Sharenet Sites 
Sharenet Sites
Bengwenyama UG2 Mineral Resource Update Measured Resource of 2.3Moz at 10g/t(7E), Total Combined Resource now 35 Moz
Southern Palladium Limited
Incorporated in the Commonwealth of Australia
Australian Company Number 646 391 899
ASX share code: SPD
JSE share code: SDL
ISIN AU0000220808
("Southern Palladium" or "the Company")
Bengwenyama UG2 Mineral Resource Update:
Measured Resource of 2.3 Moz at 10g/t (7E), Total Combined
Resource now 35 Moz
Highlights:
• The total combined UG2 and Merensky Reef Mineral Resource ounces (Measured, Indicated and
Inferred) for the Bengwenyama Project is now 35.32 Moz, up 35% from our previous estimate.
• The combined UG2 Mineral Resource (Measured, Indicated and Inferred) now totals 24.81 Moz
• The UG2 Measured and Indicated (M&I) Mineral Resource has increased by 25% to 8.17 Moz (7E) at
a grade of 9.89 g/t over 73 cm.
• 2.3Moz at 10g/t (7E) or 28% of the UG2 M&I Mineral Resource is now at Measured status.
• UG2 Inferred Mineral Resources have increased by 81%.
• This confirms the Bengwenyama project as one of the higher-grade UG2 projects on the Eastern Limb
of the Bushveld Complex.
• Merensky Reef Mineral Resource update is underway.
• The Mineral Resources have been audited by two separate independent consultants.
• The Bengwenyama Pre-Feasibility Study (PFS) is now well underway and is scheduled for release in
Q4 2024.
Southern Palladium (ASX:SPD and JSE:SDL), 'Southern Palladium' or 'the Company') is pleased to release
a third Mineral Resource update for the UG2 Reef to be utilised in the PFS, for its 70%-owned
Bengwenyama Platinum-Group Metal Project (PGM), situated on the Eastern Limb of the Bushveld
Complex in South Africa.
Managing Director Johan Odendaal, said: "We are pleased to report significant progress at the
Bengwenyama project, where the UG2 Measured and Indicated (M&I) Mineral Resource has increased by
25% to 8.17 Moz (7E) at an impressive grade of 9.89 g/t over a reef width of 73 cm. Importantly, 28% of
this UG2 M&I Mineral Resource is now classified as Measured, further enhancing our confidence in the
project's potential.
The total UG2 Mineral Resource, which now stands at 24.81 Moz across Measured, Indicated, and Inferred
categories, combined with the Merensky Reef Resource, brings our total Mineral Resource to 35.32 Moz.
This substantial resource base reinforces the robust nature of the Bengwenyama project.
We are also pleased to announce that all UG2 Exploration Targets, including those within Nooitverwacht,
have been successfully converted to Inferred Mineral Resources which increased by 81%.
With the Pre-feasibility Study (PFS) now in full swing and on schedule for release in Q4 2024, Southern
Palladium remains committed to advancing the Bengwenyama project as a key player in the global PGM
market."
Southern Palladium Limited 1
ACN 646 391 899
Level 1, 283 George Street, Sydney NSW 2000 Australia
UG2 Mineral Resource Upgrade
With the completion of the initial PFS drilling campaign in Q2 (refer ASX Announcement 24 June 2024), for
its 70%-owned Bengwenyama Platinum-Group Metal Project (PGM), situated on the Eastern Limb of the
Bushveld Complex in South Africa, UG2 Mineral Resources have been updated; with the Merensky Reef
(MR) update to follow shortly. The drilling campaign has been highly successful leading to an improved
geological understanding of the project and increased confidence in the Mineral Resource. This success
has resulted in the declaration of Measured and Indicated Mineral Resources with the conversion of
Exploration Targets in the remaining project area into an Inferred Mineral Resource.
Figure 1: Strategic Positioning of the Bengwenyama Project Amidst Major Platinum Mining Operations
Mineral Resources Estimates have been audited by two separate independent consultants, Garth
Mitchell, Mineral Resource Consultant (Explormine) and SRK. SRK will also independently review the PFS
The latest upgrade has an estimated Measured and Indicated Mineral Resource (M&I) of 6.80 Moz at a
3PGE + Au (4E) grade of 8.23 g/t or 8.17 Moz at a 6PGE + Au grade (7E) of 9.89 g/t respectively over 73
cm. This is approximately a 25% increase in the M&I from the previous release. With 2.3 Moz of Measured
Mineral Resource at a 7E grade of 10.00 g/t. The Measured Mineral Resource now contributes 28% to the
UG2 Measured and Indicated Mineral Resource.
In addition to the increase in the M&I, there has been an 81% increase in the UG2 Inferred Mineral
Resource from 9.20 Moz to a combined inferred UG2 Mineral Resource of 16.65 Moz (10.30 Moz + 6.35
Moz). This is largely a result of the conversion of the exploration target in the western area of the Project
(Nooitverwacht) to an Inferred Mineral Resource. This was made possible as a result of a better
understanding of the geology in the northern portion of Nooitverwacht following recent drilling in the
Northern Horst Block and the sourcing of historical Anglovaal drillhole data, assayed on a 4E basis, located
on the down dip extension of Nooitverwacht on the neighbouring farms Soupiana (324 KT), Schoonoord
(326 KT) and Boschkloof (334 KT). The drillhole data was sourced during an audit of the project exploration
activities in Q1 of 2024 by Richard Hornsey Consulting (Pty) Ltd. This information confirmed the extension
of the tabular UG2 reef into Nooitverwacht and was modelled accordingly.
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Table 1 below shows the consolidated UG2 Mineral Resource as at 1 August 2024. Consistent with the
previous Mineral Resource update (refer ASX Announcement 7 December 2023), geological losses have
been applied and the resource is declared at a pay limit of 2.2 g/t using a 4E basket price of US$2,691/oz.
Importantly, no Mineral Resource falls below the pay limit. See further details in Appendix 1.
Table 1: UG2 Mineral Resource as at 1 August 2024
Tonnes Reef Pt Pd Rh Au Ir Os Ru 4E 7E Cu Ni Cr2O3 (4E) n(7E)
Resource Classification (Mt) width
(cm) (g/t) (%) Moz
Measured 7.17 77 3.69 3.75 0.76 0.12 0.25 0.17 1.24 8.34 10.00 0.03 0.16 30.11 1.92 2.30
Indicated 18.52 72 3.68 3.63 0.76 0.11 0.26 0.17 1.23 8.19 9.85 0.04 0.16 29.95 4.88 5.86
Measured & Indicated 25.69 73 3.68 3.67 0.76 0.12 0.26 0.17 1.23 8.23 9.89 0.04 0.16 29.99 6.80 8.17
Inferred Eerste. & Nooit. Nth (7E) 33.01 69 3.67 3.50 0.76 0.11 0.26 0.17 1.23 8.04 9.70 0.04 0.17 29.49 8.54 10.30
Inferred Nooitverwacht Ext. (4E) 36.12 130 3.00 2.01 0.44 0.07 5.47 6.35
Inferred Combined (4E) 69.13 101 3.32 2.72 0.59 0.09 6.70 14.89
Note: All elements have been estimated individually and their combined grade will vary slightly from the estimated composite 4E and 7E
modelled grades
It is envisaged that the mining cut determined in the PFS will be around 1.1 metre based on the
observation that chromitite stringers are largely absent in the drilled area. Hanging wall stringers at other
operations on the Eastern Limb can result in additional overbreak, with consequent dilution.
Based on this assumption, the diluted 4E and 7E grade of the mining cut would be approximately 5.46 g/t
and 6.56 g/t respectively, confirming Bengwenyama as one of the higher-grade deposits on the Eastern
Limb of the Bushveld Intrusive Complex.
The footwall mineralisation is currently being modelled and will be combined with the UG2 reef model so
that the low-grade PGE mineralisation in the footwall can be included in the mining and financial models.
The full mining width will be determined as part of current and future mining studies and will incorporate
dilution by low or nil grade hanging wall and footwall dilution, as is seen in most operations within the
Bushveld Complex.
The total combined Mineral Resource for the UG2 and MR as at 1 August 2024 is summarised in Table
2, with the Merensky Reef update to follow soon. The combined
Measured and Indicated Mineral Resource for the project, on a 7E basis, is now 10.07 Moz ounces with a
combined Inferred Mineral Resource of 25.25 Moz.
The total combined Mineral Resource (M&I and Inferred) is now 35.32 Moz (28.97 Moz combined MR and
UG2 (7E) + 6.35 Moz Nooitverwacht extension (4E only)).
Table 2: Combined UG2 and MR Mineral Resource as at 1 August 2024
Reef Resource Category Tonnes Thickness Pt Pd Rh Au Ir Os Ru 4E 7E Cu Ni Moz Moz
Mt (m) (g/t) (g/t) (g/t) (g/t) (g/t) (g/t) (g/t) (g/t) (g/t) (%) (%) (4E) (7E)
Merensky Indicated 21.59 2.05 1.59 0.65 0.10 0.12 0.03 0.03 0.21 2.48 2.75 0.04 0.12 1.72 1.91
Merensky Inferred 77.90 1.97 2.01 0.81 0.13 0.15 0.04 0.04 0.25 3.10 3.43 0.03 0.12 7.77 8.60
Merensky Total 99.49 1.99 1.92 0.78 0.12 0.14 0.04 0.04 0.24 2.97 3.28 0.04 0.12 9.49 10.50
UG2 Measured 7.17 0.77 3.69 3.75 0.76 0.12 0.25 0.17 1.24 8.34 10.00 0.03 0.16 1.92 2.30
UG2 Indicated 18.52 0.72 3.68 3.63 0.76 0.11 0.26 0.17 1.23 8.19 9.85 0.04 0.16 4.88 5.86
UG2 Inferred 33.01 0.69 3.67 3.50 0.76 0.11 0.26 0.17 1.23 8.04 9.70 0.04 0.17 8.54 10.30
UG2 Total 58.70 0.71 3.67 3.57 0.76 0.11 0.26 0.17 1.23 8.12 9.78 0.04 0.17 15.33 18.46
Merensky & UG2 Total (7E)1 158.19 1.52 2.57 1.81 0.36 0.13 0.12 0.09 0.61 4.88 5.70 0.04 0.14 24.82 28.97
UG2 Inferred Nooit. Ext. (4E) 36.12 1.30 3.00 2.01 0.44 0.07 5.47 6.35
UG2 Total (4E) 94.82 0.93 3.42 2.98 0.64 0.10 7.11 21.68
Merensky & UG2 Total (4E)2 194.31 1.48 2.65 1.85 0.37 0.12 4.99 31.17
Note:
1. 7E Ounces excluding Nooitverwacht Ext 4E ounces
2. 4E ounces including Nooitverwacht Ext.
