Operations Update

RNS Number : 7907L

Jubilee Platinum PLC

05 August 2011

 



AIM: JLP

JSE: JBL

Registration number: 4459850

ISIN GB0031852162

Jubilee Platinum PLC

("Jubilee" or the "Company")

Operations Update

Jubilee Platinum Plc, the AIM and JSE quoted mine to metal specialist is pleased to announce that is has reached operational temperatures at the Company's new 5MW AC furnace at Middelburg which is now moving towards full production of 2,400 tonnes per month of ferroalloy feed stock and/or concentrate.

In addition, the Company is delighted to announce exceptional results from Platinum Group Metals ("PGMs") flotation recovery testwork carried out on a representative UG2 chromitite reef drill core samples from its Tjate Platinum project ("Tjate") as part of its on-going prefeasibility study.

HIGHLIGHTS

·     The additional capacity provided by the new furnace could potentially generate additional 
monthly revenues of around R6.0 million (c.£540,000 at current exchange rates ) while producing ferroalloys;

·     Currently the furnace is being fine tuned and final inspections concluded after the initial 
smelting runs, for ramp up to full production;

·     Tjate continues to produce positive results towards its pre-feasibility study;

·     Recoveries of 90.0% to 91.5% of 4E (platinum palladium rhodium & gold) from flotation 
testwork on the UG2 ore while producing above average concentrate grade; and

·     The exceptional recoveries of the platinum group elements ("PGEs") were achieved by 
producing a UG2 concentrate containing high chrome. ConRoast is the only available smelting solution for effectively processing such chrome rich platinum concentrates.

Leon Coetzer, CEO of Jubilee Platinum commented:

"We are delighted to report that we have commenced feeding ferroalloy concentrate to the new 5MW furnace at our Middelburg smelting facility. 

"Tjate testwork results continue to add value to our project, supported by our ability to process high chrome containing platinum concentrates."    

Bringing into production of the new 5MW AC furnace

Aligned with the two existing 2.5MW AC furnaces, the new 5 MW AC furnace effectively doubles the furnace capacity on site at Middelburg to 10MW. The new furnace's production will be ramped up to a designed throughput of feed material of 2,400 tonnes per month. This additional capacity is potentially capable of generating additional monthly revenues of around R 6.0 million (c.£540,000 at current exchange rates) while operating as a ferroalloy furnace. 

Tjate Flotation testwork

Eight UG2 reef drill core samples were tested at the laboratories of Maelwgwyn Mineral Services Africa to determine the optimum recoverability of the PGEs in the reef.

The results achieved indicate excellent consistent recoveries in excess of 90% of 4E to flotation concentrate, while maintaining a concentrate grade of above 290 g/tonne.

The results were achieved by not constraining the recovery of PGEs in order to limit the recovery of chrome in the concentrate. The results clearly demonstrate the potential for high recoveries from UG2 ores when not constrained by considerations around limiting the chrome levels in concentrate. This approach is only feasible due to the proven ability of Jubilee's ConRoast smelting process which allows it to smelt platinum concentrates containing high levels of chrome.

The Company believes that as much as 4% higher PGE recovery to concentrate is possible - and would be achievable in commercial practice - from the UG2 ore by producing platinum concentrate containing high chrome for further smelting in the ConRoast process.

The Company is actively negotiating with interested committed entities on securing funding for an integrated approach towards completing both the pre feasibilty and a bankable feasibility study. 

New Website

Jubilee Platinum is pleased to announce that it has today launched an updated Company website which can be viewed at:

http://www.jubileeplatinum.com

The site has been redesigned to improve its efficiency and to be user friendly. Jubilee Platinum is committed to providing shareholders and potential shareholders with concise information on the Company and its operations. The new website will be updated regularly as the Company operations continue to develop apace

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Contacts

Colin Bird/Leon Coetzer/ Andrew Sarosi

Jubilee Platinum plc

Tel [phone] / Tel [phone]

Matthew Robinson/Rose Herbert - corporate finance

Joanna Weaving - corporate broking

finnCap Ltd

Tel [phone]

Shore Capital Stockbrokers Limited (Joint Broker)

Jerry Keen/Dru Danford/Edward Mansfield

Tel: [phone]

Leonard Eiser /Sharon Owens

Sasfin Capital

Tel [phone]

Nick Rome/Shabnam Bashir

Bishopsgate Communications Ltd

Tel [phone]

 

END

 

 

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