Platinum Australia (PLA) has signed a deal with a Japanese state-owned outfit to progress the exploration program at the company's South African Stellex North Project.
Platinum Australia (PLA) has signed a deal with a Japanese state-owned outfit to progress an exploration program at the company's South African Stellex North Project.
Platinum has entered into an agreement with Japan Oil, Gas and Metals National Corporation (JOGMEC) under which JOGMEC will earn an initial 35 per cent interest in the Stellex North Project by providing US$3.5 million funding for exploration over the next 4 years.
The remaining 65 per cent stake in the project will be held by Stellex Platinum, a joint venture company in which Platinum holds a 49 per cent stake and the remainder is held by Batsalani Mining & Resources.
Platinum said it hopes to increase its stake following the expenditure of an initial $30,000 on work undertaken on the project to date.
The Stellex North Project is located 330 kilometres west of Johannesburg and adjacent to the Kalplats (PLA earning 49 per cent from ARMplatinum) and Kalplats Extended (PLA 50 per cent) projects.
Platinum Australia managing director, John Lewins said JOGMEC is a Japanese government-owned company charged with securing a stable supply of natural resources for the country.
"The agreement will provide the necessary funding to complete our planned exploration programme over the next four years at a time when PLA expects to put significant funding into more advanced projects such as Kalplats and Rooderand to bring them into production," he said in a statement.
Full announcement below:
PLA ENTERS INTO AGREEMENT WITH JOGMEC COVERING THE STELLEX NORTH PROJECT
Platinum Australia Limited (ASX:PLA) (AIM:PLAA) is pleased to announce it has entered into an Agreement with Japan Oil, Gas and Metals National Corporation ("JOGMEC") under which JOGMEC will earn an initial 35% interest in the Stellex North Project by providing US$3.5 funding for exploration over the next 4 years.
The balance of the project will be held by Stellex Platinum (Pty) Ltd ("Stellex") a joint venture company currently owned 49% by PLA and 51% by Batsalani Mining & Resources (Pty) Ltd ("Batsalani"). PLA anticipates increasing its interest in Stellex following the expenditure of an initial $30,000 on work undertaken on the project to date, as provided under the Joint Venture Agreement.
A Prospecting Right has been issued to Stellex covering the project and a detailed aeromagnetic survey and initial geochemical sampling program on the project area is due to be completed in the current quarter.
PLA Managing Director John Lewins said: "We are pleased to have entered into this agreement with a partner of the status of JOGMEC, which is a company owned by the Government of Japan and charged with securing a stable supply of natural resources for the country. The agreement will provide the necessary funding to complete our planned exploration programme over the next four years at a time when PLA expects to put significant funding into more advanced projects such as Kalplats and Rooderand to bring them into production. PLA will remain manager of the project
Stellex North Project
The Stellex North PGM Project is located 330km west of Johannesburg and adjacent to the Kalplats (PLA earning 49% from ARMplatinum) and Kalplats Extended (PLA 50%) Projects. The Kalplats Project currently has Measured, Indicated and Inferred Resource of 6.4 Moz 3E which is set out in summary in Table 1, according to the guidelines of the JORC Code (2004) as previously announced on 8 October 2009.
The Stellex North Project covers a strike length of 26 kilometres of the Kraaipan Greenstone belt immediately to the north of the Kalplats Extended Project. PLA believes that this project has the potential to host extensions of the known Kalplats style mineralisation. An aeromagnetic survey of the project area and detailed soil geochemistry program is planned for the project area in 2010.
