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Excellon files criminal charges re Platosa strike
2012-07-16 07:19 ET - News Release
Mr. Peter Crossgroves reports
EXCELLON PROVIDES UPDATE ON ILLEGAL ACTION AT LA PLATOSA MINE, DURANGO MEXICO
On Monday, July 9, members of the Edijo de La Sierrita, assisted by the NGO group Prodesc and Sindicato Nacional de Trabajadores Mineros MetalAorgicos, SiderAorgicos y Similares de la RepAoblica Mexicana, which is affiliated with the United Steelworkers Union of Canada (USW), commenced an illegal action at Excellon Resources Inc.'s La Platosa mine, located in Durango, Mexico.
Illegal action status
The state and federal governments have informed the company that this action is illegal and as such, Excellon has filed criminal charges for damages against all members and groups who are participating in this illegal action.
The company has the full support of the state and federal governments on this issue and continues to work with the government to assist in ending this action as soon as possible, so that the workers of La Platosa can return to the mine and resume their livelihoods. At this time, the company understands that the Edijo, under the advice of Prodesc, has refused to meet with local government representatives.
Mining activity at La Platosa continues to be suspended, however essential services are being maintained. At present the company continues to produce concentrate from stockpiled material at its mill, Miguel Auza, located in Zacatecas state, however, it is expected that the stockpile will be depleted within the next few days. At that time, a decision will be made regarding potential layoffs at Miguel Auza while this action continues.
Union involvement and status
The company has recently been informed that participants of the illegal action are being remunerated by the Sindicato Nacional de Trabajadores Mineros MetalAorgicos, SiderAorgicos y Similares de la RepAoblica Mexicana, affiliated with the USW, in an effort to prolong the action.
On July 5, 2012, labour authorities attended, as dictated by state and federal law, a voting process for the selection of a representative union at La Platosa on July 5, 2012.
It is the understanding of the company that the outcome of the voting did not favour the Sindicato Nacional de Trabajadores Mineros MetalAorgicos, SiderAorgicos y Similares de la RepAoblica Mexicana, affiliated with the USW, as they only received approximately one-third of the vote cast. The results will not be official until the labour authority completes the formal tabulation process as per the requirements of Mexican labour law. The company understands that this process may take several weeks.
The company also understands that the Sindicato Nacional de Trabajadores Mineros MetalAorgicos, SiderAorgicos y Similares de la RepAoblica Mexicana and the Sindicato Nacional de Industria "Vicente Guerrero" de los Trabajadores de la ExtracciA Superscript threen, FundiciA Superscript threen, TransformaciA Superscript threen, DistribuciA Superscript threen, Montaje y TransportaciA Superscript threen de Productos de Metal, Minerales Conexos, Derivados y Similares, which presently represents the mine workers may dispute and petition the results of the vote.
Excellon remains committed to stand by whatever union the employees of Excellon have chosen to represent them.
We seek Safe Harbor.
Hope it is not a long legal battle. Too many $$$ gets bled off to lawyers!
As Always, Best of Luck
Alchemist7
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