26th Apr 2005 07:00
AQUARIUS PLATINUM LIMITEDQUARTERLY REPORT 31 MARCH 2005Aquarius GroupHighlights * Net profit after tax "cash basis" for the quarter - $12.2 million, cumulative nine months to March 2005 $29.4 million * Accounting profit for the quarter (to IAS) $5.97 million after amortisation and depreciation of $6.2 million, cumulative nine months to March 2005 accounting profit $11.98 million after amortisation and depreciation of $17.4 million * Group attributable production up 4% to 78,122 PGM ounces for the quarter * Marikana records positive "cash quarter" as cash costs decrease and concentrator recoveries improve further to 65% * Enhanced Platinum Sector Regime (EPSR) in Zimbabwe indicates a "win-win situation" * P&SA plant hot commissioned and first new production in March - 3 months ahead of schedule * Mr Zwelakhe Sisulu appointed to the Board of Aquarius as a Non-executive Director Strategic * Negotiations with owners of mineral rights adjacent to Marikana are progressing satisfactorily * Investec/ABSA debt balance reduced by a further $17.8 million to R2.5 million via Cash/debt offset agreement entered into with Investec / ABSA; the term debt facility remains intact OperationsKroondal * Improved safety performance, a record low 12 month rolling DIIR of 0.74 * Consistent quarter's production of 69,051 PGM ounces (Aquarius attributable production 34,526 PGM ounces); from * K1 concentrator 68,437 PGM ounces; and * New K2 concentrator 614 PGM ounces which commenced production on 21 March 2005 * K1 concentrator plant recoveries at 79.1% with mill throughput increased to a record 890,000 tons * Stockpile increased to 700,000 tons Marikana * Mine production up by 10% quarter on quarter to a new high of 26,509 PGM ounces * Concentrator recoveries improved 20% from the previous quarter to 65% * On mine cash costs of R3,356 per PGM ounce for the quarter, trending down from the six months average to December 2004 of R4,699 per PGM ounce * Modest 5% cash margin achieved for the quarter * Consulting group, BECO Future Foresight, involvement in a mutually participative review to improve performance of Moolmans Mining, the lead mining contractor Mimosa * Milestone safety performance, achieving 1 million fatality free shifts during the quarter * Record quarterly production of 33,529 PGM ounces (Aquarius attributable 16,765 PGM ounces) * Concentrator recoveries improve to 77.2% * Cash operating margins remain strong at 58% despite severe local inflationary pressures * Enhanced Platinum Sector Regime (EPSR) in Zimbabwe indicates a "win-win situation" * P&SA new concentrator hot commissioned in March 2005, 3 months ahead of schedule * Underground tonnage build-up progressing ahead of plan * P&SA expansion progressing well with 700,000 tons on stockpile * Construction of fourth decline underway with underground mining due to commence in May 2005. Chromite Tailings Retreatment Project * First concentrate delivered on 21st January 2005 * Production of 644 PGM ounces (Aquarius attributable 322 PGM ounces) * Commissioning issues all in hand Everest * Commencement of opencast mining at Everest Mine * Construction of plant and underground mining proceeding on schedule and to budget Commenting on the results, Stuart Murray, CEO of Aquarius Platinum said, "Overthe quarter Aquarius has worked hard to deliver a stronger production profileacross all our operations. The additional ounces from the P&SA expansion are awelcome boost that will enhance overall production in the final quarter as themine ramps up towards full production, and delivers ahead of time more ouncesfor longer."Aquarius GroupProduction by MinePGMs (4E) Quarter Ended Jun 2004 Sep 2004 Dec 2004 Mar 2005 Kroondal 59,830 67,486 71,523 69,051 Marikana 20,220 21,694 24,019 26,509 Mimosa 28,807 30,608 30,386 33,529 CTRP Plant - - - 644 Total 108,857 119,788 125,928 129,733Production by