RE: Wasted 6 Months Production22 Mar 2023 13:23
The chrome plants produced MORE chrome not less and they even managed to stockpile PGM feed for Inyoni so I don’t see that criticism of SA operations is valid at all. Windsor 8 produces 12% of our chrome output, not a big deal in the scheme of things. Power has now been addressed there. Remember it isn’t our own plant either, we are just the appointed operator. The 17% shortfall in PGM production from nameplate capacity is more likely down to the lower feed grade for the first 4 months of the year.
In Zambia the power issues were brought on by a combination of factors which could not realistically have been foreseen. Yes you could argue that water infrastructure should have been addressed earlier but without knowing the details I’m prepared to give the team the benefit of the doubt.
This year has the potential to be a very big one for Jubilee. In the short term they will have Roan capable of processing ROM simultaneously with tailings, leading to an increase in grades and copper output. This also kick starts the Northern strategy. Once the outstanding tax issue with the new refinery is addressed there is the potential to quickly forge ahead with bringing that plant into operation. It seems likely from the evidence that the plant is Chambishi, which has previously been used for processing smelter s l a g. We could quickly get the mufulira project up and running there too, lets not forget that this has been researched extensively by Jubilee already so they clearly expect to win it. It’s the richest copper and cobalt resource in Zambia. Also in South Africa they are ready to start a new chrome beneficiation plant on the Eastern Limb at a cost of US$5m all from cash flow, giving early stage earnings from chrome.
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