The Pilanesberg project currently includes Mineral Resources on the Tuschenkomst, Ruighoek, Witkleifontein and Rooderand properties and Mineral Reserves on the Tuschenkomst and Ruighoek properties.
72.39% held through Boynton, with the balance of 26.80% held by Platmin’s BEE partner, the Moepi group of companies. A small holding making up the balance may be distributed amongst Boynton’s shareholders on a pro rata basis at a later stage.
Western Limb of the Bushveld Complex in South Africa’s North West Province, around the Pilanesberg intrusion and adjacent to Barrick's Sedibelo project.
Enlarge Map showing Pilanesberg operations
14,511 hectares.
Good surfaced roads link the project area to Rustenburg, nearby airports and rail links. Electricity is supplied by the state-owned power utility Eskom to local chrome and platinum mines. An established water network is in place.
In April 2007, Platmin announced an updated Mineral Resource estimate for Tuschenkomst of 66.8 million tonnes (Mt) at 2.09 g/t 3PGE+Au for a total of 4.49 Moz and for Ruighoek of 12.0 Mt at 3.07 g/t 3PGE+Au for a total of 1.18 Moz. The Tuschenkomst Mineral Resource is within the Measured and Indicated categories and is based on bulk mining from the top of the Merensky to the base of the Lower Pseudo Reef (the “silicate ore”) and selectively mining the UG2 Reef. This silicate ore horizon includes up to four PGE reefs with some discordant mineralization present in the parting material. The Indicated Mineral Resource estimate on the Ruighoek property assumes all reefs will be selectively mined. These Indicated and Measured Mineral Resources form the basis of the Pilanesberg feasibility study which was announced in July 2007. Additional Inferred Mineral Resources that have been defined on the Witkleifontein and the Rooderand (Portion 3) properties as well as deeper portions of the Ruighoek property have not been included in the feasibility study.
Mineral Resources and Mineral Reserves of the Pilanesberg project are attributable to Platmin by virtue of its 72.39% ownership in Boynton as summarised.
The Pilanesberg Project feasibility study completed by SRK Consulting indicated a robust project based on:
| Year One Production | Weighted average LoM | |
|---|---|---|
| Pt (US$/oz) | 1,000 | 951 |
| Pd (US$/oz) | 281 | 299 |
| Rh (US$/oz) | 4,077 | 3819 |
| Au (US$/oz) | 593 | 523 |
| Ni (US$/lb) | 16.40 | 7.80 |
| Cu(US$/lb) | 2.60 | 1.70 |
| Exchange Rate (ZAR:US$) | 7.50 | 8.06 |
Engineering firm Dowding Reynard & Associates (DRA) has been appointed to implement the design and construction phase of the project. Mining will be based on extracting a total of 5 million tonnes of ore per year from two open pits at Tuschenkomst and Ruighoek which will be processed through a central concentrating facility situated on the Tuschenkomst property. This will enable production to be ramped up rapidly to reach steady-state production of 250,000 3PGE+Au oz/year (100%) within the first year of production, 2009. Production is planned to reach a peak of 296,000 3PGE+Au oz/year in 2010.
In the last calendar quarter of 2007 Platmin raised capital in a public offering and private placement for gross proceeds of C$92.8 million. The offering was underwritten by a syndicate of underwriters jointly led by RBC Capital Markets and GMP Securities L.P., and including Haywood Securities Inc. The net proceeds will be used principally to advance development of the Pilanesberg Project.
The Pilanesberg project is located on the Western Limb of the Bushveld Complex in South Africa’s North West Province, around the Pilanesberg intrusion.