Jubilee Metals completes first phase of Project Roan on schedule

Jubilee Metals Group PLC (LON:JLP) said the first copper concentrate for refining at Jubilee's Sable Refinery from Project Roan has been delivered on schedule. Project Roan is one of three locations where Jubilee plans to process copper and cobalt tailings; the others are Project Elephant 1 and Project Elephant 2. With the first phase of a three-phase development programme completed at Project Roan, the second phase should see an increase in the amount and quality of intermediate copper concentrate delivered to the Sable Refinery for processing in the third quarter of this year. The third phase of the project is scheduled for completion during the first quarter of 2022. As for Project Elephant, Jubilee said work on the design of the copper processing facility is progressing well and remains on track to enter the execution phase for the project by August 2021. Meanwhile, Jubilee has entered into a long-term off-take agreement and the Sable Refinery is expecting to start receiving third party copper containing run-of-mine (ROM) material. Under the terms of this agreement, the third-party ROM material will be ramped up to reach 150 tonnes per month of delivered copper units by June 2021. Commenting on the copper market, Jubilee noted that the copper price is close to a near 10-year high with analysts predicting further significant growth over the next 12-24 months driven by several long-term trends. “An increased environmental agenda globally and electrification are at the centre of this with the proliferation of electric vehicles, the increased use of renewable energy sources, energy efficiency and increased consumption of electronics,” Jubilee’s statement said. Leon Coetzer, the chief executive officer, said completion of the first phase of Project Roan demonstrates the Jubilee team’s abilities to deliver on its goals in a new jurisdiction (Zambia). "Alongside the continued performance of our South African PGM [platinum group metals] operations, the targeted significant ramp-up of our copper operation in Zambia is expected to further improve on Jubilee's recently published record interim results for the six-month period to 31 December 2020, generating long term, quality earnings,” Coetzer said. "Looking ahead to next steps, I am confident of the completion of Phase 2 of Project Roan on time during Q3 2021, which will further increase the copper concentrate being delivered to the Sable Refinery. With Project Elephant progressing simultaneously and on track to enter the execution phase of the project by August this year, I look forward with confidence to update shareholders as we progress,” Coetzer said. The shares were up 1.4% at 17.65p in early deals.