IMPALA PLATINUM HOLDINGS LIMITED - Production upda3 Feb 2023
Production update for the six months ended 31 December 2022

IMPALA PLATINUM HOLDINGS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1957/001979/06)
JSE share code: IMP
ISIN: ZAE000083648
ADR code: IMPUY
(“Implats” or “the Group”)


PRODUCTION UPDATE FOR THE SIX MONTHS ENDED 31 DECEMBER 2022

Implats will release its results for the half-year ended 31 December 2022 (“the period” or
“H1 FY2023”) on or about 2 March 2023.

Implats benefitted from the geographical diversification of its production portfolio and initial
contributions from a suite of expansion projects in execution across the asset base during the
period, despite the challenging global macro-economic and operating environment. The Group
sustained operating momentum and the impact on mined volumes from escalating load
curtailment in South Africa was limited. The South African processing assets were somewhat
constrained by the timing of scheduled maintenance and the increased severity and frequency
of load curtailment.

Notable rand depreciation resulted in additional inflationary pressures, compounding the
impact of high energy and consumables pricing on the translated cost and capital expenditure
at our Zimbabwean and Canadian operations. However, received PGM pricing remained
robust and Implats saw strong demand for its primary products, the benefits of which flowed
through to Group earnings and free cash flow generation. EBITDA for the period is expected
to be broadly unchanged from the half-year ended 31 December 2021 (“H1 FY2022” or “the
comparative period”) at circa R24.5 billion.
Concentrate production of 1.62 million 6E ounces was unchanged from that recorded in the
comparative period. Production from managed operations increased by 2% to 1.18 million 6E
ounces, joint venture volumes were stable at 271 000 6E ounces and third-party purchased
volumes declined by 10% to 169 000 6E ounces.

Group refined production of 1.48 million 6E ounces, including saleable production from Impala
Canada, declined by 9% from the comparative period. Smelting capacity in the period was
constrained by the increased occurrence and severity of load curtailment and exacerbated by
the commencement of the scheduled rebuild of the Number 4 Furnace in Rustenburg. Implats
finished the period with circa 140 000 6E ounces of excess inventory.

The estimated impact of Eskom load curtailment on concentrate and refined production was
circa 9 000 and 38 000 6E ounces, respectively.

Sales volumes declined by 2% to 1.52 million 6E ounces from the comparative period, but
benefitted from some destocking of refined inventory to offset the impact of furnace
maintenance. The 9% decrease in the achieved US dollar basket price was offset by the 16%
weakening of the rand exchange rate, resulting in a 5% improvement in Group sales revenue
to R38 117 per 6E ounce sold.
Group capital expenditure is expected to be circa R5.0 billion compared to R3.6 billion in the
comparative period. This was due to higher rates of replacement project spend across the
Group, with growth capital of R0.7 billion incurred in the period.
Group unit costs per 6E ounce are expected to increase to circa R19 350 on a stock-adjusted
basis due to inflationary pressures, the impact of rand depreciation on the translated dollar
cost base of Zimplats and Impala Canada, and the final payment of the previously signalled
discretionary employee bonus in recognition of the Group’s strong financial performance in
FY2021, which contributed circa R420 per ounce.

                                                           Unaudited 6      Unaudited 6
                                                              months           months
                                                        December 2022    December 2021            %

 6E Concentrate production                      000oz            1 616            1 616          0.0
        Managed operations                                       1 176            1 157          1.7
          Impala                                                   598              608         -1.7
          Zimplats                                                 309              291          6.1
          Marula                                                   128              135         -4.8
          Impala Canada                                            142              123         15.0
        JV operations                                              271              271         -0.1
          Mimosa                                                   123              124         -0.9
          Two Rivers                                               147              147          0.5
        Third-party purchased                                      169              188        -10.1

 6E Refined production#                         000oz            1 476            1 617         -8.7
 6E Sales volumes                               000oz            1 515            1 546         -2.0
 Revenue per 6E ounce sold                      R/oz            38 117           36 230          5.2
# includes saleable ounces from Impala Canada



During the period Implats acquired a total of 8.4 million shares in Royal Bafokeng Platinum
Limited (RBPlat) through the issue of 2.51 million Implats shares and cash payments of
R0.8 billion. Guarantees of R15.5 billion to the Takeover Regulation Panel in terms of the
mandatory offer for the remaining shares in RBPlat were in place at period-end. Implats ended
the period with closing cash balances of R27.0 billion.

Basic and headline earnings and basic and headline earnings per share for the period are
expected to be within the 20% variance range prescribed by the JSE Listings Requirements.

This production update for the six months ended 31 December 2022 has not been reviewed
or reported on by the external auditors of Implats.


Ends


Queries:

Johan Theron
E-mail: johan.theron@implats.co.za
T: +27 (0) 11 731 9013
M: +27 (0) 82 809 0166


                                                                                         
Emma Townshend
E-mail: emma.townshend@implats.co.za
T : +27 (0) 21 794 8345
M : +27 (0) 82 415 3770

Alice Lourens
E-mail: alice.lourens@implats.co.za
T: +27 (0) 11 731 9033
M: +27 (0) 82 498 3608

3 February 2023
Johannesburg

Sponsor to Implats
Nedbank Corporate and Investment Banking, a division of Nedbank Limited




                                                                          

Date: 03-02-2023 08:00:00
Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
 the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, 
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
 information disseminated through SENS.