From Earlier, Platinum Group Metals Ltd.: Mining Right Granted for WBJV Project 1 Platinum Mine
Platinum Group Metals Ltd. (NYSE: PLG) is pleased to report that the Department of Mineral Resources of South Africa has today notified the Company in writing that a Mining Right for the WBJV Project 1 Platinum Mine has been issued.
This Mining Right is an important milestone and Platinum Group Metals now moves forward in a strong position. The WBJV Project 1 Platinum Mine is modeled to produce 275,000 4E ozs (platinum, palladium, rhodium and gold) per year at a steady state. The mine, located north of Rustenburg, is scheduled for a 22+ year mine life and will employ approximately 2,300 people. Maseve Investments 11 (Pty) Ltd. is the mine operating company and is 74% owned by Platinum Group Metals Ltd. and 26% by JSE listed Wesizwe Platinum Limited (JSE:WEZ).
Together Platinum Group Metals and Wesizwe have already commenced and funded a US$100 million equity investment into the WBJV Project 1 involving site establishment and underground development to reach ore, under a Bulk-Sample Permit from the DMR. A Project Finance debt facility for US$260 million is in progress to fund expanded underground development and construct a milling, concentrating and tailings treatment facility. The total capital cost estimate for the project, including the US$100 million investment now in progress, is US$443 million.
© 2015 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.