REG - Sylvania Platinum - Fourth Quarter Report to 30 June 2024

Sylvania PlatinumAnnouncement

31/07/2024 07:00

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RNS Number : 4684Y  Sylvania Platinum Limited  31 July 2024

 

 

 

31 July 2024

 

Sylvania Platinum Limited

 ("Sylvania", the "Company" or the "Group")

 

Fourth Quarter Report to 30 June 2024

 

Sylvania (AIM: SLP), the platinum group metals ("PGM") producer and developer with assets in South Africa, announces its results for the three months ended 30 June 2024 (the "Quarter" or the "Period"). Unless otherwise stated, the consolidated financial information contained in this report is presented in United States Dollars ("USD" or "$").

 

Highlights

·      Sylvania Dump Operations ("SDO") produced 17,067 4E (21,896 6E)
PGM ounces in Q4 FY2024 (Q3 FY2024:  17,232 4E (21,857 6E) PGM ounces);

·      SDO produced 72,704 4E (92,4276E) PGM ounces for FY2024 (FY2023
75,469 4E PGM ounces; 95,965 6E PGM ounces);

·      SDO recorded $20.6 million net revenue for the Quarter (Q3
FY2024: $20.3 million);

·      Group EBITDA of $2.8 million (Q3 FY2024: $3.2 million);

·      Cash balance as at 30 June 2024 of $97.8 million (31 March 2024:
$101.3 million);

·      Doornbosch operation achieved 12 years Lost-Time Injury
("LTI")-free days as well as achieving three years total injury free days
during the Quarter;

·      Thaba Joint Venture ("Thaba JV") project is on schedule with all
phases of construction of the chrome and PGM beneficiation plants progressing
well;

·      An interim cash dividend for HY1 FY2024 of 1 pence per Ordinary
Share, amounting to $3.3 million, was paid in April 2024;

·      The Company received early settlement of the loan and proceeds
for the sale of Grasvally Chrome Mine (Pty) Ltd ("Grasvally") amounting to an
equivalent of $6.2 million; and

·      A special dividend of 1 pence per Ordinary Share, amounting to
$3.3 million, was paid on 7 June 2024 from the Grasvally settlement proceeds.
 

 

Outlook

·      The Mooinooi and Millsell operations on the West have now
stabilised and are expected to perform at steady-state capacity, while
optimisation efforts continue to address lower PGM feed grades and recoveries
associated with the blend of feed sources at selected operations;

·      Progress on the final design aspects, bulk power supply,
environmental approvals, procurement and construction elements of the Thaba JV
project continue with the aim to commence commissioning during March 2025;

·      The Scoping Study for the Volspruit project is currently being
finalised for the combined project (North and South ore bodies) with results
expected to be released during August 2024;

·      The Group maintains strong cash reserves enabling funding of
expansion, diversification and joint venture ("JV") initiatives, process
optimisation capital and upgrading of the Group's exploration assets, and

·      Performance enhancement initiative commenced at Lesedi.

 

 

 

 

 

Commenting on the results, Sylvania's CEO, Jaco Prinsloo, said:

 

"Doornbosch recorded an extraordinary health and safety milestone of 12 years
LTI-free days during the Quarter and has achieved three years total
injury-free days. We are extremely proud of Management and all personnel, who
have set an example of exemplary high safety standards for the Company and the
industry as a whole.

 

"The SDO experienced a slower than expected ramp-up of operations after
members of the National Union of Mineworkers South Africa ("NUMSA") embarked
on a strike during February 2024 at our Western operations that impacted
production at Mooinooi and Millsell in particular, but operations have since
normalised and are running at planned capacity. This, together with lower PGM
feed grades and a decrease in associated metal recoveries related to the ore
mix at some of our Eastern operations, resulted in a lower than anticipated
quarterly production and ultimate annual production of 72,704 4E PGM ounces
for FY2024, marginally below our target of between 74,000 to 75,000 4E PGM
ounces for the year.

 

"Direct operating costs increased by 3% in rand terms with the main
contributor being the purchase cost for external feed material which commenced
during December 2023 and ramped up over HY2 FY2024. This is an interim
arrangement that is anticipated to last until June/July 2025.

