Zimplats, a member of the Impala Platinum (Implats) group, has declared a final dividend of $120-million for the year ended June 30, 2022, which was paid on September 8, it says in its directors’ report and condensed consolidated interim financial statements for the half-year ended December 31, 2022.

After the reporting date, the board declared an interim dividend of $100-million for the half-year ended December 31, 2022.

In the previous reporting period, a final dividend for the year ended June 30, 2021, amounting to $85-million, was paid on September 3, 2021.

The group reported a 9% year-on-year increase in ore mined for the six months to 3.8-million tonnes from 3.5-million tonnes for the same period last year.

This was mainly owing to increased production at the Bimha and Mupani mines.

The Bimha mine has been upgraded from 2.5-million tonnes a year to 3.1-million tonnes a year, while Mupani’s budget production output has increased from 400 000 t/y to 1.1-million tonnes a year.

Tonnes milled increased by 9% year-on-year to 3.4-million tonnes.

Platinum, palladium, rhodium, gold, ruthenium and iridium (6E) mill head grade at 3.39 g/t was marginally lower than the 3.41 g/t achieved in the prior comparable period owing to an increased contribution of ore from lower-grade mines.

Zimplats says its 6E production increased by 6% to 300 738 oz from 283 829 oz, mainly owing to the introduction of the third concentrator module during the half-year.

Average prices for most of the metals decreased except for nickel.

Revenue at $545.5-million was 7% lower year-on-year, largely owing to lower sales volumes with actual 6E ounces sold at 291 751 oz against 322 752 oz in the prior period.

The prior period benefitted from the sale of matte produced and stockpiled owing to the administrative delay in the export of matte towards the end of the previous financial year.

The depressed average dollar metal prices also had an adverse impact in the current period.

The group generated net cash inflows from operating activities amounting to $122-million and paid dividends of $120-million.

The group’s capital projects programme for the half-year under review focused on maintaining current production levels through mine replacements and upgrades; expanding production levels through growth projects; refurbishing the mothballed base metals refinery; and investing in a 185 MW solar plant.

The group recorded three lost-time injuries (one fatal) during the half-year, resulting in a lost-time injury frequency rate of 0.30 per million-man hours against a tolerance of 0.35.

The fatal accident involved Lydia Gore, a general hand, who was struck by a rock that dislodged from the face in December at the Bimha mine. Her medical condition deteriorated while at hospital owing to complications arising from the injuries, and she passed away on December 25, 2022.

Zimplats says the learning points from this accident are being implemented.

No incidents relating to environmental non-compliance were recorded during the half-year.

The group continued with the quest to improve water stewardship with recycled water accounting for 39% of total water consumed.

It is on course to achieve more than 40% by the end of the financial year.

Rehabilitation of the openpits and the tailings storage facilities progressed as planned during the period under review.

OUTLOOK

Zimplats outlines its strategy as delivering and sustaining its zero-harm aspiration in this growth phase and beyond, centred on the enforcement of measures that mitigate its top risks.

In addition, the group says it will leverage on technology that detects leading indicators in the short term and adopt prescriptive technology that triggers real-time intervening action to prevent accidents in the long term.

It anticipates that these measures will result in a robust safety culture that promotes a sustainable zero-harm workplace.