Core Viewpoint - Platinum Group Metals Ltd. reported its financial results for the fiscal year ended August 31, 2025, highlighting the advancement of the Waterberg Project, which is expected to be one of the largest and lowest-cost underground platinum group metals mines globally [1][20]. Financial Results - The company incurred a net loss of $4.54 million for the fiscal year, slightly improved from a net loss of $4.61 million in the previous year [16]. - General and administrative expenses increased to $3.66 million from $3.42 million year-over-year [16]. - Share-based compensation decreased to $1.19 million from $1.36 million [16]. - The foreign exchange gain was $95 thousand, compared to $4 thousand in the previous year, primarily due to the U.S. Dollar's appreciation against the Canadian Dollar [16]. Project Ownership and Structure - As of August 31, 2025, the Waterberg Project is owned by Waterberg JV Resources (Pty) Ltd., with Platinum Group holding a 37.32% interest [4]. - The ownership structure includes Mnombo (26.0%), HJ Platinum Metals Company Ltd. (21.95%), and Impala Platinum Holdings Ltd. (14.73%) [4]. - HJ Platinum Metals Company Ltd. was established in 2023 to hold and fund future equity interests in the Waterberg Project [5]. Recent Developments - On September 17, 2025, Waterberg JV Co. approved a sixth stage of work budgeted at Rand 92.1 million (approximately $5.11 million) for fiscal year 2026 [7]. - A non-brokered private placement of common shares was closed on May 29, 2025, raising $1.0 million, allowing Hosken Consolidated Investments Limited to maintain a 26% interest in the company [8]. - An interim budget of Rand 42 million (approximately $2.27 million) was approved on February 18, 2025, for the continuation of work programs [9]. Project Expenditures - Total expenditures on the Waterberg Project for the year ended August 31, 2025, were approximately $2.0 million, down from $3.0 million in the previous year [19]. - Accumulated net costs capitalized to the Waterberg Project reached $49.2 million as of August 31, 2025, compared to $47.0 million the previous year [19]. Future Outlook - The primary business objective is to advance the Waterberg Project to a development and construction decision [20]. - The company is assessing commercial alternatives for mine development financing and concentrate offtake [22]. - Discussions are ongoing with South African integrated producers regarding formal concentrate offtake arrangements [22]. Environmental, Social, and Governance (ESG) - The company received a BBB score in its 2025 ESG disclosure report from Digbee Ltd., indicating a commitment to improving ESG performance [26].

Group 1: Dell Technologies Inc. - Dell raised its annual revenue growth and annual adjusted EPS growth guidance [2] - Dell plans to increase its quarterly dividend by at least 10% annually through fiscal 2030 [2] - Dell shares jumped 7.7% to $162.57 on Wednesday [2] - Wells Fargo analyst Aaron Rakers maintained Dell with an Overweight rating and raised the price target from $160 to $180 [1] - Bernstein analyst Mark Newman maintained the stock with an Outperform rating and raised the price target from $175 to $180 [1] Group 2: Market Performance - U.S. stocks were higher, with the Dow Jones index gaining around 100 points on Wednesday [1] - Several other stocks recorded significant gains, including Nanobiotix S.A. which jumped 24.4% to $26.08 [4] - I-Mab gained 22.7% to $5.36, and Diginex Limited rose 19.2% to $28.85 [4] - Critical Metals Corp. gained 18% to $11.82 after signing a 10-year offtake deal [4] - Select Medical Holdings Corporation gained 12.8% to $14.71, with RBC Capital analyst raising the price target from $16 to $20 [4]

Financial Performance - The Company reported a negative operating cash flow for the nine-month period ended May 31, 2025, indicating ongoing financial challenges[8]. - As of May 31, 2025, the company had working capital of $5.0 million and a cash balance of $5.7 million, with a total comprehensive loss of $4.0 million for the nine-month period[119]. - For the nine-month period ended May 31, 2025, the company incurred a net loss of $3.4 million, a decrease from a loss of $4.0 million in the same period the previous year[124]. - General and administrative expenses totaled $2.8 million for the nine-month period, compared to $2.6 million in the prior year, with share-based compensation decreasing to $0.8 million from $1.6 million[124]. - The company has never declared nor paid dividends on its Common Shares and does not intend to do so in the foreseeable future[127]. Project Development - The Company is in the development stage and continues to incur losses until the Waterberg Project reaches commercial production on a profitable basis[8]. - The Company is focused on obtaining a water use license and environmental permits for the Waterberg Project, which is located approximately 85 km north of Mokopane, South Africa[5]. - The Company is negotiating long-term access agreements with communities recognized as titled landowners of three farms where mining infrastructure is planned[5]. - The Company is actively monitoring and managing key environmental, social sustainability, and governance activities at the Waterberg Project[7]. - The Company aims to advance the Waterberg Project to a development and construction decision, requiring project financing and concentrate offtake arrangements[138]. Financial Support and Investments - The Company anticipates the completion of additional required financings and potential terms thereof to support its operations[5]. - The Company raised gross proceeds of $5.75 million by selling 4,350,928 Common Shares at an average price of US$1.32 during the nine-month period ended May 31, 2025[113]. - A non-brokered private placement on September 18, 2023, raised gross proceeds of US$2.5 million by issuing 2,118,645 Common Shares at US$1.18 per share[115]. - The Company has committed to advancing the Waterberg Project and general corporate purposes with the proceeds from recent equity financings[116]. - The Company received net proceeds of $12.1 million from the 2025 ATM, including $6.5 million after May 31, 2025, and an additional $1.0 million from a private placement with its largest shareholder[120]. Resource Estimates and Mining Operations - The Waterberg DFS Update reported total Measured and Indicated mineral resources of 345.03 million tonnes grading 3.04 4E g/t, equating to 33.76 million 4E oz, a 9.5% increase from the previous estimate[54]. - Proven and Probable mineral reserves increased by 20% to 23.41 million 4E oz, with an average grade of 2.96 4E g/t[55]. - The estimated after-tax net present value (NPV) of the project is $569 million, with an Internal Rate of Return (IRR) of 14.2%[55]. - The total project capital is estimated at $946 million, including 8.5% for contingencies, with peak capital estimated at $776 million[55]. - The Waterberg Project is expected to produce 4.8 million tonnes of ore per annum, with a life of mine (LOM) average of 353,208 4E ounces per year in concentrate, and maximum annual production estimated at 432,950 4E ounces[73]. Environmental and Social Governance (ESG) - The Company is exploring the establishment of a smelter and BMR in Saudi Arabia, supported by a cooperation agreement with Ajlan & Bros Mining and Metals Co.[44]. - The Waterberg SLP has budgeted R428.9 million (approximately $23.85 million) over a five-year period for community development initiatives[85]. - The company aims to achieve a high level of understanding and commitment to ESG performance indicators, covering social risk management, grievance management, and environmental impact mitigation[88]. - The company has engaged with Digbee Ltd. to assess its ESG development, achieving an overall score of BBB based on independent evaluation[91]. - The Company has developed a formal grievance mechanism for local communities, translated into the local language (Sepedi), to ensure accessibility[100]. Technological Development - The Company is developing next-generation battery technology through its joint venture, Lion Battery Technologies Inc.[7]. - The Company invested $4.69 million in Lion Battery Technologies Inc. to accelerate the development of next-generation battery technology[25]. - Lion has secured multiple patents related to battery technology utilizing platinum and palladium, with ongoing commercialization efforts[27]. - The Company is investing in battery technology through Lion with Valterra, aiming for vertical integration in the lithium battery market[143]. Market Conditions and Future Outlook - PGE prices have been volatile since 2022 but have increased since April 2025 due to rising Chinese investment and jewelry demand, as well as a rebound in global internal combustion vehicle production[141]. - The company anticipates strong future demand for platinum, rhodium, gold, copper, and nickel, with copper and nickel being crucial for battery electric vehicles[142]. - The long-term metal prices assumed for cut-off grade estimates include Pt at $1,050/oz, Pd at $1,300/oz, Rh at $5,000/oz, Au at $1,650/oz, Cu at $3.50/lb, and Ni at $8.50/lb[5].

