Bauba reopens chrome mine as price rebounds
PLATINUM mining Bauba said yesterday that it had re-opened its wholly-owned chrome mine Moeijelijk after placing it under care and maintenance.
This was after the chromeore price dropped from $175 (R2 380) a ton to $120 a ton in January last year, which made the company financially unviable. Bauba’s chief executive, Nick van der Hoven, said yesterday that the rebounding chrome-ore price had prompted Bauba to resume its Moeijelijk mine. He said chrome-ore price had bounced back from a low of $80 a ton to $380 a ton. Van der Hoven said Moeijelijk was expected to produce 20 000 tons of chrome ore within three months, and expected chrome grade to be between 39 percent and 41 percent.
“From a difficult position in 2016, Bauba has – having preserved its chrome-ore reserves for more favourable prices – come into a stronger a position and is well positioned to capitalise on these improved prices,” said Van der Hoven.
The company reported a loss of R6.4million from R78.7m sales for the financial year ending in June. – Manyane Manyane