RE: Amplats Q3 production23 Oct 2020 15:37
No. Only came up in discussions.
SLP do use both AMS and IMP (they have stated that publicly)
But as you say, I believe IMP is the majority.
Benefit of tax is:
- SA gets more tax
- China has to get the Cr from SA, so ore producers can pass the tax on to the Chinese FeCr producers
- Higher ore prices in China will push up the global price of FeCr
- SA FeCr producers benefit (more tax and saved jobs for SA); and SLP don't have to worry about their host as much
- Eskom benefits, since without the demand from the FeCr smelters it would fall over (both operationally and financially)
Can Eskom supply the electricity?
Maybe not currently but it will fix itself now that it can purchase power from private generators.
It is more important that one of their biggest customers is around when this happens.
As a SLP shareholder you should be thanking the stars that this legislation got through cabinet.
SLP is a much better business when it has a healthy host; and this has the potential to seriously help Samancor.