9th Feb 2016 17:35
LONDON (Alliance News) - Miner Lonmin PLC will not "shy away" from a merger or takeover but for now the company is focused on its plan to survive tough market conditions, Reuters reported Tuesday.
In an interview with Reuters, Lonmin Chief Executive Ben Magara said the company was for now focused turning cash positive in a low price environment - which involves closing high-cost shaft and cutting jobs.
"We are continuously looking at options to maximise value for our shareholders and all other stakeholders. Should it be of benefit to our shareholders and stakeholders it's not something we would shy away from," the chief executive told Reuters at a mining conference in Cape Town, South Africa.
"I have no doubt that there will be pressure on us when we finally start making money. Will we go and put it in a project first or will we pay investors?" Magara said. "I think it's important that investors will get their money back first. They deserve it."
Lonmin has said it will continue to review its services and reduce costs, mainly through cutting jobs, as the slide in the price of its main commodity bites further.
http://uk.reuters.com/article/africa-mining-lonmin-idUKL8N15O2QB
By Joshua Warner; [email protected]; @JoshAlliance
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