Core Viewpoint - Platinum Group Metals Ltd. is focused on advancing the Waterberg Project in South Africa, which is projected to be one of the largest and lowest-cost underground platinum group metals mines globally [1][23]. Financial Results - For the nine months ended May 31, 2025, the company reported a net loss of $3.40 million, an improvement from a net loss of $4.02 million in the same period in 2024 [14]. - General and administrative expenses increased to $2.78 million from $2.57 million year-over-year, while stock-based compensation decreased to $0.79 million from $1.61 million [14]. - Basic and diluted loss per share was $0.03, compared to $0.04 for the same period in 2024 [15]. Project Development - The Waterberg Project is owned by Waterberg JV Resources, with Platinum Group holding a 37.32% interest [5]. - The company aims to finalize construction financing and concentrate offtake agreements to advance the Waterberg Project to a development and construction decision [2][23]. - An interim budget of Rand 42 million (approximately $2.27 million) was approved to continue work programs for the Waterberg Project [7]. Recent Events - A non-brokered private placement raised $1.0 million by issuing 800,000 common shares at $1.26 each, allowing a major shareholder to regain a 26% interest in the company [6]. - The company entered into an Equity Distribution Agreement to distribute up to $50 million of common shares through an at-the-market equity program [8][10]. Smelting and Refining Initiatives - A memorandum of understanding was signed with Ajlan & Bros for establishing a platinum group metals smelter and base metal refinery in Saudi Arabia [11]. - The company is conducting a trade-off study to assess the feasibility of exporting PGM concentrate from South Africa to Saudi Arabia [20][22]. Market Outlook - The company is exploring new applications for PGMs in battery technologies through its initiative with Lion Battery Technologies [2][29]. - Despite recent global tariffs raising market uncertainties, platinum and palladium prices have been increasing due to strong demand and supply concerns [30][32]. Environmental, Social, and Governance (ESG) - The company received a BBB score in its fourth annual ESG disclosure report, indicating a commitment to improving ESG performance [33][34].

[Platinum Group Metals Announces Positive Results of Annual General Meeting of Shareholders](index=1&type=section&id=Platinum%20Group%20Metals%20Announces%20Positive%20Results%20of%20Annual%20General%20Meeting%20of%20Shareholders) Platinum Group Metals Ltd. announced positive results from its Annual General Meeting on February 28, 2025, with strong shareholder support for the board of directors and all proposed resolutions - Platinum Group Metals Ltd. announced positive results from its Annual General Meeting on February 28, 2025, with strong shareholder support for the board of directors and all proposed resolutions[1](index=1&type=chunk)[2](index=2&type=chunk) [Annual General Meeting Results](index=1&type=section&id=Annual%20General%20Meeting%20Results) The Annual General Meeting held on February 28, 2025, had a shareholder turnout representing 59.31% of eligible shares, with all six management nominees for the board of directors elected with strong support, and the re-appointment of PricewaterhouseCoopers LLP as the company's auditor approved - Shareholder turnout for the Annual General Meeting was **59.31%** of the issued shares eligible to vote[2](index=2&type=chunk) Director Election Proxy Voting Results | DIRECTOR | NUMBER OF SHARES FOR | PERCENTAGE OF VOTES FOR | PERCENTAGE OF VOTES WITHHELD | | :--- | :--- | :--- | :--- | | Diana Walters | 48,788,342 | 99.10% | 0.90% | | Frank Hallam | 48,759,306 | 99.05% | 0.95% | | Timothy Marlow | 48,345,254 | 98.20% | 1.80% | | John Copelyn | 48,671,091 | 98.87% | 1.13% | | Stuart Harshaw | 48,732,566 | 98.99% | 1.01% | | Mpho Makwana | 48,764,078 | 99.06% | 0.94% | - The re-appointment of PricewaterhouseCoopers LLP as auditors was approved by **96.99%** of shareholders[3](index=3&type=chunk) [About Platinum Group Metals Ltd.](index=1&type=section&id=About%20Platinum%20Group%20Metals%20Ltd.) Platinum Group Metals Ltd. is the operator of the Waterberg Project, a significant underground palladium and platinum deposit located in South Africa, which is a joint venture with several partners - The company operates the Waterberg Project, a bulk underground palladium and platinum deposit in South Africa[5](index=5&type=chunk) - The Waterberg Project is a joint venture with Impala Platinum Holdings Ltd., Mnombo Wethu Consultants (Pty) Ltd., and HJ Platinum Metals Company Ltd. (representing Japan Organization for Metals and Energy Security and Hanwa Co. Ltd.)[5](index=5&type=chunk) [Disclosure](index=2&type=section&id=Disclosure) This section contains a standard disclosure stating that the Toronto Stock Exchange and NYSE American have not reviewed the news release for accuracy, along with a forward-looking statements disclaimer - The Toronto Stock Exchange and the NYSE American have not reviewed and do not accept responsibility for the accuracy or adequacy of this news release[6](index=6&type=chunk) - The press release contains forward-looking statements and cautions that actual results may differ materially from those projected, directing readers to the company's risk factors in its SEC and Canadian securities filings[7](index=7&type=chunk)

Core Points - Platinum Group Metals Ltd. announced positive results from its Annual General Meeting held on February 28, 2025, in Vancouver, British Columbia [1] - The meeting had a shareholder turnout of 59.31% of issued shares eligible to vote, with strong support for the Board's appointment and proposed resolutions [2] Shareholder Voting Results - The number of directors was fixed at six, and all management's nominees were elected by shareholders [2] - Voting results for each director were as follows: - Diana Walters: 48,788,342 shares (99.10% for, 0.90% withheld) - Frank Hallam: 48,759,306 shares (99.05% for, 0.95% withheld) - Timothy Marlow: 48,345,254 shares (98.20% for, 1.80% withheld) - John Copelyn: 48,671,091 shares (98.87% for, 1.13% withheld) - Stuart Harshaw: 48,732,566 shares (98.99% for, 1.01% withheld) - Mpho Makwana: 48,764,078 shares (99.06% for, 0.94% withheld) [2] Auditor Re-appointment - PricewaterhouseCoopers LLP was re-appointed as auditors for the ensuing year, with 96.99% of shareholders voting in favor [2] Company Overview - Platinum Group Metals Ltd. operates the Waterberg Project, a bulk underground palladium and platinum deposit located in South Africa, in joint venture with several partners [4]

[Preliminary Notes](index=2&type=section&id=Preliminary%20Notes) This section provides disclaimers on forward-looking statements, legal compliance, and mineral reserve estimations [Forward-Looking Statements](index=2&type=section&id=Forward-Looking%20Statements) This section outlines the forward-looking statements within the report, which are subject to numerous risks and uncertainties - Forward-looking statements cover expectations regarding the **2025 At-The-Market (ATM) offering**, project financing, smelting arrangements, and projections from the Waterberg Definitive Feasibility Study (DFS) Update[5](index=5&type=chunk) - Key risk factors that could affect future results include the adequacy of capital, ability of partners to fund their share, future metal prices, power supply from ESKOM, South African political developments, and potential litigation outcomes[8](index=8&type=chunk) - Additional risks include labor disruptions, community relations, foreign exchange controls, and the potential for the Company's shares to be delisted[14](index=14&type=chunk) [Legislation and Mining Charter 2018](index=9&type=section&id=Legislation%20and%20Mining%20Charter%202018) The report notes legal requirements in South Africa under the MPRDA and Mining Charter 2018 for BEE shareholding - South African regulations require Waterberg JV Co. to have a **26% BEE shareholding** for the grant of a mining right, which must increase to **30% within five years** of the right's effective date[15](index=15&type=chunk) [Mineral Reserves and Resources](index=9&type=section&id=Mineral%20Reserves%20and%20Resources) Mineral resource and reserve figures are estimates, with differences noted between NI 43-101 and SEC S-K 1300 standards - Mineral resource and reserve estimates are expressions of judgment and may change as new information becomes available[17](index=17&type=chunk) - The technical information is prepared under Canadian NI 43-101 and SEC S-K 1300 standards, and has been reviewed by a Qualified Person, Robert van Egmond, P.Geo[18](index=18&type=chunk)[19](index=19&type=chunk) [Description of Business](index=11&type=section&id=1.