Strategy and business model


Every year the Board and the Executive Committee review our strategy and the key material issues that need to be addressed if we are to achieve our strategic objectives.

We measure our achievements in terms of our four strategic pillars by annually setting key financial and non-financial performance indicators. We continually measure our performance against these indicators.

Our performance against our strategy

Achieve zero harm
Optimise volumes
Reduce unit costs
Labour stability
Meet Mining Charter commitments
Effective operational flexibility addressed through:
Maintaining our IMS panel ratio
Processing flexibility and capacity
Achieved Styldrift Mine 150ktpm milestone
Royalty agreements
Mergers and acquisitions

Legend: Achieved   Partially achieved Not achieved

We use our business model to create economic value for all our stakeholders

    Values designed to deliver earnings and growth, and create shared value:

    Safety and people first

    • Mining is a high-risk business and cannot succeed without total trust, respect, teamwork and uncompromising commitment to safety and people first

    Promises delivered

    • We do what we say we will do

    Mutual interests and
    mutual rewards

    • We have mutual goals and mutual interests and we depend on each other to realise our vision and mission
    • We operate in good faith, openly and transparently
    What differentiates us

    Great people including

    • An experienced management team
    • RBPlat’s development of a brand based on a loyal working culture
    • Labour stability
    • A highly skilled workforce

    The RBPlat brand built on

    • Strong environmental, social and governance practices
    • Trust, delivery and vision
    • Black community ownership

    Our position on the cost curve

    • High grade long-life Merensky producer
    • Low-cost bord and pillar mechanised mining at Styldrift Mine
    • Modular approach to processing capacity
    Our key assets and capabilities

    Highly competitive ore bodies in the form of

    • Shallow high grade Merensky resources
    • Long life Merensky and UG2 resources

    Efficient processing plants

    • Flexible processing
    • Operational flexibility

    Appropriate proven technologies applied in our

    • Mechanisation of Styldrift and BRPM Phase III hybrid mining
    • Optimisation and application of technologies

    Financial standing which includes

    • Supportive shareholders
    • Maintaining a strong balance sheet
    Our promise to stakeholders

    We are focused

    • With a clear value proposition
    • And we will pursue diversification when there is a tangible advantage to doing so

    Establish RBPlat as a first quartile performer

    • That delivers better returns — benchmarked across multiple dimensions
    • Our returns are sustainable

    Believe in being More than mining

    • We care for our employees, communities and our environment
    • We lead by being accountable

    Leader in transformation

    • We are a model of transformation in the mining industry
    Our focus: products, value chain and geography


    • PGMs are our core focus
    • Plus any by-products that can be mined synergistically

    Mining and concentrating

    • We operate mines and concentrators
    • Our portfolio currently excludes greenfield exploration, smelting, further beneficiation, or downstream integration

    South Africa is our base

    • Where we own competitive assets but are open to opportunities elsewhere

    We have one major client

    • Which is Anglo American Platinum (Amplats)
    • Amplats relies on our quality concentrate volumes, while we rely on their processing capacity
    Our operating model and how we will win

    Operational excellence from our

    • Performance-driven culture
    • Commitment to zero harm
    • Focus on labour stability
    • Appropriate technologies

    High flexibility from

    • Agile decision-making
    • Merensky and UG2 optionality
    • Levers to respond to market changes

    Organic growth through

    • Styldrift Mine and Styldrift II/Maseve
    • Long life of mine




  • R1.3 billion in cash on hand
  • R1.5 billion available in term debt and revolving credit facilities
  • R508 million in general banking facilities of which R119.4 million was used for guarantees
  • NAV of R10.7 billion
  • Our competitive position on the cost curve
  • Royalty agreement with Implats


