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PGM Production Report for the Fourth Quarter Ended 31 December 2017
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 LIMITED
PGM PRODUCTION REPORT FOR THE FOURTH QUARTER ENDED 31 DECEMBER 2017
OVERVIEW
• Tragically three fatalities in Q4 2017
• Total PGM production (expressed as 5E+Au metal in concentrate) of 1,220,000 ounces, decreased
4% due to the closure of unprofitable ounces from Bokoni which was placed on care and
maintenance, as well as the temporary closure of the Mototolo concentrator
• Own mined PGM production increased 4% to 624,200 ounces due to a strong performance from
Mogalakwena, up 15%
• Joint venture PGM production (mined and purchase of concentrate) was flat at 265,800 ounces as
strong performances from Modikwa and Kroondal offset the production decrease due to the
temporary closure of the Mototolo concentrator
• Purchase of PGM concentrate from associates was down 27% primarily due to the closure of
unprofitable ounces from Bokoni which was placed on care and maintenance, partially offset by
strong production from BRPM as the Styldrift project ramps up
• Refined PGM production increased 10% to 1,455,600 ounces due to the lower refined volumes in
Q4 2016 following the Waterval Smelter run-out in that period
• PGM sales volumes increased 19% due to the increase in refined PGM production and selling down
of refined stock to normalised levels
REVIEW OF THE QUARTER
SAFETY
Anglo American Platinum tragically had three fatalities in Q4 2017. Mr Keetse was fatally injured on 9
October in a winch-related incident at Dishaba mine; Mr Sumbe was fatally injured in a fall-of ground
incident on 31 October 2017 at Union mine; and Mr Jele was fatally injured in a surface transport related
incident at Waterval smelter on 21 December 2017. Our deepest condolences go to their family, friends
and colleagues. Independent and comprehensive investigations are under way to understand the
circumstances and learn from them to create a safer work environment for all. The Company remains
committed to zero harm and has a comprehensive safety turn-around strategy in place to reverse the
disappointing fatality performance.
Other safety performance indicators have shown a significant improvement over the period with the
Lost Time Injury Frequency Rate (“LTIFR”) per 200,000 hours worked at managed operations
decreasing by 27% to 0.46 (Q4 2016: 0.63).
PGM PRODUCTION
Total PGM production (expressed as 5E+Au metal in concentrate) of 1,220,000 ounces, decreased 4%
due to the closure of unprofitable ounces from Bokoni which was placed on care and maintenance, as
well as the temporary closure of the Mototolo concentrator. Total platinum production was down 4% to
587,000 ounces and total palladium production was down 5% to 374,900 ounces.
PGM production from own-managed mines
Own mined PGM production (excluding Rustenburg for prior year comparison) increased 4% to 624,200
ounces due to a very strong performance from Mogalakwena. Platinum production was up 3% to
291,800 ounces, and palladium up 5% to 213,700 ounces.
Mogalakwena PGM production increased by 15% to 282,200 ounces as a result of an increase in built-
up head grade, in-line with the mine plan, and optimisation to the North Concentrator Plant leading to
an increase in concentrator throughput. Platinum production was up 18% to 121,700 ounces, and
palladium up 13% to 127,800 ounces.
Amandelbult PGM production decreased by 2% to 231,200 ounces primarily due to a delay in ore
reserve development at Dishaba and Section 54 related stoppages at Dishaba following the fatal
incident in October 2017. Platinum production was down 4% to 116,600 ounces, and palladium was
down 1% to 54,600 ounces.
Unki PGM production decreased 16% to 36,600 ounces due to planned maintenance to the mill feed
silo at the concentrator, which was completed in December 2017. The ore stockpile ahead of the
concentrator will be processed in 2018. Platinum production was down 18% to 16,400 ounces and
palladium was down 14% to 14,200 ounces.
Union PGM production decreased by 2% to 74,200 ounces due to the fatal incident and associated
safety stoppages, as well as difficult ground conditions. Platinum production was down 3% to 37,100
ounces and palladium was down 2% to 17,100 ounces. The sale of Union mine to Siyanda Resources
was announced on 15 February 2017 and is expected to complete in early 2018.
