Loan Facility Agreed

    RNS Number : 4492U
  Platmin Limited
  14 May 2008
   

    NOT FOR DISSEMINATION IN THE UNITED STATES OR OVER UNITED STATES NEWSWIRE SERVICES

    PLATMIN LIMITED

    6 EcoFusion
    324 Witch Hazel Avenue
    Highveld Tech Park
    Centurion, 0067
    South Africa
    Market Release 

    May 14, 2008

    Platmin and Standard Bank agree a bridge loan financing facility for the Pilanesberg Platinum Mines project

    TORONTO: Platmin Limited ("Platmin" or the "Company" TSX/AIM: PPN) is pleased to announce that a bridge loan facility of ZAR 350 million
has been concluded with The Standard Bank of South Africa Limited ("Standard Bank"). The term of the bridge loan facility will be for a
period of 4 months after financial close, which was May 9, 2008. The bridge loan facility will be used to fund the further development of
Platmin's "Pilanesberg" project.
    . 
    As previously announced on November 2, 2007, Standard Bank has been mandated as financial advisor and lead arranger in securing
approximately US$ 200 million in project debt finance to fund the development of the Pilanesberg project. This bridge loan facility forms a
part of the overall project debt financing. Initial funding for this project has been from equity funding.

    Construction of the Pilanesberg project commenced in October 2007, and the project is on track with approximately 30% completed. The
mining officially commenced in March 2008 with the first blast of waste overburden for the open pit on 11 March 2008. First metal production
as a flotation concentrate at the Pilanesberg project is still targeted for the first calendar quarter of 2009. 

    Standard Bank is a leading provider of mining finance and has extensive experience in structuring and financing mining projects in South
Africa. Standard Bank was recently named Best Project Finance Bank in Africa by Euromoney.


    About Platmin

    Platmin is a TSX and AIM (PPN) listed PGM exploration and development company focused on its four key advanced projects that host PGM
Mineral Resources and Reserves: Pilanesberg, Mphahlele, Grootboom and Loskop of which the Pilanesberg Project is currently in the
construction phase with the other projects expected to follow. All of Platmin's projects are located in the Bushveld Complex of South
Africa, which is estimated to contain approximately 90% of  global platinum Mineral Resources. 

    About the Pilanesberg Project

    The Pilanesberg feasibility study ("FS") announced in July 2007 declared Proven and Probable PGE Mineral Reserves totaling 4.4 million
ounces of 3PGE+Au (3.2 million ounces attributable to Platmin).

    The Pilanesberg FS confirmed the robustness of the project as noted by SRK Consulting, with Platmin's Board of Directors approving its
development. The FS indicated a Base Case Internal Rate of Return ("IRR") of 21.71% in real terms and 31.3% in nominal terms (ungeared after
tax) with a payback period of 2.5 years from commissioning and an average operating margin of 46%. It should be noted that the FS was
completed with average base case long term metal price assumptions over the 16 years of Life of Mine ("LoM") of the project of US$951/oz for
platinum, US$299/oz for palladium, US$3,819/oz for rhodium, US$523/oz for gold for a 3PGE+Au basket price of approximately US$954/oz. The
average Rand to United States dollar exchange rate over the LoM of the project was ZAR8.06: US$1.00. The current spot 'basket' price is more
than double this at approximately US$2,000/oz 3PGE+Au with a foreign exchange rate of approximately ZAR7.80: US$1.00.

    Platmin is in advanced negotiations for finalization of off-take terms. Platmin will produce two concentrates (UG2 and Silicate) which
will be combined to achieve a PGE concentrate that is low in chrome, making it highly attractive for smelting. Total production over the LoM
is approximately 3.0Moz 3PGE+Au (approximately 2.2Moz attributable to Platmin).

    Definitions:

    In this Market Release "3PGE+Au" means Platinum (Pt), Palladium (Pd), Rhodium (Rh) and Gold (Au).

    Information contained in this Market Release is based on a National Instrument 43-101 (Standards of disclosure for mineral projects)
("NI 43-101") and Canadian Institute of Mining, Metallurgy and Petroleum (commonly known as the "CIM" standards) compliant Independent
Technical Report dated August 7, 2007 which has been filed on SEDAR and is available to be downloaded from www.sedar.com.


    www.platmin.com


    For Further Information

    Platmin Limited: 6 EcoFusion Office Park, Block B, 324, Witch-Hazel Avenue, Highveld Park X59, 0157, Centurion, 0067, South Africa;
Keith Liddell, Executive Deputy Chairman, [phone]; Ian Watson, Chief Executive Officer, [phone]; Ralph Degni, Chief
Financial Officer, [phone]; Grant Thornton Corporate Finance (Nomad): Fiona Owen, [phone] 

    FORWARD-LOOKING INFORMATION, FUTURE ORIENTED FINANCIAL INFORMATION AND FINANCIAL OUTLOOKS
    Certain statements contained in this market release constitute forward-looking information, future oriented financial information, and
financial outlooks (collectively "forward-looking information") within the meaning of Canadian securities laws. Forward-looking information
may relate to this and other matters identified in Platmin's public filings, Platmin's future outlook and anticipated events or results and,
in some cases, can be identified by terminology such as "may", "will", "should", "expect", "plan", "anticipate", "believe", "intend",
"estimate", "predict", "potential", "continue" or other similar expressions concerning matters that are not historical facts.  Actual
results may vary from such forward-looking information for a variety of reasons, including those set forth below. 
    This Market Release contains forward-looking statements that are not historical facts. Forward-looking statements involve risks,
uncertainties and other factors that could cause actual results, performance, prospects and opportunities to differ materially from those
expressed or implied by such forward-looking statements. Forward looking statements in this Market Release include, but are not limited to,
statements regarding the placement of US$200 million of senior project finance by Standard Bank and includes all the forward-looking
statements with regards to the Pilanesberg Project as outlined in Platmin's Market Release of July 16, 2007. This Market Release does not
constitute or form part of any offer or invitation to sell or issue or any solicitation of any offer to purchase or subscribe for any
securities in any jurisdiction, nor shall it (or any part of it) or the fact of its distribution form the basis of, or be relied upon in
connection with, or act as any inducement to enter into, any contract or commitment therefore. 

This information is provided by RNS
The company news service from the London Stock Exchange
 
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