LONDON (Alliance News) - Jubilee Platinum PLC on Tuesday said the Dilokong Chrome mine processing project continues to exceed original design numbers, and noted the "exponential growth potential" of the project.
May marked the first full month's operation since the commissioning of a chrome recovery plant on the platinum group mineral-bearing tailings processing project. The project is run by a subsidiary of Jubilee Platinum called Jubilee Tailings Treatment Co Pty Ltd.
Jubilee said its sustainable chrome plant feed rate capacity reached 75 tonnes per hour at the end of May, which exceeds the design capacity by 50%, whilst 6,675 tonnes of chromite concentrate have been produced up until the end of May.
The equivalent of GBP427,000 of revenue has been generated from chromite concentrate sales in the period, Jubilee said.
Jubilee has set a production target for June of 6,500 tonnes of chromite concentrate, and said the processing of third party run-of-mine ore is targeted to commence soon, which could increase chromite concentrate production to more than 25,000 tonnes per month.
"The Dilokong mine tailings team and chrome plant continue to outperform the original design numbers as the project starts to generate revenues and earnings from chrome concentrate sales, said Chief Executive Leon Coetzer.
"The project continues to exceed the enrichment targets for platinum, increasing the value of this stream and drawing the interest of a number of established platinum producers looking to accelerate the production of a saleable platinum product. We are working to implement the platinum component of the project and are reviewing the shortlisted platinum processing options with a view to implement the platinum component of the project as soon as possible," Coetzer added.
Jubilee said the construction of its second platinum and chrome tailings project was on schedule with both the platinum and chrome plant targeting commissioning by the end 2016.
Shares in Jubilee were down 0.2% at 3.35 pence on Tuesday.
By Hannah Boland; hannahboland@alliancenews.com; @Hannaheboland
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Jubilee Metals (JLP)