3. Total Combined Resource Ounces: Merensky & UG2 Total (7E) (28.97) + Inferred Nooit. Ext. (4E) (6.35) = 35.32Moz
All elements have been estimated individually and their combined grade will vary slightly from the estimated composite 4E and 7E modelled
grades.
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An Inferred Mineral Resource has a lower level of confidence than that applied to an Indicated Mineral
Resource and cannot be converted to an Ore Reserve. It is reasonably expected that the majority of the
Inferred Mineral Resource could be upgraded to an Indicated Mineral Resource with continued
exploration. Details of the UG2 Mineral Resource estimation can be found in Appendix 1.
Future Drilling Programme
Future drilling is, scheduled to start once the Mining Right is granted. This is targeted for March-April
2025. The next programmes will be aimed at increasing confidence in resources of the shallow UG2 reef
around the dome structure in the southeastern portion of Eerstegeluk where the initial mining is planned.
The aim will be to convert a substantial portion of the indicated Mineral Resources to Measured status.
Figure 2 shows the depth below surface of the UG2 reef and illustrates the shallow nature of the UG2 reef
and future mining operations as well as the area that the drilling will focus on (red ellipsoid).
Upcoming PFS
The PFS remains on track for completion in early Q4 2024 and is undergoing continuous review by
consultants SRK. The Environmental Impact Assessment (EIA) and consultation process were completed
on schedule, with the report submitted on 10 July 2024, and the acknowledgment letter from the DMRE
issued on 22 July 2024. Additional permit applications, including Waste Management and Water Use
Licences, are currently in progress.
Southern Palladium is well-funded to complete the Bengwenyama PFS using existing cash reserves which
stood at A$6.22m (SPD+MUM) at 30 June 2024 (refer ASX Announcement 31 July 2024).
Figure 2: UG2 Reef Depth Below Surface
This announcement has been approved for release by the Board of Southern Palladium Limited.
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About Southern Palladium:
Southern Palladium Limited (ASX: SPD, JSE: SDL) is a dual-listed platinum group metals (PGM) company
focused on advancing the Bengwenyama PGM project, located in South Africa. This project, situated on
the Eastern Limb of the Bushveld Complex, boasts a rich abundance of platinum, palladium, rhodium and
other minor metals which are key components in the PGM market. The Bushveld Complex is renowned
for hosting over 70% of the world's known PGM resources, making Bengwenyama strategically positioned
for significant development.
With a 70% ownership stake in the project, the company's primary objective is to advance the Pre-
Feasibility Study. Additionally, key milestones include the completion of a geophysical survey, completed
in 2022; the submission of a Mining Right application in September 2023 and Environmental Impact
Assessment ("EIA") report submitted on July 10, 2024.
A diamond drilling program was initiated in August 2022, alongside various concurrent technical studies,
which are being incorporated into the PFS phase in 2024. Bengwenyama represents a compelling
opportunity in the global PGM market.
Guided by a seasoned management team with extensive on-ground experience, including notable figures
from South Africa's mining industry, Southern Palladium Limited is poised to unlock the full potential of
the Bengwenyama project and deliver substantial value to its stakeholders.
Competent Person Statement
The information in this report that relates to Exploration Targets, Exploration Results and Mineral
Resources is based on information compiled by Mr Uwe Engelmann (BSc (Zoo. & Bot.), BSc Hons (Geol.),
Pr.Sci.Nat. No. 400058/08, FGSSA). Mr Engelmann is a director of Minxcon (Pty) Ltd and a member of the
South African Council for Natural Scientific Professions. Minxcon provides geological consulting services
to Southern Palladium Limited. Mr. Engelmann has sufficient experience that is relevant to the style of
mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as
a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration
Results, Mineral Resources and Ore Reserves'. Mr. Engelmann consents to the inclusion in the report of
the matters based on his information in the form and context in which it appears. Mr Engelmann has a
beneficial interest in Southern Palladium through a shareholding in Nicolas Daniel Resources Proprietary
Limited.
Investor Webinar
Southern Palladium is pleased to announce that it will be hosting an investor webinar, during
which Managing Director Johan Odendaal and Exploration Manager Uwe Engelmann will
present further details on the Mineral Resource Update for Southern Palladium's 70%-owned
Bengwenyama PGM project, located in the Eastern Limb of South Africa's Bushveld
Complex.
Anyone wishing to attend the webinar must register using the below link.
Webinar Details
Date and time: 4:15 PM AEDT (1:15 PM AWST) (7:15 AM South Africa) on
Monday, 5 February 2024
Register via: https://us02web.zoom.us/webinar/register/WN_aV-QqUIpR12Qv45w30avng
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For further information, please contact:
Johan Odendaal
Managing Director
Southern Palladium
Phone: +27 82 557 6088
Email: johan.odendaal@southernpalladium.com
27 August 2024
JSE Sponsor
Merchantec Capital
Media & investor relations inquiries: Sam Jacobs, Six Degrees Investor Relations: +61 423 755 909
Follow @SouthernPalladium on Twitter
Follow Southern Palladium on LinkedIn
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Appendix 1. Geological Interpretation and Mineral Resource Estimation
Nooitverwacht Extension
With the sourcing of the historical drillhole data produced by one of the former South African mining
conglomerates Anglovaal Limited, dating back to the late 1980's to early 1990's, (Table 3 and Figure 3) on
the farms Soupiana (325 KT), Schoonoord (326 KT), Mooimeisjefontein (363 KT) and Boschkloof (331 KT)
to the west and south of Nooitverwacht, through Dr. Richard Hornsey from Richard Hornsey Consulting
(Pty) Ltd in Q1 of 2024 during an internal exploration audit, the 3D geological model could be extrapolated
further and with more confidence, as the drillhole data confirmed the continuity of the UG2 reef to and
beyond the Nooitverwacht boundary. The drillhole logs also contained detail of the UG2 Reef and
Merensky Reef intersections and the type of facies that would be present in the area. Figure 4 shows the
updated 3D geological model of the UG2 Reef in the Nooitverwacht extension and beyond.
The data originates from a previously reputable mining company which had rigorous protocols for
exploration and had their own analytical laboratory, the Anglovaal Research Laboratory (AVRL), which
was utilised for their operations. The historical assay data was analysed by AVRL. Based on the reliable
nature of the historical data the exploration target range in the Nooitverwacht extension was upgraded
to an Inferred Mineral Resource. This portion of the Inferred Mineral Resource is part of the extrapolated
inferred.
Table 3: Historical Anglovaal (4E) Drillhole Data Details
BHID X Y Z REEF_FROM REEF_TO Thickness Pt Pd Rh Au 4E
(m) (g/t) (g/t) (g/t) (g/t) (g/t)
BK1D0 -93871.10 -2746009.31 -710.68 1577.43 1578.84 1.41 3.38 2.25 0.54 0.08 6.25
BK1D3 -93871.10 -2746009.31 -710.48 1577.29 1578.59 1.30 3.57 2.42 0.39 0.11 6.50
BK1D4 -93871.10 -2746009.31 -710.10 1576.85 1578.26 1.41 2.84 2.04 0.34 0.08 5.29
BK3D0 -93007.69 -2742403.59 -502.44 1990.38 1991.62 1.24 4.40 2.98 0.60 0.11 8.09
BK3D1 -93007.69 -2742403.59 -502.72 1990.65 1991.90 1.25 2.36 1.41 0.21 0.09 4.08
BK3D2 -93007.69 -2742403.59 -503.42 1991.37 1992.58 1.21 3.52 2.09 0.45 0.09 6.14
BK3D3 -93007.69 -2742403.59 -502.94 1990.85 1992.15 1.30 3.49 2.24 0.52 0.08 6.32
BK4D0 -94248.49 -2744589.36 -665.12 2023.17 2024.39 1.22 2.49 0.77 0.25 0.00 3.51
BK4D1 -94248.49 -2744589.36 -664.04 2022.12 2023.27 1.15 3.24 1.32 0.39 0.00 4.96
BK4D2 -94248.49 -2744589.36 -664.92 2022.77 2024.39 1.62 2.76 1.66 0.40 0.00 4.82
BK4D3 -94248.49 -2744589.36 -665.70 2023.79 2024.92 1.13 3.70 1.47 0.63 0.02 5.83
BK4D4 -94248.49 -2744589.36 -665.33 2023.39 2024.59 1.20 3.57 3.78 0.59 0.19 8.12
BK5D6 -92712.94 -2743946.78 -615.94 1579.92 1581.77 1.85 1.88 1.53 0.31 0.07 3.80
BK5D7 -92712.94 -2743946.78 -616.14 1579.89 1582.21 2.32 2.10 0.81 0.27 0.00 2.04
BK6D2 -93537.11 -2742829.71 -526.14 1928.83 1929.67 0.84 3.65 3.52 0.50 0.11 7.77
BK6D4 -93537.11 -2742829.71 -525.37 1927.73 1929.23 1.50 2.17 2.18 0.27 0.43 5.05
BK6D5 -93537.11 -2742829.71 -525.59 1927.91 1929.50 1.59 2.45 2.31 0.34 0.07 5.17
BK6D6 -93537.11 -2742829.71 -525.68 1928.06 1929.51 1.45 3.04 3.40 0.41 0.11 6.95
MM1D0 -94698.22 -2748411.82 -1099.48 1941.77 1943.98 2.21 2.19 1.24 0.34 0.02 3.79
MM1D1 -94698.22 -2748411.82 -1099.42 1941.62 1944.02 2.40 1.91 1.12 0.35 0.01 3.39
MM1D2 -94698.22 -2748411.82 -1099.40 1941.59 1944.00 2.41 1.55 0.98 0.26 0.02 2.81
MM1D3 -94698.22 -2748411.82 -1099.34 1942.04 1943.44 1.40 2.43 1.22 0.34 0.02 4.02
MM1D4 -94698.22 -2748411.82 -1099.56 1942.03 1943.89 1.86 1.88 1.40 0.25 0.06 3.59
SPA1D9 -95315.53 -2735374.36 -178.58 1950.61 1952.31 1.70 3.69 1.07 0.29 0.02 5.08
SRD1D0 -97725.53 -2737258.09 -463.33 1848.98 1849.49 0.51 2.05 0.23 0.23 0.10 2.60
SRD1D4 -97725.53 -2737258.09 -463.47 1849.16 1849.60 0.44 0.95 0.15 0.07 - 1.18
SRD1D7 -97725.53 -2737258.09 -463.31 1848.97 1849.47 0.50 2.29 0.10 0.05 - 2.43
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Figure 3: Location of the Historical Anglovaal Data
Figure 4: Isometric View of the 3D UG2 Geological Model
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UG2 Mineral Resource Estimation
The UG2 geological and estimation models have been updated to include drilling and assaying data as at
the end of May 2024. The estimation model utilised 73 drillholes with complete UG2 intersections (Figure
5).