%20DESCRIPTION%20OF%20BUSINESS) This section details the company's core business, focusing on the Waterberg Project and its strategic partnerships [Overview](index=11&type=section&id=Overview) Platinum Group Metals Ltd. focuses on the Waterberg Project in South Africa, holding a 50.16% interest - The Company's primary focus is the development of the **Waterberg Project**, a PGE and base metal deposit on the Northern Limb of the Bushveld Igneous Complex in South Africa[23](index=23&type=chunk) - As of November 30, 2024, the Company holds a **50.16% controlling beneficial interest** in the Waterberg Project and serves as its operator[24](index=24&type=chunk) - An updated Definitive Feasibility Study (Waterberg DFS Update) was published on September 16, 2024, and the company is exploring concentrate offtake arrangements or the possibility of constructing its own smelter[25](index=25&type=chunk)[26](index=26&type=chunk) [Lion Battery Technologies Inc.](index=11&type=section&id=Lion%20Battery%20Technologies%20Inc.) Lion Battery Technologies Inc. is a joint venture developing next-generation battery technology using platinum and palladium - Lion Battery Technologies is a joint venture with Amplats to develop next-generation battery technology using platinum and palladium[27](index=27&type=chunk) - Lion has exclusive rights to **five U.S. patents** issued to Florida International University for battery technology involving PGMs and has engaged The Battery Innovation Center (BIC) to help drive commercialization[30](index=30&type=chunk)[31](index=31&type=chunk) Funding to Lion Battery Technologies Inc. (in thousands) | Date | Gross Funding to Lion | | :--- | :--- | | July 2019 | $1,100 | | June 2020 | $700 | | February 2021 | $700 | | February 2022 | $500 | | February 2023 | $590 | | June 2023 | $560 | | November 2023 | $362 | | December 2023 | $100 | | October 2024 | $80 | | **Total** | **$4,692** | [Personnel](index=12&type=section&id=Personnel) The Waterberg Project is operated by the Company's staff, supplemented by contract services and consultants - The Company's personnel includes **8 individuals in South Africa** and **5 in Canada**, supported by contractors and consultants[32](index=32&type=chunk) [Properties](index=13&type=section&id=2.%20PROPERTIES) This section details the company's key asset, the Waterberg Project, including its development status and strategic plans [Waterberg Project](index=13&type=section&id=WATERBERG%20PROJECT) This section provides a comprehensive update on the Waterberg Project, detailing recent activities, financing, and strategic alternatives - During the period ended November 30, 2024, **$0.6 million** in expenditures were capitalized for the Waterberg Project[35](index=35&type=chunk) - As of November 30, 2024, accumulated net capitalized costs for the project totaled **$46.9 million**, with approximately **$89.7 million** spent since inception from all funding sources[36](index=36&type=chunk) [Recent Activities](index=13&type=section&id=Recent%20Activities) Work on the Waterberg Project is progressing through staged budgets, with Implats' interest diluted due to non-funding - Waterberg JV Co. approved a Stage Three Budget of **R29.8 million (~$1.65M)** and a Stage Four Budget of **R24.4 million (~$1.35M)**[39](index=39&type=chunk)[40](index=40&type=chunk) - Implats did not fund its share of the Stage Three and Four budgets, resulting in its interest being diluted to approximately **14.86%**, with Platinum Group funding the shortfall[39](index=39&type=chunk)[40](index=40&type=chunk)[41](index=41&type=chunk) - A new Waterberg Stage Five budget is planned for introduction in early calendar 2025[42](index=42&type=chunk) [Concentrate Offtake and Processing](index=14&type=section&id=Concentrate%20Offtake%20and%20Processing) The Company is exploring commercial alternatives for concentrate offtake, including a potential smelter in Saudi Arabia - The company is pursuing three main options for concentrate processing: offtake agreements with existing South African smelters, building a new smelter in South Africa, or building a new smelter outside South Africa[43](index=43&type=chunk)[44](index=44&type=chunk)[45](index=45&type=chunk) - A Cooperation Agreement was signed with Ajlan & Bros Mining to study building a PGM smelter and BMR in Saudi Arabia, with a market study concluding its viability by combining Waterberg concentrate with recycled catalysts from the Gulf Region[46](index=46&type=chunk)[48](index=48&type=chunk) - The next step is a potential **$4.0 million Smelter DFS** for the Saudi Arabian facility, to be split 50:50 with Ajlan, requiring long-term approval for unrefined concentrate export from South Africa[49](index=49&type=chunk)[50](index=50&type=chunk) [Waterberg DFS Update](index=15&type=section&id=Waterberg%20DFS%20Update) The September 2024 Waterberg DFS Update shows significant improvements, including increased reserves and an extended mine life Waterberg DFS Update Highlights (Sept 2024) | Metric | Value | | :--- | :--- | | **Proven & Probable Reserves** | 23.41 million 4E oz (20% increase) | | **Measured & Indicated Resources** | 33.76 million 4E oz (9.5% increase) | | **Life of Mine (LOM)** | 54 years | | **Peak Annual Production** | 432,950 4E oz | | **After-Tax NPV (8%)** | $569 million | | **After-Tax IRR** | 14.2% | | **LOM Average Cash Cost** | $658 per 4E oz | | **All-in Sustaining Cost (AISC)** | $761 per 4E oz | | **Total Project Capital** | $946 million | Waterberg Mineral Reserves (Proven & Probable, Aug 31, 2024) | Zone | Tonnes (M) | 4E Grade (g/t) | 4E Metal (Moz) | | :--- | :--- | :--- | :--- | | T-Zone | 19.23 | 3.84 | 2.371 | | F-Zone Total | 226.97 | 2.88 | 21.034 | | **Waterberg Total** | **246.20** | **2.96** | **23.406** | DFS Update Long-Term Real Price Deck Assumptions | Commodity | Unit | Price (USD) | | :--- | :--- | :--- | | Platinum (Pt) | oz | $1,605 | | Palladium (Pd) | oz | $1,062 | | Gold (Au) | oz | $1,812 | | Rhodium (Rh) | oz | $6,209 | | Copper (Cu) | lb | $4.53 | | Nickel (Ni) | lb | $9.73 | | **Exchange Rate (Long Term)** | **USD/ZAR** | **20.07** | [Mining Right and Community Considerations](index=20&type=section&id=Mining%20Right%20and%20Community%20Considerations) The Waterberg Mining Right is active but faces a legal challenge, while community relations and infrastructure planning advance - The Waterberg Mining Right was granted on January 28, 2021, and remains active[70](index=70&type=chunk) - A legal application was filed in March 2024 to set aside the mining right grant; the company has filed a notice of opposition and believes the grant was correctly issued[71](index=71&type=chunk)[72](index=72&type=chunk) - A final settlement agreement with the principal host community was executed in April 2024, and work on long-term surface lease agreements is underway[73](index=73&type=chunk) - Planning for water supply, power infrastructure (including a potential solar farm), and workforce training is advancing in collaboration with local communities and ESKOM[76](index=76&type=chunk)[77](index=77&type=chunk)[78](index=78&type=chunk) [Social and Labour Plan (SLP)](index=21&type=section&id=Social%20and%20Labour%20Plan%20(SLP)) The Waterberg SLP outlines a **R428.9 million** (approx. **$23.77 million**) budget over five years for community development - The Waterberg SLP has a budgeted expenditure of **R428.9 million** (approx. **$23.77 million**) over a five-year period to support local communities[81](index=81&type=chunk) - The SLP includes **R13.3 million** for Human Resource Development, focusing on skills training, learnerships, and bursary programs[82](index=82&type=chunk) - A budget of **R405.6 million** is allocated for Local Economic Development projects, including infrastructure, school and clinic support, and water projects[83](index=83&type=chunk) [Environmental, Social and Governance (ESG)](index=24&type=section&id=Environmental,%20Social%20and%20Governance%20(ESG)) The Company emphasizes its commitment to responsible and sustainable business practices, guided by core ESG values and independent assessment - The Company engaged Digbee Ltd. for an independent ESG assessment, achieving an overall score of **BBB** in September 2024[88](index=88&type=chunk)[90](index=90&type=chunk) - Environmental initiatives in the Waterberg DFS Update include using dry stack tailings, which reduces steady-state water requirements by **36%**[94](index=94&type=chunk) - Social initiatives include creating community trusts, providing legal representation for communities, granting bursaries, and implementing a formal grievance mechanism[97](index=97&type=chunk)[98](index=98&type=chunk)[99](index=99&type=chunk) - Governance is managed through several board committees, including the Environmental, Health, Safety and Technical Advisory Committee, and policies covering human rights, anti-bribery, and business conduct[101](index=101&type=chunk)[102](index=102&type=chunk)[103](index=103&type=chunk) [Discussion of Operations and Financial Condition](index=28&type=section&id=3.