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Feb. 28, 2022, 7:02 a.m. EST

Ivanhoe Mines Announces Exceptional Results of Independent 2022 Feasibility Study for Tier-one Platreef Palladium, Rhodium, Nickel, Platinum, Copper and Gold Project in South Africa

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Fort Lauderdale, Florida, Feb 28, 2022 (Newsfile Corp via COMTEX) -- Platreef ranks as world's largest precious metals deposit under development

Phase 1 mine in construction, advancing towards first production in Q3 2024

2022 Feasibility Study yields an after-tax NPV8% of US$1.7 billion and IRR of 18.5% at long-term consensus metal prices

After-tax NPV8% of US$4.1 billion and IRR of 29.3% at current spot metal prices

Shaft 2 accelerated to 2027, advancing Phase 2 expansion with annual forecast production of greater than 590,000 ounces of palladium, platinum, rhodium, gold and more than 40 million pounds of nickel and copper

2022 Feasibility Study confirms Platreef's potential to be the industry's largest and lowest-cost primary PGM producer

Fort Lauderdale, Florida--(Newsfile Corp. - February 28, 2022) - Ivanhoe Mines /zigman2/quotes/207656050/delayed CA:IVN -1.60% (otcqx:IVPAF) Co-Chair Robert Friedland announced today at the 31 [st] BMO Global Metals & Mining Conference that the company's South African subsidiary, Ivanplats, and its partners, welcome the outstanding positive findings of an independent Platreef 2022 Feasibility Study for the tier-one Platreef palladium, rhodium, nickel, platinum, copper and gold project in South Africa.

The 2022 Feasibility Study provides the blueprint for the ongoing development of Platreef and builds on the excellent results of the preliminary economic assessment (PEA) for a phased-development scenario to expedite production, announced in November 2020, alongside the 2020 Feasibility Study. The Platreef 2022 Feasibility Study is based on a steady state production rate of 5.2 million tonnes per annum (Mtpa), as well as an accelerated ramp up to steady state through the earlier development of Shaft 2. The 2022 Feasibility Study is based on the detailed design and engineering scenario first presented in the 2020 PEA, confirming the viability of a new phased development pathway to fast-track Platreef into production by Q3 2024.

The Platreef 2022 Feasibility Study first phase of production includes an initial 700,000 tonnes per annum (700 ktpa) underground mine and 770-ktpa-capacity concentrator, targeting high-grade mining areas close to the project's recently completed Shaft 1 (Figure 1).

Platreef's Phase 2, 5.2-Mtpa steady state production rate would rank it as the world's fifth largest primary platinum-group metals (PGM) mine on a palladium equivalent basis, with annual forecast production of more than 590,000 ounces of palladium, platinum, rhodium and gold, plus more than 40 million pounds of nickel and copper (Figure 8).

The Platreef 2022 Feasibility Study reflects the initial two phases of development for the Platreef Mine. Previous studies have demonstrated the resource base for future expansions up to 12 Mtpa, which would position Platreef among the very largest PGM producing mines in the world (Figure 8).

Watch a new video showcasing Platreef: https://vimeo.com/682603861/dce81b5e3a

Construction activities at the Platreef Project site, including Shaft 1 on the left, and the hitch-to-collar advancement for Shaft 2 on the right



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Platreef poised to complete journey from tier-one discovery to one of the world's largest and lowest-cost PGM producers

The Platreef Project, which includes an underground deposit of thick, high-grade PGE-nickel-copper-gold mineralization discovered by Ivanhoe's geologists, is in the northern limb of the Bushveld Complex approximately 11 kilometres from Mokopane, and 280 kilometres northeast of Johannesburg.

PGE-nickel-copper-gold mineralization in the northern limb is primarily hosted within the Platreef, a mineralized sequence which is traced more than 30 kilometres along strike. The Platreef Project is situated in the southern sector of the Platreef on two contiguous properties, Turfspruit and Macalacaskop, which comprise, in aggregate, approximately 7,842 hectares. The northernmost property, Turfspruit, is contiguous with and along strike from Anglo Platinum Limited's Mogalakwena group of properties and mining operations.

