Workers strike nearly paralyzes Newmont mining activities: Union

Strike by workers has almost paralyzed mining activities at PT Newmont Nusa Tenggara (NNT)?s Batu Hijau copper and gold mine in Sumbawa, West Nusa Tenggara province as nearly a half of the company?s 4,200 workers have joined the strike.

Usep Syarif Hidayat, a senior executive at the province?s labor union for chemical, energy and mining industries, said that the strike which entered its third day on Wednesday had affected most of the company?s important production activities.

He estimated that 80 percent of the company?s mining activities had been halted by the workers? strike. The workers have threatened to continue the strike if the company still refuses to pay the overtime demanded by the workers.

The strike started on Aug. 2 and is planned to continue until Aug. 10.

The strike was launched after NNT, which operates the Batu Hujau mine, refused to pay Rp 126 billion ($14.1 million) in overtime covering the period from June 2008 to June 2010.

Meanwhile, NNT's spokesman Kasan Mulyono denied that the strike had paralyzed the company?s production activities. ?NNT is using its stockpile to support its production activities,? he added.

In a press statement issued on Monday, NNT said that the company had asked the industrial relations body and the local manpower office to settle the overtime payment problem. (godang)