 

"Net profit increased 9% from Q3 FY2024, due to the lower tax in Q4 FY2024 as
compared to Q3 FY2024. Net revenue for Q4 FY2024 increased by 2% mainly due to
the slightly improved gross basket price, off-set marginally by the 1%
decrease in production. Group EBITDA decreased by 10% owing to the increase in
direct costs during the Quarter.

 

"I am very pleased with the excellent progress on the Thaba JV with the
design, procurement and construction elements of the project all on schedule
during the Period and throughout FY2024. The Thaba JV project remains exciting
as it is the first stage of our strategy to diversify our production and
income streams and will transform us into a significant chrome producer as we
continue our examination of other opportunities for diversification."

 

 

 

 

       Operational and Financial Summary

 Production                              Unit  Q3 FY2024                                           Q4 FY2024  % Change
 Plant Feed                              T     580,572                                             600,058    3%
 Feed Head Grade                         g/t   2.07                                                1.98       -4%
 PGM Plant Feed Tons                     T     330,379                                             336,029    2%
 PGM Plant Feed Grade                    g/t   3.06                                                3.03       -1%
 PGM Plant Recovery(1)                   %     53.03%                                              52.10%     -2%
 Total 4E PGMs                           Oz    17,232                                              17,067     -1%
 Total 6E PGMs                           Oz    21,857                                              21,896     0%

 

 Unaudited                                           USD                                      ZAR
                                              Unit   Q3 FY2024  Q4 FY2024  % Change  Unit     Q3 FY2024  Q4 FY2024  % Change
 Financials (3)
 Average 4E Gross Basket Price(2)             $/oz   1,303      1,383      6%          R/oz   24,624     25,683     4%
 Revenue (4E)                                 $'000  16,086     16,967     5%        R'000    304,017    314,903    4%
 Revenue (by-products including base metals)  $'000  3,121      2,827      -9%       R'000    58,992     52,472     -11%
 Sales adjustments                            $'000  1,115      833        -25%      R'000    21,081     15,457     -27%
 Net revenue                                  $'000  20,322     20,627     2%        R'000    384,090    382,832    0%

 Direct Operating costs                       $'000  14,233     14,931     5%        R'000    269,011    277,112    3%
 Indirect Operating costs                     $'000  2,354      2,220      -6%       R'000    44,484     41,197     -7%
 General and Administrative costs             $'000  653        721        10%       R'000    12,342     13,382     8%
 Group EBITDA(5)                              $'000  3,164      2,845      -10%      R'000    59,800     52,803     -12%
 Net Profit(5)                                $'000  2,530      2,752      9%        R'000    47,817     51,077     7%

 Capital Expenditure                          $'000  3,514      5,292      51%       R'000    66,410     98,221     48%

 Cash Balance(4)                              $'000  101,342    97,845     -3%       R'000    1,916,377  1,779,801  -7%

 Ave R/$ rate                                                                        R/$      18.90      18.56      -2%
 Spot R/$ rate                                                                       R/$      18.91      18.19      -4%

 Unit Cost/Efficiencies
 SDO Cash Cost per 4E PGM oz(6)               $/oz   826        875        6%        R/oz     15,611     16,237     4%
 SDO Cash Cost per 6E PGM oz(6)               $/oz   651        682        5%        R/oz     12,308     12,656     3%
 Group Cash Cost Per 4E PGM oz(6)             $/oz   980        1,027      5%        R/oz     18,522     19,061     3%
 Group Cash Cost Per 6E PGM oz(6)             $/oz   772        801        4%        R/oz     14,591     14,867     2%
 All-in Sustaining Cost (4E)                  $/oz   1,008      1,077      7%        R/oz     19,046     19,986     5%
 All-in Cost (4E)                             $/oz   1,145      1,161      1%        R/oz     21,643     21,555     0%

 

( )

 

( )

The Sylvania cash generating subsidiaries are incorporated in South Africa
with the functional currency of these operations being ZAR.  Revenues from
the sale of PGMs are received in USD and then converted into ZAR.  The
Group's reporting currency is USD as the parent company is incorporated in
Bermuda.  Corporate and general and administration costs are incurred in USD,
GBP and ZAR.

 

1  PGM plant recovery is calculated on the production ounces that include the
work-in-progress ounces when applicable.

2  The gross basket price in the table is the June 2024 gross 4E basket used
for revenue recognition of ounces delivered in Q4 FY2024, before
penalties/smelting costs and applying the contractual payability.

