Wage agreement reached

23rd Dec 2005 13:30

Thistle Mining Inc.23 December 2005 Thistle announces a three year wage agreement at President Steyn and a new shareincentive plan Toronto, December 23, 2005 - Thistle Mining Inc. ("Thistle") (AIM: TMG) Thistle Mining Inc. ("Company"), the AIM listed gold mining company, announcesthat a three year wage agreement has been reached between the President SteynGold Mine (Free State) Pty Ltd and the National Union of Mine Workers ("NUM")and Solidarity Union whereby the majority of union members would receive anincrease of 6% for the period June 20, 2005 to June 19, 2006. It has also beenagreed that lower paid employees will receive an increase of 7% for the periodJune 20, 2005 to June 19, 2006. For the period June 20, 2006 to June 19, 2007and period June 20, 2007 to June 19, 2008 members would receive an increaselinked to the inflation rate with agreed lower and upper thresholds. The Companyhas also agreed to increase the living out allowance for NUM members by ZAR 200per month from June 20, 2006 with an obligation to increase this amount furtherfrom June 20, 2007 to reach parity with other South African gold miningproducers. Agreement has also been reached on other benefits. The total cost ofemployment is expected to increase by 8 to 9 1/2 % for the year commencing June20, 2006. The agreement is in line with agreements reached between the unionsand other South African gold mining companies. The Company also wishes to announce that the boards of directors have alsoresolved to reserve for issuance under the Thistle Incentive Share Option Planto officers (including directors) and employees of up to 10% of the issued andoutstanding share capital of the Thistle from time to time. For further information, please contact: Andy Graetz, Chief Financial Officer + 27 57 391 9026 or email [email protected]; Paul Marchand, Company Secretary, +44 207 494-6060; or Neil Murray-Lyon of Renmark +1 514-939-3989. This information is provided by RNS The company news service from the London Stock Exchange

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