Quarterly review and production report for the period 1 January to 31 March 2013
- LTIFR and SIFR improved by 17% and 20% respectively
- 2.0 million fatality-free shifts achieved 2nd April
- Improved production output
- milled tonnes increased by 8%
- built-up head grade improved by 2%
- 10% increase in 4E metals in concentrate produced
- Marginal increase of 0.2% in operating cash cost / Pt oz
- Expansion and replacement projects remain on track and within budget
|Unit||Unaudited quarter |
31 March 2013
|Unaudited quarter |
31 March 2012
|March 2013 |
|SIFR (/200,000 hrs)||rate||0.36||0.45||20%|
|LTIFR (/200,000 hrs)||rate||0.56||0.67||17%|
|Tonnes delivered to concentrators||kt||555||532||4%|
|4E built-up head grade (delivered)||g/t||4.28||4.31||-1%|
|Total tonnes milled||kt||554||512||8%|
|% UG2 of total tonnes milled||%||17.9%||10.3%||74%|
|4E built-up head grade||g/t||4.19||4.11||2%|
|4E built-up head grade - Mer||g/t||4.31||4.22||2%|
|4E built-up head grade - UG2||g/t||3.63||3.15||15%|
|Metals in concentrate produced|
Cash operating costs
|Operating cash cost / tonne milled||R/t||886||874||-1.3%|
|Operating cash cost / 4E oz M&C||R/oz||7 565||7 559||-0.1%|
|Operating cash cost / Pt oz M&C||R/oz||11 677||11 648||-0.2%|
|SIB / operating cost %||%||4%||10%||59%|
RBPlat has recorded a 17% and 20% improvement in its lost time injury frequency rate (LTIFR) and serious injury frequency rate (SIFR) respectively when compared to the same period in 2012. The LTIFR and the SIFR rates improved by 27% and 43% respectively when compared to the fourth quarter of 2012.
Two Section 54 notices were issued during the quarter compared to seven in 2012. The stoppages resulted in a loss of 5 production shifts.
Zero harm remains one of the primary goals of RBPlat’s strategic objective to achieve operational excellence.
Total tonnes delivered to concentrators increased by 4%, whilst milled tonnes increased by 8% and the built-up head grade improved by 2% compared to the first quarter of 2012. The improvement in milled tonnes and built-up head grade yielded a 10% increase in 4E ounces-in-concentrate on a year-on-year basis.
The improved performance is attributable to a reduction in safety related stoppages and benefits accrued from our on-going operational flexibility strategy.
Cash operating costs
The year-on-year increase in cash operating cost per platinum ounce-in-concentrate produced was contained to 0.2% at R11,677, mainly due to benefits accrued from the 8% increase in milled tonnes.
Capital expenditure ended 19% lower for the period under review when compared to the same period in 2012, with reduced replacement and stay-in-business (SIB) expenditure off-setting the increased expansion related expenditure. Capital expenditure is aligned with the construction programmes of the various projects.
Styldrift I Project (expansion)
Shaft sinking operations have progressed to a depth of 658m at the Main shaft and 642m below surface on the Services shaft, with the stations at 600 and 642 levels being established at both shafts during the period under review.
Lateral development on both 600 and 642 levels continued during the quarter, with a total of 479m developed and 34m of raise boring having been completed to date. The next key sinking milestone, reaching the 708L station is planned for end April 2013.
Project surface construction has progressed according to plan, with the rock winder house, main substation and central workshops reaching completion during the quarter.
The capital expenditure for the quarter totalled R138.02 million, with the 2013 year estimated expenditure at R728 million (including contingencies and escalations). Project to date commitment had reached R2.280 billion and expenditure was R1.968 billion.
The overall project is on schedule, at 30.30% complete based on the revised project schedule resulting from the project optimisation study.
BRPM Phase III Project (replacement)
The Phase III replacement project entails the extension of the North shaft access infrastructure and associated reef infrastructure from level 10 to the boundary of the mine (level 15).
The overall project is 44% complete, and marginally ahead of schedule.
The project remains below budget, with expenditure for the quarter of R36.1 million and R446.3 million for the project to date.
The information set out in this announcement has not been reviewed and reported on by the company’s external auditors.
18 April 2013
Macquarie First South Capital (Pty) Limited
For further information, please contact:
Royal Bafokeng Platinum Limited
Lindiwe Montshiwagae: Investor Relations Manager
Tel: +27 (0) 10 590 4517