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PGM Production Report for the Fourth Quarter Ending 31 December 2019
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")
23 January 2020
ANGLO AMERICAN PLATINUM LIMITED
PGM PRODUCTION REPORT FOR THE FOURTH QUARTER ENDING 31 DECEMBER 2019
OVERVIEW
- Commitment to elimination of fatalities – no fatalities occurred in Q4 2019, resulting in a fatal free year at
managed operations
- Total PGM production (expressed as 5E+Au metal in concentrate) increased 9% against prior year (Q4
2018) to 1,152,700 ounces, (excluding Sibanye-Stillwater 4E material), despite the impact of Eskom power
outages, which led to a loss of c.20,000 PGM ounces
- Own managed mines PGM production increased by 21% to 675,200 ounces due to increased production
from all own managed mines
- Joint venture PGM production (mined and purchase of concentrate, excluding Mototolo) decreased by 11%
to 231,200 ounces due to the impact of power outages, safety stoppages and low equipment availability
- Refined PGM production including tolling decreased by 2% to 1,492,100 ounces as improved processing
operational performance was offset by the impact of Eskom power outages and the associated Rustenburg
Processing facilities power failure in December. This led to a build-up of c.89,000 PGM ounces in work-in-
progress inventory which be will refined in 2020
- PGM sales volumes excluding tolling were up 11% to 1,414,100 ounces as refined production increased
and a drawdown in refined inventory supplemented sales
Anglo American Platinum Q4 2019 Q4 2019 FY 2019
PGM Production Report - Q4 2019 Q4 Q3 Q2 Q1 Q4 vs vs FY FY vs
1 October 2019 - 31 December 2019 2019 2019 2019 2019 2018 Q4 2018 Q3 2019 2019 2018 FY 2018
Total M&C production (mined and purchase of concentrate)
Total PGM production (5E + Au)(1) 000 oz 1,152.7 1,141.2 1,118.7 1,028.2 1,061.9 9% 1% 4,440.8 4,409.4 1%
Own managed mines (2) 000 oz 675.2 642.5 633.6 600.9 558.6 21% 5% 2,552.2 2,519.4 1%
Mogalakwena 000 oz 317.5 287.7 302.5 307.2 256.8 24% 10% 1,215.0 1,170.0 4%
Amandelbult 000 oz 238.7 232.9 229.0 192.8 190.8 25% 3% 893.3 868.9 3%
Unki 000 oz 52.0 53.8 52.5 43.3 49.7 5% (3)% 201.7 192.8 4%
Mototolo 000 oz 66.9 68.1 49.6 57.7 61.2 9% (2)% 242.3 287.7 -
Joint venture production(3) 000 oz 231.2 248.2 228.2 210.4 259.0 (11)% (7)% 918.0 954.1 (4)%
Third party purchase of concentrate(4) 000 oz 246.3 250.5 256.9 216.9 244.3 1% (2)% 970.6 936.1 4%
Total PGM production (incl. 4E POC now tolled)(5) 000 oz 1,152.7 1,141.2 1,118.7 1,028.2 1,257.1 (8)% 1% 4,440.8 5,186.5 (14)%
4E purchase of concentrate now tolled 000 oz - - - - 195.2 (100)% - 777.1 (100)%
Refined production
Total refined PGM (5E+Au) production (excluding tolling and 4E 1,308.8 1168.4 1216.2 787.3 1284.9 2% 12% 4,480.7 4,029.3 11%
purchase of concentrate now tolled) 000 oz
Total refined PGM (5E+Au) production (including tolling) 000 oz 1,492.1 1,360.7 1,426.9 871.2 1,528.2 (2)% 10% 5,151.0 4,784.9 8%
Sales volume excluding trading
PGM sales excluding 4E POC sales now tolled in all periods (5E+Au) (6) 000 oz 1,414.1 1,022.9 1,205.6 786.6 1,274.0 11% 38% 4,429.1 4,462.6 (1)%
Total PGM sales (5E+Au) 000 oz 1,425.3 1,048.4 1,275.1 884.9 1,507.2 (5)% 36% 4,633.7 5,224.9 (11)%
(1) Total PGM production is normalised to exclude Sibanye-Stillwater 4E ounces in all periods
(2) Own managed mines include Mototolo on 100% basis in all periods
(3) Total Joint venture PGM production (mined and purchase of concentrate) adjusted to exclude Mototolo mine
(4) Third party purchase of concentrate adjusted to exclude Sibanye-Stillwater 4E production in all periods
(5) Total PGM production (incl. 4E POC production now tolled) includes Sibanye-Stillwater 4E production in all periods
(6) PGM sales volume excluding Sibanye-Stillwater 4E POC in all periods
REVIEW OF THE QUARTER
SAFETY
Anglo American Platinum remains committed to the elimination of fatalities and reports zero fatalities in the period.
