Wrap Text
Anglo American Platinum announces temporary shutdown of the Anglo Converter Plant (ACP) and declares force majeure
Anglo American plc (the “Company”)
Registered office: 20 Carlton House Terrace, London SW1Y 5AN
Registered number: 3564138 (incorporated in England and Wales)
Legal Entity Identifier: 549300S9XF92D1X8ME43
ISIN: GBOOB1XZS820
JSE Share Code: AGL
NSX Share Code: ANM
6 March 2020
Anglo American Platinum announces temporary shutdown of the Anglo Converter Plant
(ACP) and declares force majeure
Anglo American plc notes the announcement by Anglo American Platinum Limited released
today to the Johannesburg stock exchange. The text of the announcement is copied below:
Anglo American Platinum announces the temporary shutdown of the entire Anglo Converter Plant
(ACP), part of the chain of processing facilities, and the need to declare force majeure.
The Company’s ACP phase A converter plant, at Waterval smelter in Rustenburg, was damaged
following an explosion within the converter on 10 February 2020. Nobody was injured in the
incident and work has started to repair phase A, which is expected to be completed by Q2 2021.
As per normal business procedure, the phase B unit was commissioned to take over from the
phase A plant and was in the process of ramping up to steady state, when water was detected
in the furnace. Notwithstanding extensive testing being conducted to determine the source of the
water, and a number of circuits being isolated, water continued to be observed in the furnace.
This poses a high risk of explosion and the Company has determined that it has no other option
but to temporarily shut down the phase B unit, to ensure the safety of all employees, and avoid
a catastrophic event. It is anticipated that the repair works to fix the phase B unit will take
approximately 80 days.
As a result of the temporary closure of the entire ACP, Anglo American Platinum has had to
declare force majeure to customers, suppliers of third-party purchase of concentrate and
suppliers of tolling material, as we are unable to complete the processing of material during the
converter repair. Production from own mines will continue, and the concentrate from the mines
will continue to be smelted at one of the four smelter complexes. However, production from own
mines, as well as third party material will not be able to be converted to refined production while
the ACP is undergoing repairs.
Initial estimates of the impact on AAP refined production are shown in the guidance below:
Refined production guidance New H1 2020 Revised full year Previous full year
(‘000 ounces) guidance 2020 guidance 2020 guidance
Platinum 400 – 450 1,500 – 1,700 2,000 – 2,200
Palladium 300 – 350 1,100 – 1,200 1,400 – 1,500
Rhodium 65 – 75 250 – 350 --
Total PGMs (5E + gold) 850 – 1,050 3,300 – 3,800 4,200 – 4,700
Anglo American Platinum will host an analyst and investor call with time for Q&A on Friday 6th
March 2020 at 13:30 SA time and 11:30 UK time. Dial-in details are provided below, and a
playback will be available on the website. Pre-registration is required at the following link:
Conference call preregistration: www.diamondpass.net/2843044
For further information, please contact:
Media Investors
UK UK
James Wyatt-Tilby Paul Galloway
james.wyatt-tilby@angloamerican.com paul.galloway@angloamerican.com
Tel: +44 (0)20 7968 8759 Tel: +44 (0)20 7968 8718
Marcelo Esquivel Robert Greenberg
marcelo.esquivel@angloamerican.com robert.greenberg@angloamerican.com
Tel: +44 (0)20 7968 8891 Tel: +44 (0)20 7968 2124
Katie Ryall Emma Waterworth
katie.ryall@angloamerican.com emma.waterworth@angloamerican.com
Tel: +44 (0)20 7968 8935 Tel: +44 (0)20 7968 8574
South Africa
Pranill Ramchander Emma Chapman
pranill.ramchander@angloamerican.com emma.chapman@angloamerican.com
Tel: +27 (0)11 638 2592 Tel: +27 (0)11 373 6239
Sibusiso Tshabalala
sibusiso.tshabalala@angloamerican.com
Tel: +27 (0)11 638 2175
Jana Marais
jana.marais@angloamerican.com
Tel: +27 (0)11 638 2607
Forward-looking statements:
This announcement includes forward-looking statements. All statements other than statements
of historical facts included in this announcement, including, without limitation, those regarding
Anglo American’s financial position, business, acquisition and divestment strategy, dividend
policy, plans and objectives of management for future operations (including development plans
and objectives relating to Anglo American’s products, production forecasts and Ore Reserves
and Mineral Resources), are forward-looking statements. By their nature, such forward-looking
statements involve known and unknown risks, uncertainties and other factors which may cause
the actual results, performance or achievements of Anglo American, or industry results, to be
materially different from any future results, performance or achievements expressed or implied
by such forward-looking statements.
