S Africa Zuma: Quick Reaction to Mining Situation Should Comfort Investors

By Laurence Norman

BRUSSELS--Investors should take comfort in South Africa's swift response to the strikes and violence at the country's mines, South African President Jacob Zuma said Tuesday.

"I believe that the manner in which we have swiftly attended to the situation--and we are now in full control--that must give comfort to investors," he said in a press conference after a meeting with the European Union's top officials.

Mr. Zuma's comments come as some of the country's biggest platinum and gold producers are battling to end strikes that have spread across the sector, cut platinum and gold production and led to closures at some mines.

The unrest started on Aug. 10 when 3,000 rock drillers at Lonmin PLC's (LMI.LN) Marikana mine went on strike. Violent clashes between workers and police have left 45 people dead.

Mr. Zuma also said he hoped for a "multilateral solution" to the dispute over the EU's plans to include aviation in its carbon emissions scheme. Under the plan, foreign airlines will have to buy emission allowances to offset their carbon footprint.

The South African president said he was "mindful of the unintended consequences" of the plans on the EU's relations with other countries.

Meanwhile, European Commission president Jose Manuel Barroso said he was confident the EU will conclude a trade partnership accord with the southern African region, including South Africa, but declined to say when this may happen.

EU officials say the South African government's concerns are the main block to concluding the deal.

--Devon Maylie in Johannesburg contributed to this article.

Write to Laurence Norman at [e-mail]