PERTH (miningweekly.com) – Mineral sands miner Iluka has been forced to temporarily suspend mining operations at its Siera Rutile operations, in Sierra Leone, following a strike at the operation.
The ASX-listed company reported on Tuesday that the unlawful strike action had been peaceful, but the decision was taken to halt mining activities to ensure the continued safety of employees and the integrity of the assets.
Iluka said that it had engaged with employees and union officials to understand the rationale for the strike action, as well as with Ministers and senior officials in an effort to resolve the dispute.
In the meantime, the company has warned that the strike action would impact full-year rutile production.
At the end of September, the Sierra Rutile operation had produced 93 400 t of rutile for 2018, with a maximum of 135 000 t expected for the full year, depending on when the strike action is resolved.
Iluka has previously expressed disappointment in the production performance of the Sierra Rutile operation, specifically around commissioning issues on the in-pit mining unit and age-related failures of equipment at the dredge, which has been accompanied by increased costs in addressing operational issues at the mine.