The National Union of Mineworkers (NUM) has made encouraging noises about the prospects of an agreement with the world's biggest platinum miner amid an ongoing wage dispute.

Originally the NUM had been seeking a pay increase of 15 per cent, but it has now dropped its demands to eight per cent.

The union, South Africa's biggest, says it believes the dispute can be brought to a close if progress continues.

NUM deputy general secretary Archie Palane told Reuters that a "settlement is within our reach".

"We're not that far apart but not yet that close . . . we're hoping to continue to apply our minds to lead us there," he added.

Late night negotiations apparently brought about an agreement of sorts, with details on benefits and conditions of employment being settled.

Now wages and a housing allowance will be the key focus of further talks as the package of benefits and conditions of employment are discussed.