While midtier platinum-group metals producer Royal Bafokeng Platinum’s (RBPlat’s) interim results for the six months ended June 30  will be released only on August 5, engineering and projects head Neil Carr tells Mining Weekly that the company’s Bafokeng Rasimone Platinum Mine (BRPM) North Shaft Merensky Phase 3 and Styldrift 1 Shaft projects, in the North West, are progressing well.

He says the BRPM North Shaft Merensky Phase 3 project, which involves the extension of the existing decline and associated infrastructure from level 10 to the mining boundary at level 15, is progressing well.

“By the end of the first quarter, the project was 61% complete, which is 6% ahead of the planned schedule.”

Carr says the project remains within budget and adds that, for the first quarter of the year, RBPlat spent R32.4-million on developing the project, which means that R617.7-million had been spent on the project as at March 31.

“Mechanised mining methods are being used to develop Phase 3. However, once the project is in operation . . . development will be mechanised and on-reef stoping [will be] conventional.”

Carr explains that, as the upper levels of the mine are mined out, crews will be redeployed to the new lower levels.

At steady-state production, Phase 3 will maintain the current production level of North Shaft, which is about 100 000 t/m.

“The project continues to make steady progress and remains on track for completion in the third quarter of 2017,” adds Carr.

Labour Relations

He highlights that RBPlat had stable labour relations amid the industrywide labour unrest and the protracted strike impacting on platinum majors Anglo American Platinum, Impala Platinum and Lonmin Platinum, spearheaded by trade union Association of Mineworkers and Construction Union.

The labour union to which the majority of workers at RBPlat operations belong is the National Union of Mineworkers (NUM).

Carr attributes the stability of RBPlat’s labour relations to the company policy of regarding mineworkers “as partners”.

RBPlat’s three-year wage agreement with the NUM is due to expire at the end of this month.

He further notes that, for the first quarter of the year, RBPlat registered a serious-injury frequency rate (SIFR) of 0.49 for every 200 000 hours worked and a lost-time-injury frequency rate (LTIFR) of 0.69 for every 200 000 hours worked.

Styldrift 1 Shaft

RBPlat’s Styldrift 1 Shaft project, which is adjacent to the existing Boschkoppie mine, will exploit one of the last major shallow Merensky mining blocks on the Western Bushveld.

Carr tells Mining Weekly that the project remains on schedule for the start of production ramp-up in 2015 and is operating within budget.

By the end of the first quarter, the 10.5-m-diameter main shaft had been sunk to 708 m, which will be the shaft’s silo and ore loading level.

The 6.5-m-diameter service shaft has been sunk to 723 m below surface, being the shaft bottom.

“The current key focus areas for the Styldrift 1 Shaft project include the lateral development of the 600, 642 and 708 levels and sinking of the main shaft to the 758 m shaft bottom,” says Carr.

For the first quarter of the year, the mine achieved 527 m of lateral development on the levels – ahead of the planned 425 m lateral development.

RBPlat plans to start production build-up by July 2015. This process will be rolled out over three years, with the project reaching full capacity by July 2018.

An estimated 60-million tons will be extracted over the life of the mine, which will operate from 2015 to 2043.

The mine will process 230 000 t/m of Merensky reef and 20 000 t/m of waste during steady-state production and will produce about 220 000 oz/y of platinum. RBPlat’s total platinum ounce production will therefore increase to about 400 000 oz/y of platinum.

Carr notes that Styldrift 1 Shaft will be fully mechanised using the bord-and-pillar mining method, mining load-haul-dump loaders, drill rigs and bolting machines for the mine development and stoping operations.

He further points out that, in November last year, RBPlat selected shaft sinking and mine access development company Aveng Mining Shafts & Underground, a division of Aveng Africa, as the preferred mining contractor for the Styldrift project. The 36-month contract requires Aveng to assist RBPlat in ensuring that the project’s development and ramp-up are complete by July 2018.

“Aveng is advising the company on several matters, including its mine plan layout and related matters. However, as of 2015, Aveng will mobilise crews to assist with development works and stoping operations at the Styldrift mine,” Carr states.

The Styldrift 1 Shaft project recorded an SIFR of 0.82 and an LTIFR of 1.64 for every 200 000 hours worked for the year ended December 31, 2013.

Carr further emphasises that, from January to March this year, the project registered no serious or lost-time injuries.

Capital expenditure (capex) for the first quarter was R242-million, while total capex on the project to date is R2.7-billion.

Meanwhile, a prefeasibility study on a possible Styldrift 2 project is currently under way, with completion of the study expected in the first quarter of 2015.

RBPlat investor relations manager Lindiwe Montshiwagae tells Mining Weekly that, by the time Styldrift 1 operations reach full capacity in 2018, “the platinum [commodity] market is likely to have improved and RBPlat will be able to capitalise on this by achieving solid returns on investment”.