NORTHAM PLATINUM LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1977/003282/06)
Share code: NHM
ISIN code: ZAE000030912
(`Northam` or `the company`)
PRODUCTION UPDATE AND REMINDER OF CAUTIONARY ANOUNCEMENT
The management of Northam advises that the order in terms of Section 54 of the
Mine Health and Safety Act, imposed by the Department of Minerals and Energy
(DME) on 21 September 2004, has been set aside.
Operations at the company`s mine were suspended on Monday 20 September 2004
after an underground fire resulted in nine employees losing their lives. The
order was set aside subsequent to a presentation made by management to the DME
and National Union of Mineworkers dealing with risk assessments, which had been
done after the accident and an action plan to be followed before production
resumes.
Underground activities have been resumed at the mine and will initially focus on
fixing physical conditions which have deteriorated while the mine has been idle,
rectifying any substandard areas identified through a risk assessment process,
as well as cleaning and maintenance. Production will only be resumed in a
working area once that area is made safe, as far as is reasonably practicable.
Total revenue losses at prevailing metal prices and exchange rates since the
cessation of mining operations are estimated at R147 million. Material damage
in the area affected by the fire is estimated at R8.5 million.
When production resumes, the only stoping areas that will be affected are those
on the Merensky Reef below 12 level, which account for approximately 10% of
total current monthly mill tonnage. Working crews from these areas will be
deployed in other working areas.
Shareholders will be advised once normal production has resumed and, in the
meantime are advised to continue exercising caution when dealing in the
company`s shares.
Johannesburg
13 October 2004
Sponsor:
Barnard Jacobs Mellet Corporate Finance
(Pty) Limited
Date: 13/10/2004 04:30:09 PM
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