Anglo American Platinum decarbonisation

Anglo American Platinum (Amplats) is poised to deliver next phase of value for our stakeholders as the effects of climate change and rapidly accelerating global decarbonisation efforts continue to drive long-term demand for its metals.

According to Amplats CEO Natascha Viljoen, the company is strongly focused on leveraging its capabilities across its value chain to lead technology deployment and market development for its products.

Read more: Hydrogen economy bodes well for platinum demand, says WPIC

Against this backdrop, Viljoen says that Amplats’ industry leading portfolio provides a strong platform for growth, through its diverse, low cost and long-life mining and processing assets.

“Our firm commitments to deliver safe, responsible and reliable production, together with building thriving local communities and maintaining a healthy environment, is central to all we do. We will achieve this through our goal of delivering industry leading returns through value-focused capital allocation.”

Strategic priorities

Amplats is focused on four strategic priorities to deliver the next phase of value creation for stakeholders:

  • Stimulate new markets and leverage new capabilities through its market development activities to increase and broaden demand while capturing value from adjacent value chain opportunities.
  • Embed anti-fragility across its business to increase the resilience of its operations and enable value creation initiatives.
  • Maximise value from its industry leading asset portfolio to ensure that its assets will be in the first half of the cost curve.
  • Be a leader in ESG through developing trust as a corporate leader, building thriving communities, and maintaining a healthy environment.

Value creation

Delivering on these strategic priorities will increase the company’s attributable production from its own mines and joint operations from c.3 Moz today, by 20% to c.3.6 Moz in 2030, while improving margins and returns from the business.

This will be achieved through operational excellence and the company’s disciplined, balanced capital allocation approach, which is focused on maintaining balance sheet strength, value added growth and an attractive return to shareholders.

Amplats committed to paying a base dividend of 40% of headline earnings; while continuing a disciplined approach to discretionary capital, looking at the highest returns through portfolio upgrade, breakthrough technology, project growth options, ESG opportunities and additional returns to shareholders.

Key targets

Amplats set out the following key targets:

  • 100% of its operations to be fully modernised and mechanised by 2030
  • All of its mine operations to be in the first half of the primary cost curve by 2025
  • Mining EBITDA margin of 35-45% by 2030
  • A through the cycle return on capital employed of at least 25%
  • Supporting the creation of 5 jobs off site for every one on site by 2030
  • A net reduction in CO2 emissions of 30% by 2030 and carbon neutral (scope 1 and 2) by 2040.