Quarterly Activities Report for 30 June 2022
JUNE QUARTER HIGHLIGHTS
• Completion of Total Magnetic Field (TMF) spectrometry survey at Bengwenyama, confirming the existing structural model of the site based on historical field data
• Drilling contract awarded to a leading South African drill services company Geomech (Africa) Pty Ltd, following an extensive tender process
• Planning completed for Phase 1 which comprises a 63-hole (~24,500m) diamond drilling programme at Bengwenyama and is scheduled to commence in August 2022
• Results from Phase 1 drilling programme is to be used in the Scoping and Pre-Feasibility Studies, which are expected to form the basis of a Mining Right Application Corporate:
• Successfully admitted to the Official List of the ASX and Main Board of the JSE, commencing quotation on 8 June 2022
• Raised $19m through the issue of 38m shares priced at $0.50 per share, pursuant to Initial Public Offering (IPO) Prospectus dated 22 April 2022
• Oversubscribed IPO round attracted strong demand from institutional investors including Regal, Sprott Holdings and Lowell Capital
• IPO solely managed by Bridge Street Capital Partners
Southern Palladium (ASX: SPD, “Southern Palladium” or the “Company”) is pleased to announce its quarterly activities summary for the three months ended June 30, 2022.
The Company’s primary focus is the advancement of its exploration programme at the Bengwenyama PGM (platinum group metals) project, in which it holds a direct 70% stake.
Following its successful ASX listing, Southern Palladium is well-funded to accelerate a multi-phase exploration programme at Bengwenyama, which already contains at Inferred Mineral Resource Estimate of 18.8Moz (3PGE+Au). The Company is led by an experienced on-ground management team including some of South Africa’s experienced mining industry executives.
Bengwenyama PGM Project The Bengwenyama project is a large shallow advance exploration and predevelopment Platinum Group Metal (“PGM”) opportunity situated on the Eastern Limb of the Bushveld Complex in South Africa.
Detailed planning and community engagement initiatives continue to progress well, ahead of the twophase drilling programmes at the Bengwenyama PGM project. Key project elements underway include property access, employment initiatives, tender processes and exploration related construction projects, in accordance with benchmarks agreed with the Bengwenyama community and in accordance with management’s long-term development strategy.
Pre-drilling activities The Company announced the successful completion of a high-definition, helicopter-borne Total Magnetic Field (TMF) gradient and gamma-ray spectrometry survey at Bengwenyama.
The TMF data confirmed the previous structural models for two ore horizons — the UG2 chromitite and Merensky Reef — which forms the framework of the 18.8Moz Inferred Mineral Resource.
JORC Competent Persons Statement
The information in this report that relates to Mineral Resources at the Bengwenyama Project is based on details originally reported in the Independent Technical Assessment Report (ITAR) No. R246.2021 prepared by CSA Global dated 19 April 2022 contained in the Company’s Prospectus and Pre-Listing Statement dated 22 April 2022. The information in the ITAR that relates to Technical Assessment of the Mineral Assets, Exploration Targets, or Exploration Results is based on information compiled and conclusions derived by Dr Brendan Clarke, a Partner and an employee of CSA Global. The information in the ITAR that relates to Mineral Resources is based on work undertaken by Anton Geldenhuys, a Principal Consultant and employee of CSA Global. The Prospectus containing the ITAR can be found on the Company’s website at: https://www.southernpalladium.com/site/investorcentre/prospectus
SOURCE: Southern Palladium
DATE: July 29, 2022