South African miner Lonmin has disclosed it plans to raise $800 million in a rights issue after unexpected and continuous mining strikes caused plummeting output.

In August, South African police shot at striking miners at Lonmin’s Marikana mine, killing 34 in the process. The incident which has now been tried in court sparked protests and further industrial action across the country.

After a series of wage increase by different miners across the country, a bit of calm has returned to some of the companies and Lonmin says the ramp-up in production is going better than expected.

The world’s third-largest platinum miner warned it would miss its production target for the year because of the long crisis which made output slump by over 45 percent in the last three months.

New shares could be issued, the company warned, adding that it had extended its debt facilities to help it avoid a possible covenant breach next year.

“With the standby underwriting and amended debt facilities signed we have taken two decisive steps on our way to delivering that and we are confident about our financial security,” Roger Phillimore, Lonmin Chairman, said in a statement.

However, in many other parts of the South African mining industry, continues a protracted industrial action; the worst the industry has seen in decades.

According to British Sky News, as around 1,000 miners from Anglo American Platinum sustained protest, defying an ultimatum to return to work, police spokesman Dennis Adriao said officers had to resort to “tear gas, stun grenades as well as rubber bullets” to disperse the strikers.