Platinum Group Metals has confirmed that it is "actively" exploring the possibility of strategic alternatives in relation to its projects in South Africa.

During the 2009 financial year, the Canadian firm announced a deal which will see it increase its effective stake in Project 1 and 3 of the Western Bushveld Joint Venture.

Under the terms of the arrangement, the company will take a 74 per cent interest in the sizeable and high-grade pgm reserves and resources at both sites.

According to a feasibility study carried out in October 2009 on Project 1 - which is at a more advanced stage of development - it could offer 275,000 oz per year over a 22-year life-of-mine cycle.

In addition, the firm has been granted prospecting rights for a new 118 sq km area located to the north of the northern limb of the Bushveld Complex.

This project, known as Waterberg, has been optioned to JOGMEC and will see Platinum Group Metals holding a 37 per cent stake and carrying out exploration, with a black economic empowerment firm taking a 26 per cent interest.

However, in its latest financial results, Platinum Group Metals confirmed that it has no plans to rest on its laurels.

One section of a statement read: "The company is actively assessing several strategic alternatives in order to maximise shareholder value from its projects in South Africa.

"The alternatives include building the Project 1 platinum mine using conventional debt and equity, hedging some of the project in a partnership or transaction involving a minority of the metal flow, or the sale of the company."

Platinum Group Metals was formed in 2000 and its main management teams are based in Vancouver and Johannesburg.

Source:

Platinum Group Reports 2010 First Quarter Financial Results (14/01/10)

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