REG - Jubilee Platinum PLC - Hernic Operations Update for October 2017 <Origin Href="QuoteRef">JLP.L</Origin>

Jubilee MetalsAnnouncement

20/11/2017 07:05

RNS Number : 9374W
Jubilee Platinum PLC
20 November 2017
Jubilee Platinum Plc
("Registration number: 4459850") 
AIM share code: JLP 
AltX share code: JBL
ISIN: GB0031852162
("Jubilee" or "the Company")
Hernic Operations Update for October 2017
Highlights 
 The Hernic PGM Project continues to step up production reaching 45596 tonnes processed for October 2017 
 PGM1 ounces production increased by 22 % month-on-month to 1427 ounces
 Project revenue2 increased by 18 % month-on-month to GBP 0.76 million (22 % to ZAR 13.77)3
 Project earnings4 increased by 47 % month-on-month to GBP 0.37 million (52 % to ZAR 6.65 million)
 Unit cost per PGM ounce produced continues to reduce achieving USD 406
1 = Precious Group Metals (platinum, palladium, rhodium, iridium, ruthenium, and gold)
2=Revenue from the current project phase - 100% attributable to Jubilee until full capital recovery. Revenue is projected based on latest  average PGM market prices and USD exchange rates and results are only final once final Quotational Period has passed 
3= Average monthly conversion rates used
4= Project Earnings include all incurred operational costs including management services and mineral royalties
CEO, Leon Coetzer, commented: 
"The Hernic project continues to deliver excellent results as we step up the throughput during the final optimisation of the operation.
Our October results illustrate the significant improvement in operational performance during this optimisation phase which we expect to continue over the next quarter. 
I am particularly delighted by the earnings margin that the project is already achieving with a unit cost of only USD 406 making the Hernic project one of the lowest cost PGM producers in the industry." 
HERNIC OVERVIEW
The Hernic operations' performance improved significantly, which is in-line with the current focus on process optimisation as part of the final phase of the project execution. As stated previously we expected a further step increase in operational performance during Q4 2017 with the increase in feed material to the processing plant. The October results confirm this continued step improvement for Q4 2017 with a 22% increase in PGM ounce production resulting in a project unit cost per PGM ounce produced of USD 406. 
The table below presents the comparative performance of the Hernic operation for Q3 2017 and the month of October 2017:

Tailings processed tonnes
PGM ounces delivered
Project revenue 1 (GBP'000)
Project revenue2 (ZAR'000) 
Project earnings3 (GBP'000)
Project earnings (ZAR'000)
Jubilee attributable earnings (GBP'000)
Jubilee attributable earnings (ZAR'000)
Unit cost / PGM oz (USD)
Jul-17
34 823
792
365
6.226
50
868
50
868
516
Aug-17
33 057
911
528
9.055
195
3.340
195
3.340
474
Sep-17
37 793
1 171
646
11.300
251
4.384
251
4.384
449
Total Q3 2017 
105 673
2 874
1.539
26.581
496
8.592
496
8.592
476
Oct-17
45 596
1 427
763
13.771
368
6.647
368
6.647
406
1=Revenue from the current project phase - 100% attributable to Jubilee until full capital recovery. Revenue is projected based on latest  average PGM market prices and USD exchange rates and results are only final once final Quotational Period has passed 
2= Average monthly conversion rates used
3= Project Earnings include all incurred operational costs including management services and mineral royalties
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.
The financial information in this announcement is unaudited. 
United Kingdom
20 November 2017
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 member of the Sasfin group)
Sharon Owens
Tel +27 (0)11 809 7500
Nominated Adviser
SPARK Advisory Partners Limited
Mark Brady/Andrew Emmott
Tel: +44 (0)203 368 3551
Broker
Beaufort Securities Limited
Jon Belliss
Tel: +44 (0) 20 7382 8300

This information is provided by RNS
The company news service from the London Stock Exchange
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