• Recorded a 5% decline in 6E in concentrate production to 123 koz with flat milling volumes at 1.469 mn tonnes and a slight 0.6% grade softening to 3.59 g/t due to intermittent power interruptions and increased oxidised ore volumes
• However, performance was supported by a strong global PGM price rally driving Implats’ Group sales revenue to R33,250 per 6E ounce, while Group-wide cost management helped contain unit cost pressure
• Future growth remains constrained by the deferred North Hill replacement project contrasting with Zimplats’ more advanced expansion pipeline though Mimosa advances renewable energy  and tailings infrastructure

Harare- Mimosa, the 50:50 joint venture between Impala Platinum (Implats) and Sibanye-Stillwater has  recorded a 5% decline in 6E in concentrate production to 123,000 ounces in the six months ended 31 December 2025, down from 129,000 ounces in the prior comparative period.

This softer performance contributed to the overall 3% decrease across Implats’ joint venture operations. As a shallow, mechanised underground PGM and base metal mining operation, Mimosa comprises four mineralised areas: North Hill, South Hill, Far South Hill, and the Mtshingwe Block.

Milling volumes remained virtually flat at 1,469,000 tonnes compared with 1,467,000 tonnes a year earlier, demonstrating stable throughput capacity despite regional challenges. The 6E head grade eased slightly by approximately 0.6% to 3.59 grams per tonne from 3.61 grams per tonne.

Processing stability was impacted by intermittent power interruptions, a recurring issue in Zimbabwe and higher volumes of oxidised ore as mining advances toward the extremities of the orebody, both of which pressured recoveries and yields during the period.

Mimosa's estimated Mineral Resources stand at 14.2 million 6E ounces, with Mineral Reserves of 2.6 million 6E ounces, supporting a life-of-mine of around 8 years at current rates. 

Despite the production dip, Mimosa’s outlook is supported by the strengthening global PGM price environment. Platinum and palladium prices extended their rally into early 2026, fueled by supply deficits, recovering industrial demand and market optimism.

Forecasts for 2026 indicate platinum averaging between US$1,550 and US$2,450 per ounce, while palladium has climbed above US$1,900 per ounce by late January. These higher basket prices have driven Implats’ Group sales revenue to circa R33,250 per 6E ounce sold, a material improvement over the prior period’s R23,831. 

At the Group level, Implats has pursued aggressive cost management, including labor restructuring, a reduction in consolidated capital expenditure to R7 billion with a focus on efficiency and safety-critical projects, and operational optimisations to ease input inflation and prioritize low-cost operations.

These strategies have helped mitigate the 11% rise in Group unit costs to circa R23,200 per 6E ounce on a stock-adjusted basis, with Mimosa benefiting from shared JV-level cost discipline, where unit costs are guided at US$1,090 to US$1,125 per 6E ounce for FY2026. 

Looking ahead, Mimosa’s project pipeline centres on the shovel-ready North Hill replacement project, designed to extend the mine's life by accessing new mineralised areas and replacing depleting resources at South Hill. Initially estimated at US$134 million (with earlier figures around US$90 million to US$200 million in scope), the project was placed on hold in mid-2024 due to a challenging operational environment, including declining global PGM prices at  the time and impacts from Zimbabwe's beneficiation tax policies, which have delayed investment decisions.

As of late 2025, the project remains deferred, with no firm restart timeline amid ongoing market volatility and regulatory considerations, though it could potentially create additional jobs and boost annual production capacity if advanced.

In comparison, Implats' fully owned Zimplats operation in Zimbabwe is progressing more aggressively with its replacement and expansion initiatives. For instance, Zimplats' Mupani Mine upgrade, a US$386 million project (with US$345 million spent as of June 2025) is on schedule to achieve full production of 3.6 million tonnes per annum and 309,000 6E ounces by H1 FY2029, replacing depleted mines like Rukodzi and Ngwarati.

This contrasts with Mimosa's stalled North Hill, highlighting Zimplats' larger scale (US$1.8 billion multi-year expansion program through 2031) and faster execution, supported by completed projects like the 38MW smelter and 35MW solar plant, with Phase 2A 45MW solar underway.

Mimosa's delayed North Hill could limit its growth potential relative to Zimplats, which benefits from integrated downstream enhancements like the US$190 million Base Metal Refinery refurbishment (US$35 million spent to date, completion early 2027) and SO2 abatement plants.

However, Mimosa is advancing other sustainability efforts, including renewable energy through Sibanye-Stillwater’s 600MW solar and wind portfolio, targeting 30% of power needs by 2027, with 407MW from four projects operational by end-2026 to mitigate power interruptions. Recent tailings dam construction also supports operational continuity, aligning with FY2026 production guidance of 240,000 to 260,000 6E ounces and capital expenditure of US$45 million to US$55 million. 

Mimosa’s near-flat milling volumes and stable throughput highlight underlying resilience despite typical Zimbabwean operational headwinds, such as power reliability and ore quality issues. The operation continues to benefit from Implats’ strong safety performance with the Group reporting an improved lost-time injury frequency rate of 3.08 and no fatalities at mining or processing sites in the period, favorable PGM pricing and disciplined cost management, positioning it to contribute to the Group’s FY2026 guidance targets for refined production, unit costs and capital expenditure.

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