Implats to pour $30m into new project

JOHANNESBURG – Impala Platinum (Implats) said it is prepared to put $30million (R398m) to its new platinum project in the northern Waterberg region.

According to Implats authorities, the money will help stabilise the project and ensure that it becomes a success.

The South Africa’s Chamber of Mines recently reported that 65percent of platinum operations across South Africa are not up-to standard and have been losing money in recent years in the face of depressed prices.

Implats authorities on the other hand believe the platinum industry is a risk worth taking as the resource has “an attractive risk profile given its shallow nature.”

Implats says the $30million amount will assist in purchasing new machinery and all the required facilities for improved extraction of platinum.

“This facilitates fully mechanised production with the potential for the project to have among the lowest operating costs in the platinum group metals sector,” said Implats.

The company also expects a 16 percent raise in profit the moment the project is in its full swing.

As the world’s number 2 platinum producer, Implats is confident that the project will be a success and confirmed that “definitive feasibility study” (DFS) of the project were already underway.

Yesterday, Implats shares extensively rose from 2.11percent to close at R32.45 on the JSE.

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