Jubilee Metals: Chrome remains robust with strong demand from China
Jubilee’s Inyoni Facility continued to deliver a strong performance in line with expectations. The Inyoni operations achieved 9 019 PGM oz for the quarter (100% from own operations) and additionally, sold the equivalent of 2 418 PGM oz from excess feedstock through its JV partner agreement.
At the Company’s Inyoni operations, the operational cost remained tightly under control despite the inflationary pressure and benefitted from the chrome offset on the back of the strong performance.
The chrome operations, as a by-product of the PGM operations, continued to perform, delivering 310 721 tonnes of chrome concentrate over the period against a targeted 300 000 tonnes.
This strong performance coupled with increased chrome prices during the past quarter, resulted in a more than doubling of contribution from chrome credits towards the PGM operations, equating to US$402 per PGM oz, and resulting in a cost per PGM oz (after chrome by-product credits) of US$383. All in unit cost for the Inyoni operation inclusive of feed material purchases and before accounting for the chrome credits, totalled US$708 per PGM oz.
Chrome prices remain robust with strong demand from China coupled with constrained supply. PGM basket prices remained lower at US$1 297 per oz net of all refining charges.
As previously announced, Jubilee has made good progress with discussions to secure a further PGM processing footprint in the Eastern Limb of the Bushveld complex (the north-eastern region of South Africa’s chrome and PGM mining region), with final design reviews completed for the chrome beneficiation facility that will precede the PGM facility in the Eastern Limb.
The Company targets to commence with the construction of the chrome beneficiation circuit as soon as regulatory approvals are secured, which is expected during Q3 of the 2023 calendar year.
The construction of the circuit is budgeted to be completed over a six-month period. The Eastern Limb PGM facility offers the opportunity to further increase Jubilee’s PGM operational footprint by 25 000 PGM ounces.
