Jubilee rallies on chrome deals


Jubilee rallies on chrome deals

Published Date: 2020-08-14 | Source: Stephen Gunnion | Author: Stephen Gunnion

Jubilee rallies on chrome deals

The metals processing company has secured material for its Windsor recovery plant while increasing its processing capacity.

Jubilee Metals Group's shares rallied close to 10% yesterday after it said it had entered a deal that would supply material to its Windsor chrome operation for the next three years. The announcement follows news last week that it has also signed a joint-venture agreement that will accelerate its copper production plans in Zambia and put the Sable Refinery it acquired last year to good use.

The metals processing company, which is listed on AltX and London's AIM, said it had entered a third party Run-of-Mine (ROM) chrome ore offtake agreement that fully committed its Windsor chrome beneficiation plant for the next three years, with an extension option. Under the deal, it has committed to produce 40,000 tonnes of chrome concentrate a month. An additional joint-venture deal with a privately held company gives it the rights to a further 35,000 tonnes a month of chrome processing capacity. Under the JV agreement, Jubilee will assume operational control of the Windsor 8 facility, which it has committed to upgrade by incorporating Jubilee's processing solutions.

Jubilee's shares closed 9.6% up at R1.48 yesterday.

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