forward-looking statements are not a
guarantee of future performance. There can be no assurance that such
statements will prove to be accurate and actual results could differ
materially from those expressed or implied in such forward-looking statements
due to factors such as general economic and market conditions, changes in
government legislation, controls, regulations and political developments.
Specific reference is made to the Company`s most recent Annual Information
Form on file with Canadian provincial securities regulatory authorities for a
discussion of some of the factors underlying forward-looking statements.
The Company disclaims any intention or obligation to update or revise any
forward-looking statements whether as a result of new information, future
events or otherwise, except to the extent required by applicable laws.
Date: 24/05/2011 14:13:01 Produced by the JSE SENS Department.
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