PennyStockPayCheck.com Rss

Featured Posts

Chase Bank Limits Cash Withdrawals, Bans International... Before you read this report, remember to sign up to http://pennystockpaycheck.com for 100% free stock alerts Chase Bank has moved to limit cash withdrawals while banning business customers from sending...

Read more

Richemont chairman Johann Rupert to take 'grey gap... Billionaire 62-year-old to take 12 months off from Cartier and Montblanc luxury goods groupRichemont's chairman and founder Johann Rupert is to take a year off from September, leaving management of the...

Read more

Cambodia: aftermath of fatal shoe factory collapse... Workers clear rubble following the collapse of a shoe factory in Kampong Speu, Cambodia, on Thursday

Read more

Spate of recent shock departures by 50-something CEOs While the rising financial rewards of running a modern multinational have been well publicised, executive recruiters say the pressures of the job have also been ratcheted upOn approaching his 60th birthday...

Read more

UK Uncut loses legal challenge over Goldman Sachs tax... While judge agreed the deal was 'not a glorious episode in the history of the Revenue', he ruled it was not unlawfulCampaign group UK Uncut Legal Action has lost its high court challenge over the legality...

Read more

Platinum miner Lonmin boss seriously ill in a week of deadly clashes between workers

Category : Business

Ian Farmer diagnosed with “serious illness”, sending shares down 6%. The company will miss targets and reports of police opening fire on miners adds to the death toll

The chief executive of South African-based platinum mining firm Lonmin has been hospitalised after being diagnosed with a serious illness.

It comes as Reuters reports police have opened fire on striking miners, leaving seven dead, at Lonmin’s Johannesburg mines, although the company told the stock market earlier today that there had been calm following recent deadly clashes.

Farmer is thought to have complained of feeling unwell last week and was taken to hospital for tests where doctors discovered the illness, which has not been made public.

In a brief statement to the stock market this afternoon, the company said of the 50-year-old South African:

The Board, on behalf of the entire Company, wishes him a full and speedy recovery. Our thoughts are with Ian and his family at this difficult time.
In Ian’s absence the day-to-day business of the Company will be the responsibility of the Executive Committee (Exco) under the temporary leadership of Roger Phillimore. In addition, Mohamed Seedat, a director of the business and until 2010 the Chief Operating Officer of Lonmin, will join the Exco to provide added support.

And within minutes the company put another statement revealing it will miss its mining targets following a week of strikes and inter-union clashes at its Johannesburg which has left eight workers and two policemen dead.

Farmer’s illness and the workers’ clashes, which the company are keen to stress is completely unrelated (in an attempt to quash any conspiracy theories before they start), has sent shares down 43p, 6%, to 652p.

The second statement reveals that attacks between rival unions and police have stopped since Wednesday morning.

It added:

The striking Rock Drill Operators (RDOs) remain armed and away from work. This is illegal under the Labour Relations Act. Consequently, and in keeping with the terms of a Court Order granted to Lonmin on 11 August 2012, the illegal strikers have today (Thursday 16 August) been issued with a final ultimatum to return to work by their next shift on Friday 17 August or face dismissal.

As a result of the disruption, Lonmin has so far lost six days of mined production, representing approximately 300,000 tonnes of ore, or 15,000 Platinum equivalent ounces. Consequently, it is unlikely that Lonmin will meet its full year guidance of 750,000 saleable ounces of Platinum, although the extent of the variation from guidance will depend on the timing and speed with which normal operations can safely resume.

Post a comment