PGM production from joint ventures (own mined production and purchase of concentrate)
Total joint venture PGM production was flat at 265,800 ounces. Production was down primarily due to
the temporary suspension of the Mototolo concentrator to carry out remedial work on the Helena
Tailings Storage Facility to bring it back to required safety standards. This work was completed ahead
of schedule in early December 2017 and has now ramped up to normal production. This resulted in a
decrease in PGM production from Mototolo of 49% to 29,400 ounces (platinum down 51% to 13,400
ounces, palladium down 46% to 8,600 ounces). As part of a remedial plan to toll treat Mototolo
concentrate, Bokoni concentrator treated 11,900 and Modikwa concentrator purchased mined tonnes
and treated 9,700 PGM ounces.
Strong performances from Modikwa and Kroondal offset the decline from Mototolo. Modikwa PGM
production increased 25% to 80,000 ounces due to improved stoping efficiencies and plant recovery as
well as additional ore purchased from Mototolo (platinum production up 28% to 31,700 ounces,
palladium up 21% to 29,300 ounces). Kroondal PGM production rose 9% to 156,400 ounces due to
increased underground productivity (platinum and palladium up 9% to 74,500 ounces and 39,400
ounces respectively).
Purchases of PGM concentrate from associates
Purchase of PGM concentrate from associates declined 27% due to the closure of unprofitable ounces
from Bokoni which was placed on care and maintenance in Q3 2017, (platinum down 21% to 54,800
ounces, palladium down 37% to 22,100 ounces). PGM production from BRPM increased by 8% to
94,100 ounces due to the ramp up of the Styldrift project, in line with expectations, (platinum production
up 9% to 54,900 ounces and palladium production up 6% to 22,300 ounces).
Purchases of PGM concentrate from third parties
Purchase of PGM concentrate from third parties increased 21% to 236,300 ounces. However, there
were lower purchases from other third parties (ex-Sibanye), including lower concentrate purchased from
Maseve as the mine was placed on care and maintenance in Q4 2017 removing loss making production.
Adjusting for Rustenburg mined production for October 2016 (pre-sale), the overall net movement from
third parties reduced 16% year-on-year.
Refined production and sales volumes
Refined PGM production increased 10% to 1,455,600 ounces due to the lower refined volumes in Q4
2016 following the Waterval Smelter run-out in that period. Refined platinum production increased by
14% to 722,200 ounces, and refined palladium production increased by 24% to 491,400 ounces due to
significantly higher production from Mogalakwena.
PGM sales volumes increased 19% to 1,511,900 ounces in line with increased refined production and
the sell down of refined stock to normalised levels. Platinum sales increased 19% to 721,700 ounces
and palladium sales increased 32% to 473,500 ounces.
Anglo American Platinum Q4 2017 Q4 2017 FY 2017
Fourth Quarter PGM Production Report Q4 Q3 Q2 Q1 Q4 vs vs FY FY vs
Period 1 October 2017 - 31 December 2017 2017 2017 2017 2017 2016 Q3 2017 Q4 2016 2017 2016 FY 2016
Total M&C Production (mined and purchase of concentrate)
