Colombia's Cerro Matoso ferronickel mine paralyzed

BOGOTA, Feb 29 (Reuters) - Labor negotiations at Colombia's Cerro Matoso ferronickel mine were at a standstill on Friday as a strike by workers stretched into a third day, union and company officials said.

The mine, in the northern province of Cordoba, is owned by BHP Billiton (BLT.L: Quote, Profile, Research) (BHP.AX: Quote, Profile, Research) and produces 55,000 tonnes of ferronickel annually, or about 4 percent of the world's nickel, according to the Reuters Metal Production Database.

"Negotiations are frozen," said Roger Herrera, president of the Sintracerromatoso union representing Cerro Matoso miners. "The only contact we have had with the company has been to turn over our equipment."

A company official confirmed the standstill in talks on a new two-year contract at the plant, which employs some 3,000 people directly and indirectly.

The strike has supported world nickel prices.

Workers demand that the company hire employees to replace those who have retired over recent years due to hearing and lung illnesses, Herrera said.

"We are open to dialogue and waiting for the company to call," he said.

Colombian law says the strike can last 60 days before it goes before government mediators. (Reporting by Hugh Bronstein; Editing by Walter Bagley)