Lonmin has suffered a setback in its attempts to bring the troublesome Number One furnace online, it emerged yesterday (24th May).

The world's third-largest platinum producer revealed at the end of March that it was closing the facility for about 40 days as a result of a molten metal leak.

However, the company has now announced that a further leak has taken place around a slag tap hole, which could add between 25 and 30 days to the re-commissioning process.

"In order to maintain our sales guidance of 700,000 oz of platinum for 2010, we will need to increase the volume of toll refining over and above our current contractual commitments," read a statement from the firm.

Lonmin also confirmed that its three Pyromet furnaces, which possess about 40 per cent of the capacity of Number One, will continue to operate while repairs are ongoing.

The company has been frustrated by a succession of issues at its main smelter, with the March incident representing the fifth closure since it was commissioned in 2004.

Sources:

Lonmin hits new problem with No. 1 furnace (24/05/10)

Lonmin to Boost Toll Refining After Furnace Setback (Update1) (24/05/10)

Lonmin loses ground as smelter problems resurface (24/05/10)

Leak setback sends Lonmin shares down (24/05/10)

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