12 Nov 2008 09:30
| For Immediate Release | 12 November 2008 |
Braemore Resources Plc
(AIM: BRR, JSE: BRE)
Secures Offtake Agreements with Anglo Platinum and Northam Platinum
Braemore Resources Plc ("Braemore" or "the Company") announces the securing of two key off-take agreements which will guarantee platinum group metal ("PGM") concentrate feed supply to the recently-upgraded 3.2MW smelter operating in Johannesburg, South Africa. The agreements are with Anglo Platinum and Northam Platinum respectively, with the Anglo Platinum agreement based on a short-term contract. The agreements contract out Braemore's total installed smelting capacity on commercial terms.
As of the end of October 2008 the 3.2MW smelter furnace was fully commissioned and, following a planned 24-hour shutdown for inspection on 15th November, will operate at maximum capacity. As previously announced, the new ConRoast smelter is capable of producing up to 70,000 PGM ounces per annum, depending on feed grade, in a more cost-effective and environmentally-responsible manner than traditional smelting complexes.
Leon Coetzer, Braemore's CEO, commented:
"The conclusion of these agreements brings further certainty to our strategy to become a PGM producer, and takes Braemore a step further towards establishing the first independent, black-empowered smelter in South Africa. The utilisation by these major producers of Braemore's expanded smelter to process high chrome concentrates is a significant endorsement of the ConRoast technology. Northam Platinum produces limited quantities of a high chrome content PGM concentrate and this technology will increase their operational flexibility."
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Notes to Editors:
About Anglo Platinum
The Anglo Platinum group is the world's leading primary producer of platinum group metals. Anglo Platinum Limited is listed on the JSE Limited and has a secondary listing on the London Stock Exchange.
The Group's main operating mines include Rustenburg Platinum Mines' ("RPM") Rustenburg Section, Amandelbult Section and Union Section (85% owned), as well as Potgietersrust Platinums Limited ("PPRust") (now Mogalakwena Section), Twickenham and Lebowa Platinum Mines Limited ("LPM").
The Group is also in joint ventures and associations with: African Rainbow Minerals Platinum, a historically disadvantaged South African ("HDSA") mining company, to operate the Modikwa Platinum Mine; Royal Bafokeng Resources, an HDSA partner, over the combined Bafokeng-Rasimone Platinum Mine ("BRPM")/ Styldrift properties; the Bakgatla-Ba-Kgafela traditional community who hold a 15% share in Union Mine; Lonmin Platinum and HDSA partners, the Bapo Ba Mogale tribe and Mvelaphanda, over the Pandora PGM reserves; Xstrata to operate the Mototolo Mine and has joint venture agreements with Aquarius Platinum (South Africa), covering the shallow reserves of its Kroondal and Marikana mines contiguous to RPM Rustenburg Section.
The Group's smelting and refining operations are wholly owned and situated in South Africa. These operations treat concentrates and matte from subsidiaries and from joint ventures.
About Northam Platinum
Northam Platinum Limited, the JSE-listed company, wholly owns and operates the cash-generative Northam platinum mine and metallurgical complex on the western limb of the South African Bushveld Complex, and owns 100% of the world class 103Moz-resource Booysendal platinum asset. The company has a combined resource base of 133Moz (9.2 Moz in the measured resource category), which provides the potential for mining operations in excess of 50 years. As an independent, fully integrated PGM producer, Northam has full control over the entire beneficiation stream of its metals.
For further information please visit our website at www.braemoreresources.com or contact:
| Braemore Resources Plc | |
| Leon Coetzer, Chief Executive Officer | +27 11 875 6540 |
| WH Ireland: (Nomad and Joint Broker) | |
| James Joyce | +44 207 220 1666 |
| Mirabaud Securities: (Joint Broker) | |
| Rory Scott | +44 207 878 3360 |
| Qinisele Resources: (RSA Corporate Advisers) | |
| Dennis Tucker | +27 82 492 4957 |
| Russell and Associates: (RSA Public Relations) | |
| Nicola Taylor or Charmane Russell | +27 11 880 3924 |
| Parkgreen Commuications: (UK Public Relations) | |
| Sue Scott/Louise Goodeve | +44 207 933 8780 |
| Sasfin: (RSA Corporate Sponsor) | |
| Sharon Owens | +27 11 809 7762 |
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