Mimosa had a solid, trouble-free year during which all key production and expansion parameters were met.

The Wedza Phase 5 expansion project, commissioned last year, was completed. It focused on the extension of milling and tailings handling capacities in order to optimise the extra flotation capacity created in Phase 4. As a result, total tonnes milled increased by 21% to 2.1 million tonnes. Consequently, production of platinum-in-concentrate rose 19% to 91 500 ounces.

Unit costs were 35% higher year-on-year, mainly driven by higher input costs due to the dollarisation of the Zimbabwean economy, inflation and the weaker rand/dollar exchange rate.

The operation delivered an excellent safety performance, with an improved lost-time injury frequency rate (LTIFR) of 0.52. This was 41% better than in the previous year. Mimosa continues to work towards the group vision of Zero Harm by 2012.

Outlook

Mimosa has now achieved capacity for steady-state production of 100 000 ounces of platinum-in-concentrate a year. No further expansions are envisaged at this stage.

Further growth potential does exist through the exploitation of the North Hill and Mtshingwe resources.

Mimosa – key statistics

		FY2009	FY2008
Sales	(Rm)	1 262	1916
Platinum		708	847
Palladium		102	160
Rhodium		69	279
Nickel		224	468
Other		159	162
Cost of sales		(1 008)	(594)
Mining operations		(582)	(367)
Concentrating operations		(215)	(104)
Treatment charges		(119)	(86)
Amortisation		(80)	(61)
Increase/(decrease) in inventory		(12)	24
Gross profit		254	1322
Other operating costs		(68)	(67)
Royalty expense		(45)	(46)
Profit from operations		141	1209
50% Profit from operations attributable to Implats		71	605
Intercompany adjustment *		187	(119)
Adjusted gross profit		314	542
Other costs including royalties		(56)	(56)
Profit from operations in Implats group		258	486
Gross margin	(%)	20.1	69.0
Adjusted gross margin		38.4	64.6
Sales volumes in concentrate
Platinum	('000 oz)	85.6	74.6
Palladium		65.0	57.0
Rhodium		7.0	5.9
Nickel	(t)	2 443	2 128
Prices achieved in concentrate
Platinum	($/oz)	911	1 563
Palladium		173	386
Rhodium		1 087	6 449
Nickel	($/t)	10 084	30 256
Exchange rate achieved	(R/$)	9.08	7.26
Production
Tonnes milled ex-mine	('000 t)	2 111	1 732
Headgrade (5PGE+Au)	(g/t)	3.87	3.85
Platinum in concentrate	('000 oz)	91.5	76.6
Palladium in concentrate		69.4	58.1
Rhodium in concentrate		7.2	6.0
Nickel in concentrate	(t)	2 539	2 086
PGM in concentrate	('000 oz)	189.3	158.9
Total cost	(Rm)	865	538
	($m)	95	74
per tonne milled	(R/t)	412	311
	($/t)	45	43
per PGM ounce in concentrate	(R/oz)	4 569	3 386
	($/oz)	503	466
per platinum ounce in concentrate	(R/oz)	9 454	7 023
	($/oz)	1 041	967
net of revenue received for other metals	(R/oz)	3 399	(6 932)
	($/oz)	374	(955)
Capital expenditure	(Rm)	555	289
	($m)	61	40
Labour including capital	(no)	1 931	1 796
Own employees		1 623	1 543
Contractors		308	253
Centares per panel man per month	(m²/man)	52	50

* Adjustment note: The adjustment relates to sales from Mimosa to the Implats group which at year-end was still in the pipeline.