Petra Fends Off Strike with Wage Agreement

RAPAPORT... Petra Diamonds has resolved its contract issues with South African workers following a strike threat stemming from a failure to reach a pay agreement.The miner has signed a one-year deal with employees who are members of the National Union of Mineworkers (NUM), Petra said Tuesday. The company will make a one-time bonus payment of ZAR 5,000 ($302) and an increase of 5.5% for the year to workers in its "A Paterson band," while employees in the "B Paterson band" will receive a payout of ZAR 8,500 ($512) and a 5% raise.The two parties have yet to settle on a wage agreement for the "C band," NUM noted. Petra has also agreed to discuss and finalize other outstanding issues with NUM apart from wages."This [settlement] now allows us to renew our focus on continuing to deliver operationally as we position the business in emerging from what has been a particularly challenging period," said Petra CEO Richard Duffy.NUM has still not reached an agreement with De Beers over wages for its South African employees at the Venetia mine.Image: Petra's Finsch mine in South Africa. (Petra Diamonds)