%20DISCUSSION%20OF%20OPERATIONS%20AND%20FINANCIAL%20CONDITION) This section analyzes the company's financial performance, liquidity, capital resources, and going concern status [Liquidity, Capital Resources and Going Concern](index=28&type=section&id=(A)%20Liquidity,%20Capital%20Resources%20and%20Going%20Concern) The Company is managing liquidity through equity financing, but faces substantial doubt about its ability to continue as a going concern - The Company established a new At-The-Market (ATM) program in December 2024, allowing it to sell up to **$50 million** in common shares[108](index=108&type=chunk) Financial Position as of Nov 30, 2024 | Metric | Value (USD) | | :--- | :--- | | Working Capital | $1.6 million | | Cash Balance | $2.1 million | | Comprehensive Loss (Q1 2025) | $2.7 million | | Cash Outflows from Operations | $0.8 million | - Management has identified material uncertainties that raise substantial doubt about the Company's ability to continue as a going concern, as additional financing is required to fund operations for the next year[115](index=115&type=chunk)[116](index=116&type=chunk) Contractual Obligations as of Nov 30, 2024 (in thousands) | Payments Due by Year | < 1 Year | 1 - 3 Years | 4 - 5 Years | > 5 Years | Total | | :--- | :--- | :--- | :--- | :--- | :--- | | Lease Obligations | $101 | $266 | $24 | $ - | $391 | | Environmental Bonds | $47 | $140 | $93 | $ - | $280 | | **Totals** | **$148** | **$406** | **$117** | **$ -** | **$671** | [Results of Operations](index=29&type=section&id=(B)%20Results%20of%20Operations) For Q1 2025, the Company reported an increased net loss of **$1.8 million**, primarily due to higher share-based compensation Q1 2025 vs Q1 2024 Results (in millions USD) | Metric | Q1 2025 (ended Nov 30, 2024) | Q1 2024 (ended Nov 30, 2023) | | :--- | :--- | :--- | | Net Loss | $1.8 | $1.6 | | General & Admin Expenses | $1.2 | $1.1 | | Share Based Compensation | $0.7 | $0.5 | | Waterberg Project Spend | $0.6 | $1.0 | Quarterly Financial Information (in thousands USD, except per share) | Quarter ended | Nov. 30, 2024 | Aug. 31, 2024 | May 31, 2024 | Feb. 29, 2024 | | :--- | :--- | :--- | :--- | :--- | | Net loss | $1,835 | $590 | $1,646 | $813 | | Basic loss per share | $0.02 | $0.01 | $0.02 | $0.01 | | Total assets | $50,170 | $52,093 | $49,850 | $49,494 | [Dividends](index=30&type=section&id=4.%20DIVIDENDS) This section outlines the company's dividend policy, indicating no current intention to pay dividends [Dividend Policy](index=30&type=section&id=Dividend%20Policy) The Company has never paid dividends and anticipates reinvesting all available funds to finance its business - The Company has never declared or paid a dividend and does not intend to in the foreseeable future[121](index=121&type=chunk) [Related Party Transactions](index=30&type=section&id=5.%20RELATED%20PARTY%20TRANSACTIONS) This section summarizes transactions with related parties, including director fees and a private placement with a major shareholder [Summary of Transactions](index=30&type=section&id=Summary%20of%20Transactions) Related party transactions include director fees and a private placement with Deepkloof Limited, a subsidiary of HCI - During the period, **$86,000** was paid or accrued to independent directors for fees and services[123](index=123&type=chunk) - Deepkloof Limited, a subsidiary of HCI, subscribed to a private placement of **2,118,645 common shares** for gross proceeds of **$2.5 million** in September 2023, with HCI holding a **26.3% interest** as of August 31, 2024[123](index=123&type=chunk) [Off-Balance Sheet Arrangements](index=31&type=section&id=6.%20OFF-BALANCE%20SHEET%20ARRANGEMENTS) This section confirms the absence of any special purpose entities or off-balance sheet arrangements [Status of Arrangements](index=31&type=section&id=Status%20of%20Arrangements) The Company confirms that it does not have any special purpose entities and is not a party to any off-balance sheet arrangements - The Company has no off-balance sheet arrangements[124](index=124&type=chunk) [Outstanding Share Data](index=31&type=section&id=7.%20OUTSTANDING%20SHARE%20DATA) This section provides a snapshot of the Company's outstanding securities, including common shares and options [Share Capital Summary](index=31&type=section&id=Share%20Capital%20Summary) This section provides a snapshot of the Company's outstanding securities, including common shares, incentive stock options, and restricted share units Outstanding Securities | Security Type | As of Nov 30, 2024 | As of MD&A Date (Jan 14, 2025) | | :--- | :--- | :--- | | Common Shares | 102,687,546 | 102,732,914 | | Incentive Stock Options | 3,656,520 | 3,644,520 | | Restricted Share Units | 790,927 | 726,998 | [Risk Factors](index=31&type=section&id=8.%20RISK%20FACTORS) This section highlights key risks, including the impact of international conflicts on commodity prices and supply chains [Key Risk Disclosures](index=31&type=section&id=Key%20Risk%20Disclosures) The Company is subject to numerous risks detailed in its 2024 AIF and 40-F filings, including international conflicts - The Company directs readers to its 2024 AIF and 2024 40-F for a comprehensive list of business risks[126](index=126&type=chunk) - International conflicts, like the Russian-Ukrainian war, are highlighted as a specific risk that can cause volatility in commodity prices and supply chains, potentially having an adverse effect on the Company[127](index=127&type=chunk)[128](index=128&type=chunk) [Outlook](index=31&type=section&id=9.%20OUTLOOK) This section outlines the company's future objectives, focusing on the Waterberg Project and long-term market trends [Company Outlook](index=31&type=section&id=Company%20Outlook) The Company's primary objective is to advance the Waterberg Project to a construction decision, contingent on financing and offtake - The key business objective is to advance the Waterberg Project to a construction decision, which requires securing project financing and concentrate offtake[129](index=129&type=chunk) - The company is evaluating the feasibility of establishing its own smelter and BMR as an alternative to traditional offtake agreements[130](index=130&type=chunk) - While PGM prices have been volatile and declining since 2021/22, the long-term demand for platinum, copper, and nickel is projected to be strong, partly due to their use in battery electric vehicles and the hydrogen economy[132](index=132&type=chunk)[133](index=133&type=chunk) - The investment in Lion Battery Technologies represents a potential vertical integration opportunity in the high-profile battery research field[134](index=134&type=chunk) [Significant Accounting Judgements and Estimates](index=33&type=section&id=10.%20SIGNIFICANT%20ACCOUNTING%20JUDGEMENTS%20AND%20ESTIMATES) This section details key areas where management applies significant judgment and estimates in financial reporting [Key Judgements and Estimates](index=33&type=section&id=Key%20Judgements%20and%20Estimates) Management applies significant judgment in assessing impairment indicators for mineral properties and assuming control over Waterberg JV Co - Management applies significant judgment in assessing impairment indicators for its mineral properties, considering factors like metal prices and business climate[137](index=137&type=chunk) - The Company has judged that it controls Waterberg JV Co. based on its direct and indirect ownership interest (effective **63.19%**) and its role as project manager[138](index=138&type=chunk) [Disclosure Controls and Internal Control Over Financial Reporting](index=34&type=section&id=11.%20DISCLOSURE%20CONTROLS%20AND%20INTERNAL%20CONTROL%20OVER%20FINANCIAL%20REPORTING) This section confirms the Company's maintenance of disclosure controls and internal controls over financial reporting [Controls and Procedures](index=34&type=section&id=Controls%20and%20Procedures) The Company maintains disclosure controls and procedures, with no material changes to internal control over financial reporting - The Company maintains disclosure controls and procedures to ensure compliance with SEC and Canadian Securities Administrators requirements[139](index=139&type=chunk) - There were no material changes to the Company's internal control over financial reporting during the period ending November 30, 2024[140](index=140&type=chunk) [Other Information](index=34&type=section&id=12.%20OTHER%20INFORMATION) This section directs readers to other public filings for additional information about the Company [Additional Information](index=34&type=section&id=Additional%20Information) This section directs readers to other public filings for additional information about the Company on SEDAR+ and EDGAR - Additional information about the Company can be found on SEDAR+ (www.sedarplus.ca) and EDGAR (www.sec.gov)[141](index=141&type=chunk) [List of Directors and Officers](index=34&type=section&id=13.%20LIST%20OF%20DIRECTORS%20AND%20OFFICERS) This section provides a list of the Company's directors and officers as of the reporting date [Directors and Officers](index=34&type=section&id=Directors%20and%20Officers) The report concludes with a list of the Company's directors and officers as of the reporting date Directors and Officers | Role | Name(s) | | :--- | :--- | | **Directors** | Diana Walters, Frank R. Hallam, Timothy Marlow, John Copelyn, Mpho Makwana | | **Officers** | Frank R. Hallam (President & CEO), Greg Blair (CFO), Kris Begic (VP, Corporate Development), Mimy Fernandez-Maldonado (Corporate Secretary), Stuart Harshaw |

