Production report for Q2FY2025 ended 31 March 2025
Q2 FY2025 PGM production up 8.7% to 32.5 koz, chrome up 1.8%, impacted by rainfall and weather disruptions.
- PGM production (6E) 32.5 koz (prior 29.9 koz)
- Chrome concentrates produced 381.0 kt (prior 374.4 kt)
- Average PGM basket price US$1,421/oz (prior US$1,381/oz)
- Average chrome concentrate price US$235/t (prior US$271/t)
- Group net cash position US$79.3 million (prior US$89.0 million)
- PGM recovery 67.4% (prior 61.7%)
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JSE share code: THA
LSE share code: THS
A2X share code: THA
('Tharisa' or the 'Company')
PRODUCTION REPORT FOR THE SECOND QUARTER FY2025 ENDED 31 MARCH 2025
Tharisa, the mining, metals, and innovation company dual-listed on the Johannesburg and London stock exchanges, announces its production results for Q2 FY2025[1] and cash balance at 31 March 2025.
Highlights
‒ Lost Time Injury Frequency Rate ('LTIFR') per 200 000 man hours worked of
§ 0.02 at Tharisa Minerals
§ 0.08 at Karo Platinum
‒ PGM production up to 32.5 koz (Q1 FY2025: 29.9 koz)
‒ Chrome production up to 381.0 kt (Q1 FY2025: 374.4 kt)
‒ Average PGM prices increased to US$1 421/oz for the quarter (Q1 FY2025: US$1 381/oz)
‒ Average metallurgical grade chrome concentrate prices at US$235/t for the quarter (Q1 FY2025: US$271/t)
‒ Group cash on hand of US$186.0 million (31 December 2024: US$175.1 million), and debt of US$106.7 million (31 December 2024: US$86.1 million), resulting in a net cash position of US$79.3 million (31 December 2024: US$89.0 million)
| Quarter ended 31 Mar 2025 | Quarter ended 31 Dec 2024 | Quarter on quarter movement % | Quarter ended 31 Mar 2024 | Half year ended 31 Mar 2025 | Half year ended 31 Mar 2024 | ||
|---|---|---|---|---|---|---|---|
| Reef mined | kt | 1 131.1 | 1 291.0 | (12.4) | 1 035.0 | 2 422.1 | 2 093.6 |
| Reef milled | kt | 1 358.6 | 1 377.6 | (1.4) | 1 378.5 | 2 736.2 | 2 802.8 |
| 6E PGMs produced (6E) | koz | 32.5 | 29.9 | 8.7 | 35.3 | 62.4 | 71.1 |
| Average PGM contained metal basket price | US$/oz | 1 421 | 1 381 | 2.9 | 1 343 | 1 403 | 1 344 |
| Chrome concentrates produced | kt | 381.0 | 374.4 | 1.8 | 402.7 | 755.4 | 865.6 |
| Average metallurgical grade chrome concentrate contract price - 42% basis | US$/t CIF China | 235 | 271 | (13.3) | 286 | 253 | 288 |
Phoevos Pouroulis, CEO of Tharisa, commented:
"A solid quarter dampened by unprecedented rainfall and weather interruptions, which necessitated higher than budgeted in pit evacuations in line with safety protocols and thus affected mining mix and volumes. Lightning disruptions hit an all-time high during the period.
The dryer winter months are expected to lead to a more normal production output.
Studies on the underground mine development are nearing finalisation, and we will update the market on these exciting plans in the second half of the year.
While on the markets, chrome has rebounded strongly from the quarter's lows, and our PGM basket price is relatively stable in Rand terms with the devaluation of our local currency, the impact of the trade wars on the outlook for global economic growth is creating an uncertain and volatile environment which may impact on demand for commodities. While both PGMs and chrome are not subject to USA tariffs, the intermediate and final products containing these commodities will be. "
Health & Safety
‒ LTIFR per 200 000 man hours worked of
‒ 0.02 at Tharisa Minerals
‒ 0.08 at Karo Platinum
Market Update
‒ PGM prices saw good support pre-USA global trade tariff being affected, as the market started to realise that the supply demand gap needs price recalibration to ensure future re-balance. The impact of the trade tariffs, particularly on the motor trade, on future demand for motor vehicles may impact PGM demand and prices going forward.
‒ Chrome prices have advanced from pre-December 2024 quarterly lows, with spot trading at US$300/t with port stocks at circa six to eight week inventory levels. Demand for chrome remains strong, with the logistics pipelines operating normally. The recent implementation by the USA of revised trade tariffs on all Chinese imports into the USA, with China being our main market for the chrome concentrates, and likely impact on demand for stainless steel is uncertain at this time and may impact on demand and prices for chrome.
