FRIDAY, 5.00PM:
IMPROVED performance and a revised government rescue package have ensured that the ERPM gold mine will be saved from closure for the time being.
Outgoing chairman Lionel Hewitt said on Thursday the mine’s new management had manged to bring the mines operations close to break-even in the past few months since it recorded a R12-million cash loss in the June quarter.
Hewitt said management had achieved significant cost savings as well as an improvement in the grade of the ore mined. “This has translated into improved revenues and takes us from loss-making to just past break-even.” But he added the mine will not be able to stand on its own feet at the present gold price, and government’s latest assistance package had tipped the balance in favour of continued operations.
Government last week announced a new support subsidy for the mine of R1-million a week until next March to allow ERPM to continue pumping water from its underground operations.
BUSINESS BRIEFS
SUGAR TRUCE The warring SA and Swazi sugar industries are on the verge of agreeing to a protocol, SA Sugar Association chairman Don MacLeod said on Thursday. MacLeod said talks had cleared up crucial misunderstandings and problems and a final agreement is imminent. The formal agreement will be forwarded to both governments for approval. MacLeod said it is hoped the deal will for the basis for an agreement applicable to the whole Southern African Development Community.
TRACTOR SALES UP THE SA Agricultural Machinery Association said on Thursday tractor sales in SA surged 27,7% in August to 697 units, in spite of warnings that Southern Africa will soon be in the grip of a new El Nino-inspired drought.
NUMSA PLANS STRIKE THE National Union of Metalworkers of SA has announced a nationawide strike next Tuesday in solidarity with workers in the automotive sector who have declared a wage dispute with the SA Motor Industry Employers’ Association. In a Labour Court case last week, it was ruled that Numsa had not reneged on a motor industry agreement to negotiate only on minimum wages as opposed to actual wages. The court also dismissed, with costs, Samiesa’s application to have Numsa’s planned countrywide strike declared unlawful.
SATRA, IBA TO BE MERGED COMMUNICATIONS Minister Jay Naidoo said on Thursday that the merger between the Independent Broadcasting Authority (IBA) and the SA Telecommunications Regulatory Authority will have to be settled by next March 31. Naidoo said a meeting will be held before month’s end between the IBA, Satra and the ministry to discuss a timetable for the merger.