Caledonia Mining has signed an agreement with Mitsubishi Corporation that will see the automaker earn up to half of the Rooipoort and Mapochs platinum projects in South Africa.

The Japanese firm will earn the stake in the project when it spends up to C$40 million on exploration over six years, or when it completes a bankable feasibility study on the project.

President and Chief Executive Office of Caledonia, Stefan Hayden, said that an injection of funds into the project would enable a more aggressive approach to platinum exploration.

"Subject to the completion of a number of mutually agreed conditions, we will immediately commence drilling, with the aim of upgrading and expanding the Rooipoort NI 43-101 resource," he explained.

The Rooipoort platinum and nickel project can be found about ten kilometres south of Mokopane at the southern end of the northern limb of the Bushveld complex.

According to reports from Mining Weekly, diamond drilling has uncovered three separate outcropping reefs of mineralisation.



Source:

Caledonia gives Mitsubishi right to earn 50% in SA platinum prospects, 30/06/08
http://www.miningweekly.com/article.php?a_id=136880