3  Revenue (6E) for Q4 FY2024, before adjustments is $19.7 million (6E prill
split is Pt 52%, Pd 18%, Rh 9%, Au 0%, Ru 16%, Ir 5%). Revenue excludes
profit/loss on foreign exchange.

4  The cash balance excludes restricted cash held as guarantees. An
additional $0.4 million was issued as a cash guarantee to Eskom during the
Quarter for the Thaba JV.

5 Group EBITDA and Net Profit exclude $1.2 million accrued interest written
off with regards to the Grasvally Chrome Mine (Pty) Ltd transaction which was
concluded at the end of Q3 FY2024.

6  The cash costs include operating costs and exclude indirect costs for
example mineral royalty tax and Employee Dividend Entitlement Plan ("EDEP")
payments.

 

 

 

 

 

 

A.  OPERATIONAL OVERVIEW

 

Safety, health and environment

Doornbosch continued its stellar safety record by achieving twelve years
LTI-free days on 26 June 2024 as well as achieving three years total
injury-free days, while Mooinooi, Millsell and Lannex also achieved Zero Harm
during the Period.

 

During the Period under review, Tweefontein experienced an LTI when a tipper
truck overturned and resulted in the operator injuring his shoulder.

 

Management's commitment to safety is not just a policy, but a fundamental
value that seeks to ensure everyone working at Sylvania's operations can go
home to their families at the end of each day healthy and unharmed. The
Company is committed to achieving the aim of ensuring Zero Harm for both
employees and contractors, which remains a top priority.

 

Operational performance

The SDO delivered 17,067 4E PGM ounces for the Quarter. This equates to a
decrease of 1% on Q3 FY2024 and lower than planned, largely due to the slower
than expected ramp-up of operations after the strike action in February 2024
at our Western operations that impacted production at the Mooinooi and
Millsell operations in particular. The slower-than-expected ramp-up was a
result of a backlog of maintenance during the strike period due to limited
resources at the time, which ultimately resulted in lower plant availabilities
and runtime and process stability on the run of mine ("ROM") section.
 Additionally, lower PGM feed grades as well as a decrease in associated
metal recoveries related to the ore mix treated at Lannex during the period
were also a factor.

 

The Western operations have since improved with better maintenance and
runtime, while measures are being implemented to address the lower grade feed
material and related recoveries at affected operations.

 

Direct operating costs have increased by 3% in rand terms with the main
contributor being the purchase and treatment of external feed material which
commenced during December 2023 and has ramped up over the last six months.
This is a temporary initiative that will continue until June 2025, where the
company sourced external feed material to supplement lower grade feed sources
at Doornbosch and also to secure material that became available to extend the
life of selected Eastern operations.

 

SDO operating cash costs per 4E PGM ounce increased 4% in rand terms to
ZAR16,237/ounce and 6% in dollar terms, to $875/ounce (Q3 FY2024:
ZAR15,611/ounce and $826/ounce) due to the 1% reduction in production, the
purchase of increased tonnages of external material for the Eastern
operations, and increased electricity costs associated with higher rates
during the winter months.

 

The Group incurred capital expenditure of ZAR98.2 million ($5.3 million), in
line with planned capital project schedules.

 

Operational opportunities and outlook

Optimisation of ore blending remains a priority with continuing focus on
improving equipment runtime, which has resulted in an increase of 2% in
flotation plant throughput. This is being further optimised and should yield
positive results going forward. The "On Key" Enterprise Asset Management
System is currently being rolled-out at the Mooinooi operation, which aims to
optimise maintenance management planning and scheduling tasks.

 

No Eskom load curtailment has been experienced at any of the operations during
the Quarter. The installation of the Millsell standby generator has been
completed and commissioning commenced post year-end during July 2024.

 

A feasibility study for a potential new treatment facility for chrome tailings
and ROM ore sources at the Eastern operations is in progress.

 

In view of the performance of Lesedi over the past 12 months, which has been
impacted by a combination of low feed grades from current feed sources and
continued subdued PGM prices, the Company has commenced consultation with
stakeholders under Section 189A ("S189A") of the Labour Relations Act, 66 of
1995 (LRA) on the possible restructuring of the operation. The aim of this
process is to improve the overall profitability of the SDO and further updates
will be provided in due course.

