Bloomberg reported that Freeport McMoRan Copper & Gold Inc’s striking Peruvian miners refused to accept private arbitration to end 35 day stoppage.

Mr William Camacho union official said that workers at Sociedad Minera Cerro Verde SAA copper mine on strike since September 29th 2011 declined Cerro Verde’s request for arbitration and will study a petition to renew wage talks.

Mr Camacho said that “Arbitration would be a violation of our right to strike, and no one can force us to accept it. The solution is in the government’s hands. Until then the strike goes on.

Workers in Peru, Chile, Bolivia and Indonesia have downed tools at copper, gold and zinc mines this year to seek better working conditions and a bigger share of record profits after metal prices surged. Workers at Freeport’s Grasberg mine in Indonesia have been on strike since September 15th 2011 and are set to resume labor talks November 7th 2011.

Mr Eric Kinneberg spokesman for the Phoenix based company said that Cerro Verde is willing and available to negotiate the new labor agreement in good faith with the union and seeks to conclude the labor agreement as soon as possible

The stoppage at Grasberg, which holds the world’s largest recoverable reserves of copper, has raised concern it may widen a global metal deficit and boost prices. The company’s Indonesian workers who have rejected an offer to boost pay by 30% over two years are demanding a wage increase to USD 7.50 to USD 33 an hour from USD 1.50 to USD 3.50.

Freeport said that milling operations at Grasberg have been suspended since October 22nd 2011 because of damaged pipelines. Its Indonesian unit processed an average of about 120,000 metric tons of ore a day in October, 31% less than the daily rate planned for the Q4.

(Sourced from Bloomberg.net)