JOHANNESBURG - Royal Bafokeng Platinum (RBPlat) yesterday surprised the market with news that it had trimmed its production costs as it improved output in the quarter ended September.
RBPlat said that a 10.2percent increase of milled volumes at its Bafokeng Rasimone Platinum Mine (BRPM) coupled with a 2.9percent decline in cash operating had resulted in a 11.9percent decline in the unit cash operating cost a ton milled to R1081.
It said higher volumes at BRPM helped to cut the cost of producing platinum ounces by 10.9percent to R14535 for the quarter, the JSE listed company said. The BRPM is a joint venture between RBPlat and the world’s biggest platinum producer Anglo American Platinum.
RBPlat said that cash operating costs for the quarter declined 2.9percent to R724million compared to the corresponding period last year.
It said the costs came against the backdrop of a restructuring, which involved trimming operational fixed costs and suspension of the South shaft UG2 mining in favour of higher margin ounce production.