The Raglan nickel and copper mine, in Quebec, is gradually resuming certain operations from Friday, but diversified major Glencore reported that a wage negotiation impasse continued to persist.

The company suspended production at Raglan in late May after 630 unionised workers went on strike.

Glencore said operations would be carried out by professional staff and contractors which were already performing similar work prior to the dispute, in accordance with the provisions of the Quebec Labour Code.

Authorised personnel would gradually return to the site to perform tasks related to infrastructure maintenance, such as roads, water management systems and heating, as well as increasing the ore reserve at the surface.

The concentrator was not currently in operation and the level of mining activity at the site would remain significantly below normal, Glencore stated.

"In addition to facilitating the rapid resumption of full operations once a new agreement is signed, this return will also enable us to uphold our agreement with our Inuit partners," said Raglan mine VP Pierre Barrette.

Signed in 1995, the Raglan agreement provides for the employment of workers from Nunavik communities and ensures that Inuit directly benefit from the socioeconomic advantages of mining operations. The precedence of the Raglan agreement over any other arrangement is recognised in the collective agreement between the company and the union.

Glencore said many of the subcontracting companies that work at Raglan were owned by the Inuit communities of the region. They contribute to the economic and social development of the Far North.

“Within the context of severe labour shortages, ensuring the retention of employees working for local contractors is a priority for the company,” the miner said, adding that resuming certain operations at Raglan made it possible to preserve a portion of the royalties paid by contractors to the Inuit communities.

IMPASSE IN NEGOTIATIONS

Meanwhile, Raglan called on the government-appointed mediator to return to the negotiating table, without a favourable response from the union.

"We are disappointed that we have come to an impasse in negotiations. We hope to resume discussions quickly in order to reach a mutually beneficial agreement," added Barrette.

Until a new collective agreement is ratified, Glencore's Integrated Nickel Operations would use alternative concentrate supplies to maintain its nickel processing operations at the Sudbury smelter at full capacity.

Raglan presented a first global offer to its employees affiliated with the United Steelworkers Union, Local 9449, in early May. If ratified, Glencore said it would place workers among the highest paid in the industry.