The Mineral Resource was estimated using Ordinary Kriging. Figure 5 shows the 4E g/t resultant model
with the drillhole positions used in the estimation. No capping was applied to the estimation and the
kriging neighbourhood analysis (KNA) recommended a block size of 350m with a minimum and maximum
number of samples of 5 and 15 respectively for the first search volume. Three search volumes with
decreasing samples were used for the estimation.
All elements (Pt, Pd, Rh, Au, Ir, Os, Ru, Cu, Ni, Cr and Fe) were estimated individually as well as a combined
4E (Pt, Pd, Rh & Au) and 7E (Pt, Pd, Rh, Ir, Os, Ru & Au). The average 4E prill splits for Pt:Pd:Rh:Au of 44.7%
: 44.7% : 9.2% : 1.4% were determined using these estimates. The density was modelled with this update
with the average remaining pretty much unchanged at 3.92 t/m3.
There has been a slight increase in the average grade of the project, due to the additional reef
intersections obtained during the recent drilling. This once again confirms the consistency in the UG2 reef.
Figure 6 shows the UG2 reef width model while Figure 7 shows the cm.g/t for the UG2 model.
The Nooitverwacht extension to the south west (Figure 5 and Figure 6) is a simple krige model based on
the new historical drilling data. This data consisted of 10 drillholes with deflections, but only 8 had
representative intersections (Table 3) with Pt, Pd, Rh and Au grades to determine 4E grades and prill splits
with specific gravity values too (average of 3.77 t/m3). This new drillhole data has shown that there is a
change not only in the prill split (Pt:Pd:Rh:Au of 58.3% : 33.3% : 7.1% : 1.3%) toward the south western
portion of Nooitverwacht but also a change in the facies with a split reef facies or stringer facies, which is
different to what has been observed in Eerstegeluk and the northern portion of Nooitverwacht. This facies
is more similar to what is observed in the neighbouring Kennedy's Vale project. The reef width increases
to an average of 1.48m with a grade of 4.77 g/t (4E) which is 708 cmg/t, slightly higher than the 602 cmg/t
for the M&I of Eerstegeluk.
The bottom chromitite is a massive seam of approximately 80cm width with a mixed stringer and
pyroxenite top unit which dilutes the grade of the overall UG2 Reef. The two facies, massive from
Eerstegeluk and split reef facies in SW Nooitverwacht extension have been modelled as two separate
domains and hence the distinct lie between the two in the grade and reef width.
The quality of the supporting data is of sufficient high standard it provided insights into geological and
grade continuity to enable successful declaration of Mineral Resources over undrilled sections of
Nooitverwacht.
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Figure 5: Modelled 3PGE+Au g/t Plot of the UG2 Reef and Reef Intersections
Figure 6: Modelled UG2 Reef Width Plot
10
Figure 7: Modelled UG2 Reef cm.g/t Plot
3D Structural Model
Figure 4 shows the updated 3D geological model for the project including the Nooitverwacht extension
and neighbouring property based on the new drillhole data. These drillholes confirm the reef continuity
in addition to the change in the nature of the UG2 reef.
The UG2 structures are now also better understood with the updated 3D structural model for the UG2
(Figure 8) being utilised for the PFS. The overall geological losses applied to the Measured and Indicated
(M&I) and Inferred Mineral Resources for the UG2 are 21% and 26% respectively (excluding the
Nooitverwacht extension). In addition to the geological losses applied, the surface mapping that was
completed over the project area was used to quantify the dykes, which ranged in thickness from 12m to
60m, and their area has been removed from the models.
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Figure 8: Oblique View of the 3D Structural Model of the UG2 Reef
Figure 9 shows the updated geological fault blocks for the UG2 with Figure 10 showing the various
geological losses that have been applied to the Mineral Resource. The geological losses have been
domained according to structure and the density of disturbances observed in the drill reef intersections.
The geological losses consist of faults and potholes only, as no IRUPs have been intersected in any of the
drilling. The mapped dykes have been removed from the estimation models and hence do not form part
of the geological losses applied. The combined dyke losses total 2% which are removed from the models.
The geological loss domains are shown in Figure 10. The measured resource portion that falls within the
15% and 27% loss domains have an additional derisking factor applied to them. This has been applied to
the percentage losses allocated to potholes only, by applying a factor of 1.5 to the pothole losses.
Therefore, the geological losses for the measured resource is 19% and 37%. This was applied for any
additional potholes that might not be intersected in the drilling that could affect the mining in the
measured portion of the Mineral Resource. This factor will be reviewed with further drilling data that will
be collected for the DFS.
The extrapolated inferred resource of the Nooitverwacht extension has a geological loss of 50% applied
to it to accommodate any potential dome structures in the extension. This is based on the 34% loss due
dome structures in Eerstegeluk plus 16% for additional faults and potholes.
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Figure 9: Major Structures Informing Delineation of Fault Blocks
Figure 10: Final Geological Losses Applied
The recent drilling confirmed that the dome structure is larger than expected and extends into what was
previously referred to as the Southern Horst Block. The exploration target in this area has now been
removed and a 100% loss for the UG2 has been applied to this area (Figure 10). Figure 11 shows a section
through the dome structure and illustrates the uplift of the basement which removed approximately
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600m of Bushveld stratigraphy between the two dykes. There is a zone of mixing of the Bushveld
lithologies and the basement lithologies which is made up of shales and quartzites from the Transvaal
Supergroup. This zone is constrained by the set of North/South trending parallel dykes running through
Eerstegeluk and into Modikwa and in the north by the E/W running dyke. This has been confirmed by the
drilling on either side of the structure.
Figure 11: Section Through the Dome Structure
Mineral Resource Categories
The Mineral Resource categories for the UG2 (Figure 12) were determined based on the data quality,
QAQC, geological confidence of the various fault blocks, drillhole spacing, slope of regression (SOR) and
continuity of the UG2 Reef horizon. The extrapolated inferred portion of the Inferred Mineral Resource is
52% which makes up a large portion of the inferred in the Nooitverwacht extension.
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Figure 12: UG2 Mineral Resource Categories
15
Appendix 2. JORC Checklist – Table 1 Assessment and Reporting Criteria
SECTION 1: SAMPLING TECHNIQUES AND DATA
Criteria Explanation Detail
Nature and quality of sampling (e.g. cut
channels, random chips, or specific
specialised industry standard 20 cm samples are taken within the reef horizon unless there is a lithological
measurement tools appropriate to the reason to deviate from this. A single sample is also taken in the hanging
minerals under investigation, such as wall and footwall to test for mineralisation in the direct waste rock. The
down hole gamma sondes, or handheld samples are split with a core saw and one half is submitted to the laboratory
XRF instruments, etc.). These examples and the other half keep in the core tray.
should not be taken as limiting the broad
meaning of sampling.
Include reference to measures taken to
ensure sample representivity and the
appropriate calibration of any The core is orientated in such a way that the two halves are equal.
measurement tools or systems used.
Sampling techniques
Aspects of the determination of
mineralisation that are Material to the
Public Report. In cases where 'industry
standard' work has been done this
would be relatively simple (e.g. 'reverse The sampling methodology is standard and as per industry practice in the
circulation drilling was used to obtain 1 Bushveld Complex (BC). The samples are 20 cm in length and are split into
m samples from which 3 kg was two equal halves with one half being submitted for analysis. The core size
pulverised to produce a 30 g charge for starts as HQ (10 m to 50 m) but is NQ by the time the reef is intersected.
fire assay'). In other cases more
explanation may be required, such as
where there is coarse gold that has
inherent sampling problems. Unusual
commodities or mineralisation types
(e.g. submarine nodules) may warrant
disclosure of detailed information.
Drill type (e.g. core, reverse circulation,
open-hole hammer, rotary air blast, The drillholes start with HQ (for approximately 10-50 m) in the weathered
auger, Bangka, sonic, etc.) and details zone but are then drilled NQ once in the fresher material. The drill rigs that
(e.g. core diameter, triple or standard were utilised have been the CS 1500, Delta 520 and a smaller Longyear
Drilling technique tube, depth of diamond tails, face- 44.
sampling bit or other type, whether core
is oriented and if so, by what method, The drill contractor is Geomech Africa.
etc.).
Initially the core was scanned in with the software ScanIT which scans the
core with high resolution photos and the geologists reconcile the depths
Method of recording and assessing core and core losses per 3 m run. The Core recoveries and RQD are then
and chip sample recoveries and results calculated for the drillhole. ScanIT has however been discontinued and the
assessed. core is now photographed and the core recovery and RQD is calculated
manually by the geological assistants.
The geologist informs the drilling supervisor at what depth the reef is
expected so that they can take extra precautions around the anticipated
Measures taken to maximise sample reef depth.
Drill sample recovery recovery and ensure representative
nature of the samples. The core recoveries are measured per 3 m run and if there is excessive
core loss in the reef horizon it is marked as a non-representative sample
and will not be used in the resource estimation process.
Whether a relationship exists between The core recoveries for the intersections submitted to the laboratory are all
sample recovery and grade and whether above 98%. If the core loss is excessive the sample is not submitted to the
sample bias may have occurred due to laboratory for Mineral Resource estimation purposes. Therefore, there will
preferential loss/gain of fine/coarse not be any sample bias due to poor recoveries.
material.
Whether core and chip samples have The core was initially scanned into ScanIT software which produced high
been geologically and geotechnically resolution images. This has however been discontinued. The logging is
logged to a level of detail to support conducted on paper log sheets or tablets at the core yard with dropdown
appropriate Mineral Resource menus. Legends have been set up in excel that cover the necessary
estimation, mining studies and detailed required for Mineral Resource estimation. Alpha angles and
metallurgical studies. structure detail is also observed and logged. The beta angle is not
measured as the core is not orientated but the downhole televiewer survey
Logging supplies structural orientation information which is incorporated into the
logs.
Whether logging is qualitative or
quantitative in nature. Core (or costean, Core logging is qualitative and utilises excel spreadsheets on tablets.
channel, etc.) photography.
The total drillhole is geologically logged and photographed and the
The total length and percentage of the televiewer survey is conducted from 100 m above the reef horizon for
relevant intersections logged. additional structural information.
If core, whether cut or sawn and
whether quarter, half or all core taken. The core is cut in two equal halves for sampling and storage purposes.