For the first time ever, managed operations were fatal free for the year. The Total Recordable Case Frequency
Rate (“TRCFR”) per million hours at managed operations for the quarter improved 41% to 1.75 compared to 2.99
in the prior period.
PGM PRODUCTION
Production has been adjusted in the comparative periods to enable fair comparison between each period as
follows:
- Excludes Sibanye-Stillwater 4E ounces from purchase of concentrate (POC) from third parties as this
production moved from POC to tolled production at the end of Q1 2019;
- Include Mototolo production as own mined production on a 100% basis;
- Include Union production as purchase of concentrate from third parties; and
- Include Bafokeng Rasimone Platinum Mine (BRPM) production as purchase of concentrate from third
parties.
Total PGM production of 1,152,700 ounces increased 9%, with platinum production up 10% to 531,700 ounces
and palladium production up 10% to 360,400 ounces. Eskom power outages led to a loss of production in the
quarter of c.20,000 ounces across all operations in Q4 2019.
PGM production from own managed mines
Total PGM production from own managed mines increased 21% to 675,200 ounces (platinum production
increased by 22% to 310,000 ounces and palladium production increased 20% to 241,000 ounces), due to higher
production from all operations, despite the impact of Eskom power outages leading to a loss of 16,800 PGM
ounces of production.
Mogalakwena PGM production increased 24% to 317,500 ounces (platinum increased by 25% to 135,800 ounces
and palladium production increased by 23% to 146,000 ounces), due to an increase in built-up head grade. High
grade ore stockpiles were drawn down to supplement mined production as low equipment availability, due to
maintenance on the rope shovel, impacted production.
Amandelbult PGM production increased 25% to 238,700 ounces (platinum production increased by 24% to
120,100 ounces and palladium increased by 25% to 56,000 ounces), as the benefit from increased development
at Dishaba lower mine has allowed increased productivity and production.
Unki PGM production increased 5% to 52,000 ounces (platinum production increased by 6% to 23,300 ounces
and palladium production increased by 2% to 20,000 ounces), due to improved concentrator throughput and mill
run-time, partially offset by lower grade.
On a 100% basis, Mototolo PGM production increased by 9% to 66,900 ounces (platinum production increased
by 10% to 30,900 ounces and palladium by 8% to 19,000 ounces), due to higher mining rates and throughput
efficiency improvement at the concentrator.
PGM production from joint ventures (50% own mined production and 50% purchase of concentrate)
Joint venture PGM production, excluding Mototolo, decreased by 11% to 231,200 ounces (platinum production
decreased by 10% to 103,600 ounces and palladium production decreased by 11% to 68,000 ounces), including
losses from Eskom power outages of 3,200 PGM ounces. PGM production at Kroondal was down 8% due to the
power outages and PGM production at Modikwa decreased by 16% due to low equipment availability and section
54 safety stoppages.