 

B.  FINANCIAL OVERVIEW

 

Financial performance

Revenue (4E) for the Quarter increased by 5% to $17.0 million (Q3 FY2024:
$16.1 million) as a result of the average 4E gross basket price for the
Quarter increasing 6% to $1,383/ounce against $1,303/ounce in Q3 FY2024.

 

Net revenue, which includes revenue from by-products, base metals and the
quarter-on-quarter sales adjustment, was $20.6 million (Q3 FY2024: $20.3
million). Net revenue includes attributable revenue received for ounces
produced from material purchased from third parties.

 

Group cash costs per 4E PGM ounce increased by 3% in rand terms from
ZAR18,522/ounce to ZAR19,061/ounce and 5% in dollar terms from $980/ounce to
$1,027/ounce mainly as a result of the 1% decrease in ounce production
quarter-on-quarter and the increase in Eskom tariffs by 13.3% from April 2024.

 

General and administrative costs increased to $0.72 million from $0.65 million
in Q3 FY2024. These costs are incurred in USD, Pounds Sterling ("GBP") and
ZAR.

 

Group EBITDA for the Quarter was $2.8 million (Q3 FY2024: $3.2 million)
impacted mainly by the increased direct cost as a result of the purchase of
external feed sources. Net profit was $2.8 million (Q3 FY2024: $2.5 million).
Net profit increased 9% from Q3 FY2024, due to the lower tax in Q4 FY2024
compared to Q3 FY2024. The lower tax is mainly due to the write-off of the
accrued interest on the loan relating to the Grasvally sale. Due to the early
settlement of the loan and sale price, it was agreed to write off the accrued
interest on the loan and sale price.

 

The Group cash balance decreased 3% to $97.8 million compared to $101.3
million in the previous quarter. Provisional income tax of $1.4 million and
mineral royalty tax of $0.8 million were paid to the South African Revenue
Services during Q4 FY2024. The Company paid a special dividend of 1 pence per
Ordinary Share amounting to $3.3 million on 7 June 2024 to all shareholders on
the register at the close of business on 10 May 2024, following the early
settlement of the Grasvally sale proceeds and loan of $6.2 million. An amount
of $0.1 million was paid under the share buyback programme during the Quarter
and a cash guarantee of $0.4 million was issued to Eskom in relation to the
Thaba JV.

 

The Group spent $5.3 million on capital during Q4 FY2024 (Q3 FY2024: $3.5
million), comprising of $3.1 million attributable capital on the Thaba JV,
$1.9 million on improvement and stay-in business capital and $0.3 million on
exploration projects, and. Surplus cash invested earned $1.5 million interest
income for the Quarter.

 

Cash generated from operations before working capital movement was $2.8
million. Net changes in working capital amounted to $2.6 million, which is
mainly due to the movement in trade debtors and trade creditors. The impact of
exchange rate fluctuations on cash held at the end of Q4 FY2024 was a $2.5
million gain due to the appreciation in the spot ZAR to USD exchange rate at
30 June 2024.

 

C. THABA JV

 

The unincorporated JV Agreement between the Company's wholly owned South
African subsidiary, Sylvania Metals (Pty) Ltd ("Sylvania Metals") and Limberg
Mining Company (Pty) Ltd ("LMC"), a subsidiary of ChromTech Mining Company
(Pty) Ltd ("ChromTech"), the Thaba JV, is advancing well and as expected. The
project execution phase is approximately 18-24 months which commenced in
August 2023, with the first production expected in HY2 FY2025.

 

Safety

At the end of the June 2024 reporting Period, more than 124,000 manhours had
been worked without any serious injuries being recorded. Manhours will
escalate significantly from Q1 FY2025 when the structural, mechanical and
platework ("SMP") contractors arrive on site and will continue to ramp up
during Q2 FY2025 when electrical control and instrumentation ("EC&I") and
piping contractors arrive on site.

 

Environmental Approvals

Environmental Impact Assessment ("EIA") Reports, required for tailings
deposition and new water storage dams, were delivered to the Department of
Mineral Resources and Energy ("DMRE") during March 2024 and a timely decision
is expected on the EIA based on the legislated timeframe for issuance of
decisions by the DMRE.

 

Primary Chrome Plant

The primary (ROM) chrome recovery plant is an existing plant, but several
improvements will be implemented to increase availability, throughput, and
chrome recoveries. Modelling of the plant modifications, including mechanical
equipment changes, has been completed.

