[miningmx.com] – THE South African government is studying a report it
commissioned into how it can support the country’s struggling platinum sector.
Mines minister Susan Shabangu said the report, which was currently on her desk,
was aimed at investigating how further platinum mine closures, and job losses, could
be avoided. “We have assigned a team to look at the platinum sector,’ she said,
responding to questions at a presentation at Gibs.
“We want to look at what we’re doing right and what we’re doing wrong. We need to
come together to face the challenges,’ said Shabangu.
Shabangu said the review might be evocative of efforts by the gold sector when, in
1999, it lobbied the International Monetary Fund (IMF) regarding central bank sales
– activities that helped take the gold price to record lows.
Aquarius Platinum announced yesterday that it would mothball its Marikana mine,
while Eastern Platinum said in May it was temporarily abandoning its Mareesburg
open-pit project and Kennedy’s Vale Concentrator Project.
Anglo American Platinum (Amplats) also said earlier this year that it was reviewing
the feasibility of some of its platinum operations. This has been interpreted to mean
it will first shut its high-cost and joint venture operations, of which Aquarius
Platinum’s Marikana is the first.
Asked how government intended to support the platinum sector, Shabangu said
there were no conclusions as yet. “We have to look at what we can do,’ she said.
Marikana reported first-quarter cash costs, including capital, of R11,630/4E oz
compared to the basket price of R10,163/4E oz.
The Marikana mine would be closed for two years at a cost of R200m, Aquarius
Platinum said.
