Mimosa

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Mimosa recently completed the Wedza phase 5.5 project, resulting in production increasing to 101 000 ounces of platinum in concentrate.

Mimosa performance

Business summary

Taking a break underground at Mimosa Mine, Zimbabwe.

Mimosa achieved another excellent safety performance with no fatalities during the period. The lost-time injury frequency rate improved by 33% to a new low of 0.35 per million man-hours worked.

Since Implats’ acquisition of a 50% stake in Mimosa early in the decade, the operation has undertaken a number of expansion projects, culminating in the recently completed Wedza phase 5.5 project. These have resulted in production increasing from 15 000 ounces to the current 101 000 ounces of platinum in concentrate.

Unit costs increased by 14.7% to $1 194 per platinum ounce in concentrate as a result of the dollarisation of the economy, strengthening of the rand against the US currency and higher mining costs due to a combination of conveyor breakdowns, bad ground conditions and a delay in commissioning of the new ventilation shaft as a result of the late delivery of equipment.

During the year regulations on indigenisation were gazetted. The Company’s response to these proposals was submitted to the relevant authorities on 14 April.

Five-year outlook

The operation is now running at a steady-state throughput  of 2.3 million tonnes per annum, equivalent to 100 000 ounces of platinum in concentrate.

Growth potential exists through increased production from the southern portion of South Hill and the exploitation of North Hill. Both areas are currently the subject of a pre-feasibility study and will require significant additional smelting and base metal refining capacity should they be brought into production to accommodate the base metal-rich concentrate. Consequently no expansion is envisaged in the five-year outlook period.