Gold producer Sibanye-Stillwater has taken a large mouthful of debt to pay $2.2bn cash for its American palladium and platinum assets and now it needs to find a way to chew and digest it without damaging the business.It needs to generate some serious cash from its assets in SA, Zimbabwe and the US to take advantage of the higher palladium price and the gold price, stripping excess costs from its mines, limiting the effect of SA mining inflation as much as possible and boosting productivity, particularly at its local assets. In the latest update from Sibanye, the largest producer of South African gold, the operations appear to be firing on all cylinders apart from the three Cooke mines the company has flagged for closure after a long run of disappointing results, and the Beatrix West mine. Sibanye has guided investors to the upper end of its annual gold and platinum group metal production estimates in SA and showed nice operating profits for the September quarter. Of concern was the ...
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