Operational challenges, smelter maintenance hamper Implats’ output
JSE-listed Impala Platinum’s (Implats’) ruthenium, rhodium, palladium, osmium, iridium and platinum (6E) production from managed operations at Impala Rustenburg, Impala Bafokeng, Zimplats, Marula and Impala Canada decreased by 5% year-on-year to 2.05-million ounces for the nine months ended March 31.
Moreover, managed volumes declined by 5% to 2.01-million ounces, JV production decreased by 2% to 403 000 oz and third-party receipts by 3% to 144 000 oz.
Gross 6E refined and saleable production and 6E sales volumes increased by 1% to 2.50-million ounces and 2.55-million ounces, respectively.
CEO Nico Muller says the period’s production results reflect the impact of several challenges at the company’s mining operations, while processing capacity was impeded by required maintenance at its South African smelters.
“Given the constrained operating conditions encountered in the quarter, I am heartened to reiterate previously provided group volume and unit cost guidance for full-year 2025,” he comments.
“Demand for platinum group metals (PGMs) from our customer base has remained robust, with contractual deliveries augmented by additional spot requests, despite elevated global macroeconomic and geopolitical uncertainty.
“Physical tightness and sustained pricing support for the minor PGMs was a notable feature in the quarter,” Muller points out.
He says that, while PGM pricing appreciated from recent cyclical lows, margins remain compressed.
“The group remains focused on delivering consistent and safe production, with our production plans and associated capital allocation aligned to our guiding principle of ensuring free cash flow generation through the cycle supported by a defensive and competitive portfolio,” Muller avers.
Lost-time and total-injury frequency rates for the period improved by 20% and 13% respectively from the prior comparable period.
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