Amplats reports poor attendance levels at re-opened mines

Mining giant Anglo American Platinum (Amplats) has reported poor attendance at its Rustenburg process operations since it re-opened on Tuesday following a temporary halt to operations amid a wave of labour unrest that has hit the mining industry in South Africa in recent weeks.

The firm announced on Wednesday that the current industrial action is illegal and said it has given notice to its employees that they are required to return to work by Thursday's night shift.

"The company continues to be disappointed with the low turnout rate at four of its Rustenburg mines which are currently reporting less than 20% attendance," the firm said.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up

"The increase in police visibility and action has created an environment conducive for our employees to return to work and isolated incidents of intimidation and violence are being dealt with. As already stated, our employees have until night shift today, September 20th, to return to work failing which legal avenues will be pursued."

The firm warned investors that its Rustenburg mining operations are already under considerable economic pressure and the illegal industrial action is making these operations "even less viable".

Anglo American's share price fell 3.56% to 1,961.50p by 13:36. The stock has fallen 20%, equal to 493.50p, in the past year.

NR