7th Sep 2018 11:16
LONDON (Alliance News) - Shares in Bushveld Minerals Ltd fell on Friday after the company said that it has temporarily stopped production at its Vametco Vanadium mine located near Pretoria, South Africa, due to an "unprotected industrial action".
Shares in the exploration company were trading down 5.1% at 21.35 pence each after news of the strike action, which started on Wednesday evening.
"The industrial action is in relation to historic legacy issues and compensation structures prior to Bushveld's acquisition of Vametco," the company explained.
The company said that the union representatives agreed to urge for all labour to resume work with immediate effect after meeting with Bushveld's management team.
In order to resolve the issue, both parties are committed to "negotiate and agree an employee share ownership plan" next week, Bushveld said.
"The company continues to engage with the union representatives and is hopeful of a speedy resolution and resumption of operations," the company said.
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