Staff laid off as downturn hits EDMS
Wednesday December 10, 2008
The downturn in metals prices and global economy has resulted in “substantial headcount reductions” at Every Day Mine Services.
The company released a statement to the Australian Stock Exchange last week detailing the reasons behind its decision to cut jobs.
It is one of the first major local flow-on effects to be seen from the recent retrenchments at Endeavor Mine.
In the statement, company managing director Roger Jackson said a number of other factors also contributed.
“The scale back of operations or mines
being placed on care and maintenance has had an impact on EDMS at four underground
operations, being Broken Hill and Endeavor, the closure of the Eloise Mine (in
Queensland) and deferral of underground exploration at the CSA Mine,” Mr Jackson said.
“In addition, our surface fleet which has traditionally had a substantial exposure to metalliferous metals has seen a drop off in demand and has resulted in all surface rigs exposed to these clients ceasing operations in the last eight weeks.”
Mr Jackson said the company is now looking to further its exposure to the coal and gasification industries, relocating the surface drilling arm of subsidiary company GOS Drilling Pty Ltd from Cobar to Rutherford in the Hunter Valley.
According to the statement, the company currently has four underground drill rigs operating and
this situation “is not expected to change in the near term”.
The company’s down-the-hole hammer division was most impacted, with the company now planning extensive marketing further afield.
EDMS’ fibrecrete operations were also recently scaled back after major client Peak Gold Mines purchased a new batching plant of its own.
“We are currently assessing a new location for this mobile batch plant for commencement in the new year,” Mr Jackson said.
Next story | News home
