Name of the Project
Bengwenyama platinum group metals (PGM) project.

Location
The Eastern Limb of South Africa’s Bushveld Complex, near Steelpoort in Limpopo. It covers 5 279.74 ha on the farms Nooitverwacht 324 KT and Eerstegeluk 327 KT. 

Project Owner/s
Dual-listed PGM company Southern Palladium has a 70% indirect ownership interest in the project through Miracle Upon Miracle Investments, with the Bengwenyama community, through the Bengwenyama Traditional Council, holding a 30% indirect ownership interest.

Project Description
The advanced, shallow PGM-chrome development project hosts the upper group two (UG2) and Merensky reefs. It has a Joint Ore Reserves Committee-compliant resource base of 40.25-million ounces of platinum, palladium, rhodium and gold (3PGE+Au) comprising 24.81-million ounces in the UG2 reef and 15.44-million ounces in the Merensky reef.

The optimised prefeasibility study (OPFS) proposes a staged underground development focused on the UG2 reef. 

Stage 1 is planned at 1.2-million tonnes a year from the South decline, increasing to 2.4-million tonnes a year in Stage 2, with the addition of the North decline. Stage 1 is expected to produce more than 200 000 oz/y of PGMs in concentrate. Total 6E (platinum, palladium, rhodium, ruthenium, iridium and gold) ounces recovered is estimated at 2.22-million ounces over the 23-year mine life.

Stage 1 and 2 total 6E production is estimated at 7.5-million ounces over the total 33-year life-of-mine (averaging more than 400 000 oz/y from Year 4 or possibly sooner for Stage 2).
 
Southern Palladium is refining the plant flowsheet through the definitive feasibility study (DFS), including the addition of dense-media separation (DMS) and improved chrome recovery assumptions following recent metallurgical testwork. 

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The OPFS estimates an after-tax net present value (NPV), at an 8% discount rate, of $857-million and an internal rate of return (IRR) of 26.4% for Stages 1 and 2. Stage 1 has an estimated after-tax NPV of $246-million and an IRR of 21.8%. 

Capital Expenditure
Peak funding is estimated at $279-million. Stage 1 capital is estimated at $219-million, while ongoing and expansion capital for Stages 1 and 2 is estimated at $300-million. 

Planned Start/End Date
Stage 1 production is expected from 2029.

Early boxcut and decline development are targeted to start before the end of 2026, subject to the required waste management and water use approvals.

The DFS is expected to be completed in the first quarter of 2027, with a final investment decision planned for later in 2027.

Latest Developments
Southern Palladium announced on August 10, 2026, that the Department of Mineral and Petroleum Resources had granted the mining right for an initial 30-year period. 

It covers about 5 280 ha on the farms Nooitverwacht 324 KT and Eerstegeluk 327 KT, and provides the principal regulatory authorisation required for mine development and future production.

The board has approved the start of early boxcut and decline development before the end of 2026, subject to securing the required waste management and water-use approvals. The mining right follows the earlier granting of environmental authorisation.

Recent DFS metallurgical testwork has demonstrated significant high-grade chrome coproduct potential. At steady-state Stage 2 production, Bengwenyama is expected to produce more than 400 000 oz/y of PGMs and about one-million tonnes a year of chrome concentrate.

Southern Palladium is strengthening its project execution capability ahead of early development works and eventual mine construction, with Michiel Breed appointed project director and France Modau appointed underground mining manager.

Key Contracts, Suppliers and Consultants
Minxcon (consultant for the OPFS); RM Process and MAK Analytical (DFS metallurgical testwork); and Geomech Africa (drill contractor). 

Contact Details for Project Information
Southern Palladium, email info@southernpalladium.com