Announcements 2010

Zondereinde – strike update

Johannesburg, 6 October 2010. The management of Northam Platinum Limited (Northam) has been informed that members of the National Union of Mineworkers (NUM) employed at the Zondereinde platinum mine in Limpopo Province have rejected the company’s revised wage offer, which includes an average increase of between 9.0 and 9.5% on wages and an increase in the living out allowance from R1600 to R1750 per month.

Northam CEO Glyn Lewis said today, “This is a disappointing result, particularly after the constructive meeting between Northam management and representatives of the NUM on Monday 4 October 2010. Nevertheless, we remain committed to further talks in an effort to expedite a resolution to the current situation.”

The strike, which started on 6 September 2010 when the parties failed to reach agreement on wages and basic conditions of employment for the 2011 financial year, has to date resulted in lost revenues of an estimated R250 million. Employees in the affected categories have lost approximately R60 million in wages and benefits.

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