Purchases of PGM concentrate from third parties
Purchase of PGM concentrate from third parties, excluding 4E tolled material, increased by 1% to 246,300 ounces
due to higher volume from Bafokeng Rasimone Platinum Mine (BRPM) and Siyanda Resources (Union).
Refined production and sales volumes
Refined PGM production, excluding tolling and 4E production now tolled, increased by 2% to 1,308,800 ounces
(refined platinum production was flat at 624,900 ounces and refined palladium production decreased by 6% to
394,400 ounces), despite the impact of Eskom power outages, as well as the associated Rustenburg Processing
facilities power outage event in December 2019.
PGM sales volumes, excluding the impact of 4E toll treated material and trading, were up 11% to 1,414,100
ounces, with platinum sales volumes up 5% to 662,000 ounces and palladium sales volumes up 11% to 432,700
ounces due to an increase in refined production, supplemented by a drawdown in refined inventory.
Eskom power outages impact on 2019 production
In the first half of the year, own-managed mines lost production due to power outages that required the mines to
shut down, resulting in a loss of 18,000 PGM ounces. In the second half of the year (Q4 2019), own-managed
mines lost 16,800 PGM ounces, and joint ventures lost 3,200 PGM ounces. This resulted in a loss of production
(which cannot be recovered) of 38,000 PGM ounces for 2019.
Power outages resulted in an impact to refined production of 74,700 PGM ounces in Q1 2019, and a further
70,200 PGM ounces in Q4 2019. A load-shedding related event, resulting in a total power outage at the
Rustenburg Processing facilities in December 2019, led to a further impact on refined production of 71,100 PGM
ounces, resulting in a total impact on refined production of 216,000 PGM ounces for the year. The strong
operational performance of the processing assets led to 127,000 PGM ounces being caught up in 2019, with
89,000 PGM ounces built up in work-in-progress inventory which will be refined in 2020.
Anglo American Platinum Q4 2019 Q4 2019 FY 2019
PGM Production Report - Q4 2019 Q4 Q3 Q2 Q1 Q4 vs vs FY FY vs
1 October 2019 - 31 December 2019 2019 2019 2019 2019 2018 Q4 2018 Q3 2019 2019 2018 FY 2018
M&C production (mined and purchase of concentrate) excluding 4E production now tolled
PGM production (5E+Au) 000 oz 1,152.7 1,141.2 1,118.7 1,028.2 1,061.9 9% 1% 4,440.8 4,409.4 1%
Platinum 000 oz 531.7 526.8 520.3 471.9 485.2 10% 1% 2,050.6 2,020.4 1%
Palladium 000 oz 360.4 351.8 347.1 326.6 328.8 10% 2% 1,385.9 1,379.2 0%
Tonnes milled 000 7,433 7,328 7,271 6,879 6,849 9% 1% 28,911 28,260 2%
Built-up head grade (4E) g/t 3.67 3.65 3.55 3.59 3.38 9% 1% 3.62 3.48 4%
