(MENAFN- ProactiveInvestors)- adds detail share price - Jubilee Platinum (LON:JLP) remains committed to the platinum business despite the recent weakness in the price of the precious metal. The group recently sold its smelting and power generating operations in South Africa and is now fully focused on bringing its platinum tailings projects at ASA's Dickong chrome mine and with chrome group Hernic on stream. Construction of the processing plant at Dickong is underway said Leo Coetzee chief executive. This will start two stages with a chrome concentrate plant set to be commissioned early next year to be followed a platinum circuit later in 2016. Cost will be around £4.9lm with Jubilee aiming to get project finance in place both for the ASA and Hernic contracts. Talks on financing have reach an advanced stage with one bank having received credit committee approval and final confirmation of the due diligence expected shortly. Coetzee said while conditions in global mining markets remain challenging the Platinum Surface Projects are robust even at current metal prices as they have no mining cost or associated mining risk attached. Platinum prices have dropped 25% to US$895 over the past twelve months and have not been at this level since 2009. Coetzee says mining is 60% of the cost of most platinum projects and it structured its two surface deals to avoid this. He added that an upbeat longer term view on the platinum price also influenced its decision to go ahead with the tailings processing plants. 'There are a record number of cars being sold in the US currently so demand for platinum is there' he said. The company posted a loss of £2.9mln (£3.6mln) in the year to June though these numbers included the smelter and power businesses which were sold after the year end for a combined £5.3mln. Coetzee added the proceeds have left Jubilee with the cash to build the plant at Dickong if needs be. Shares rose 5% to 3.59p and since April the shares have almost tripled.
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