About Implats
How we create value

Our mission is to mine, process, refine and market high quality PGM products safely, efficiently and at the best possible cost from a competitive asset portfolio through team work and innovation.

Business Model


Strategic risks.

  1. Ability/capacity to implement the outcomes of the Impala Rustenburg strategic review and return Impala to a cash neutral/positive position by FY2021
  2. Weak balance sheet
  3. Sustained depressed PGM basket prices
  4. Non-delivery of production and productivity targets at Impala Rustenburg
  5. Employee relations climate
  6. A significant deterioration in safety performance
  7. Reduced production flexibility in smelting operations
  8. Inability to sustain SIB and risk mitigation projects due to capital constraints
  9. Long-term economic viability of Marula operations
  10. Challenged capacity and efficiencies of management layers at South African operations

  1. Non-controllable
  2. Controllable
  3. Partially controllable

Material opportunities.

Impala Rustenburg:

  • The successful restructuring of Impala Rustenburg will create a more focused profitable business with lower operating cost and capital intensity


  • Additional geographic diversity into a shallow, mechanisable lower-cost palladium-rich orebody
  • Long-term potential to grow shallow, mechanised, low-cost operations
  • Opportunity to leverage spare capacity in world-class refining assets

Value added statement

for the year ended 30 June
(Prepared on a headline earnings basis)
Revenue 35 854
Other net income 821
Gross value 36 675
Depreciation (3 838)
Deferred tax (125)
  32 712
Distribution of value  
Consumables and services (8 495)
Metals purchased (9 651)
Labour and other* (12 981)
Direct state taxes (1 442)
Finance costs (1 006)
Royalty recipients (350)
Non-controlling interest 114
Dividends (15)
Diminution in shareholders’ value 1 114

* Including labour cost capitalised.

Positive and negative outcomes



  • Injuries and fatalities
  • Occupational health (NIHL)
  • Skilled leaders and employees
  • Economic empowerment of our people
  • Equity and transformation

  • Positive
  • Negative



Social & Relationship



Detailed analysis of how our capitals were utilised in 2018:


  • Our leadership
  • Our workforce
  • Skills and training
  • Social, ethics, transformation and remuneration practices
  • Value is generated through the wellbeing, expertise and motivation of our employees, contractors and service providers
  • 50 512 employees including contractors
  • Regrettably, we have reduced headcount at Impala to ensure sustainability
  • R504 million (2017: R572 million) skills development expenditure
  • Good progress in promoting equitable transformation at all levels
  • Injuries and fatalities - LTIFR: 6.01 (2017: 6.35)
  • Employee wellness - 149 (2017: 196) new TB cases, 5 771 (2017: 5 002) employees on ART
  • Skilled leaders and employees - 2 200 (2017: 980) employees and contractors impacted by restructuring
  • Economic empowerment of our people - R11.8 billion (2017: R11.7 billion) in salaries
  • Equity and transformation: Achieved


  • Operating cash flow
  • Equity funding
  • Debt funding
  • R1.0 million operating cash out flow
  • PGM prices have a significant impact on revenue generation and profitability
  • High fixed-cost associated with deep level mining (Rustenburg) due to infrastructure and labour intensity
  • Strict capital allocation and investment aimed at diversification ensures optionality and positions the business for the future
  • Secured approved terms to enter into forward sale transaction to release up to R2.0 billion of the approximately R4.2 billion excess pipeline stock during FY2019. The forward sale relates to excess inventory that will only be refined in FY2020, effectively monetising the Group's entire excess stock pipeline in FY2019.
  • The remaining quantum of undrawn debt facilities is R2.5 billion available until 2021
  • R829 million Zimplats dividend declared after year-end to support liquidity/restructuring efforts
  • Shareholder and investor returns - no dividend declared since 2013
  • Headline loss - R1 228 million (2017: R983 million)
  • Contribution to tax revenues and economic growth - R3.6 billion (2017: R3.4 billion)


  • Mining rights
  • Mineral Resources and Mineral Reserves
  • Plant, property and equipment
  • Utilities
  • Reduced Attributable Mineral Resource of 133.8Moz of platinum (2017: 191.6Moz)
  • Operating model (ongoing development/harvest) impacts Mineral Reserves and, ultimately, life-of-mine
  • Capital expenditure - R4.6 billion (2017: R3.4 billion). In the current year, R1 .4 billion was spent on the two development shafts, 16 and 20, at Impala Rustenburg and R1 .7 billion, US$135 million was spent at Zimplats, mainly on the Mupani and Bimha development
  • Energy consumed - 16 million GJ (2017: 17 million GJ)
  • Products that generate revenue R35.9 billion (2017: R36.8 billion)
  • Products that improve the environment - PGMs used to control emissions from combustion engines, mostly in the automotive industry
  • Mineral Reserves - negatively impacted by strategic review of Impala and economic valuation of individual shafts and tailcutting, while positively affected by the addition of some Upper Ores at Zimplats and the Kalkfontein RE portion

Social and relationship

  • Ethics and human rights
  • Employee relations
  • Organised labour
  • Community relations
  • Social licence to operate
  • Respect human rights and maintain zero tolerance to unethical behaviour
  • Invest significantly in maintaining stable and constructive relationships
  • 83% of SA workforce and 92% of Zimbabwean workforce are covered by collective bargaining agreements
  • R214 million (2017: R136 million) invested in socioeconomic development benefiting 21 000 people in South Africa and 73 000 people in Zimbabwe
  • Commitment to comply with and meet the objectives of the MPRDA, the 2010 Mining Charter, the President's Framework Agreement for a Sustainable Mining Industry, the Leaders' declaration on the mining industry commitment to save jobs and ameliorate the impact of job losses and the NDP
  • People influx and constraints on infrastructure and social amenities
  • Informal settlements
  • Labour and social unrest - proactive engagement with community representatives and government officials
  • Education, health and housing - continue with community development initiatives such as Platinum Village


  • Knowledge and procedures
  • Risk and accounting systems
  • R&D and IP
  • Geological models
  • People, governance and safety systems
  • Effective and efficient performance depends on effective management systems and a conducive people culture
  • Best in sector purity (refining capability) for platinum and palladium
  • Continuous improvement - safe and efficient operations
  • Development of IP
  • Business improvement
  • New executive and board appointments in current period


  • Natural resources (land, air, water and biodiversity)
  • Mineral Resources and Mineral Reserves
  • Mining activities unavoidably erode the natural environment - we strive to mitigate these effects through responsible stewardship of our natural resources
  • Attributable Mineral Resource of 133.BMoz of platinum
  • Pollution (air, water, land) and climate change
  • Water withdrawn: 23 530MI (2017: 23 530MI)
  • Energy consumption: 16 million GJ (2017: 17 million GJ)
  • Reduced land availability and increased land disturbance
  • Conservation of natural resources through recycling, rehabilitation