Bafokeng Rasimone Platinum Mine

The business

The Bafokeng Rasimone Platinum Mine (BRPM) is an unincorporated 50:50 joint venture (“BRPM JV”) between RBH (held through a wholly owned subsidiary, RBR) and Anglo Platinum (Angloplat) (held through a wholly-owned subsidiary, Rustenburg Platinum Mines Limited (RPM)). Each partner has a 50% participation interest and equal powers, duties, rights and obligations in relation to management, although the mine is operated in terms of a service agreement by Angloplat. Angloplat is the world’s largest platinum producer with its primary operations, Rustenburg Platinum Mines Limited and Amandelbult, located on the western limb of the Bushveld Complex.

The BRPM JV was established to exploit PGMs in the Merensky and UG2 reefs on the Boschkoppie, Frischgewaagd and Styldrift farms in the Rustenburg area. BRPM produced its first concentrate from the Boschkoppie property in December 1999. The operation has the potential to produce more than 500 000 ounces of platinum when the Styldrift Phase 1 project reaches steady state levels. Capital funding for the joint venture is apportioned equally between the parties. RBR has concluded an offtake agreement with Rustenburg Refineries for the disposal of its concentrate.

For the financial year ending 31 December 2008, attributable production was 1 124 000 tonnes processed through the mill, yielding 87 500 equivalent refined platinum ounces. The BRPM Phase 2 project, to extend the shaft infrastructure by an additional five levels, is continuing with its development. This project is due for completion by 2012.

The feasibility study on the Styldrift project was approved in September 2008 by both JV partners and the project commenced with bulk earthworks in March 2009. However, due to the global economic downturn, sinking operations have been delayed by 18 months.