Name of the Project
Waterberg platinum group metals project.

Location
About 85 km north of Mokopane, in Limpopo, South Africa.

Project Owner/s
Waterberg Joint Venture (JV) Resources, or Waterberg JV Co, a JV between Platinum Group Metals, or PTM (37.05%); Impala Platinum Holdings, or Implats (15%); Japan Oil, Gas and Metals National Corporation, or Jogmec (12.195%); Hanwa Co (9.755%); and black economic-empowerment partner Mnombo Wethu Consultants (26%). As a result of PTM's 49.90% ownership in Mnombo, the company has an effective interest in the Waterberg JV of 50.02%.

Project Description
The 2019 definitive feasibility study (DFS) mine plan envisages production of 4.8-million tonnes of ore a year and 420 000 platinum, palladium rhodium and gold, or 4E, ounces a year in concentrate.

The mine will initially access the orebody using two sets of twin decline tunnels, with fully mechanised longhole stoping methods and paste backfill used for mining. Paste backfill allows for a high mining extraction ratio, as mining can be completed next to backfilled stopes without leaving internal pillars.

Maintaining safety and reliability are key mine design criteria. As a result of the scale of the orebody, bulk mining on 20 m to 40 m sublevels using large underground equipment, and conveyors for ore and waste transport, will provide high efficiency.

Potential Job Creation
The project will create about 1 100 new highly skilled jobs.

Net Present Value/Internal Rate of Return
The project has an after-tax net present value, at an 8% discount rate, of $982-million and an internal rate of return of 20.7%. This is based on the 2019 DFS prices of palladium $1 546, platinum $980, gold $1 548 and rhodium $5 036 ($/R:15).

Capital Expenditure
Capital expenditure is estimated at $874-million, including $87-million in contingencies. Peak project funding is estimated at $617-million, based on 2019 commodity prices and costs.

Latest Developments
PTM has confirmed that infill drilling is, once again, under way at the Waterberg palladium project site, after six of 16 boreholes were completed before the festive season break.

The completed borehole drill cores were sent to Intertek Genalysis Minerals, in Australia, for assay, returning intercepts of 4 m of palladium grading 4.33 g/t from 174 m and 3.5 m of palladium grading 1.91 g/t from 138 m.

The infill drill programme is targeting near-surface, inferred and indicated mineral resource blocks that have good potential for conversion to higher confidence levels and possibly additional tonnage for inclusion in early mine plans. PTM ultimately aims to reduce early capital expenditure requirements and the time to first mining.

PTM president and CEO Frank Hallam has said that the results of the drilling meet or exceed his expectations and are consistent with the company’s modelled mineral resources.

Key Contracts, Suppliers and Consultants
Stantec Consulting International and DRA Projects SA (DFS).

Contact Details for Project Information
PTM, tel +27 11782 2186 or email info@platinumgroupmetals.net.