Eastplats Suspends Funding for the Crocodile River Mine Development Plan
Published : April 19, 2013
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VANCOUVER, BRITISH COLUMBIA--(Marketwired - April 19, 2013) - Eastern Platinum Limited ("Eastplats" or the "Company") (News - Market indicators)(AIM:ELR)(JSE:EPS) reports that due to the continuing negative outlook in the global economic environment, the sustained weakness in PGM pricing and the current operating environment in South Africa, it has decided to suspend funding for the Crocodile River Mine ("CRM") "Development Plan" previously announced on June 12, 2012. The Company will continue to reassess the viability of production at CRM and reinitiate funding for production once conditions support such a decision. 

This decision to suspend funding for CRM was influenced by both macro and micro-economic issues. The 2008 financial meltdown and its impact on European car sales resulted in a reduction in platinum demand and this shows no signs of a near term recovery; year-on-year European car sales have declined every single month since October 2011. At CRM, the costs per tonne milled have risen by 82% since the beginning of 2007 and the PGM basket price has fallen by 17% in Rand terms over the same period. Ongoing labour unrest continues to negatively impact productivity throughout the South African mining sector. When taken together, the impact of a stagnant commodity market, the rising costs of mining and decreasing productivity have resulted in it becoming increasingly difficult to justify the continued level of funding required for the CRM development plan. 

"Given the stagnation of the European car market together with a continuing resistance to any significant large scale production cuts from the larger producers, we expect that the industry will have to contend with much lower metal prices than previously projected in the short and medium term. Ongoing cost pressure and decreasing productivity in South Africa continue to significantly reduce free cash flow. After a considerable amount of review and evaluation Eastplats sees no merit in depleting the financial resources of the Company in this economic and operating environment," stated Ian Rozier, President and CEO.

Total shares issued and outstanding - 928,187,807

Cautionary Statement on Forward-Looking Information

This press release, which contains certain forward-looking statements, is intended to provide readers with a reasonable basis for assessing the financial performance of the Company. All statements, other than statements of historical fact, are forward-looking statements. The words "believe", "expect", "anticipate", "contemplate", "target", "plan", "intends", "continue", "budget", "estimate", "may", "will", "schedule" and similar expressions identify forward looking statements. These forward-looking statements pertain to assumptions regarding the price of PGMs, fluctuations in currency markets (specifically the Rand and the U.S. dollar), the future funding of the Company's projects, the future development of the Company's projects, the Company's plans for its properties, the anticipated timing for the awarding of tenders, and the accounting policies issued but not yet effective for the Company. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by the Company, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Such factors include, but are not limited to, the risk of fluctuations in the assumed exchange rates of currencies that directly impact the Company, such as Canadian dollar, South African Rand and U.S. dollar, the risk of fluctuations in the assumed prices of PGM and other commodities, the risk of changes in government legislation, taxation, controls, regulations and political or economic developments in Canada, the United States, South Africa, or Barbados or other countries in which the Company carries or may carry on business in the future, risks associated with mining or development activities, the speculative nature of exploration and development, including the risk of obtaining necessary licenses and permits, and assumed quantities or grades of reserves. Many of these uncertainties and contingencies can affect the Company's actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, the Company. Readers are cautioned that forward-looking statements are not guarantees of future performance. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those acknowledged in such statements. Specific reference is made to the Company's most recent Annual Information Form on file with Canadian provincial securities regulatory authorities for a discussion of some of the factors underlying forward-looking statements.

The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except to the extent required by applicable laws.

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

Eastern Platinum Limited
Ian Rozier
President & C.E.O.
+1-604-685-6851
+1-604-685-6493 (FAX)
info@eastplats.com
www.eastplats.com
or
NOMAD
Andrew chubb, Ross Allister
Canaccord Genuity Limited, London
+44 (0) 207 7523 8000
or
JSE SPONSOR
Johan Fourie
PSG Capital (Pty) Limited
+27 21 887 9602
johanf@psgcapital.com
Data and Statistics for these countries : Canada | South Africa | All
Gold and Silver Prices for these countries : Canada | South Africa | All

Eastern Platinum Limited

PRODUCER
CODE : ELR.TO
ISIN : CA2768551038
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Eastern Platinum is a platinum producing company based in Canada.

Eastern Platinum produces platinum, palladium in South Africa.

Its main asset in production is CROCODILE RIVER in South Africa and its main exploration properties are KENNEDY'S VALE, MAREESBURG and SPITZKOP in South Africa.

Eastern Platinum is listed in Canada, in Germany and in United Kingdom. Its market capitalisation is CA$ 20.8 millions as of today (US$ 15.2 millions, € 14.2 millions).

Its stock quote reached its highest recent level on August 05, 2011 at CA$ 9.90, and its lowest recent point on August 11, 2023 at CA$ 0.07.

Eastern Platinum has 92 639 032 shares outstanding.

