Lonmin PLC Lonmin Secures $50m Funding for Tailings Project (4817H)
18 August 2016 - 5:00PM
UK Regulatory
TIDMLMI
RNS Number : 4817H
Lonmin PLC
18 August 2016
Lonmin Secures $50 million Funding For Tailings Project
Lonmin Plc ("Lonmin" or "the Company"), is pleased to announce
that it has secured competitive funding of $50 million for the Bulk
Tailings Treatment project ("the BTT project" or "the project")
through a specific project finance metal streaming arrangement. The
first tranche of project funding of $9 million has now been
received and work has already started on the project.
The BTT project involves the re-mining of Lonmin's Easterns
Tailings Dam. The project entails the reprocessing of 26 million
tonnes of Tailings material at a rate of 300,000 tonnes per month.
Commissioning and ramp up to full production is expected during the
2018 Financial Year.
Once at steady-state, the project is expected to produce about
29,000 ounces of Platinum per year or some 55,000 ounces of PGM, at
a yield of 0.5 grammes per tonne (5PGE+Au) (grade of 1.42 grammes
per tonne at a recovery of 35%). The project is part of Lonmin's
business plan and is expected to produce the lowest cost ounces in
the Lonmin portfolio.
"The BTT project is part of our strategy to focus on low cost
ounces to maximise our cash position and create value for all our
stakeholders," said Lonmin's Chief Executive Ben Magara.
- ENDS -
ENQUIRIES
Investors / Analysts:
Lonmin
Tanya Chikanza (Head of Investor Relations) +27 11 218 8358 /+44 207 201 6007
Andrew Mari (Investor Relations Manager) +27 11 218 8420
Media:
Cardew Group
Anthony Cardew / Emma
Crawshaw +44 207 930 0777
Sue Vey +27 60 523 7953
Notes to editors
Lonmin, which is listed on both the London Stock Exchange and
the Johannesburg Stock Exchange, is one of the world's largest
primary producers of PGMs. These metals are essential for many
industrial applications, especially catalytic converters for
internal combustion engine emissions, as well as their widespread
use in jewellery.
Lonmin's operations are situated in the Bushveld Igneous Complex
in South Africa, where more than 70% of known global PGM resources
are located.
The Company creates value through mining, refining and marketing
PGMs and has a vertically integrated operational structure - from
mine to market. Underpinning the operations is the Shared Services
function which provides high quality levels of support and
infrastructure across the operations.
For further information please visit our website:
http://www.lonmin.com
This information is provided by RNS
The company news service from the London Stock Exchange
END
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