Anglo American Platinum, in its annual results for the twelve months ended 31 December 2023, revealed a stable performance amidst turbulent market conditions. Despite commendable safety achievements and progress in environmental, social, and governance (ESG) initiatives, the company is confronted with potential job losses.

Financially, 2023 proved challenging due to macroeconomic weaknesses and plummeting prices of platinum group metals (PGMs). Earnings before interest, taxes, depreciation, and amortization (EBITDA) nosedived by 67%, primarily due to a 35% decrease in the PGM basket price. Consequently, the company ended the year with significantly lower headline earnings and a reduced mining EBITDA margin.

Operational hurdles further strained performance, with a 5% decline in PGM production attributed to planned infrastructure closures and poor ground conditions. Despite enhanced performance in the second half of the year, operational setbacks persisted, impacting profitability.

In response to sustained market challenges, Anglo American Platinum initiated a restructuring process under Section 189A of the Labour Relations Act. Anticipating a workforce reduction of approximately 3700 employees and a review of 620 service provider contracts, the company acknowledges the socio-economic implications of these measures.

Anglo American Platinum celebrated two consecutive years without work-related fatalities, marking its longest fatality-free period. In environmental endeavours, Anglo American Platinum advanced carbon reduction projects and garnered accolades such as the Initiative for Responsible Mining Assurance (IRMA) ratings.

Despite the current adversity, Anglo American Platinum remains optimistic about the long-term demand for PGMs. The company envisages a diverse range of opportunities in platinum, palladium, and rhodium markets, albeit amid evolving automotive trends and recycling dynamics.