REG - Jubilee Metals Group - Award of New Slag Project with Mopani Copper Mines

Jubilee MetalsAnnouncement

17/10/2023 07:00

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RNS Number : 2958Q  Jubilee Metals Group PLC  17 October 2023

Jubilee Metals Group PLC

Registration number (4459850)

Altx share code: JBL

AIM share code: JLP

ISIN: GB0031852162

("Jubilee" or "the Company" or "the Group")

 

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Jubilee announces award of a significant New Slag Project with Mopani Copper
Mines

 

Jubilee Metals Group PLC (AIM: JLP/Altx: JBL), a diversified metals processing
business with operations in Africa, is pleased to announce the award of the
large Mufulira Slag Project through a Joint Venture ("JV") collaboration with
Mopani Copper Mines ("MCM") ("The Slag Project").

This binding and exclusive award of The Slag Project aims to process
approximately 13 million tonnes of historical slag, estimated to contain 0.7%
copper and 0.27% cobalt in addition to the current slag arisings. Under the
targeted JV, Jubilee is exclusively appointed to design, implement and operate
the new processing facility with the first right to fund the implementation of
the project in collaboration with MCM.

The JV reflects Jubilee's commitment to securing high-value waste resources
containing copper and cobalt - metals that are critical to the green
transition - and underscores the Company's proven track record of the
responsible extraction and utilisation of high-value waste resources.

The Slag Project of 13 million tonnes of historical slag, represents an
exciting opportunity for Jubilee to extract and process these valuable
resources, estimated to contain 89kt of copper and 44kt of cobalt, in addition
to current arising slag from the on-going MCM facility in Mufulira. The copper
grades within the slag are double those of standard tailings, providing an
exceptional opportunity to extract maximum value from this significant
resource.

Key terms of the Joint Venture

In outlining the proposed scope both Jubilee and MCM, in accordance with the
award conditions, will establish a Special Purpose Vehicle ("SPV") dedicated
to facilitating the JV for processing the slag at the MCM facility in
Mufulira. Additionally, there is potential for the SPV's mandate to expand,
encompassing the treatment of material from tailing dumps and oxide ore
sourced from small scale miners. This strategy aims to optimise the
utilisation of MCM plants currently under care and maintenance located in
Kitwe.

Over the past two years, Jubilee has researched the slag to formulate a
conceptual flowsheet for metal extraction.

The salient terms of the JV include:

-      The exclusive right of the JV to access and refine the Mufulira
Slag;

-      Jubilee taking the lead in developing the processing solution, its
subsequent implementation, and managing the operations;

-      Jubilee will hold the first right to securing finance the
project's capital for implementation of the Slag Project; and

-      The formation of a supervisory board for the JV, comprising
representatives from both Jubilee and MCM.

The contractual commitment to this project takes effect immediately and will
be superseded by the finalisation of the JV agreements between Jubilee and
MCM.

 

STATEMENT FROM LEON COETZER, CEO:

"This award by Mopani Copper Mines appointing Jubilee to execute the Slag
Project on their behalf is a great honour and recognises Jubilee's leading
role in the development of metal extraction solutions from waste and
overlooked materials.

"This Slag Project not only offers further scale to our current project
portfolio, but also high value metal content material. The Project holds the
potential to accelerate investment into the Mufulira area which will benefit
not only the JV partners but all stakeholders.

"The professional and transparent manner in which the award process has been
managed by Mopani speaks to their exceptional standing in the industry and I
welcome the opportunity to work closely with our JV partners. The Slag Project
is perfectly located to integrate into Jubilee's Northern Copper Strategy
adding a significant copper and cobalt resource at enhanced grades to the
targeted portfolio.

"The proposed Joint Venture structure through which the Slag Project will be
implemented, offers a great example of the formation of a true partnership
between a prestigious copper mining company such as Mopani Copper Mines and
Jubilee as the solution provider to turn their slag waste into a valuable
asset for the region. Mopani Copper Mines is currently reviewing the entry of
a new strategic investor and I look forward to engaging with them during the
implementation of the Slag Project.

"The Slag Project forms part of a greater waste recovery initiative in Zambia
that speaks to the President of Zambia's stated mission of achieving 3 million
tonnes of copper output per annum from Zambia.

"Our immediate next step is to form an integrated team with Mopani to unpack
the complexity within the slag material through our development centre. I
expect to implement the Slag Project over two phases as we target to
prioritise the quick-to-process initial slag material, while completing the
process review for the more complex slags over the coming 6-month period."

 

17 October 2023

 

For further information please contact:

 Jubilee Metals Group PLC                             Tel: +27 (0) 11 465 1913

 Leon Coetzer
 PR & IR Adviser - Tavistock                          Tel: +44 (0) 20 7920 3150

 Jos Simson/ Gareth Tredway
 Nominated Adviser - SPARK Advisory Partners Limited  Tel: +44 (0) 20 3368 3555

 Andrew Emmott/ James Keeshan
 Joint Broker - Berenberg                             Tel: +44 (0) 20 3207 7800

 Matthew Armitt/ Jennifer Lee/ Detlir Elezi
 Joint Broker - WHIreland                             Tel: +44 (0) 20 7220 1670/

 Harry Ansell/ Katy Mitchell                          +44 (0) 113 394 6618
 JSE Sponsor - Questco Corporate Advisory Pty Ltd     Tel: +27 (0) 11 011 9207

 Alison McLaren

 

 

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