Operational Update
‒ Steady quarter on quarter reef mining at 1 131.1 kt (Q1 FY2025: 1 291.0 kt)
‒ Quarter on quarter reef milled at 1 358.6 kt (Q1 FY2025: 1 377.6 kt), with continued supplement of ROM purchases
‒ PGM production up to 32.5 koz (Q1 FY2025: 29.9 koz)
‒ Rougher feed grade of 1.42 g/t (Q1 FY2025: 1.39 g/t)
‒ Recovery of 67.4% (Q1 FY2025: 61.7%)
‒ Chrome production up to 381.0 kt (Q1 FY2025: 374.4 kt)
‒ Grade of 16.7% Cr2O3 (Q1 FY2025: 16.9%)
‒ Recovery at 69.0% (Q1 FY2025: 65.7%)
‒ Tharisa Minerals underground definitive feasibility study on track for approval in second half of the year
‒ Karo Platinum infrastructure work is ongoing in line with available funding for work packages while value engineering continues
Cash Balance and Debt Position
‒ Group cash on hand of US$186.0 million (31 December 2024: US$175.1 million), and debt of US$106.7 million (31 December 2024: US$86.1 million), resulting in a net cash position of US$79.3 million (31 December 2024: US$89.0 million)
Guidance
‒ Production guidance for FY2025 is set at between 140 koz and 160 koz PGMs (6E basis) and 1.65 Mt to 1.8 Mt of chrome concentrates
| Quarter ended 31 Mar 2025 | Quarter ended 31 Dec 2024 | Quarter on quarter movement % | Quarter ended 31 Mar 2024 | Half year ended 31 Mar 2025 | Half year ended 31 Mar 2024 | ||
|---|---|---|---|---|---|---|---|
| Reef mined | kt | 1 131.1 | 1 291.0 | (12.4) | 1 035.0 | 2 422.1 | 2 093.6 |
| Stripping ratio | m 3 : m 3 | 12.3 | 12.4 | (0.8) | 14.0 | 12.3 | 12.9 |
| Reef milled | kt | 1 358.6 | 1 377.6 | (1.4) | 1 378.5 | 2 736.2 | 2 802.8 |
| PGM flotation feed | kt | 1 056.2 | 1 082.7 | (2.4) | 1 055.6 | 2 138.8 | 2 103.6 |
| PGM rougher feed grade | g/t | 1.42 | 1.39 | 2.2 | 1.66 | 1.41 | 1.63 |
| PGM recovery | % | 67.4 | 61.7 | 9.2 | 62.9 | 64.5 | 64.5 |
| 6E PGMs produced | koz | 32.5 | 29.9 | 8.7 | 35.3 | 62.4 | 71.1 |
| Platinum produced | koz | 17.5 | 16.2 | 8.0 | 19.2 | 33.7 | 39.7 |
| Palladium produced | koz | 4.8 | 5.1 | (5.9) | 6.4 | 9.9 | 11.6 |
| Rhodium produced | koz | 3.5 | 2.8 | 25.0 | 3.2 | 6.3 | 6.5 |
| Average PGM contained metal basket price | US$/oz | 1 421 | 1 381 | 2.9 | 1 343 | 1 403 | 1 344 |
| Platinum price | US$/oz | 970 | 966 | 0.4 | 910 | 968 | 912 |
| Palladium price | US$/oz | 962 | 1 011 | (4.8) | 978 | 986 | 1 033 |
| Rhodium price | US$/oz | 4 770 | 4 577 | 4.2 | 4 399 | 4 673 | 4 306 |
| Cr 2 O 3 ROM grade | % | 16.7 | 16.9 | (1.2) | 18.1 | 16.8 | 18.6 |
| Chrome recovery | % | 69.0 | 65.7 | 5.0 | 66.4 | 67.4 | 68.5 |
| Chrome yield | % | 28.0 | 27.2 | 2.9 | 29.2 | 27.6 | 30.9 |
| Chrome concentrates produced | kt | 381.0 | 374.4 | 1.8 | 402.7 | 755.4 | 865.6 |
| Metallurgical grade | kt | 333.5 | 317.7 | 5.0 | 339.5 | 651.2 | 729.4 |
| Specialty grades | kt | 47.5 | 56.7 | (16.2) | 63.2 | 104.2 | 136.2 |
| Average metallurgical grade chrome concentrate contract price - 42% basis | US$/t CIF China | 235 | 271 | (13.3) | 286 | 253 | 288 |
| Average exchange rate | ZAR:US$ | 18.5 | 17.9 | 3.4 | 18.9 | 18.2 | 18.9 |
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