19th May 2020 12:26
(Alliance News) - Jubilee Metals Group PLC said Tuesday it has decided to relocate its fine chrome facility at the Dilokong chrome mine in South Africa to its much larger Inyoni or Windsor chrome operations.
This action follows a review which concluded that such a move would contribute more significantly to earnings. At the moment, all of Jubilee's processing facilities with the exception of Dilokong are fully operational, with the mine indicating that it has no immediate plans to restart mining.
The roll-out of fine chrome operations has been affected by import restrictions on goods and services, as well as supply chain disruptions. As a result, the company has agreed with Dilokong mine to terminate the operations.
The relocation process is expected to be completed towards the end of August, as is the termination of the chrome operation.
"The manner in which Jubilee is able to react and find solutions to the current challenges faced as a result of the Covid-19 pandemic is testimony to the ingenuity of the Jubilee team and lies at the heart of 'the Jubilee Way'," said Chief Executive Officer Leon Coetzer.
"The remarkable success of our fine chrome facility has proven itself as a leading solution for the recovery of chrome previously regarded as unrecoverable and I look forward to seeing the success replicated at our other operations," Coetzer added.
Shares in Jubilee Metals were down 4.2% at 3.06 pence on Tuesday in London, while its Johannesburg shares were 2.8% lower at ZAR0.70.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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