Last checked at 8 Jul 2011 13:45
8 July 2011
AIM: JLP
JSE: JBL
Registration number: 4459850
ISIN: GB0031852162
JUBILEE PLATINUM PLC
("Jubilee" or "the Company")
WITHDRAWAL OF CAUTIONARY ANNOUNCEMENT
Highlights
·; Jubilee progresses its strategy in obtaining rights to platinum in chrome ores
Further to the announcement dated 5 April 2011 in which Jubilee announced that it had executed a binding Memorandum of Understanding ("MOU") for the acquisition of a mining opportunity and operating company identified with near-surface chrome ore bodies containing platinum group elements (PGE's), Shareholders are referred to the cautionary announcement published on 14 March and are advised that as the negotiations relating to the subject matter of the cautionary announcement have been terminated, caution is no longer required to be exercised by shareholders when dealing in their Jubilee securities.
The Company provides the following update in this matter.
The binding MOU was allowed to expire by the Company principally as the result of the Company being unable to satisfy itself on the security of the mineral rights.
As previously announced Jubilee's subsidiaries Braemore Resources and Maude Mining, have made significant progress in securing rights to platinum in near surface chrome ores for both exploration and mining of PGE's from the Department of Minerals and Resources ("DMR") in South Africa. Braemore Resources has received acceptance from the DMR for PGE's and chrome exploration rights for more than 60 portions on and around the Bokfontein farm in the North West province of South Africa. Maude Mining has received acceptance from the DMR for PGE's mining rights to a further 6 portions on the Bokfontein farm in the North West province of South Africa.
The properties where these rights are held are in the region of the proposed transaction under the MOU. Jubilee's focus in the proposed transaction was to gain access to the platinum in the chrome reefs and the success by Jubilee's subsidiaries in gaining access to more significant platinum in chrome reefs in the region of the targeted company, negates the need for further pursuing the proposed transaction.
Jubilee is continuing with its strategy of acquiring near-term platinum mining opportunities to produce platinum concentrate for its Middelburg processing facility. Processing of own platinum concentrates through the smelting facilities significantly enhances the business model for Jubilee.
Leon Coetzer, Chief Executive says, "We are very pleased that our subsidiaries have made such progress in securing access to platinum in shallow chrome reefs. This negates the need for Jubilee to acquire chrome companies which would have required Jubilee to draw down on our treasury in cash or shares. As the Company has always stated, processing of own material is preferable to toll, joint venture or acquisition material."
For further information please contact:
Colin Bird/Leon Coetzer/Andrew Sarosi
Jubilee Platinum plc
Tel +44 (0) 20 7584 2155 / Tel +27 (0)11 465 1913/+44 (0)1752 221937
Clive Carver /Ed Frisby/Ben Thompson - Corporate Finance
finnCap Ltd (Nominated Adviser and Joint Broker)
Tel +44 (0) 20 7600 1658
Jerry Keen/Dru Danford/Edward Mansfield
Shore Capital Stockbrokers Limited (Joint Broker)
Tel: +44 (0) 20 7 408 4090
Michael Kinirons/Nick Rome
Bishopsgate Communications Ltd (PR)
Tel +44 (0) 20 7562 3350
Leonard Eiser /Sharon Owens
Sasfin Capital (Sponsor)
(A division of Sasfin Bank Ltd)
Tel +27 (0) 11 809 7500