[Interim Condensed Consolidated Financial Statements](index=1&type=section&id=Interim%20Condensed%20Consolidated%20Financial%20Statements) [Interim Consolidated Statements of Financial Position](index=2&type=section&id=Interim%20Consolidated%20Statements%20of%20Financial%20Position) As of May 31, 2024, total assets were $49.85M, liabilities $2.16M, and equity $47.69M, reflecting changes from August 2023 Consolidated Statement of Financial Position Highlights (in thousands of USD) | Account | May 31, 2024 | August 31, 2023 | Change | | :--- | :--- | :--- | :--- | | **Assets** | | | | | Cash and cash equivalents | $4,765 | $6,989 | ($2,224) | | Mineral properties | $44,051 | $41,614 | $2,437 | | **Total Assets** | **$49,850** | **$50,021** | **($171)** | | **Liabilities** | | | | | Accounts payable and accrued liabilities | $236 | $1,367 | ($1,131) | | **Total Liabilities** | **$2,159** | **$2,647** | **($488)** | | **Equity** | | | | | Total shareholders' equity | $47,691 | $47,374 | $317 | [Interim Consolidated Statements of Loss and Comprehensive Loss](index=3&type=section&id=Interim%20Consolidated%20Statements%20of%20Loss%20and%20Comprehensive%20Loss) For the nine months ended May 31, 2024, net loss was $4.017M, with comprehensive loss at $3.795M, a significant improvement from prior year Statement of Loss Highlights (in thousands of USD, except per share data) | Metric | Nine months ended May 31, 2024 | Nine months ended May 31, 2023 | | :--- | :--- | :--- | | General and administrative | $2,567 | $2,922 | | Stock based compensation expense | $1,613 | $1,586 | | **Net Loss for the period** | **$4,017** | **$4,049** | | **Comprehensive Loss for the period** | **$3,795** | **$10,157** | | Basic and diluted loss per common share | $0.04 | $0.04 | [Interim Consolidated Statements of Changes in Equity](index=4&type=section&id=Interim%20Consolidated%20Statements%20of%20Changes%20in%20Equity) Total shareholders' equity increased to $47.69M by May 31, 2024, driven by a $2.5M share issuance and $1.1M stock compensation, offsetting a $4.017M net loss - Shareholders' equity increased from **$25.73 million** to **$24.94 million** for shareholders of the parent company, while non-controlling interest increased from **$21.65 million** to **$22.75 million**[6](index=6&type=chunk) - Key equity changes during the nine-month period included a **$2.5 million** share issuance, a **$4.017 million** net loss, and **$1.1 million** in stock-based compensation[6](index=6&type=chunk) [Interim Consolidated Statements of Cash Flows](index=5&type=section&id=Interim%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash decreased by $2.446 million for the nine months ended May 31, 2024, primarily due to investing activities, partially offset by financing activities Cash Flow Summary (in thousands of USD) | Activity | For the nine-month period ended May 31, 2024 | For the nine-month period ended May 31, 2023 | | :--- | :--- | :--- | | Net cash from Operating Activities | ($1,801) | ($3,087) | | Net cash from Financing Activities | $2,384 | $2,521 | | Net cash from Investing Activities | ($3,029) | ($3,172) | | **Net decrease in cash** | **($2,446)** | **($3,738)** | | **Cash, end of period** | **$4,765** | **$8,218** | [Notes to the Interim Condensed Consolidated Financial Statements](index=6&type=section&id=Notes%20to%20the%20Interim%20Condensed%20Consolidated%20Financial%20Statements) Detailed notes cover company operations, accounting policies, Waterberg Project focus, ownership, financing, legal proceedings, and related-party transactions under IFRS [Note 1. Nature of Operations](index=6&type=section&id=1.%20NATURE%20OF%20OPERATIONS) Platinum Group Metals Ltd. is a development-stage company focused on mineral properties in South Africa, primarily the Waterberg Project, held through subsidiaries and joint ventures - The company is a development-stage entity focused on mineral properties in South Africa containing platinum group metals[8](index=8&type=chunk) - The company holds its interests through several subsidiaries, including a **37.10%** direct interest in Waterberg JV Resources (Pty) Ltd. and a **52.08%** interest in Lion Battery Technologies Inc[10](index=10&type=chunk) [Note 2. Basis of Presentation and Material Accounting Policies](index=6&type=section&id=2.%20BASIS%20OF%20PRESENTATION%20AND%20MATERIAL%20ACCOUNTING%20POLICIES) Interim consolidated financial statements are prepared under IFRS (IAS 34), consistent with annual policies, with the United States Dollar (USD) as the presentation currency - Financial statements are prepared in accordance with IFRS applicable to interim financial statements (IAS 34)[12](index=12&type=chunk) - The presentation currency is the United States Dollar (USD)[13](index=13&type=chunk) [Note 3. Mineral Properties](index=7&type=section&id=3.%20MINERAL%20PROPERTIES) The Waterberg Project's capitalized costs increased to $44.05 million, with the company holding a 50.07% controlling interest, while the mining right faces ongoing legal challenges Waterberg Project Capitalized Costs (in thousands of USD) | Date | Amount | | :--- | :--- | | Balance August 31, 2023 | $41,614 | | Additions | $2,299 | | Foreign currency translation adjustment | $138 | | **Balance May 31, 2024** | **$44,051** | - As of May 31, 2024, the company held a controlling **50.07%** interest in Waterberg JV Co. This interest is expected to increase to **50.16%** after covering a cash call for partner Implats, whose interest will be diluted to **14.86%**[23](index=23&type=chunk)[28](index=28&type=chunk) - A new legal application was filed on March 7, 2024, seeking to set aside the 2021 grant of the Waterberg Mining Right. The company has filed a notice of opposition[32](index=32&type=chunk) [Note 4. Lion Battery Technologies Inc.](index=9&type=section&id=4.%20LION%20BATTERY%20TECHNOLOGIES%20INC.) Lion Battery Technologies Inc., a joint venture with Amplats, researches PGM-based battery technology, funded with $4.612 million, holding five U.S. patents and engaging BIC for commercialization - Lion is a joint venture with Amplats to research PGM-based battery technology, with total funding of **$4.612 million** as of May 31, 2024[33](index=33&type=chunk)[34](index=34&type=chunk) - Lion holds exclusive rights to five U.S. patents for battery technology and has engaged The Battery Innovation Center (BIC) to advance commercialization efforts[36](index=36&type=chunk)[37](index=37&type=chunk) [Note 5. Share Capital](index=10&type=section&id=5.%20SHARE%20CAPITAL) Fiscal 2024 share capital activities include a $2.5 million private placement with HCI, 3.8 million stock options outstanding, and recorded compensation costs for DSU and RSU plans - In September 2023, the company closed a **$2.5 million** private placement with Deepkloof Limited (a subsidiary of HCI), issuing **2,118,645** common shares at **$1.18** each[39](index=39&type=chunk) Stock Option Activity | Status | Number of Options | Average Exercise Price (CAD) | | :--- | :--- | :--- | | Outstanding at Aug 31, 2023 | 4,793,837 | $3.17 | | Granted | 589,950 | $1.52 | | Cancelled / Expired | (1,584,169) | - | | **Outstanding at May 31, 2024** | **3,799,618** | **$2.19** | - During the period, the company recorded stock compensation costs of **$0.79 million** for options, **$0.69 million** for DSUs (including revaluation), and **$0.315 million** for RSUs[45](index=45&type=chunk)[48](index=48&type=chunk)[50](index=50&type=chunk) [Note 6. Related Party Transactions](index=12&type=section&id=6.%20RELATED%20PARTY%20TRANSACTIONS) The company engaged in transactions with related parties, including payments to directors and services from a common officer's company, with HCI holding a 26.3% interest and participating in a $2.5 million private placement - Major shareholder Hosken Consolidated Investments Limited (HCI) held a **26.3%** interest in the company as of May 31, 2024[51](index=51&type=chunk) - HCI subscribed to a **$2.5 million** private placement in September 2023, reinforcing its position as a key shareholder[51](index=51&type=chunk) [Note 7. Contingencies and Commitments](index=13&type=section&id=7.%20CONTINGENCIES%20AND%20COMMITMENTS) Total commitments are approximately $0.7 million, mainly office lease obligations, while the legal action by Africa Wide concerning the Maseve Mine sale was fully resolved in the company's favor Commitment Schedule (in thousands of USD) | Type | < 1 Year | 1 - 3 Years | 4 - 5 Years | Total | | :--- | :--- | :--- | :--- | :--- | | Lease Obligations | $94 | $270 | $75 | $439 | | Environmental Bonds | $43 | $129 | $86 | $258 | | **Totals** | **$137** | **$399** | **$161** | **$697** | - The legal challenge by Africa Wide regarding the Maseve Mine sale was dismissed by the South Africa Supreme Court of Appeal. Africa Wide was ordered to pay costs and paid **R2.99 million (approx. $159k)** to the company in February 2024[54](index=54&type=chunk)[55](index=55&type=chunk) [Note 8. Supplementary Cash Flow Information](index=13&type=section&id=8.%20SUPPLEMENTARY%20CASH%20FLOW%20INFORMATION) The net change in non-cash working capital was a positive $246 thousand for the nine months ended May 31, 2024, driven by a decrease in receivables and prepaids Net Change in Non-Cash Working Capital (in thousands of USD) | Item | May 31, 2024 | May 31, 2023 | | :--- | :--- | :--- | | Amounts receivable, prepaid expenses and other assets | $344 | ($193) | | Accounts payable and other liabilities | ($98) | ($529) | | **Total** | **$246** | **($722)** | [Note 9. Segmented Reporting](index=14&type=section&id=9.%20SEGMENTED%20REPORTING) The company operates in two segments, Canada and South Africa, with most assets ($45.46 million) in South Africa and most liabilities ($2.00 million) in Canada, and the net loss primarily from Canada Assets and Liabilities by Segment (in thousands of USD) - May 31, 2024 | Segment | Assets | Liabilities | | :--- | :--- | :--- | | Canada | $4,394 | $2,003 | | South Africa | $45,456 | $156 | | **Total** | **$49,850** | **$2,159** | Loss by Segment (in thousands of USD) - Nine months ended | Segment | May 31, 2024 | May 31, 2023 | | :--- | :--- | :--- | | Canada | $3,772 | $3,531 | | South Africa | $245 | $518 | | **Total** | **$4,017** | **$4,049** |

