Ferrochrome production attributable to the Johannesburg Stock Exchange-listed Merafe Resources from the Glencore Merafe Chrome Venture for the six months to June 30 was a 17%-lower 154 000 t compared with the same period in 2023.

The reduction in production is attributed to the Rustenburg smelter not being operational this year owing to unfavourable market conditions.

The stock exchange news service on Tuesday alerted shareholders to a basic earnings per share decrease of between 21% and 41% and a headline earnings per share fall of between 23% and 43% compared with the first six months of last year, owing to softer commodity prices over the reporting period.

Cash of R550-million and cash equivalent of R1 167-million held in the period is Merafe’s share of the cash balance in the Glencore Merafe Chrome Venture, the company stated in a release to Mining Weekly.

Included in the cash held by the venture is cash set aside to fund future environmental rehabilitation obligations, with Merafe’s share of this cash being R344-million. Merafe holds a 20.5% interest in the venture, which had 26%-lower first quarter output of 77 000 t, compared with the 103 000 t produced in the first quarter of 2023.

One of the 2024 venture-level developments cited by Merafe earlier this year is the adoption of green energy solutions, along with the implementation of the negotiated pricing agreement with State power utility Eskom and the National Energy Regulator of South Africa.

Moreover, already at an advanced stage of consideration are alternative technologies for producing electricity from off-gas generated as part of the ferrochrome production process, as well as a combination of solar and wind projects that include on-site behind-the-meter projects as well as off-site wheeling projects.

Using 2019 levels as a base, a 15% reduction of total scope 1, 2 and 3 emissions is targeted for 2026, a 25% reduction of total emissions for 2030, a 50% reduction by 2035, and net zero by 2050.