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South Africa's Sylvania doubles net profit on strong PGM market

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(Kitco News) - Sylvania (AIM: SLP), a lower-cost producer of platinum group metals (PGM) with operations located in South Africa, announced Friday that its Sylvania Dump Operations (SDO) produced 17,420 PGM ounces in March quarter 2021, a 5% decrease compared to 18,363 ounces in December quarter 2020, but in line with management’s projections for the quarter.

The company said that its revenue (4E) for the quarter increased 36%, from $40.7 million to $55.3 million, as a result of the increase in the basket price quarter-on-quarter.

Sylvania’s EBITDA was $58.7 million (previous quarter: $29.1 million) and net profit was $41.3 million (previous quarter: $20.3 million).

The company said it has paid a one-off Windfall Dividend of $14.3 million to shareholders on the register on 4 March 2021.

Sylvania Platinum is a lower-cost producer of PGM with operations located in South Africa. The Sylvania Dump Operations (SDO) comprises six chrome beneficiation and PGM processing plants focusing on the retreatment of PGM-rich chrome tailings materials from mines in the Bushveld Igneous Complex. The SDO is the largest PGM producer from chrome tailings re-treatment in the industry.

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