Platinum Group Metals - Waterberg and Maseve, South Africa - Feb 2016
On 12 Feb 2016, Andrew Jackson made site visits to Platinium Group Metals' Waterberg project and the newly commissioned Maseve Mine, both in northern South Africa.
The Waterberg discovery is currently being infill drilled to raise as much as possible of the Inferred resource into Measured and Indicated categories for inclusion in the feasibility study. The project is a JV between PTM and the Japanese parastatal company, JOGMEC. The deposit is similar to Ivanhoe's Platreef project, with much thicker than average platinum, palladium and gold mineralization.
The Maseve platinum mine, 300km to the SW of Waterburg and 40km NW of the town of Rustenburg, began production two days before the site visit and, apart from the need to replace a water pump on a filter press, the plant was running smoothly. Probably not a surprise as the mill construction contractors have built 4 or 5 almost identical mills elsewhere in South Africa in the past few years.
As expected, the main teething problems lie in the mining side. Mine production rate has been lower than planned due to inefficient mining, the Christmas break effect, and poor truck availability. Steps have been taken to improve these. These problems were exacerbated by the discovery of an unexpected steeping of the reef in Block 12, which will necessitate a change of mining method in that area. Mining in Block 10 is going largely according to plan.
Click on the thumbnails to see a full size image and caption.
The foregoing discussions are a result of site visits and are not to be construed as a recommendation, an endorsement or as investment advice. Sprott Asset Management USA, entities that it controls, family, friends, employees, associates, and others may hold positions in these securities, may recommend them to clients, and may sell the same at any time.