July 23, 2008 / 4:26 AM / 12 years ago

UPDATE 3-Drummond Colombia coal mine strike to end

(Adds signing of contract)

BOGOTA, July 22 (Reuters) - Workers at the Pribbenow coal mine in northern Colombia, owned by U.S.-based Drummond, signed a new two-year contract late on Tuesday and agreed to end their six-day strike, the company and the miners union said.

“Drummond has signed an agreement with its unionized workers,” said a company statement. “Operations at the mine will resume on Wednesday morning.”

Union negotiator Sergio Becerra confirmed that the deal had been signed and that the work stoppage was being called off.

The new accord will include a 9.1 percent pay increase and a 2 million peso ($1,109) bonus to be paid to each of the open pit mine’s 3,500 workers within 30 days, Becerra added.

Pribbenow produces about 2 million tonnes of coal per month, according to Drummond, a private family-run business based in Birmingham, Alabama.

The strike began on July 17 after contract talks broke down in part over the miners’ demands for higher pay. (Reporting by Hugh Bronstein, Editing by Anthony Boadle)

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