Mine attributable to AquariusPGMs (4E) Attributable to Aquarius Quarter Ended Jun 2004 Sep 2004 Dec 2004 Mar 2005 Kroondal 29,915 33,743 35,761 34,526 Marikana 20,220 21,694 24,019 26,509 Mimosa 14,403 15,304 15,193 16,765 CTRP Plant - - - 322 TOTAL 64,538 70,741 74,973 78,122Aquarius Mine PGM Production ProfileTotal attributable production of PGMs to Aquarius for the March quarter was78,122 ounces and 223,836 PGM ounces for the nine months to 31 March 2005.Operating resultsConsolidated earnings for the three months to 31 March 2005 were $5.97 million,bringing earnings for the nine months ended 31 March 2005 to $11.98 million.The increased earnings achieved in this quarter can be attributed to both animproved performance at Marikana (albeit modest) which achieved a 5% cashmargin compared to a negative gross cash margin of 30% for the six months toDecember 2004 and a continued strong performance at both Kroondal and Mimosa.Cash earnings before depreciation and amortisation were $12.2 million for thequarter and $29.4 million for the nine months ended 31 March 2005.Rand Dollar Exchange RateAlthough the average exchange rate of the Rand to the United States Dollar wasslightly stronger during the quarter at R5.90 to $1.00, compared to R6.11 to$1.00 in the December quarter, the Rand depreciated 11% over the quarter toMarch 2005 ending at R6.23 per $. This shift had a positive impact on thecompany's earnings. However, it should be noted that it must not be consideredas a consistent pattern. Revenue for the quarter, net of currency adjustments,was $54.4 million and $151.2 million for the nine months to March 2005.Currency adjustments for the quarter added $2.0 million, reflecting effects ofadjusting revenue recorded at time of production to cash received at the end ofthe production pipeline at AQPSA. Revenues were also boosted by strongcommodity prices, with platinum and rhodium in particular showing strong priceincreases. Base metals, important to Aquarius as by-products also strengthened,with the average copper and nickel prices increasing 8% and 9% over thequarter.Gross margins at Kroondal and Mimosa remained strong at 35% and 58%respectively. Marikana recorded a positive gross margin of 5%, a result ofmanagement's revised initiatives that have seen a positive cash margin for 4consecutive months .On mine cash costs at Kroondal increased to R2,462 per PGM ounce during thequarter primarily due to a combination of the higher cost of development,ledging and stoping operations as a result of P&SA requirements and highercosts of deeper open pit tons.At Marikana, on mine cash costs of R3,356 per PGM ounce for the quarter weresignificantly lower than the cash costs incurred in the six months to December2004 of R4,699 per PGM ounce. The reduction in cash costs during the Marchquarter was due primarily to lower stripping ratios and higher plantrecoveries.Mimosa reported operating costs for the quarter of $372 per PGM ounce or $158per PGM ounce net of by-product credits. The $30 increase from the Decemberquarter is due to continued severe inflationary pressures on Zimbabwe Dollarcosts in the local economy.Depreciation and amortisation for the quarter was $6.2 million, in line withthe previous quarter. During the quarter AQPSA made a further offset depositagainst the existing debt facilities with Investec Bank and ABSA Bank. The debtfacility (which remains available) has a current balance of R2.5 million.Cash balances at the end of the quarter were $98 million, down $39 million fromDecember 2004 due to $17.8 million offset deposit towards the Investec / ABSAdebt facility and $18.5 million in capital expenditure on the P&SA and Everest.Aquarius Platinum LimitedConsolidated Income StatementQuarter ended 31 March 2005US$'000 Quarter Nine Financial ended * months year ended ended * 31/3/05 31/3/05 30/6/04 Note Revenue (i) 52,146 150,908 194,850 Forex