Lonmin workers have rejected the platinum miner's offer of increased wages as well as a one-off bonus payment of 1,500 rand, it has been reported.

The bonus payment had been offered on the condition they agree to return to work on Wednesday, which would have put an end to six weeks of - sometimes fatally violent - protests.

A letter written by Lonmin directors and distributed to its workers on Tuesday is believed to have offered a 1,500 rand ($182, 140 euro) bonus in addition to an offer for an increased monthly wage of 1,875 rand ($227).

On Monday the strikers agreed to reduce their monthly salary demands of 12,500 rand for the first time, down to 11,000 rand.

Journalists were reportedly being barred from entering the Marikana stadium where a mass gathering of the strikers has been organised to allow the union leaders to report back to the workers and make a decision.

In a statement released on Monday morning, the company says the number of people who have died in clashes since the strikes began at its Marikana facility on August 10th has risen to 45, with the discovery of the body of a 51-year-old worker last week.

The net result of the industrial action is that sales will come in at between 685,000 and 700,000 ounces of platinum by the year end in September. Unit costs will rise 8.5%.

The share price rose 0.15% to 650p by the close.

NR

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