Ivanplats acquired a prospecting permit for Macalacaskop and Turfspruit in February 1998. In 1999, Ivanhoe began a series of drilling campaigns, totalling more than 726,000 metres, to advance Platreef from a greenfield exploration project focused on shallow mineralized zones through to focusing on deeper underground targets. At the height of the drilling campaign, 30 diamond drill rigs were producing more than 10,000 metres of core a week.

Since 2007, Ivanplats has focused its Platreef exploration and development activities on defining and advancing the thick, high-grade, down-dip extension of its original discovery at Platreef, now known as the Flatreef Deposit. In 2012, the Merensky Reef analogue was recognized.

The Flatreef Deposit lies entirely on the Turfspruit and Macalacaskop properties that form part of Ivanhoe's mining right. The thickness of the mineralized reef (T1 & T2 mineralized zones) intersected in Shaft 1 is 29 metres, with average grab sample grade of 6.35 grams per tonne (g/t) platinum, palladium and rhodium plus gold (3PE+Au), ranging up to 9.6 g/t 3PE+Au, as well as significant quantities of nickel and copper. This thickness is exceptional when compared to the typical, approximately one-metre-thick reefs being mined elsewhere on South Africa's Bushveld Complex.

A Japanese consortium led by JOGMEC, a Japanese government entity, and including Itochu and Japan Gas Corporation, acquired a 10% interest in the Platreef Project for approximately US$290 million.

The thick, high-grade, flat-lying Flatreef deposit was discovered in 2010. Ivanplats conducted an exploration program with 30 drill rigs totalling over 260,000 metres in 2011. Platreef has excellent exploration upside for further expansion and discovery.



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In June 2020, Ivanplats completed the sinking of Platreef's initial shaft, Shaft 1, to its final depth of 996 metres below surface. Shaft 1 is located approximately 450 metres away from a high-grade area of the Flatreef orebody, which will provide initial mining areas for Phase 1 production in 2024.

The thick Flatreef orebody also is flat-lying, which is ideal for safe, bulk-scale, mechanized mining and processes optimized for maximum ore extraction. Flatreef is characterized by its high-grade mineralization and a palladium-to-platinum ratio of approximately 1:1, which is considerably higher than other PGMs discoveries on the Northern Limb of the Bushveld.

Through phased development, Platreef is projected to become one of the world's largest and lowest-cost producers of palladium, platinum, rhodium, nickel, copper and gold. The 2022 Feasibility Study considers Phase 1 and Phase 2 development, including only one third of Platreef's Indicated Resources above an US$80/tonne Net Smelter Return (NSR) cut-off.

2022 Feasibility Study re-affirms outstanding economics of phased development at Platreef with an accelerated ramp up to 5.2 Mtpa

Mr. Friedland commented: "The Platreef discovery remains the world's greatest precious metals deposit under development, with a peerless endowment of palladium, rhodium, platinum, and gold; as well as highly significant quantities of strategic 'electric' metals such as nickel and copper. These outstanding economic results define our commitment to advance Platreef to first production, alongside our local communities and Japanese partners. We are counting down to less than 30 months from now. This achievement will only mark the first milestone, as we plan to expand this world-scale operation into one of the largest and lowest-cost, integrated PGM producers on the planet … all while generating outstanding returns on capital for a major, disruptive mine.

"PGMs have an integral role to play in the global transition to clean technologies, specifically the adoption of hydrogen energy systems; as well as the international push for lower emissions, which is led by developed economies … but let us not forget that emerging markets are catching up quickly … Platreef will be a responsible, industry leading, long-life supplier of palladium, rhodium, nickel, platinum, copper and gold … as well as a leading economic driver for South Africa. Ivanhoe Mines remains committed to 're-inventing mining' and will continue to leverage the most sustainable technologies available … as evidenced by our commitment to zero-emission, battery-powered equipment, and the adoption of the safest possible tailings method utilizing dry-stack technology, which has the added benefit of minimizing water consumption.