sales adjustments (ii) 2,014 320 (2,975) Total revenue 54,160 151,228 191,875 Cost of sales (iii) (41,687) (124,774) (125,420) Gross profit 12,473 26,454 66,455 Amortisation of fair value uplift of (1,338) (3,937) (4,951)mineral properties Gross profit after amortisation of fair 11,135 22,517 61,504value uplift Admin & operating costs (1,100) (4,489) (8,619) Finance costs (iv) (1,199) (7,384) (10,661) FX movements (v) (711) 1,683 (3,094) Profit before tax 8,125 12,327 39,130 Income tax expense (1,895) (782) (5,674) Profit after tax 6,230 11,545 33,456 Minority interest (vi) (256) 430 (4,752) Net profit for the period 5,974 11,975 28,704 Earnings per share (basic - cents) 7.22 14.47 35.08* UnauditedNotes on the Consolidated Income Statement i. Revenue is up 4% from the previous quarter due to increased production and higher prices ii. Reflects effects of adjusting revenue recorded at time of production to cash received at the end of the four month pipeline iii. Cost of sales are lower despite 3,000 additional PGM ounces for the quarter due to decreased costs at Marikana iv. Finance costs reflect interest expense on reduced Group interest bearing borrowings v. Reflects foreign exchange movements on translation of net monetary assets vi. Minority interests reflects 49.5% outside equity interest of Impala Platinum Holdings Limited (Implats) and Savannah Consortium in AQPSA Aquarius Platinum LimitedConsolidated Cash Flow StatementQuarter ended 31 March 2005US$'000 Quarter Nine Financial ended * months year ended * ended 31/03/05 31/03/05 30/06/04 Note Net operating cash inflow (i) 7,810 17,678 54,365 Net investing cash outflow (ii) (18,502) (55,348) (10,380) Net financing cash inflow (iii) (21,451) 54,994 15,786 Net increase (decrease) in cash held (32,143) 17,324 59,771 Opening cash balance 136,550 77,942 16,996 Exchange rate movement on cash (6,700) 2,441 1,175 Closing cash balance (iv) 97,707 97,707 77,942* UnauditedNotes on the Consolidated Cash Flow Statement i. Net operating cash flow includes $6.2 net inflow from operations and $1.6 million net inflow from finance activities. ii. Reflects payments for $18.5 million on Kroondal P&SA expansion and Everest development costs. iii. Includes debt offset payments of $17.8m and dividends paid of $2.5m iv. Closing cash comprises cash at bank of $97.7 million. Aquarius Platinum LimitedConsolidated Balance Sheetat 31 March 2005US$'000 Nine months Financial ended * year ended Note 31/03/05 30/06/04 Assets Cash assets (i) 97,707 77,942 Current receivables (ii) 32,826 23,262 Other current assets (iii) 19,848 10,736 Non-current receivables (iv) 3,049 4,627 Mining assets (v) 398,754 356,641 Other non-current assets 462 18 Total Assets 552,646 473,226 Liabilities Current liabilities (vi) 35,435 41,766 Non-current payables (vii) 159,086 59,600 Non-current interest-bearing liabilities (viii) 17,181 62,716 Other non-current liabilities (ix) 79,014 74,947 Total Liabilities 290,716 239,029 Net Assets 261,930 234,197 Equity Parent entity interest 231,547 224,975 Minority interest 30,383 9,222 Total Equity 261,930 234,197* UnauditedNotes on the Consolidated Balance Sheet i. Cash balance has reduced from December Quarter '04 by $38.8m largely due to debt offset payments of $17.8m and capital expenditure on Kroondal P&SA expansion and Everest mine development of $18.5 million ii. Reflects debtors receivable on PGM concentrate sales, increase reflects higher PGM sales iii. Increase reflects stock pile build up to accommodate the P&SA expansion iv. Reflects employee share plan loans v. Increase in mining assets reflects Mimosa mining assets, Marikana plant, Kroondal P&SA expansion and the CTRP vi. Includes tax payable ($9.0 million) and creditors ($26.4 million) vii. Reflects deferred income from BEE transaction ($10.6 million) and portion of Implats and Savcon non interest bearing shareholder loans ($148.5 