Jubilee Initiates Operations at Roan Upgrade Facility

Jubilee Metals Group PLC (LSE:JLP), a diversified metals producer operating in South Africa and Zambia, has announced the start of operations at the Roan Upgrade project in Zambia. The newly constructed front-end section of the Roan facility has now been integrated with the existing milling and flotation sections, enhancing the overall processing capacity and flexibility of the site. 

Operational Enhancements 

The newly built front-end section at Roan has been positioned adjacent to the existing milling and flotation circuits. This addition increases the overall processing capacity of Roan to a designed maximum of 13,000 tonnes of copper per annum (tpa). This upgrade is part of Jubilee's broader strategy to expand operational capacity, which also includes the ongoing upgrade of the Sable refinery. The combined goal is to achieve a processing capacity of 25,000 tpa of copper within the next 12 months. 

CEO Remarks 

Leon Coetzer, CEO of Jubilee, commented on the commencement of production at the Roan front-end upgrade. He highlighted the efforts of the team in reaching this stage and expressed anticipation for a swift ramp-up in production. Coetzer emphasized that the upgraded Roan, together with the Sable refinery, provides Jubilee with considerable processing flexibility and opportunities to pursue copper resources more effectively. 

Copper Resource Strategy 

Jubilee's strategy for copper resources focuses on extracting value from materials often considered waste or economically challenging to process using traditional methods. The targeted resources are categorized into three groups: 

• Previously Processed Material: Includes tailings and partially processed discarded low-grade materials. 

• Previously Mined Material: Encompasses stockpiled low-grade mined material and overburden rock, such as those from the Waste Rock Project. 

• Open-pit Mining: Involves mining near-surface copper reefs, including the Munkoyo operation and Project G. 

These materials are available in substantial quantities in Zambia, providing Jubilee with opportunities for growth through strategic acquisitions. The successful acquisition of these resources has allowed Jubilee to transition Sable into a dedicated refiner for open-pit mining operations, while the upgraded Roan will focus on processing previously mined and processed materials. 

Operational Integration 

Upon full completion, Sable and Roan will operate independently. Sable will process material from open-pit mining operations, and any excess concentrate from Roan will be sold in the open market. Jubilee is also considering expanding the Roan operation to include downstream refining, depending on capital availability. The target combined processing capacity is approximately 25,000 tpa of copper, with Sable contributing 16,000 tpa and Roan adding additional capacity. 

Update on Roan Upgrade 

As of June 24, 2024, civil and mechanical work on the Roan Upgrade was completed. The installation and commissioning of the electrical control system (ECS) have now been finalized, enabling the start of production ramp-up. The team at Jubilee has begun processing previously mined material, which is upgraded at the source before being transported to Roan. Initially, the copper concentrate will be refined into copper cathode at Sable. Once Sable’s capacity is fully utilized by open-pit mined materials, Roan’s concentrate will be sold on the open market.