Finweek English Edition - - KILLER TRADE -

One could just catch plat­inum shares at the bot­tom in their a t t e mpt to re­deem them­selves, as the plat­inum spot stages a come­back after a sharp de­cline from $1 520/oz to $1 170/oz in just six months. Though Amplats is out­per­form­ing Lon­min, I can­not wait for a break­out on this par­tic­u­lar chart, sim­ply be­cause Lon­min is dead cheap at th­ese lev­els and, more im­por­tantly, the dust has now set­tled from the Marikana i nci­dent, po­ten­tially prompt­ing a sus­tain­able re­ver­sal.

An­glo Amer­i­can Plat­inum, Impala Plat­inum and Lon­min dom­i­nate the in­dus­try both in terms of pro­duc­tion lev­els and re­serves − they are f ully in­te­grated min­ers, mean­ing they have the ca­pa­bil­i­ties to mine the ore, process it and sell it within their business struc­tures.

But, on 23 Jan­uary 2014, min­ing op­er­a­tions in the plat­inum sec­tor were brought to their knees again when Amcu mem­bers downed tools, de­mand­ing a ba­sic monthly salary of R12 500 from the three min­ers. The strike fi­nally ended on June 2014, when the union signed a wage set­tle­ment. This was after the com­pa­nies

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