Sibanye-Stillwater has pulled the trigger on capital investments worth approximately R6.8 billion in high return PGM and gold growth projects in South Africa.
On 16 February 2021, the Sibanye-Stillwater board approved the development of the K4 and Klipfontein projects at the SA PGM operations and the resumption of capital development and equipping at the Burnstone developmental stage gold mine in Mpumalanga.
The projects have a combined net present value of R5.1 billion at conservative project prices assumed for the evaluations, which increases significantly to R26.9 billion at current spot prices.
In addition to this value add for investors in Sibanye-Stillwater, the ancillary benefits for communities and other stakeholders will be significant. Approximately 7 000 jobs will be created and sustained over the life of the projects, with significant financial benefits likely to accrue to local communities and regional and national government
From a social perspective, assisting stakeholders to manage the COVID-19 pandemic was a primary focus during 2020 and will continue to be in 2021. Board approval has already been granted to commit up to R200 million in direct and indirect funding/assistance to the vaccine roll out effort, subject to certain conditions, and Sibanye-Stillwater stands ready to assist Government with the logistics of the vaccine roll out throughout the country.
Significant company resources are available to assist should it be required including its 44 healthcare facilities and qualified healthcare professionals spread throughout the regions in which the company operates.
”With a tailwind of strong commodities and increased production for 2021, the group is positioned or an even stronger financial performance for 2021. The global focus has shifted to prioritising a cleaner and greener future, Sibanye-Stillwater is particularly well placed in pursuing its growth strategy and producing the essential metals that the world requires,” says Sibanye-Stillwater CEO Neal Froneman.