Platmin secures ZAR 400 million revolving commodity finance facility



    
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    TORONTO, Aug. 3 /CNW/ - Platmin Limited ("Platmin" or "the Company";
TSX/AIM: PPN ; JSE: PLN) is pleased to announce that it has entered into a
credit approved term sheet with Investec Bank Limited (South Africa)
("Investec") to provide a twelve month renewable revolving commodity finance
facility of up to ZAR400 million (USD 51.4 million at an exchange rate of
ZAR7.78: USD1.00) for loan repayment and working capital purposes ("the
Facility").
    In terms of the Facility, Investec will finance up to 88% of Pilanesberg
Platinum Mines (Proprietary) Limited's ("Pilanesberg") platinum, palladium,
gold, copper and nickel deliveries to Northam Platinum Limited ("Northam") in
accordance with the sale and treatment of concentrate agreement ("Concentrate
Agreement") concluded, between Pilanesberg and Northam. The Facility would
result in Pilanesberg receiving the precious and base metal prices prevailing
at the end of the month that the concentrate is delivered rather than when
payment is received in terms of the Concentrate Agreement, typically three to
four months later. The Facility will carry an interest rate of JIBAR
(approximately 7.68%) plus a margin of 3.00%.
    The Facility is scheduled for closure on or before 31 August 2009, at
which time the outstanding balance on the current bridge loan facility with
The Standard Bank of South Africa Limited ("Standard Bank") of ZAR403 million
(approximately USD51.8 million at an exchange rate of ZAR7.78: USD1.00),
including accrued interest, will be repaid in full from the cash collateral of
the equivalent amount held on deposit with Standard Bank as security against
the outstanding loan balance.
    Platmin Executive Chairman, Keith Liddell, said today, "The Investec
facility takes cognisance of Platmin's transition to a fully fledged PGM
producer and provides the company with cash on delivery of concentrate to
Northam, thereby improving the cash flow profile of the Company and minimising
working capital costs and risks."

    About Platmin

    Platmin is a mineral exploration, development and operating company
engaged in the exploration for, and development of, Platinum Group Element
("PGE") deposits in South Africa. The Company has developed the Pilanesberg
Project into the Pilanesberg Platinum Mine and is exploring for PGE's on its
other three key projects: Mphahlele, Grootboom and Loskop. Platmin's goal is
to become a significant producer of PGEs through the development and operation
of several mines on its key projects. The Pilanesberg Platinum Mine is
presently in the 'ramp up' phase and is expected to meet the design production
rates during 2009. The despatch of PGM concentrates for processing commenced
in April 2009. All of Platmin's projects are located in the Bushveld Complex
of South Africa, which is estimated to contain approximately 90% of global
platinum mineral resources.

    About Investec

    Investec is an international specialist banking group with a dual listing
on the London Stock Exchange plc and securities exchange of the JSE Limited.
Investec provides a diverse range of financial products and services to a
niche client base in three principal markets, the United Kingdom, South Africa
and Australia as well as certain other countries, with a focus on delivering
distinctive profitable solutions for its clients.





For further information:

For further information: Keith Liddell, Executive Chairman, +27 12 661
4280; Wayne Koonin, Chief Financial Officer, +27 12 661 4280; Grant Thornton
UK LLP (Nominated Adviser), Fiona Owen, +44 207 383 5100; Russell &
Associates, Marion Brower, +27 11 880 3924

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PLATMIN LIMITED

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