Platinum Group Metals Ltd. · TSX:PTM
Platinum Group Metals — Shareholder Meeting (January 2012)
38 slides from Platinum Group Metals's shareholder meeting presentation, Jan 19, 2012
Slide 1: Annual General Meeting January 19th 2012
Annual General PLATINUM GROUP Meeting Januar y 19th METALS LTD. 201 2 PLG: NYSE/AMEX PTM: TSX
Slide 2: Disclosure
DISCLOSURE This presentation has been prepared by Platinum Group Metals Ltd. (“Platinum Group” or the “Company”). Information included in this presentation regarding the Company’s mineral properties has been compiled by R. Michael Jones, P.Eng, the President and Chief Executive Officer of the Compan
Slide 3: Forward Looking Statements
FORWARD LOOKING STATEMENTS Certain of the statements made herein, including statements regarding the timing of future activities and achievements by the Company, future anticipated exploration and development programs, completion of a Feasibility Study in respect of the Western Bushveld Joint Ventur
Slide 4: Why Platinum Group Metals?
WHY PLATINUM GROUP The Company METALS?
Slide 5: An Emerging Platinum Producer
AN EMERGING PLATINUM PRODUCER A well funded emerging producer with active exploration in South Africa and Canada. Flagship Western Bushveld Joint Venture (WBJV) - large scale mine development in construction. Waterberg – a new PGM discover y on the Nor th Limb. Par tnerships with two Asian s
Slide 6: Share Structure
SHARE STRUCTURE Stock Symbols PLG: NYSE/AMEX PTM: TSX Market Capitalization $1 80M CAD Share Price $1 .00 CAD 52 Week High/Low $2.79/$0.85 Shares Outstanding 177,584,542 Options 14,499,500 Fully Diluted 192,084,042 Cash $95M CAD 6
Slide 7: Three Years
THREE YEARS January 2011 Construction Commences October 2009 Updated Feasibility Study April 2010 October 2010 August 2011 74% Transaction $143M Equity Project Loan Completed Financing Mandate 7
Slide 8: Shareholders and Research
SHAREHOLDERS AND RESEARCH Major Shareholders Research Coverage JP Morgan Asset Management Ltd. RBC Capital Markets Franklin Advisers Inc. Credit Suisse Chilton Investment Company LLC GMP Securities Genesis Investment Management LLP Raymond James Jennison Associates LLC Stifel Nicolaus Wellington Man
Slide 9: The PGM Market
Platinum THE PGM MARKET Palladium
Slide 10: The Platinum Market
THE PLATINUM MARKET SUPPLY DEMAND 10
Slide 11: Deep and Deeper
Shallow Declines – WBJV P1 DEPTH: 100m to 600m COST: $400M/$500M USD LEAD TIME: 3 Years Mined Out DEEP AND DEEPER The depth of S o u t h A f r i ca n platinum mines is becoming unsustainable First Generation at current Vertical Shafts m et a l p r i c e s . DEPTH: 600m to 1000m Second Generation COS
Slide 12: Margin Squeeze Global
MARGIN SQUEEZE GLOBAL PGM INDUSTRY UNDER WATER USD Cash Costs P l u s C a p ex p e r 3E PGM Oz WBJV P1 Source: RBC Capital Markets, September 2011 and Platinum Group Metals Ltd. 12
Slide 13: Spot Platinum Price
5 Year Platinum High 2252.06 Low 774,60 2400 2400 2200 2200 2000 2000 ® 1800 1800 5 1600 1600 t 1400 1400 - 1200 1200 8 1000 1000 800 800 600 600 400 wu, KitCO, COM goo Jano? Julo? Janos io JULO8 anog Julog an1o Julio Janit Julit Janiz - a” ased_on New York Close SPOT PLATINUM PRICE
Slide 14: Western Bushveld Joint Venture
WESTERN BUSHVELD Development JOINT VENTURE
Slide 15: The Western Bushveld Complex
THE WESTERN BUSHVELD COMPLEX SOUTH AFRICA 70% OF GLOBAL PLATINUM PRODUCTION 15
Slide 16: North West Limb
NORTH WEST LIMB The northern portion of the We s te r n L i m b is witnessing over $4B USD in new platinum mine building. 16
Slide 17: Western Bushveld Joint Venture
WESTERN BUSHVELD JOINT VENTURE Platinum Group has a 74% interest in the WBJV. Wesizwe Platinum (WEZ/JSE) owns the remaining 26%. Chinese state owned Jinchuan acquired a controlling stake in Wesizwe for $900M (USD) in 2010. The WBJV is one of the last remaining undeveloped shallow Merensky depo
Slide 18: WBJV Project 1 – Quick Facts
WBJV PROJECT 1 – QUICK FACTS Resources 8.2M ounces 4E M+I Reserves 4.7M ounces 4E P+P Projected Steady State Production 275K ounces/year 4E Metal Split 64% Pt, 27% Pd, 5% Rh, 4% Au Mine Life 20+ years Projected First Production Q4 2013 Projected Operating Cost (8R/$) $526 USD/4E OZ (R528/tonne mille
