Anglo American Platinum , the world’s top producer of the precious metal, has suspended dividend payments and warned on Monday it could not afford “unrealistic” wage rises, as it continues to battle loss-making mines and climbing costs.

Amplats, as the unit of miner Anglo American is known, almost doubled its headline profit – but that was largely due to a weakening in the South African rand. The group continued to burn cash in the first six months of 2013.

Amplats’ Rustenburg mine northwest of Johannesburg, which has seen violent wage protests, bled 1 billion rand ($102 million) in the six-months to end-June and the company’s chief executive, Chris Griffith, said Amplats could not meet union wage hopes.

“The rand bailed us out, if that had not been the case we would have been in a lot more trouble,” Griffith said on a conference call. “There is not a chance that we can give in to unrealistic wage demands.”

He added the demands could spark further job cuts.

Amplats, battling to return to sustainable profits, plans to lay off up to 6,000 workers and close three shafts to scale back production. But it is also battling with unions asking it to more than double the basic wage for miners.

The company, which is 80 percent held by Anglo American said on Monday that diluted headline earnings totalled 512 cents per share compared with 272 cents a year earlier. The rand currency fell about 17 percent during the period, a boon for Amplats and other South African exporters.

“While the headline earnings look like there is an improvement, it is a low-quality number,” said Justin Froneman, platinum analyst at SBG Securities in Johannesburg.

“What worries us is the estimated 2.6 billion rand ($264.01 million) restructuring costs that are likely to come through in the second half.”

While refined platinum production was flat year-on-year at 1.2 million ounces, the company has negative net-cash flow and its net debt is inching higher.

But Amplats is not alone. In the face of unrelenting cost escalation, platinum producers have been forced to shift priorities and sector-wide asset reviews have seen older shafts shut and growth projects shelved.

“At current spot prices, about 60 to 65 percent of the industry is underwater,” said Froneman.

Shares of Amplats were up 0.6 percent at 300.70 rand, in line with a slightly firmer Top-40, South Africa’s benchmark equity index.

-Reuters

By Obakeng Maje
Kimberley- Couple canoodling at the well-known ‘Lover’s Den’ on the road to Brakley West just after Lerato Park near Kimberley are falling prey to criminals who lie in wait for them.
A Galeshewe man was allegedly shot several times and his partner was allegedly raped twice by an unknown man who surprised them whilst they were romancing.
“It is alleged that at about 02:00am on Sunday morning, the 29 year-old man left a local tavern in Galeshewe with a woman he met at the tavern. They then drove to the ‘Lover’s Den’. While they were busy outside the car, an unknown armed person accosted them. Four shots were fired at the man. He sustained gunshot wounds to his chin, neck, shoulder stomach, eye” colonel Priscilla Naidu said.
Naidu said the suspect then allegedly raped the woman and then forced her into the car and drove off in the direction of Bloemfontein. While on the way, the woman was again allegedly raped.
“The VW Polo Vivo began to stall near Petrusburg, but the suspect managed to drive to a garage in Petrusburg. He gave two hitchhikers (a man and a woman) a lift. It is further alleged that the suspect took money from the hitchhikers to fill up petrol” said Naidu.
As they were driving towards Bloemfontein, the vehicle once again stalled. The passengers got out of the vehicle, leaving the suspect behind. They hitched another ride into Bloemfontein. The woman alerted the two hitchhikers about what had happened and contact was immediately made with SAPS Galeshewe about the injured man at the veld.
“The matter was reported at about 06:00 on Sunday morning at SAPS Bloemfontein. When police arrived at the spot where the vehicle allegedly stalled, the suspect was nowhere to be seen. The vehicle was recovered and two cell phones belonging to the injured man (Blackberry and Samsung) are missing” said Police.
The injured man was taken to Kimberley hospital where he is in a serious, but stable condition. It is reported that he has lost sight to his left eye.
The Family Violence Child Protection and Sexual Offences Unit (FCS) in Galeshewe are investigating a case of Hijacking, Attempted murder and Rape. “Police would like to warn romantic couples to stay clear of this open veld as this is the third incident this year where couples were attacked and robbed” Naidu said.
In the first two incidents, suspects were arrested and the cases are still pending.
The veld is away from the main road and the area is unlit. Criminals are aware of this spot and lie in wait for unsuspecting victims.
D/W/O Godfrey Khatwane of SAPS Galeshewe FCS is appealing to the community to assist in the investigation. The suspect is not yet arrested and anyone who can provide information to the police is asked to contact him on 053 8076161 or on 0832630750. All information furnished to the police will be treated in the strictest confidence.
Follow us on Twitter@Taung_DailyNews or @IceT_

Kaizer Chiefs coach Stuart Baxter is preparing to take a back seat this week ahead of Saturday’s highly-anticipated Carling Black Label Cup against arch-rivals Orlando Pirates at FNB Stadium.

