/NOT FOR DISSEMINATION IN THE UNITED STATES OR OVER UNITED STATES
TORONTO, Oct. 9 /CNW/ - Platmin Limited ("Platmin" or "the Company"; TSX/AIM: PPN; JSE: PLN) is pleased to announce the conclusion of a ZAR 400 million (USD 54.42 million at an exchange rate of ZAR 7.35: USD 1.00) twelve month renewable, revolving commodity financing agreement with Investec Bank Limited ("Investec") for working capital purposes ("the Facility") as referenced in the Company's 3 August 2009 announcement.
In terms of the Facility, Investec will finance up to 91% of Pilanesberg Platinum Mines (Proprietary) Limited's ("Pilanesberg") platinum, palladium, gold, copper and nickel deliveries to Northam Platinum Limited ("Northam") in accordance with the previously agreed Sale and Treatment of Concentrate Agreement ("Concentrate Agreement") as concluded between Pilanesberg and Northam in October 2008. The Facility would result in Pilanesberg receiving the precious metal prices prevailing at the end of the month in which the concentrate is delivered rather than when payment is received in terms of the Concentrate Agreement, typically three to four months later. The Facility carries an interest rate of JIBAR (approximately 7.05%) plus a margin of 3.00%.
Platmin Chairman, Mr Keith Liddell, said today, "We are very pleased to have finalized and signed the agreements for the financing package with Investec Bank under the prevailing macro-economic environment."
Platmin is an explorer and emerging PGM producer whose four key projects host mineral resources and reserves: Pilanesberg, M'phahlele, Grootboom and Loskop. The Pilanesberg Project is presently in the 'ramp up' phase and is expected to meet the design production rates during 2009. The despatch of PGM concentrates to the custom smelter 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.
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.
SOURCE PLATMIN LIMITED
For further information: For further information: Keith Liddell, Chairman, +27 12 661 4280; Wayne Koonin, Chief Financial Officer, +27 12 661 4280; Investec Bank plc (Nominated Adviser): Gerard Kisbey-Green, +44 207 597 5120; Russell & Associates: Marion Brower, +27 11 880 3924