Sub-sampling
techniques and If non-core, whether riffled, tube
sample preparation sampled, rotary split, etc. and whether This project only makes use of core drilling.
sampled wet or dry.
16
SECTION 1: SAMPLING TECHNIQUES AND DATA
Criteria Explanation Detail
The sample preparation code at ALS is PREP-31H which has the following
procedure: -
For all sample types, the nature, quality
and appropriateness of the sample
preparation technique.
Login of samples into the system, weighing, fine crushing of entire sample
to 70% - 2 mm, split off 500 g and pulverize split to better than 85% passing
75 microns.
The QAQC sequence is as follows: -
Quality control procedures adopted for If the batch is less than 20 samples the batch starts and ends with a blank
all sub-sampling stages to maximise and a CRM and duplicate are inserted into the sample stream. If the batch
representivity of samples. is great than 20 samples then the batch starts and ends with a blank and
every tenth sample is either a CRM, duplicate or blank. This equates to
between 20% and 10% QAQC samples.
Measures taken to ensure that the The sampling of the reef is reef material only except for the first and last
sampling is representative of the in-situ sample of the reef as it will have 2 cm of hanging wall or footwall material
material collected, including for instance to ensure the entire mineralisation is captured. This 2 cm dilution will be
results for field duplicate/second-half calculated into the reef width. The hanging wall and footwall are sampled
sampling. separately to the reef. Hence the reef samples are representative of the in-
situ reef horizon. Requested duplicates are pulp duplicates and the CRMs
are material from the UG2 and MR from African Mineral Standards (AMIS).
The reef horizon is sampled in 20 cm increments so that the grade
distribution can be observed if a mining cut is required. The UG2 reef is
approximately 70 cm wide and will have three to four samples which will be
composited later. The MR is wider at around 200 cm and will have about
Whether sample sizes are appropriate ten individual samples to determine the grade distribution. These will also
to the grain size of the material being be composited later for Mineral Resource Estimation purposes. Hanging
sampled. wall and footwall samples are also taken to check if there is any
mineralisation in the direct surrounding waste rock
This is industry best practice for the BC.
The nature, quality and appropriateness The UG2 reef will be assayed for 4E and 7E as well as for Cu, Ni, Co, Cr
of the assaying and laboratory and Fe. The MR will be assayed for the same except the Cr and Fe as it is
procedures used and whether the not a chromitite seam but a pyroxenite layer.
technique is considered partial or total.
The ALS methods are as follows: -
PGM-ICP23 - Pt, Pd, Au package using lead fire assay with ICP-AES finish.
30 g nominal sample weight.
Rh-ICP28 - Fire assay fusion using lead flux with Pd collector for Rh
determination by ICPAES. 10 g nominal sample weight.
PGM-MS25NS - The Platinum Group Metals are separated from the
gangue material using the Nickel Sulphide Fire Assay procedure. After
dissolution of the pulp with aqua regia, PGMs are determined by ICP-MS.
ME-XRF26s - Analysis of Chromite ore samples by fused disc / XRF. This
method is suitable for the determination of major and minor elements in ore
samples which require a high dilution digest such as Chromite ores.
Elements that will be analysed are Cr, Cu, Ni, Fe and Co.
Quality of assay data
and laboratory tests The overall pass rate of the various QAQC samples is 90%.
All methodologies are total.
For geophysical tools, spectrometers, All analytical work is undertaken by ALS Chemex South Africa (Pty) Ltd,
handheld XRF instruments, etc., the located in Johannesburg, which is part of the ALS group. The South African
parameters used in determining the laboratory is ISO 17025 accredited by SANAS (South African National
analysis including instrument make and Accreditation System).
model, reading times, calibrations
factors applied and their derivation, etc. The historical Anglovaal samples were sent to the Anglovaal Research
Laboratory (AVRL), which was located in Florida, South Africa when it
existed, for analysis.
Nature of quality control procedures QAQC procedure has been described above. In addition to the QAQC
adopted (e.g. standards, blanks, samples the analytical methodologies are also correlated with each other
duplicates, external laboratory checks) i.e. PGM-ICP23 and RH-ICP28 is compared to PGM-MS25NS. There is a
and whether acceptable levels of good correlation and on average are within 1% of each other over the 4E
accuracy (i.e. lack of bias) and precision grade.
have been established.
The verification of significant Two umpire laboratories were used, Suntech and Mintek. The umpire
intersections by either independent or samples showed good correlation for the overall 4E grades as well as the
alternative company personnel. individual elements for the prill splits.
Discuss any adjustment to assay data. No adjustments have been made to the assayed results.
Verification of
sampling and Documentation of primary data, data The assay results are received from the laboratory in pdf format and excel
assaying entry procedures, data verification, data format. The excel form is imported into the Minxcon excel database. These
storage (physical and electronic) are checked by the senior geologist. The assay certificates are stored in the
protocols. project folder.
No twinning has been undertaken to date. However, statistics was utilised
The use of twinned holes. to confirm that the Nkwe dataset and new SPD dataset can be combined.
Accuracy and quality of surveys used to Drillhole collar positions are initially recorded by handheld Garmin GPS.
Location of data locate drillholes (collar and down-hole Drillhole collar survey was conducted by Aero Geomatics (Pty) Ltd. All
points surveys), trenches, mine workings and completed drillholes were surveyed by post-processing Kinematic
17
SECTION 1: SAMPLING TECHNIQUES AND DATA
Criteria Explanation Detail
other locations used in Mineral methodology. ("PPK"). The accuracy of PPK is 5 mm + 0.5 ppm horizontally
Resource estimation. and 10 mm + 1 ppm vertically. The survey was based on the World Geodetic
System 1984 ellipsoid, commonly known as WGS84.
Specification of the grid system used. The coordinate system used is LO31.
Regional three-dimensional (3D) topography was constructed from regional
Quality and adequacy of topographic surface contours and Shuttle Radar Topography Mission (SRTM) data. The
control. surface was trimmed 300–500 m beyond the Project perimeter. A Lidar
DTM will however be flown for the mining studies.
The final drillhole spacing will be between 200 m and 350 m. There could
Data spacing for reporting of Exploration be gaps in this grid if there is sufficient confidence in the structure of the
Results. fault / structural block.
Whether the data spacing, and
distribution is sufficient to establish the Geological continuity is based on the knowledge of the surrounding area
degree of geological and grade and 3D model constructed from historical data. 82 drillholes and 50
continuity appropriate for the Mineral deflections have been completed confirming the position of the UG2 reef.
Data spacing and Resource and Ore Reserve estimation The total drilling meters is 30,746m.
distribution procedure(s) and classifications
applied.
Whether sample compositing has been The 20cm (or larger) samples are composited to obtain the weighted
applied. average of the entire intersection.
Whether the orientation of sampling The drillholes are vertical drillholes and intersect the reef close to right
achieves unbiased sampling of possible angles. The sample is therefore unbiased. If the reef is faulted it will be
structures and the extent to which this is noted and if the reef intersection is not representative, it will not be used in
known, considering the deposit type. Mineral Resource estimations.
Orientation of data in
relation to geological If the relationship between the drilling
structure orientation and the orientation of key
mineralised structures is considered to No sampling bias will be introduced based on the drilling orientation as they
have introduced a sampling bias, this are close to perpendicular.
should be assessed and reported if
material.
Samples are only handled by the drilling contractor and the Minxcon
The measures taken to ensure sample geological staff. There is a strict chain of custody that is followed from the
Sample security security. time the core leaves the drill site to the time the sample is received by the
laboratory.
An audit on the exploration processes and geological interpretations was
undertaken by Dr. Richard Hornsey from Richard Hornsey Consulting (Pty)
Ltd from 17 to 19 January 2024. No issues were identified in terms of the
The results of any audits or reviews of procedures and data but valuable geological input around the geology of
Audits or reviews sampling techniques and data. the dome structure was supplied.
Additional historical Anglovaal drilling data was shared by Dr. Richard
Hornsey with SPD for the utilisation in the geological interpretation, 3D
modelling and estimation of the Nooitverwacht area.
SECTION 2: REPORTING OF EXPLORATION RESULTS
Criteria Explanation Detail
Type, reference name/number, location A Preferent Prospecting Right LP002PPR was granted to the
and ownership including agreements or Bengwenyama Tribe's investment vehicle, Miracle Upon Miracle
material issues with third parties such Investments (Pty) Ltd in 2015 over the farms Eerstegeluk 327 KT and
as joint ventures, partnerships, Nooitverwacht 324 KT. This was renewed in early 2021 and is valid until
overriding royalties, native title February 2024. The Right covers all elements of potential economic
Mineral tenement interests, historical sites, wilderness or interest. The Prospecting Right has expired but an application for a
and land tenure national park and environmental Mining Right has been submitted to the DMRE for the two properties
status settings. and an acceptance letter has been received.
The security of the tenure held at the
time of reporting along with any known The right was valid until February 2024. However, the application for the
impediments to obtaining a licence to Mining Right has begun and is in progress.
operate in the area.
Exploration done by Drilling was undertaken by Rustenburg Platinum Mines from 1966 to
other parties 1985. Trojan exploration completed drilling on Eerstegeluk between
1990 and 1993. Drilling prior to 1994 was not used as part of this
Mineral Resource estimate (MRE) due to the incomplete nature or
Acknowledgment and appraisal of availability of the drillhole data. Nkwe completed drillholes in 2007–
exploration by other parties. 2008. This drilling supports the MRE. Reconnaissance mapping has
been completed by previous operators.
However, new historical drilling data from 1988 to 1991 from Anglovaal
has been discovered through Dr. Richard Hornsey and has been utilised
18
SECTION 2: REPORTING OF EXPLORATION RESULTS
Criteria Explanation Detail
in the estimation of the Nooitverwacht extension inferred Mineral
Resource. The drilling that was completed was a joint venture between
Anglovaal through Midvaal Mining Company and Severin Mining and
Development Company (Pty) Ltd.
The target UG2 and Merensky reefs occur within the Upper Critical
Zone of the Rustenburg Layered Suite of the BC. These reefs are
laterally continuous for tens to hundreds of kilometres. The UG2
comprises mineralised chromitite, whereas the Merensky Reef is
Deposit type, geological setting and defined as the mineralised pyroxenitic zone between upper and lower
Geology style of mineralisation. chromitite stringers. The BC is the world's largest igneous intrusion and
also the largest global repository of PGEs and chromitite. Both reefs are
stratiform with relatively minor disruptive structural features and
replacement deposits.
