TORONTO (miningweekly.com) – Canadian midtier gold miner Iamgold on Wednesday confirmed the strike over redundancy pay packages at its joint venture (JV) Sadiola and Yatela mines, in Mali; however, it stated that production at both mines was proceeding as normal.

Iamgold’s West Africa region VP Oumar Toguyeni explained that at the Sadiola mine, production was halted at the FE3 pit, and mining was now focused on the FE4 and Tambali pits to extract higher-grade oxide ore, which was better suited to the existing plant.

In September 2013, at the neighbouring Yatela mine, the sharp decline in the gold price, coupled with safety considerations, led to the company suspending mining and cancelling the mining contracts.

Iamgold said its JV partner at the two mines, AngloGold Ashanti, was managing the local operations and remained in dialogue with employees and their representatives, including the National Section of Mines and Industries, known locally as SECNAMI, in order to find a solution suitable to all stakeholders.

The more focused scope of operation at Sadiola would, however, affect employees of the JV, as well as those employed by the mining contractor, LTA Mali.

The JV partners would also continue to engage all stakeholders and a life-of-mine forum had been established to continuously inform employees of both mines, their respective unions and representatives from our host communities, on developments relating to the mines’ respective futures.

News agency Reuters on Wednesday reported that Mali's gold production will dip slightly in 2014 as AngloGold Ashanti and Iamgold close down the Yatela mine, the Mines Minister Boubou Cisse said.

AngloGold Ashanti, which operates Yatela, and Iamgold each have a 40% stake in the mine. The Malian State owns the remaining 20%.

Cisse said industrial production is forecast to fall to 46 t this year from 47 t in 2013. Artisanal miners were expected to add an additional four tonnes, bringing total production to 50 t, down from 51 t last year.