Aquarius shrugs off Implats' problems 5th October 2004

Aquarius Platinum has reassured investors and industry analysts that the current problems at Impala Platinum will have no effect on its prospects.

The firm moved to quell speculation that an ongoing strike at Implats, the world's second largest platinum producer, might have an impact on its operations despite an offtake agreement between the two companies.

At present Implats buys up the concentrate output from Aquarius' mines at Kroondal and Marikana, which last year netted Aquarius around R1 billion.

Nevertheless, Implats' financial director David Brown told Business Report that the company planned to continue to buy up concentrate from the company as normal, but acknowledged that this strategy would need to be reviewed unless the strike "is curtailed to days and not weeks".

Were the strike - which has so far spread to around two thirds of Implats' 27,000 workers - to continue, Mr Brown admitted that the company would have to "come to some arrangement".

Aquarius chief executive Stuart Murray expressed his confidence in the situation being resolved and stressed that Aquarius was under no pressure as a result of what he called "healthy industrial relations".

Some industry analysts are concerned at the prospects for the strike being resolved, with both the National Union of Mineworkers and Implats appearing reluctant to comprise in the wage dispute.


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