PGM Production (5E+Au) 000 oz 1,220.0 1,303.5 1,291.3 1,193.0 1,276.6 (6)% (4)% 5,007.7 4,973.8 1%
Platinum 000 oz 587.0 621.5 617.1 571.8 610.0 (6)% (4)% 2,397.4 2,381.8 1%
Palladium 000 oz 374.9 407.5 402.1 372.7 396.4 (8)% (5)% 1,557.3 1,538.7 1%
Tonnes Milled 000 tonne 7,401 7,723 7,619 6,955 8,332 (4)% (11)% 29,698 40,575 (27)%
Grade (4E) g/t 3.53 3.44 3.41 3.47 3.41 3% 4% 3.46 3.16 10%
Mined operations
Own mined Operations (excluding JV mined, Rustenburg and projects)
PGM Production (5E+Au) 000 oz 624.2 638.9 611.4 572.9 602.0 (2)% 4% 2,447.5 2,342.5 4%
Platinum 000 oz 291.8 297.4 283.7 265.6 282.5 (2)% 3% 1,138.4 1,104.1 3%
Palladium 000 oz 213.7 221.4 213.4 202.1 202.9 (3)% 5% 850.6 793.3 7%
Tonnes Milled 000 tonne 6,314.4 6,576.9 6,398.9 5,821.7 5,903.2 (4)% 7% 25,111.9 23,997.5 5%
Grade (4E) g/t 3.48 3.39 3.36 3.44 3.57 3% (2)% 3.42 3.45 (1)%
Mogalakwena mine
PGM Production (5E+Au) 000 oz 282.2 277.7 272.8 265.8 245.8 2% 15% 1,098.5 980.0 12%
Platinum 000 oz 121.7 116.3 113.9 111.9 103.4 5% 18% 463.8 411.9 13%
Palladium 000 oz 127.8 129.9 127.8 123.4 113.6 (2)% 13% 508.9 452.0 13%
Tonnes Milled 000 tonne 3,461 3,475 3,508 3,178 3,054 (0)% 13% 13,622 12,623 8%
Grade (4E) g/t 3.17 3.07 3.02 3.13 3.10 3% 2% 3.09 3.02 2%
Amandelbult mine
PGM Production (5E+Au) 000 oz 231.2 237.6 216.4 189.3 237.0 (3)% (2)% 874.5 902.1 (3)%
Platinum 000 oz 116.6 121.3 110.5 97.1 121.1 (4)% (4)% 445.5 466.5 (5)%
Palladium 000 oz 54.6 55.9 50.7 44.7 55.3 (2)% (1)% 205.9 211.0 (2)%
Tonnes Milled 000 tonne 1,758 1,950 1,766 1,575 1,784 (10)% (1)% 7,050 7,058 (0)%
Grade (4E) g/t 4.02 3.79 3.80 3.82 4.24 6% (5)% 3.86 4.07 (5)%
Unki mine
PGM Production (5E+Au) 000 oz 36.6 44.2 43.1 41.9 43.5 (17)% (16)% 165.9 162.0 2%
Platinum 000 oz 16.4 19.9 19.5 18.9 19.9 (18)% (18)% 74.6 74.5 0%
Palladium 000 oz 14.2 17.2 16.6 16.4 16.5 (17)% (14)% 64.4 61.4 5%
Tonnes Milled 000 tonne 412 457 447 436 450 (10)% (8)% 1,752 1,719 2%
Grade (4E) g/t 3.44 3.50 3.46 3.50 3.53 (2)% (3)% 3.47 3.46 0%
Union mine
PGM Production (5E+Au) 000 oz 74.2 79.4 79.1 75.9 75.7 (7)% (2)% 308.6 298.4 3%
Platinum 000 oz 37.1 39.9 39.8 37.7 38.1 (7)% (3)% 154.5 151.2 2%
Palladium 000 oz 17.1 18.4 18.3 17.6 17.5 (7)% (2)% 71.4 68.9 4%
Tonnes Milled 000 tonne 683 694 678 633 615 (2)% 11% 2,688 2,597 4%
Grade (4E) g/t 3.72 3.85 3.89 3.99 3.99 (3)% (7)% 3.86 3.81 1%
Joint venture operations - mined only
PGM Production (5E+Au) 000 oz 132.9 140.2 144.1 131.0 133.0 (5)% (0)% 548.1 562.1 (2)%
Platinum 000 oz 59.8 62.2 64.3 59.0 60.1 (4)% (0)% 245.3 252.8 (3)%
Palladium 000 oz 38.7 42.1 42.5 38.2 38.2 (8)% 1% 161.5 163.9 (1)%
Tonnes Milled 000 tonne 1,087 1,146 1,220 1,133 1,152 (5)% (6)% 4,586 4,694 (2)%
Grade (4E) g/t 3.80 3.73 3.71 3.63 3.54 2% 7% 3.72 3.70 0%
Rustenburg (inc WLTR)
PGM Production (5E+Au) 000 oz - - - - 85.6 (100)% (100)% - 742.0 (100)%
Platinum 000 oz - - - - 44.2 (100)% (100)% - 377.5 (100)%
Palladium 000 oz - - - - 22.1 (100)% (100)% - 193.3 (100)%
Projects - Twickenham
PGM Production (5E+Au) 000 oz - - - - - (100)% (100)% - 9.0 (100)%
Platinum 000 oz - - - - - (100)% (100)% - 3.4 (100)%
Palladium 000 oz - - - - - (100)% (100)% - 3.6 (100)%
Purchase of concentrate