Total M&C production (mined and purchase of concentrate)
PGM production (5E+Au) 000 oz 1,152.7 1,141.2 1,118.7 1,028.2 1,257.1 (8)% 1% 4,440.8 5,186.5 (14)%
Platinum 000 oz 531.7 526.8 520.3 471.9 602.1 (12)% 1% 2,050.6 2,484.6 (17)%
Palladium 000 oz 360.4 351.8 347.1 326.6 386.9 (7)% 2% 1,385.9 1,611.0 (14)%
Mined operations
Total mined production
PGM production (5E+Au) 000 oz 790.8 766.6 747.7 706.1 688.1 15% 3% 3,011.2 2,996.4 0%
Platinum 000 oz 361.9 351.7 342.6 322.0 312.6 16% 3% 1,378.2 1,369.5 1%
Palladium 000 oz 275.0 262.8 260.5 250.8 238.3 15% 5% 1,049.2 1,044.4 0%
Tonnes milled 000 7,433 7,327 7,270 6,878 6,957 7% 1% 28,908 29,238 (1)%
Built-up head grade (4E) g/t 3.67 3.65 3.55 3.59 3.38 9% 1% 3.62 3.50 3%
Own managed mines
PGM production (5E+Au) 000 oz 675.2 642.5 633.6 600.9 558.6 21% 5% 2,552.2 2,519.4 1%
Platinum 000 oz 310.0 296.8 290.5 275.1 254.9 22% 4% 1,172.5 1,156.2 1%
Palladium 000 oz 241.0 225.9 228.1 219.7 200.3 20% 7% 914.6 904.4 1%
Tonnes milled 000 6,480 6,340 6,372 5,984 5,958 9% 2% 25,176 25,398 (1)%
Built-up head grade (4E) g/t 3.66 3.64 3.53 3.57 3.30 11% 1% 3.60 3.45 4%
Mogalakwena mine
PGM production (5E+Au) 000 oz 317.5 287.7 302.5 307.2 256.8 24% 10% 1,215.0 1,170.0 4%
Platinum 000 oz 135.8 123.4 127.9 130.4 108.4 25% 10% 517.5 495.1 5%
Palladium 000 oz 146.0 130.8 139.5 141.5 118.3 23% 12% 557.9 540.9 3%
Tonnes milled 000 3,487 3,331 3,506 3,385 3,371 3% 5% 13,710 13,775 (0)%
Built-up head grade (4E) g/t 3.51 3.46 3.34 3.49 2.93 20% 1% 3.45 3.20 8%
Amandelbult mine
PGM production (5E+Au) 000 oz 238.7 232.9 229.0 192.8 190.8 25% 3% 893.3 868.9 3%
Platinum 000 oz 120.1 118.4 116.5 98.5 96.5 24% 1% 453.6 442.7 2%
Palladium 000 oz 56.0 54.3 53.7 44.9 44.9 25% 3% 208.9 205.1 2%
Tonnes milled 000 1,824 1,803 1,840 1,590 1,503 21% 1% 7,057 6,961 1%
Built-up head grade (4E) g/t 4.15 4.15 3.98 3.88 4.07 2% (0)% 4.05 3.98 2%
Unki mine
PGM production (5E+Au) 000 oz 52.0 53.8 52.5 43.3 49.7 5% (3)% 201.7 192.8 5%
Platinum 000 oz 23.3 23.6 23.1 19.3 22.1 6% (1)% 89.4 85.9 4%
Palladium 000 oz 20.0 21.4 20.9 17.0 19.6 2% (6)% 79.2 75.5 5%
Tonnes milled 000 545 556 538 454 496 10% (2)% 2,092 1,925 9%
Built-up head grade (4E) g/t 3.41 3.45 3.47 3.47 3.53 (3)% (1)% 3.45 3.51 (2)%
Mototolo mine
PGM production (5E+Au) 000 oz 66.9 68.1 49.6 57.7 61.2 9% (2)% 242.3 287.7 (16)%
Platinum 000 oz 30.9 31.4 23.0 26.8 28.0 10% (2)% 112.0 132.4 (15)%
Palladium 000 oz 19.0 19.4 14.0 16.3 17.5 8% (2)% 68.7 82.9 (17)%
Tonnes milled 000 624 651 488 556 590 6% (4)% 2,320 2,737 (15)%
Built-up head grade (4E) g/t 3.30 3.24 3.16 3.23 3.24 2% 2% 3.23 3.33 (3)%
Joint venture mined production
PGM production (5E+Au) 000 oz 115.6 124.1 114.1 105.2 129.5 (11)% (7)% 459.0 477.1 (4)%
