IMP - Impala Platinum Holdings Limited - Strategic Repositioning of Marula
Impala Platinum Holdings Limited
(Incorporated in the Republic of South Africa)
(Registration No. 1957/001979/06)
JSE Share Code : IMP
LSE Share Code : IPLA
ADR Code : IMPUY
("Implats" or "the Company")
STRATEGIC REPOSITIONING OF MARULA
Marula Platinum (Pty) Limited ("Marula"), a subsidiary company in which Implats
has a 73% interest, has continued to underperform against the operational
targets that management has set. Recent underperformance is due to logistical
constraints as a result of the conversion from mechanised to conventional mining
at Clapham shaft. Driekop shaft continues to perform well.
As a consequence, the Company is undertaking a full strategic review of this
business. Initial indications are that Marula should remain a 70 000 platinum
ounces per annum producer for the next two years as opposed to growing to 95 000
ounces of refined platinum by 2013. This will enable the completion of the
This strategy entails an increased focus on development to open up mineable
face, and logistical initiatives such as the relocation of trackless workshops
to underground and the extension of the chairlift to surface.
Given that the mine is currently staffed for a higher level of production, the
Company is now in the process of investigating right sizing of the cost base for
the lower level of production. This will result in staff reductions.
Accordingly, a Section 189 process in terms of the Labour Relations Act, Act 66
of 1995, has been initiated giving Marula sixty days to engage in a consultative
process with key stakeholders with the intention of mitigating the potential
impact on employees.
27 May 2011
Issued by sponsor: Deutsche Securities (SA) (Proprietary) Limited
Date: 27/05/2011 10:00:01 Produced by the JSE SENS Department.
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