Royal Bafokeng Platinum Ltd., a South African producer of the metal, approved a 1.3 billion-rand ($189 million) expansion of the Bafokeng Rasimone mine it co-owns with Anglo Platinum Ltd. to boost output.
The plan is part of the North Shaft Merensky Phase III project, which will give Royal Bafokeng access to 1.41 million ounces of platinum and related metals, the Johannesburg-based company said today in a statement. Anglo Platinum, the world’s largest producer of the metal, owns 33 percent of the mine.
Royal Bafokeng listed its shares on the Johannesburg Stock Exchange on Nov. 8, seeking funds to increase production after platinum prices rose 18 percent to $1,722 an ounce this year. The company is also considering digging an 11.8 billion-rand mine at Styldrift, near the Rasimone operation.
Royal Bafokeng will finance its 853 million-rand share of the Rasimone expansion with cash generated by operations, it said. The project is under way and will be completed in the third quarter of 2017, the company said.