"Palladium and rhodium have reached all-time highs in recent years, currently trading at approximately $2,480 an ounce and $18,750 an ounce respectively, as progressively stricter air-quality rules increase demand for the metals used in vehicle pollution-control devices. Meanwhile, copper and nickel will continue to realize historic and sustained rallies due to underinvestment in new mine supply and massive growing demand tied to electric vehicles and global clean-energy initiatives."

Platreef's Indicated Mineral Resources contain an estimated 18.9 million ounces of palladium, 18.7 million ounces of platinum, 3.1 million ounces of gold, and 1.2 million ounces of rhodium (a combined 41.9 million ounces PGMs plus gold), plus 2.4 billion pounds of nickel and 1.2 billion pounds of copper, at a 2.0 g/t 3PE+Au cut-off.

Platreef's Inferred Mineral Resources contain an additional 23.8 million ounces of palladium, 23.2 million ounces of platinum, 4.3 million ounces of gold, and 1.6 million ounces of rhodium (a combined 52.8 million ounces PGMs plus gold), plus 3.4 billion pounds of nickel and 1.78 billion pounds of copper, also at a 2.0 g/t 3PE+Au cut-off.

Mr. Friedland added: "The thick and flat-lying nature of the high-grade mineralization of the Flatreef deposit allows for the use of state-of-the-art, automated, electric mining machinery, including cutting-edge battery driven underground vehicles.

"For Ivanhoe Mines, achieving first production at Platreef will mark the next milestone in the journey to become a new-age, major diversified mining company ..... we intend to build on the achievements of the Kamoa-Kakula Copper Joint Venture in the Democratic Republic of Congo, and leverage the countless lessons we have learned during phased development at our tier-one copper asset … and let us not forget, Platreef still has vast potential to significantly expand the already enormous resource base … as well as a plethora of new nickel-sulphide exploration opportunities, many of which are near surface."

Phase 1 construction underway, with first production expected in Q3 2024

Detailed engineering studies are underway on the initial 770-ktpa mine and concentrator, in parallel with the changeover of Shaft 1 into a production shaft, with expected completion in March 2022. First delivery of the initial battery-electric underground fleet is expected imminently, and the first blast on the 950-metre level is anticipated in April 2022. The initial underground development focus from Shaft 1 will be the on the first ventilation raise and ore passes connecting the 750-metre level to the 950-metre level.

Earthworks for the first concentrator are planned to begin in Q2 2022, followed by civil works and the ordering of long-lead-time items in H2 2022. First ore feed to the concentrator is planned for Q3 2024.

Phase 1 average annual production is estimated at 113,000 ounces (oz.) of platinum, palladium, rhodium and gold (3PE+Au), plus 5 million pounds of nickel and 3 million pounds of copper.

Figure 1: Production and timeline schematic of Platreef 2022 Feasibility Study.



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William Mamashela (left) and William Mello, with local contractor Somuthwa Construction, assisting with construction of the Platreef Mine.



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Shaft 2 commissioning accelerated to 2027, expediting Phase 2 expansion

While the 700-ktpa initial mine is operating using Shaft 1, the sinking of the project's second, larger shaft (Shaft 2), that drives the Phase 2 expansion to 5.2 Mtpa, will progress at the same time. The 2022 Feasibility Study envisions Shaft 2 equipped for hoisting in 2027, an accelerated schedule by approximately 18 months compared to the 2020 PEA, coming online just over three years from first production of Phase 1.

Once Shaft 2 is complete, two 2.2-Mtpa concentrator modules will be commissioned, and the initial concentrator will be ramped up to its full capacity of 770-ktpa; increasing the steady-state production to 5.2 Mtpa (Figure 1).

The Phase 2 expansion would result in Platreef becoming the world's fifth largest primary platinum-group metals (PGM) mine on a palladium equivalent basis, with annual forecast production of more than 590,000 ounces of palladium, rhodium, platinum, and gold, plus more than 40 million pounds of nickel and copper (Figure 6).

Construction at Shaft 2, which now is expected to be commissioned by 2027.



