Implats Q3 results: Mining house on track to deliver despite challenging operating environment

Source: © Implats Implats Despite the challenging operating environment during the period under review, Implats remains on track to deliver within the guided Group parameters for FY2025. Pictured: Impala Rustenburg

Implats third quarter production results reflect the impact of several challenges at its mining operations, while processing capacity was impeded by required maintenance at its South African smelters.

Implats’ Chief Executive Officer, Nico Muller says, “Given the constrained operating conditions encountered in the quarter, I am heartened to reiterate previously provided Group volume and unit cost guidance for FY2025.”

He says demand for PGMs from their customer base has remained robust, with contractual deliveries augmented by additional spot requests, despite elevated global macroeconomic and geopolitical uncertainty.

“Physical tightness and sustained pricing support for the minor PGMs was a notable feature in the quarter.”While PGM pricing appreciated from recent cyclical lows, margins remain compressed.

“The Group remains focused on delivering consistent and safe production, with our production plans and associated capital allocation aligned to our guiding principle of ensuring free cash flow generation through the cycle supported by a defensive and competitive portfolio,” he adds.

Impala Rustenburg

• Quarter ended 31 March 2025

  Tonnes milled declined by 2% to 2.23 million tonnes, while grade and stock-adjusted 6E production improved by 4% to 4.00g/t 6E and 280 000 ounces, respectively.

  Milled throughput was hampered by maintenance at the UG2 concentrator, while heavy rainfall affected ore movement and re-mining volumes.
  Refined 6E production decreased by 14% from the prior comparable period to 226,000 ounces, in line with constrained processing capacity due to the furnace maintenance.

• Nine months ended 31 March 2025
  Milled volumes were stable at 7.63 million tonnes, 6E mill grade of 4.08g/t improved by 3% and, together with higher re-mining volumes and recoveries, resulted in a 2% increase in 6E production to 966,000 ounces. Refined 6E production increased by 6% to 944,000 ounces.

Impala Bafokeng

• Quarter ended 31 March 2025

  Production momentum at Impala Bafokeng was impeded by poor labour availability following the Christmas break and safety stoppages at Styldrift.

  Tonnes milled declined by 4% to 869,000 tonnes, while grade was 3% lower at 4.21g/t. Reported 6E concentrate volumes decreased 14% to 92,000 ounces due to logistical delays in the delivery of volumes to third-party processing facilities at period-end and hence recorded metal production.

• Nine months ended 31 March 2025
  Milled volumes were 5% lower at 3.01 million tonnes and milled grade retraced 1% to 4.31g/t. 6E concentrate production volumes declined by 4% to 346,000 ounces, impacted by elevated closing inventory at period-end, which masked the benefit of yield gains realised through processing improvements in the period.

Marula

• Quarter ended 31 March 2025

  Marula’s operating performance showed signs of stability as leadership and operational changes were embedded.

  Its comparative performance, however, remained weak, and the operation continues to receive significant group management oversight and support.

  Mined volumes were impacted by several engineering interventions and efforts to improve mining flexibility with higher development to stoping activities.

  Tonnes milled declined by 9% to 401,000 tonnes. Milled grade of 3.88g/t 6E was also 9% lower than the prior comparable period due to the changing development to stoping ratio.

  As a result, 6E concentrate production declined by 13% to 46,000 ounces.

• Nine months ended 31 March 2025
  Milled throughput of 1.25 million tonnes and 6E head grade of 4.03g/t, declined by 10% and 6%, respectively, from the prior comparable period, while 6E concentrate production declined by 11% to 148,000 ounces.

Mimosa

• Quarter ended 31 March 2025 Mimosa continued to experience sporadic regional power disruptions, which impeded operating momentum. Milled volumes decreased by 3% to 695,000 tonnes, while milled 6E head grade improved marginally to 3.61g/t.

  Plant instability due to power interruptions and a planned maintenance shutdown negatively impacted 6E concentrate production, which declined by 6% to 60,000 ounces.

• Nine months ended 31 March 2025

  Mimosa delivered a commendable operating performance amid a complex operating context and intermittent power interruptions. Milled throughput increased by 1% to 2.16 million tonnes and 6E head grade was stable at 3.61g/t.

  6E concentrate production of 189,000 was maintained from the prior comparable period.

IRS

• Quarter ended 31 March 2025

  Concentrate receipts were impacted by lower deliveries from managed and JV operations, which offset the benefit of higher receipts from third parties. Receipts from managed operations decreased by 20% to 174,000 6E ounces.

  JV receipts fell by 19% to 106,000 6E ounces as concentrate deliveries from Mimosa were impacted by administrative delays.

  Refined 6E production from both mine-to-market operations (Zimplats, Marula, Two Rivers, and Mimosa) and IRS third-party customers increased by 17% to 361,000 ounces as previously accumulated inventory was reduced.

• Nine months ended 31 March 2025

  Mine-to-market receipts decreased by 11% to 944000 6E ounces, reflecting higher in-process inventory at Zimplats, delayed deliveries from Mimosa and weaker volumes from Two Rivers and Marula.

  Third-party receipts were 3% lower at 144,000 6E ounces, and gross receipts were 10% weaker year-on-year at 1.09 million ounces. Refined volumes were constrained by smelter maintenance but improved by 2% to 1.11 6E million ounces.