Merafe’s attributable ferrochrome production decreases 17%

Sandton – Merafe’s attributable ferrochrome production from the Glencore Merafe Chrome Venture (“Venture”) for the six months ended 30 June 2024 was 154kt, marking a decrease of approximately 17% compared to the same period last year. This reduction in production is attributed to the Rustenburg smelter which has not been operational in 2024 due to prevailing market conditions.

Attributable ferrochrome production (kt)in six months ended 30 June:

2024: 154kt

2023: 185kt

Merafe is expecting basic earnings to decrease between 21% to 41%. The expected decrease in earnings is primarily driven by softer commodity prices over the reporting period.

Cash and cash equivalents for the Current Reporting Period comprised cash held by Merafe of R550 million and R1 167 million, being Merafe’s share of the cash balance in the Venture. Included in the cash held by the Venture is cash set aside to fund future environmental rehabilitation obligations, with Merafe’s share of this cash being R344 million.

The financial results for the six months ended 30 June 2024 are expected to be released on or before 12 August 2024.