Impala Platinum Holdings Limited (Implats) is one of the world's largest producers of platinum group metals (PGMs). In 2010, Implats produced 1.74 million ounces of platinum, approximately 25% of the world’s total platinum output, at its operations in South Africa and Zimbabwe. The company has roughly 50,000 employees and is listed on the Johannesburg and London Stock Exchanges.
History:
Bishopsgate Platinum Limited - the precursor to Impala Platinum Holdings Limited - first began mining platinum in 1969 in the Bushveld Complex, near Rustenburg, South Africa, an area distinguished for possessing the world's largest PGM ore body.
Following the introduction of auto emission standards in the US during the 1970s, the company entered contracts with US auto manufacturers to provide PGMs for autocatalytic converters (a key component in maintaining environmental standards in automobiles).
Bishopsgate Platinum Limited was listed in the JSE in 1973 and in 1978 changed its name to Impala Platinum Holdings Ltd.
By the 1990s, Implats had grown to become the world’s second largest producer of platinum and began pursuing growth through mineral rights acquisitions and joint ventures. Mining rights for Marula Platinum were received and investments were made in Zimbabwean operations (Zimplats and Mimosa) between 2000 and 2004. The company entered a joint venture with the Avmin Group during this period, which led to development of the Two Rivers Platinum project.
As a result of black empowerment initiatives, Implats paid 12.5 billion rand to the Royal Bafokeng Nation in 2007, who subsequently purchased 13.4% of the company’s shares, making the local group a major shareholder in the company.
Products:
Implats mines, refines and markets the platinum group metals platinum, palladium and rhodium, as well as the associated co-products, copper, cobalt and nickel. Gross refined production in fiscal 2011 was 1.836 million ounces of platinum (including platinum refined under third party contracts), 1.192 million ounces of palladium, 262 thousand ounces of rhodium and 16.3 metric tons of nickel.
The company also recycles material from PGM containing scrap for its own sales as well as via third party contracts. About 20% of the platinum produced by Implats is a result of recycling, while 80% is produced from mined ore.
Financial Summary (2011 - Fiscal Year Ended June 2011):
- Gross Revenue: R 33,132 million
- Net Operating Cash Flow: R 8.285 million
- Total Assets: R 67.604 million
- Stock Symbols: IMP (JSE) & IPLA (LSE)
*All values in South African Rand
Operations:
Implats owns the following assets:
1. Impala Platinum Ltd.: With operations in the heart of the Bushveld Complex, Impala Platinum is the primary operational unit of Implats, accounting for 50% of the company's total platinum production and two thirds of its net profits. In 2011, Impala Platinum produced 941,200 ounces of platinum at its 14 shaft mine. Impala Platinum also includes the concentrator and smelting plant in the Impala lease area and base and precious metal refineries in Springs.
2. Zimplats: Implats holds an 87% stake in Zimplats, which operates three mines, two concentrators and a smelter on the Great Dyke in Zimbabwe. Listed on the Australian Stock Exchange, Zimplats' current annual production is around 180,000 ounces on platinum in matte. Expansions are expected to increase this to 270,000 ounces by 2014.
3. Marula Platinum: Also located in the Bushveld Complex, Marula Platinum is 73% owned by Implats and produces roughly 70,000 ounces of platinum in concentrate annually.
4. Mimosa Platinum: Mimosa Platinum is a 50:50 joint venture between Implats and Aquarius Platinum Limited. It is located on the Great Dyke in Zimbabwe and produces approximately 100,000 ounces of platinum in concentrate annually.
5. Two Rivers: Two Rivers is a joint venture between African Rainbow Minerals and Implats, in which Implats holds a 45% investment. Located on the Dwarsrivier in the Bushveld Complex in Mpumalanga, South Africa, Two Rivers produces approximately 145,000 ounces of platinum in concentrate per year.
6. Impala Refining Services (IRS): IRS's operations include toll refining, recycling and metal concentrate purchases for Implats. Centralising refining and smelting allows the company to lower production costs and provide recycling services for spent auto catalysts. IRS is one of the largest recyclers of such materials in the world.
Head Office:
Impala Platinum Holdings Limited
2 Fricker Road, Illovo, 2196
Private Bag X18, Northlands, 2116
Tel: +27 11 731-9000
Fax: +27 11 731-9254
Email: investor@implats.co.za
Web: www.implats.co.za
