REG - Jubilee Platinum PLC - AUDITED RESULTS FOR THE YEAR ENDED 30 JUNE 2014 <Origin Href="QuoteRef">JLP.L</Origin> - Part 2

Jubilee MetalsAnnouncement

03/12/2014 13:40

- Part 2: For the preceding part double click  ID:nRSC7470Ya 

construct a dedicated tailings processing plant on the DCM
site. 
 
·      Jubilee commenced with processing of platinum containing concentrates
during Q4 2014. 
 
The Directors are of the opinion that the Group and Company is funded
sufficiently to enable it to continue with its operations as a going concern. 
 
9. Events after the reporting period 
 
9.1 Processing of Tailings Dam Agreement 
 
As previously announced on 13 June 2012 Jubilee's subsidiary Pollux  was
awarded the rights to beneficiate and recover contained PGMs from
approximately 800,000 tonnes (since increased to approximately 950,000 tonnes)
of historic surface tailings and from approximately 8,000 up to 15,000 tonnes
per month of current mine arisings from the DCM operation. The 800,000 tonnes
(since increased to approximately 950,000 tonnes) of surface tailings material
contained an estimate of 74,000 4E PGM ounces (September 2012). 
 
Jubilee held an initial 67.5% interest in Pollux. On 9 June 2014, Jubilee
executed an Access Agreement with ASA and DCM for the recovery of PGMs and
Chrome from the surface tailings material. The Access Agreement offers Jubilee
the option to construct in partnership with ASA a dedicated chrome and PGM
processing plant for the treatment of the tailings on ASA's DCM property ("New
Plant"). 
 
Jubilee could process a minimum of 180,000 tonnes Surface Stock per year or
such other amounts as may be agreed between the parties, taking into account
the capacity of the New Plant. DCM continues to deposit further tailings onto
the surface tailings dam at an estimated rate of 8,000 to 15,000 tonnes per
month further increasing the material available for processing to a currently
estimated 950,000 tonnes. 
 
The Platinum to Palladium ratio of the contained PGMs is believed by the
Company to be around 2.8 to 1, a potentially favourable ratio for the
project's economics. The project offers a strong project financing opportunity
to minimising the need for additional equity funding. 
 
9.2 Acquisition of a 25% further interest in Pollux 
 
The Company entered into a sale of shares agreement with Lipsoset Proprietary
Limited ("the Seller") to acquire its entire shareholding in Jubilee's
subsidiary Pollux Investment Holdings Proprietary Limited ("Pollux") (the
"Transaction"). Pollux holds the PGM processing right to the DCM Platinum
Recovery Project. At the year-end, Jubilee had a 67.5% shareholding in Pollux.
The Transaction increased Jubilee's shareholding in Pollux to 92.5% through
the acquisition of a 25% interest in Pollux, represented by 25 ordinary shares
of ZAR1 each in the share capital of Pollux ("Sale Shares"). The total
consideration for the Transaction was ZAR10.7 million (GBP0.609 million)
(subject to certain potential adjustments outlined below), which is payable in
three tranches through the issue of new Jubilee ordinary shares of 1 pence
each ("Jubilee Shares"). The Sale Shares will also be released to Jubilee in
three tranches. Shareholders are referred to the announcement dated 3 November
2014 for full details of the Transaction. 
 
9.3 Acquisition of a 7.5% further interest in Pollux resulting in a 100%
interest in the Company 
 
Further to the Company's announcement on 3 November 2014, Jubilee entered into
a Sale of Shares Agreement with Emerald Panther Investments 48 Proprietary
Limited ("Emerald") to acquire Emerald's entire holding in the Company's
subsidiary Pollux ("the Transaction"). 
 
After the Transaction, Jubilee's shareholding in Pollux will be 100% through
the acquisition of this further 7.5% interest in Pollux represented by eight
ordinary shares of ZAR1 each in the share capital of Pollux. The total
consideration for the Transaction is ZAR3.5 million (GBP0.201 million), which
is payable through the issue of new Jubilee ordinary shares of 1 pence each.
The agreed consideration for the acquisition is ZAR3.5 million (GBP0.201
million) at current conversion rates, and will to be satisfied by the issue of
15,082,442 new Jubilee ordinary shares ("Consideration Shares"). The
Consideration Shares will be issued at a price calculated being the higher of
1 pence and the10-day historic volume weighted average price on AIM as at 17
November 2014, being 1.3329 pence per share. The Consideration Shares are
subject to a 60-day lock-in period from the date of issue. 
 
