Workers Vote to Continue Strike at Minera Frisco's San Francisco Del Oro Mine; Provides Production Guidance for the Year 2013
May 31, 2013 at 10:37 am EDT
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Unionized workers have voted to continue a strike at Minera Frisco's San Francisco del Oro zinc-silver-lead mine in Chihuahua state, Mexico. The stoppage, by members of section 20 of the national mining-metalworkers union (SNTMMSSRM), began in mid-May after union officials were reportedly informed that workers would receive vastly reduced payments under a profit sharing agreement this year because of lower profits as a result of investments by the company in future production growth. Frisco plans to pay each worker MXN 3,000 (USD 243) compared to MXN 58,000 last year. The workers have now voted overwhelmingly in favor of continuing the stoppage, with 635 backing continued action compared to 157 who voted to suspend the strike, with 54 absent. The union will continue to negotiate with the company towards securing a resolution. The union called on the company to improve its profit sharing agreement with workers after generating significant profits in recent years.
Gold and silver production is expected to double in 2013 as a result of the completion of expansion projects at El Coronel and San Felipe in Baja California late last year, along with production from the recently acquired Ocampo mine and from El Porvenir in Aguascalientes, which began production in January.
Minera Frisco SAB de CV is a Mexico-based company engaged in the exploration and exploitation of mineral resources. The Companyâs main activities comprise the production and sale of lead-silver concentrates, zinc concentrates, copper concentrates, copper in cathode and gold and silver rods. The staged operations include the location, investigation and compilation of information in the prospective areas considered for possible existence of minerals; conducting detailed geological study in the prospective areas, and finally conducting exploration methods directly in the prospective areas as a result of the previous stages. The Company owns such subsidiaries as Minera CRA SA de CV, Minera CX SA de CV, Minera Tayahua SA de CV, Minera San Francisco del Oro, SA de CV, as well as Multiservicios de Exploracion Geologica Frisco, SA de CV, among others.
MINERA FRISCO, S.A.B. DE C.V. 