Preliminary Notes & Disclaimers [Note Regarding Forward-Looking Statements](index=2&type=section&id=Note%20Regarding%20Forward-Looking%20Statements) Forward-looking statements in the report are subject to significant risks and uncertainties that could cause actual results to differ materially - The report contains forward-looking statements concerning future activities, including the completion of the **Waterberg DFS Update**, securing **financing**, obtaining **environmental permits**, and developing **next-generation battery technology**[3](index=3&type=chunk)[8](index=8&type=chunk)[10](index=10&type=chunk) - A wide range of factors could cause actual results to differ from expectations, including **financing needs**, **history of losses**, **metal price fluctuations**, **legal proceedings**, **political instability in South Africa**, and **operational mining risks**[11](index=11&type=chunk)[12](index=12&type=chunk)[15](index=15&type=chunk) [Legislation and Mining Charter 2018](index=5&type=section&id=Legislation%20and%20Mining%20Charter%202018) South African legislation, including the MPRDA and Mining Charter 2018, mandates specific BEE shareholding levels for mining rights - Under the MPRDA and Mining Charter 2018, Waterberg JV Co. was required to have **26% BEE shareholding** for the grant of its mining right, which must increase to **30%** within five years of the grant's effective date[19](index=19&type=chunk) [Mineral Reserves and Resources](index=7&type=section&id=Mineral%20Reserves%20and%20Resources) Mineral resource and reserve estimates adhere to Canadian NI 43-101 standards, differing from SEC requirements, and are reviewed by a qualified person - Mineral resource and reserve estimates are prepared under **Canadian NI 43-101 standards**, which differ from **SEC Modernization Rules**, potentially leading to significant differences in reported mineralization compared to U.S. standards[23](index=23&type=chunk) - The technical and scientific information in the MD&A has been reviewed by **Robert van Egmond, P.Geo.**, an **independent Qualified Person** as defined by NI 43-101[24](index=24&type=chunk) Description of Business [Overview](index=7&type=section&id=Overview) Platinum Group Metals Ltd. focuses on the Waterberg Project in South Africa, holding a 50.02% controlling interest and assessing financing and offtake options - The Company's primary focus is the engineering and development of the **Waterberg Project**, a **PGE and base metal deposit** located on the Northern Limb of the Bushveld Igneous Complex in South Africa[33](index=33&type=chunk) - As of February 29, 2024, the Company held a controlling **50.02% interest** in the Waterberg Project, with partners including **Implats (15.0%)**, **Mnombo (26.0%)**, **JOGMEC (12.195%)**, and **Hanwa (9.755%)**[28](index=28&type=chunk) - The company is exploring options for **concentrate offtake**, including discussions with **existing South African smelters** and assessing the feasibility of constructing its **own smelter and base metal refinery (BMR)**[30](index=30&type=chunk) [Lion Battery Technologies Inc.](index=9&type=section&id=Lion%20Battery%20Technologies%20Inc.) The company develops next-generation battery technology through Lion Battery Technologies Inc., a joint venture with Amplats, funding research and securing five U.S. patents - Lion Battery Technologies Inc. is a joint venture with Amplats to develop **next-generation battery technology** using **platinum and palladium**, with PTM owning a **52.08% interest** in Lion as of February 29, 2024[37](index=37&type=chunk)[31](index=31&type=chunk) - Lion has an agreement with **Florida International University (FIU)** to fund a research program and holds **exclusive rights** to all intellectual property developed, which includes **five U.S. patents** issued to date[38](index=38&type=chunk)[39](index=39&type=chunk) - To advance commercialization, Lion has engaged **The Battery Innovation Center (BIC)** to conduct **independent trials and validation** of its proprietary platinum and palladium-based electrode technology[40](index=40&type=chunk) Properties [Waterberg Project](index=10&type=section&id=WATERBERG%20PROJECT) The Waterberg Project, the company's flagship, is undergoing a DFS update and pre-construction work, focusing on concentrate processing, mining rights, and ESG - As of February 29, 2024, **$42.5 million** in accumulated net costs had been capitalized to the Waterberg Project, with total expenditures on the property since inception from all sources approximately **$87.2 million**[164](index=164&type=chunk) [Recent Activities and DFS Update](index=10&type=section&id=Recent%20Activities%20and%20DFS%20Update) Recent activities include $1.6 million spent on Waterberg, a $21 million pre-construction program, Implats' interest dilution, and an ongoing DFS update expected mid-2024 - Approximately **$1.6 million** was capitalized at the Waterberg Project during the six-month period ended February 29, 2024, for work including feasibility engineering and community engagement[153](index=153&type=chunk) - Implats declined to fund its pro-rata share of the Stage Three Budget, resulting in its interest in Waterberg JV Co. being diluted to approximately **14.951%**, with Platinum Group funding the shortfall[155](index=155&type=chunk)[156](index=156&type=chunk) - An update to the Waterberg DFS is in process and expected to be completed in **mid-2024**, including revised mineral resource/reserve estimates, costs, and financial models, superseding the 2019 DFS[157](index=157&type=chunk)[215](index=215&type=chunk) [Concentrate Offtake and Processing](index=11&type=section&id=Concentrate%20Offtake%20and%20Processing) The company pursues concentrate processing strategies, including offtake agreements with existing smelters and evaluating building its own smelter/BMR in South Africa or Saudi Arabia - The **preferred option** for concentrate processing is to secure offtake terms with an **existing smelter/refiner in South Africa**, with discussions ongoing with several operators[198](index=198&type=chunk) - The company is studying the feasibility of constructing its **own smelter and BMR in South Africa** to process Waterberg concentrate[159](index=159&type=chunk)[199](index=199&type=chunk)[200](index=200&type=chunk) - A **Cooperation Agreement** was signed with Ajlan & Bros to study the establishment of a stand-alone PGE smelter and BMR in **Saudi Arabia**, which may offer **competitive energy costs**, a **lower tax rate**, and **government financing incentives**[160](index=160&type=chunk)[202](index=202&type=chunk) [Waterberg DFS (2019) Highlights](index=12&type=section&id=Waterberg%20DFS%20(2019)%20Highlights) The 2019 Waterberg DFS outlined a large-scale, 45-year mine with an after-tax NPV of **$982 million**, initial capital of **$874 million**, and **420,000 4E ounces** annual production Waterberg 2019 DFS Key Metrics | Metric | Value (at Spot Prices, Sept 4, 2019) | | :--- | :--- | | After-Tax NPV (8% discount) | $982 million | | After-Tax IRR | 20.7% | | Estimated Project Capital | $874 million | | Peak Project Funding | $617 million | | Annual Steady State Production | 420,000 4E ounces | | Life of Mine Average Cash Cost | $640 per 4E ounce | Waterberg Mineral Reserves & Resources (2019 DFS, 2.5 g/t 4E cut-off) | Category | Tonnes (millions) | Grade (g/t 4E) | Contained Metal (million oz 4E) | | :--- | :--- | :--- | :--- | | Proven & Probable Mineral Reserves | 187 | 3.24 | 19.5 | | Measured & Indicated Mineral Resources | 242 | 3.38 | 26.4 | | Inferred Mineral Resources | 67 | 3.27 | 7.0 | [Mining Right and Community Considerations](index=17&type=section&id=Mining%20Right%20and%20Community%20Considerations) The Waterberg Mining Right, granted in January 2021, faces a new legal challenge, while the company invests **R428.9 million** in community development and plans for water and power - The Waterberg Mining Right was granted on **January 28, 2021**, and registered on **July 6, 2021**, with all initial appeals against the grant dismissed by the DMRE Minister on **October 13, 2022**[216](index=216&type=chunk)[217](index=217&type=chunk) - A new application was filed in the High Court in **March 2024** seeking to set aside the grant of the Waterberg Mining Right[79](index=79&type=chunk) - The Social and Labour Plan (SLP) includes a budget of **R428.9 million (approx. $22.34 million)** over five years for Human Resource Development and Local Economic Development projects[191](index=191&type=chunk)[82](index=82&type=chunk)[61](index=61&type=chunk) [Environmental, Social and Governance (ESG)](index=20&type=section&id=Environmental,%20Social%20and%20Governance%20(ESG)) The company demonstrates strong ESG commitment, achieving an improved Digbee score of **BBB** in 2023, with objectives focused on environmental care, community welfare, and robust governance - The company works with **Digbee Ltd.