Platinum Group Metals
Creates New Funded
Platinum Joint Venture
(Vancouver/Johannesburg)
Platinum Group Metals Ltd. ("Platinum Group") (PTM-TSX; PLG-AMEX) announces
the creation of a new exploration joint venture adjoining the Xstrata plc
Eland Platinum Project area at the eastern end of the prolific Western
Bushveld Complex in South Africa. Platinum Group Metals has been granted
a 8.290 square kilometre mineral rights position by filing prospecting
permit applications with the Department of Minerals and Energy. A further
2.772 square kilometers have also been applied for and are pending review
and approval (see map below). A new platinum company Sable Platinum (Pty)
Ltd. ("Sable") has been formed by Allan Hochreiter (Pty) Ltd.,
a mining corporate finance company, based in Johannesburg, headed up by
James Allan and renowned platinum analyst Ren� Hochreiter. Sable has the
right to earn a 51% interest in the joint venture by spending 51 million
rand (approximately $US6.2m) in exploration costs over 5 years. A private
empowerment group will hold 26% and Platinum Group Metals will operate
the exploration program and retain a 23% interest when the earn-in is
complete.
R. Michael Jones
President of Platinum Group Metals Ltd. "We are very pleased to see
the first product of our new business initiatives program emerge, at
scale funded by a strong qualified partnership. The Sable Joint Venture
is right in the cross hairs of the new industry focus on shallow ounce
potential rather than deep, given costs, prices and electrical supply
constraints."
Ren�
Hochreiter of Sable Platinum said "We are pleased to work with
Platinum Group Metals and start work immediately. We have the advantage
to operate our program using an experienced exploration team at Platinum
Group Metals that quickly turned their main Western Bushveld Joint Venture
to account as operator".
click
on links or copy to browser to view maps:
http://www.platinumgroupmetals.net/userfiles/Pretoria_Press_Release.jpg
http://www.platinumgroupmetals.net/userfiles/Pretoria_Press_Release_Close_Up.jpg
The
platinum bearing layers of the Western Bushveld Complex are known to
extend across the property position. A highly fragmented surface rights
and mineral rights situation with hundreds of owners had inhibited work
in the past. The Mineral and Petroleum Resources Development Act (No 28
of 2002) ("MPRDA"), converted this area into 100% state
ownership, just as it is in most mining jurisdictions. In this way the
MPRDA is providing new opportunity to the industry exactly as it
intended.
The initial
phase of field work to target areas for drilling has started. Drilling is
expected to commence before the end of the year.
Qualified
Person
The Qualified Person, ("QP") for this press release is R.
Michael Jones, P.Eng. He is non-independent as he is the President and a
significant shareholder in Platinum Group. He has verified the data
reported on the Sable Joint Venture by a review of the information and
maps and he has visited the area on numerous occasions in 2008. He has
verified the data for Platinum Group Metals main project detailed below
by reviewing the Independent QP reports. Resources and Reserves are
quoted from published reports by Platinum Group by Charles Muller and
Gordon Cunningham Independent Qualified Persons as at the effective dates
in the table. (Reports dated April 25, 2008 - filed June 11, 2008 and
July 7, 2008 - filed Aug 21, 2008 on www.sedar.com).
About
Platinum Group Metals
Platinum Group Metals was founded in 2000 focused on the metals of its
name. It has brought a 71 square kilometer area of the Western Bushveld
Complex to account with a Bankable Feasibility Study since starting work
in South Africa in 2004. On September 2, 2008 it announced a pending
transaction involving Anglo Platinum, the world's largest producer of
platinum and South African Wesizwe Platinum. This transaction will
have the effect to;
- Double its attributable planned production
of Platinum Group Metals from approximately 92,500 ounces platinum,
palladium, rhodium and gold ("4E") per year to 185,000 ounces
per annum ;
- Double its share of Reserves by 1.63
million ounces "4Es" to 3.26 million ounces;
- Increase attributable Measured and
Indicated Resources by 1.75 million ounces 4E (Reserves are a subset
of Resources) to 5.4 million ounces;
- Increase Inferred Resources by 0.44 million
ounces 4E to 2.34 million ounces 4E.
On behalf
of the Board of
Platinum Group Metals Ltd.
