08 Dec 2013

Unstable and low metal prices continue to haunt the copper-nickel mine and this has also affected profit margins.

The situation has not been helped by the declining ore grade at Tati Nickel Mining Company (TNMC). The Managing Director of TNMC, Mr Sergey Steshenko echoed these sentiments during the company’s end of year appreciation event for employees and stakeholders on Friday. He explained that the past five years had been very challenging mainly because of the global economic recession which continued to dent their recovery.

Mr Steshenko highlighted that the persisting global economic recession and declining ore grade were variables that were beyond their control. However, he also noted that much as they did not have control over market forces, they had been able to survive the turbulence because of the turnaround strategy which the mine implemented in May 2013.“This was a survival strategy and I want to give you credit as employees of Tati Nickel for having worked round the clock to ensure that it was a success,” he said.

The managing director also commended employees for their commitment, creativity and innovation and explained that mining at the Phoenix site would continue until the end of 2015. Tati Nickel, he observed, had a substantial contribution to the economy of Francistown and surrounding areas as it engaged in a lot of direct and indirect business with a lot of companies which contributed to employment creation.

Besides this, Mr Steshenko also added that they were also partnering with government in the development of the lives of Batswana through their corporate social responsibility programme in the area of health, education, supporting charitable organisations and village development structures. The company, he asserted had also been able to survive because of the assistance, support and guidance from shareholders, thus showing commitment to Vision 2016.

He said that the future of the mine depended on the commitment, dedication and outstanding performance of its employees. Consequently, he said that what was happening at the mine was not only of concern to them alone but indicated that both government and the BCL mine were interested in how the mine performed.

The year 2014, he mentioned, would mark the beginning of another challenge and urged employees to improve their performance and continue with their survival strategy. Mr Steshenko explained that the future of Tati Nickel mine was intertwined with the economy of Francistown and its surrounding areas; hence they had a responsibility to ensure its continued survival.

The year 2013, he highlighted had been made difficult by rumours that the mine was closing down, something he said was unsettling for families. However, he said as part of their responsibilities they organised a tour of the mine by families for briefings on the real position of Tati Nickel and thanked all those who attended. ENDS