World's top platinum producer suffers heavy loss due to strike in South Africa

Anglo American Platinum (Amplats), the world's top producer of the metal, said on Monday that it was losing 100 million rands (about 9.3 million U.S. dollars) a day due to a prolonged strike. "The company is losing 4000oz amounting to R100m in revenue daily," said Amplats spokesperson Mpumi Sithole in an e-mail. The strike which entered its fourth week on Monday with no sign of an end has brought the world's platinum production to a near standstill. Two other platinum producers -- Lonmin Platinum and Impala Platinum -- are also being hit by the strike, organized by the Association of Mineworkers and Construction Union (AMCU). Also on Monday, the Commission for Conciliation, Mediation, and Arbitration (CCMA) resumed talks with AMCU to end the strike after the failure of several rounds of negotiations. The CCMA has been mediating talks between the union and the platinum companies since Jan. 24. "The meeting is currently still underway and there is no update, " the commission said shortly after 15:00. AMCU demands basic salaries of 12,500 rands (about 1,157 U.S. dollars) every month, but the companies reject the demand, calling it "unaffordable" and "unrealistic." On Saturday, Amplats launched a lawsuit against AMCU for damages and losses suffered over the work stoppage. Amplats was seeking 591 million rands (about 55 million dollars) but this could rise if damages continued. "The provisional quantum of the damages claim is about R591m, although as AMCU's wrongful conduct is continuing the damages will continue to accrue," Sithole said. Sithole said the decision to sue AMCU was in response to violence and the intimidation of non-striking workers. "We would like to see an end to intimidation and vandalism. We want production to resume," she said. AMCU President Joseph Mathunjwa said the union's leaders "have not seen the court papers as yet."