"R. Michael Jones"
President and Director
- 30 -
For further information contact:
R. Michael Jones, President
John Foulkes, Manager Corporate Development
or Michael Pound, Investor Relations
Platinum Group Metals Ltd., Vancouver
Tel: (604) 899-5450 / Toll Free: (866) 899-5450
The following note is mandated under SEC Guidelines:
Cautionary Note to U.S. Investors concerning estimates of Inferred
Resources. This section uses the term "inferred resources". We
advise U.S. investors that while that term is recognized and required by
Canadian regulations, the U.S. Securities and Exchange Commission does
not recognize it. "Inferred Resources" have a great amount of
uncertainty as to their existence, and great uncertainty as to their
economic and legal feasibility. It cannot be assumed that all or any part
of an Inferred Mineral Resource will ever be upgraded to a higher
category. Under Canadian rules, estimates of Inferred Mineral Resources
may not form the basis of feasibility or pre-feasibility studies, except
in rare cases. U.S. investors are cautioned not to assume that part or
all of an inferred resource exists, or is economically or legally
mineable.
The following note is mandated under SEC Guidelines:
Cautionary Note to U.S. Investors concerning estimates of Measured
and Indicated Resources. This section uses the terms "measured"
and "indicated resources". We advise U.S. investors that while
those terms are recognized and required by Canadian regulations, the U.S.
Securities and Exchange Commission does not recognize them. U.S.
investors are cautioned not to assume that any part of all of mineral
deposits in these categories will ever be converted into reserves.
The TSX Exchange and the American Stock Exchange have
not reviewed and do not accept responsibility for the accuracy or
adequacy of this news release, which has been prepared by management.
This
press release contains forward-looking statements within the meaning of
Canadian and U.S. securities laws. Such statements include, without
limitation, statements regarding the timing of future activities by the
Company, future anticipated exploration and development programs, the
review of technical information, the discovery and delineation of mineral
deposit and resources, business plans, potential mining scenarios,
business trends and future operating factors. Although the Company
believes that such statements are reasonable, it can give no assurance
that such expectations will prove to be correct. Forward-looking
statements are typically identified by words such as: believe, expect,
anticipate, intend, estimate, postulate and similar expressions, or are
those, which, by their nature, refer to future events. All statements
that are not statements of historical fact are forward-looking
statements. The Company cautions investors that any forward-looking
statements by the Company are not guarantees of future results or
performance, and that actual results may differ materially from those in
forward looking statements as a result of various factors, including, but
not limited to, variations in the nature, quality and quantity of any
mineral deposits that may be located, the Company's ability to obtain any
necessary permits, consents or authorizations required for its
activities, the Company's ability to produce minerals from its properties
successfully or profitably, to continue its projected growth, or to be
fully able to implement its business strategies. In addition,
forward-looking statements are subject to various risks, including that
data is incomplete and considerable additional work will be required to
complete further evaluation, including but not limited to drilling,
engineering and socio-economic studies and investment; no firm quotes for
costs have been received; the legal right to mine the project discussed
has not been confirmed or applied for and the process for such
application is new in South Africa; the potential capital cost of the
project is beyond the current means of the Company and there can be no
assurance that financing for further work will be available. There are
significant risks with respect to grade estimation, metallurgical
recovery and mining plans that may result in over estimation or failure
to meet targets. Availability of grid electrical power is completely
outside the company control. Any estimates, plans or studies prepared by
or on behalf of other companies with respect to the project have not been
prepared or reviewed by the Company or the Company's QPs and such
disclosure can't and should not be in any way be attributed to the
Company or the Company's QPs, independent or non-independent. Any
reference to Project 2 does not imply that this is a stand alone area for
any potential mine plan. The reader is referred to the Company's filings
with the SEC and Canadian securities regulators for disclosure regarding
other risk factors. There is no certainty that any forward looking
statement will come to pass and investors should not place undue reliance
upon forward-looking statements. Cautionary Note to U.S. Investors: The
U.S. Securities and Exchange Commission permits U.S. mining companies, in
their filings with the SEC, to disclose only those mineral deposits that a
company can economically and legally extract or produce. We use certain
terms in this press release, such as "Measured,"
"Indicated," and "Inferred," "resources,"
that the SEC guidelines strictly prohibit U.S. registered companies from
including in their filings with the SEC.
U.S.
investors are urged to consider closely the disclosure in our Form 40-F,
File No. 0-30306, which may be secured from us, or from the SEC's website
at: http://sec.gov/edgar.shtml. Mineral resources that are not mineral
reserves do not have demonstrated economic viability.
|