CHROME ORE AND CHARGE CHROME
Chrome ore is mined at Assmang's Dwarsrivier Mine close to Lydenburg in Mpumalanga province and production is employed primarily to supply Assmang's Ferrochrome Functions at Machadodorp. The group also mines chrome ore near Rustenburg (Rustenburg Minerals Development Corporation (Proprietary) Limited) (RMDC) from established open-cast operations as well as a recently opened underground shaft, having a second underground shaft becoming commissioned by December 2011.
RMDC is 44% held by a black economic empowerment (BEE) partner (refer "Black economic empowerment" report). Production from RMDC is supplied mainly for the local industry. Reprocessing of chromite tailings has commenced at Zeerust Chrome Mines Restricted (Zeerust) north of Groot-Marico inside the North West province, and restricted open-cast operations on the chromite seams are anticipated to commence through the last calendar quarter of 2010.
The bulk of chrome ore mined globally is converted to ferrochrome and utilised inside the production of stainless steel. Due to the fact the economic turmoil in 2008, this market has experienced a slow recovery, with production of stainless steel in 2009 around 4% lower than calendar 2008. perlite ore crusher
The current stainless steel industry is split into two geographic places, each with pretty distinctive dynamics. For the duration of the year below evaluation, Chinese production was far more than ten million tons, producing it by far the largest stainless steel producer inside the globe. On the other hand, each the USA and Europe, the prior core stainless markets, are still substantially beneath 2008 levels with small sign of any recovery, which are going to be dependent on economic growth, and in particular construction growth in these locations. Total globe production for 2010 is expected to become 20% above that of 2009, at around 30,0 million tons (2009: 25,3 million tons).
Demand for ferrochrome was consequently considerably stronger than was anticipated a year ago and production restraint was exhibited by most South African producers. This resulted in pricing recovering strongly, using the European contract price recovered by a lot more than 50% from its low point in 2008. Even so, with a cutback in stainless production in Asia towards the end with the period and little sign of improvement in the USA and Europe, you can find issues that there could be pressure on pricing going forward. basalt stone crusher
Assmang's charge chrome sales increased by 48% to 152 000 tons for the economic year (2009: 103 000 tons), whilst chrome ore sales
elevated by roughly 6% to 272 000 tons (2009: 256 000 tons). RMDC produced and sold approximately 216 000 tons (2009: 338 000 tons) run of mine, lumpy and concentrate, and Zeerust produced and sold around 4 000 tons concentrate in the
financial year.