  • Volatile commodity markets and depressed platinum demand
  • Market appetite impact on our ability to raise the funding we require for growth and acquisitions
  • Global and local economies
  • Operational flexibility provided by our shallow high grade Merensky and UG2 ore bodies
  • Long life Merensky and UG2 resources
  • Flexible, efficient processing capacity
    • BRPM concentrator at 250ktpm
    • UG2 toll concentrating agreement at 30ktpm
    • Maseve concentrator at 100ktpm
  • Low-cost producer
  • Ability to optimise volumes


  • Maintaining unit increases below CPI
  • Two phase ramp-up of Styldrift
    • 150ktpm milestone fourth quarter 2018
    • 230ktpm milestone third quarter 2020
  • Maseve concentrator ramp-up
  • Performance-driven culture
  • Leader in transformation
  • Flexible, agile management team and skilled workforce that support strategy delivery and sustainability
  • Labour stability
  • Substantial investment in skills development and training with a focus on safety leadership skills andimproved comprehension
  • Invested in a healthy, productive workforce through provision of medical cover


  • Improving safety performance by reducing total injuries and zero fatalities
  • Maintaining labour and community stability
  • Technical know-how
  • Ethical and effective leadership
  • Best practice corporate governance
  • Optimised risk management
  • Value-enhancing supply chain management processes
  • Industry-leading collision avoidance systems
  • Expansion and integration of technology at our operations


  • Establishing an ethical culture in the current South African environment
  • Cost of digitisation
  • Social licence to operate
  • Ongoing focus on stakeholder engagement, with increased focus on community engagement
  • SLP investment
  • Employing members of local communities
  • Creating value through our Employee Home Ownership Scheme
  • Strong brand built on strength of environmental, social and governance practices


  • Expectations of communities under stress as a result of unemployment, poor performance of economy and lack of skills
  • Good stewardship of our mineral resources and reserves
  • Effective environmental and climate change management
  • Annual sustainability implementation plans and targets, including water and energy efficiency targets
  • Complying with applicable legislation and regulations


  • Legislative and regulatory compliance
  • Establishing resources and reserves at Maseve
  • Undertaking concurrent rehabilitation and financial closure provisioning of our operations
  • Unpacking and understanding environmental issues at Maseve







  • R883.5 million cash on hand
  • R2 500 million in term debt and revolving credit facility of which R1680 million was drawn
  • R508 million general banking facility of which R119.4 million was used for guarantees and R65.9 million was used to fund working capital
  • Net debt of R832.4 million
  • Net asset value of R15.7 billion
  • R4 168.9 million Group capital expenditure
  • Acquisition of Amplats’ 33% interest in BRPM JV resulted in dilution of RBH shareholding
  • Enlarged debt resulting in increase in finance costs
  • Achieved Styldrift 150ktpm milestone by October 2018
  • Phase III North shaft replacement project 98.8% completed at year-end
  • 12.2% increase in 4E metals
  • 13.2% increase in tonnes milled
  • 7km of development at Styldrift
  • BRPM IMS panel ratio of 1.92
  • 2 268kt of ore delivered by BRPM
  • 1 127kt delivered by Styldrift Mine
  • R16 145 cash operating cost per platinum ounce
  • Cash operating costs per platinum ounce increased
  • Drop off in concentrator recovery to 84.43% attributable to lower recoveries from Maseve MF1 circuit
  • Reduction in BRPM production due to suspension of unprofitable production of UG2 at South shaft
  • In 2020 we will be upgrading the Maseve plant to an MF2 circuit. This will:
    • Increase volumes
    • Provide option to exploit additional UG2 reserves
  • 13.6% increase in workforce
  • Two fatalities
  • Improved lost time injury frequency rates
  • Improvement in safety leadership
  • No strikes
  • 92.3% of our total workforce is black
  • 17.1% of our enrolled and fixed contractors were women
  • 58% of the enrolled employees we engaged in 2018 are from local communities
  • R112.4 million invested in legal and mandatory training, people development and SLP human resource development
  • R2.6 billion spent on employee remuneration and benefits
  • Increase in workforce allowed us to achieve organic growth through the ramp-up of Styldrift Mine to 150ktpm
  • Substantial investment in safety leadership skills has helped us gain abetter understanding of the causes of accidents and to address these causes
  • Injury-free completion of rehabilitation of Silo 4
  • Revised Code of Ethics and Ethics awareness programme and the use of data analytics to protect our supply chain from fraud and corruption
  • Digitisation of some of the key processes at Styldrift
  • The decision to rehabilitate Silo 4 as opposed to abandoning it due to technical conditions
  • Continuing improvement in stakeholder engagement
  • 56% increase in our annual spend on SLP projects to R63.2 million
  • 58% of enrolled employees engaged in 2018 are local community members
  • Over 1 000 employees have purchased homes in our Employee Home Ownership Scheme
  • 298 community members received portable skills training
  • R2.3 million invested in enterprise and supplier development (ESD)
  • 48.0% of our discretionary procurement was from HDSA businesses in our local and doorstep communities
  • While investing in our SLPs and doing what we can to contribute to the building of sustainable doorstep communities may mean using value that could have been attributed to shareholders, it is an essential investment in our social licence to operate
  • 33% increase in resources and reserves
  • 0.4% increase in total potable water consumption
  • 8.0% improvement in total water efficiency
  • 8.3% increase in electricity consumption
  • 2.2% increase in GHG emissions
  • Closure liability assessments conducted for all operations
  • Investing in the replacement of the return water pipeline at BRPM will improve the use of recycled water at the BRPM concentrator



