Implats said the number of Section 54 safety stoppage instructions issued by the Department of Mineral Resources (DMR) continue to pose a significant challenge for the Rustenburg team.

Impala recorded 42 DMR safety stoppages, which led to a direct loss of 26 000 platinum ounces (430 000 mined tonnes), equating to approximately R530 million in lost revenue.

At this stage, Implats estimated that it would lose approximately 50 000 platinum ounces in the second half of the year due to the 14 Shaft fire.

Given this and the ongoing Section 54 stoppages, production at Impala has been revised to between 630 000 and 650 000 ounces of platinum for the 2016 financial year.

Implats, the world’s second-biggest platinum producer, on Thursday released its operational and financial performance for the six months ending in December, which showed a 19.9 percent decline in first-half earnings as a result of continued impact of lower US dollar metal prices.

Last week, Implats said it expected half-year profits to fall by as much as 20 percent due to lower rand prices for its main commodity.

Headline earnings per share fell from 66 cents a year earlier to 53 cents for the six months ending in December.

Implats had managed to raise R4 billion from investors last year which is earmarked for the completion of the new 16 and 20 shaft complexes at Impala Rustenburg.

Implats said it planned to cut costs by R1,6 billion through a strategic review by the end of the 2016 financial year.