Platinum 000 oz 51.8 54.9 52.1 46.9 57.7 (10)% (6)% 205.8 213.3 (4)%
Palladium 000 oz 34.0 36.9 32.4 31.2 38.0 (11)% (8)% 134.5 140.0 (4)%
Tonnes milled 000 953 987 898 894 1,000 (5)% (3)% 3,732 3,839 (3)%
Built-up head grade (4E) g/t 3.77 3.75 3.72 3.71 3.83 (2)% 1% 3.74 3.83 (2)%
Purchase of concentrate
Total purchase of concentrate excluding 4E production now tolled
PGM production (5E+Au) 000 oz 361.9 374.6 371.0 322.1 373.8 (3)% (3)% 1,429.6 1,413.1 1%
Platinum 000 oz 169.8 175.1 177.6 149.9 172.6 (2)% (3)% 672.4 651.0 3%
Palladium 000 oz 85.3 89.0 86.6 75.7 90.5 (6)% (4)% 336.7 334.8 1%
Total purchase of concentrate including 4E production now tolled
PGM production (5E+Au) 000 oz 361.9 374.6 371.0 322.1 569.0 (36)% (3)% 1,429.6 2,190.3 (35)%
Platinum 000 oz 169.8 175.1 177.6 149.9 289.4 (41)% (3)% 672.4 1,115.1 (40)%
Palladium 000 oz 85.3 89.0 86.6 75.7 148.6 (43)% (4)% 336.7 566.6 (41)%
Joint ventures purchase of concentrate
PGM production (5E+Au) 000 oz 115.6 124.1 114.1 105.2 129.5 (11)% (7)% 459.0 477.1 (4)%
Platinum 000 oz 51.8 54.9 52.1 46.9 57.7 (10)% (6)% 205.8 213.3 (4)%
Palladium 000 oz 34.0 36.9 32.4 31.2 38.0 (11)% (8)% 134.5 140.0 (4)%
Third party purchase of concentrate excluding 4E production now tolled
PGM production (5E+Au) 000 oz 246.3 250.5 256.9 216.9 244.3 1% (2)% 970.6 936.1 4%
Platinum 000 oz 118.0 120.3 125.5 102.9 114.8 3% (2)% 466.7 437.7 7%
Palladium 000 oz 51.3 52.1 54.2 44.6 52.5 (2)% (2)% 202.2 194.8 4%
Purchase of concentrate production now tolled
4E production (Pt, Pd, Rh, Au) 000 oz - - - - 195.2 (100)% - 777.1 (100)%
Platinum 000 oz - - - - 116.9 (100)% - 464.1 (100)%
Palladium 000 oz - - - - 58.1 (100)% - 231.8 (100)%
Anglo American Platinum Q4 2019 Q4 2019 FY 2019
PGM Production Report - Q4 2019 Q4 Q3 Q2 Q1 Q4 vs vs FY FY vs
1 October 2019 - 31 December 2019 2019 2019 2019 2019 2018 Q4 2018 Q3 2019 2019 2018 FY 2018
Refined production excluding tolling and 4E purchase of concentrate now tolled in all periods
PGM (5E+Au) 000 oz 1,308.8 1,168.4 1,216.2 787.3 1,284.9 2% 12% 4,480.7 4,029.3 11%
Platinum 000 oz 624.9 564.4 559.0 364.1 624.7 0% 11% 2,112.3 1,947.4 8%
Palladium 000 oz 394.4 355.4 410.8 267.6 421.0 (6)% 11% 1,428.2 1,280.8 12%
Base metal production
Nickel tonnes 6,388 6,827 5,591 4,231 6,723 (5)% (6)% 23,036 23,072 (0)%
Copper tonnes 4,157 3,343 3,554 3,157 4,242 (2)% 24% 14,211 14,298 (1)%
Chrome 000 t 247.6 236.9 240.9 183.3 179.5 38% 4% 908.7 859.0 6%
Toll refined production
4E 000 oz 174.7 168.7 153.4 - - 10% 496.9 -
Platinum 000 oz 104.4 100.9 97.9 - - 3% 303.2 -
Palladium 000 oz 54.0 51.4 49.1 - - 5% 154.4 -
Refined production excluding tolling
PGM Production (5E+Au) 000 oz 1,317.4 1,192.0 1,272.5 868.1 1,525.1 (14)% 11% 4,650.0 4,776.6 (3)%