Chiefs are fresh off defending their pre-season Gauteng Cup title at the weekend, having thrashed Bloemfontein Celtic 4-1 in the final in Pretoria.

However, this week’s sold-out cup match has required little influence from Baxter – nor his opposite number Roger de Sa – since the concept requires the fans to pick the starting line-ups and make the call for the first substitution of the match.

“It’s the Soweto Derby, and I guess Pirates and Chiefs don’t do friendly matches now, do they?” Baxter said.

“It’s great for supporters since they have a massive influence in it and I take a back seat.”

The millions of Amakhosi fans who would have cast their votes – with the starting line-ups set to be announced on Thursday – will be glad to know that they are ‘inheriting’ a team in good form.

The Premiership and Nedbank Cup winners from last season demolished Celtic on Sunday, with Willard Katsande, Siphiwe Tshabalala, Knowledge Musona and Kaizer Motaung Junior all finding the back of the net.

Phunya Sele Sele found a second-half consolation goal courtesy of a Thabo Nthethe header, which was the lacklustre Free State outfit’s only meaningful moment of the fixture.

Baxter gave a return start to Musona and Morgan Gould, back from injury, in defence, and while he was pleased with the performance, he saw room for improvement ahead of the Soweto derby clash.

They will play a Pirates outfit which should look sharper than the side that settled for a goalless stalemate against Congolese side AC Leopards in their Caf Champions League last-eight encounter in Orlando on Saturday.

“I’m pleased with the quality of play and happy with the players’ attitude. Hopefully we’ll continue playing decent football,” Baxter said.

“We still have a lot of work to do, and I feel that we can also improve in defence.”

Meanwhile, Celtic coach Clinton Larsen admitted his charges were still a work in progress ahead of the 2013/14 campaign, starting next month.

Larsen said he was trying out some combinations in his squad and was looking to bolster the side, particularly up front after losing Lennox Bacela to Orlando Pirates in the off-season.

“The objective is to keep improving,” Larsen said.

“We are trying to improve as a team from last season and I’m also on the lookout for one striker.”

– Sapa

Johannesburg – Former president Nelson Mandela is showing “sustained improvement”, the presidency said on Monday, his 44th day in hospital.

“Former President Mandela is still in a critical condition in hospital, but shows sustained improvement,” spokesperson Mac Maharaj said.

He said President Jacob Zuma had visited Mandela at the Medi-Clinic Heart Hospital earlier on Monday, and assured him of the “love and support of all South Africans”.

He also conveyed a message from the family of former African National Congress president Chief Albert Luthuli, who led the ANC during the period Mandela was arrested.

“On my behalf and Luthuli family as a whole, I wish you an enjoyable happy birthday. I am encouraged by the reports that have come through recently from the presidency and Mandela family pointing on the direction of some recovery in your physical condition,” wrote Luthuli’s daughter Albertina Luthuli, from Groutville, in KwaZulu-Natal.

“I pray that it be sustainable each day as time takes you forward,” she wrote.

“I shall forever cherish some of those moments when you came to my father’s home on the business of the ANC and we had to make tea and scones and host you.

“That laid the basis to regard you as my father after the death of my own biological father, Chief Albert Luthuli, and one has to admit that you always acted in the manner that consolidated that acknowledgement. May God Be With You.”

Zuma asked that people keep up their prayers for Mandela, who was admitted to hospital on 8 June with a recurring lung infection, and spent his 95th birthday there.

On Monday, it was quiet outside the hospital, except for a handful of people arriving through the day to take pictures of a wall covered with tributes.

– SAPA

Johannesburg – Public Protector Thuli Madonsela has received more information in her probe into the upgrading of President Jacob Zuma’s Nkandla home, her office said on Monday.

“[She] on Friday gained access to outstanding information regarding the investigation. A draft report will be released to the concerned parties for comment as soon as all information is analysed and the investigation completed,” said spokesperson Kgalalelo Masibi.

Masibi declined to reveal the source of the latest information.

“We cannot reveal who forwarded the information as it would undermine and jeopardise the investigation.”

In January this year, Public Works Minister Thulas Nxesi announced that government had spent R206m on security upgrades and consultants at Zuma’s private home in KwaZulu-Natal.

Last month, it was reported that Nxesi told Parliament that State Security Minister Siyabonga Cwele had classified the report, which was drawn up by a presidential task team, in terms of the Minimum Information Security Standards (Miss).

This meant that not even Auditor General Terence Nombembe or Madonsela would be able to see the report.

However, Nxesi’s department issued a statement earlier this month denying the minister said Cwele had classified the report, and repeating that “the minister of public works classified the report in terms of the minimum information security standard [Miss]”.

Two weeks ago, Madonsela confirmed that she received the classified Nkandla report from Nxesi.

Masibi said she did not know how long the investigation would take.

“I cannot put a deadline on that, it is up to the Public Protector. The draft report has not even been done yet.”

