syboman Tuesday, 09/24/19 02:54:49 PM Re: Dragonfart post# 586 Post # of 639 Key paragraphs of PR..IMO RISKS Permitting timing and conditions are beyond Waterberg JV control and may result in delays or increased costs. The application for the Mining Right has been submitted and is yet to be granted. The area is somewhat underdeveloped, and the construction of considerable infrastructure is required. Skills development is a key to the large-scale production with efficient modern international mining methods. The mitigation to this risk is the investment in training early in the Project construction and this has been planned and costed. The palladium market appears to be strong and in deficit. The Project has a considerable ramp up period and a long-life and the metals markets are difficult to predict 10 -20 years in the future. Although Implats holds a right of first refusal to smelt and refine Waterberg concentrate, Waterberg JV does not presently have a smelter agreement to sell its product, although the concentrate appears to be attractive and production is shrinking in other parts of the market. NEXT STEPS A contractual process follows the publication of the DFS, enabling Implats the opportunity to review all the elements and the outcomes of the DFS and to formally accept the study as well as to decide their level of participation in the Project's implementation phase. Waterberg JV will continue with work on environmental, community and government interactions and approvals for the grant of the Mining Right and required permits.