JOHANNESBURG (miningweekly.com) – The operating profit of platinum group metals (PGMs) and chrome mining company Northam Platinum increased by more than 293% in its 2026 financial year (FY26), the Johannesburg Stock Exchange-listed company reported on Friday, August 28.

Northam’s board has resolved to declare a record final gross cash dividend of 1 000c a share, which amounts in aggregate to a final gross cash dividend of about R4-billion, bringing the total dividend per share for FY26 to 1 700c, representing an aggregate gross cash dividend of R6.8-billion for the year.

Sales revenue in the 12 months to June 30 rose 64% to nearly R54-billion on a 140%-higher operating margin.

Basic earnings per share were 824% higher at 3 526c and headline earnings nearly 700% higher at 3 044c a share.

Earnings before interest, taxes, depreciation and amortisation (Ebitda) were 239% higher at R16.6-billion on a 107% higher Ebitda margin.

Northam, headed by CEO Paul Dunne, stated in a cautionary announcement earlier this week that it would be initiating a strategic, competitive process to proactively solicit proposals from interested parties for one or more potential transactions, with a view to maximising shareholder value.

This followed an unsolicited, exploratory, nonbinding approach from a producer in the South African PGM industry regarding a potential transaction with Northam involving an asset-level or a corporate transaction.

Northam all-South Africa orebodies contain a metal basket with loadings of platinum, rhodium, ruthenium, iridium and chrome.

South Africa’s State-owned Public Investment Corporation, which is Northam’s largest shareholder, last month bought more shares in Northam, taking its holding to some 20.47%.

Northam’s shallow mechanised room and pillar Booysendal upper group two (UG2) North mine is located near the town of Mashishing (formerly Lydenburg) on the eastern limb of the Bushveld Complex.

Booysendal North mine has a 25-year mine life. The 105-million-ounce orebody at Booysendal lends itself to brownfield expansion opportunities, which are currently being established on the property. These include a deepening project at the existing UG2 North mine, the Booysendal Merensky North mine and the new Booysendal South mine.

Earlier this year, Northam opened the world's deepest raise-bored PGMs personnel and materials shaft – the Zondereinde No 3 shaft –  which extends to a depth of 1 382 m and is 4.8 m in diameter. Zondereinde is a conventional underground mine on the northern end of the western limb of the Bushveld Complex.

The opening of the No 3 shaft marked the completion of a major component of the mine's Western extension project and supports the extension of life-of-mine by 40 years.

The western extension adds 3.6 km of mineable strike to the west of the existing underground operations and contains more than 20-million ounces of PGMs in the Merensky and UG2 reefs.

Northam’s Eland mine is on the south-eastern portion of the western limb of the Bushveld Complex, near Brits, in North West province. Capital expenditure (capex) at Eland totalled R819.5-million for the six months ended December 31, 2025, compared with R735.9-million in the prior comparable period. Capex for the 2026 financial year is stated at R1.4-billion, with most of the remaining forecast capex planned for the next 18 months. 

Northam plans to begin constructing an integrated renewable-energy project at Eland during the second half of FY26. The project will comprise 20 MW of solar capacity and 40 MWh of battery storage.