Company Information for Nkwe Platinum Limited

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Company Statement

Nkwe Platinum’s main Garatau-Tubatse project consists of five contiguous farms with a strike length of more than 30km, stretching all the way in proximity from Implats’ Marula mine in the north, past Anglo Platinum’s Modikwa Joint venture to the border of Eastplat’s Spitzkop – Kennedy’s Vale project in the south. In ongoing exploration, Nkwe had previously delineated a JORC Mineral Resource of 20.4 million ounces 3PGM+Au (including it’s 59% optioned stake in the Tubatse). The current resource statement increases the JORC mineral resources on the Tubatse / Garatau Project areas to 38.4Moz.

Nkwe Platinum’s Tubatse and Garatau Projects are located in an established mining district with well developed infrastructure and a surface footprint of more than 10,500 hectares, underlain by both the Merensky Reef and UG2 chromitite seam from surface to a depth of 1,500m.

Nkwe is currently jointly conducting a Feasibility Study with its joint venture partner Xstrata on the Garatau Project Area in the north and Tubatse Project Area in the south with a view to develop two mines with a combined annual production of more than 1 million ounces platinum group metals from a targeted mineralisation base in excess of 100 million ounces PGM+Au. The potential size and quality of Nkwe’s PGM assets and its recently announced joint venture with Xstrata, make it possible for Nkwe to become an independent PGM producer and strategically utilise independent or joint ventured smelting and refining capabilities.

Current Operations

Nkwe recently announced a JV with Xstrata covering Tubatse and Garatau. Key points of the deal include:

• Xstrata option payment of US$10m
• Xstrata has exclusive rights to acquire a 50% stake from Nkwe and Genorah by way of funding the total development (two mines through to concentrating) with an initial cost at this stage of approximately $1.5bn.
• The Option is exercisable at Xstrata’s election following the completion of the BFS scheduled for completion in Q4 2009 and subject to regulatory approvals
• BFS to target 1Mozpa PGM production from two mining operations (underground in the north, open cast and underground in the south). At 1Mozpa production, the Project would be in the top 3 stand alone PGM producers in South Africa.
• The JV partners will undertake a feasibility study for the development of downstream processing capability (smelting and refining) to develop a vertically integrated mine to market business. Importantly, Nkwe retains control of the PGM’s through to market.
• The proposed 50:50 JV will include any contiguous properties currently (or in the future) controlled by Nkwe or Xstrata

Geographical Spread

South Africa

Board of Directors and Key Management

Broker/Analyst Reports

17/09/08 - RBC Captial Markets
02/08/08 - Mirabaud Mining Weekly
13/02/08 - Argonaut Securities Limited

Major Shareholders

Most Recent Statement