Lonmin shares go up by 3,5%

LONMIN shares rose 3,5% yesterday on prospects for an end of the three-week strike .

Minister of Labour Mildred Oliphant, part of a government committee trying to broker an end to disputes at Marikana mine in Rustenburg, North West, said management and workers had agreed in principle to sign a two-year wage agreement.

Oliphant said a deal depended on miners returning to work.

But unions involved in the talks said a return to work was not certain, with 3000 rock drill operators and other striking miners holding out for a hefty rise in base pay.

"I don't share the same optimism. The workers have made it clear that they will not go back to work until their wage demands are met," said Gideon du Plessis of Solidarity.

The Lonmin strike stems from a turf war that has flared across the platinum sector this year between the dominant National Union of Mineworkers (NUM) and the small, but militant Association of Mineworkers and Construction Union (Amcu).

The Marikana strikers, a crucial part of Lonmin's 28000-strong workforce, are demanding R12500 a month in basic wages, more than double what they receive now.