As Northam Platinum’s capital spend on growth slides off a record high the company is considering the best way to return value to shareholders, with dividends the least preferred option. Northam spent R3.8bn in its 2018 financial year to end-June on developing its new Booysendal South mining complex, buying resources from Anglo American Platinum to give its Zondereinde mine fresh ore in good ground, the mothballed Eland mine from Glencore, building a new furnace and buying a platinum group metals recycling business in the US.

Capex will drop to R2bn in 2019, which will "complete the heavy lifting, in particular at Booysendal South" and spending will drop to R1.5bn in 2020. Sustaining capital across all its SA operations would be about R1bn a year. With its growth blocks in place, the focus is now on making sure the company realises the potential from these assets, while the board will decide on the best way to reward shareholders, CEO Paul Dunne said on Friday. While its cash ...

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