Tharisa PLC (LSE:THS, JSE:THA) told investors it has set quarterly records as it reported production numbers for the three months ended December 31.
The company said it milled 1.43mln tonnes with 10.1% higher platinum group metal grade, leading to PGM production of 47,700 ounces, up 9.2% on the prior quarter. Chrome production was 401,800 for the quarter.
It added the commissioning of the Vulcan Plant was progressing well and hot tails feed is being processed, with production expected to start in the second quarter as planned.
"A great start to our new financial year, which will see the company transform further with the developments at our flagship asset, namely the integration of the Vulcan fine chrome recovery circuit at the Tharisa Mine, enabling us to reach 2Mt per annum of chrome production, reduce costs and carbon emissions per unit,” said chief executive Phoevos Pouroulis.
“Our diversification and growth plan sees our projects in Zimbabwe becoming fully integrated into the business within this financial year.”
The company’s guidance for 2022 was maintained at 165,000 to 175,000 ounces for PGMs and 1.75mln to 1.85mln tonnes of chrome concentrates.
Metal prices for the period averaged US$2,394 per ounce for PGMs and US$161 per tonne for chrome.
Tharisa had a cash balance of US$79.1mln, and a net cash position of US$22.4mln at the end of December.
Pouroulis added: “Our innovative and strategic initiatives continue to benefit the Tharisa Mine, with both PGM and chrome concentrate output up quarter on quarter, and we see this trend continuing, as we work further on improving our grade mix and upgrading our stockpile levels, not only in volume but in overall quality.
“The commissioning of the Vulcan fine chrome recovery and beneficiation plant is nearly complete, with the Voyager Plant throughput being fed into Vulcan, thus ensuring we will start with commercial production from Vulcan in the second quarter as planned.
“In Zimbabwe, mining on the high-grade Salene Chrome operation is progressing well, with more than two months of stockpile ahead of our mobile plant, which is being commissioned.
“On Karo Platinum, we eagerly await the final regulatory sign off from our partners, the Zimbabwean government, so that we can share the exciting plans we have made for the development of this world class resource and project.”