A month-long strike, which ended June 1, has taken a 6-7,000-oz bite out of Northgate Explorations’ projected gold output for 1987. But it has also added $1.21 to the pay cheques of about 500 hourly paid workers at the company’s Chibougamau, Que., gold mining operations.
“We lost one month’s production, but the company is expected to have a good year nonetheless,” said Gregory Bowes, manager of corporate relations. “In fact gold production should be close to the 81,500 oz produced in 1986, the main reason being increased production from Orofino Resources. The 62%- owned subsidiary is expected to produce 7,000 oz of gold this year from its Orostar mine, near Sudbury, Mr Bowes said. Last year 5,100 oz were produced by Orofino.
He cited current high gold prices ($451.75U.S. at presstime) as further cause for optimism.
The strike closed the company’s Copper Rand mill during May and halted producton at its two gold mines in Chibougamau. The workers are members of the Local 5914 of the United Steelworkers of America.
A new 3-year contract will add 40 cents to workers’ salaries this year, 31 cents next year and 50 cents the following year. There has also been an adjustment in the number of paid sick days and fixed holidays.
The contract is retroactive to April 13, when the previous contract expired.
Marcel Pageau, president of the Local 5914, is happy with the settlement. “The strike has been a good experience for all the workers,” he said.
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