Afrimat reports robust operational progress and talks with ArcellorMittal SA to save steel plant

AFRIMAT, the JSE-listed multi-commodity mining company from South Africa, reported considerable strides in its operations in its year to February 28, with some non-core assets sales, despite facing a challenging local economic landscape.

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The mid-tier mining company, known for its diverse offerings such as construction materials, iron ore, and industrial minerals, said in a pre-close operating update Tuesday that the second half of the financial year was marked by a strong focus on operational execution.

There were turnover improvements in its aggregates business and asset sales, including non-core brick, block, readymix plants, and properties. The company's strategic divestiture efforts will enable debt reduction, with cash inflows expected in the new financial year.

Among significant milestones, Afrimat directors said that the debt-to-equity ratio remained stable, with refinanced debt mirroring its longer-term needs.