Sylvania Resources and Jubilee Platinum announced today (2nd November) that they have agreed a strategic partnership relating to the latter's smelting facilities.

Under the terms of the deal, Sylvania will be granted access to the ConRoast technology, which will assist in the processing of chrome tailings and deposits for pgm concentrate.

The news comes after Jubilee revealed last week that it has finalised its acquisition of Braemore Resources, which originally owned the global rights to ConRoast.

Sylvania CEO Terry McConnachie explained that the partnership will also see Jubilee benefit from his company's substantial expertise in secondary pgm recovery.

"In entering into this alliance we are extending our demonstrated success in the secondary platinum recovery sector and have no limit to what can be provided to current producers for retreatment of current tailings stockpiles," he said.

The deal will place Jubilee as the main smelter builder and operator for Sylvania's pgm projects on the northern limb of the Bushveld Complex in South Africa.

Jubilee CEO Colin Bird expressed his satisfaction at securing a partnership which will also allow both companies to fast-track their respective interests in the pgm sector.

"I am delighted we are teaming up with Sylvania," he said.

"Our alliance is a logical step towards achieving the mission of total capability in the pgm industry."

Sylvania revealed last month that it had terminated a proposed R2.9 billion merger with Finnish firm Ruukki over "difficulties experienced with its implementation".

Sources:

Sylvania and Jubilee Platinum Announce Strategic Partnership (02/11/09)

Sylvania, Jubilee enter strategic PGMs smelting partnership (02/11/09)

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