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ANGLO AMERICAN PLATINUM LIMITED - Waterval smelter furnace number one shutdown and rebuild

Release Date: 13/09/2016 11:18
Code(s): AMS     PDF:  
Wrap Text
Waterval smelter furnace number one – shutdown and rebuild

ANGLO AMERICAN PLATINUM LIMITED
(Incorporated in the Republic of South Africa)
(Registration number: 1946/022452/06)
Share Code: AMS
ISIN: ZAE000013181
(“the Company" or "Anglo American Platinum")


 ANGLO AMERICAN PLATINUM’S WATERVAL SMELTER FURNACE NUMBER ONE – SHUTDOWN
 AND REBUILD


 Anglo American Platinum advises that it has safely effected a shutdown of the furnace number one at
 Waterval smelter in South Africa, after a leak of molten furnace matte was detected from the furnace’s
 hearth on Saturday, 10 September 2016. All emergency procedures, including actions to safeguard all
 site personnel, were successfully implemented and no one was injured.

 A preliminary assessment of the damage to the furnace has shown that a rebuild of the furnace should be
 brought forward, as the most prudent means of mitigating future potential operational risks. While the
 extent of the damage to the furnace has yet to be fully quantified, early indications are that the rebuild,
 and associated production ramp-up, is likely to take approximately three to four months to complete.

 The Company’s remaining smelters are operating at full capacity and consequently, smelting losses
 associated with this unplanned shutdown, will not be recovered during 2016. This furnace represents
 circa 20% of the Company’s smelting capacity. As a result, platinum production for the 2016 financial
 year is expected to be impacted by between 70,000 and 100,000 platinum ounces.

 There will be a build-up of concentrate stocks during the rebuild which will be released as refined metal in
 the future. The capital expenditure for the unplanned rebuild will be circa R125 million, resulting in total
 capital expenditure for the year to be at the upper end of our previously guided range of between R3.5
 billion and R4.0 billion.

 The Company’s mining and concentrating activities are unaffected, therefore not impacting the previously
 guided range of produced (metal in concentrate) of 2.3 and 2.4 million platinum ounces.

 Shareholders and key stakeholders will be kept updated on the progress of the rebuilding of the furnace
 and associated impacts.


 13 September 2016
 Johannesburg


 Sponsor
 RAND MERCHANT BANK (A division of FirstRand Bank Limited)

 For further information, please contact: 
 Investors:                                                 Media: 
 Emma Chapman                                                Mpumi Sithole 
 (SA) +27 (0) 11 373 6239                                     (SA) +27 (0) 11 373 6246 
 emma.chapman@angloamerican.com                                mpumi.sithole@angloamerican.com 
  
 
Notes to editors:

Anglo American Platinum Limited is a member of the Anglo American plc Group and is the world’s leading
primary producer of platinum group metals. The company is listed on the Johannesburg Securities
Exchange (JSE). Its mining, smelting and refining operations are based in South Africa. Elsewhere in the
world, the Group owns Unki Platinum Mine in Zimbabwe. Anglo American Platinum has a number of joint
ventures with several historically disadvantaged South African consortia as part of its commitment to the
transformation of the mining industry. Anglo American Platinum is committed to the highest standards of
safety and continues to make a meaningful and sustainable difference in the development of the
communities around its operations.

www.angloamericanplatinum.com

Anglo American is a globally diversified mining business. Our portfolio of world-class competitive mining
operations and undeveloped resources provides the raw materials to meet the growing consumer-driven
demands of the world’s developed and maturing economies. Our people are at the heart of our business.
It is our people who use the latest technologies to find new resources, plan and build our mines and who
mine, process and move and market our products – from diamonds (through De Beers) to platinum and
other precious metals and copper – to our customers around the world.

As a responsible miner, we are the custodians of those precious resources. We work together with our
key partners and stakeholders to unlock the long-term value that those resources represent for our
shareholders, but also for the communities and countries in which we operate – creating sustainable
value and making a real difference.

www.angloamerican.com

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