EASTERN PLATINUM LIMITED REPORTS RESULTS FOR THE SECOND QUARTER OF 2025 AND INCREASE OF CREDIT FACILITY WITH INVESTEC
Executive Summary
- Eastern Platinum reported a sharp decline in Q2 2025 revenue to $10.7 M (‑43%) and posted a net loss of $1.8 M versus a net profit of $3.5 M in Q2 2024.
- The company increased its revolving commodity finance facility with Investec from R110 M ($6.2 M) to R240 M ($13.5 M) to support working‑capital needs and the restart of underground production at Crocodile River Mine.
- Production metrics show higher chrome concentrate output (19,768 t wet in Q2 2025) and a substantial rise in PGM grades (average 6E grade 151 g/t vs. 41 g/t in Q2 2024), though overall operating results remain weak.
Key Details
- Financial Results – Q2 2025 vs. Q2 2024
- Revenue: $10.7 M (down $8.1 M, ‑43%).
- Mine operating income: $0.4 M (down $4.0 M, ‑90.9%). Gross margin fell to 3.4% from 23.6%.
- Operating loss: $3.0 M (vs. operating income of $1.6 M in Q2 2024).
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Net loss attributable to equity shareholders: $1.8 M ($0.01 loss per share) vs. net income of $3.5 M ($0.02 EPS) in Q2 2024.
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Financial Results – YTD 2025 vs. YTD 2024
- Revenue: $25.5 M (down $9.0 M, ‑26%).
- Mine operating loss: $4.3 M (vs. loss of $9.7 M in YTD 2024). Gross margin declined to –16.9% from 28.2%.
- Operating loss: $11.1 M (vs. operating income of $1.6 M in YTD 2024).
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Net loss attributable to equity shareholders: $8.7 M ($0.04 loss per share) vs. net income of $2.6 M ($0.01 EPS) in YTD 2024.
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Liquidity
- Working‑capital deficit (current assets – current liabilities): $51.1 M as of June 30 2025 (up from $38.7 M at year‑end 2024).
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Short‑term cash resources: $2.4 M (down from $3.1 M at December 31 2024).
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Investec Credit Facility Amendment
- Facility type: 12‑month revolving commodity finance facility secured by PGM production from Zandfontein underground to Impala Platinum Ltd.
- New maximum size: R240 M ($13.5 M), up from R110 M ($6.2 M).
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Purpose: Working capital and full restart of the Zandfontein underground section at Crocodile River Mine. No other terms changed.
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Operational Production – Chrome (Underground)
- Run‑of‑Mine UG2 feed (Q2 2025): 75,340 t; YTD 2025: 120,287 t.
- Average chrome concentrate grade: 40.7 % (both periods).
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Wet chrome concentrate produced: Q2 2025 – 19,768 t; YTD 2025 – 29,529 t.
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Operational Production – Chrome (Retreatment Project)
- No retreated feed in Q2 2025 (‑); YTD 2025 – 109,919 t (vs. 667,166 t YTD 2024).
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Wet chrome concentrate from retreated tailings: YTD 2025 – 14,690 t (vs. 152,187 t YTD 2024).
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PGM Production
- Average 6E grade: Q2 2025 – 151 g/t (up from 41 g/t in Q2 2024); YTD 2025 – 150 g/t (up from 45 g/t YTD 2024).
- Wet PGM concentrate produced: Q2 2025 – 1,401 t; YTD 2025 – 2,072 t.
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Estimated PGM ounces (6E): Q2 2025 – 6,781 oz; YTD 2025 – 9,961 oz.
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Management Commentary
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CEO Wanjin Yang: “We thank Investec for its continued support… The increased credit limit will enable us to ramp up our underground production tonnages at the Crocodile River Mine.”
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Documents Filed
- Condensed interim consolidated financial statements (3‑month and 6‑month) for period ended June 30 2025.
- Management’s Discussion & Analysis (MD&A) for same periods.
Notable Quotes
- “We are all working hard to improve PGM and chrome production.” – Wanjin Yang, CEO & President.