Slide 19: Western Bushveld Joint Venture aerial photo
WESTERN BUSHVELD JOINT VENTURE N o v e m b e r 2 01 1 A e r i a l p h o to showing central decline construction a n d c o n t r a c to r l ay d o w n a r e a s . 19
Slide 20: Styldrift Anglo Platinum and RBPlats
ST YLDRIFT ANGLO PLATINUM AND RBPLATS N o v e m b e r 2 01 1 Adjacent Styldrift d e v e l o p me n t . $1 .5B capital cost mining the s a m e l aye r s down-dip of the WBJV 20
Slide 21: Western Bushveld Joint Venture central decline
WESTERN BUSHVELD JOINT VENTURE N o v e m b e r 2 01 1 C e n t r a l d e c l in e ex c ava t i o n . 21
Slide 22: Western Bushveld Joint Venture water pipeline
WESTERN BUSHVELD JOINT VENTURE N o v e m b e r 2 01 1 Wa te r p i p e l in e i n s t a l l a t io n . 22
Slide 23: Western Bushveld Joint Venture drilling and blasting
WESTERN BUSHVELD JOINT VENTURE N o v e m b e r 2 01 1 D r i l li n g a n d blasting at c e n t r al d e c l i n e . 23
Slide 24: Project Banking
PROJECT BANKING Syndicate announced in August 2011 includes Barclays Capital, Standard Bank , CAT Financial and West LB. $260M (USD) senior loan facility with a nine year term. Additional working capital facility – up to $25M (USD) with standby subordinate loan facility if required. Hedging
Slide 25: Platinum Group - Jinchuan Synergy Study
PLATINUM GROUP - JINCHUAN SYNERGY STUDY Jointly mandated study with Jinchuan-Wesizwe examining cost savings and complementar y production profiles. WBJV scheduled to ramp up in 2014 with Jinchuan-Wesizwe ramping up from 201 8-2023. Focus on advantages from combined plant utilization and operat
Slide 26: Project Milestones
PROJECT MILESTONES Q1 201 2 – Mining Right record of decision Q1 201 2 – Jinchuan synergy study outcomes Q2 201 2 – Completion of formal of f take arrangement and project banking Q2 201 2 – Star t of Phase 2 implementation including construction of processing and plant infrastructure Q4 20
Slide 27: Waterberg Exploration
WATERBERG Exploration
Slide 28: The North Limb Bushveld Complex
THE NORTH LIMB BUSHVELD COMPLEX SOUTH AFRICA 28
Slide 29: The North Limb
THE NORTH LIMB The Nor th limb has recently seen mine expansion by Anglo Platinum and a great increase in exploration investment. The Mogalkwena mine is Anglo Platinum’s most profitable operation. The Ivanplats Platreef discover y has attracted a $280M (USD) investment from JOGMEC and Itochu C
Slide 30: Waterberg
WATERBERG Acquired via prospecting permit - $50,000 (CAD) cost. Japan Oil and Gas Mineral Exploration Corporation (JOGMEC) par tner ship completed in 2009. JOGMEC earning into 37% interest by spending $3.2M USD by 2013. Platinum Group holds a 49.97% ownership. Discover y hole announced Nov
Slide 31: Waterberg – Discovery Hole
WATERBERG – DISCOVERY HOLE 31
Slide 32: Waterberg Project Area Regional Geology
WATERBERG PROJECT AREA REGIONAL GEOLOGY
Slide 33: Waterberg Project Area Regional Magnetics
WATERBERG PROJECT AREA REGIONAL MAGNETICS
Slide 34: Waterberg Stratigraphy
WATERBERG STRATIGRAPHY North Limb B u s h v e l d C o m p l ex 34
Slide 35: Waterberg Core
WATERBERG CORE N o v e m b e r 2 01 1 35
Slide 36: Canadian Exploration - NWT
CANADIAN EXPLORATION - NWT 9 Drill Intercepts with Impressive Ni, Cu PGM Grades Grade can beat the remote location Base work to expand deposit complete 100% interest and acquisition cost near zero Massive Sulphides Drill Intercepts open for expansion include: 5.10 meters 1.73 Ni% 1.75 Cu %
Slide 37: Conclusion
CONCLUSION Large scale, high margin platinum development in progress. Par tnership with Chinese state owned Jinchuan Group. Near term milestones: mining right, of f take and funding completion. New PGM discover y on Nor th Limb with Japanese funding par tner JOGMEC. An emerging platinum pr
Slide 38: Contact
CONTACT P l a t i n u m G r o u p M et a l s L t d . S u i te 3 2 8 – 5 5 0 B u r r a r d S t r e et Va n c o u ve r, B C V6C 2B5 +1 604-899-5450 i n f o @ p l a t i n u mg ro u p m et a l s . n et w w w. p l a t in u m g ro u p m et a l s . n et P l a t i n u m G r o u p M et a l s R S A ( P t y )
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