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South Africa Lonmin strikers accept pay rise offer
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Platinum falls 2.8 percent as striking miners accept pay deal
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1 of 2. Striking miners dance and cheer after they were informed of a 22 percent wage increase offer outside Lonmin's Marikana mine, 100 km (60 miles) northwest of Johannesburg, September 18, 2012.
Credit: Reuters/Siphiwe Sibeko
By Mish Molakeng
MARIKANA, South Africa |
Tue Sep 18, 2012 12:39pm EDT
MARIKANA, South Africa (Reuters) - Striking miners at Lonmin's Marikana mine in South Africa said on Tuesday they accepted a management pay rise offer and would return to work on Thursday after six weeks of mining sector unrest that shook Africa's largest economy.
The gathered strikers cheered near the mine, 100 km (60 miles) northwest of Johannesburg, when they were informed of the 22 percent wage increase offer, a Reuters witness said.
In another sign that weeks of labor unrest in South Africa's platinum belt could be ending, world No. 1 platinum producer Anglo American Platinum said it had resumed its operations in the strike-hit Rustenburg area.
On the news of the Marikana agreement, the spot platinum price fell 2 percent to a session low at $1,627.49/oz and the rand firmed against the dollar.
The wildcat mining strikes had hit the rand currency, raised insurance against default on South African debt and spooked some foreign investors into selling shares in mining companies.
The six-week conflict in the mining sector, which claimed 45 lives, had also ignited criticism against President Jacob Zuma and his ruling African National Congress. They face accusations from political rivals that they have neglected poor workers and sided with wealthy business owners.
"Anglo American Platinum Limited (Amplats) confirms that all of its Rustenburg operations have resumed, effective from today's morning shift," the company said in a statement.
(Additional reporting by Agnieszka Flak, Sherilee Lakmidas, Ed Cropley and Ed Stoddard; Writing by Pascal Fletcher; Editing by Ed Cropley)
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