million) viii. Reflects non-current portion of Investec debt and Savcon interest bearing shareholder loan ix. Reflects deferred tax liabilities $56.3 million, provision for closure costs $22.7 million AQUARIUS PLATINUM (SOUTH AFRICA) (PTY) LTD (Aquarius 50.5%)Kroondal Platinum MineSafetyThe 12 month rolling DIIR at Kroondal improved to a record low of 0.74. Thefatal accident that occurred on 20th November 2004 remains under investigationby inspectors of the Department of Minerals and Energy.OperationsPGM production for the quarter was 69,051 PGM ounces (and includes 614 PGMounces from the new K2 Plant). Production was 2,472 PGM ounces lower than theprevious quarter due to a lower feed grade of the material processed. Thismaterial which was from the stockpile contained more development ore which hada slightly higher waste content than the current arisings. A record total of915,000 tons were processed (890,000 tons from K1 and 25,000 from K2) at areduced head grade of 3.03g/t compared to 3.15g/t for the previous quarter. K1concentrator plant recoveries were only marginally down at 79.1% for thequarter even at this high K1 mill throughput.The mining operations produced a record 1,240,000 tons for the quarter of which1,187,000 were hoisted from underground and 53,000 tons mined from the open pitoperations. The increased face length derived as a result of being able todevelop down dip as part of the P&SA project has had a marked positive effect.Tonnage build-up will increase further as installation of undergroundinfrastructure is established in conjunction with additional faceestablishment.Cash costs per PGM ounce increased by 10% to R2,462 per PGM ounce primarily dueto a combination of higher cost development, ledging and stoping operations asa result of P&SA requirements and higher costs of deeper open pit tons.. Cashcost per ROM ton were 2.54% higher than the previous quarter as a result of theenhanced decline development which is 5 months ahead of schedule. These costsare forecast to reduce as the ratio of development to stoping reverts to morenormal levels.The PGM basket price increased to $728 per PGM ounce from $700 in the previousquarter.The stockpile on surface increased to 700,000 tons at the close of the quarter.Development of the fourth shaft commenced during the quarter. The establishmentof the box cut and resulting 33,000 tons of reef generated went into thesurface stockpile. Kroondal Mine (100%) PGM Production and Rand Cash Costs per PGM ounce 4 Quarters to March 2005 Kroondal: Metal in concentrate produced (ounces)Quarter ended Pt Pd Rh Au PGMs (4E) PGMs (4E) attributable to Aquarius Mar-05 41,366 19,971 7,408 306 69,051 34,526 Dec 04 42,659 20,815 7,723 326 71,523 35,761 Sep-04 40,389 19,471 7,285 341 67,486 33,743 Jun-04 35,724 17,343 6,481 282 59,830 29,915Pooling & Sharing Agreement (P&SA)The new P&SA concentrator, K2, was hot commissioned in March 2005 and theramp-up is progressing well. First concentrate was produced on 21 March. Theconcentrator is expected to run at full capacity by the end of the currentquarter.The P&SA expansion program is now nearing completion. Expansion of theunderground mine at the Central, East and No 3 shaft's progressed well throughthe quarter. A total of 1,304 meters of down-dip development has now beencompleted. The underground mine is currently producing in excess of 400,000tons per month, placing the build-up approximately 7 months ahead of projectplan.The P&SA project's capital expenditure commitments were R600 million at the endof the quarter with capital expenditure paid to date of R491 million. AQPSA'sshare of these commitments and expenditure is 50% of these amounts. It isanticipated that the project will come in slightly under budget.Marikana Platinum MineSafetyThe DIIR for the quarter rose to 0.99 from 0.70 in the previous quarter, due toeight lost time accidents occurring during