Sibanye-Stillwater, the world’s largest platinum miner from South Africa, on Wednesday announced that they are starting consultations at its Marikana operation regarding their restructuring which would see 5,270 jobs at risk.
Sibanye-Stillwater took control of the loss-making Marikana platinum mine as part of its acquisition of Lonmin, a British producer of platinum group metals operating in the Bushveld Complex of South Africa.
The company said in a statement that this was “pursuant to ongoing financial losses experienced at these operations with certain shafts having reached the end of their economic reserve lives”.
“The proposed restructuring is contemplated to ensure the sustainability of the Marikana operation, which is not a going concern as an independent entity,” said Sibanye-Stillwater CEO Neal Froneman.
“The outcome will be a more sustainable business which is able to secure employment for the majority of the Marikana workforce for a much longer period,” he said.
The Department of Mineral Resources and Energy raised concern over the company’s restructuring. In a statement on Wednesday the department called on all stakeholders to engage in good faith and explore all possible options to save jobs. Enditem.