South African Platinum Miner, Lomnin, has gone all-out to comply with various pieces of legislation to ensure that it is in good books with the Department of Mineral Resources (DMR) and the Department of Trade and Industry (dti). However, it is its existence as a sustainable business entity that is worrying its shareholders the most.
Lomnin, once the swashbuckling platinum giant that ruled the roost in global platinum mining, is teetering on the verge of collapse, unless it raises close to half a billion dollars to stay afloat, African Mining Brief gets this from a Reuters news report.
Reacting to the companies’ woes, shareholders are exiting their stakes in drove, aggravating the situation.
In a communication to shareholders, Lomnin’s management assures they are striving to have the situation under control. One of the ways the company has adopted is culling its staff. The company is targeting retrenching a total of 5798 workers.
