Tharisa PLC (LON:THS) produced 360,500 tonnes of chrome concentrates during the fourth quarter of the financial year, up 8% quarter-on-quarter.
Full year production totalled 1.3mln tonnes of chrome concentrates, an increase of 7% on the corresponding period a year ago. This production also included 323,000 tonnes of higher margin specialty chrome and 143,600 tonnes of platinum group metals.
READ: Tharisa's transfer to owner mining model effective from October 1
Met chrome prices improved to US$172 per tonne CIF China, up from US$147 per tonne in the June quarter.
The full year average price was US$200 per tonne, reflecting the big run up in the March quarter, which later unwound.
The average platinum metals basket price US$825 per ounce in the fourth quarter, up from US$792 per ounce in the third quarter.
The focus for the current year will be the transition to owner mining which commenced on October 1 after Tharisa purchased the fleet and agreed to transfer the personnel that were previously deployed by contractors on site.
The move should generate operating cost savings over remaining life of mine.
READ: Tharisa to operate chrome plant at Lonmin's Marikana mine
Guidance for the current year is 1.4 mln tonnes of chrome concentrates, including 350,000 tonnes of specialty concentrates and 150,000 ounces of PGMs.
Broker Numis argued the numbers represented a “good production result” for Tharisa.
“We expect a positive response to the operational delivery and improvement in the chrome price,” the analysis added.