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Platreef's immense mineral endowment supports future expansions

The 2022 Feasibility Study considers Platreef's Phase 1 and Phase 2 development, including only one third of the Indicated Resources above an US$80/tonne Net Smelter Return (NSR) cut-off. If the remainder of the Indicated Resources were to be converted to reserves, it would provide an opportunity to massively expand production.

As development of the project progresses, additional drilling from underground will be undertaken with the goal of increasing the confidence of the current mineral resources, as well as to expand the resource base. Additional studies will follow up on the previous work that envisaged further phased expansions based on updated reserves.

Figure 2: World's largest precious metal deposits under development ranked by contained metal in Measured & Indicated Resources.



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Source: Company filings, S&P Global Market Intelligence. Notes: Chart ranks the largest undeveloped primary palladium, platinum, gold, silver and rhodium projects from the S&P Global Market Intelligence database based on measured and indicated palladium equivalent resource. Palladium equivalent calculation includes palladium, platinum, gold, silver and rhodium ounces and has been calculated using spot price metal price assumptions (February 23, 2022) of US$1,095/oz platinum, US$2,480/oz palladium, US$18,750/oz rhodium, US$1,909/oz gold and US$24.55/oz silver. Measured and Indicated resources for Platreef correspond to palladium, platinum, gold and rhodium ounces at a 1 g/t cut-off grade.

Tshifhiwa Netshirando, Platreef's Production Manager, is focused on equipping Shaft 1 for first production within just over two years.



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Aerial view from February 2022 of current construction at the Platreef site, including Shaft 1 (right) and progress at Shaft 2 (left).



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Platreef will positively transform mining and community development in Limpopo Province

Ivanhoe Mines' President, Marna Cloete, commented: "Ivanhoe Mines is excited to become a disruptive, cornerstone participant in the future of South Africa's platinum-group-metals mining industry. We have established a strong strategic foothold on the giant polymetallic Northern Limb of the renowned Bushveld Complex. We look forward to sharing the benefits of this truly unique orebody with our partners and local communities, as well as all the people of South Africa … Platreef represents an important, long-life economic driver for the nation, and we have only just begun to tap into the potential of this amazing discovery.

"We are pleased to be building the cutting-edge transformation in future underground platinum-group-metals mining operations in South Africa. We are charting a new path in the empowerment of the local people in Limpopo Province and in the training of women in the mining industry. We are focused on creating a vibrant local economy that's not just going to be mining, as we are enabling entrepreneurs to create and expand a plethora of new businesses.

Dr. Patricia Makhesha, Ivanhoe's Executive Vice President, Sustainability and Special Projects, added: "The agreement with the Mogalakwena Local Municipality to recycle wastewater is an important milestone in Platreef's development. Recycling locally treated water is a cost-effective and sustainable approach to securing water for the Platreef Project."

Ivanhoe Mines indirectly owns 64% of the Platreef Project through its subsidiary, Ivanplats, and is directing all mine development work. The South African beneficiaries of the approved broad-based, black economic empowerment structure have a 26% stake in the Platreef Project. The remaining 10% is owned by a Japanese consortium of ITOCHU Corporation; Japan Oil, Gas and Metals National Corporation; ITC Platinum Development Ltd., an ITOCHU affiliate; and Japan Gas Corporation.

The Platreef 2022 Feasibility Study was independently prepared by OreWin Pty Ltd. of Adelaide, Australia; Mine Technical Services of Reno, USA; SRK Consulting Inc. of Johannesburg, South Africa; DRA Global of Johannesburg, South Africa; and Golder Associates Africa of Midrand, South Africa.

A National Instrument 43-101 technical report will be filed on SEDAR at www.sedar.com and on the Ivanhoe Mines website at www.ivanhoemines.com within 45 days of the issuance of this news release.

Platreef's thick mineralization, which will be mined with highly-productive mechanized methods, combined with higher nickel and copper grades, contribute to lower cash costs compared to other primary platinum-group-metal producers (Figures 7). Among global primary platinum-group-metals producers, Platreef's estimated net total cash cost of US$514 per 3PE+Au ounce, net of copper and nickel by-product credits and including sustaining capital costs, ranks at the bottom of the cash-cost curve (Figure 7).

