Select your default regional edition of MiningWeekly.com
Note: When you select a default region you will be directed to the MiningWeekly.com home page of your choice whenever you visit miningweekly.com. This setting is controlled by cookies and should your cookies be re-set you will then be directed to the regional edition associated with the geographic location of our IP address. Should your cookies be reset then you may again use the drop-down menu to select a default region.
Click on the button below to clear your default MiningWeekly.com regional edition
Note: When you clear your default region you will be directed to the MiningWeekly.com home page regional edition associated with the geographic location of our IP address.
Note: Search is limited to the most recent 250 articles. To access earlier articles, click Advanced Search and set an earlier date range. To search for a term containing the '&' symbol, click Advanced Search and use the 'search headings' and/or 'in first paragraph' options.
Please enter the email address that you used to subscribe on Mining Weekly. Your password will be sent to this address.
separate emails by commas, maximum limit of 4 addresses
Sibanye suspends operations at safety-impacted South African mines, adjusts guidance
Embed VideoPopup VideoInstagram
15th December 2021 By: Donna Slater Creamer Media Contributing Editor and Photographer
ARTICLE ENQUIRY SAVE THIS ARTICLE EMAIL THIS ARTICLE
JSE- and NYSE-listed precious and battery metals miner Sibanye-Stillwater has revised its operational guidance for this year, primarily as a result of various safety-related interventions and measures that have been implemented to reinforce the group’s primary priority of safety.
A group-wide safety intervention was launched between October 28 and November 2, during which all operations across the group were suspended to focus on safety and enable full and comprehensive audits of all the operating areas.
Sibanye-Stillwater says this reaffirmed its core principle that its places safety “well ahead of production”.
However, subsequent to this group safety intervention, Sibaye's South African operations experienced three separate fatal safety incidents between November 29 and December 3 – resulting in five of its employees dying.
On November 30, winch operator Stephen Nyoni (45) was fatally injured in a blasting incident at Beatrix 3 shaft, while, on December 3, Rustenburg Khuseleka shaft mining team supervisor Raimundo Mondlane (56) sustained fatal injuries from a fall-of-ground while he was barring the sidewall of a development end.
Again on December 3 at Beatrix 3 shaft, a trackless mobile machinery incident at the shaft bottom resulted in the death of three miners – rock drill operator Alfred Ngalo (42), pump attendant Mabohlokoa Tsoafo (40) and underground fitter Frank Swart (51).
All of these incidents are being investigated together with inspectors from the Department of Mineral Resources and Energy (DMRE) and in cooperation with other stakeholders.
“We remain committed to the regulatory processes,” the miner says in a statement.
After careful consideration of accident and injury trends, Sibanye chose to suspend operations at the Kloof 1 and Beatrix 3 shafts, as well as at the Rustenburg Khuseleka shaft until further notice. This, the miner says, will enable the regression in safety at these particular business units to be addressed.
In addition, the recent increase in Cocid-19 infections has impacted on supervisor and senior management availability at Sibanye’s Rustenburg Thembelani shaft – where the miner has also suspended production in the interest of the safety of employees.
GUIDANCE UPDATE Sibanye’s October 28 and November 2 safety interventions, and the suspension of Kloof 1 shaft and Beatrix 3 shaft for the remainder of the year, has resulted in an estimated 19 000 oz reduction in forecast gold production.
As such, the miner reports that its gold production (excluding DRDGold) for this year will be close to the lower end of guidance – between 884 000 oz and 948 000 oz, while its all-inclusive sustaining costs are forecast at the upper end of the guidance range of between $1 690/oz and $1 742/oz.
Capital expenditure for this year is forecast at R3.9-billion ($260-million).
The group safety intervention and the suspension of operations at the Khuseleka and Thembelani mines for the rest of the year is expected to reduce platinum group metals (PGMs) and gold production (4E) from Sibanye’s South African PGM operations by about 17 000 oz of platinum, palladium, rhodium and gold (4E).
Despite this, as a result of the solid operational performance from its South African PGM operations, Sibanye is maintaining its production guidance for this year at between 1.75-million and 1.85-million ounces of 4E at an all-inclusive sustaining cost of between $1 230/oz and $1 295/oz.
Capital expenditure for its South African PGMs operations is forecast at R3.85-billion ($257-million).
US OPERATIONS Meanwhile, in addition to the group safety intervention in late October, which was also undertaken at Sibanye’s US PGM operations, platinum and palladium (2E) production from these operations has been further impacted during the second half of the year by the finalisation of further rail safety enhancements related to the fatal incident in June.
Further, the temporary suspension of ore transport from the Stillwater East operation to enable the replacement of the bridge that crosses the Stillwater river to the concentrator will further impact on production for the year.
A beam failure on the bridge, detected in November, initially resulted in the reduction of payloads crossing the bridge as a precautionary measure and ultimately informed a decision to rebuild the bridge in the interests of safety.
Repairs are expected to be completed by the end of December, with stockpiled ore from Stillwater East expected to be processed during the first quarter of 2022.
As a result of these factors, full-year production guidance from the US PGM operations this year has been revised to between 570 000 oz and 580 000 oz of 2E, with all-inclusive sustaining costs guidance revised to between $1 000/oz and $1 025/oz as a result of lower forecast production.
Capital expenditure guidance for Sibanye’s US PGM operations remains at between $285-million and $295-million, of which 55% to 60% is growth capital.
Estimated PGM recycling for the year is unchanged at between 790 000 oz and 810 000 oz.
Edited by: Chanel de Bruyn Creamer Media Senior Deputy Editor Online EMAIL THIS ARTICLE SAVE THIS ARTICLE ARTICLE ENQUIRY
To subscribe email subscriptions@creamermedia.co.za or click here To advertise email advertising@creamermedia.co.za or click here
Mining Weekly is a product of Creamer Media. www.creamermedia.co.za
Other Creamer Media Products include: Engineering NewsResearch Channel Africa Polity
Sign up for our FREE daily email newsletter Receive daily sector news alerts
We offer a variety of subscriptions to our Magazine, Website, PDF Reports and our photo library.
Subscriptions are available via the Creamer Media Store.
Advertising on MiningWeekly.com is an effective way to build and consolidate a company's profile among clients and prospective clients. Email advertising@creamermedia.co.za