Labour unrest hits Centamin's Sukari mine

The workforce issues faced by gold miner Centamin appear to be growing worse; the Egypt-based company says labour unrest has brought operations at its Sukari mine to a standstill.

In a statement released this morning Centmain says: "...the illegal unrest and work stoppage commenced as a result of a breakdown in on-going discussions involving general salary increases and other benefits with some members of the Sukari workforce."

There have been previous reports that workers wanted the mine to revert to Egyptian ownership in the wake of the removal of the Mubarak regime.

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The company insists, however, that it has the "full" support of the Egyptian Mineral Resources Authority and the Ministry of Petroleum.

Unsurprisingly, the share price has dropped sharply; down 8.6% by 12:02pm. Over the last 12 months the stock has fallen 39%.

BS