• 7 hours What will happen with Venezuela's oil sector? Privatization needed?
  • 18 hours What happened to stocks yesterday?
  • 10 hours Here we go! Oil Heads Up To $74 a Barrel, But U.S. Bonds, Crude Supply Cast A Pall
  • 6 hours Yemen's Rebels Step Up Attacks on Aramco Oil Facilities
  • 3 hours Saudi Arabia Looks To Raise $10bn In Privatization Scheme
  • 17 hours China's Yuan Oil Contracts: No Liquidity, but It Will be Built
  • 1 day Wind, solar deliver stunning 98 percent of new U.S. power capacity in January, February
  • 16 hours China Has The Ultimate Population Control Weapon
  • 3 hours Comprehensive List of Factors that affect crude oil price
  • 12 hours Electric Buses are Eating into Oil Demand
  • 14 hours Large-Cap Oil Earnings: What to Watch
  • 1 day API Inventory Data (Tuesdays)
  • 17 hours Trump's top energy adviser resigns
  • 20 hours Trump Warns Iran Against Restarting Nuclear Program
  • 15 hours Most Likely Fossil Fuel Future
  • 18 hours Russia retaliate: Our Response to U.S. Sanctions Will Be Precise And Painful

Breaking News:

Hess Posts Lower-Than-Expected Q1 Loss

Alt Text

This Brand New Nation Is Gearing Up For Mineral Exploration

Bougainville, a 9,300 square kilometer…

Alt Text

World’s Biggest Miner Prepares For The EV Boom

The world’s top mining company…

Alt Text

Tanzania’s Crackdown On Mining Companies Intensifies

In recent months, the government…

Dave Forest

Dave Forest

Dave is Managing Geologist of the Pierce Points Daily E-Letter.

More Info

Trending Discussions

Platinum Crisis Averted As Miners Strike Deal With Unions

Platinum melting

Major development in the global platinum sector this week. With miners in the world’s top-producing nation South Africa apparently having reached a deal with mineworkers to avert major strike action.

Reuters reported last Thursday that South Africa’s top platinum miner Anglo American Platinum (Amplats) has struck a new labor agreement with workers. With the news service obtaining a draft of the contract now being put before unions at the company’s mines.

A new contract with mineworkers has been a major issue looming over South Africa’s platinum sector this year. With major unions like the Association of Mineworkers and Construction Union (Amcu) having tabled demands for wage increases up to 47%.

Mining companies in return insisted they can’t pay increased wages right now. With cash flow from South African mines pinched by lower platinum prices as well as rising capital costs.

That standoff led the Amcu to file a formal dispute against miners in early September. Asking the South African government to step in and mediate the labor negotiations.

At that point it looked like things could get serious — perhaps culminating in an extended labor action like South Africa’s miners saw in 2014.

But this week’s news shows the crisis has apparently been averted for now.

According to the document viewed by Reuters, Amplats is offering miners a modest raise of 7%. Coming over a three-year period — meaning the yearly impact will only be a few percentage points.

Such a figure would be a win for mining firms. Being significantly below the double-digit raises demanded by unions earlier this year.

Importantly, the draft agreement also contains a “peace obligation”, restricting future strike action from unions. With the document specifying that no unionized workers “shall be entitled to embark upon any industrial action whatsoever.”

If completed, this would be a big step toward preventing supply disruptions from South Africa over the next few years. Sources told Reuters that platinum major Impala has tabled a similar offer to its workers — watch to see if the deal is accepted by union leaders.

Here’s to a platinum solution.

By Dave Forest

More Top Reads From Oilprice.com:




Back to homepage

Trending Discussions


Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News