JUBILEE PLATINUM Plc Jubilee Platinum Plc (“ JLP ”) is an AIM and AltX listed exploration and development company focussed on platinum in South Africa. 1
Disclaimer 2
Overview Platinum focused mines to metal company Division ST A TUS Tjate Platinum Await award of Mining Right Attributable 44Moz 6PGE+Au (targeted over total area) Two Platinum Surface Projects ASA in Operation and expanded 4.4 million tons at surface processing capacity 3 fold 40 000 oz PGE annually Hernic Under construction 200 000 tons of Chrome annually ConRoast Fully developed offering competitive edge Platinum recovery process Executed Sale Asset (ZAR 110.5 million – GBP 5.67 million) Middelburg Smelter retain right to platinum furnace PowerAlt retain right to participate in private power expansion project 3
Overview Platinum focused mines to metal company PLATINUM EXPLORATION & MINING PROJECT Tjate Platinum • Attributable 44Moz 6PGE+Au (targeted over total area) • Concluded exploration drilling with 70 boreholes drilled • Top mining address • Mine Right application submitted and awaiting award 4
Overview Platinum focused mines to metal company PLATINUM SURFACE PROJECT No 1 ASA Surface Platinum Material • 1.1 million tons already at surface and growing • Zero mining risk • Concluded constructing and commissioning of 25 000 tons per month ("tpm") chrome processing facility at ASA • Secured further 75 000 tpm chrome processing facility at ASA • Targeting processing of 45 000 tpm of 3 rd party platinum containing chrome ore • ASA Project more than trebled in size and revenue potential within 2 months of commissioning • Low capital high margin project 5
Overview Platinum focused mines to metal company PLATINUM SURFACE PROJECT No 2 Hernic Surface Platinum Material • 3.3 million tons at surface and growing at 17 000 tons per month • Zero mining risk • Construction commenced of worlds largest platinum processing facility of chrome tailings targeting 55 000 tons per month processing capacity • Targeting 31 000 oz PGE per annum • Key project mile stones • Conclude construction by end 2016 • Ramp-up of production to reach full capacity by March 2017 • Low capital high margin project 6 Example Platinum Recovery Process
Jubilee’s Strategy Platinum focused mines to metal company • Develop the two acquired surface platinum projects in the shortest time possible commensurate with quality engineering practice – construction underway targeting commissioning in 2016 • Earnings potential of USD 12 million per annum (before expansion of ASA project) • 80 000 tons per month processing now increased to a combined capacity of 130 000 tons per month • Aggressively pursue further surface platinum and near surface platinum/chrome opportunities • Continue to outpace competitors • Identify suitable Tjate development partner on the back of award of Mining Right. • Tjate NPV USD 1.2 billion EXECUTING ITS PLATINUM MISSION 7 Surface Rock
Jubilee’s Surface Platinum Projects At-Surface Platinum Projects • Jubilee’s subsidiary Jubilee Tailings Treatment Company (Pty) Ltd (“JTTC”) was awarded the rights by ASA Metals ("ASA") to beneficiate the platinum from their Dilokong Chrome Mine ("DCM") surface material and current arisings Estimated at 1 100 000 tons (Nov 2014) of material at surface with current arisings estimated being added up to 11 500 tpm • Jubilee executed a Cooperation Agreement with Hernic Ferrochrome as the appointed company to process the Hernic surface tailings and current arisings Hernic estimated to hold 3.3 million tons at surface with current arisings estimated being added at an estimated 17 000 tpm Hernic is the world 4 th largest integrated Ferrochrome producer PLATINUM AT SURFACE 8 8 Surface Rock
Jubilee’s Surface Platinum Projects ASA (DCM) ASA Dump and Surface stocks • 1.1 million tons resource estimate: 800 000 million tons fully drilled 1.1 million surface stock Nov 2014 – (ASA surveyed estimate) • Further tailings being deposited onto the dam at estimated rate of 11 500 tpm Total 88 000 4E (3PGM+Au) oz b • b 3rd party verified based on drilling programme as at Nov 2014 DCM tailings - picture November 2014 9
