Name of the Project
Bakubung Platinum Mine (BPM) project.

Location
The BPM project is located on the western limb of the Bushveld Igneous Complex, north of the City of Rustenburg, adjacent to the well-known Sun City Complex, in the North West, South Africa.

Client
Wesizwe Platinum.

Project Description
The project entails the construction of a platinum-group metals (PGMs) mine on Wesizwe Platinum’s core assets.

The mine will comprise an underground mine, with a twin vertical shaft system, a production shaft and a services shaft, which will also function as the second escape route, and a process plant. An optimisation study completed in 2014 increased mine capacity by 8.7% to 250 000 t/m of run-of-mine ore at full capacity.

The key results of the optimisation study included:
• semimechanising all development;
• shortening the shafts through the removal of underground crushing, and bringing level development close to reef horizons (on-reef development), which will result in a substantial reduction in off-reef development and an increase in hoisting capacity to support increased production rates;
• the substantial use of conveyor belts and chairlifts to transport ore and mineworkers respectively;
• using three 6.1 m raisebore shafts to further assist with ventilation distribution;
• increasing hoisting capacity to support increased production rates;
• moving underground infrastructure to surface, including primary crushing; and
• revising the shaft pillar strategy, which will be mined at the end of the mine’s life.

A combination of conventional and mechanised methods will be employed.
The Merensky and UG2 reefs will be mined using conventional stoping, with mechanised mining used in all the development to access the two reef horizons.

The concentrator design, emanating from the results of the testwork conducted during the bankable feasibility study, is based on a standard PGMs plant layout.

Options for collaboration in developing synergies with neighbouring mines are continually being investigated to exploit benefits from economies of scale and sharing capital infrastructure costs. BPM will have a 35-year life-of-mine.

Potential Job Creation
Once the mine has reached full production, it is expected to have an estimated 3 190 employees.

Net Present Value/Internal Rate of Return
Not stated.

Value
According to the optimisation study, the control budget estimate of nominal capital expenditure decreased from R12.03-billion to R10.69-billion, primarily as a result of the significantly improved ramp-up timeframe to full production.

Duration
Full production is expected by mid-2022.

Latest Developments
Preparations for production and construction of levels 69 and 72 have started, with the first blast for the mine achieved on August 10.

Tender proposals have been adjudicated for levels 77 and 81.

Delivery of Bakubung’s concentrator plant conveyors has started and construction of the plant is expected to start in the first quarter of 2019.

Project delivery and engineering consultancy company WorleyParsons RSA completed the first phase of platinum mining company Wesizwe Platinum’s R10.7-billion Bakubung platinum mine project in December 2017.

Key Contracts and Suppliers
Eskom (power supply), LT Services (surface road infrastructure), EBJ Mining Construction (development and construction labour), Kamano group (trackless mine machinery maintenance), NHI (conveyor structure), Howden (ventilation fans) and Louwill (shaft equipping.

On Budget and on Time?
The BPM project remains within budget and schedule.

Contact Details for Project Information
Wesizwe Platinum executive: corporate affairs and investor relations Hamlet Morule, tel +27 11 994 4600, fax +27 11 944 4601 or email hamlet.morule@wesizwe.com.