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PTM warns metals strike could impact WBJV project

14th July 2014

By: Natasha Odendaal

Creamer Media Senior Deputy Editor

  

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JOHANNESBURG (miningweekly.com) – A prolonged strike in South Africa’s metals and engineering sector could halt or delay the construction of Platinum Group Metals’ (PTM’s) Western Bushveld Joint Venture (WBJV) Project 1 platinum mine, near Rustenburg, the TSX- and NYSE-listed exploration group has warned.

A protected strike by 220 000 National Union of Metalworkers of South Africa (Numsa) members was now in its second week, with the union having rejected the latest wage offer from employers over the weekend.

“The current strike has not impacted the project schedule at this time. If prolonged, the strike may cause work on Project 1 to be delayed or potentially stopped for lack of supplies, equipment and consumables,” the Canadian company said in a statement.

Underground development delays or delays in the delivery of key components or services could result in delays to the first concentrate production or ramp-up, which was scheduled for the fourth quarter of 2015.

However, progress to date had been within the revised schedule and within budget, with about $337-million invested in construction, equipment and underground development and 4.49-million man-hours of construction work completed to date.

PTM explained that underground development reached the Merensky reef, initial mining blocks were in detailed mine planning and early development and the stockpiling of early development reef tonnes was under way.

Additionally, two ventilation raises and fans to support underground development were fully operational, with the underground mining of multiple declines and headings continuing.

“[The] crusher, mill, ore silo and flotation circuit foundations are substantially complete and erection of structural steel has now started,” the company noted, adding that the mill components have been ordered and were being fabricated with a number of items now complete.

The primary mill shell, ends, trunions and most of the flotation and rougher circuit tanks were on site, while the construction of the water pipeline from the mill to a nearby main supply line was progressing.

Further, preparations for the next 10 MVA electrical supply was under way after an initial 10 MVA were completed and energised in October.

Edited by Chanel de Bruyn
Creamer Media Online Managing Editor

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