Construction of the Shaft 1 waste-rock conveyor system is progressing in advance of the start of underground mining operations.



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Thapelo Kadi, Senior Manager for Safety Legal and Compliance, fosters a safety culture that strives toward Platreef's vision of zero harm.



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Figure 3: Schematic section of the Platreef Mine, showing Flatreef's thick, high-grade T1 and T2 mineralized zones (dark orange and red), underground development work completed to date in shafts 1 and 2 (white) and planned development work (grey).



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Members of Ivanplat's underground mining team advancing the world-scale Platreef Mine toward first production in 2024.



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Alfred Masimine, Bell Operator (left), and Malesela Magongoa, Sinker, underground at the 950-level station discussing the installation of the loading box at shaft bottom.



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 Figure 4: Map of South Africa's Bushveld Igneous Complex.

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Source: SFA (Oxford).

Figure 5: Revenue per tonne of ore at the Platreef Project since 2017 (shown in US dollars).



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Figure 6: Revenue per tonne of ore at the Platreef Project has risen significantly since 2017 (shown in South African rand).



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Source for figures 5 and 6: Bloomberg. Based on historical weekly commodity prices at the end of each week.

Notes for figures 5 and 6:

  1. Based on Platreef Mineral Reserves with an effective date of January 26, 2022.

  2. Probable Mineral Reserve of 124.7 million tonnes at a grade of 1.95 grams per tonne (g/t) platinum, 2.01 g/t palladium, 0.30 g/t gold, 0.14 g/t rhodium, 0.34% nickel and 0.17% copper.

  3. A declining Net Smelter Return (NSR) cut-off of $155 per tonne (t) to $80/t was used for the Mineral Reserve estimates.

  4. The NSR cut-off is an elevated cut-off above the marginal economic cut-off.

  5. Metal prices used in the Mineral Reserve estimate: US$1,600 per ounce (oz.) platinum, US$815/oz. palladium, US$1,300/oz. gold, US$1,500/oz. rhodium, US$8.90 per pound (lb) nickel and US$3.00/lb copper.

  6. Tonnage and grade estimates include dilution and mining recovery allowances.

  7. Applies life-of-mine average recoveries of 87.4% for platinum, 86.9% for palladium, 78.6% for gold, 80.5% for rhodium, 87.9% for copper and 71.9% for nickel.

  8. Total cash cost includes mine site costs, plus realization costs such as treatment and refining charges, royalties and transportation.

Figure 7: Global primary producers' net total cash cost + sustaining capital (2021E), US$/3PE+Au oz.



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Source: SFA (Oxford), Ivanplats. Notes: Cost and production data for the Platreef project is based on the Platreef Feasibility Study parameters, applying payabilities and smelting and refining charges as agreed with purchase of concentrate partners for Platreef concentrate (this is not representative of SFA's standard methodology). SFA's peer group cost and production data follows a methodology to provide a level playing field for smelting and refining costs on a pro-rata basis from the producer processing entity. Net total cash costs have been calculated using Ivanplats' long term price assumptions of 16:1 ZAR:USD, US$1,100/oz platinum, US$1,450/oz palladium, US$5,000/oz rhodium, US$1,600/oz gold, US$8.00/lb nickel and US$3.50/lb copper.

Figure 8: Ranking of selected global primary PGM producers, based on 2021E palladium equivalent production



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Source: SFA (Oxford), Ivanplats. Notes: Chart excludes by-product PGM producers. Nornickel (by-product PGM producer) is the largest producer on a palladium equivalent basis. Cost and production data for the Platreef project is based on the Platreef 2022 FEASIBILITY STUDY and 2014 PEA parameters. Production data for the peer group is provided by SFA (Oxford). Equivalent palladium production has been calculated using Ivanplats' long term price assumptions of 16:1 ZAR:USD, US$1,100/oz platinum, US$1,450/oz palladium, US$5,000/oz rhodium, US$1,600/oz gold, US$8.00/lb nickel and US$3.50/lb copper.