19
SECTION 2: REPORTING OF EXPLORATION RESULTS
Criteria Explanation Detail
A summary of all information
material to the understanding of the
exploration results including a
tabulation of the following
information for all Material drillholes:
* easting and northing of the drillhole
collar
* elevation or RL (Reduced Level –
elevation above sea level in metres)
of the drillhole collar
* dip and azimuth of the hole
* down hole length and interception
depth
* hole length.
Drillhole
Information
All drillholes were drilled -90 degrees.
The UG2 and MR geological and estimation models have been
updated to include drilling and assaying data as at end of May 2024.
The structural / geological model utilised 20 historical Nkwe drillholes
and 82 SPD drillholes while the estimation model utilised 10 historical
Nkwe drillholes and 73 SPD drillholes for the UG2 and 10 historical
Nkwe drillholes and 8 SPD drillholes for the MR. 8 historical
Anglovaal drillholes were used in the estimation of the Nooitverwacht
extension.
20
SECTION 2: REPORTING OF EXPLORATION RESULTS
Criteria Explanation Detail
Thickness Pt Pd Rh Au 4E
BHID X Y Z REEF_FROM REEF_TO
(m) (g/t) (g/t) (g/t) (g/t) (g/t)
BK1D0 -93871.10 -2746009.31 -710.68 1577.43 1578.84 1.41 3.38 2.25 0.54 0.08 6.25
BK1D3 -93871.10 -2746009.31 -710.48 1577.29 1578.59 1.30 3.57 2.42 0.39 0.11 6.50
BK1D4 -93871.10 -2746009.31 -710.10 1576.85 1578.26 1.41 2.84 2.04 0.34 0.08 5.29
BK3D0 -93007.69 -2742403.59 -502.44 1990.38 1991.62 1.24 4.40 2.98 0.60 0.11 8.09
BK3D1 -93007.69 -2742403.59 -502.72 1990.65 1991.90 1.25 2.36 1.41 0.21 0.09 4.08
BK3D2 -93007.69 -2742403.59 -503.42 1991.37 1992.58 1.21 3.52 2.09 0.45 0.09 6.14
BK3D3 -93007.69 -2742403.59 -502.94 1990.85 1992.15 1.30 3.49 2.24 0.52 0.08 6.32
BK4D0 -94248.49 -2744589.36 -665.12 2023.17 2024.39 1.22 2.49 0.77 0.25 0.00 3.51
BK4D1 -94248.49 -2744589.36 -664.04 2022.12 2023.27 1.15 3.24 1.32 0.39 0.00 4.96
BK4D2 -94248.49 -2744589.36 -664.92 2022.77 2024.39 1.62 2.76 1.66 0.40 0.00 4.82
BK4D3 -94248.49 -2744589.36 -665.70 2023.79 2024.92 1.13 3.70 1.47 0.63 0.02 5.83
BK4D4 -94248.49 -2744589.36 -665.33 2023.39 2024.59 1.20 3.57 3.78 0.59 0.19 8.12
BK5D6 -92712.94 -2743946.78 -615.94 1579.92 1581.77 1.85 1.88 1.53 0.31 0.07 3.80
BK5D7 -92712.94 -2743946.78 -616.14 1579.89 1582.21 2.32 2.10 0.81 0.27 0.00 2.04
BK6D2 -93537.11 -2742829.71 -526.14 1928.83 1929.67 0.84 3.65 3.52 0.50 0.11 7.77
BK6D4 -93537.11 -2742829.71 -525.37 1927.73 1929.23 1.50 2.17 2.18 0.27 0.43 5.05
BK6D5 -93537.11 -2742829.71 -525.59 1927.91 1929.50 1.59 2.45 2.31 0.34 0.07 5.17
BK6D6 -93537.11 -2742829.71 -525.68 1928.06 1929.51 1.45 3.04 3.40 0.41 0.11 6.95
MM1D0 -94698.22 -2748411.82 -1099.48 1941.77 1943.98 2.21 2.19 1.24 0.34 0.02 3.79
MM1D1 -94698.22 -2748411.82 -1099.42 1941.62 1944.02 2.40 1.91 1.12 0.35 0.01 3.39
MM1D2 -94698.22 -2748411.82 -1099.40 1941.59 1944.00 2.41 1.55 0.98 0.26 0.02 2.81
MM1D3 -94698.22 -2748411.82 -1099.34 1942.04 1943.44 1.40 2.43 1.22 0.34 0.02 4.02
MM1D4 -94698.22 -2748411.82 -1099.56 1942.03 1943.89 1.86 1.88 1.40 0.25 0.06 3.59
SPA1D9 -95315.53 -2735374.36 -178.58 1950.61 1952.31 1.70 3.69 1.07 0.29 0.02 5.08
SRD1D0 -97725.53 -2737258.09 -463.33 1848.98 1849.49 0.51 2.05 0.23 0.23 0.10 2.60
SRD1D4 -97725.53 -2737258.09 -463.47 1849.16 1849.60 0.44 0.95 0.15 0.07 - 1.18
SRD1D7 -97725.53 -2737258.09 -463.31 1848.97 1849.47 0.50 2.29 0.10 0.05 - 2.43
If the exclusion of this information is
justified on the basis that the
information is not Material and this
exclusion does not detract from the N/A
understanding of the report, the
Competent Person should clearly
explain why this is the case.
In reporting Exploration Results, With the Mineral Resource update the statistical analysis recommended
weighting averaging techniques, no top cutting of the grade. In the case of the MR there was one sample
maximum and/or minimum grade that was capped. The Mineral Resource has been declared at a paylimit
truncations (e.g. cutting of high grades) of 2.2 g/t for the UG2 and 1.6 g/t for the MR.
and cut-off grades are usually Material The exploration target range for the MR is based on the kriged
and should be stated. estimated value with a 20% range applied to it.
Where aggregate intercepts
incorporate short lengths of high-grade
Data aggregation results and longer lengths of low-grade
methods results, the procedure used for such
aggregation should be stated and The individual 20cm samples are combined per drillhole per reef
some typical examples of such intersection for the composite grades used in the estimation process.
aggregations should be shown in
detail.
The assumptions used for any
reporting of metal equivalent values No metal equivalent has been reported but the various elements have
should be clearly stated. been combined for 3PGE+Au grades (4E) and 6PGE+au grades (7E).
If the geometry of the mineralisation
with respect to the drillhole angle is
Relationship known, its nature should be reported. The intersection lengths stated are the downhole lengths. The drillholes
between If it is not known and only the down are drilled at -90 degrees and the reef dip is expected to be
mineralisation hole lengths are reported, there should approximately 6 degrees. Therefore, the difference should be minimal.
widths and intercept be a clear statement to this effect (e.g.
lengths 'down hole length, true width not
known').
Appropriate maps and sections (with
scales) and tabulations of intercepts
should be included for any significant A map of the drillhole positions and the stratigraphic column was
Diagrams discovery being reported These should included in the previous press releases. A section has been included in
include, but not be limited to a plan the press release.
view of drillhole collar locations and
appropriate sectional views.
Where comprehensive reporting of
all Exploration Results is not
practicable, representative reporting Reef intersection depths for all the drillholes have been reported in
Balanced of both low and high grades and/or the table below.
reporting widths should be practiced to avoid
misleading reporting of Exploration
Results.
21
SECTION 2: REPORTING OF EXPLORATION RESULTS
Criteria Explanation Drilling
Detail Merensky Reef UG2 Reef
Intersection Intersection
BHID From (m) To (m) Comment From (m) To (m) Comment
Width (m) Width (m)
Highly
weathered & Hole stopped
E019 20.25 22.45 2.20 - - -
friable, short
inconclusive
Highly
weathered & Complete
E019a 19.55 22.35 2.80 315.85 316.61 0.76
friable, intersection
inconclusive
No M R
expected -
E060 - - - - - - Reef Missing
East of M R
subcrop
No M R
expected - Complete
E060D1 - - - 178.78 179.29 0.51
East of M R intersection
subcrop
No M R Complete
expected - intersection,
E062 - - - 31.27 32.30 1.03
East of MR moderately
subcrop weathered
Moderately
No M R weathered &
expected - faulted.
E062D1 - - - 31.45 32.27 0.82
East of MR Incomplete
subcrop intersection.
Corelos s .
Moderately
No M R weathered &
expected - faulted.
E062D2 - - - 31.16 31.56 0.40
East of MR Incomplete
subcrop intersection.
Corelos s .
