The recent growing power outages in South Africa have dampened production at local platinum mining company Anglo American Platinum Ltd., but what about the impact on copper? Mysteel conducted a survey on the production of Palabora Mining, South Africa's largest copper producer.
According to the company's public information, Palabora is the largest local producer of copper products including copper concentrate, copper cathode, copper wire, etc., occupying about 50% of the local market share. The products are mainly sold to local end users, but due to high copper prices, part of the company's copper concentrate is exported to China. In 2021, the company's copper metal output was 22,900 tonnes, and the number of copper metal sales in the first half year of 2022 was 8,717 tonnes, which was unchanged year on year.
At present, the copper mines owned by the company include phase I and phase II and is now in the alternating stage of phase I and phase II. The company expects to achieve partial production of phase II copper mine and close phase I in the third quarter of 2023. While constructing the second phase of the project, the company is also upgrading the original facilities, and the annual copper ore production capacity will reach 11 million tonnes and the smelting capacity will reach 70,000-80,000 tonnes after full production.
Mysteel learnt from local traders that Palabora keeps normal production of blister now as the smelter uses a pyrometallurgical process with moderate power consumption. Besides, as the total copper refining capacity in South Africa reaches below 100,000 tonnes, a limited impact is expected to impose on the copper supply.
Written by Ting Ao, aoting@mysteel.com
Edited by Paula Xu, xuzhongping@mysteel.com
