Name of the Project
Styldrift I expansion project.

Location
South Africa’s North West province.

Project Owner/s
Royal Bafokeng Platinum (RBPlat).

Project Description
The Styldrift project area is located about 5.5 km from the existing Bafokeng Rasimone Platinum Mine (BRPM).

The project will exploit one of the last major shallow Merensky mining blocks on the Western Bushveld.

Styldrift I will deliver an underground trackless operation, which is accessed through a twin vertical shaft system, consisting of sinking the main shaft to 753 m and the services shaft to 723 m.

The configuration of the main shaft has been equipped and commissioned, and allows for a single-deck personnel-and-material cage compartment that can transport 180 people; a cage counterweight compartment; two Merensky reef skip compartments, each designed to accommodate a 22 t skip; and two future skip compartments, each capable of accommodating a 13 t skip. The services shaft has been equipped and commissioned, and allows for a personnel-and-equipment cage and counterweight compartment that can transport 22 people.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Not stated.

Capital Expenditure
The project is estimated at about R12.4-billion.

Planned Start /End Date
Steady-state production is expected in the third quarter of 2020.

Latest Developments
RBPlat boosted its production in the three months to March 31, in spite of several setbacks during the period.

New contract teams now form part of the Styldrift operations, where the shift cycle has been elevated to full calendar operations from the previous 11-day-fortnight shift cycle.

Styldrift delivered 68.5% more tonnes to 337 000 t and milled tonnes increased by 59.4% to 330 000 t. Head grade improved by 18.2% to 3.83 g/t on higher-grade stoping tonnage.

Expansion capex remains aligned with the Styldrift mining, construction and equipping schedule required to meet the 230 000 t/m ramp-up schedule. Capex for the reporting period amounted to R266.8-million, bringing the total project capex to date to R12.07-billion.

Meanwhile, the project continues to make steady progress with the key items completed during the reporting period, including the completion of ventilation shaft No 2 raiseboring, the commissioning of two more on-reef strike belt sections and the commissioning of two more trackless workshops.

Key Contracts and Suppliers
WorleyParsons (main project engineering); Anglo Technical Division (mine shaft design); Mining & Engineering Technical Services, or Mets (services shaft headgears); Shaft Sinkers (main and services shafts and associated works until January 2015, when RBPlat terminated its contract); Louwill Engineering (main and services shafts headgears and winder-house structural manufacturing and erection); FLSmidth Minerals (main shaft personnel and material winder mechanical portion); Actom – formerly Alstom Industry (main shaft personnel-and-material winder – electrical portion); Coilmech (service winder – mechanical and electrical portions); Stefanutti Stocks Civils Wramatshe joint venture (civils Phase 2 contract – main bulk surface civils); Sarens (cranes), Sandvik Mining (underground primary trackless fleet); Fermel (secondary trackless fleet); Master Drilling, Murray & Roberts and Redpath (vertical raiseboring) and Howden (surface fan supply and installation).

All procurement and construction management are currently owner-managed.

On Budget and on Time?
Styldrift remains on schedule to achieve the 230 000 t/m ramp-up by the third quarter of 2020.

Contact Details for Project Information
RBPlat executive: corporate affairs Mpueleng Pooe, tel +27 10 590 4515 or email mpueleng@bafokengplatinum.co.za, or investor relations executive Lindiwe Montshiwagae, tel +27 10 590 4517 or email lindiwe@bafokengplatinum.co.za.