South Africa gold miners expect strike to begin Tuesday

|By:, SA News Editor

South Africa’s four biggest gold producers - AngloGold (AU), Gold Fields (GFI), Harmony Gold (HMY) and Sibanye Gold (SBGL) - are hoarding cash and lining up access to more as they prepare for the first industry-wide strike since 2011, as the National Union of Mineworkers says its members will lay down their tools on Sept. 3.

The companies seem unwilling to meet the labor union’s terms; “The gold mines are taking action to put their operations into positive cash flow at this gold price," a Johannesburg-based analyst at SBG Securities says. "Hunkering down on wages is part of that strategic plan. They can’t afford it."