Ferrochrome is a corrosion-resistant alloy of chrome and iron containing between 50% and 55% chrome. Over 80% of the world's ferrochrome is utilized in the production of stainless steel. The average chrome content in stainless steel is approximately 18%.
Xstrata, together with its ‘Pooling and Sharing Venture’ (“PSV”) partner, Merafe Resources Limited, have a combined capacity in excess of 1.76 million tonnes of ferrochrome per annum. Xstrata is currently the world's largest and amongst the lowest cost integrated ferrochrome producers in the world.
All of the group's chrome mines are shallow, underground mines. The gently dipping reefs of chromite are accessed by decline shafts. Mining is of a board and pillar nature and is currently conducted at depths ranging from 50 to 350 metres below surface. All development is on reef, thereby minimizing waste dilution. In addition to ore from its own mines, ore is purchased from nearby platinum producers, where chrome-rich finds are discarded as a waste product.