Jubilee Metals Ends 2018 On High As Hernic, Dilokong Make Progress

LONDON (Alliance News) - Jubilee Metals Group PLC on Thursday reported record production from ...

Alliance News 17 January, 2019 | 9:22AM
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LONDON (Alliance News) - Jubilee Metals Group PLC on Thursday reported record production from Hernic operation, while its Dilokong project also is ramping-up.

Both projects are in South Africa. The Hernic platinum mine is in Brits, North West province, while Dilokong is near Burgersfort in Limpopo.

Production from Hernic of platinum group metals rose 4% quarter-on-quarter to 6,279 ounces, in what Jubilee said is a "historically challenged" festive season.

Jubilee processed 132,037 tonnes of tailings at Hernic, and unit costs came in at USD320 per ounce, up from USD311 in the third quarter.

Hernic project revenue in the fourth quarter was GBP3.7 million, up from GBP3.4 million in the third quarter. Project earnings attributable to Jubilee rose to GBP2.2 million from GBP1.9 million.

Revenue at Hernic goes fully to Jubilee until full capacity recovery is achieved.

Jubilee commissioned its Dilokong fine chrome project during the last quarter, and it produced first concentrate at target grades in January.

In the fourth quarter, Jubilee produced 8,958 tonnes of chromite concentrate at Dilokong, up from 8,053 tonnes in the third quarter.

Dilokong revenue was GBP534,000, down from GBP592,000, and the loss attributable to Jubilee narrowed to USD123,000 from USD144,000.

"Jubilee ended 2018 on a high, delivering record production at its Hernic operation and increased operational earnings for the fourth quarter of 2018," said Chief Executive Leon Coetzer.

"This performance was achieved during a period which is generally challenged by the festive period."

"I am particularly pleased with the commissioning of our advanced fine chrome plant at Dilokong, which is delivering chrome concentrate to target specifications since early January," he continued.

"The fine chrome plant is targeting the recovery of chrome from the approximate 620,000 tonnes of chrome material contained in the existing Dilokong tailings. We intend to implement this technology into all our other operations in the near future."

Shares were 2.1% higher in London at 2.50 pence each, while in Johannesburg they were 2.2% up at ZAR0.46.

By George Collard; georgecollard@alliancenews.com

Copyright 2019 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article

Security Name Price Change (%) Morningstar
Rating
Jubilee Metals Group PLC 2.30 GBX 0.00 -

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