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Jubilee Metals, the London- and Johannesburg-listed company now prioritizing copper extraction in Zambia, reported on Friday, October 17, that it is making steady progress toward finalizing the sale of its substantial South African chrome and platinum group metals (PGM) operations.
The divestiture represents a critical step in the company’s strategic repositioning. Two significant conditions precedent remain before the transaction can close: securing approval from South Africa’s Competition Commission and the delivery of the audited accounts for the disposal group for the financial year ending June 30. Jubilee leadership expressed hope that the sale would be completed by the end of the current calendar year, anticipating the audited results to be delivered during the second half of November.
Shareholders approved the disposal in August, and the company has already received the first $15 million cash installment of the sale consideration. Despite the impending sale, the South African assets delivered a solid operational period.
Leon Coetzer, Jubilee’s Chief Executive Officer, noted the progress, stating, “Our South African operations have delivered a solid performance whilst the sale of our South African chrome and PGM Operations is progressing to expectation.”
An operational and project update for the three months ending September 30 highlighted key production metrics for the departing assets:
- Chrome Concentrate Production was 404,151 tons, an 11.2 percent decline compared with the same period last year. This reduction was primarily attributed to the cessation of the OBB chrome ore supply contract in July, though increased output from the Thutse operations provided a partial offset. The OBB contract had previously contributed an equivalent of 450,000 tons annually.
- PGM Production fell by 10.1 percent to 8,382 ounces, a decrease also linked to the impact on feedstock supply following the termination of the OBB contract. PGM tailings from the OBB facility are, however, still being processed at the company’s Inyoni PGM facility.
The company’s South Africa production guidance for the 2026 financial year remains at 1.65 million to 1.80 million tons of chrome concentrate and 36,000 to 40,000 ounces of PGM production.
The divestiture paves the way for Jubilee to concentrate capital and management focus on its expanding copper business in Zambia. The company first established its operational base in the country with the acquisition of the Sable Refinery in Kabwe in August 2019.
Management is now emphasizing growth in Zambia, drawn by the significant supply of readily available on-surface copper waste material. This focus is coupled with a strategy to engage with the nation’s junior mining sector, providing much-needed processing facilities and developing strategic partnerships to scale up copper production.