No M R
expected - Complete
E058 - - - 140.88 141.29 0.41
East of MR intersection
subcrop
No M R
expected - Complete
E033 - - - 253.62 254.25 0.63
East of MR intersection
subcrop
Complete Complete
E028 66.70 68.66 1.96 373.26 373.79 0.53
intersection intersection
Complete
E004 210.77 212.90 2.13 517.33 517.57 0.24 Pothole
intersection
Deflection
E004D1 - - - 515.83 516.52 0.69 Pothole
below M R
Complete Complete
E030 143.00 144.68 1.68 409.55 410.07 0.52
intersection intersection
No M R
expected - Complete
E025 - - - 260.42 261.32 0.90
East of MR intersection
subcrop
No M R
expected -
E037 - - - - - - Pothole
East of MR
subcrop
No M R
expected -
E049 - - - - - - Faulted
East of MR
subcrop
Complete Complete
E031 122.40 124.29 1.89 416.57 417.19 0.62
intersection intersection
No M R
expected - Complete
E044 - - - 258.75 259.42 0.67
East of MR intersection
subcrop
Complete
E016 159.68 160.59 0.91 Faulted 449.24 450.01 0.77
intersection
Complete Complete
E007 100.38 102.54 2.16 417.42 418.14 0.72
intersection intersection
No M R
expected - Complete
E064 - - - 156.19 157.05 0.86
East of MR intersection
subcrop
No M R
expected - Complete
E071 - - - 180.04 180.73 0.69
East of MR intersection
subcrop
No M R
expected - Complete
E065 - - - 231.81 232.50 0.69
East of MR intersection
subcrop
Complete Complete
E001 259.82 261.64 1.82 548.07 549.21 1.14
intersection intersection
No M R
expected - Complete
E015 - - - 291.89 292.63 0.74
East of MR intersection
subcrop
Complete
E020 54.20 55.39 1.19 Faulted 342.90 343.56 0.66
intersection
No M R
expected - Complete
E041 - - - 250.95 251.60 0.65
East of M R intersection
subcrop
No M R
expected - Complete
E067 - - - 299.70 300.20 0.50
East of M R intersection
subcrop
Highly
weathered &
friable, Complete
E013 12.43 14.53 2.10 321.26 321.76 0.50
inconclusiv e intersection
(corelos s &
No stringers )
No M R
expected - Complete
E024 - - - 278.77 279.26 0.49
East of M R intersection
subcrop
No M R
expected - Incomplete
E069 - - - 240.98 241.39 0.41
East of M R intersection
subcrop
No M R
expected - Complete
E027 - - - 284.47 285.04 0.57
East of M R intersection
subcrop
Complete Complete
E014 37.28 39.68 2.40 342.62 343.68 1.06
intersection Intersection
No M R
expected - Complete
E069D1 - - - 241.33 241.63 0.30
East of M R Intersection
subcrop
Deflection Complete
E001D1 - - - 547.78 548.26 0.48
below M R Intersection
Incomplete
Deflection intersection,
E014D1 - - - 343.29 343.74 0.45
below M R core loss &
grinding
Deflection Complete
E014D2 - - - 342.19 343.06 0.88
below M R Intersection
Complete Complete
E032 171.69 173.78 2.09 462.66 463.98 1.32
intersection Intersection
Highly
weathered &
- - - 29.96 30.44 0.48
No M R friable,
expected - inconclusive
**E057
- - - East of MR 237.73 238.06 0.33 LG6A reef
subcrop
- - - 238.3 238.63 0.33 LG6 reef
- - - 238.66 239.85 1.19 LG6 reef
No M R
expected - Complete
E045 - - - 202.205 202.82 0.615
East of MR Intersection
subcrop
- - - No M R 324.59 325.02 0.43 LG6A reef
expected -
**E056 - - - 325.29 325.56 0.27 LG6 reef
East of MR
- - - subcrop 325.82 326.54 0.72 LG6 reef
No M R
expected - Complete
E052 - - - 246.01 247.04 1.03
East of MR Intersection
subcrop
No M R Incomplete
expected - intersection,
E072 - - - 248.48 249.07 0.59
East of MR core loss &
subcrop grinding
No M R
expected - Complete
E072D1 - - - 248.71 249.44 0.73
East of MR Intersection
subcrop
No M R
expected - Complete
E072D2 - - - 248.64 249.28 0.64
East of MR Intersection
subcrop
core loss , top
E029 40.02 42 1.98 stringer only , 314.68 314.88 0.20 Pothole
inconclusive
No M R
expected - Complete
E050D1 - - - 276.37 276.90 0.53
East of M R Intersection
subcrop
No M R
expected - Complete
E076 - - - 233.22 233.68 0.46
East of M R Intersection
subcrop
No M R
expected -
E029D1 - - - East of M R
315.08 315.10 0.02 Pothole
subcrop
No M R
Incomplete
expected -
E066 - - - East of M R
221.30 221.64 0.34 Intersection
Faulted
subcrop
No M R
expected - Complete
E066D1 - - - East of M R
221.19 221.63 0.44
Intersection
subcrop
No M R
expected - Complete
E046 - - - East of M R
238.66 239.22 0.56
Intersection
subcrop
No M R
expected - Complete
E048 - - - East of M R
229.77 230.36 0.59
Intersection
subcrop
No M R
expected - Complete
E054 - - - East of M R
280.52 280.94 0.42
Intersection
subcrop
No M R
expected - Complete
E059 - - - East of M R
95.17 95.70 0.53
Intersection
subcrop
No M R Incomplete
expected - intersection,
E039 - - - East of M R
226.54 226.89 0.35
core loss &
subcrop Faulted
No M R
expected - Complete
E039D1 - - - East of M R
226.85 227.56 0.71
intersection
subcrop
No M R
expected -
E120 - - - East of M R
155.65 155.74 0.09 Pothole
subcrop
No M R
Incomplete
expected -
E082 - - - East of M R
243.15 243.47 0.32 intersection,
Faulted
subcrop
Highly
Incomplete
weathered &
E034 25.67 30.15 4.48 292.00 292.94 0.94 intersection,
friable,
Faulted
inconclusive
No M R
expected - Complete
E082D1 - - - East of M R
243.25 243.67 0.42
intersection
subcrop
No M R
Incomplete
expected -
E086A - - - East of M R
255.62 255.78 0.16 intersection,
Faulted
subcrop
No M R
Incomplete
expected -
E086AD1 - - - East of M R
256.01 256.34 0.33 intersection,
Faulted
subcrop
Highly
weathered & Complete
E087 23.68 28.17 4.49 287.97 288.43 0.46
friable, intersection
inconclusive
No M R
expected - Complete
E086AD2 - - - East of M R
255.46 255.71 0.25
intersection
subcrop
No M R
expected -
E120D1 - - - East of M R
- - - Pothole
subcrop
No M R
Incomplete
expected -
E034D1 - - - East of M R
292.38 292.97 0.59 intersection,
Faulted
subcrop
No M R Incomplete
expected - intersection,
E070 - - - East of M R
185.15 185.72 0.57
friable &
subcrop Faulted
No M R
Incomplete
expected -
E070D1 - - - East of M R
185.29 186.08 0.79 intersection,
Faulted
subcrop
No M R
ex pected -
E114 - - - Eas t of M R
- - - Faulted
subcrop
No M R
Incomplete
expected -
E034D2 - - - East of M R
292.74 293.27 0.53 intersection,
faulted
subcrop
No M R
Incomplete
expected -
E051 - - - East of M R
95.33 95.80 0.47 intersection,
Grinding
subcrop
No M R
Incomplete
expected -
E080 - - - East of M R
188.64 189.12 0.48 intersection,
Faulted
subcrop
No M R
expected - Complete
E085 - - - East of M R
247.34 247.91 0.57
intersection
subcrop
No M R
Incomplete
expected -
E079 - - - East of M R
263.00 263.39 0.39 intersection,
Faulted
subcrop
No M R
expected -
E113 - - - East of M R
289.62 289.69 0.07 Pothole
subcrop
No M R
expected - Complete
E051D1 - - - East of M R
95.22 96.36 1.14
intersection
subcrop
No M R
expected - Complete
E115 - - - East of M R
87.75 88.55 0.80
intersection
subcrop
No M R
expected - Complete
E118 - - - East of M R
288.56 289.45 0.89
intersection
subcrop
No M R
expected - Complete
E122 - - - East of M R
179.19 179.75 0.56
intersection
subcrop
No M R
Incomplete
expected -
E125 - - - East of M R
228.25 228.70 0.45 intersection,
Faulted
subcrop
No M R
Incomplete
expected -
E125D1 - - - East of M R
228.44 229.03 0.59 intersection,
Faulted
subcrop
No M R
Incomplete
expected -
E035 - - - East of M R
253.92 254.43 0.51 intersection,
Crushed
subcrop
No M R
Incomplete
expected -
E035D1 - - - East of M R
253.94 254.44 0.50 intersection,
Crushed
subcrop
No M R
expected - Complete
E117 - - - East of M R
215.44 216.05 0.62
intersection
subcrop
No M R
Incomplete
expected -
E077 - - - East of M R
259.56 259.93 0.37 intersection,
Faulted
subcrop
Incomplete
Complete
E011 94.89 96.88 1.99 intersection, 399.23 400.43 1.20
intersection
Grinding
Incomplete Deflection
E011D1 94.89 96.91 2.02 intersection, - - - drilled for MR
Grinding Intersection
No M R
expected -
E043 - - - 258.25 258.41 0.16 Pothole
East of M R
subcrop
Complete Complete
E017 154.50 156.55 2.05 452.63 453.35 0.73
intersection intersection
No M R
expected -
E077D1 - - - East of M R
subcrop
Deflection
Complete
E011D2 94.99 96.98 2.00 - - - drilled for MR
intersection
Intersection
No M R
expected -
E043D1 - - - East of MR
257.55 258.38 0.83 Pothole
subcrop
Complete Complete
E100 283.31 284.66 1.34 498.58 499.04 0.46
intersection intersection
Incomplete
E124 - - - Faulted 350.06 350.61 0.56 intersection
(Faulted)
Complete
E003 272.02 274.20 2.18 Reconciliation in preogress
intersection
Other exploration data, if meaningful A high-definition helicopter borne Total Magnetic Field (TMF) gradient
and material, should be reported and gamma-ray spectrometry survey was completed by New Resolution
including (but not limited to): geological Geophysics (Pty) Ltd (NRG) in January of 2022 which highlighted the
observations; geophysical survey major structural features that could be expected.
results; geochemical survey results;
Other substantive bulk samples – size and method of
exploration data treatment; metallurgical test results; The total line kilometres flown was 1,425 lkm over the farms
bulk density, groundwater, Eerstegeluk 327 KT and Nooitverwacht 324 KT with the survey being
geotechnical and rock characteristics; flown at a height between 25 m and 80 m due to the topography and
potential deleterious or contaminating residential areas with an average height of approximately 35 m to 40 m
substances. and a line spacing of 50 m.
22
SECTION 2: REPORTING OF EXPLORATION RESULTS
Criteria Explanation Detail
The nature and scale of planned further
work (e.g. tests for lateral extensions or The PFS drilling campaign has been completed with 30,746m of drilling
depth extensions or large-scale step- consisting of 82 drillholes and 50 deflections. Deflections will now be
out drilling). drilled for short range variability work.
Diagrams clearly highlighting the areas
of possible extensions, including the
main geological interpretations and
future drilling areas, provided this
information is not commercially
sensitive.
Further work
Above are the structural blocks modelled from the drillhole database
(UG2 on top and MR the second). The entire UG2 area is now a Mineral
Resource and in the case of the MR resource or Exploration Target so
there is limited upside potential within the project boundaries.
SECTION 3: ESTIMATION AND REPORTING OF MINERAL RESOURCES
Criteria Explanation Detail
Measures taken to ensure Geological data in the form of drillhole collar surveys, downhole surveys and
that data has not been geological logs captured on paper records was compared to data captured and
corrupted by, for example, saved in soft copy Excel spreadsheets that form the geological repository which
Database transcription or keying informs the modelling database. Any errors, omissions, and invalid
integrity errors, between its initial transcriptions identified were returned to the exploration team for rectification
collection and its use for before the data was processed any further for use in 3D-structural modelling
Mineral Resource estimation and grade estimation processes.
purposes.
23
SECTION 3: ESTIMATION AND REPORTING OF MINERAL RESOURCES
Criteria Explanation Detail
Base geological data informing the estimate was validated using in-built
functionality in Datamine StudioRM software. Validation routine involved
checking spatial location of drillholes collars and intersections, validity of
stratigraphic logging, checking for repetition of logged intersections, reasons for
the absence of analytical data, negative thicknesses and an assessment of the
correlation of all aspects of the new drilling data to the historic drilling data from
Data validation procedures the Nkwe drillhole database. The Nkwe database was inspected for erroneous /
used. non representative datapoints and removed based on the knowledge gained
from the recent SPD drilling.