the period. These accidents were dueto safety standards and procedures not being adhered to by Moolmans employees.A new safety drive is being undertaken with a focus on ongoing and scheduledtraining.OperationsPGM production for the quarter of 26,509 PGM ounces, was 10% higher than theprevious quarter. This was despite less tons being processed during the quarterat 347,038 tons compared to 364,000 tons in the previous quarter. The increasein PGM ounces was the result of improved recoveries as deeper, more competentore was mined. This is reflected in the plant recoveries for the quarterimproving by 20% to an overall recovery of 65% from the previous quarter's 54%.The impact of mining more competent ore is evident in the higher recoverieswhich was achieved despite a lower than anticipated head grade (3.66 g/t) dueto higher than anticipated waste parting thickness in the reef mined from PitB.Recycling of course plant tailings to the secondary mill, an initiativeundertaken during the quarter, is also contributing to higher recovery.As a result of a lower stripping ratio and higher recoveries, the cash cost perPGM ounce reduced by 21% to R3,356, an improvement of R892 per PGM ouncecompared to the previous quarter. This improvement has resulted in the Mineachieving a positive cash margin throughout the quarter and a total cash marginof R4.4m for the quarter.MiningThe performance of the lead mining contractor, Moolman Mining continues todisappoint. At present reef production is at approximately 60% of contractualrequirements. Despite a new mining schedule being agreed in January 2005, therequired production levels agreed to were not achieved.As a result of the continued poor performance, an external consultant (BecoFuture Foresight) has been contracted to identify areas of improvement atMoolmans (via a mutually participative review of their operational and planningsystems), such that the requisite levels of performance can be achieved andsustained.Poor mining plant efficiencies and utilization have been identified as theprincipal problem and around the clock, seven day a week operation has now beenimplemented as an immediate measure to compensate for this performance.The planning offices of Moolman and AQPSA have been integrated and detaileddaily production reviews, with a focus on problem solving, have been initiated.With these measures and a new agreed mining schedule, developed with theassistance of the consultants, a further increase in production is expected.To further improve confidence levels in future production forecasts, miningconsultants SRK will be contracted to review the overall AQPSA planningfunction.Meanwhile, the second mining contractor, MCC, continues to turn in an excellentperformance, supplementing ore supply to the plant to partially offset theshortfall from Moolman Mining.Marikana: Metal in concentrate produced (ounces)Quarter ended Pt Pd Rh Au PGMs (4E) Mar-05 17,230 6,759 2,324 196 26,509 Dec-04 15,808 6,214 1,800 197 24,019 Sep-04 13,937 6,039 1,509 209 21,694 Jun-04 13,591 5,086 1,369 174 20,220Trial underground miningThe underperformance of Moolman has caused the establishment of the finalhighwall, for trial underground mining, to be delayed by two months. Declinesinking is only expected to commence at the end of April 2005.OutlookA further revised Mining Schedule has been adopted by AQPSA. This revisedMining Schedule builds upon the current production rate of approximately 80,000tons of reef per month to 130,000 tons of reef per month over the next quarter.Management anticipates that the current implementation of remedial action plansidentified during the quarter, a production level of 130,000 tons of reef permonth is achievable and sustainable into the future. The ramp-up in productionfrom current levels to planned levels over the next quarter should maintain amodest positive cash margin for the period.The