Name of the Project
Pedra Branca platinum group metals (PGMs) project.

Location
The project is located 280 km from Fortaleza, in north-east Brazil, and holds three mining licences and 43 exploration licences over 50 000 ha.

Client
Jangada Mines.

Project Description
The project involves the development of South America’s largest and most advanced PGMs project.

A preliminary economic assessment (PEA) has confirmed the findings of a 2017 scoping study, which concluded that the project had the potential to become a robust, low-capital and -operating expenses, shallow openpit operation yielding attractive financial returns and a very short payback period.

The PEA envisages a conventional, shallow, truck-and-shovel operation, operated by a mining contractor. A conventional sulphide flotation plant will produce saleable multi-element sulphide and chrome concentrates.

The project has a potential mine life of 13 years at a 1.2 strip ratio.

Yearly production is estimated at 64 000 oz of PGMs+Au, 2.2-million pounds of nickel, 1.2-million pounds of copper, 44 000 lb of cobalt and 30 000 t of chrome.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has an estimated net present value, at a 7% discount rate, of $192-million and an internal rate of return of 67%, with a payback of 1.6 years.

Value
Capital expenditure is estimated at $43.9-million.

Duration
Not stated.

Latest Developments
Jangada Mines has announced an upgrade of 117% to its 2012 Joint-Ore Reserves Committee- (Jorc-) compliant resource, which, in turn, means a substantial increase in the size and categorisation of the resource at the company’s Pedra Branca project.

Following the upgrade, Jorc-classified ore at the project is 74.8-million tonnes.

The resource upgrade also includes a 64% increase in the indicated category resources to 29.3-million tonnes, as well as a 174% increase in the inferred category resources to more than 37-million tonnes.

A 103% increase in palladium-equivalent resource to more than three-million ounces has been further derived from a 48% increase in PGMs and gold resources to 2.17-million ounces, and a 104% increase in base metals content to 362.5-million pounds, which the company attributes to newly discovered nickel sulphide resources.

The nickel sulphide resource includes 298-million pounds of nickel, 49.5-million pounds of copper and 15-million pounds of cobalt.

Further, the verification phase of the fully funded bankable feasibility study (BFS) is on track for completion by the end of the first quarter this year, the company has confirmed.

The BFS has identified significant increases in grade and classification that will help form inputs into the BFS model.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Jangada Mines, tel +44 20 7317 6635 or email info@jangadamines.com.