eBusiness Weekly
Tawanda Musarurwa
Zimbabwe Platinum Holdings (Zimplats) — the country’s largest platinum producer — boosted production in the quarter to September 30, 2020 despite headwinds posed by the Covid-19 pandemic.
The group, which operated as an essential service during earlier lockdowns, said it recorded three confirmed cases, which have since recovered.
On a production basis, Zimplats said ore mined increased by 2 percent from the previous quarter and was 4 percent higher than in the prior comparable period “because of improved fleet productivity and additional tonnage from Mupani Mine, which is still under development.”
The development of Mupani Mine remains on track, with Mupani to come in as a replacement for the group’s Ngwarati and Rukodzi mines.
Zimplats said over the quarter under review, a total of US$1,2 million was spent on exploration projects, while an additional US$0,1 million was committed.
For the quarter to September 30, 2020, Zimplats’ six elements — platinum, palladium, rhodium, ruthenium, iridium and gold — (6E) production slipped 12 percent.
“While milled volumes, grade and recoveries were stable, 6E metal production in final product decreased by 12 percent from the previous quarter, during which reported volumes included metal recovered from the treatment of reverts stockpiled during the furnace rebuild,” explained management.
Meanwhile, the increased volumes had an impact on operating costs over the period.
The platinum producer’s total operating cash costs increased by 3 percent from the previous quarter, “as a result of higher volumes mined and an increase in minerals marketing commission in line with increased revenue,” said Zimplats.
“A total of US$5,6 million was transferred from operating costs to closing stocks during the quarter, compared to US$1,2 million in the previous quarter, due to the increase in run-of-mine ore and concentrate stocks.
“The accumulation of run-of-mine ore stocks will continue in preparation for the commissioning of increased concentrator capacity, which is planned for the second half of FY2022.”
Operating cash costs per 6E ounce increased by 12 percent from the previous quarter due to a combination of lower matte volumes and higher operating costs.
Zimplats is majority-owned by South African platinum giant, Impala Platinum (Implats).