Total purchase of concentrate
PGM Production (5E+Au) 000 oz 462.9 524.4 535.8 489.1 456.0 (12)% 2% 2,012.1 1,318.2 53%
Platinum 000 oz 235.4 261.9 269.1 247.2 223.2 (10)% 5% 1,013.7 644.0 57%
Palladium 000 oz 122.5 144.0 146.2 132.4 133.2 (15)% (8)% 545.2 384.6 42%
Joint ventures
PGM Production (5E+Au) 000 oz 132.9 140.2 144.1 130.9 132.9 (5)% 0% 548.1 562.1 (2)%
Platinum 000 oz 59.8 62.2 64.3 59.0 60.1 (4)% (0)% 245.3 252.8 (3)%
Palladium 000 oz 38.7 42.1 42.5 38.2 38.2 (8)% 1% 161.5 164.0 (2)%
Associates
PGM Production (5E+Au) 000 oz 93.7 135.5 134.3 120.5 128.2 (31)% (27)% 484.0 517.9 (7)%
Platinum 000 oz 54.8 73.5 72.5 64.7 69.2 (25)% (21)% 265.5 279.3 (5)%
Palladium 000 oz 22.1 36.3 36.4 33.0 35.0 (39)% (37)% 127.9 141.7 (10)%
Third parties
PGM Production (5E+Au) 000 oz 236.3 248.7 257.4 237.7 194.9 (5)% 21% 980.0 238.2 311%
Platinum 000 oz 120.8 126.2 132.3 123.5 93.9 (4)% 29% 502.9 111.9 349%
Palladium 000 oz 61.7 65.6 67.3 61.2 60.0 (6)% 3% 255.8 78.9 224%
Gross refined production
Platinum 000 oz 722.2 684.1 528.7 576.9 631.6 6% 14% 2,511.9 2,334.7 8%
Palladium 000 oz 491.4 450.6 373.1 353.4 397.5 9% 24% 1,668.5 1,464.2 14%
Rhodium 000 oz 87.4 79.4 82.8 73.7 92.2 10% (5)% 323.2 317.4 2%
PGM (5E+Au) 000 oz 1,455.6 1,366.5 1,150.2 1,143.9 1,322.8 7% 10% 5,116.2 4,787.2 7%
Gold 000 oz 30.3 31.1 29.3 24.7 33.9 (3)% (11)% 115.3 108.2 7%
Nickel 000 tonne 7.8 7.0 6.0 5.1 6.1 10% 27% 26.0 25.4 2%
Copper 000 tonne 4.7 4.3 3.5 3.2 3.3 10% 42% 15.7 14.1 11%
Sales volume
PGM (5E+Au) sales volumes 000 oz 1,511.9 1,438.2 1,283.8 1,156.8 1,267.0 5% 19% 5,390.7 5,058.5 7%
Platinum sales volumes 000 oz 721.7 663.6 600.5 518.8 606.5 9% 19% 2,504.6 2,415.7 4%
Palladium sales volumes 000 oz 473.5 462.0 330.3 306.0 358.9 2% 32% 1,571.7 1,532.1 3%
Achieved metal prices
Platinum (US$/oz) 922 956 941 977 949 (4)% (3)% 947 993 (5)%
Palladium (US$/oz) 987 895 804 754 682 10% 45% 876 610 44%
Rhodium (US$/oz) 1,417 1,062 980 856 726 33% 95% 1,094 680 61%
Average exchange rate achieved on sales ZAR/US$ 13.59 13.20 13.19 13.29 13.89 3% (2)% 13.33 14.63 (9)%
Realised basket price (US$/ Pt \oz) 2,071 2,058 1,796 1,898 1,820 1% 14% 1,966 1,753 12%
Realised basket price (ZAR/Pt oz) 28,157 27,158 23,688 25,225 25,274 4% 11% 26,213 25,649 2%
Realised basket price (US$/PGM oz) 989 951 842 849 872 4% 13% 914 837 9%
Realised basket price (ZAR/PGM oz) 13,439 12,549 11,106 11,278 12,113 7% 11% 12,182 12,249 (1)%
Johannesburg, South Africa
25 January 2018
Sponsor
Merrill Lynch South Africa Proprietary 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 to our customers around the world.
As a responsible miner – of diamonds (through De Beers), copper, platinum and other precious metals,
iron ore, coal and nickel – we are the custodians of what are precious natural resources. We work
together with our key partners and stakeholders to unlock the long-term value that those resources
represent for our shareholders, and for the communities and countries in which we operate – creating
sustainable value and making a real difference.
www.angloamerican.com
Date: 25/01/2018 09:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
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