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Financings of Eastern Platinum Limited
2/1/2011Final Credit Approval Received For US$100 Million Debt Finan...
Option Grants of Eastern Platinum Limited
6/3/2011Best Practice Revisions to the Stock Option Plan and Shareho...
Nominations of Eastern Platinum Limited
6/13/2013Announces Election of Directors
Financials of Eastern Platinum Limited
3/29/2011Reports Results For The Year Ended December 31, 2010
Project news of Eastern Platinum Limited
6/24/2013(Crocodile River)Crocodile River Mine to Be Placed on Care and Maintenance; S...
4/19/2013(Crocodile River)Eastplats Suspends Funding for the Crocodile River Mine Deve...
1/29/2013Eastplats Reports Production Results for the Quarter Ended D...
10/18/2012Eastplats Reports Production Results For the Quarter Ended S...
7/19/2012Eastplats Reports Production Results for the Quarter Ended J...
6/12/2012(Crocodile River)Eastplats Reports Proposed Development Plan for Crocodile Ri...
5/30/2012(Mareesburg)Eastplats Suspends Funding for the Mareesburg/KV Project
4/19/2012Eastplats Reports Production Results for the Quarter Ended M...
1/24/2012Eastplats Reports Production Results For the Quarter Ended D...
7/19/2011Eastplats Reports Production Results for the Quarter Ended J...
5/24/2011(Crocodile River)Operations Resume At Crocodile River Mine – Two Year Wage Ag...
5/12/2011(Crocodile River)On The Reported Industrial Action At Crocodile River Mine Op...
4/16/2011Eastplats Reports Production Results For The Quarter Ended M...
Corporate news of Eastern Platinum Limited
7/4/2016Eastplats Reaches Agreement With Minority Interest Partners
6/28/2016Hebei Zhongheng Tianda Platinum Co. Limited To Purchase The ...
6/21/2016Eastplats: Independent Proxy Advisor ISS Recommends that Sha...
6/8/2016Eastplats: Dissident Ka An’s Nominees Have Poor Track Record...
5/31/2016Eastern Platinum Ltd. Files Management Information Circular ...
2/1/2016President & CEO Ian Rozier Steps Down
10/22/2015Eastern Platinum Limited Comments On The News Release Of Bei...
10/22/2015IIROC Trade Resumption - ELR
10/22/2015Eastern Platinum Limited Comments on the News Release of Bei...
10/21/2015IIROC Trading Halt - ELR
9/16/2015Eastplats And Hebei Zhongbo Receive Approval From The South ...
9/12/2015Eastern Platinum Announces Voting Results of Annual General ...
9/11/2015Eastern Platinum Announces Voting Results of Annual General ...
8/10/2015Eastern Platinum Limited: News Release
7/20/2015News Release
7/17/2015Eastern Platinum Limited
4/9/2015Break Fees Placed Into Escrow by Hebei Zhongbo and Eastplats
2/25/2015Eastplats Receives Shareholder Approval And Hebei Zhongbo Re...
2/5/2015Eastplats Receives Shareholder Approval and Hebei Zhongbo Re...
1/6/2015Eastplats Reaches Agreement With Minority Interest Partners
11/7/2014IIROC Trade Resumption - ELR
11/7/2014IIROC Trading Halt - ELR
7/17/2014Eastern Platinum Limited Clarifies Effective Trading Date fo...
7/14/2014Eastern Platinum Limited Announces Effective Date of Share A...
6/13/2014Eastern Platinum Announces Voting Results of Annual General ...
8/14/2013Reports Results for the Three Months Ended June 30, 2013
5/15/2013Reports Results for the Three Months Ended March 31, 2013 an...
3/14/2013Reports Results for the Quarter and Year Ended December 31, ...
2/19/2013Restricted Operations at Zandfontein Section
2/13/2013Operations Resume at Zandfontein
11/14/2012Reports Results for the Three Months Ended September 30, 201...
8/29/2012No Work Stoppages at CRM Operations
8/14/2012Reports Results for the Three Months Ended June 30, 2012
7/6/2012Clarification of Disclosure on Company Website
5/14/2012Reports Results for the Three Months Ended March 31, 2012
3/6/2012Reports Results for the Quarter and Year Ended December 31, ...
1/3/2012US$100 Million Debt Facility Agreement Completed
12/19/2011on Eastplats Projects
10/25/2011Managing Director of Barplats Resigns
8/15/2011Reports Results For the Three Months Ended June 30, 2011
6/30/2011Eastplats Aware of Notice of Application
6/7/2011Annual General Meeting Proxy Deadline Extended
5/21/2011Adopts New Shareholder Rights Plan
5/12/2011Reports Results For The Three Months Ended March 31, 2011
8/14/2008Reports Record Earnings for the Quarter Ended June 30, 2008
3/22/2007ANNOUNCES TERMS OF OFFERING
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