Platinum group metals (PGMs) miner Royal Bafokeng Platinum (RBPlat) more than doubled its headline earnings a share for the year ended December 31 to 50.4c.

Its earnings before interest, taxes, depreciation and amortisation increased by 248.4% year-on-year to R1.76-billion, while its net debt decreased by 41% to R491.3-million.

“While RBPlat witnessed a recovery and strengthening of macro PGM market fundamentals, resulting in a healthy basket price, the domestic environment remained challenging.

“Operationally, the year represented a continued transformation as Styldrift moved from a project environment to commercial operating status, and the Bafokeng Rasimone Platinum Mine (BRPM) was required to maintain steady results despite a rapidly depleting South shaft Merensky reserve.

"We achieved significant production and construction milestones at our operations but the overall volume and cost performance did not meet our expectations, largely driven by the operational complexity we have faced this year,” CEO Steve Phiri commented on Tuesday.

Platinum, palladium, rhodium and gold (4E) metals-in-concentrate production increased by 9% year-on-year to 401 000 oz, while platinum metal-in-concentrate output increased by 9.2% year-on-year to 261 000 oz.

However, the lower built-up head grade, along with lower recovery potential of the Maseve Milling and Flotation 1 circuit and the lack of availability of the BRPM plant secondary mill in the second quarter of 2019, adversely impacted on overall 4E recoveries to 83.07%.

Further, 6 500 oz of 4E production was lost as a result of safety and load-shedding related disruptions.

Total capital expenditure was 52% lower year-on-year, at R1.66-billion, largely reflecting the diminishing capital requirements at Styldrift as the project enters its final phase.

Production for this year is forecast to increase to between 4.2-million tonnes and 4.5-million tonnes at a 4E built-up head grade of 3.9 g/t to 4 g/t, yielding 450 000 oz to 485 000 oz of 4E metals-in-concentrate.