Global platinum powerhouse Lonmin says strikes at its mines in South Africa have reduced full year production expectations and increased unit costs, as violence continues.
In a statement released on Monday morning the company says the number of people who have died in clashes since the strikes began at its Marikana facility on August 10th has risen to 45, with the discovery of the body of a 51 year old worker last week.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely 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
A "peace accord" has now been signed with several parties including the NUM, UASA and Solidarity, but the AMCU and non unionised workers have refused an agreement.
The net result of the industrial action is that sales will come in at between 685,000 and 700,000 ounces of platinum by the year's end in September. Unit costs will rise 8.5%.
Lonmin shares were steady on the news but have still fallen 17% since the strikes began.
BS
-
FCA car finance compensation: £700 each expected for 14 million driversEligible motorists could begin getting a payout from next year under the financial watchdog’s planned car finance compensation scheme
-
Reeves warned against property tax shake-up – 3 ways it could backfire on first-time buyersRachel Reeves reportedly has her eye on high-end property taxes in the upcoming Budget, but there are concerns a shake-up could unintentionally hamper those trying to get on the housing ladder
