Australian-listed miner Jubilee Platinum’s Middelburg operation in South Africa enhanced the earnings of the mine-to-metals firm – increasing production by 13% on record production achieved in September.
The Middelburg smelter complex produced in excess of 950 tonnes of metal in the month of October, reported Jubilee Platinum.
Jubilee Platinum CEO Leon Coetzer said the operational performance achieved by the Middelburg smelter operations is a boon for the firm.
“The company has demonstrated its ability to successfully implement a complex smelter renewal and upgrade project within the existing older infrastructure. The operation has achieved its operational and financial targets which allow us to fully focus on bringing into operation our DCM Platinum Recovery Project at ASA Metals,” stated Coetzer.
In addition, Jubilee announced that it entered into a Sale of Shares Agreement with Lipsoset to acquire their entire interest in Jubilee’s subsidiary Pollux Investment Holdings, which holds the PGM processing right to the DCM Platinum Recovery Project.
Jubilee currently has a 67.5% shareholding in Pollux and completion of the Transaction would increase Jubilee’s shareholding to 92.5% through the acquisition of a 25% interest in Pollux represented by 25 ordinary shares of ZAR1 each in the share capital of Pollux, stated the company.
The total consideration for the transaction is R10.7 million – payable in three tranches through the issue of new Jubilee ordinary shares of 1p each Jubilee Shares.
The Company has made the same offer to the holder of the remaining 7.5% issued shares of Pollux, which if accepted would give Jubilee 100% ownership of Pollux and proportionate increased interest in the DCM Project.
Tremendous upside value
Jubilee believes that the DCM Platinum Recovery Project offers tremendous upside value to Jubilee. “It is opportune for the company to be able to increase its beneficial interest in this project at this early stage of the project,” said Jubilee.
The company is now able to drive this project to production within the near term.
The conceptual layout and three-dimensional design plans for the processing plant for the DCM Platinum Recovery Project has been completed by Jubilee, and the company is now considering project funding options to fund the construction and commissioning of the processing plant.