– SAPA

Pretoria – Lawyers representing the wounded and arrested Marikana miners at the Farlam Commission of Inquiry sought a three-week postponement of its public hearings on Monday.

Advocate Dali Mpofu, for the miners, said he wanted time to approach the Constitutional Court in his quest to have the State fund the workers’ legal representation.

The North Gauteng High Court in Pretoria turned down his application for funding last week.

“The intention was to appeal directly to appeal to the Constitutional Court,” Mpofu said in Pretoria on Monday.

“Unfortunately, the [high court] judge was not prepared to hand down his written judgment [last week]. He said he still wanted to edit a few parts.”

Judge Joseph Raulinga’s ruling would form part of his appeal.

“We tried to put some subtle pressure, on the basis that we have to attach the judgment [to] the application. The best we got is that he would do it on Tuesday. By tomorrow we will have the judgment,” Mpofu said.

The commission is investigating the deaths of 44 people during labour unrest at Lonmin’s platinum in Marikana, North West, last August.

Postponement application

On Monday, Mpofu asked retired Judge Ian Farlam, who chairs the commission, to postpone the public hearings until 19 August.

“What we are asking the commission is not something that is easy. We would rather have a situation of where the power of what happens is taken back to the hands of the commission [than] to have this drama of people walking out,” he said.

“We ask the commission to hear our plea. We would like to shorten the time within which we will, under pressure, draft the papers to the Constitutional Court and appeal to the Chief Justice to hear this matter expeditiously.”

Advocate Dumisa Ntsebeza, for the families of the miners killed in Marikana, supported Mpofu’s postponement application.

He would be part of the Constitutional Court appeal process.

On 21 June, Mpofu told the commission it could be his last day representing the miners because of financial constraints.

He then brought the urgent high court application asking for President Jacob Zuma and Justice Minister Jeff Radebe to approve payment for the mineworkers’ legal team.

SAPA

Johannesburg – A recent report that R12m was unaccounted for in the Limpopo ANC’s books was wrong, a spokesperson for ANC’s task team has said.

“The provincial task team (PTT) of the African National Congress in Limpopo categorically denies media reports that an amount of R12m is unaccounted for in its books,” Sello Lediga said in a statement on Sunday.

“We have no idea where this figure comes from.”

Last week it was reported that the PTT, which dissolved the party’s provincial leadership and was restructuring its representation there, found only R700 in its account, and that the larger amount was unaccounted for.

Lediga said following its appointment in March this year, the PTT had received numerous claims for payment from suppliers.

These had strained the organisation’s limited resources, causing the PTT to verify its debtors’ book in order to authenticate the correctness of the claims.

Provincial depts under admin

Lediga said it was correct that there was R700 in the account when the team arrived.

“To conduct a proper and credible verification process, the organisation decided to put one official on leave until such time that the verification was concluded. The official has since resigned,” he said.

The process was still underway.

According to a report in The Star, the money came from the legislature and was given to each party represented there. 

The amounts varied according to the size of the party’s representation, and were meant for party political work.

In December 2011, five provincial government departments were placed under administration because of allegations of corruption and violations of the Public Finance Management Act.

Apart from dissolving structures, other changes in the province since the PTT arrived included premier Cassel Mathale resigning after being “recalled”, new premier Stanley Mathabatha being sworn in, and a reshuffle of MECs. 

SAPA

Johannesburg – Former president Nelson Mandela is getting stronger, his grandson Mandla Mandela said on Monday after a weekend visit.

“The visit left me with a warm feeling, because my grandfather is getting stronger and stronger every day,” he said.

The improvement “is particularly heartening, because it flies in the face of those who have been busy spreading lies that Madiba is in a ‘vegetative state’ and just waiting for his [life] support machines to be switched off.

“Madiba has defied these hurtful statements and continues to prove his fighting spirit that has defined him over the many years of his life,” Mandela said in a statement released on his grandfather’s 44th day in hospital.

He visited his grandfather at the Medi-Clinic Heart Hospital, in Pretoria, on Sunday. Nelson Mandela’s daughter Zenani Mandela also visited on Sunday.

The anti-apartheid icon was critically ill with a lung infection when he was admitted to hospital early on 8 June, after his ambulance broke down on the way there. He spent his 95th birthday in hospital last week.

A steady stream of support has been kept up for the anti-apartheid icon and his family, by visitors who leave flowers, cards and candles at the entrance to the hospital, and at his home in Houghton, Johannesburg.

The presidency, which provides updates from time to time, has also said he is steadily improving.

Mandla Mandela said he attended a prayer service arranged by the AbaThembu in Kwa-Zulu Natal at the Ethekwini Community Church on Sunday.

He said he was grateful for the overwhelming messages of support from South Africans and around the world.

“We continue to be grateful to the South African government, the African National Congress… and the doctors in charge of Madiba’s health during this period.”

He and some of Nelson Mandela’s descendants are in a court dispute over the reburial of the remains of some of the anti-apartheid icon’s children and grandchildren. 

SAPA