JOHANNESBURG, July 23 – South African mining company African Rainbow Minerals (ARM) has approved a phased R15.2 billion ($927.3 million) expansion of its Bokoni platinum group metals (PGMs) operation and announced plans to restart nickel mining at its Nkomati mine, signalling renewed investment in two of its key mining assets.
The company said its board had approved the Bokoni expansion while also authorising the resumption of open-pit mining and nickel concentrate production at Nkomati following improved market conditions and new commercial agreements.
Despite the growing adoption of battery electric vehicles, ARM said it remains optimistic about the long-term outlook for platinum group metals, noting that PGMs continue to play a critical role in autocatalysts used to reduce vehicle emissions in internal combustion engine vehicles.
As part of the Bokoni expansion, ARM will construct a new 120,000-tonne-per-month platinum group metals concentrator, complementing the existing 60,000-tonne-per-month processing plant, which will be refurbished.
The company expects the new concentrator to be commissioned in 2030, with the operation reaching steady-state production by 2032.
Once fully operational, Bokoni is projected to produce between 350,000 and 400,000 ounces of platinum group metals annually. For comparison, ARM produced 615,719 ounces of PGMs during its financial year ending June 2025.
ARM suspended operations at Bokoni in June 2025, stating at the time that the mine’s smaller processing capacity was insufficient to offset fixed operating costs and maintain profitability.
Alongside the Bokoni investment, ARM will also restart nickel production at the Nkomati mine after securing a conditional off-take agreement with Swedish mining company Boliden.
The company plans to invest approximately $46 million to resume operations, targeting annual production of 56,065 tonnes of nickel concentrate.
Nkomati was placed on care and maintenance in 2021 following sustained financial losses driven by rising operating costs and depressed nickel prices.
ARM assumed full ownership of the mine in July 2025 after former joint venture partner Nornickel exited the project, giving the company full control over the asset and its future development.
The latest investments reflect ARM’s strategy of expanding production across its diversified portfolio, which also includes iron ore, manganese and coal operations, while positioning the company to benefit from improving long-term demand for critical minerals used in both traditional industries and the global energy transition.