discussions held to date with owners of adjacent mineral rights with a viewto co-operation "across farm boundaries" are ongoing and continue to beencouraging.Contractor dispute with Moolman MiningThe arbitration for the dispute relating to the Rise and Fall component of themining contract which was to take place during April 2005, has been postponedat the request of Moolmans in order to audit the actual weightings applicableto the rise and fall formula. This process could facilitate the expeditiousresolution of the dispute.Everest Platinum MineSafetyThe DIIR for the quarter was zero.MiningOpencast mining activities commenced during the quarter, with 192,000 cubicmetres of waste removed from the South Pit. First reef production is expectedto take place during the next quarter. Shaft Sinkers (the underground miningcontractor) has commenced with site establishment in preparation for thedecline development which is planned to commence in April 2005.ProgressThe Everest construction programme is proceeding as planned. Civil constructionand erection of steel structures has commenced. The portal and process plantplatforms earthworks and excavation were completed during the quarter.Engineering, design and procurement activities are proceeding in parallel.Project execution is on track for hot commission during December 2005. Everestis scheduled to mine and process 250,000 tpm of UG2 ore to produce 225,000 ozof PGMs per annum at steady state. Full production should be attained in 2006.The implementation of social upliftment and sustainable livelihood projects areongoing, with the removal of alien plants and a nutritional feeding schemeimplemented during the period. Contractor recruitment of local labour isproving beneficial to the community with 327 local people employed during theperiod.The Everest capital budget is R819 million including a R33 million allowancefor escalation. The Everest project capital expenditure commitments were R454million at the end of the quarter with capital expenditure paid to date of R74million.MIMOSA INVESTMENTS (Aquarius 50%)Mimosa Platinum MineSafetyThe mine achieved a milestone in safety performance by achieving 1 millionfatal free shifts during the quarter. In addition the DIFR for the period was0.11, down from 0.29 in the previous quarter.OperationsThe mine achieved record production of 33,529 PGM ounces which was 10% abovethe previous quarter's production level of 30,386 PGM ounces and 7% above tothe previous highest achievement of 31,489 PGM ounces in September 2003.Mining output improved significantly following the receipt of outstandingunderground load, haul and dump (LHD) equipment, facilitating a goodimprovement in underground efficiencies. Consequently ROM was up 17% at 381,000tonnes compared to 326,000 tonnes achieved in the previous quarter. As a resultof an increase in mining output, feed to the plant was steady and consistent.Tons milled during the period was up 9% at 367,000 tons at an average plantfeed grade of 3.68 g/t compared with 338,000 tons at 3.65 g/t in the previousquarter.The average achieved PGM basket price was US$595 per ounce compared to US$588per ounce in the previous quarter. Together with the contribution from basemetals (approximately 30% of gross revenue) this generated sales revenue forthe quarter of $21 million, up $0.6 million from the previous quarter at agross cash margin (58%) of $12 million.Mimosa ProductionMimosa : PGMs in Concentrate Produced (PGM ounces)Quarter Pt Pd Rh Au PGMs (4E) PGMs (4E) ended attributable to Aquarius Mar-05 17,189 12,665 1,343 2,332 33,529 16,765 Dec-04 15,557 11,514 1,198 2,117 30,386 15,193 Sep-04 15,727 11,562 1,210 2,109 30,608 15,304 Jun-04 14,653 10,902 1,187 2,065 28,807 14,404Mimosa: Base Metals in Concentrate Produced (tonnes)Quarter Ended Ni Cu Co Mar-05 491 407 14 Dec-04 444 374 13 Sep-04 447 362 14 CostsThe rates achieved for the currency