Coal train strike talks canceled

Talks set for Tuesday between
striking Colombian coal train workers and their managers were
canceled, keeping alive a work stoppage that has slowed the
movement of coal from mines owned by Xstrata and Drummond.

Some 600 employees of the Fenoco transportation firm are
striking to demand recognition of their labor union. The
protest has stopped 130,000 tonnes of coal per day from being
transported by rail to Caribbean ports from northern Colombian
mines, union officials say.

“Fenoco canceled the meeting,” said union representative
Felix Herrera. “We don’t know why and we don’t know when it
will be rescheduled. The strike continues.”

A Fenoco representative could not be reached for comment.

Coal produced in mines owned by Swiss-based Xstrata Plc
is being trucked to port during the strike.

Last month, Xstrata bought the Colombian mines of privately
owned Glencore, which is also based in Switzerland. The mining
operations are run under the name Prodeco.

Coal from mines owned by U.S.-based Drummond Co Inc
[DRMND.UL] has also been affected by the railway work stoppage.
Neither company has commented on the effect the strike has had
on exports. (Reuters)

Xstrata expects to produce 11 million tonnes of coal from
its Prodeco operations this year, while Drummond sees output of
27 million.

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