TSX- and NYSE-listed Platinum Group Metals (PTM) says work is progressing well on the development of its 50.02%-owned Waterberg project.
The Waterberg project is located on the northern limb of the Bushveld Complex, in South Africa, and will be a fully mechanised, shallow platinum, palladium, gold and rhodium mine.
Other stakeholders in the project are Impala Platinum; Japan Oil, Gas and Metals National Corporation; Hanwa; and black economic empowerment partner Mnombo Wethu Consultants.
Although PTM holds 37% of the Waterberg joint venture (JV), it owns 49.9% of Mnomno Wethu consultants, which has a 26% stake in the JV.
Currently, the project’s engineering team is converting details from a definitive feasibility study published in September 2019 into a formal cost budget estimate, with a focus on critical path elements and the first two years of construction.
The company is optimising plans around roads, a construction camp, power, water and project start dates.
The next major milestones for PTM and the project include further detailed work with the host communities in the area of the mine, offtake arrangements and construction financing.
PTM is in discussions with several parties as offtake partners and detailed due diligence is under way with multiple parties for construction financing.
Meanwhile, PTM says the markets for platinum and pallidum remain strong and prices are well over the estimates used for feasibility studies.
The total expenditure on the project from inception to date is about $78-million.