Lonmin announced yesterday (30th March) that it has shut down its Number One furnace again.

In a move which will see pgm production impacted, the world's third-largest platinum producer decided to close the troublesome smelter after an incident.

Although no one was hurt, the company has confirmed that it expects the facility to be closed for between 30 and 40 days as it completes the necessary repairs.

"In order to mitigate the impact on production two Pyromet furnaces have already been started up, with a third one starting in early April," read one section of a statement.

Lonmin has endured a number of safety difficulties in recent years and has often been forced to call upon the Pyromet furnaces, which have about 40 per cent of main furnace's capacity.

The latest problem at Number One comes despite the company rebuilding it last year.

However, Lonmin also revealed that the situation will not impact on the first half of its financial year, although its 2010 full-year platinum sales guidance of 700,000 oz is likely to be impacted.

Earlier this month, Lonmin Chief Executive Ian Farmer told Dow Jones Newswires that he expects the company's annual sales to increase to 800,000 oz by 2013.

Sources:

UPDATE 1-Lonmin shuts Number 1 furnace after incident (30/03/10)

Incident again shuts process-dogged Lonmin platinum furnace (30/03/10)

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