    • Cash flow generated by the sale of our concentrate achieved by employing financial, human, manufactured and natural capital
    • Acquisition of Maseve
    • Acquisition of Amplats’ 33% participating interest in the BRPM JV held through its subsidiary, Rustenburg Platinum Mines (RPM)
    • Net asset value of R15.7 billion
    • 12.7% increase in saleable product in the form of platinum concentrate
    • Organic growth through the achievement of the 150ktpm milestone at Styldrift, a shallow bord and pillar mechanised mine
    • Purchase of Maseve concentrator will allow us to ramp-up Styldrift Mine to 230ktpm by the third quarter of 2020 and adapt to changes in market demand
    • Further extended life of BRPM North shaft through North shaft Phase III project
    • RBPlat has retained its position as a low-cost PGM producer
      (see changing business context section of this report)
    • Transformation leader
    • Disappointing overall safety performance
    • Increased understanding of safety risks and ability to prevent accidents resulted in reduction in LTIFR
    • Improvement in safety leadership skills achieved through ongoing investment in skills development
    • Labour stability
    • Key skills retained
    • 17.5% reduction in TB incidence rate
    • 1 9.3% reduction in the number of new cases of enrolled employees and contractors who tested positive for HIV
    • A productive, healthy workforce with the necessary skills
    • Maintained the OHSAS 18001 certification for BRPM and Styldrift
    • Infrastructure in place to ramp-up Styldrift Mine to 150ktpm
    • First phase of digital integration at Styldrift
    • Increased ability to protect the business from fraud and corruption
    • Responsible use of our supply chain to contribute to community sustainability
    • Through technical know-how successfully rehabilitated Silo 4 to support Styldrift ramp-up
    • Retained our social licence to operate
    • Increased focus on community engagement
    • ESD programme to provide business development advice and access to funding assistance in 2019
    • Community members better equipped to obtain value-creating employment through our education support and portable skills programmes
    • Contributed to community sustainability through HDSA discretionary procurement (R1.5 billion in capital goods, consumables and services from local HDSA businesses) in 2018
    • 22.53Moz increase in 4E resources
    • 5.65Moz increase in 4E reserves
    • Maintained the ISO 14001 certification for BRPM and Styldrift
    • 8.4% increase in total recycled water
    • Financial closure provisioning updated
    • Potable water cost saving of R8.9 million realised due to use of our water treatment plant