Business
Hanwa Co. Ltd. Completes Acquisition of 9.755% Interest in Waterberg Palladium Project from JOGMEC Including Metal Marketing Rights
VANCOUVER, British Columbia and JOHANNESBURG, South Africa, March 07, 2019 (GLOBE NEWSWIRE) -- Platinum Group Metals Ltd. (PTM:TSX; PLG:NYSE American) (“Platinu
About this update from Platinum Group Metals Ltd.
[{"type":"text","content":" VANCOUVER, British Columbia and JOHANNESBURG, South Africa, March 07, 2019 (GLOBE NEWSWIRE) -- Platinum Group Metals Ltd. (PTM:TSX; PLG:NYSE American) (“Platinum Group” “PTM” or the “Company”) reports that the previously announced transaction between the Japan, Oil, Gas and Metals National Corporation (“JOGMEC”) and Hanwa Co. Ltd. (“Hanwa”) has been completed. In February 2018, JOGMEC held a public tender to transfer 9.755% of JOGMEC’s 21.95% interest in the Waterberg Project. Hanwa successfully won the bid, whereupon Hanwa and JOGMEC started the process required to complete and finalize the transfer. On October 24, 2018 Hanwa and JOGMEC officially entered into a transfer agreement. Upon the recent grant of approval from the government of the Republic of South Africa, the entire transfer procedure has been completed. JOGMEC will continue to be an active joint venture partner and will also continue the promotion of Japanese interests globally through mineral exploration and providing vital information on mineral resources. Under the terms of the transaction Hanwa has also acquired the marketing right to solely purchase all the metals produced from the Waterberg Project at market prices. The transaction secures a key future source of platinum group metals (“PGM”) and nickel used for automobile catalytic converters, fuel cells and secondary batteries for industries in Japan. The current measured and indicated mineral resource of the Waterberg deposit stands at 26.34 million ounces 4E (242Mt with an average grade of 3.38 g/t 4E -platinum, palladium, rhodium and gold)*. The deposit is amenable to fully mechanized mining with production costs estimated to be the lowest of PGM mines in South Africa. The deposit is also advantageous because of the highest palladium content (63.04%) amongst South African PGM mines. The mineral reserves and resources will be updated as part of the definitive feasibility study in process. Palladium prices have outperformed recently due to strong demand from autocatalyst manufacturers and a limited supply response capability from traditional producers in Russia and South Africa. Industry analysts expect deficits to continue. Following the Hanwa transfer Platinum Group continues to hold a 50.02% effective interest in Waterberg JV Co., JOGMEC now holds a 12.195% interest, Impala Platinum Ho...