RNS Number : 6899B
Jubilee Metals Group PLC
27 August 2024
 

Jubilee Metals Group PLC

Registration number (4459850)

AIM share code: JLP

Altx share code: JBL

ISIN: GB0031852162

("Jubilee" or "the Company" or "the Group")

 

 

Dissemination of a Regulatory Announcement that contains inside information according to UK Market Abuse Regulations. Not for release, publication or distribution in whole or in part in, into or from any jurisdiction where to do so would constitute a violation of the relevant laws or regulations of such jurisdiction.

 

Jubilee secures Private Power Purchase Agreement in Zambia

 

Jubilee, a diversified metals producer with operations in Zambia and South Africa, is pleased to announce the signing of a three-year renewable power purchase agreement with Lunsemfwa Hydro Power Company (LHPC), an independent hydro and solar power producer in Zambia. The power purchase agreement ensures that the total power supply needs of both Roan and Sable will be continuously met at competitive rates to the prevailing power tariffs, commencing on 1 September 2024. 

 

In addition, the agreement allows Jubilee the option to secure a further 10MW of solar generated power discounted by more than 30% below the initial power purchase agreement power rates. The additional power secures Jubilee's future power demands to meet its expanding operational footprint.

 

Leon Coetzer, CEO of Jubilee commented:

 

"The successful implementation of the private power purchase agreement is a critical step towards securing a reliable and continuous power supply for our operations and addresses the current shortage of power experienced. This comes at a critical time as we step up the production at our Roan and Sable operations and look to further expand our operational footprint. Our Roan operation has been impacted by power shortages, which is comprehensively addressed by this agreement.

 

The additional power allocation of 10MW which holds the potential to be further scaled, ensures that our immediate power demands for our operational expansion targeting 25 000 tonnes of annual copper processing capacity will be met. Security of power supply is a critical factor in the successful roll-out of our Zambian copper strategy."

 

Further Background to the Power Purchase Agreement

 

LHPC is an established independent power producer in Zambia and owns and operates two hydropower plants in the central province. LHPC is a member of the Southern Africa Power Pool and an active power trader in the regional market. LHPC is building a 20MW solar plant and plans to use its portfolio of renewable power sources to meet Jubilee Zambia's power requirements. The agreement highlights Jubilee's dedication to sustainable energy practices. The power will be supplied from an integrated solar power and hydro-storage facility which is expected to be brought into operation over the coming 12 months.  

 

On 10 June 2024, the government of the Republic of Zambia held a special cabinet meeting chaired by the President and approved the Open Access regime allowing private players to access the electricity transmission and distribution lines in the country to give consumers alternative sources of electricity to encourage the development of power generation in the country. LHPC and Jubilee are excited to be among the pioneers in actualising this government policy.

 

 

*ENDS*

27 August 2024

For further information visit www.jubileemetalsgroup.com, follow Jubilee on Twitter (@Jubilee_Metals), visit www.lunsemfwahydro.com.zm  or contact below:

Jubilee Metals Group PLC 

Leon Coetzer (CEO) / Neal Reynolds (CFO)

Tel: +27 (0) 11 465 1913 

Nominated Adviser - SPARK Advisory Partners Limited 

Andrew Emmott/James Keeshan 

Tel: +44 (0) 20 3368 3555 

PR & IR Adviser - Tavistock 

Jos Simson/ Gareth Tredway

Tel: +44 (0) 207 920 3150 

Joint Broker - RBC Capital Markets

Farid Dadashev/Jamil Miah

Tel +44 (0) 20 7653 4000

Joint Broker - Zeus Capital

Harry Ansell/Katy Mitchell  

Tel: +44 (0) 20 7220 1670/+44 (0) 113 394 6618 

JSE Sponsor - Questco Corporate Advisory Proprietary Limited 

Alison McLaren

Tel: +27 (0)11 011 9207

 

About Jubilee

 

Jubilee is a low-cost, diversified producer, specialising in the recovery and processing of metals from previously overlooked resources, such as unprocessed historical waste rock, run-of-mine materials and tailings in Zambia and South Africa. The Company's low-capex, modular processing facilities are deployed close to these various types of material, producing high-grade concentrates for sale or further refining to finished metal at the Company's downstream facilities. Production currently consists of copper, chrome, and platinum group metals (PGMs). The modular processing facilities offer a platform for growth and the rapid expansion of Jubilee's operational footprint in Zambia and South Africa. Jubilee's success is derived from operational and technical excellence, an experienced management team and a pioneering Technical Development Centre.

 

 

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