Sierra Rutile Suspends Operations Amid Discussion with Gov’t on Fiscal Regime
In a recent development, Sierra Rutile has taken the bold step to suspend its operations in SierraLeone and asked its staff to stay home while the company is focusing on restructuring its business, lowering its costs and realigning its production plan in light of the current global market condition affecting the demand for and price for rutile.
The Human Resource Manager of the Company, Barry Honnah, in a letter, said that the temporary suspension is to allow the company and government to reach a mutually agreeable resolution on a fiscal regime.
“This temporary suspension is intended to allow time for Sierra Rutile and GoSL to reach a mutually agreeable resolution on the fiscal regime that will apply to Area 1, while the company focuses on restructuring the business, lowering our costs, and realigning our production plans in the light of current global market conditions affecting the demand for, and price of, rutile.
“We understand that this will add a layer of uncertainty for staff, but we urge you to be patient while we take the necessary steps to remodel our business for a better future and reach agreement with GoSL on an appropriate fiscal regime that would again support production, alongside supportive market conditions”, the HR Manager said in a letter addressed to staff of the company.
