Name of the Project
Zandfontein upper group two (UG2) tailings facility.

Location
The project is located at the Crocodile River mine, near the town of Brits, in South Africa’s North West province.

Client
Eastern Platinum (Eastplats) and its subsidiary Barplats Mines.

Project Description
The project entails the construction, mining and processing of the Zandfontein tailings resource, and the subsequent offtake of chrome concentrate from the retreatment project. 

The chrome circuit is designed to improve on the recoveries of chrome concentrate, compared with the recoveries using traditional technology, which could expand available resources for mining and processing.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Not stated.

Value
Capital expenditure is estimated at R164-million, which is expected to be funded from cash on hand, the upfront project payment from Union Goal Offshore Solution and revenue from the retreatment project.

Duration
Not stated.

Latest Developments
Eastplats’ Barplats Mines subsidiary has shipped the first 10 000 t of chrome concentrate from its newly built Zandfontein UG2 tailings chrome retreatment facility.

The retreatment facility is being commissioned.

Eastplats has formally filed its response to a petition filed with the Supreme Court of British Columbia, in Canada, in November 2018. Eastplats is seeking the dismissal of the petition, as well as special costs against the petitioner.

Eastplats shareholder 2538520 Ontario Limited filed the petition seeking the court’s approval to start a derivative action against certain current and former Eastplats directors with regard to the approval of transactions entered into between Eastplats and Union Goal Offshore Solutions.

This followed after Eastplats and Barplats had entered into an agreement with Union Goal in March 2018 for the construction, mining and processing of the Zandfontein tailings resource and the offtake of chrome concentrate from the Zandfontein tailings facility.

Further, Alpha Global Capital has filed a notice of withdrawal pertaining to its claim against Eastplats.

Alpha Global filed a claim in early 2017, seeking payment of “and other relief” following a 2007 agreement that resulted in Eastplats acquiring a further 5% interest in Barplats.

Eastplats, at the time, denied that any funds were due to Alpha Global and has said that it will aim to recover a portion of the costs the company has incurred in responding to the claim from Alpha Global.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Eastplats, tel+1604 800 8200, fax +1 604 210 4516 or email info@eastplats.com.