Make Kitco Your Homepage

Amplats announces temporary closure of ACP Phase B unit

Kitco News

Editor's Note: Sign up for the International Precious Metals Institute's (IPMI) LIVE WEBINAR. A panel discussion on current issues facing the autocatalyst segment of the precious metals industry, including procurement, financing manufacturing, recycling and refining. Click HERE to register for FREE.

(Kitco News) - Anglo American Platinum has shut down its Phase B unit of the Anglo Converter Plant for the second time this year, the company announced Wednesday.

Officials said a water leak was detected Sunday in the high-pressure cooling section. The unit was shut down and employees were evacuated safely.

“Whilst a detailed technical investigation into the cause of this leak and potential repairs is under way, the company has taken the decision to temporarily close the ACP Phase B unit to ensure an ongoing safe operating environment, protect employees and protect the integrity of the plant,” Amplats said in a prepared statement. “This latest action is separate from the repair work that was recently completed at the ACP Phase B unit and there is no damage to the prior repairs or to the furnace.”

Amplats did not make offer any guidance on how this might impact production but said it would provide more information when it becomes available, expected to be early next week. Meanwhile, the company added, repairs to the Phase A unit are “progressing well” are not impacted by current work at the Phase B unit.

The first outage this year lasted almost two months and the decline in supply was big enough to support prices of platinum group metals during the early stages of global COVID-19 lockdowns, said BMO Capital Markets.

“Amplats had expected to catch up refined PGM output in the second half, an aspiration that may now be in doubt,” BMO added.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.