Platinum 000 oz 629.7 578.5 591.0 411.7 770.9 (18)% 9% 2,210.9 2,402.4 (8)%
Palladium 000 oz 396.6 362.0 428.4 293.6 493.8 (20)% 10% 1,480.5 1,501.8 (1)%
Minor PGMs and gold 000 oz 291.0 251.5 253.2 162.9 260.4 12% 16% 958.5 872.5 10%
Sales volume excluding trading and 4E purchase of concentrate now tolled in all periods
PGM (5E+Au) 000 oz 1,414.1 1,022.9 1,205.6 786.6 1,274.0 11% 38% 4,429.1 4,462.6 (1)%
Platinum 000 oz 662.0 522.2 557.8 358.2 629.8 5% 27% 2,100.3 1,963.4 7%
Palladium 000 oz 432.7 309.7 451.3 259.9 388.3 11% 40% 1,453.5 1,288.4 13%
Sales volume excluding trading
PGM (5E+Au) 000 oz 1,425.3 1,048.4 1,275.1 884.9 1,507.2 (5)% 36% 4,633.7 5,224.9 (11)%
Platinum 000 oz 668.4 537.4 595.2 414.2 776.9 (14)% 24% 2,215.1 2,424.2 (9)%
Palladium 000 oz 435.8 316.9 475.9 292.1 455.3 (4)% 38% 1,520.7 1,513.1 1%
Trading sales volume (7)
PGM (5E+Au) 000 oz 54.3 110.1 117.0 67.7 18.0 201% (51)% 349.0 223.1 56%
Platinum 000 oz 10.6 17.5 13.0 5.0 1.5 603% (40)% 46.1 94.0 (51)%
Palladium 000 oz 42.8 79.6 81.0 58.7 16.5 159% (46)% 262.2 124.5 111%
Realised metal, Fx and realised basket prices
Platinum (US$/oz) 895 877 837 823 819 9% 2% 861 871 (1)%
Palladium (US$/oz) 1,758 1,501 1,400 1,399 1,129 56% 17% 1,518 1,029 48%
Rhodium (US$/oz) 5,525 3,791 3,006 2,631 2,512 120% 46% 3,808 2,204 73%
Average Fx achieved on sales ZAR/US$ 14.68 14.70 14.38 14.09 14.26 3% (0)% 14.50 13.33 9%
US$ realised basket price (/Pt oz) 3,187 2,611 2,731 2,620 2,042 56% 22% 2,819 2,219 27%
ZAR realised basket price (/Pt oz) 46,748 38,343 39,266 36,924 29,133 60% 22% 40,862 29,601 38%
US$ realised basket price (/PGM oz) 1,494 1,338 1,275 1,226 1,052 42% 12% 1,347 1,030 31%
ZAR realised basket price (/PGM oz) 21,921 19,653 18,329 17,283 15,017 46% 12% 19,534 13,734 42%
(7) Trading sales volume – not produced by Anglo American Platinum operations
Note: (5E+Au) refers to Platinum, Palladium, Rhodium, Iridium, Ruthenium + Gold
(4E) refers to Platinum, Palladium, Rhodium, Gold
Sponsor
Merrill Lynch South Africa Proprietary Limited
For further information, please contact:
Investors: Media:
Emma Chapman Jana Marais
(SA) +27 (0) 11 373 6239 (SA) +27 (0) 11 638 2607
emma.chapman@angloamerican.com jana.marais@angloamerican.com
Notes to editors:
Anglo American Platinum Limited is a member of the Anglo American plc Group and is a 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 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, more electrified 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, nickel
and manganese – 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
Date: 23-01-2020 09:00:00
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