Latest news with #ValterraPlatinum
Reuters
4 days ago
- Business
- Reuters
Zimbabwe platinum miners owed millions in unpaid export earnings
HARARE, Aug 5 (Reuters) - Zimbabwe's platinum miners are owed millions of dollars in unpaid exports income under the government's foreign currency retention rules, the mining chamber has said, hurting operations in a sector battling to recover from a price collapse. The southern African country requires all exporters to retain only 70% of their proceeds in foreign currency, with the balance being converted to local currency. The world's third largest producer of platinum group metals after neighbour South Africa and Russia, says it needs the foreign currency to fund vital imports and repay foreign loans. Platinum producers in Zimbabwe, who include Valterra Platinum, Impala Platinum's (IMPJ.J), opens new tab Zimplats ( opens new tab and Mimosa, a joint venture between Impala and Sibanye Stillwater (SSWJ.J), opens new tab, exported PGM mattes and concentrates worth $690 million in the first half of this year, government data shows. However, the government has not been paying the miners the local currency equivalent of their export earnings since January, an official at the mining chamber told Reuters. Deputy finance minister Kuda Mnangagwa confirmed that the government had fallen behind on paying the miners. "There were issues of cash flow constraints, particularly in the first quarter of the year when our revenue collections are at their lowest," Mnangagwa told Reuters on Tuesday. He added that the government was talking to platinum miners to ensure "that these delays don't burden their operations". Platinum group metals, used to make catalytic converters that curb vehicle emissions, are Zimbabwe's second most valuable mineral export, behind gold. Zimbabwe exported gold worth $1.8 billion during the first half of 2025, up from $870 million during the same period last year, thanks to record high bullion prices. Gold producers have also complained about Zimbabwe's foreign currency retention rule, which they say eats into their income when part of their export proceeds are converted into an overvalued local currency.
The Herald
29-07-2025
- Business
- The Herald
SA will seek new markets for minerals if US imposes high tariffs: Mantashe
South Africa will need to seek out alternative markets for its critical minerals exports if the US hits the country with steep tariffs, said mineral and petroleum resources minister Gwede Mantashe on Tuesday. South Africa is by far the world's leading producer of platinum group metals (PGMs), which are used in car catalytic converters and are among critical minerals subject to a US investigation that could result in new import levies. Washington launched that probe in part to pressure Beijing. China is a top global producer of 30 of the 50 minerals considered critical by the US Geological Survey and has been curtailing exports. 'If the US imposes high tariffs, we must look for alternative markets,' said Mantashe on the sidelines of a G20 meeting on critical minerals. South African exports of mineral products and precious metals to the US were valued at R65.3bn ($3.64bn) last year. PGMs, largely produced by miners Valterra Platinum and Impala Platinum, accounted for 76.3% of that total. Other South African exports to the US — its second-biggest bilateral trading partner after China — include gold, diamonds, iron and manganese ores, and coal. 'We should never be bullied for our own resources. If people want to trade with us, it must be on terms that are mutually beneficial,' Mantashe said. As President Donald Trump has sought to leverage tariff threats to reshape global trade, South Africa has had a fraught relationship with his administration, which has attacked its domestic race policy and its genocide case against Israel. South Africa's exports to the US are facing the prospect of a 30% baseline tariff from August 1, though PGMs are currently excluded from those levies. Pretoria is awaiting a response from Washington to a counterproposal it submitted last month in hopes of avoiding the 30% rate, South African officials said on Monday. Reuters
TimesLIVE
29-07-2025
- Business
- TimesLIVE
SA will seek new markets for minerals if US imposes high tariffs: Mantashe
South Africa will need to seek out alternative markets for its critical minerals exports if the US hits the country with steep tariffs, said mineral and petroleum resources minister Gwede Mantashe on Tuesday. South Africa is by far the world's leading producer of platinum group metals (PGMs), which are used in car catalytic converters and are among critical minerals subject to a US investigation that could result in new import levies. Washington launched that probe in part to pressure Beijing. China is a top global producer of 30 of the 50 minerals considered critical by the US Geological Survey and has been curtailing exports. 'If the US imposes high tariffs, we must look for alternative markets,' said Mantashe on the sidelines of a G20 meeting on critical minerals. South African exports of mineral products and precious metals to the US were valued at R65.3bn ($3.64bn) last year. PGMs, largely produced by miners Valterra Platinum and Impala Platinum, accounted for 76.3% of that total. Other South African exports to the US — its second-biggest bilateral trading partner after China — include gold, diamonds, iron and manganese ores, and coal. 'We should never be bullied for our own resources. If people want to trade with us, it must be on terms that are mutually beneficial,' Mantashe said. As President Donald Trump has sought to leverage tariff threats to reshape global trade, South Africa has had a fraught relationship with his administration, which has attacked its domestic race policy and its genocide case against Israel. South Africa's exports to the US are facing the prospect of a 30% baseline tariff from August 1, though PGMs are currently excluded from those levies. Pretoria is awaiting a response from Washington to a counterproposal it submitted last month in hopes of avoiding the 30% rate, South African officials said on Monday.