** for independent ESG assessment and improved its overall score from **BB in 2022** to **BBB in 2023**[85](index=85&type=chunk)[65](index=65&type=chunk) - Core ESG values include **caring for the environment**, contributing to **community welfare**, ensuring **safe workplaces**, and promoting **good corporate governance**[84](index=84&type=chunk)[223](index=223&type=chunk) - The company has established an **Environmental, Health, Safety and Technical Advisory Committee (EHST Committee)** to assist the Board in its oversight of ESG matters, including policies on human rights and environmental stewardship[93](index=93&type=chunk)[94](index=94&type=chunk) Discussion of Operations and Financial Condition [Liquidity and Capital Resources](index=25&type=section&id=(A)%20Liquidity%20and%20Capital%20Resources) As a development-stage company, PTM relies on equity financing, holding **$5.8 million** cash as of February 29, 2024, sufficient for 12 months, but requiring significant additional funding for mine construction - The company had cash on hand of **$5.8 million** at February 29, 2024, which is projected to be sufficient for budgeted expenditures over the next **12 months**, excluding major mine construction costs[124](index=124&type=chunk) - In September 2023, the company completed a non-brokered private placement for gross proceeds of **$2.5 million**[76](index=76&type=chunk) Contractual Obligations as at Feb 29, 2024 (in thousands of $) | Period | Lease Obligations | Environmental Bonds | Total | | :--- | :--- | :--- | :--- | | < 1 Year | 104 | 42 | 146 | | 1 - 3 Years | 287 | 127 | 414 | | 4 - 5 Years | 100 | 84 | 184 | | > 5 Years | - | - | - | | **Total** | **491** | **253** | **744** | [Results of Operations](index=26&type=section&id=(B)%20Results%20of%20Operations) For the six months ended February 29, 2024, the company reported a net loss of **$2.4 million**, an improvement from the prior year, primarily due to reduced general and administrative expenses Results of Operations (in millions of $) | Period Ended | Feb 29, 2024 | Feb 28, 2023 | Change | | :--- | :--- | :--- | :--- | | **Six Months** | | | | | Net Loss | (2.4) | (2.8) | Improvement | | General & Admin Expenses | 1.8 | 2.0 | Decrease | | **Three Months** | | | | | Net Loss | (0.8) | (1.2) | Improvement | | General & Admin Expenses | 0.7 | 0.9 | Decrease | Quarterly Financial Data (in thousands of $, except per share) | Quarter Ended | Net Loss | Basic Loss Per Share | Total Assets | | :--- | :--- | :--- | :--- | | Feb. 29, 2024 | 813 | 0.01 | 49,494 | | Nov. 30, 2023 | 1,558 | 0.02 | 50,940 | | Aug. 31, 2023 | 1,614 | 0.02 | 50,021 | | May 31, 2023 | 1,236 | 0.01 | 48,169 | | Feb. 28, 2023 | 1,199 | 0.01 | 51,150 | Other Corporate and Financial Information [Dividends, Related Parties, and Share Data](index=26&type=section&id=Dividends,%20Related%20Parties,%20and%20Share%20Data) The company has no dividend history or plans, with Deepkloof (HCI) as a key related party holding a **26.3%** interest, and **102,480,148** common shares outstanding as of February 29, 2024 - The Company has **never paid dividends** and has **no present intention** of doing so, as all available funds will be invested to finance its business[104](index=104&type=chunk) - As of February 29, 2024, HCI (via Deepkloof) held a **26.3% interest** in the Company and has the right to nominate one person to the board of directors[106](index=106&type=chunk) - As of February 29, 2024, the Company had **102,480,148 Common Shares**, **4,379,787 incentive stock options**, and **533,327 restricted share units** outstanding[108](index=108&type=chunk) [Risk Factors](index=27&type=section&id=8.%20RISK%20FACTORS) The company faces numerous risks, including the potential impact of international conflicts on commodity prices, supply chains, and financial markets - The company faces risks from **international conflicts** and **geopolitical tensions**, which can cause **volatility in commodity prices** and **supply chain disruptions**, adversely affecting the business[110](index=110&type=chunk)[131](index=131&type=chunk) - The company **successfully defended a legal action** from Africa Wide concerning the 2018 sale of Maseve, with costs awarded to the defendants and paid in **February 2024**[112](index=112&type=chunk)[141](index=141&type=chunk) [Outlook](index=28&type=section&id=9.%20OUTLOOK) The company aims to advance the Waterberg Project to a construction decision, contingent on financing and offtake, while navigating mixed PGE market outlooks and leveraging strategic battery technology investments - The key business objective is to advance the **Waterberg Project** to a development and construction decision, which requires securing **project financing** and a **concentrate offtake agreement**[113](index=113&type=chunk) - PGE prices have been **volatile and declining** since their **2021/22 peak**, but long-term demand for **platinum (fuel cells), copper, and nickel (EVs)** is projected to be **strong**, while palladium demand could soften with EV market penetration[143](index=143&type=chunk) - The investment in **Lion Battery Technologies** represents a **strategic opportunity** in the lithium battery field, creating potential for **vertical integration** and **new market development** for platinum and palladium[144](index=144&type=chunk) [Critical Accounting Estimates and Judgements](index=30&type=section&id=10.%20CRITICAL%20ACCOUNTING%20ESTIMATES%20AND%20JUDGEMENTS) Management applies significant judgment in assessing mineral properties for impairment and determining control over joint venture entities, specifically consolidating Mnombo and Waterberg JV Co - The company applies judgment to assess mineral properties for **impairment indicators**, such as **adverse changes in metal prices**, **decreases in mineral reserves**, or **changes in the business climate**[115](index=115&type=chunk)[137](index=137&type=chunk) - For accounting purposes, the Company has judged that it **controls Mnombo (49.9% ownership)** and **Waterberg JV Co.** due to its **power over the investees** and its role in **providing all material capital**[138](index=138&type=chunk)[146](index=146&type=chunk)

[Interim Condensed Consolidated Financial Statements](index=1&type=section&id=Interim%20Condensed%20Consolidated%20Financial%20Statements) This section presents the company's financial position, performance, and cash flows for the interim period [Interim Consolidated Statements of Financial Position](index=2&type=section&id=Interim%20Consolidated%20Statements%20of%20Financial%20Position) As of November 30, 2023, total assets increased to **$50.94 million** from **$50.02 million**, while total liabilities decreased to **$1.94 million** and total shareholders' equity rose to **$49.00 million** Consolidated Statements of Financial Position (in thousands USD) | | November 30, 2023 | August 31, 2023 | | :--- | :--- | :--- | | **Total current assets** | $7,517 | $7,552 | | **Total assets** | **$50,940** | **$50,021** | | **Total current liabilities** | $661 | $1,367 | | **Total liabilities** | **$1,942** | **$2,647** | | **Total shareholders' equity** | **$48,998** | **$47,374** | | **Total liabilities and shareholders' equity** | **$50,940** | **$50,021** | [Interim Condensed Consolidated Statements of Loss and Comprehensive Loss](index=3&type=section&id=Interim%20Condensed%20Consolidated%20Statements%20of%20Loss%20and%20Comprehensive%20Loss) For the three months ended November 30, 2023, the company reported a net loss of **$1.56 million**, a slight improvement from the **$1.61 million** loss in the prior year period Statements of Loss (in thousands USD) | | Period Ended Nov 30, 2023 | Period Ended Nov 30, 2022 | | :--- | :--- | :--- | | General and administrative | $1,090 | $1,173 | | Stock based compensation expense | $459 | $830 | | Interest income | $(135) | $(138) | | **Loss for the period** | **$1,558** | **$1,614** | | **Comprehensive loss for the period** | **$1,650** | **$1,706** | | **Basic and diluted loss per common share** | **$0.02** | **$0.02** | [Interim Consolidated Statements of Changes in Equity](index=4&type=section&id=Interim%20Consolidated%20Statements%20of%20Changes%20in%20Equity) Shareholders' equity increased to **$49.00 million** by November 30, 2023, primarily due to **$2.5 million** from share issuance and **$0.5 million** from stock-based compensation, partially offset by the net loss Changes in Equity for the period ended Nov 30, 2023 (in thousands USD) | Description | Amount | | :--- | :--- | | **Balance August 31, 2023** | **$47,374** | | Stock based compensation | $503 | | Share issuance - financing | $2,500 | | Share issuance costs | $(89) | | Net loss for the period | $(1,558) | | Other adjustments | $(219) | | **Balance November 30, 2023** | **$48,998** | [Interim Consolidated Statements of Cash Flows](index=5&type=section&id=Interim%20Consolidated%20Statements%20of%20Cash%20Flows) Cash and cash equivalents increased by **$0.12 million** to **$7.11 million**, driven by **$2.39 million** from financing activities, offset by cash used in operating and investing activities Cash Flow Summary (in thousands USD) | | For the period ended Nov 30, 2023 | For the period ended Nov 30, 2022 | | :--- | :--- | :--- | | **Cash used in Operating Activities** | **$(917)** | **$(1,906)** | | **Cash from Financing Activities** | **$2,389** | **$1,561** | | **Cash used in Investing Activities** | **$(1,401)** | **$(567)** | | Net increase (decrease) in cash | $71 | $(912) | | **Cash, end of period** | **$7,105** | **$11,566** | [Notes to the Condensed Consolidated Interim Financial Statements](index=6&type=section&id=Notes%20to%20the%20Condensed%20Consolidated%20Interim%20Financial%20Statements) This section provides detailed explanations and supplementary information for the interim financial statements [Note 1: Nature of Operations](index=6&type=section&id=1.