Tshepong South

  • JSE: R152.37 -2.57%
  • NYSE:$8.13 -1.40%
  • GOLD:$2 600/oz -0.83%
  • GOLD:R1 571 224/kg -0.68%
  • USD:ZARR18.80 +0.16%
  • At 18:54pm, 30 Dec 2024

Overview

Tshepong South is located in the Free State, near the town of Welkom, some 250km from Johannesburg. Tshepong South exploits the Basal reef with the B Reef mined as a high-grade secondary reef and uses the conventional undercut and opencut mining method. Rock from Tshepong South is transported via a railveyor system to Nyala shaft, from where it is hoisted to surface. Mining is conducted at depths of 1 500m to 2 300m. Ore mined is processed at the Harmony One plant, with gold recovered using the gold cyanide leaching process.

As at 30 June 2023

  • Gold Resource: 14.52Moz
  • Gold Reserve: 0.9Moz
  • LoM: 7 years

Operating statistics FY23

Production

3 431kg / 110 310oz

Grade

6.78g/t

Workforce

3 386

All-in sustaining cost

US$1 474/oz

Operating performance FY23

FY23 was the first year for Tshepong South being managed as a separate unit after the split of Tshepong Operations. The shaft produced 3 431kg (110 310oz) of gold, a 6% increase over the 3 229kg (103 814oz) produced in FY22. This was due to a 20% increase in the recovered grade to 6.78g/t (FY22: 5.64g/t) which is in line with the reserve grade for the operation. Ore milled for FY23 was 12% lower at 506 000 tonnes (FY22: 573 000t).

Revenue rose 23% to R3 607 million (FY22: R2 922 million) due to a 15% increase in the average gold price to R1 043 180/kg (FY22: R904 303/kg) as well as higher production. Cash operating costs were up 8% to R2 374 million (FY22: R2 193 million), mainly due to annual wage and electricity tariff increases. Capital expenditure increased 8% to R514 million (FY22: R476 million), mainly for ongoing development. Operating free cash flow of R719 million was significantly higher than the R253 million recorded in FY22, reflecting the improved production results as well as higher gold price.

OUTLOOK FOR FY24

The management team’s main focus will be to continue building on the successful split of the operations and deliver safe profitable production in line with FY24 planning. Production guidance for Tshepong South for FY24 is 95 600oz to 100 600oz.

ESG statistics

Lost-time injury frequency rate

5.24 per million hours worked (FY22: 7.15)

Water intensity (/tonne treated)

3.29Ml FY22: 3.23Ml

Energy intensity (/tonne treated)

0.55GWh (FY22: 0.51GWh)

GHG intensity
(/tonne treated)

0.57t CO2e (FY22: 0.55t CO2e)

Local economic development

R10m (FY22: R11m)

SLP

Tshepong/Phakisa 2018 – 2022 (English)
Tshepong/Phakisa 2018 – 2022 (SeSotho)

Tshepong North

Tel: 057 907 2113

Tshepong South

Tel: 057 916 7244

4PM6+MW Odendaalsrus,
Free State, South Africa