Countdown for beleaguered mining company

chapter in the lengthy and tumultuous history of state mining company Larco has been added by the liquidation project to find an investor.

In the four years since February 2020, when the company was placed under special management, and while more than a year has passed since a preferred investor (GEK Terna-AD Holdings) was named in the parallel tenders for the lease of the Larymna smelting plant (by the Hellenic Republic Asset Development Fund, or TAIPED), and the sale of the Evia and Kastoria mines (by special management), things are at ground zero as far as the future of the historic mining company is concerned.

The Larymna facility has been closed since July 2022, and on Wednesday it was occupied by workers who have been paid from the state budget throughout this period; a situation that is expected to change when the contracts expire on March 31.

The relevant ministries have decided to end the regime of continuous contract extensions as the arrival of the investor is delayed and the cost to the state budget is multiplied. Since February 2020, when Larco was placed under special management, it has been financed with 104 million euros, most of which corresponds to employee salaries.

The Finance, Environment, Labor and Social Security ministries have launched a plan for a smooth transition of employees to a new employment status until the landscape is clear with regard to the completion of the tenders.

This plan, which will be implemented as a joint ministerial decision in the coming days, allows workers over 55 to join an early retirement scheme and those under 55 to join an unemployment fund for one plus one year.

A one-month transition period will begin on May 1, with special provisions for workers whose family members have health problems. In addition to the takeover of the Larymna facility, the workers have arranged a rally for Thursday outside Parliament.