JSE-listed Royal Bafokeng Platinum (RBPlat) expects to report a loss a share of between 10.5c and 13.5c for the six months ended June 30, compared with a loss a share of 15c reported for the first half of 2017.
Its headline loss a share is, meanwhile, expected to be between 4.5c and 7.5c, compared with a headline loss a share of 15.3c in the corresponding period in 2017.
Notwithstanding a 7% increase in total ounce production, the revenue-accounted ounce production from the Bafokeng Rasimone Platinum Mine (BRPM) was about 8% down on the previous corresponding period, primarily owing to the closure of nonprofitable Upper Group 2 production at the BRPM South shaft.
This reduction was more than offset by a 6% reduction in BRPM’s cash operating costs, combined with an estimated 13% improvement in the revenue basket price achieved.
A R25.9-million impairment of feasibility study costs previously capitalised in respect of the Styldrift 100 000 t/m concentrator plant and R20.5-million in care and maintenance and operational readiness costs in respect of the newly acquired Maseve concentrator plant, negatively impacted on earnings.
RBPlat expects to release its interim results on or about August 6.