CONCESSION TERMINATION LOOMS FOR BULGARIAN GORUBSO MINES

Bulgaria's Economy and Energy Minister, Traicho Traikov, threatens to withdraw the concession of the metal mines ofGorubso-Madan.

Traikov, cited by the cabinet's press center, says he expects that the company will adhere to the reached agreement to pay in full delayed wages to all miners within the 14-day deadline.

"I cannot allow for anyone to try tricking the State. If I become convinced that someone is not playing according to the rules, I will respond accordingly," stated the Minister, adding workers are now receiving money and payments will continue Tuesday

Miners at Gorubso-Madan announced they are keeping their protests after it emerged Monday afternoon that they will not receive the promised salaries.

On Friday, the management of the mining company promised to Traikov that it will provide by Monday BGN 700 000 forsalaries that have been delayed by several months and will pay in two weeks the entire amount of BGN 1.1 M it owes in wages to workers.

The Minister, however, stresses that the public promise has been something different than what is happening now and that he is beginning to doubt the seriousness of what he has been told. He explained he was promised he would receive Tuesday morning a detailed schedule for the payments.

The miners have requested that the state terminate the contract with concessionaire Valentin Zahariev, who is operating the mines as well as the non-ferrous mill in the city of Kardzhali, where salaries are missing too. They remind that in 2011 the Bulgarian government had already warned that it will terminate the contract with the Gorubso-Madanoperator due to similar violations.

Traikov traveled to Madan at the end of the week to meet with the protesters and discuss their demands. On Wednesday Bulgarian Minister of Labor and Social Affairs Totyu Mladenov also met them and supported their call to oust Zahariev if he does not cover his responsibilities.

The Economy Minister points out that the process of withdrawing the concession can last for months and during this period there would be no guarantee the workers will have a fixed income thus the parties must use all opportunities to resolve the outstanding issue.

The Mayor of Madan warns that social tensions in the town are escalating.