(Reuters) – Impala Platinum (Implats) could wind down its palladium mine in Canada earlier than planned if there is no immediate recovery in metal prices, CEO Nico Muller said after a 43% slump in first-half profit.
Palladium has registered the sharpest price decline of all platinum group metals (PGM), plunging from its March 2022 peak of about $3,440 an ounce to current levels around $921. Muller said that Implats could close the Canada mine before the end of its remaining two years, but no final decision has been taken yet.
“I would not be surprised if, in the course of the next few months we come to a position that an accelerated and responsible wind down of that operation seems to be economically the most effective way to deal with (Impala) Canada,” Muller said on a media call.
First half profit slid to 1.85 billion rand ($100.15), hit by lower metal prices, prompting the miner to scrap dividend payments.
Muller also said that Implats is assessing some of South African mines that are struggling to make a profit.
($1 = 18.4725 rand)
(Reporting by Nelson Banya and Felix Njini; Editing by Jamie Freed, Sherry Jacob-Phillips and David Goodman)
