LONMIN continued its gradual remediation today unveiling Ben Magara as its new CEO, an appointment that has drawn praise owing to Magara's political influence and relationship with unions.
Analysts contacted by Miningmx said Magara was "a solid appointment" with strong technical knowledge, although one said he didn't know Magara suggesting Lonmin has sought operational skills over profile - a factor perhaps mirrored in the share price which was actually 1.7% weaker by mid-afternoon on Tuesday.
However, it's Magara's political influence and working knowledge of unions that is likely to be the biggest drawcard of the appointment. Magara, who takes the helm at Lonmin in July, is currently head of engineering and capital projects at Anglo American Platinum (Amplats); equally important, Magara has been leading the consultations with Government and unions regarding Amplats' proposed restructuring in which 14,000 jobs may be imperiled.
