Anglo American shares plunge as workers down tools

<p>Anglo American shares are down as workers protest against mine closures.</p>

Shares in Anglo American have plunged on the London Stock Exchange this morning (January 16th) as the company's Rustenburg facility workers down tools in protest against the firm's plans to close mines in South Africa.

Labour leader and activist Evans Ramokga told the media that the workers did not "go underground" for their overnight shift at the platinum extraction site in question, which is 120km away from Johannesburg.

The company is the world's largest platinum producer and workers are expected to meet later to plan wider strike action after Amplats, which is a unit of Anglo American, unveiled plans to mothball two South African mines, sell another and make 14,000 job cuts.

On Monday, the business stated it is likely to fall to a full-year loss as a result of last year's wildcat strike action, which affected the country's entire mining industry.

At 11:40 GMT, Anglo American shares fell by three per cent to 1900.50p per unit.

Learn all about CFD trading strategies and major individual shares at City Index.

Build your confidence risk free
Join our live webinars for the latest analysis and trading ideas. Register now

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.