2022 FEASIBILITY STUDY HIGHLIGHTS

Phased development plan targets first production from Phase 1 in Q3 2024, and accelerated Phase 2 expansion to realize potential of Platreef orebody

  • The Platreef 2022 Feasibility Study evaluates the phased development of Platreef, with an initial 700-ktpa underground mine and a 770-ktpa capacity concentrator, targeting high-grade mining areas close to Shaft 1, with an initial capital cost of US$488 million.

  • First concentrate production for Phase 1 is planned for Q3 2024, with the Phase 2 expansion based on the commissioning of Shaft 2 in 2027, followed by the commissioning of two 2.2-Mtpa concentrators in 2028 and 2029. This would increase the steady-state production to 5.2 Mtpa by using Shaft 2 as the primary production shaft.

  • Expansion capital cost for Phase 2 is estimated at US$1.5 billion, which may be partially funded by cash flows from Phase 1 and a project financing package.

  • Ivanplats' dedicated engineering teams and leading consultants are evaluating optimizations to the sinking methodology for Shaft 2 to further accelerate the availability of the shaft for hoisting, which may accelerate the overall development timeline.

  • Phase 1 average annual production of 113,000 ounces (oz.) of platinum, palladium, rhodium and gold (3PE+Au), plus 5 million pounds of nickel and 3 million pounds of copper.

  • Phase 2 average annual production of 591,000 oz. of 3PE+Au, plus 26 million pounds of nickel and 16 million pounds of copper, which would rank Platreef as the fifth largest primary PGM producer on a palladium equivalent basis (Figure 8)

  • Life-of-mine cash cost of US$514 per ounce of 3PE+Au, net of by-products, and including sustaining capital costs would rank Platreef as the lowest cost primary PGM producer (Figure 7)

  • After-tax net present value at an 8% discount rate (NPV8%) of US$1.7 billion and an internal rate of return (IRR) of 18.5%, based on long-term consensus prices.

  • At spot prices as at February 23, 2022, the after-tax NPV8% increases to US$4.1 billion and the IRR increases to 29.3%.

  • Shaft 1 equipping and changeover to hoisting is nearing completion, expected by end of March 2022, together with the arrival of initial battery electric underground mining fleet.

  • In parallel with the changeover of Shaft 1 for permanent hoisting, detailed engineering and certain optimization initiatives are underway on the mine design, 770-ktpa concentrator and associated infrastructure design, which also will include the dry stack tailings storage facility. In addition, amendments to the water use licence, waste licence and environmental impact assessment required for the phased development plan have been lodged.

  • Following the completion of the changeover of Shaft 1, off-shaft development will start in April 2022 with the initial aim of enabling construction of the first ventilation raise.

  • With the focus shifting to execution, appointment and onboarding of earthworks contractors is the next short-term milestone for surface work, while detailed design across the project ramps up.

Figure 9: Plan of the Platreef 2022 Feasibility Study mine design, highlighting areas that are mined during Phase 1 (700-ktpa) and Phase 2 (5.2 Mtpa).

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Figure by OreWin, 2022.

KEY INITIAL RESULTS FROM THE PLATREEF 2022 FEASIBILITY STUDY

Table 1: Summary of key results of the Platreef 2022 Feasibility Study.

Item Units Total / Average Life of Mine
Mined and processed
Material Milled Million tonnes 125
Platinum g/t 1.94
Palladium g/t 1.99
Gold g/t 0.30
Rhodium g/t 0.13
3PE+Au g/t 4.37
Copper % 0.16
Nickel % 0.34
Peak Production (Year 8)
3PE+Au koz 697
Nickel kt 13
Copper kt 8
Key financial results
Life of mine Years 28.3
Initial capital US$ million 488
Expansion capital US$ million 1,480
Peak capital US$ million 1,364
Mine-site cash cost US$ per ounce 3PE+Au 429
Total cash cost after credits US$ per ounce 3PE+Au 452
All-in cash cost after credits US$ per ounce 3PE+Au 514
Mine-site operating costs US$ per tonne milled 52
After-tax NPV8% US$ million 1,690
After-tax IRR % 18.5
Project payback period years 7.9

 

Notes:

  1. 3PE+Au = platinum, palladium, rhodium and gold.

