Jubilee Metals Group to focus on Zambian copper projects after disposal of SA assets

Jubilee Metals Group plans to concentrate solely on its Zambian copper projects and the Tjate platinum project in South Africa by the end of the year -.the strategic shift is contingent on the disposal of its South African chrome and PGM operations, which is expected to be finalised soon.

In an update released on Monday, the JSE and London-listed copper-focused producer revealed that shareholders had approved the sale of the chrome and PGM operations on August 25, 2025. The company has already received the first tranche of the sale consideration, amounting to $15 million.

“Our Three-Pillar Strategy offers flexibility to our operations and supports a more robust business approach to withstand in-country risks while providing exciting growth opportunities for the Group,” said CEO Leon Coetzer.

The company is awaiting approval from the Competition Commission for the transaction, with the final condition precedent being the ongoing company audit.

Notwithstanding the positive update, Jubilee's share price fell 6.49% to 72 cents on the JSE Monday afternoon, a price that was also well below 109 cents a year ago.

Jubilee's Three-Pillar Strategy aims to achieve an annual production of 25 000 tons of copper units and establish itself as a producer with capabilities in exploration, mining, concentrating, and cathode refining. The strategy is divided into three business units: the Roan concentrator, the Sable refinery, and the Large Waste Project (LWP).

The first pillar involves processing third-party copper feedstock through the Roan facility, an independent, cash-generating processing facility for waste, tailings, and previously mined materials. Current production at Roan is primarily sourced from purchased run-of-mine material, with an average grade of 1.65% copper, slightly exceeding the targeted 1.6% Cu.

For the first quarter of the 2026 financial year, production at Roan aligned with guidance, reaching 915 tons of copper in concentrate. Production is expected to remain within a similar range for the next quarter, estimated between 900 and 950 tons, considering the impact of the rainy season.

“We have the option to further increase throughput by processing historical tailings material and introducing the new Roan front-end. However, these options will only be considered after the seasonal changes expected during the rainy season,” Coetzer noted.

A project to add a copper leach circuit at Roan, targeting super fine oxide copper, is reportedly progressing positively, according to Jupiter’s directors.

The second pillar focuses on an integrated mine-to-metals business with Sable and its mining assets. The Sable expansion project is expected to be completed in the third quarter and will accommodate increased production from the nearby Munkoyo mining operation and other near-surface opportunities. Some $5.5 million of investment is still required at Sable, which the company plans to source from existing resources and the sale of its South African assets.

The Munkoyo expansion is on schedule, with 1.122 tons of high-grade ore delivered for the month of September. Copper grades delivered to Sable have begun to improve following the original open-pit development, with current grades exceeding 2% copper.

Pit 2 is targeting a mining rate of 80 000 tons per month. The high-grade run-of-mine is being increased to 4 500 tons per month from 3 500 tons per month over 45 days, while the lower-grade material (averaging 0.7% Cu) continues to be stockpiled on-site, reaching some 2 million tons to date. This lower-grade material is intended for future on-site processing, with plans for two 30,000 tons per month modular processing units currently under investigation. Funding discussions for these modular units are ongoing.

A resource drilling programme is also underway, with the second phase of drilling expected to be completed by the end of the third quarter. The company has expanded its presence in the region surrounding Munkoyo by securing additional exploration permits.

Joint venture discussions with potential partners are ongoing to undertake resource reviews and mine planning. This will allow the company to focus on implementing and expanding its processing solutions.

The third pillar involves processing Jubilee-acquired surface stockpiles and tailings dumps. The Large Waste Project is being upgraded  to enhance the ore reclamation mine design, as well as the initial ore reclamation zone of the extensive rock dump area.

To date, nearly 12 000 truckloads have been reclaimed and assayed, significantly enhancing the information available on the material. Near-final designs for the project are expected to be completed by the end of the third quarter.

Discussions with potential funding partners are ongoing, with an internal target date of December 31, 2025, to finalise these talks.

BUSINESS REPORT