Platinum group metals (PGMs) miner Northam Platinum has reported a solid operational performance from its Zondereinde and Booysendal mines, in Limpopo and Mpumalanga respectively, for the financial year ended June 30, while the Eland mine, in Johannesburg, continues to ramp-up.

Group equivalent refined metal produced from own operations increased to 899 244 oz of platinum, palladium, rhodium and gold (4E) for the financial year under review, compared with 892 876 oz of 4E in the 2024 financial year.

The company reports that key production metrics exceeded guidance.

The company produced equivalent refined metal from own operations at Zondereinde of 330 769 oz of 4E; metal-in-concentrate produced from own operations at Booysendal of 512 147 oz of 4E; and equivalent refined metal purchases from third parties of 127 171 oz of 4E.

Total metal sold by the group exceeded one-million ounces of 4E for the first time.

All other production metrics were within guidance, with the exception of Eland’s production of PGMs.

Group production of chrome concentrate increased by 9% to 1.44-million tonnes on the back of improvements in upper group two (UG2) tonnage throughput, feed grades and concentrator yields.

ZONDEREINDE

Northam notes that stoping is continuing to ramp up within the Western extension.

The company says equipping of 3 Shaft for personnel and material transport, as well as the provision of services, continues to progress.

Both 3 Shaft, as well as the 3a Ventilation Shaft, are scheduled for commissioning during the first quarter of the 2026 calendar year. The company says this is expected to deliver sustainable long-term efficiency benefits.

Pilot drilling of the 3b Rock Hoisting Shaft is also complete.

Chrome concentrate production increased by 12.1% to 497 438 t on the back of improved yields resulting from ongoing metallurgical enhancements, as well as higher UG2 tonnage throughput.

Northam expresses that these improvements are expected to continue.

At the group’s metallurgical facilities, situated at Zondereinde, the company says upgrades to the base metal removal plant are progressing well and the smelter furnaces are operating within expectations.

BOOYSENDAL

Additionally, Northam notes that all current mining modules at Booysendal are operating at steady-state levels, noting that decline development is continuing in order to increase mineable reserves and operational flexibility.

Production of chrome concentrate marginally reduced by 1% to 735 706 t owing to preferential Merensky milling and in line with mining expectations. Chrome concentrate production is expected to normalise during the financial year ending June 30, 2026.

ELAND

Following the occurrence of two fatal accidents at the Eland mine during the first half of the 2025 financial year, significant additional focus has been placed on safe operating practices, particularly relating to onboarding and embedding of new mining crews during this critical period of the mine’s development and ramp-up.

A noticeably improved safety performance was delivered by Eland during the second half of the financial year.

“The safety of our employees remains of utmost importance and takes precedence over any production objectives,” Northam says.

The company notes that production of PGM concentrate from own operations was below guidance at 75 103 oz of 4E, or 72 442 oz of 4E on a stock adjusted basis.

Northam says improved chromite feed grades and ongoing recovery improvements led to a notable 54.1% increase in chrome concentrate produced, at 206 608 t, notwithstanding the impact of lower-than-anticipated PGM production.

“Development of the decline system is ongoing, and a reconfiguration of the mine’s ventilation circuit will enable accelerated decline development rates.”

The company says a new 4.5-m-diameter raise-bored ventilation shaft has significantly improved environmental conditions, particularly in the deeper sections of the mine that are critical to the medium-term ramp-up, and facilitated the planned ventilation reconfiguration.

Updated guidance for Eland will be provided in Northam Holdings’ financial year 2025 financial results, which are expected to be published on or about August 29.

LOOKING FORWARD

In light of prevailing PGM market uncertainty, Northam says it remains internally focused with full emphasis on operational excellence, particularly surrounding safe, sustainable production and efficient mining at the right cost.

Despite recent improvements in metal prices being realised, the company notes that the global economic outlook remains uncertain, with potentially volatile metal markets and exchange rates.

“Northam’s relative positioning on the industry cost curve, and the ability to retain operational flexibility and balance sheet strength, remain our key differentiators. The group remains committed to the strategic goal of growing safe and sustainable production down the industry cost curve.”