Jubilee’s Surface Platinum Projects ASA (DCM) Status • Jubilee’s 100 % owned subsidiary JTTC secured the exclusive right to recover the PGMs and chrome contained in the DCM tailings • JTTC has Access Agreement with ASA & DCM to secure property and access all infrastructure for the construction of a PGM processing plant within the mining and processing area of DCM • Construction of Processing Plant concluded in February 2016 reaching design throughput during April 2016. • Processing capacity of up to 30 000 tons per month 10
Jubilee’s Surface Platinum Projects ASA (DCM) Status • Jubilee executed a Funding Agreement with ASA and DCM whereby Jubilee took full operational control of all of DCM’s surface operations securing exclusive access to 75 000 tpm of surface processing capacity (3 fold increase) • Jubilee has enhanced the DCM tailings processing business model by including the processing of 45 000 tpm of 3rd party platinum & chrome containing ore from adjacent mining operations, significantly increasing both the chrome and upgraded platinum production rates from the designed capacities. • Project revenues targeted to increase by more than 150% 11
Jubilee’s Surface Platinum Projects Hernic Hernic Dump and Surface stocks • 3.3 million tons resource estimate: 1.7 million tons SAMREC compliant in dump (1.6 million in measured category) 1.6 million tons surface stock – (Hernic estimate) • Further tailings being deposited onto the dam at estimated rate of 17 000 tpm Total 224 000 4E (3PGM+Au) oz - (estimated 71 000 oz in surface stock a ) • a data pro rata from SAMREC resource estimate discounted by 50% as surface stock not SAMREC compliant Hernic Processing Plant Project 12
Jubilee’s Surface Platinum Projects Hernic Status • Jubilee executed a Heads of Agreement with Hernic to recover the PGMs and chrome contained in the Hernic surface tailings material and current chrome tail arisings • Mining Right with Environmental Management Programme granted. Surface Layouts for processing plant fully executed • Pilot and full scale metallurgical test programme to finalise processing plant for platinum recovery completed and independently verified • Detail Project Financial modeling and capital estimates completed and independently verified • Full plant layout completed. Power, water and support utilities available from Hernic’s adjacent chrome beneficiation plant – agreement in draft. • Site works commenced with plant laydown area preparation LARGEST PLATINUM SURFACE PROJECT Targeting the largest processing plant for recovery of platinum from chrome tailings 13
Jubilee’s Processing Plant (3D Layout) Processing Plants Schematic PLATINUM AT SURFACE 14
Jubilee Surface Platinum Operations Combined Projects Overview Targeted Combined Processing Capacity • Chrome beneficiation circuits designed at 80 000 tpm now increased to 130 000 tpm • PGM recovery plants approximately 51 000 tpm offering excess material for • tol treatment Estimated designed monthly ounce production 3 300 oz 4E (3PGM+Au) (39 600 oz per • annum). Additional capacity estimate is dependent on platinum content of 3 rd party ore (min of 50% increase expected) Capital Estimation • Capital funding requirement - approximately ZAR290 million (USD21 million) • Design and build programme - 10 to 11 months • ASA plant under construction • Potential initial annual operation cash flow estimated at USD12 million assuming • platinum price of USD1250/oz (excludes increased capacities) 15
Strategy Threats Threat Comment • Platinum Price Outside our control but project de-risked by having no mining component with associated risk and cost • South African labour Small skilled operating labour teams easier to manage • Execution risk Projects turn key supervised by engineer who has built several such plants (first plant operational on-time and in budget) • Operational risk Jubilee has a proven track record in plant operations • Financing risk Jubilee’s sale of non core asset secured equity portion against debt offering LOW RISK - QUICK TO EXECUTE - STRONG MARGIN 16
Recommend
More recommend
