JOHANNESBURG (miningweekly.com) – Toronto- and New York-listed Platinum Group Metals, the near-term objectives of which are to advance the Waterberg project in Limpopo to a development and construction decision, is working with the South African government to analyse the possibility of exporting platinum group metals (PGM) concentrate.

An initial trade-off study has been completed to determine the viability of exporting the concentrate from South Africa to Saudi Arabia and a key requirement would be to secure a long-term permit for the export from South Africa of unrefined precious metals in concentrate, the company stated in its third-quarter results report on Thursday.

The Waterberg project is planned as a fully mechanised, shallow, decline access platinum, palladium, rhodium and gold mine, including by-product copper and nickel production.

A cooperation agreement that Platinum Group Metals, headed by CEO Frank Hallam, has with Ajlan & Bros Mining and Metals to study in three phases the establishment of a standalone PGM smelter and base metals refinery in Saudi Arabia encompasses a:

• global PGM concentrate market study currently in process that includes the sourcing of global concentrate to minimise one-project risk;
• definitive feasibility study (DFS) for the construction and operation of the PGM smelter and base metal refining in Saudi Arabia; and
• option to form a 50:50 joint venture following the completion of the smelter DFS, which will assume the export of PGM concentrate from Waterberg to a port facility in Saudi Arabia.

PLATINUM BATTERY ADVANCING

The Lion Battery initiative involving the use of platinum and palladium in lithium battery technologies continues to be advanced in collaboration with Anglo American Platinum and Florida International University of the US.

The Battery Innovation Centre in Newberry, Indiana, US, has been engaged to help drive commercialisation efforts for the next-generation platinum- and palladium-based battery chemistries.

Proprietary lithium-sulphur and enhanced lithium-ion technology using the catalytic properties of platinum and palladium are progressing.

Independent small- and large-scale trials to validate Lion's proprietary platinum- and palladium-based electrode composition, slurry, and films in both lithium-sulphur and lithium-ion coin and pouch cells fall under a scope of work that the Battery Innovation Centre is conducting.

Collaboration with the centre includes additional research and development on improving performance and scale-up with the goal of creating prototypes for commercialisation consideration this year.

Lion's target is to develop batteries with specific energies that are 20% to 100% higher than current technologies while meeting or exceeding their present cycle lives.

LATEST FINANCIAL RESULTS

During the nine months ended May 31, a net loss of $4.02-million compared with $4.05-million in the corresponding period of last year.

General and administrative expenses during the period were lower at $2.57-million and share based compensation higher at $1.61-million.

Total expenditures on Waterberg in the nine months were $2.3-million and total expenditures on the property since inception were $88.1-million.