B2Gold Namibia yesterday confirmed it is in possession of a valid Continuous Operations Permit in respect of the Otjikoto gold mine. The company submitted a renewal application to the ministry of labour in January 2021, prior to the expiry of the previous Continuous Operations Permit, which was valid until 31 May 2021.
The labour ministry approved and issued the new Continuous Operations Permit on 25 March 2021, for the period commencing on 01 June 2021 and expiring on 31 May 2024.
“Following an enquiry in early 2022 by the Otjikoto Mineworkers Union (MUN) branch executive committee (BEC) regarding the status of the Continuous Operations Permit, B2Gold Namibia delivered a copy of the new permit issued by the ministry of labour. Despite B2Gold Namibia’s cooperation and delivery of the new Continuous Operations Permit, the BEC contested the validity of the permit. Following several meetings between B2Gold Namibia and the BEC to address its concerns, B2Gold Namibia organised a meeting in August 2022 with the ministry of labour, the BEC and the company where the ministry definitively confirmed that the Continuous Operations Permit was valid and in full effect,” read a statement from the company.
The statement added that on 30 September 2022, the BEC submitted a letter to B2Gold Namibia formally declaring its members’ intention to stop work as of 01 October 2022 on the basis that the Continuous Operations Permit had expired, and on 01 October 2022, the Otjikoto employees made a decision to stop working, contrary to applicable law.
“B2Gold Namibia immediately advised the employees that it held a valid Continuous Operations Permit, and that any stoppage would be deemed illegal. On 03 October 2022, the ministry of labour issued a letter reconfirming the validity of the Continuous Operations Permit for the period of 01 June 2021 to 31 May 2024. However, the Otjikoto mine employees continued with the illegal work stoppage and refused to work the full number of hours per their scheduled shifts. Despite the illegal work stoppage, the Otjikoto Mine continues to operate,” the gold miner stated.
B2Gold Namibia added it has made a concerted effort to address the BEC’s concerns and will continue to engage in constructive dialogue to resolve the issue.
“Unfortunately, the BEC has not provided B2Gold Namibia with a rationale for its claim that the Continuous Operations Permit is not valid. Under the terms of the Recognition Procedural Agreement (RPA) between B2Gold Namibia and the MUN, the BEC is provided with a mechanism to lodge a dispute at the labour office to resolve their concerns. Rather than adhering to the agreed upon mechanism, the BEC opted for an illegal work stoppage despite being cautioned that such activity was illegal and that it would result in disciplinary measures,” the statement added.
As a result of this illegal action, B2Gold Namibia has suspended more than 160 employees in accordance with the disciplinary code signed by every employee at the mine. The company stated it continues to be open to discussions with the union within the context of the Labour Act and RPA.