Zimplats may lose 29% of annual production

[miningmx.com] – IMPALA Platinum (Implats) said that up to 29% of annual production from Zimplats could be affected by the closure of the Zimbabwean company’s Bimha mine following a deterioration of ground conditions.

Implats said an investigation would study the conditions of an underground working section of the mine after part of it collapsed during July. There were no fatalities as a result of the collapse, but the mine was now deemed unsafe.

As a result up to 70,000 ounces of production could be affected by the closure during Zimplats’ 2015 financial year. Zimplats produced 240,000 ounces in the 2014 financial year. Implats, which has a 87% stake in Zimplats, is to report its full-year figures on August 28.

Implats said the collapse was triggered by “… the accelerated deterioration of ground conditions associated with a major fault, the Mutambara Shear, which transgresses through the mining area”.

Ground conditions in the region had continued to deteriorate so it decided to withdraw employees in “high risk areas” with immediate effect.

Production from the other three mines owned by Zimplats is not expected to be affected and the ramp-up of Mupfuti Mine continues as planned, said Implats.

In addition two mining fleets from the Bimha Mine have already been deployed to the other Zimplats mines to mitigate production losses, it said.