New project helps Unki Mine ramp up PGM production

Anglo American Platinum Limited’s local unit, Unki Mine total’s PGM production for the
second quarter to June 30, 2022 surged by 38 percent to 66,300 ounces compared to the
same period last year.

The platinum producer attributed the growth to the completion of the concentrator
debottlenecking project.

The concentrator debottlenecking project was completed in last quarter of 2021 which
increased concentrator capacity from 180ktpm to 210ktpm.

According to the group, increased mining to fill capacity led to a 24 percent increase in
tonnes milled.

The 4E – that is platinum, palladium, rhodium and gold – built-up head grade increased
12 percent to 3,87g/t, returning to a more normalised grade.

During the period under review, platinum production increased by 38 percent to 29,700
ounces while palladium production increased by 37 percent to 25 700 ounces.

Total PGM production at group level during the quarter decreased 2 percent to 1 031 500
ounces against same period last year, with platinum production decreasing 2 percent to
479 100 ounces.

Palladium production fell 4 percent to 321 500 ounces.

However, quarter on quarter, PGM production increased 8 percent against the previous
quarter.

Commenting on the production, Anglo chief executive officer Natascha Viljoen said:
“Despite total PGM production being marginally lower in Q2 2022 against Q2 2021, I am
pleased with the improved stability across the operations as we build maturity in our
operating model and asset reliability.

“Lower mined production was due to Mogalakwena mining through a low-grade area in
line with the mine plan. Mototolo and Unki mines both had a strong production
performance, as both operations completed the integration of the concentrator
debottlenecking projects.

“Amandelbult was able to keep production relatively flat, despite the infrastructure
closures at the end of 2021. All operations saw an improvement in production over Q1
2022 as greater stability was achieved at the operations.”

According to the group, total PGM production from own-managed mines decreased by 2
percent to 586,700 ounces primarily due to lower production from Mogalakwena,
partially offset by strong production from Mototolo and Unki.

Platinum production decreased by 2 percent to 268,600 ounces, while palladium
production decreased by 5 percent to 211,700 ounces.

At 199,200 ounces, total PGM production from joint operations were 8 percent below
same period last year. Platinum production decreased by 6 percent to 91 000 ounces
while palladium production decreased by 7 percent to 58 400 ounces.

PGM sales volumes (excluding trading) went down by 16 percent to 1 206 200 ounces, in
line with lower refined production.

Platinum sales volumes decreased by 9 percent to 600,900 ounces and palladium sales
volumes decreased by 16 percent to 388,800 ounces.

During the period under review, the average Q2 2022 realised basket price of
US$2,661/PGM ounce was lower than the record prices achieved in Q2 2021.
The group maintains its guidance which was reviewed downwards in the previous
quarter.

“Metal-in-concentrate PGM production is maintained at 3,9 to 4,3 million ounces,
refined PGM production is maintained at 4 to 4,4 million ounces and unit cost per PGM
ounce produced is maintained at R14 000 to R15 000 per PGM ounce,” said Anglo.

However, all guidance is subject to the impact of further electricity outages.-The Herald