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Implats shaft remains shut

Oct 25 2007 13:45

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Johannesburg - A mine shaft remained shut at Impala Platinum (Implats) the world's second biggest producer of platinum, but bigger rival Anglo Platinum, said on Thursday it had resumed normal output.

Northam Platinum also re-opened its mine on Wednesday.

Implats shut the Clapham shaft at its Marula mine on Tuesday night after two workers died. The shut shaft produces half of the mine's total of 6 000 ounces of platinum per month. Marula, in Limpopo province, is Implats' smallest operation.

"The shaft is still closed and will be closed until further notice, as it is still under investigation," said a company official who declined to be named.

Platinum, mainly used to clean vehicle exhaust fumes and to make jewellery, fell from early highs, but retained sentiment remained bullish due to concern over supplies.

The metal's price inched up to $1 445/1 449 an ounce at 12:21, from $1 438/1 442 late in New York.

The closure of three shafts at Anglo Platinum (Angloplat), the world's biggest platinum producer, sent platinum to a record $1 454 an ounce last Friday.

The three shafts at Angloplat's Rustenburg mine, the company's largest operation, contribute some 40% of the mine's output.

Angloplat estimated a loss of 1 300 ounces a day after the three shafts were shut. One shaft was closed on Wednesday after a worker was killed in a rockfall, and the other two were shut on Thursday.

"I can confirm normal production has resumed at the three mining areas (shafts)," said Trevor Raymond, Angloplat's investor relations head.

Northam Platinum estimated production losses of some 6 500 platinum group metal ounces since its mine was shut last on Tuesday after a miner was killed in a rockfall.

Northam's operations had resumed, and it was gradually ramping-up to optimal output, spokesperson Marion Brower said.

All the closures at the three firms were ordered by the Department of Minerals and Energy (DME), which has taken a tough stance by closing mines when accidents occur, unlike in the past, owing to a recent spate of deaths in mines.

So far more than 150 workers have been killed, compared to 200 last year.

South Africa's biggest mining union, the National Union of Mineworkers (NUM), has formally applied to hold a one-day strike to protest what it termed a "genocide" unfolding in mines.

This would be its first strike on the issue of safety at mines, and the NUM said it may be staged in November.

- Reuters

 
 
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