The historical Anglovaal drilling database was captured from scanned copies
into an excel spreadsheet and verified as much as possible with the surrounding
reef intersection depths. The database reviewed to check for representative
intersections that could be used in the resource estimation.
Comment on any site visits
undertaken by the The Competent Person regularly visits the project site with the latest visit having
Competent Person and the been carried out on 20 May 2024.
Site visits outcome of those visits.
If no site visits have been
undertaken indicate why this Refer to above.
is the case.
The Bengwenyama project is bounded to the northern extremity by a mine that
Confidence in (or is in current operation and economically exploiting the same UG2 reef. Several
conversely, the uncertainty SPD drillholes are sited in areas in which similar drilling was completed by Nkwe
of) the geological Platinum during the early 2000s. Geological interpretation as informed from the
interpretation of the mineral current SPD holes, correlates well with interpretation from the historic Nkwe drill
deposit. data. The historical Anglovaal data also confirms the 3D geological model of the
reefs.
The consolidated SPD database informing this estimate incorporates data from
historic Nkwe drilling. This data was compiled by transcribing information from
documents available in the public domain. Analytical data in the Nkwe drillholes
is presented as 4E only. Individual PGEs were not reported. Results from QQ
plots (R2=0.93 for the UG2 and R2=0.81 for the MR) suggest that SPD data is
highly comparable to the Nkwe data. Accordingly, the data has been
consolidated into a single geological database.
Additional historic exploration drilling data from Anglovaal, although spatially
located outside the licence footprint, has been incorporated into the database
informing the estimate. Analysis of this data suggests, a change of the UG2
Nature of the data used and morphology into a main chromitite seam and multiple stringers in the hanging
of any assumptions made. wall of the UG2 bearing a materially different PGE mineralisation 4E prill split
over the south-west section of farm Nooitverwacht compared to PGE
mineralisation over farm Eestergeluk. This suggests different facies warranting
modelling of the section as a separate domain. Consequent of low data density,
grade interpolation for this section was achieved through Simple Kriging (SK)
Geological
interpretation techniques with the resultant block model then appended to the rest of the block
model completed via Ordinary Kriging techniques.
The Anglovaal data provides support of insights into geological and grade
continuity over undrilled west sections over farm Nooitverwacht with the quality
of the data enabling declaration of Mineral Resources over farm Nooitverwacht.
The effect, if any, of The recently completed drilling campaign by SPD has confirmed that the dome
alternative interpretations on structure on Eerstegeluk is larger than initially expect and this area has been
Mineral Resource excluded from the Mineral Resource.
estimation.
The additional Anglovaal drillhole data has however confirmed that the UG2 and
MR continue to the southern boundary of Nooitverwacht.
The use of geology in Contouring of the elevation of the UG2 reef and MR top contact as interpreted
guiding and controlling from geological logging, knowledge of the regional structural geology,
Mineral Resource incorporation of mapped faults, dykes, sills, and the use of data from the TMF
estimation. gradient and gamma-ray spectrometry survey completed by New Resolution
Geophysics (Pty) Ltd (NRG) in January of 2022, highlighting the major structural
features, guided delineation of 26 fault blocks and culminated in the generation
of the associated UG2 3D wireframe model.
The project area is bisected by faults and several dyke swarms with throws in
excess of 200m. Current structural interpretation postulates the Eerstegeluk
The factors affecting Dome area comprises a stack of several upthrow faults culminating in an overall
continuity both of grade and upthrow of the UG2 reef to a location as shallow as 30m below surface. Other
geology. than potholing observed in the areas limited to the northern periphery, the PGE
grades appear unaffected. The dome structure does however disrupt the reefs
and has been excluded from the resource in these areas.
The extent and variability of The Bengwenyama project covers an area of approximately 52.9km 2. with a
the Mineral Resource strike of approximately 4km. Data from the drillholes suggests a down-dip
expressed as length (along continuity of UG2 and MR reef over approximately 11km at an average true dip
strike or otherwise), plan of approximately 6-7?, north-west. A typical West-East cross section through the
Dimensions width, and depth below deposit showing separation of the UG2 and Merensky reefs is provided below.
surface to the upper and
lower limits of the Mineral
Resource.
24
SECTION 3: ESTIMATION AND REPORTING OF MINERAL RESOURCES
Criteria Explanation Detail
Location of the UG2 reef is shallowest in the south-east corner of the project
area at approximately 30m below surface and deepest in the north-west corner
where it is in excess of 1,000m below surface. The MR is approximately 260m
above the UG2 reef and subcrops in the central portion of the farm Eerstegeluk.
The nature and The 3D wireframe modelling process was completed in Seequent's LeapFrog
appropriateness of the Geo® Version 2023.2.3 geological modelling software.
estimation technique(s)
applied and key Statistical analysis (CoV<1) on the base geological data informing UG2 grade
assumptions, including estimates suggests no capping or treatment of extreme values is necessary.
treatment of extreme grade However, for the MR one sample needed capping to values as provided below.
values, domaining,
interpolation parameters and
maximum distance of
extrapolation from data
points. If a computer
assisted estimation method
was chosen include a
description of computer Ordinary Kriging, an industry best choice for evaluation of PGEs, has been
software and parameters applied for all grade interpolation with all grade estimation processes completed
used. in Datamine StudioRMTM Version 2.1.125.0 geological modelling software.
Owing to the low density of drilling data available to date geological domains,
possible facies and anisotropy has not been identified.
Kriging neighbourhood analysis (KNA) recommended a parent block size of
350m (in X and Y directions) with a minimum and maximum number of samples
of 5 and 15 respectively for the first search volume which is matched to the
range of the 4E modelled variogram (approximately 2,000m). Three search
volumes with decreasing samples were used for the estimation.
All PGE elements, Pt, Pd, Rh, Au, Ir, Os and Ru as well as base metals Cu, Ni,
Cr and Fe were individually estimated in addition to estimation of combined 4E
Estimation (Pt, Pd, Rh & Au) and 7E (Pt, Pd, Rh, Ir, Os, Ru & Au) grades.
and modelling
techniques Extrapolation has been carried out to half the average drillhole spacing and
where applicable terminated on the major geological structures.
The availability of check The Bengwenyama Project is a green field project with no mining activity ever
estimates, previous recorded. As such no depletion of Mineral Resources is applicable.
estimates and/or mine
production records and The previous estimate for the Bengwenyama Project declared as at 01
whether the Mineral December 2023 presented 20.8Mt at 8.08g/t 4E (5.4 Moz) Indicated Resources
Resource estimate takes and 29.99Mt at 7.87g/t 4E (7.58 Moz) Inferred Resources.
appropriate account of such
data. Concerted effort with the additional SPD drilling completed to date resulted in
filling of gaps within the previous wide spaced grid (approximately 500 m x 500
m) reducing it to approximately 350 m x 350 m on farm Eestergeluk. This has
resulted in significant elevation of confidence in structural interpretation enabling
upgrading of various sections of the Minerals Resources to higher categories.
Although the direct reconciliation of the current estimate to previous estimates is
now convoluted, consistency in 4E and 7E grade between the current and all
previous estimate remains notable.
Metallurgical testwork is currently underway to establish the viability of recovery
The assumptions made of any by-products, in particular chromite. There is no record of previous similar
regarding recovery of by- testwork completed in the Bengwenyama project area. However, the UG2 on
products. the eastern limb of the BC is well known and understood and the average
recoveries have been assumed for now.
Estimation of deleterious
elements or other non-grade Other than the base metals Cu, Ni and Fe, no deleterious elements have been
variables of economic identified. The base metals have all been estimated on elemental basis with the
significance (e.g. sulphur for Cr:Fe ratio of the UG2 chromitite horizon, from modelled Cr and Fe analysis,
acid mine drainage observed to be around 1.21.
characterisation).
25
SECTION 3: ESTIMATION AND REPORTING OF MINERAL RESOURCES
Criteria Explanation Detail
In the case of block model Drillhole spacing is not on a defined grid owing to challenges drilling in
interpolation, the block size populated space. The well drilled areas are typically informed by an average
in relation to the average drillhole spacing of approximately 350m with areas even closer at approximately
sample spacing and the 200m spacing with poorly informed areas informed by drilling spacing in excess
search employed. of 750m to 1,000m.
Kriging neighbourhood analysis (QKNA) recommended a parent block size of
350m (in X and Y directions) with a minimum and maximum number of samples
of 5 and 15 respectively for the first search volume which is matched to the
range of the 4E modelled variogram (approximately 1,000m). Three search
volumes with decreasing samples were used for grade estimation.
A study to test the viability of several possible options and in some cases
Any assumptions behind combinations of mining methods is currently underway. The current modelling
modelling of selective mining does not incorporate guidance from knowledge of any possible proposed mining
units. method or selective mining approach.
The QQ plot results (R2=0.93 for the UG2 and R2=0.81 for the MR) suggest
SPD data is highly comparable to the Nkwe historic drill data.
Any assumptions about
correlation between
variables.
Accordingly, the data was consolidated into a single database. The
consolidation enabled expansion of the database to incorporate back-calculated
individual Pt, Pd, Rh and Au grades from the single analytical 4E grade in the
Nkwe drillholes basing on prill splits as established from the complete empirical
SPD analytical dataset. The grades for Os, Ir and Ru were then determined
from regression relationships enabling the estimation and eventual reporting to
7E grade and including base metals.
Major structural discontinuities were identified from interpretation of the TMF
gradient and gamma-ray spectrometry survey, field mapping and contouring of
Estimation elevation of the UG2 reef top contact. Knowledge of regional structural geology
and modelling and regional geological losses guided delineation of fault blocks and the
techniques generation of the resultant UG2 and MR 3D wireframe model.
(continued)
The additional historic Anglovaal drilling data informed UG2 wireframe models
generated for areas located spatially outside the licence footprint. The models
provide support of geological and grade continuity over undrilled west sections
Description of how the over farm Nooitverwacht with the quality of the Anglovaal data enabling
geological interpretation was declaration of Mineral Resources over Nooitverwacht. Further analysis of the
used to control the resource Anglovaal data suggests a different UG2 facies towards the west warranting
estimates. modelling of the section as a separate domain. Due to low data density, grade
interpolation for this section has been completed through Simple Kriging (SK)
techniques with the resultant block model appended to the rest of the block
model which was completed via Ordinary Kriging techniques.
Guidance from kriging quality parameters such as spatial continuity of kriging
efficiencies, assessment of bias through analysis of the slope of regression
results, sample search volume used and number of samples informing a grade
estimate underpin constraint of grade extrapolations beyond known drilling.