funding requirements were based on theReserve Bank of Zimbabwe (RBZ) auction floor rates, which continue to bestagnant relative to local inflation. Consequently, costs incurred in Z$increased significantly. In addition, significant cost increases were incurredon labour and mine maintenance costs following the wages adjustments during thequarter. The Reserve Bank of Zimbabwe's 15% F.O.B Incentive for the quarter wasoffset against operating costs. Unit cash costs per PGM ounce for the quarterwere $372 ($158 per PGM ounce after by-product credits) compared to $342 ($124per PGM ounce after by-product credits) for the previous quarter and US$348($132 per PGM ounce after by-product credits) for the rolling 12 months toMarch 2005.PGM Sector ReformsFollowing on the special status accorded to the platinum sector the Governmentof Zimbabwe, through the RBZ, gazetted operational modalities under theEnhanced Platinum Sector Regime (EPSR). Mimosa management worked closely withthe RBZ in this regard to achieve a "win-win situation" under the new regime.It is pleasing to report that although a few minor administrative details arestill outstanding, a satisfactory outcome has already been reached whichenables the mine to evaluate further growth opportunities once the EPSR hassettled down.AQUARIUS PLATINUM (SA) (CORP SERVICES) (PTY) LIMITED (ASACS), (Aquarius 100%)Chromite Tailings Retreatment Project (ASACS 50%)SafetyNo injuries or accidents were reported for this quarter.Project DevelopmentThe CTRP was commissioned in the second half of January 2005 with the firstconcentrate dispatched to the smelter on 21st January 2005. Plant improvementswere completed in the quarter, notably water balance, feed availability andprocess tuning.OperationsPGM production attributable to Aquarius was 322 ounces. PGM recovery was 38%.Current recoveries indicate an improvement towards the design recoveries.A high pressure water spray system has been installed to increase thethroughput of dry dump material to the CTRP plant.CORPORATE MATTERSDirectorate ChangesMr Zwelakhe Sisulu joined the Board of Aquarius Platinum as a Non-executiveDirector. He brings to Aquarius his considerable experience with regard to theoperating environment in Southern Africa. Mr Sisulu is Chairman of SavannahResources (Pty) Ltd, Aquarius' lead BEE partner. Kroondal 100% Current Previous +/- % YTD Previous +/- % Unit Quarter Quarter Quarter 9 9 months 9 March Dec 2004 on months to March months 2005 Quarter to 2004 Ytd March 2005 Safety DIIR Rate/ 1.06 0.38 179 0.72 1.52 (53) 200,000 man hours Revenue Gross R'M 263 263 (0) 784 664 18Revenue PGM basket Price $/oz 728 700 4 700 579 21 Gross cash margin % 35% 40% (11) 37% 51% (27) Nickel Price $/lb 6.96 6.38 9 6.56 5.52 19 Copper Price USc/lb 149 140 6 139 99 40 Ave R/$ rate 5.90 6.11 (3) 6.12 6.99 (12) Cash Costs Per ROM ton R/ton 186 181 3 185 140 32 $/ton 31 30 6 30 20 51 Per PGM ounce R/oz 2,462 2,224 11 2,369 1,827 30 $/oz 417 364 15 387 261 48 Per PGM ounce R/oz 2,382 2,112 13 2,281 1,590 43after by product credit $/oz 404 346 17 373 237 57 Capital expenditure Current R'000s 571 42 1,255 2,068 28,764 (93) $'000s 96.78 6.90 1,303 338 4,115 (92) Expansion R'000s 81,829 197,927 (59) 395,176 - - $'000s 13,869 32,394 (57) 64,607 - - Mining Processed Underground ROM Ton 860 792 9 2,454 2,072 18 '000 Open Pit ROM Ton 55 86 (36) 206 237 (13) '000 Total ROM Ton 915 878 4 2,661 2,309 15 '000 Grade Plant Head g/t 3.03 3.15 (4) 3.07 3.13 (2) Recoveries % 79% 80% (2) 80% 76% 5 PGM Production Platinum Ozs 41,366 42,659 (3) 124,415 107,685 16 Palladium Ozs 19,971 20,815 (4) 60,256 50,880 18 Rhodium Ozs 7,408 7,723 (4) 22,416 18,432 22 Gold Ozs 306 326 (6) 973 799 22 Total Ozs 69,051 71,523 (3) 208,061 177,796 17 Base Metals Production Nickel Tonnes 64 67 (4) 195 150 30 Copper Tonnes 29 30 (3) 89 69 29 Chromite (000) Tonnes 63 69 (9) 189 198 (5) (000) Marikana