(Reuters) – Sibanye Stillwater expects to report a loss for the 2024 financial year after a $500 million asset writedown at its U.S. platinum group metal operations, mainly because of lower palladium price forecasts, it said on Wednesday.
The company said it expects to report a loss per share of between 2.45 rand and 2.71 rand ($0.1321-$0.1461), down from a loss of 13.34 rand per share the previous year.
Sibanye said the impairment is also partly due to the suspension of operations at the Stillwater West mine and reduced mining at East Boulder mine, which slashed projected U.S. output by 200,000 ounces.
The miner said the average dollar price for its U.S. palladium and platinum was 21% lower in 2024 compared to the previous year.
The price of palladium in particular has fallen steeply to less than a third of its March 2022 peak of $3,440.76 per ounce, which it hit due to supply fears following top producer Russia’s invasion of Ukraine.
In 2023, Sibanye plunged to a $2 billion loss following a $2.6 billion writedown, mostly of its U.S assets.
The company will release its financial results on February 21.
($1 = 18.5435 rand)
(Reporting by Nelson Banya; Editing by David Goodman and Jan Harvey)
