https://newsletter.en.creamermedia.com
Africa|Environment|Financial|Mining|Platinum|PROJECT|Stainless Steel|Steel|supply-chain
Africa|Environment|Financial|Mining|Platinum|PROJECT|Stainless Steel|Steel|supply-chain
africa|environment|financial|mining|platinum|project|stainless-steel|steel|supply chain

Strongly producing Tharisa achieves seven fatality-free years

Metallurgical chrome stacker with material ready for despatch.

Metallurgical chrome stacker with material ready for despatch.

11th October 2022

By: Martin Creamer

Creamer Media Editor

     

Font size: - +

JOHANNESBURG (miningweekly.com) – Platinum group metals (PGMs) and chrome co-producer Tharisa, which on Tuesday reported considerably higher production in the 12 months to September 30, has achieved seven fatality-free years.

“We continue to strive to be a zero-harm company,” said Tharisa CEO Phoevos Pouroulis.

Production increased across the board at the flagship Tharisa mine, with improved recoveries at the Vulcan plant.

The Johannesburg- and London-listed Tharisa, in its financial year (FY) 2022,  produced 13.6% more PGMs totalling 179 200 oz and 5.1% more chrome totalling 1 582 700 t.

The company’s PGMs basket price in the 12 months was 16.6% down at $2 564/oz but the annual metallurgical grade chrome price 35.7% up at $209/t.

A cash balance of $143.4-million and positive net cash position of $78.6-million is reported ahead of ground breaking at the Karo Platinum growth project in Zimbabwe in December, with inaugural production expected within the next 24 months.

In FY2023, six-element PGMs production is forecast at between 175 000 oz and 185 000 oz and chrome concentrates production at 1.75-million tons to 1.85-million tons.

Pouroulis described FY2022 as being a rewarding year operationally that would translate to a strong set of financial results.

“This operational performance is built on key decisions we made some years ago with the goal of accelerating our growth strategy,” Pouroulis stated in a release to Mining Weekly.

Although PGM prices were trading in the lower half of their 12-month range, Tharisa described them as not retreating as much as anticipated.

The company saw demand-supply fundamentals, particularly for palladium and rhodium, remaining in deficit, and platinum being in deficit within the next 18 months.

It noted that primary supply from South Africa was slowing, owing to a lack of development, rising costs and electricity curtailments, which was affecting deep level mines in particular.

“At the same time, the increasing importance of PGMs for the future of the hydrogen economy underpins our conviction that the fundamentals for these precious metals remain strong,” the company added.

“Chrome prices were volatile during the quarter where they retreated in line with expectation, mostly due to stainless steel and ferrochrome production curtailments in China. Consequently, port inventory rose slightly, albeit off a very low base. Inflationary cost pressures, supply chain constraints and the Covid policy in China remained key macro issues to the market. Towards the end of the quarter, increased demand stimulated a higher price environment as production of steel and alloy normalised.

“Policy announcements from the Party Congress on 16 October 2022 in China relating to the relaxation of Covid policies, and more stimulus packages being announced, would bode well for demand of Tharisa’s chrome concentrates.

“We believe that supply disruptions will mitigate a price retreat, in the face of pricing risks and slowing economies heading towards a recessionary environment,” the company added.

Edited by Creamer Media Reporter

Comments

Showroom

Yale Lifting Solutions
Yale Lifting Solutions

Yale Lifting Solutions is a leading supplier of lifting and material handling equipment in Southern Africa. Yale offers a wide range of quality...

VISIT SHOWROOM 
Rittal
Rittal

Rittal is a world leading provider of top-quality integrated systems for enclosures, power distribution, climate control, IT infrastructure and...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Photo of Martin Creamer
On-The-Air (08/11/2024)
8th November 2024 By: Martin Creamer

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.069 0.164s - 171pq - 2rq
Subscribe Now