Discussion of basis for using Other the one MR sample statistical analysis (CoV<1) on raw data informing the
or not using grade cutting or estimate suggests that no capping or treatment of extreme values is necessary.
capping.
The process of validation, Integrity of grade estimation was validated through swath plots in the X and Y
the checking process used, directions, sample-to-model box-whisker plots on global means for all estimated
the comparison of model grades and the visual analysis of grade plans for the 4E and 7E grades as well
data to drillhole data, and as plans showing the spatial distribution of the UG2 reef thickness, Slope of
use of reconciliation data if Regression, Kriging Efficiencies, Search Volume and the number of samples
available. used to inform grades estimates.
Whether the tonnages are
estimated on a dry basis or
Moisture with natural moisture, and All tonnages are reported on a dry basis.
the method of determination
of the moisture content.
The basis of the adopted Zone specific geological losses have been applied and the Mineral Resources
Cut-off cut-off grade(s) or quality are declared at a paylimit of 2.2 g/t and 1.6 g/t 4E using a basket price of USD
parameters parameters applied. 2,691/oz and USD 1,888/oz for the UG2 Reef and MR respectively. No mining
26
SECTION 3: ESTIMATION AND REPORTING OF MINERAL RESOURCES
Criteria Explanation Detail
cut has been applied at this stage but initial studies for the mining are predicting
a mining cut of approximately 1.1m.
Below are the parameters used for the basket price and pay limit calculation.
Element Resource price (USD/oz) 4E prill split_UG2 7E prill split_UG2 Recovery Payability
Platinum 1,074 45.0% 37.0% 85% 86%
Palladium 2,309 45.0% 37.0% 85% 86%
Rhodium 12,751 9.0% 8.0% 85% 86%
Gold 2,116 1.0% 1.0% 85% 86%
Ruthenium 400 0.0% 12.5% 71% 55%
Iridium 4,700 0.0% 2.5% 75% 45%
Osmium 400 0.0% 2.0% 75% 45%
Assumptions made
regarding possible mining
methods, minimum mining It is envisaged that the Mineral Resource mining cut will be approximately 1.1m
dimensions and internal (or, for the UG2 due to the absence of stringers in footprint of the currently drilled
if applicable, external) area. The hanging wall contact is a distinct Leuconorite plane referred to as the
mining dilution. It is always Leuconorite Parting Plane (LPP) and forms a distinct sharp hanging wall contact
necessary as part of the with no chromitite stringers above it. For the MR the mining cut will probably be
process of determining the reef width, which is approximately 2,00m plus 10cm hanging wall and 10cm
reasonable prospects for footwall dilution.
Mining factors eventual economic
or extraction to consider
assumptions potential mining methods, Mining studies on the possible practical mining methods or a combination
but the assumptions made thereof are currently being concluded.
regarding mining methods
and parameters when
estimating Mineral The current geological modelling does not incorporate any assumptions or
Resources may not always provide any form of guidance for a chosen specific mining method.
be rigorous. Where this is
the case, this should be
reported with an explanation
of the basis of the mining
assumptions made.
The basis for assumptions or
predictions regarding
metallurgical amenability. It
is always necessary as part
of the process of determining
reasonable prospects for
eventual economic
extraction to consider
potential metallurgical Samples for metallurgical testwork for the UG2 have been submitted to the SGS
methods, but the and Suntech Geomet laboratories to establish the most optimal recovery
assumptions regarding method or a combination thereof.
Metallurgical metallurgical treatment
factors or processes and parameters
assumptions made when reporting The current geological modelling supporting this estimate does not incorporate
Mineral Resources may not any assumptions or provide guidance for a specific recovery method.
always be rigorous. Where
this is the case, this should
be reported with an
explanation of the basis of
the metallurgical
assumptions made.
Assumptions made
regarding possible waste
and process residue
disposal options. It is always
necessary as part of the
process of determining A series of specialised environmental studies are in the process of being
reasonable prospects for commissioned to establish a balance between compliance of the eventual
eventual economic commissioned to establish a balance between compliance of the eventual
extraction to consider the chosen mining method to environmental regulations against optimal and
potential environmental practical extraction that will achieve the least environmental impact.
impacts of the mining and
processing operation. While
Environmental at this stage the The current geological modelling supporting this estimate does not incorporate
factors or determination of potential any assumptions or provide guidance to achieve the least environmental impact.
assumptions environmental impacts,
particularly for a greenfields
project, may not always be
well advanced, the status of
early consideration of these
potential environmental
impacts should be reported.
27
SECTION 3: ESTIMATION AND REPORTING OF MINERAL RESOURCES
Criteria Explanation Detail
Where these aspects have
not been considered this
should be reported with an
explanation of the
environmental assumptions
made.
Whether assumed or
determined. If assumed, the The density for the UG2 was modelled and the average density is 3.92 t/m3 for
basis for the assumptions. If the UG2 and an average density of 3.28 t/m3 was used for the MR in the
determined, the method tonnage estimation. The density was determined empirically using the
used, whether wet or dry, the Archimedes method on UG2 reef and MR intersection samples from the SPD
frequency of the drillholes. The determination of density is an ongoing exercise conducted by the
measurements, the nature, field exploration team to expand the database for use to support tonnage
size and representativeness estimates.
of the samples.
The bulk density for bulk
Bulk density material must have been
measured by methods that
adequately account for void The density was determined empirically using the Archimedes method on UG2
spaces (vugs, porosity, etc.), reef and MR intersection samples.
moisture and differences
between rock and alteration
zones within the deposit.
Discuss assumptions for
bulk density estimates used
in the evaluation process of Not applicable
the different materials.
The Mineral Resource categories were determined based on drillhole density,
data quality, QAQC, slope of regression (SOR), kriging efficiency (KE), sample
search volumes and knowledge of the continuity of the UG2 reef horizon.
The basis for the
classification of the Mineral
Classification Resources into varying
confidence categories.
The Measured Mineral Resources are based on a drill spacing of 250m x 250m,
SOR greater than 0.75, sample search within first volume (4E variogram range),
a minimum of 5 drillholes and high confidence in UG2 structural interpretation.
The Indicated Mineral Resources are based on a drill spacing of 350m x 350m,
a SOR between 0.6 and 0.75, a KE greater than 0.25, sample search within
second volume, high confidence in UG2 structural interpretation and application
of local knowledge of areas with high confidence in UG2 reef continuity.
The Inferred Mineral Resources are based on drill spacing greater than 500m x
500m, a SOR of less than 0.6, extrapolation based on one and a half the
28
SECTION 3: ESTIMATION AND REPORTING OF MINERAL RESOURCES
Criteria Explanation Detail
distance of the range of the 4E grade variogram with termination on major
structural discontinuities such as interpreted or mapped major faults and dykes.
The extrapolated inferred is the UG2 beyond the inferred criteria, up until the
boundary.
Whether appropriate account Geological losses have been applied to the resource to account for the effects
has been taken of all of faults, dykes, and potholes. This was estimated by considering the successful
relevant factors (i.e. relative drillhole intersections, identified major faults and dykes from the TMF
confidence in tonnage/grade geophysics and additional minor losses. The project area was divided into larger
estimations, reliability of blocks representing various degrees of geological losses. The geological losses
input data, confidence in for the UG2 range from 15% to 50% with the Eerstegeluk Dome area completely
continuity of geology and excluded at this stage of reporting.
metal values, quality, For the MR the geological losses range from 18% to 40% for the Exploration
quantity and distribution of Target area and the top 40m (vertically) at the subcrop for the MR is also
the data). excluded due to weathering and oxidation.
Whether the result The CP is of the opinion that the Mineral Resource classification criteria and
appropriately reflects the associated results are a true reflection of the Bengwenyama orebody and
Competent Person's view of demonstrate the current levels of confidence as informed by drill data.
the deposit.
The Mineral Resources estimate, as well as processes associated with
estimation work as contained in this press release has been reviewed by an
The results of any audits or independent third party, Mr. Garth Mitchell, of ExplorMine Consultants (Pty) Ltd.
Audits or reviews of Mineral Resource Mr. Mitchell confirms validity and reasonableness of estimate and confirms that
reviews estimates. due care and diligence was applied in the compilation.
SRK Consulting (Pty) Ltd in South Africa have also reviewed the Mineral
Resource estimation and have not found any fatal flaws.
Where appropriate a The QQ plot results (R2=0.93 for the UG2 and R2=0.81 for the MR) suggest the
statement of the relative SPD data is highly comparable to the Nkwe historic drill data and that the two
accuracy and confidence datasets can be consolidated into a single database without any issues.
level in the Mineral Resource
estimate using an approach The consolidation enabled back-calculation of individual Pt, Pd, Rh and Au
or procedure deemed grades from the single analytical 4E grade in the Nkwe drillholes basing on prill
appropriate by the splits established from the complete empirical SPD analytical dataset as well at
Competent Person. For determining individual grades for Os, Ir and Ru from regression relationships.
example, the application of This has enabled reporting to 7E grade.
statistical or geostatistical
procedures to quantify the In contrast to the Nkwe data, analysis of the Anglovaal data suggests a change
relative accuracy of the in the PGE mineralisation 4E prill split and UG2 reef morphology into a split reef
resource within stated comprising a main chromitite seam and multiple stringers in the hanging wall
Discussion of confidence limits, or, if such over the south-west section of farm Nooitverwacht. As this suggests different
relative an approach is not deemed facies, modelling of the section as a separate domain was warranted. In
accuracy/ appropriate, a qualitative addition, due to low data density, grade interpolation for this section has been
confidence discussion of the factors that completed through the Simple Kriging (SK) technique with the resultant block
could affect the relative model appended to the rest of the block model which was completed via the
accuracy and confidence of Ordinary Kriging technique. Accordingly, 4E grade and UG2 reef thickness
the estimate. estimates within this west section approach global means of the Anglovaal
dataset. However, the quality of the supporting data is of such high standard it
provided insights into geological and grade continuity to enable successful
declaration of Mineral Resources over undrilled sections of Nooitverwacht.
The statement should
specify whether it relates to The CP is of the opinion that geological modelling underlying the estimate
global or local estimates, contained in this press release is a true reflection of the Bengwenyama orebody
and, if local, state the and considers the grade and tonnage estimates robust.
relevant tonnages, which
29
SECTION 3: ESTIMATION AND REPORTING OF MINERAL RESOURCES
Criteria Explanation Detail
should be relevant to
technical and economic
evaluation. Documentation
should include assumptions
made and the procedures
used.
These statements of relative
accuracy and confidence of
the estimate should be Not applicable
compared with production
data, where available.
30
Date: 27-08-2024 10:34:00
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