PGM production stood at 42.1 koz
Chrome production stood at 389.7 kt
Platinum group metals (PGMs) and chrome miner, Tharisa says it maintained a strong production output in the third quarter ended 30 June 2022 driven by the volume extracted from the Group’s open pit.
The Company’s PGM production for the quarter stood at 42.1 koz, at a normalised rougher feed grade of 1.65 g/t with steady recoveries at 75, while chrome production stood at 389.7 kt up from the previous quarter at 374.9 kt.
“The team at Tharisa has completed a commendable quarter, maintaining strong production output which, supported by the favourable commodity markets, ensures a healthy balance sheet that will allow us to continue implementing our strategy,” Chief Executive Officer, Phoevos Pouroulis said.
Pouroulis added, “This quarter, our PGM and chrome output was strong once again, driven by the volume extracted from the Tharisa Mine open pit. Production from the Vulcan Plant is steadily increasing to nameplate capacity, proving that Tharisa’s proprietary technology is working well.”
Pouroulis highlighted that with the Company’s investment in almost 10 MW of standby power generation it has had negligible disruption to its operations due to the challenges at Eskom and the subsequent power curtailments.
“Notwithstanding the rail and port infrastructure challenges, the logistics team have successfully exported our chrome products via various channels and modalities,” he said.
The Company’s full-year production guidance remains maintained at between 165 koz and 175 koz PGMs (6E basis) while guidance for chrome production is reduced by 10% to between 1.55 mt and 1.65 mt due to lower chrome feed grade and slower Vulcan Plant ramp-up.
Meanwhile, Tharisa had a cash balance of US$112.6 million at the end of the quarter, and a debt of US$64.6 million after the interim full-year 2022 dividend payment of US$8.8 million. The increased cash has resulted in a positive net cash position of US$48 million.
beyond South Africa, Tharisa’s growth strategy remains on track with the detailed engineering design work, upfront infrastructure, and placement of long lead capital items for the Karo Platinum project continuing to progress in parallel with the finalisation of the financing options.
Concerning the Karo Platinum in Zimbabwe, key management positions are being filled, orders for long-lead items are being placed, environmental social impact assessment (ESIA) ESIA for concentrator and infrastructure has been submitted to the authorities and given the inflationary pressures, and the implementation team is reviewing the CAPEX budgets.
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