Platinum miner, Zimplats recorded a $45,53 million profit in the year ended June, 2017, up from $7,32 million achieved in the prior year, a performance the company mainly attributed to a Government export incentive scheme.
In its preliminary final report, the company said it was awarded a 2,5 percent incentive on export proceeds received in Zimbabwe.
"The profit for the year ended June 30, 2017, was boosted by a total of $34,8 million realised from the export incentive and disposal of treasury bills from the Reserve Bank of Zimbabwe (RBZ)," Zimplats said.
The company realized $20,8 million from the disposal of treasury bills. Revenue for the year increased by 9 percent to $512,5 million from $471 million due to improved metal prices.
Average metal prices improved from $1 638 in the prior year to $1 868 in the period under review. The increase in revenue was despite a 5 percent decrease in sales volumes which declined from 582 833 ounces to 555 892 ounces.
On operations, Zimplats achieved record ore production of 7 million tons due to improved production from the Bimha Mine which contributed 916 000 tonnes to total production. The company also achieved a record number of tons milled during the year.
"A record 6,7 million tons of ore were milled in the year compared to 6,4 million tons milled in the previous period," it said.
"This was largely due to good plant running time achieved over the year and improved ore supply from the mines."
But, the company said total platinum ounces produced and sold in the year under review decreased from 290 410 ounces and 288 063 ounces recorded in the prior year, to 281 069 ounces and 274 364 ounces, respectively.
On projects being carried out, Zimplats said the Selous Metallurgical Complex Base Metal Refinery refurbishment project remained constrained by cash flow challenges, with total project expenditure as at June, 30, 2017 standing at $23,4 million.
At least $20,6 million was spent on the redevelopment of the Bimha Mine in the just ended year and it remained on schedule to achieve design production capacity by April 2018.
"A total of $4 million was spent on expansion projects during the year compared to $27 million in the previous period.
"A total of $59 million was spent on stay in business projects during the period, 40 percent higher than the $42 million spent in the previous period."
- New Ziana.