Wrap Text
Update on copper projects and expansion of chrome operations
Jubilee Metals Group PLC
Registration number: 4459850
Altx share code: JBL
AIM share code: JLP
ISIN: GB0031852162
Jubilee Metals Group PLC (Jubilee or the Company)
Dissemination of a Regulatory Announcement that contains inside information according
to UK Market Abuse Regulations. Not for release, publication, or distribution in whole or
in part in, into or from any jurisdiction where to do so would constitute a violation of the
relevant laws or regulations of such jurisdiction.
UPDATE ON COPPER PROJECTS AND EXPANSION OF CHROME OPERATIONS
Jubilee, a leading diversified metals processor in Africa with significant operations in South
Africa and Zambia, announces an update on its strategic investment with Abu Dhabi's
International Resources Holding RSC Limited ("IRH") for the development of the "Waste
Rock Project" and progress with the upgrade of its Roan copper facility in Zambia together
with the continued expansion of its chrome operations.
Highlights
Copper in Zambia
• IRH exercises right to proceed with the formation of the Joint Venture (JV) vehicle for
the implementation of the Waste Rock Project.
• The Waste Rock Project aims to implement an initial 4 Copper processing modular
plants holding a combined feed capacity of more than 2.4 million tonnes per annum
targeting the recovery of more than 20,000 tonnes per annum of copper in
concentrates of which 30% will be attributable to Jubilee.
• The Roan upgrade project is progressing to schedule with commissioning activities
and ramp-up expected to commence during April 2024.
• The resource definition of Project Munkoyo has progressed with the aeromagnetic
survey having identified a large magnetic anomaly associated with the known copper
mineralisation confirmed by geochemical assays from recent trenching samples.
Processing trials have confirmed the recoverability of the copper. Jubilee targets that
initial copper ore from Project Munkoyo will be delivered to the Sable refinery from
September 2024.
Chrome & PGM's in South Africa
• Jubilee has extended its chrome tolling agreements through to February 2027,
securing a total processing feed capacity of 2.4 million tonnes per annum in relation
to fixed margin feed.
• The construction of Thutse's second chrome processing module, with a capacity to
produce 300,000 tonnes of chrome concentrates per annum, is on track to
commence in August 2024.
Statement from Leon Coetzer, Jubilee CEO:
"The expansion of our copper operations are well underway as we look to significantly
increase our copper production in the coming months on the back of the expansion of both
Roan and Sable.
I am particularly excited by the progress of our strategic relationship with IRH as we look to
jointly develop the large Waste Rock Project which holds the potential to again demonstrate
Jubilee's unique capability of turning waste to value.
We will continue to update the market and our stakeholders on the development of Project
Munkoyo and the expansion of this portfolio of small-scale miners in Zambia as we leverage
the successes achieved at our chrome operations.
Our chrome business continues to grow with Jubilee's renowned processing and operational
capabilities as the drivers of our success. The continued renewal of our toll processing
agreements speaks to the acknowledgement by industry of these capabilities."
Copper in Zambia
Waste Rock Project
The copper Waste Rock Project scope targets the processing of in excess of 260 million
tonnes of copper containing surface material. The project targets to initially implement four
modular processing plants holding a combined processing capacity of 2.4 million tonnes per
annum capable of producing more than 20,000 tonnes of copper in concentrates per annum,
commencing in Q2 CY24 of which 30% will be attributable to Jubilee.
The copper modular processing units are similar in design to the Roan plant upgrade which
seeks to upgrade the surface material to a copper concentrate which can be further refined
to metal. The initial capital investment for the project is estimated at US$50 million.
Jubilee and IRH entered into a binding Framework and JV agreement in December 2023
under which terms IRH will provide the capital for the implementation of the Waste Rock
Project with Jubilee appointed to implement and operate the project, subject to due
diligence and finalisation of definitive agreements. The JV attributes 70% to IRH and 30% to
Jubilee.
Under the binding Framework and Joint Venture agreement, IRH has elected to exercise its
right to form the dedicated JV through which the project will be implemented. This follows
the due diligence of the project undertaken by Jubilee which has included both an extensive
metallurgical test-program conducted at Jubilee's development centre, as well as the review
of both surface sampling and historical drill results of the waste rock material and confirming
the quantity of material to be in excess of 260 million tonnes of material. The grade of
copper in the resource varies depending on the origin of waste rock material, with Jubilee's
internally developed modular copper units confirming the capability to successfully upgrade
the material to produce copper concentrates more than 7% Cu for further refining.
