Anglo American Platinum remains committed to the elimination of fatalities and reports zero fatalities in the period at managed operations.

The Company continues its fatal-free period as a result of the commitment made to maintaining safety standards through shut down and start-up processes. The Total Recordable Case Frequency Rate ('TRCFR') per million hours at managed operations for the quarter improved 27% to 1.93 compared to 2.63 in the prior period.

PGM PRODUCTION

Total PGM production of 665,100 ounces decreased 41% (against prior period Q2 2019), with platinum production down 41% to 307,500 ounces and palladium production down 34% to 228,500 ounces. The impact of the shutdowns implemented by the Governments of the Republic of South Africa (RSA) and Zimbabwe in response to curbing the outbreak of Covid-19 led to a loss of 521,600 PGM ounces in the quarter. In collaboration with government, labour unions and employees, stringent measures were put in place to protect employees, including social distancing, hygiene measures, screening and testing, and provision of PPE - resulting in no operation needing to close due to spread of Covid-19 amongst employees.

PGM production from own managed mines

Total PGM production from own managed mines decreased 40% to 379,400 ounces (platinum production decreased by 43% to 166,100 ounces and palladium production decreased 30% to 158,600 ounces), largely due to the Covid-19 shutdowns which led to a loss of 286,500 PGM ounces in the quarter. The impact of the Covid-19 shutdowns was partially mitigated due to high proportion of open-pit and mechanised operations which could ramp-up at a faster pace than the conventional underground operations. Open-pit and mechanised operations were able to get to 98% levels of production by the end of June 2020.

Mogalakwena PGM production decreased 8% to 277,600 ounces (platinum and palladium production both decreased by 8%, to 117,300 ounces and 128,900 ounces respectively). Mogalakwena surface operations were granted the right to restart shortly after lockdown began and therefore the North concentrator continued operating by drawing down on ore stockpiles. Thereafter, a gradual increase in operational activity was granted and by the end of June, Mogalakwena mine was operating at 100% production levels and is expected to do so for the remainder of the year.

Amandelbult PGM production decreased 78% to 50,100 ounces (platinum and palladium production both decreased by 78%, to 25,300 ounces and 11,700 ounces respectively), largely due to the Covid-19 shutdowns which led to a loss of 174,000 PGM ounces in the quarter, as well as the closure of parts of Tumela Upper section in December 2019 as they reached the end of life of mine (contributing 30,100 PGM ounces in the prior period). At the end of June, Amandelbult mine reached 50% of targeted production levels and is expected to ramp up to 85% production levels by the end of the year, due to strict compliance to Covid-19 protocols and protecting vulnerable employees who are not permitted to work on mine-site.

Mototolo PGM production decreased by 59% to 20,400 ounces (platinum production decreased by 59% to 9,500 ounces and palladium decreased by 58% to 5,800 ounces). At the end of June, Mototolo mine was operating at a production level of around 90% and is expected to reach 100% production levels going forward.

Unki PGM production decreased 40% to 31,300 ounces (platinum production decreased by 40% to 13,900 ounces and palladium production decreased by 42% to 12,100 ounces). At the end of June, Unki mine was operating at normal production levels of 100% and is expected to continue at this level to the end of the year.

PGM production from joint ventures (50% own mined production and 50% purchase of concentrate)

Joint venture PGM production, decreased by 55% to 101,600 ounces (platinum production decreased by 56% to 45,400 ounces and palladium production decreased by 54% to 29,600 ounces). This was largely due to the impact of Covid-19 shutdowns causing a loss of 126,000PGM ounces in the quarter, as well as the diversion of material from Kroondal during the period of force majeure, which was processed by a third party.

Purchases of PGM concentrate from third parties

Purchase of PGM concentrate (POC) from third parties, decreased by 28% to 184,100 ounces (platinum POC decreased by 23% to 96,000 ounces and palladium POC decreased by 26% to 40,200 ounces), due to the impact of Covid-19 shutdowns causing a loss of 109,100 PGM ounces during the quarter, as well as the diversion of Platinum Mile concentrate during the period of force majeure, which was processed by a third party.

Refined PGM production

Refined PGM production, excluding tolling and 4E production now tolled, decreased by 67% to 407,000 ounces (refined platinum production decreased 71% to 160,600 ounces and refined palladium production decreased by 64% to 147,400 ounces). Refined production was impacted by the temporary closure of the Anglo Converter Plant (ACP) on 6 March 2020 and a subsequent closure during the first two weeks of June to repair a water leak which was detected on 3 June.

ACP Repairs

A force majeure incident at the ACP (Anglo Converter Plant) on 10 February led to the closure of both ACP phase A and phase B units from 6 March, with ACP phase B returning to steady state on 12 May. Following a subsequent closure during the first two weeks of June, the ACP phase B has since ramped-up and is operating at full capacity. The rebuild of ACP Phase A are ahead of schedule with completion estimated at the end of Q4 2020.

PGM sales volumes

PGM sales volumes, excluding the impact of 4E toll treated material and trading, decreased 55% to 548,000 ounces, with platinum sales volumes down 65% to 195,700 ounces and palladium sales volumes down 64% to 160,900 ounces due to the decrease in refined production, supplemented by a drawdown in refined inventory. Trading Sales volumes increased by 80% to 210,500 PGM ounces to ensure supply to customers.

2020 full-year guidance

We retain our full-year production and refined production guidance, as updated in the Q1 2020 production report released on 23 April 2020. PGM production will be between 3.1- 3.6 million ounces, including platinum production of between 1.45-1.65 million ounces and palladium production of 1.0-1.15 million ounces. Refined PGM production will also be between 3.1-3.6 million ounces, including refined platinum production of between 1.45-1.65 million ounces and refined palladium production of 1.0-1.15 million ounces.

We acknowledge that significant headwinds exist in the second half of the year, including completing the rebuild of the ACP Phase A, further Eskom power-outages, as well as the potential impact the Covid-19 pandemic could have on our performance. Our priorities remain to ensure the safety of our employees and the integrity of our assets and caution that these headwinds could impact our ability to meet full year guidance.

Download the Anglo American Platinum Limited PGM Production Report for the second quarter ending 30 June 2020

Contact:

Emma Chapman

Tel: +27 (0) 11 373 6239

Email: emma.chapman@angloamerican.com

Notes to editors

Anglo American Platinum Limited is a member of the Anglo American plc Group and is a leading primary producer of platinum group metals. The company is listed on the Johannesburg Securities Exchange (JSE). Its mining, smelting and refining operations are based in South Africa. Elsewhere in the world, the Group owns Unki Platinum Mine in Zimbabwe. Anglo American Platinum has a number of joint ventures with several historically disadvantaged South African consortia as part of its commitment to the transformation of the mining industry. Anglo American Platinum is committed to the highest standards of safety and continues to make a meaningful and sustainable difference in the development of the communities around its operations.

Anglo American is a leading global mining company and our products are the essential ingredients in almost every aspect of modern life. Our portfolio of world-class competitive mining operations and undeveloped resources provides the metals and minerals that enable a cleaner, more electrified world and that meet the fast growing consumer-driven demands of the world's developed and maturing economies. With our people at the heart of our business, we use innovative practices and the latest technologies to discover new resources and mine, process, move and market our products to our customers around the world safely, responsibly and sustainably.

As a responsible miner of diamonds (through De Beers), copper, platinum group metals, iron ore, coal, nickel and manganese we are the custodians of what are precious natural resources. We work together with our business partners and diverse stakeholders to unlock the sustainable value that those resources represent for our shareholders, the communities and countries in which we operate, and for society as a whole. Anglo American is re-imagining mining to improve people's lives.

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