Current Previous +/- % YTD Previous +/- % Unit Quarter Quarter Quarter 9 9 months 9 March Dec 2004 on months to March months 2005 Quarter to 2004 Ytd March 2005 Safety DIIR Rate/ 0.99 0.70 41 1.09 0.67 63 200,000 man hours Revenue Gross R'M 94 83 12 259 262 (1)Revenue PGM basket Price $/oz 729 690 6 701 608 15 Gross cash margin % 5% (22%) n/a (17%) 0.1% n/a Nickel Price $/lb 6.96 6.38 9 6.56 5.52 19 Copper Price USc/lb 149 140 6 139 99 40 Ave R/$ rate 5.90 6.11 (3) 6.12 6.99 (12) Cash Costs Per ROM ton R/ton 256 280 (9) 273 241 13 $/ton 43 46 (5) 45 34 30 Per PGM ounce R/oz 3,356 4,248 (21) 4,206 3,907 8 $/oz 569 695 (18) 688 559 23 Per PGM ounce R/oz 3,225 4,144 (22) 4,027 3,801 6after by product credit $/oz 547 678 (19) 658 544 21 Capital expenditure Current R'000s 6,161 2,048 201 13,309 3,551 275 $'000s 1,044 335 212 2,176 508 328 Expansion R'000s - - 16,523 $'000s - - - 2,364 Processed Underground ROM Ton - - - - '000 Open Pit ROM Ton 347 364 (5) 1,111 1,085 2 '000 Total ROM Ton 347 364 (5) 1,111 1,085 2 '000 Grade Plant Head g/t 3.66 3.79 (4) 3.72 3.71 0 Recoveries % 65% 54% 20 55% 52% 6 PGM Production Platinum Ozs 17,230 15,808 9 46,975 44,183 6 Palladium Ozs 6,759 6,214 9 19,012 17,512 9 Rhodium Ozs 2,324 1,800 29 5,633 4,693 20 Gold Ozs 196 197 0 602 569 6 Total Ozs 26,509 24,019 10 72,222 66,957 8 Base Metals Production Nickel Tonnes 38 26 45 87 65 34 Copper Tonnes 21 13 59 46 39 18 Chromite (000) Tonnes 57 63 (10) 169 26 - (000) Mimosa Current Previous +/- % YTD Previous +/- % Rolling Unit Quarter Quarter Quarter 9 9 months 9 9 March Dec 2004 on months to March months months 2005 Quarter to 2004 Ytd to March March 2005 2005 Safety DIIR Rate/ 0.11 0.29 (62) 0.30 0.54 (44) 0.34 200,000 man hours Revenue Gross Revenue US$M 20.7 20.1 3 60.8 53 16 80 PGM basket $/oz 595 588 1 585 531 10 578Price Gross cash % 58% 63% (8) 61% 70% (13) 59%margin Nickel Price $/lb 6.70 6.17 9 6.31 5.51 15 6.16 Copper Price USc/lb 129 120 8 115 91 26 113 Cash Costs Per ROM ton $/ton 34 31 10 31 20 55 31 Per PGM ounce $/oz 372 342 9 346 220 57 348 Per PGM ounce $/oz 158 124 27 132 32 313 132after by-product credit Capital expenditure Current $'000s 2,273 3,504 (35) 11,427 6,296 81 14,418 Expansion $'000s 82 335 (76) 738 3,892 (81) 1,103 Mining Underground ROM Ton 381 326 17 1,037 986 5 1,382 '000 Grade Plant Head g/t 3.68 3.65 1 3.67 3.73 (2) 4 Recoveries % 77.2% 76.6% 1 77.0% 76.0% 1 76.8% PGM Production Platinum Ozs 17,189 15,557 10 48,473 46,770 4 63,126 Palladium Ozs 12,665 11,514 10 35,741 33,795 6 46,643 Rhodium Ozs 1,342 1,198 12 3,750 3,849 (3) 4,937 Gold Ozs 2,333 2,117 10 6,559 6,169 6 8,624 Total Ozs 33,529 30,386 10 94,523 90,583 4 123,330 Base Metals Production Nickel Tonnes 491 444 11 1,382 1,295 7 1,796 Copper Tonnes 407 374 9 1,143 1,074 6 1,472 Cobalt Tonnes 14 13 8 41 40 2 54 Chromite Tailings Current Previous +/- % YTD Previous +/- % Retreatment Project 100 % Unit Quarter Quarter Quarter 9 9 months 9 months March Dec 2004 on months to March Ytd 2005 Quarter to 2003 March 2005 Safety DIIR Rate/ - - 200,000 man hours Revenue Gross Revenue US$M 0.4 0.4 PGM basket $/oz 812 812 Price Gross cash % 30% 30% margin Nickel Price $/lb n/a n/a Copper Price USc/lb n/a n/a Cash Costs Per ROM ton $/ton 13 13 Per PGM ounce $/oz 400 400 Per PGM ounce $/oz n/a n/a after by-product credit Capital expenditure Current $'000s - - Expansion $'000s 1,555 3,676 Treated ROM Ton 20 20 '000 Grade Plant Head g/t 2.97 2.97 Recoveries % 34% 34% PGM Production Platinum Ozs 401 401 Palladium Ozs 136 136 Rhodium Ozs 106 106 Gold Ozs 1 1 Total Ozs 644 644 Base Metals Production Nickel Tonnes n/a n/a Copper Tonnes n/a n/a Cobalt Tonnes n/a n/a Aquarius Platinum LimitedBoard of DirectorsNicholas Sibley Chairman Stuart Murray Chief Executive Officer David Dix Non-executive Edward Haslam Non-executive Catherine Markus Non-executive Sir William PurvesRelated Shares:
AQP.L