Such forward-looking statements are based on numerous assumptions regarding Anglo
American’s present and future business strategies and the environment in which Anglo American
will operate in the future. Important factors that could cause Anglo American’s actual results,
performance or achievements to differ materially from those in the forward-looking statements
include, among others, levels of actual production during any period, levels of global demand and
commodity market prices, mineral resource exploration and development capabilities, recovery
rates and other operational capabilities, the availability of mining and processing equipment, the
ability to produce and transport products profitably, the availability of transportation infrastructure,
the impact of foreign currency exchange rates on market prices and operating costs, the
availability of sufficient credit, the effects of inflation, political uncertainty and economic conditions
in relevant areas of the world, the actions of competitors, activities by governmental authorities
such as permitting and changes in taxation or safety, health, environmental or other types of
regulation in the countries where Anglo American operates, conflicts over land and resource
ownership rights and such other risk factors identified in Anglo American’s most recent Annual
Report. Forward-looking statements should, therefore, be construed in light of such risk factors
and undue reliance should not be placed on forward-looking statements.
These forward-looking statements speak only as of the date of this announcement. Anglo
American expressly disclaims any obligation or undertaking (except as required by applicable
law, the City Code on Takeovers and Mergers (the “Takeover Code”), the UK Listing Rules, the
Disclosure and Transparency Rules of the Financial Conduct Authority, the Listings
Requirements of the securities exchange of the JSE Limited in South Africa, the SIX Swiss
Exchange, the Botswana Stock Exchange and the Namibian Stock Exchange and any other
applicable regulations) to release publicly any updates or revisions to any forward-looking
statement contained herein to reflect any change in Anglo American’s expectations with regard
thereto or any change in events, conditions or circumstances on which any such statement is
based.
Nothing in this announcement should be interpreted to mean that future earnings per share of
Anglo American will necessarily match or exceed its historical published earnings per share.
Certain statistical and other information about Anglo American included in this announcement is
sourced from publicly available third-party sources. As such, it has not been independently
verified and presents the views of those third parties, though these may not necessarily
correspond to the views held by Anglo American and Anglo American expressly disclaims any
responsibility for, or liability in respect of, such third party information.
Notes to editors:
The ACP plant is a key part of Anglo American Platinum’s PGM production process, treating
furnace matte from the company’s smelters. At the ACP plant, sulphur and iron contained in the
furnace matte from the smelters are converted to sulphur dioxide and slag. The resulting
converter matte is then slow-cooled to concentrate PGMs into a metallic fraction. From the ACP,
material moves to the Magnetic Concentration Plant (MCP), where the converter matte is milled
and the PGM fraction is separated magnetically. The PGM-bearing material then moves from the
MCP to the Precious Metals Refinery (PMR), where the PGMs are separated and purified to yield
platinum, palladium, iridium, rhodium, ruthenium and gold.
Anglo American is a leading global mining company and our products are the essential
ingredients in almost every aspect of modern life. Our portfolio of world-class competitive mining
operations and undeveloped resources provides the metals and minerals that enable a cleaner,
greener, more sustainable world and that meet the fast growing consumer-driven demands of
the world’s developed and maturing economies. With our people at the heart of our business, we
use innovative practices and the latest technologies to discover new resources and mine, process,
move and market our products to our customers around the world – safely, responsibly and
sustainably.
As a responsible miner – of diamonds (through De Beers), copper, platinum group metals, iron
ore, coal and nickel – we are the custodians of what are precious natural resources. We work
together with our business partners and diverse stakeholders to unlock the sustainable value that
those resources represent for our shareholders, the communities and countries in which we
operate, and for society as a whole. Anglo American is re-imagining mining to improve people’s
lives.
www.angloamerican.com
The Company has a primary listing on the Main Market of the London Stock Exchange and
secondary listings on the Johannesburg Stock Exchange, the Botswana Stock Exchange, the
Namibia Stock Exchange and the SIX Swiss Exchange.
Sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)
Date: 06-03-2020 01:05:00
Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
Sharenet Sites 
