🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

UPDATE 1-Anglo American, AngloGold reach $30 mln silicosis settlement with miners

Published 05/03/2016, 01:16 am
Updated 05/03/2016, 01:20 am
© Reuters.  UPDATE 1-Anglo American, AngloGold reach $30 mln silicosis settlement with miners
USD/ZAR
-
AAL
-
AGG
-

* Disease caused by inhaling silica dust from gold-bearing rocks

* Companies have not admitted liability, deal terms confidential

* Settlement separate from class action suit (Adds quotes, details)

JOHANNESBURG, March 4 (Reuters) - Anglo American AAL.L and AngloGold Ashanti ANGJ.J have reached a $30 million settlement with 4,400 gold miners who contracted the fatal lung disease silicosis while working underground, the companies and lawyers said on Friday.

A disease which causes shortness of breath, a persistent cough and chest pains, silicosis is caused by inhaling silica dust from gold-bearing rocks.

Lawsuits filed against the industry over the illness have alleged miners were provided with insufficient protection.

Compensation will be provided to claimants diagnosed with silicosis who worked for either company for at least two years. Anglo American quit the bullion sector in 2009, the effective cut-off date for its claimants.

"This settlement is a triumph for justice and accountability. It will bring much-needed financial relief to the victims and their families," said Richard Meeran of Leigh Day, one of the law firms that represented the miners.

"This scheme provides a model and, we hope, the necessary impetus for an industry-wide settlement for all gold mining silicosis victims," he said.

The settlement is separate from a silicosis class action suit against the industry currently waiting for the green light to proceed from the Johannesburg High Court.

Many of the affected miners come from neighbouring countries such as Lesotho.

The companies noted that "the settlement has been reached without admission of liability by AngloGold Ashanti and Anglo American South Africa and the terms of the agreement remain confidential."

Both companies will contribute, in stages, up to 464 million rand ($30 million) to an independent trust that will determine compensation for claimants.

South Africa's gold industry has been declining for years but its prospects and cash flows have improved in recent months because of a rising gold price and a sharp fall in the rand currency ZAR= .

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.