Saturday, September 26, 2026
MiningNewsTerminal
Saturday, September 26, 2026 Admin

ELR.TO ·

Eastern Platinum Limited Reports Q3 2018 Results

Financials

1080 - 1188 West Georgia St.

Vancouver, BC Canada V6E 4A2

November 14, 2018

Trading Symbol: ELR (TSX); EPS (JSE)

NEWS RELEASE

EASTERN PLATINUM LIMITED REPORTS Q3 2018 RESULTS

November 14, 2018, Vancouver, British Columbia – Ea stern Platinum Limited (“ Eastplats ” or the “ Company ”) is

pleased to report that it has filed its Q3-2018 condensed interim consolidated financial statements and management’s

discussion and analysis for the three and nine mont h periods ended September 30, 2018. Below is a summ ary of the

Company’s financial results and highlights for Q3 2 018 (all amounts in USD, except as indicated in Sou th African

Rand (“ ZAR ”)):

• cash inflow during the quarter of $0.5 million (ZAR 6.5 million) as a construction loan from Union Goa l

Offshore Solution Limited (“ Union Goal ”) in accordance with the UG Agreement (as defined herein);

• cash and short-term investments of $7.5 million and working capital of $9.0 million as at September 30, 2018

available for completion of the Retreatment Project (as defined herein) and other 2018 operations;

• capitalized and expended $15.7 million on the Chrom e Circuit (as defined herein) and related construct ion

activities to further the Retreatment Project (as defined herein) during Q3 2018;

• net loss of $3.0 million (loss of $0.03 per share) compared with $2.1 million (loss of $0.0 2 per share) in the

same period of 2017; however, the loss included a foreign exchange loss of $1.2 million in Q3 2018 compared

to $0.6 million in the same period of 2017; and

• net operating cash flows used during the quarter wa s $4.7 million compared with $2.4 million used duri ng

the same period of 2017.

Construction of the Retreatment Project

As previously disclosed, on March 1, 2018, the Company and its subsidiary Barplats Mines (Pty) Limited (“ Barplats ”)

entered into a framework agreement (the “ UG Agreement ”) with Union Goal relating to construction, remini ng and

processing of the tailings resource and offtake of chrome concentrate from Barplats’ tailings facility (the

“ Retreatment Project ”) located at the Company’s Crocodile River Mine in South Africa (“ CRM ”). During the

quarter the Company continued to focus its resources and efforts to complete the construction phase of the Retreatment

Project. The Company is now preparing for commissio ning, production and active operations. Commissioni ng is

estimated to begin shortly on the Retreatment Proje ct. The Chrome plant water commissioning is schedul ed to begin

during November 2018 followed by the introduction o f slurry into the Chrome plant. Ore production will ramp up

during the start-up period in December 2018. The ta ilings infrastructure has been completed and is rea dy to deliver

slurry to the Chrome plant and separately to accept tailings disposition as needed from the operations . As with all

commissioning and start-ups, many uncertain and unk nown issues can arise and the timing is uncertain. Eastplats

anticipates the Retreatment Project will result in revenue producing operations through offtake of the chrome

concentrates to Union Goal during Q4 2018.

The Company has spent $14,678 to September 30, 2018 with an estimated $3,853 remaining to complete the

Retreatment Project and bring it into revenue generating operations.

Operating Highlights and Outlook

During 2018 the Company has focused on the construction of the Retreatment Project and is now about to commission

the project. The Company and UG are focused to ensu re the Retreatment Project is brought into full ope rations as

quickly as is reasonable. Other projects have been placed on hold and all appropriate resources have b een authorized

and allocated to achieve revenue-producing operations as targeted in Q4 2018.

The Company has filed the following documents, all of which are available under the Company’s profile on SEDAR

at www.sedar.com :

• Transactional Agreements signed as part of the comp letion of the condition’s precedent under the UG

Agreement;

• Condensed interim consolidated financial statements for the three and nine months ended September 30,

2018; and

• Management’s discussion and analysis for the three and nine months ended September 30, 2018.

For further information, please contact:

EASTERN PLATINUM LIMITED

Rowland Wallenius, Chief Financial Officer and Corporate Secretary

[email protected] (email)

(604) 800 -8200 (phone)

Cautionary Statement Regarding Forward-Looking Info rmation

This press release contains “forward-looking statem ents” or “forward-looking information” (collectivel y referred to

herein as “ forward-looking statements ”) within the meaning of applicable securities legi slation. Such forward-

looking statements include, without limitation, for ecasts, estimates, expectations and objectives for future operations

that are subject to a number of assumptions, risks and uncertainties, many of which are beyond the con trol of the

Company. Forward-looking statements are statements that are not historical facts and are generally, b ut not always,

identified by the words “will”, “plan”, “intends”, “may”, “will”, “could”, “expects”, “anticipates” an d similar

expressions. Further disclosure of the risks and un certainties facing the Company and other forward-lo oking

statements are discussed in the Company’s Annual In formation Form and Management’s Discussion and Anal ysis

which are available under the Company’s profile on www.sedar.com.

In particular, this press release contains forward- looking statements pertaining to: estimated timing of construction

and commissioning of the Retreatment Project, estim ated timing of operations and revenue generation of the

Retreatment Project, estimated capital requirements for the Retreatment Project and the timing and completion of the

Retreatment Project. These forward-looking statemen ts are based on assumptions made by and information currently

available to the Company. Although management considers these assumptions to be reasonable based on information

currently available to it, they may prove to be inc orrect. By their very nature, forward-looking stat ements involve

inherent risks and uncertainties and readers are cautioned not to place undue reliance on these statements as a number

of factors could cause actual results to differ materially from the beliefs, plans, objectives, expectations, estimates and

intentions expressed in such forward-looking statem ents. These factors include, but are not limited t o, commodity

prices, economic conditions, currency fluctuations, competition and regulations, legal proceedings and risks related

to operations in foreign countries.

The forward-looking statements in this press release are made as of the date they are given and, except as required by

applicable securities laws, the Company disclaims any intention or obligation to publicly update or revise any forward-

looking statements, whether as a result of new information, future events or otherwise.

No stock exchange, securities commission or other r egulatory authority has approved or disapproved the

information contained herein.

NOT FOR DISSEMINATION IN THE UNITED STATES OR THROU GH U.S. NEWSWIRE SERVICES