IOL News
28-07-2025
- Business
- IOL News
Valterra Platinum's transition year: Profit falls 81% as new opportunities emerge
Workers at Valterra Platinum's Dishaba mine in Rustenburg. Dishaba is part of the Amandelbult complex in Limpopo, alongside Tumela Mine. Valterra has reaffirmed its 2025 M&C and refined production guidance and is on track to deliver R4bn in operating cost savings for the full 2025 financial year. Image: Supplied Valterra Platinum's half-year profit slumped 81% in a pivotal period of transition that saw the demerger from Anglo American, the launch of a new identity, and a secondary listing on the London Stock Exchange. Valterra's share price slipped 2.19% on the JSE Monday morning to R855.90 after the release of the results for the six months to June 30, but the price is nonetheless 22.5% higher than at the same time last year. Headline earnings per share fell 81% to R4.73 per share, mainly due to demerger costs and lower output. Headline earnings came to R1.2 billion, down from R6.5bn in the same period last year. Platinum group metals (PGM) sales fell by 25% to 1.48 million ounces, due mainly to the impact of flooding at its Amandelbult operations after heavy rains in February. The interim dividend of R2 per share was 79% lower than a year before. Own mined M&C (mining and concentrating) production, excluding Amandelbult, was in line with the prior year at 770 000 ounces. Updating shareholders on the transition process on Monday, CEO Craig Millar said they had reconstituted an independent board of directors and significant progress had been made in transitioning from Anglo American's centralised services. Transitional agreements were in place for some services, while other skills had been recruited where necessary. He said the group had responded swiftly to the extreme flooding at Amandelbult, and as a result, the Tumela Mine lower section was recommissioned ahead of schedule in June, with full ramp-up expected in the third quarter. Video Player is loading. 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Next Stay Close ✕ Some 450 000 - 480 000 ounces of M&C PGM production was forecast for Amandelbult for the year, and normalised production was expected in 2026. The pre-feasibility study for the Sandsloot underground project had been completed. 'The investment case for Sandsloot is compelling, and our approach remains 'value over volume' with the potential to introduce higher underground grades at between 4 grams to 6 grams per ton to blend with open cast ore. This is the first step towards our targeted 10% to 50% overall increase in Mogalakwena M&C production and a 10% to 20% reduction in AISC (all-in sustaining cost).' Post the pre-feasibility study completion, medium-term capital guidance for Sandsloot Underground had been reduced to between R1.5bn and R2.5bn per year to advance the project, from R2bn to R3.3bn previously. An investment decision was expected to be made in the first half of the 2027 financial year. Looking to the second half, Millar said they had reaffirmed their 2025 M&C and refined production guidance, and the group was on track to deliver R4bn in full-year operating cost savings. The liquidity headroom was healthy at R27bn. During the first half, refined PGM production fell by 22% to 1.39 million ounces due to lower M&C production and a three-yearly stock count at the Precious Metals Refinery. The previous year's volumes also included built-up work in progress inventories. PGM sales volumes fell by 25% to 1.48 million ounces, in line with lower refined production. AISC were $962 per 3E ounce, 1% higher than the first half of 2024, excluding the Amandelbult flooding impact, or $1 213 per 3E ounce including the flooding impact. Progress on the Sandskloof project during the period included a bulk ore sample of 31 000 tons of reef stockpiled, 12.8km of exploration drilling and advancing the decline development by a further 1.6km during, bringing total exploration drilling since inception to 43km and the cumulative decline development to 8km. Visit:
Reuters
28-07-2025
- Business
- Reuters
Platinum price rally pulls producers from the brink, Valterra CEO says
JOHANNESBURG, July 28 (Reuters) - The platinum price rally during the first half of 2025 has helped most mines recover from loss-making positions but the industry is still far from adding new production, Valterra Platinum (VALJ.J), opens new tab CEO Craig Miller said on Monday. South African miners, which account for over 70% of the world's platinum supply, cut out unprofitable production over the past two years after metal prices collapsed, amid warnings that the industry was in terminal decline. Prices of the metal, used to make catalytic converters that curb vehicle emissions, surged 36% in the second quarter, lifted by rising Chinese imports and heavy flows into NYMEX exchange stocks under the threat of U.S. import tariffs, at a time when South African output has dropped. "About 90% of the industry is now making money or just breaking even, versus 40% at the end of last year," Miller told Reuters in an interview. However, prices are still not high enough for the industry to consider adding new production, he added. "You need to see another 50% increase in prices in order to incentivise that new production to come to market. So we still think there's some way to go," Miller said. Valterra, formerly Anglo American Platinum, reported an 81% slump in half-year profit, hit by lower output and costs associated with its demerger from the Anglo American group. Headline earnings were 1.2 billion rand ($67.62 million) in the six months to June 30, down from 6.5 billion rand a year earlier. Valterra declared an interim dividend of 2 rand per share, down 79% from the payout a year earlier. The world's biggest PGM producer by value demerged in June and is now listed separately in Johannesburg and London while global mining giant Anglo restructures its business to focus on copper. ($1 = 17.7452 rand)
