We are a mining operating company specialising in the extraction of remnant or “written-off” reserves.Platinum reserves in the older, shallower areas of the Western Limb of the Bushveld Complex, are being depleted or are simply deemed “not payable” due to the high overhead costs and the scattered nature of the remaining reserves. For this reason, many Platinum producers in South Africa are in the process of expansion into the deeper regions of their lease areas by developing 2nd generation shaft systems.
P² Mining was established in anticipation of this opportunity, arising from the planned closure of marginal shafts in the Platinum sector. The extraction of marginal/written-off resources can be done safely, in a more profitable manner, by a “leaner” company with excellent mining skills to the mutual benefit of P² Mining and the resource owner.
P² Mining uses the services of Newrak Mining. Their infrastructure, techniques and excellent safety records are combined with the knowledge of Platinum, current client relations and optimal extraction capabilities. In this way we have established a unique value proposition for the company and the mineral mining major.
After a feasibility study, the business model that we apply is a basic revenue split model – P2 Mining delivers PGM-bearing ore to the mine’s plant at its own production cost (total production cost). In return, the client receives PGM’s at a fixed cost. We do this by entering into a resource lease and/or operations agreement. You benefit from the profit that would have been lost otherwise. While we benefit from the income obtained from the extraction of the remaining reserves.
This opportunity is a good business consideration for all major mining houses that are in the process of extending their mining operations into the deeper parts of the resource.
We are proud to announce that P2 Mining has achieved 1,000,000 Fatality Free Shifts at Lonmin West 1 Shaft. Click here for more on our safety achievements.