Amplats keeps full-year guidance

 Johannesburg – Anglo American Platinum has maintained its

full-year guidance of 2.35 – 2.40 million ounces.

In a statement issued on Monday, the listed miner, noted total

platinum production (metal in concentrate) was up 1 percent to 571 900 ounces in

the first quarter to the end of March.

The company says this is thanks to strong performances

from Mogalakwena offsetting operational challenges at Amandelbult.

The increase in production is despite the Twickenham

project being placed on care and maintenance in the second half of 2016,

reducing unprofitable platinum production by 1 100 ounces.

With the sale of Rustenburg to Sibanye in November 2016,

production from that operation is now treated as third party purchase of

concentrate, resulting in own mine production decreasing by 26 percent, it

explains.

Mogalakwena production increased by 3 percent to 111 900

ounces with strong plant recoveries and increased throughput.

However, Amandelbult production decreased by 12 percent

to 97 100 ounces primarily due to unusually heavy rainfall resulting in flooded

opencast pits and affected feed chutes to the concentrator plants, as well as

minor industrial action which impacted production for two days, it says.

Unki production was up 2 percent to 18 900 ounces, as

continued efforts in efficient mining height control have reduced mining waste,

leading to increased grade and higher production. 

Read also:  Amplats to sell stakes for R6.4bln

Amplats adds Union increased production by 10 percent to

37 700 ounces due to improved crew efficiencies, and mining ground closer to

the access shafts in line with the optimised mine plan. The sale of Union to

Siyanda Resources was announced on February 15 and is expected to complete

during 2017.

Joint venture production (mined and purchased) was down

marginally to 182 700 ounces.

Sales volumes for the quarter of 518 800 ounces were up

26 percent due to the increase in refined platinum production, however was less

than refined production of 576 900 ounces, due to rebuilding refined inventory,

which had been drawn down in 2016 to supplement sales during the PMR stoppage,

it notes.

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