%20NATURE%20OF%20OPERATIONS) Platinum Group Metals Ltd. is a development-stage company focused on mineral properties in South Africa, consolidating subsidiaries and using the equity method for its joint venture - The company is a development stage entity focused on mineral properties in South Africa containing platinum group metals[7](index=7&type=chunk) - The company holds a **52.3%** ownership in Lion Battery Technologies Inc. but accounts for it using the equity method due to joint control[9](index=9&type=chunk) - For accounting purposes, the company controls and consolidates Mnombo Wethu Consultants (**49.95%** ownership) and Waterberg JV Resources (**37.05%** direct ownership), resulting in an effective ownership of **63.05%** in Waterberg JV Co[9](index=9&type=chunk)[10](index=10&type=chunk) [Note 2: Basis of Presentation and Material Accounting Policies](index=6&type=section&id=2.%20BASIS%20OF%20PRESENTATION%20AND%20MATERIAL%20ACCOUNTING%20POLICIES) These interim financial statements are prepared in accordance with IFRS, specifically IAS 34, using the United States Dollar as the presentation currency - The financial statements are prepared in accordance with IFRS, specifically IAS 34 Interim Financial Reporting[11](index=11&type=chunk) Foreign Exchange Rates Used | Currency Pair | Period-end rate (Nov 30, 2023) | Period-average rate (Nov 30, 2023) | | :--- | :--- | :--- | | Rand/USD | R18.8718 | R18.8412 | | CAD/USD | C$1.3582 | C$1.3655 | [Note 3: Mineral Properties](index=7&type=section&id=3.%20MINERAL%20PROPERTIES) The Waterberg Project in South Africa is the company's sole active mineral property, with capitalized costs increasing to **$42.58 million** and a controlling **50.02%** interest held by the company Waterberg Project Capitalized Costs (in thousands USD) | | Amount | | :--- | :--- | | Balance August 31, 2023 | $41,614 | | Additions | $1,022 | | Foreign currency translation adjustment | $(54) | | **Balance November 30, 2023** | **$42,582** | - The company holds a controlling **50.02%** interest in Waterberg JV Co. Other partners include HJM (JOGMEC and Hanwa) with **21.95%**, Implats with **15.0%**, and Mnombo with a **26.0%** direct interest (of which the company owns **49.9%**)[15](index=15&type=chunk) - The Waterberg Mining Right was granted on January 28, 2021, and remains active, with all appeals against the grant dismissed by the Minister of the DMRE on October 13, 2022[16](index=16&type=chunk)[18](index=18&type=chunk) - Implats retains a **15.0%** interest and a right of first refusal for offtake, but elected not to exercise its option to increase its stake to **50.01%** in June 2020 due to economic uncertainty from the COVID-19 pandemic[22](index=22&type=chunk) [Note 4: Lion Battery Technologies Inc.](index=9&type=section&id=4.%20LION%20BATTERY%20TECHNOLOGIES%20INC.) Lion Battery Technologies Inc., a joint venture with Amplats, focuses on developing lithium battery technology using platinum and palladium, having funded **$4.512 million** and secured five U.S. patents - Lion is a joint venture with Amplats to research lithium battery technology using platinum and palladium. The partners have funded a total of **$4.512 million** as of November 30, 2023, including a **$362 thousand** tranche in November 2023[26](index=26&type=chunk) - Lion has exclusive rights to intellectual property developed under a Sponsored Research Agreement with Florida International University (FIU), which has resulted in five issued U.S. patents related to battery cathodes and interlayers using platinum and palladium[28](index=28&type=chunk) - To advance commercialization, Lion has engaged The Battery Innovation Center (BIC) to conduct independent trials and validation of its proprietary electrode compositions in both lithium-sulfur and lithium-ion (NMC) cells[29](index=29&type=chunk) [Note 5: Share Capital](index=10&type=section&id=5.%20SHARE%20CAPITAL) The company's share capital activities included a **$2.5 million** private placement with HCI, with **4,446,787** stock options outstanding and active DSU and RSU plans [Shares Issued](index=10&type=section&id=5.1%20Shares%20Issued) In fiscal 2024, the company completed a **$2.5 million** private placement with HCI's subsidiary, issuing **2,118,645** common shares at **$1.18** each - On September 18, 2023, the company closed a non-brokered private placement with a subsidiary of major shareholder HCI for **2,118,645** common shares at **$1.18** each, raising gross proceeds of **$2.5 million**[31](index=31&type=chunk) [Incentive stock options](index=10&type=section&id=5.2%20Incentive%20stock%20options) As of November 30, 2023, **4,446,787** share purchase options were outstanding with a weighted average exercise price of **C$2.24**, with **$0.384 million** in related stock compensation expense Share Purchase Option Activity | | Number of Share Options | Average Exercise Price (CAD) | | :--- | :--- | :--- | | **Outstanding at Aug 31, 2023** | **4,793,837** | **$3.17** | | Granted | 589,950 | $1.52 | | Cancelled | (937,000) | $6.58 | | **Outstanding at Nov 30, 2023** | **4,446,787** | **$2.24** | - Of the **4,446,787** options outstanding at November 30, 2023, a total of **2,147,170** were exercisable[35](index=35&type=chunk) [Deferred and Restricted Share Units](index=11&type=section&id=5.3%20Deferred%20and%20Restricted%20Share%20Units) The company maintains DSU and RSU plans, with **754,212** DSUs and **732,338** RSUs outstanding as of November 30, 2023, and **$120 thousand** in RSU stock compensation expense recorded - At November 30, 2023, a total of **754,212** Deferred Share Units (DSUs) were issued and outstanding for non-executive directors[39](index=39&type=chunk)[40](index=40&type=chunk) - At November 30, 2023, there were **732,338** Restricted Share Units (RSUs) issued and outstanding for officers and employees, with none being vested[41](index=41&type=chunk)[42](index=42&type=chunk) [Note 6: Related Party Transactions](index=12&type=section&id=6.%20RELATED%20PARTY%20TRANSACTIONS) The company engaged in transactions with related parties, including a **$2.5 million** private placement with major shareholder HCI, which holds a **26.3%** interest - Major shareholder HCI, which has the right to nominate one director, participated in a **$2.5 million** private placement in September 2023. As of November 30, 2023, HCI held a **26.3%** interest in the Company[46](index=46&type=chunk) - During the period, **$79 thousand** was paid or accrued to independent directors for fees and services[46](index=46&type=chunk) [Note 7: Contingencies and Commitments](index=12&type=section&id=7.%20CONTINGENCIES%20AND%20COMMITMENTS) The company has **$0.528 million** in future lease commitments, and a long-standing legal action by Africa Wide was dismissed, with the court ordering Africa Wide to pay **$159 thousand** in legal costs Commitments (in thousands USD) | | < 1 Year | 1 - 3 Years | 4 - 5 Years | Total | | :--- | :--- | :--- | :--- | :--- | | Lease Obligations | $118 | $285 | $125 | $528 | | Environmental Bonds | $43 | $129 | $86 | $258 | | **Totals** | **$161** | **$414** | **$211** | **$786** | - Legal proceedings instituted by Africa Wide in 2018 to set aside the sale of Maseve have been dismissed by the South Africa Supreme Court of Appeal. Africa Wide's final application for reconsideration was dismissed on October 6, 2023[46](index=46&type=chunk)[47](index=47&type=chunk) - The High Court determined that Africa Wide owes the Company **$159 thousand** (R2.99 million) in costs, and a demand for payment was served on November 29, 2023[47](index=47&type=chunk) [Note 8: Supplementary Cash Flow Information](index=13&type=section&id=8.%20SUPPLEMENTARY%20CASH%20FLOW%20INFORMATION) This note details the components of the net change in non-cash working capital, which was a minimal outflow of **$1 thousand** for the period ended November 30, 2023 Net change in non-cash working capital (in thousands USD) | | Nov 30, 2023 | Nov 30, 2022 | | :--- | :--- | :--- | | Amounts receivable, prepaid expenses and other assets | $150 | $(505) | | Accounts payable and other liabilities | $(151) | $(347) | | **Total** | **$(1)** | **$(852)** | [Note 9: Segmented Reporting](index=13&type=section&id=9.%20SEGMENTED%20REPORTING) The company operates in Canada and South Africa, with South Africa holding the majority of assets (**$44.0 million**) and reporting a larger loss of **$1.48 million** for the period Segmented Information as of Nov 30, 2023 (in thousands USD) | Segment | Assets | Liabilities | Loss for the period | | :--- | :--- | :--- | :--- | | Canada | $6,903 | $1,699 | $175 | | South Africa | $44,037 | $243 | $1,475 | | **Total** | **$50,940** | **$1,942** | **$1,650** |