 

Secondary Chrome Plant

The secondary chrome recovery plant is a new plant, which incorporates
circuits for recovery of coarse and fine chrome from Primary Chrome Plant
tailings and dump feed. Civil works for this plant were completed during Q4
FY2024 and steel deliveries have started. The contractor is on site and steel
and plate erection commenced in July 2024.

 

PGM Plant

Civil works for the PGM plant is complete and steel erection commenced in June
2024. The first batch of float tanks were delivered and installed during June
2024. Structural design of reagent plant and ancillary equipment and
infrastructure was finalised and issued for fabrication in July 2024.

 

Infrastructure

Orders for all long lead items and for the installation contract were placed
during Q3 FY2024 and Q4 FY2024. Most of the EC&I design work has been
completed, with small power, lighting and the last of the non-critical
instrument datasheets being undertaken presently.

 

Long lead items that are ready for delivery, but not yet required (including
more than 80% of cabling) are warehoused by the suppliers to minimise risk of
theft and vandalism while secure off-loading areas are being prepared on site.

 

The EIA report was submitted in March 2024 and followed by the Water Use
Licence ("WUL") report in April 2024. Feedback from the DMRE is expected soon.

 

Preparation works have started for the equipping of strategic boreholes and
open cast pit dewatering / recovery to supply clean water to the plant. The
stormwater management design was completed and simplified. Enquiries were
issued for the construction of the tailings storage facility ("TSF") for
in-pit deposition.

 

Construction of the new in-plant road for PGM and chrome concentrate truck
dispatches is in progress and the weighbridge will be relocated during a short
duration shutdown - to avoid impact on existing mining operations - as soon as
civil works are completed.

 

D.  MINERAL ASSET DEVELOPMENT AND JOINT VENTURES

 

The Group holds approved mining rights for three PGM-base metal projects on
the Northern Limb of the Bushveld Igneous Complex in South Africa. Following
on from the Exploration Results and Resource Statement that was released in
FY2023, the Company continues to develop these projects through additional
technical studies and re-interpretation of historical information. A Scoping
Study is being finalised for Volspruit and an updated exploration programme is
being developed for the Aurora project. This additional information will
assist the Company in ascertaining how best to develop these projects.

 

Volspruit Project

SRK Consulting is finalising the Scoping Study for Volspruit with the final
report expected to be released during August 2024.  The study was undertaken
to assess the economic viability of the Project based on the updated mineral
resource statement that was published during February 2024. Contributions from
rhodium and the additional resources from the South ore body are now included
as well as updated input costs.

 

Additional metallurgical test work has also been completed at Mintek South
Africa on samples obtained during an FY2023 drilling campaign with the final
report expected during Q1 FY2025. The updated results from the Scoping Study
and metallurgical test work will be utilised to guide the next steps for this
project.

 

On the regulator front, steady progress is being made in the permitting
process necessary for the existing mining right. Local Economic Development
projects are gaining traction and the Water Use License application for mining
and on-site processing operations, as well as the updated EIA submissions, are
expected to be made in the first quarter of FY2025, allowing for a
comprehensive public engagement process to be completed.

 

Far Northern Limb Projects

An exploration programme for Aurora has been compiled based on the
reinterpretation of historic drilling. A geophysical survey has been proposed
to cover the entire strike length of the project to assess both the continuity
of the mineralisation as well as to gain a greater understanding of the
structural setting of the area. The Hacra project area will be included in the
geophysical survey ensuring that knowledge gained from the work covers the
entire project area.

 

Processing test work has been proposed for a set of samples from the most
recent drilling campaign at Aurora to understand the metallurgical
characteristics of the mineralised zone.

 

Borehole drilling programmes will be designed based on the outcomes of the
geophysical and metallurgical test work.

 

A Technical Report received in Q3 FY2024 on the Hacra North Underground Target
from the independent consultant Earthlab Technical Division is under review
and will form part of an exploration update announcement during August 2024.

 

Grasvally

As reported previously, the Company agreed to an early settlement, in the
amount of ZAR115.0 million ($6.2 million on date of payment), of the loan and
sale price related to the sale of Grasvally Chrome Mine (Pty) Ltd to Forward
Africa Mining (Pty) Ltd.

