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JOHANNESBURG - JSE-listed Tharisa Minerals' share price gained more than 2percent yesterday after it said it had recovered from production hindrances giving credence to the platinum group metals (PGM) and chrome co-producer meeting its Vision 2020’s production targets. The share price closed at R21.50 on the JSE yesterday.

In a production report for the three months to the end of March, Tharisa said yesterday that PGM recovery was at 85.5percent with production of 34000 ounces, which represents a 1.2percent improvement quarter-on-quarter. Chrome recovery was at 62.9percent and production at 308700 tons, gaining 1.1percent.

Tharisa’s chief executive, Phoevos Pouroulis, said: ”I am pleased to report that we are once again on track to meet our Vision 2020 targets, in part assisted by substantial improvements from our mining operations in the second quarter.

“We have made considerable progress in redesigning the pit, which necessitated moving almost 1.3million cubic metres of additional in-pit material over the last six months.”

It said it had completed two-thirds removal of the required additional in-pit material for the pit optimisation.

The London and JSE listed firm, led by the Pouroulis family, said notable in the quarter under review was its overall ability to move increased volume.

“To support the delivery of our targets, we have fully assessed the mining fleet and brought forward the mining equipment replacement programme, where necessary. Tharisa has also made the appropriate investments to ensure the supply of consistent power to our operations in view of the uncertain power situation in South Africa over the last few months,” Pouroulis said.

The average PGM basket price for the second quarter was 6.6percent higher in $ terms at $1048 (R14651) an ounce from the last quarter and 4.6percent higher in rand terms, the company said.

The group's production guidance for the financial year 2019 remained at a minimum of 150000 ounces of PGMs and 1.4million tons of chrome concentrates.

BUSINESS REPORT