Ashly DhaniBusiness Writer
Platinum miner, Zimplats, says mining volumes for the year to June 30, 2024 rose 2 percent year-on-year, benefitting from pillar reclamation activities at Rukodzi Mine and the continued production ramp-up at Mupani Mine.
In its production and financial report for the year under review, mining volumes declined 1 percent
from the prior quarter due to higher productivity and Ngwarati Mine primary operations ramping down.
“Six elements (6E) head grade declined by 1 percent year-on-year and quarter-on-quarter due to an increased contribution of lower-grade Mupani Mine development ore and dilution from mining across geological structures,” reads the report.
The group’s year-on-year milled volumes improved by 3 percent due to the higher milling rates achieved, in line with improved mining volumes. Milled volumes decreased by 1 percent from the prior quarter due to a planned mill reline shutdown at the Selous Metallurgical Complex (SMC) concentrator.
Concentrator recoveries were 1 percent lower year- on-year and quarter-on-quarter due to lower mill feed grades achieved.
“As a result of the milled volumes and mill feed grade achieved, 6E in concentrate production was the same year-on-year and decreased 3 percent quarter-on-quarter.
“6E metal in the final product decreased by 4 percent year-on-year and 5 percent from the prior quarter,” said Zimplats.
In terms of capital projects, Zimplats spent 87 percent of the US$468 million set aside for Bimha and Mupani mine development and upgrades projects.
The two projects, which will replace production from Rukodzi and Ngwarati mines that were depleted in the financial year 2022 and June 2024 respectively, are part of the company’s huge investment of US$1,8 billion aimed at expanding mining and output.
Operations at Mupfuti Mine will be discontinued in the financial year 2028 when the resource is expected to have been depleted.
In its quarterly report, Zimplats said exploration activities remained curtailed during the quarter under review in response to depressed metal prices.
It said focus is now on the interpretation of previously drilled core and updating the group’s geological and mineral resource models.
The platinum producer, which has also embarked on a US$544 million smelter expansion programme and sulphur dioxide (SO2) abatement plant project, has at the end of the quarter under review spent a total of US$387 million.
Zimplats, which is constructing a 35MW solar plant to augment power supply from the national grid has so far spent US$36 million against the project’s total cost of US$37 million.
The solar plant will be commissioned in the first quarter next year.
The platinum giant is also refurbishing its Base Metal Refinery to the tune of US$190 million and so farvUS$28 million has been spent on the project.
Bongani Ndlovu