African Rainbow Minerals has officially announced that its board approved a phased 15.2 billion rand ($927.28 million) financial investment to upgrade its Bokoni platinum group metal facilities. In addition to this development, the company confirmed the resumption of Nkomati nickel mining activities. These strategic decisions represent a significant step for ARM mining operations as the diversified South African miner optimizes its asset portfolio.
The company maintains a positive outlook for platinum group metals (PGMs). These metals are primarily utilized in autocatalysts designed to reduce vehicle emissions. The positive forecast for PGMs persists despite the anticipated market influence of battery electric vehicles, which operate without emission control systems.
Expansion of Bokoni Platinum Facilities
The planned expansion for the Bokoni platinum project involves the construction of a new 120,000 metric ton per month PGM concentrator. This new PGM concentrator will operate alongside the existing 60,000 ton per month plant, which is scheduled to undergo a complete refurbishment. The newly constructed facility is projected to be commissioned in 2030.
According to the company, the Bokoni platinum project is expected to achieve steady-state production in 2032. From that year onward, the facility will yield an annual output ranging between 350,000 and 400,000 ounces of PGMs. For context on current production levels, the company reported producing 615,719 ounces of PGMs during its financial year ending in June 2025.
Previously, the company suspended activities at the Bokoni site in June 2025. At that time, management stated that the smaller 60,000 ton per month mining and milling capacity was inadequate to offset fixed costs and maintain profitability. The newly approved ARM mining operations will address these capacity constraints.
Off-Take Agreement and Financial Investment
The mining company, which also manages coal, manganese, and iron ore assets, confirmed it is restarting open-pit mining and nickel concentrate production at the Nkomati site. This restart follows a conditional off-take agreement secured with Sweden’s Boliden.
The Nkomati nickel mine was originally placed on care and maintenance in 2021. This closure was the result of persistent financial losses caused by escalating operational expenses and depressed nickel prices. African Rainbow Minerals assumed full control of the Nkomati nickel asset in July 2025 following the departure of its former joint venture partner, Nornickel.
To facilitate the restart, the company plans to invest $46 million into the project. Once operational, the facility will produce 56,065 tons of nickel concentrate on an annual basis, ensuring a steady supply of nickel concentrate for its off-take partner.