JOHANNESBURG (miningweekly.com) – Black empowered platinum miner Platmin anticipated production at its flagship Pilanesberg platinum mine (PPM), in the North West, to reach 180 000 oz/y in 2013, while the company would also break even this year, CEO Tom Dale said on Thursday.
This forecast was based on the company's solid performance in the fourth quarter of 2012.
Dale added that the company had achieved a 10% to 15% increase in volumes, as well as improved the performance of the density-monitoring system and the recovery rate at its concentrator plant, since taking over management thereof last year.
Platmin was also currently undertaking the design and testing phase of a two-year modification programme to potentially double the capacity of the concentrator plant, which currently stood at 400 000 t/m.
Dale said the upgrade, of which the initial implementation phases would start later this year, when a 50 000 t/m radar sorter pilot plant would be constructed, would allow for improved efficiency.
The upgrade included the installation of a R100-million upfront front-end crusher, a R150-million radar sorter system and R130-million worth of high-process grinding rolls, which would free up capacity in the mills.
Dale pointed out that Platmin was also testing a chemical alternative to smelting.
"This process will be more cost-effective, allow for higher metal recovery, use a fraction of the electricity compared with conventional smelting, and the discard is neutral," he stated at a site visit to the mine.
If successful, the new process would enable Platmin to undertake concentrated smelting on site, rather than sending it to Northam and Impala Platinum to be refined.
Engineering manager Dean Riley told Mining Weekly Online that the radar sorter system would assist in significantly improving the grades achieved at Platmin's PPM.
He said the company's current 1 800-strong workforce would eventually grow to about 9 000 when PPM was expanded to include a second mining pit and two underground operations.
He further noted that Platmin expected first production from its underground operations in the next four to five years.
Meanwhile, Dale indicated that the Department of Water Affairs (DWA) was in the final stages of considering the company's application for an integrated water-use license and that the findings of the Blue Scorpions' investigation, which would inform the DWA's decision, were also imminent.
He said the company aimed to re-list on the JSE and London Stock Exchnage under the new name of Sedibelo Platinum Mines by the fourth quarter of 2013; however, he noted that this would depend on market circumstances.
Last year Platmin, its Bakgatla-Ba-Kgafela Traditional Administration shareholders and the Industrial Development Corporation announced a deal that would double the operation's 50-million shallow platinum-group-metals resource ounces.
Further, Platmin's application to amend the closure objectives of its Tuschenkomst mining pit at the end of the 12- to 15-year life-of-mine had been approved by the Department of Mineral Resources in April last year.
The mining pit had, so far, operated for four years.
The company and its stakeholders agreed to flood a portion of the pit at the cessation of mine operations to create a 50-million-cubic-metre water reservoir for the surrounding communities, rather than to backfill it.
This was estimated to afford a R200-million cost saving. However, Dale pointed out that two-thirds of the void dam would still be back filled.