 

During the previous quarter, the parties negotiated an early settlement date
for payment of the capital amount outstanding at 31 March 2024 and the full
ZAR115.0 million ($6.2 million on date of payment) was received in April 2024.
The original contractual repayment terms of the capital and interest was 15
equal quarterly instalments, commencing at the end of the quarter following
the first anniversary of the Effective Date. As a result of the early
settlement, the Company agreed to write off the interest accrued.

 

Following receipt of the early settlement proceeds, the Company declared and
paid a Special Dividend of 1 pence per Ordinary Share, amounting to $3.3
million in aggregate.

 

E. CORPORATE ACTIVITIES

 

Share Buyback and Cancellation of Ordinary Shares

During the Period, the Company conducted a Share Buyback from the market and
bought back 130,000 Ordinary Shares of $0.01 each in the Company ("Ordinary
Shares") at an average price of 59.78 pence per Ordinary Share. A total of
1,843,000 Ordinary Shares have to date been bought back during the Buyback
programme at an average price of 57.21 pence per share, equating to $1.3
million in aggregate. The purpose of the Share Buyback was to reduce the share
capital of the Company and enhance the value attributable to the remaining
shareholders of the Company. During the Period, 2,009,000 Ordinary Shares held
in Treasury were cancelled.  Following the above cancellation, the Company's
issued share capital is 273,366,725 Ordinary Shares, of which a total of
11,765,211 Ordinary Shares are held in Treasury. Therefore, the total number
of Ordinary Shares with voting rights in Sylvania is 261,601,514 Ordinary
Shares.

 

Notice of Annual Results Investor Presentation

The Company confirms it will announce its Final Results for the year ended 30
June 2024 on Tuesday, 10 September 2024.

 

Sylvania's CEO, Jaco Prinsloo, and CFO, Lewanne Carminati, will host a live
investor presentation, via the Investor Meet Company platform, on 10 September
2024 at 16:00 BST.

 

The presentation is open to all existing and potential shareholders. Questions
can be submitted pre-event via your Investor Meet Company dashboard up until
9.00am the day before the meeting or at any time during the live presentation.

 

Investors can sign up to Investor Meet Company for free and add to meet
Sylvania via:
https://www.investormeetcompany.com/sylvania-platinum-limited/register-investor
(https://www.investormeetcompany.com/sylvania-platinum-limited/register-investor)

 

Investors who already follow Sylvania on the Investor Meet Company platform
will automatically be invited.

 

CONTACT DETAILS

 

 For further information, please contact:
 Jaco Prinsloo CEO                             +27 11 673 1171

 Lewanne Carminati CFO

 Nominated Adviser and Broker
 Panmure Liberum Limited                       +44 (0) 20 3100 2000
 Scott Mathieson / John More / Joshua Borlant

 Communications
 BlytheRay                                     +44 (0) 20 7138 3205
 Tim Blythe / Megan Ray                        sylvania@BlytheRay.com (mailto:sylvania@BlytheRay.com)

 

CORPORATE INFORMATION

 

 Registered and postal address:  Sylvania Platinum Limited
                                 Clarendon House
                                 2 Church Street
                                 Hamilton HM 11
                                 Bermuda

 SA Operations postal address:   PO Box 976
                                 Florida Hills, 1716
                                 South Africa

Sylvania Website: www.sylvaniaplatinum.com (http://www.sylvaniaplatinum.com)

 

 

About Sylvania Platinum Limited

 

Sylvania Platinum is a lower-cost producer of platinum group metals (PGM)
(platinum, palladium and rhodium) with operations located in South Africa. The
Sylvania Dump Operations (SDO) comprises six chrome beneficiation and PGM
processing plants focusing on the retreatment of PGM-rich chrome tailings
materials from mines in the Bushveld Igneous Complex. The SDO is the largest
PGM producer from chrome tailings re-treatment in the industry. Additionally,
the Thaba JV comprises chrome beneficiation and PGM processing plants, which
will treat a combination of run of mine (ROM) and historical chrome tailings
from the JV partner, adding a full margin chromite concentrate revenue stream.
The Group also holds mining rights for PGM projects in the Northern Limb of
the Bushveld Complex.