  2. Long-term metal price assumptions for economic analysis are as follows: US$1,100/oz. platinum, US$1,450/oz. palladium, US$1,600/oz. gold, US$5,000/oz. rhodium, US$8.00/lb nickel and US$3.50/lb copper.

  3. All-in cash costs include sustaining capital costs.

Khazamola Baloyi, Government Relations Manager, at the Platreef site office.

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Sample of the high-grade palladium-platinum-rhodium-nickel-copper-gold ore.



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Table 2: Platreef 2022 Feasibility Study financial results at base case and spot prices.

Discount Rate Base Case Prices (1) Spot Prices (2)
Net present value (NPV) Undiscounted 8,543 17,130
(US$ million, after tax) 5.0% 3,098 6,815
8.0% 1,690 4,116
10.0% 1,104 2,979
12.0% 692 2,169
Internal rate of return (IRR) 18.5% 29.3%
Project payback period (Years) 7.9 6.4
Exchange rate (zar:USD) 16:1

 

  1. Base case metal price assumptions are as follows: US$1,100/oz. platinum, US$1,450/oz. palladium, US$1,600/oz. gold, US$5,000/oz. rhodium, US$8.00/lb nickel and US$3.50/lb copper.

  2. Spot metal prices as at February 23, 2022 are as follows: US$1,095/oz. platinum, US$2,480/oz. palladium, US$1,909/oz. gold, US$18,750 /oz. rhodium, US$11.31/lb nickel and US$4.48/lb copper.

Table 3: Platreef 2022 Feasibility Study average mine production and processing statistics.

Item Units Phase 1 Average (1) Phase 2 Average (2) LOM Average
Production Mtpa 0.7 4.9 4.4
Platinum g/t 2.53 1.93 1.94
Palladium g/t 2.54 1.98 1.99
Gold g/t 0.38 0.30 0.30
Rhodium g/t 0.17 0.13 0.13
3PE+Au(2) g/t 5.63 4.34 4.37
Copper % 0.19 0.16 0.16
Nickel % 0.40 0.34 0.34
Recoveries
Platinum % 90.4 87.2 87.2
Palladium % 90.2 86.7 86.8
Gold % 80.4 78.5 78.5
Rhodium % 84.4 80.2 80.3
3PE+Au(2) % 89.4 86.0 86.2
Copper % 90.0 87.6 87.7
Nickel % 77.5 71.4 71.6
Concentrate produced kt/a (dry) 34.9 216.2 195.7
Platinum g/t 38.1 38.2 38.2
Palladium g/t 38.1 39.0 39.0
Gold g/t 5.1 5.3 5.3
Rhodium g/t 2.4 2.4 2.4
3PE + Au (3) g/t 83.8 85.0 85.0
Copper % 2.8 3.3 3.3
Nickel % 5.1 5.4 5.4
Recovered metal
Platinum koz/a 51 266 240
Palladium koz/a 51 271 245
Gold koz/a 7 37 33
Rhodium koz/a 3 17 15
3PE + Au(2) koz/a 113 591 535
Copper Mlb/a 3 16 14
Nickel Mlb/a 5 26 23

 

  1. Phase 1 production over 3.3 years from 2024 to 2027 at 0.7 Mtpa.

  2. Phase 2 production over 25.0 years from 2028 to 2052 at 5.2 Mtpa.

  3. 3PE+Au is the sum of the grades for and production of platinum, palladium, rhodium and gold.

Figure 10: Platreef 2022 Feasibility Study concentrator production (tonnes milled and grades for the life-of-mine).

/zigman2/quotes/207656050/delayed
CA : Canada: Toronto
$ 9.24
-0.15 -1.60%
Volume: 736,248
Oct. 6, 2022 4:00p
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18.64
Dividend Yield
N/A
Market Cap
$11.40 billion
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