Lonmin is the third largest primary producer of Platinum in the world, producing over 900,000 ounces of Platinum and a similar number of ounces of the other Platinum group metals such as Palladium and Rhodium. Its operations are located in the district of Marikana, near Rustenberg, in the North West Province of South Africa.

            Red = 25 day moving average.           Green = 200 day moving average.

SALES PER ACTIVITY (Data as of 30/09/2005)

Platinum extraction: 100%

So it was CONsolidated 100:1 - is that it? - along with some juicy rights issues.
Perhaps that explains why it was very, very low and now is respectably high at about 50p.
Today, Monday the sp has risen a little along with most miners ( Polo Resources ( on AIM ), is up 50% but it had almost fallen off the chart at 2p.

Any views on Lonmin as a major producer...presumably that will continue since it is a commodity producer and suffers when the metal prices are low ( nowadays )...?

Maybe best to wait until the New Year and see what fall-out there is, if any into 2016 - at least then their position should have stabalised a little.....EDIT- seems to be moving up with Mining generally - perhaps folks can see that we will need Metals (etc.) so I've bought v few at 68p . . . .

Is the situation that bad for this company?

the production cost is to be sustained around 10800 rand = $635 at conversion rate of say 17rand to $1

As long as platinum doesn't fall below $635 it will be in profit for every oz.

rough guidance 700000oz a year at current price $835 per oz is £140m profit (£200 profit per oz)and this is low end of the platinum price (talk of this being bottomed out)

So all in all..do your sums....especially when plat(if) reaches $1000 per oz.

Very cheap now, bearing in mind plat is one of the rarest metal and hardest to mine long term prospects is very good for pension pot.

JP Morgan Cazenove today reaffirms its overweight investment rating on Lonmin PLC (LON:LMI) and cut its price target to 167p (from 325p).

price of platinum has been climbing nicely,

has I type 888$ a ounce

platinum now at 899$ an ounce

platinum at 908$ an ounce

platinum at 923$ an ounce

up up and away platinum now at 946$ an ounce

They profit if the price is higher than 775... It has never gone below 800, and moved up to over 900.
Share price should pass issue price, 100p.

3.3% is now in the hand 0f the shorters.

Shorters will be betting that "mining" is likely to remain in trouble for some while, due to China flooding the market//not making much.
However, this is wrong for two reasons:-
1) China may have slowed down, but the world continues to need platinum products - and with "Diesel" being out of favour, I suspect more Platinum will be being bought at low prices - moreover I wasn't aware that China was a big consumer of Platinum....not being too concerned about car-emissions, etc. But this could change very quickly, leaving "shorters" with red-faces.
2) Mining is generally sick due to overcapacity...and those mines with higher costs will close, so the Market is contracting, even though the price dives. That is a good opportunity for merchants to buy-forward, thereby fixing their costs into the future - and this means the likes of Lonmin/Rio etc. will have modes levels of work - and will adjust their factory/workforce to suit the lowered Mfr. needs.

It only needs one big Co to notice this is happening and all shorters will be running for their brokers.

platinum now at 954$ an ounce

yesterday I purchased 150 shares in lonmin, @ £1

nice to make profit for a change

Always good to make a profit.......don't forget to actually take it though.....possibly looking a little overbought atm.

Since the consolidation I am the proud owner of ........ 4 shares with a average value of £28/share. Think I should average down..... lol.

Deutsche Bank today reaffirms its sell investment rating on Lonmin PLC (LON:LMI) and raised its price target to 45p (from 42p).

Today good figures should do a good thing for the charting from, since early March is on the way process of culminating a A CUP & HANDLE, at the moment is on the late stages of the Handle before reaching the breakout 195/198p

StockMarketWire.com
Lonmin reports significant progress on its business plan in the six months to the end of March following a successful refinancing.

EBITDA for the period was $36 million against a loss of $6 million a year ago and was largely due to the beneficial impact of cost reductions.

The group says cost savings are well ahead of schedule with R469 million savings achieved in H1 2016 (in FY15 money terms). This represented 67.0% of the full-year target of R700 million.

Reorganisation and s189 process successfully completed with 5,433 people having left the Group by 31 March. A further 1,428 employees were reskilled and redeployed into vacant, more productive roles.

Chief executive Ben Magara said: "These results reflect the positive momentum in Lonmin, we have delivered on our promise to restructure and cut high cost production in this oversupplied market while simultaneously reducing costs and improving cashflows. Quarter on quarter, Lonmin has reduced unit costs to R10,390 per PGM ounce and improved the net cash to $114 million; thus delivering on our promise at the time of the Rights Issue to be cash positive after capital in this subdued PGM pricing environment. There is still a lot of hard work ahead as we squeeze out more costs and drive operational improvements and our key risks remain safety and its related stoppages and relationships. Lonmin has long life, shallow mining assets and unrivalled processing expertise and an invaluable mine to market business.

"Going forward, our investment in relationships and the concept of shared value will be extensively tested in the coming wage negotiations especially with the backdrop of local government elections. I am cautiously optimistic about wage negotiations as we have engaged continuously with our employees and unions on the economic realities that our Company has gone through, including the inevitable 5,433 colleagues that we had to sacrifice and lost their jobs."

The group said the rolling twelve month average Lost Time Injury Frequency Rate to 31 March 2016 was 5.10 incidents per million man hours and shows a steady improvement of 5.7% on September 2015 at 5.41. It adds: "Despite most safety indicators showing improvements, regrettably one of our colleagues, Mr Zilindile Ndumela, was fatally injured on 26 October 2015 at Rowland shaft. Subsequent to the period end two of our colleagues were fatally injured, Mr Goodman Mangisa at Pandora JV E3 Shaft on 6 April and Mr Fanelekile Giyama at Rowland shaft on 7 May."

Shore Capital note:
"LONMIN^ (LMI, NR, CNP) – Full-year sales guidance appears do-able, a little more work needed on costs; ship turning around, but needs favourable price and FX winds to go anywhere fast. Production in Q2 FY2016 was slightly down on both Q1 FY2016 and Q2 FY2015. However, Lonmin was able to reduce unit costs by 5.1% vs. Q1 FY2016 (albeit Q1 was impacted by the December holidays) and 2.6% lower than Q2 FY2015. Refined production and sales were slightly up on Q1 FY2016 and significantly up on Q2 FY2015 (which was impacted by smelter issues).

In relation to the H1 FY2016 P&L, Lonmin remained loss-making at all levels, albeit it is now only slightly loss-making rather than heavily loss-making. Operations recorded significantly reduced cash outflows, and thanks to the recent refinancing, Lonmin ended the period with US$264m of cash (albeit this was still down on the US$320m cash at the start of the period). Current assets totalled US$687m, dwarfing current liabilities of US$158m. Net debt was reduced to US$114m (from US$185m).

For the full-year, Lonmin reiterated sales guidance of c.700koz Pt at R10,400/oz PGMs (H1 FY2016: 361.9koz @ R10,668/oz). Capex guidance was reduced further, to US$105m (from US$132m). The sales guidance appears do-able, assuming no production hiccups, but there is clearly still some work to do on cost (which is essentially a case of running to keep still). All in all, the good ship Lonmin is showing signs of gradually being turned around, but it will be heavily dependent on having favourable PGM price and FX winds in its sails in order to go anywhere fast."