 

 

For more information visit https://www.sylvaniaplatinum.com/
(https://www.sylvaniaplatinum.com/)

ANNEXURE

 

 GLOSSARY OF TERMS FY2024
 The following definitions apply throughout the period:
 3E PGMs                    3E ounces include the precious metal elements platinum, palladium and gold
 4E PGMs                    4E ounces include the precious metal elements platinum, palladium, rhodium and
                            gold
 6E PGMs                    6E ounces include the 4E elements plus additional Iridium and Ruthenium
 AGM                        Annual General Meeting
 AIM                        Alternative Investment Market of the London Stock Exchange
 All-in costs               All-in sustaining cost plus non-sustaining and expansion capital expenditure
 All-in sustaining cost     Production costs plus all costs relating to sustaining current production
                            and sustaining capital expenditure
 CLOs                       Community Liaison Officers
 Current arisings           Fresh chrome tails from current operating host mines processing operations
 DFFE                       Department of Forestry, Fisheries and the Environment
 DMRE                       Department of Mineral Resources and Energy
 EBITDA                     Earnings before interest, tax, depreciation and amortisation
 EA                         Environmental Authorisation
 EAP                        Employee Assistance Program
 EC&I                       Electrical Control and Instrumentation
 EEFs                       Employment Engagement Forums
 EDEP                       Employee Dividend Entitlement Programme
 ESG                        Environment, social and governance
 EIA                        Environmental Impact Assessment
 EIR                        Effective interest rate
 EMPR                       Environmental Management Programme Report
 ESG                        Environment, Social and Governance
 GBP                        Pounds Sterling
 GBV                        Gender based violence
 GHG                        Greenhouse gases
 GISTM                      Global Industry Standard on Tailings Management
 GRI                        Global Reporting Initiative
 HWS                        Harriets Wish Succession
 JORC                       Joint Ore Reserves Committee
 IASB                       International Accounting Standards Board
 ICE                        Internal combustion engine
 IFRIC                      International Financial Reporting Interpretation Committee
 IFRS                       International Financial Reporting Standards
 Lesedi                     Phoenix Platinum Mining Proprietary Limited, renamed Sylvania Lesedi
 LSE                        London Stock Exchange
 LTI                        Lost-time injury
 LTIFR                      Lost-time injury frequency rate
 MF2                        Milling and flotation technology
 MPRDA                      Mineral and Petroleum Resources Development Act
 MRA                        Mining Right Application
 MRE                        Mineral Resource Estimate
 Mt                         Million Tons
 NWA                        National Water Act 36 of 1998
 PGM                        Platinum group metals comprising mainly platinum, palladium, rhodium and gold
 PAR                        Pan African Resources Plc
 PDMR                       Person displaying management responsibility
 PEA                        Preliminary Economic Assessment
 PFS                        Preliminary Feasibility Study
 Pipeline ounces            6E ounces delivered but not invoiced
 Pipeline revenue           Revenue recognised for ounces delivered, but not yet invoiced based on
                            contractual timelines
 Pipeline sales adjustment  Adjustments to pipeline revenues based on the basket price for the period
                            between delivery and invoicing
 PTM                        Platinum Group Metal's Joint Venture
 Project Echo               Secondary PGM Milling and Flotation (MF2) program announced in FY2017 to
                            design and install additional new fine grinding mills and flotation circuits
                            at Millsell, Doornbosch, Tweefontein, Mooinooi and Lesedi
 RPEEE                      Reasonable Prospects for Eventual Economic Extraction
 Revenue (by products)      Revenue earned on Ruthenium, Iridium, Nickel and Copper
 ROM                        Run of mine
 S189A                      A formal consultation process with relevant stakeholders on potential
                            restructuring
 SDO                        Sylvania dump operations
 SHE                        Safety, health and environmental
 SLP                        Social and Labour Plan
 Sylvania                   Sylvania Platinum Limited, a company incorporated in Bermuda
 Sylvania Metals            Sylvania Metals (Pty) Limited
 tCO2e                      Tons of carbon dioxide equivalent
 Thaba JV                   Thaba Joint Venture
 TRIFR                      Total recordable injury frequency rate
 TSF                        Tailings storage facility
 UNSDGs                     United Nations Sustainability Development Goals
 USD                        United States Dollar
 WUL                        Water Use Licence
 UK                         United Kingdom of Great Britain and Northern Ireland
 ZAR                        South African Rand
 Zero Harm                  The South African mining industry is committed to the shared aspiration of
                            achieving the goal of Zero Harm, which aims to ensure that mineworkers return
                            home from work healthy and unharmed every day

 

 

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