Contacts 
 
Jubilee Platinum plc 
 
Colin Bird/Leon Coetzer 
 
Tel +44 (0) 20 7584 2155 / Tel +27 (0) 11 465 1913 
 
Andrew Sarosi 
 
Tel +44 (0) 1752 221937 
 
JSE Sponsor 
 
Sasfin Capital, a division of Sasfin Bank Limited Sharon Owens 
 
Tel +27 (0) 11 809 7500 
 
Nomad Broker 
 
Daniel Stewart and Company PLC Emma Earl / David Coffman 
 
Tel: +44 (0) 207 776 6550 
 
Annexure 1 
 
Independent auditor's report to the members 
 
We have audited the financial statements of Jubilee Platinum Plc ("the
Company") for the year ended 30 June 2014 on pages 21 to 60. The financial
reporting framework that has been applied in their preparation is applicable
law and International Financial Reporting Standards ("IFRSs") as adopted by
the European Union and, as regards the parent company financial statements, as
applied in accordance with the provisions of the Companies Act 2006. 
 
This report is made solely to the Company's members, as a body, in accordance
with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been
undertaken so that we might state to the Company's members those matters we
are required to state to them in an auditors' report and for no other purpose.
To the fullest extent permitted by law, we do not accept or assume
responsibility to anyone other than the Company and the Company's members as a
body, for our audit work, for this report, or for the opinions we have
formed. 
 
Respective responsibilities of directors and auditors 
 
As explained more fully in the Directors' responsibilities statement, the
Directors are responsible for the preparation of the financial statements and
for being satisfied that they give a true and fair view. Our responsibility is
to audit and express an opinion on the financial statements in accordance with
applicable law and International Standards on Auditing (UK and Ireland). Those
standards require us to comply with the Auditing Practices Board's Ethical
Standards for Auditors. 
 
Scope of the audit of the financial statements 
 
An audit involves obtaining evidence about the amounts and disclosures in the
financial statements sufficient to give reasonable assurance that the
financial statements are free from material misstatement, whether caused by
fraud or error. This includes an assessment of: whether the accounting
policies are appropriate to the Group's and the parent company's circumstances
and have been consistently applied and adequately disclosed; the
reasonableness of significant accounting estimates made by the directors; and
the overall presentation of the financial statements. In addition, we read all
the financial and non-financial information in the Annual Report to identify
material inconsistencies with the audited financial statements and to identify
any information that is apparently materially incorrect based on, or
materially inconsistent with, the knowledge acquired by us in the course of
performing the audit. If we become aware of any apparent material
misstatements or inconsistencies we consider the implications for our report. 
 
Opinion on financial statements 
 
In our opinion: 
 
• the financial statements give a true and fair view of the state of affairs
of the Group and the parent Company as at 30 June 2014 and of the Group and
Company loss for the year then ended; 
 
• the Group financial statements have been properly prepared in accordance
with IFRSs as adopted by the European Union; 
 
• the parent Company financial statements have been properly prepared in
accordance with IFRSs as adopted by the European Union and as applied in
accordance with the provisions of the Companies Act 2006; and 
 
• the financial statements have been prepared in accordance with the
requirements of the Companies Act 2006. 
 
Opinion on other matters prescribed by the Companies Act 2006 
 
In our opinion the information given in the Strategic Report and Directors'
report for the financial year for which the financial statements are prepared
is consistent with the financial statements. 
 
Matters on which we are required to report by exception 
 
We have nothing to report in respect of the following matters where the
Companies Act 2006 requires us to report to you if, in our opinion: 
 
• adequate accounting records have not been kept by the parent Company, or
returns adequate for our audit have not been received from branches not
visited by us; or 
 
• the parent Company financial statements are not in agreement with the
accounting records and returns; or 
 
• certain disclosures of directors' remuneration specified by law are not
made; or 
 
• we have not received all the information and explanations we require for our
audit. 
 
Andrew Gaskell 
 
(Senior Statutory Auditor) 
 
For and on behalf of 
 
Saffery Champness 
 
Chartered Accountants 
 
Statutory Auditors 
 
Lion House 
 
Red Lion Street 
 
WC1R 4GB 
 
2 December 2014 
 
This information is provided by RNS
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