(Reuters) – South Africa’s Sibanye Stillwater on Friday said it expects its half-year profit to fall by as much as 53% due to weaker platinum group metal (PGM) prices and lower output from its U.S. operations.
In a trading update, Sibanye said it expected to post headline earnings per share (HEPS) of between 1.98 rand and 2.18 rand ($0.1039-$0.1144) for the six months to June 30, down from 4.23 rand a year earlier.
Sibanye’s average rand basket price for its PGMs was down 22% while PGM production from its southern African mines was 848,723 ounces versus 849,152 a year earlier.
However, output from its U.S operations was down 11% at 205,513 ounces following shaft infrastructure damage at the Stillwater mine in Montana and ongoing skills shortages.
Gold production rebounded to 334,721 ounces after plunging to 191,683 ounces during a strike-hit first half of 2022. Still, its output remained well below levels above 500,000 ounces reached before the strike.
Sibanye will release its financial results on Aug. 29.
($1 = 19.0510 rand)
(Reporting by Nelson Banya; editing by Jason Neely)