Project Roan Upgrade
The delivery and assembly of the new front-end modular unit at Roan is proceeding as per
the schedule to commence commissioning and ramp-up during April 2024. The addition of
the modular unit enhances the Roan Operation's capability to simultaneously process
multiple feed sources and expands the overall capacity of Roan to produce up to 13 000
tonnes of copper in concentrates per annum.
Project Munkoyo
Project Munkoyo is located near Sable refinery, in Kapiri Mposhi district, approximately
65km east of Kabwe, with a prospect lease area of 450 hectares. Project Munkoyo forms
part of Jubilee's commitment in working with small scale mining opportunities to convert
the operations into sustainable long term copper operations by integrating Jubilee's
processing and operational expertise. Jubilee holds a proven track record of successfully
converting such opportunities into large sustainable operations as demonstrated by the
success achieved in Jubilee's chrome operations.
The aeromagnetic survey conducted has revealed a large magnetic anomaly linked to the
previously identified copper mineralisation, further supported by geochemical assays from
trenching samples. These findings validate the presence and extension of the existing open
pit, currently spanning 400 metres, to an estimated length of 1 kilometre within the lease
area. The progress to-date confirms the potential to establish a mining operation of 25 000
tonnes per month of copper reef for processing at Sable, offering formal employment and
investment opportunities to the area. Jubilee targets that initial copper ore from Project
Munkoyo will be delivered to the Sable refinery from September 2024.
Jubilee views Project Munkoyo as one of many such identified opportunities in Zambia and
targets to grow its portfolio aggressively further in partnership with the small-scale miners.
Chrome & PGM in South Africa
Jubilee's chrome and PGM business consists of two key business drivers. This includes the
processing of third-party chrome ore at Jubilee's Windsor and Inyoni operations under
agreed fixed margin return per tonne of chrome concentrate produced, while Jubilee
recovers the remaining PGMs and retains the majority of this benefit. In addition, Jubilee
has significantly expanded its chrome operational capacity to process chrome ROM
materials in partnership with the holders of chrome mining rights under an agreed earnings
share model which offers Jubilee greater exposure to the chrome market. Combined, Jubilee
holds a total chrome processing capacity capable of producing 1.45 million tonnes of chrome
concentrates per annum.
Jubilee is pleased to announce it has agreed an extension to February 2027 of the fixed
margin contracts for its Windsor chrome operations. Which combined with the Inyoni
operations has committed 2.4 million tonnes per annum of processing feed capacity.
Jubilee has committed to expanding its chrome operations in collaboration with the mining
right holders at Thutse, adding a second processing unit with a processing capacity of
300,000 tonnes of chrome concentrates per year. The commissioning of this unit is
anticipated by August 2024, financed through the cash flows from existing chrome
operations.
28 March 2024
For further information, visit www.jubileemetalsgroup.com, follow Jubilee on Twitter
(@Jubilee_Metals) or contact:
Jubilee Metals Group PLC
Leon Coetzer (CEO)/Neal Reynolds (CFO)
Tel: +27 (0) 11 465 1913
Nominated adviser - SPARK Advisory Partners Limited
Andrew Emmott/James Keeshan
Tel: +44 (0) 20 3368 3555
Public Relations and Investor Relations adviser - Tavistock
Jos Simson/Gareth Tredway
Tel: +44 (0) 20 7920 3150
Joint broker - Berenberg
Matthew Armitt/Jennifer Lee/Detlir Elezi
Tel: +44 (0) 20 3207 7800
Joint broker - WHIreland
Harry Ansell/Katy Mitchell
Tel: +44 (0) 20 7220 1670/+44 (0) 113 394 6618
JSE sponsor - Questco Corporate Advisory Proprietary Limited
Alison McLaren
Tel: +27 (0) 11 011 9207
About Jubilee
Jubilee is a low-cost, diversified producer, specialising in the recovery and processing of
metals from previously overlooked resources, such as unprocessed historical waste rock,
run-of-mine materials and tailings in Zambia and South Africa. The Company's low-capex,
modular processing facilities are deployed close to these various types of material,
producing high grade concentrates for sale or further refining to finished metal at the
Company's downstream facilities. Production currently consists of copper, chrome, and
platinum group metals (PGMs). The modular processing facilities offer a platform for growth
and the rapid expansion of Jubilee's operational footprint in Zambia and South Africa.
Jubilee's success is derived from operational and technical excellence, a highly experienced
management team and a pioneering Technical Development Centre.
Date: 28-03-2024 09:00:00
Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
Sharenet Sites 
