VANCOUVER, B.C., March 27, 2003 (PRIMEZONE) -- Drilling by Platinum Group Metals Ltd, (TSX Venture Exchange:PTM), on the Elandsfontein property, immediately adjoining Anglo Platinum's Bafokeng Rasimone Platinum Mine, has intercepted the UG-2 platinum reef at shallow depths and drilling is continuing. The reef is present at depths of less than 55 meters in all of the initial 4 drill holes reported below. The final hole reported here includes an intercept of 3.45 g/t platinum, palladium and rhodium plus gold over 1.29 meters, the traditional UG-2 thickness and grade. Drilling at Elandsfontein will focus along strike to the northwest for a further 1,000 meters on the property and will also test for down dip potential. A total of 41 holes are planned in the current drilling program and a second drill rig will now be added to accelerate the program. Further assays including assays from a potential second reef intercept in the initial holes are expected shortly.
The reef is projected to strike northwesterly and have a dip of approximately 22 degrees to the northeast as predicted in the company's drill planning. The UG-2 and the Merensky reefs are the two layers or horizons in the Bushveld Complex that are mined for platinum, palladium and associated metals for more than 200 kilometers of strike length on other properties throughout the complex.
Hole 4 has grades typical of the UG-2 reef. This hole is the furthest hole reported to the northwest, 240 meters along the strike from the boundary with the adjoining mine and approximately 1000 meters of strike length potential in this property remains to be tested and assayed. Local variations, usually less than 200 meters in size, in the UG-2 and Merensky reef horizons are common including "potholes" where the reefs may occur, but are not as well layered. Holes one, two and three are affected by what is interpreted to be a standard "pot hole" feature. This first batch of assays from the drilling program was received and compiled by PTM on March 26, 2003.
PTM has an option agreement to purchase 100% of the mineral rights of portions of Elandsfontein under terms announced December 16, 2002. PTM also holds options to purchase mineral rights approximately 4 kilometers to the northwest at Onderstepoort as announced January 24, 2003
Hole No Grid Grid From To Intercept Pt Pd Rh Au Pt+Pd+
West South Rh+Au
(m) (m) (m) (m) (m) (ppb)(ppb)(ppb)(ppb) (g/t)
ELF-01 10 0 53.56 54.71 1.07 358 211 79 6 0.651
ELF-02 70 0 50.67 51.92 1.16 432 283 119 21 0.855
ELF-03 130 0 53.29 53.96 0.62 378 144 87 23 0.638
ELF-04 119 0 49.62 51.02 1.29 2416 670 336 26 3.449
Qualified Person and Quality Assurance and Control Dr. Gerhard Meintjes of GeoActiv Dynamic Geological Services has acted as the Qualified Person for Platinum Group Metals RSA Pty Ltd., a wholly owned subsidiary of PTM, on the Elandsfontein Project. He is registered with the South African Council for Natural Scientific Professionals ("SACNASP"). GeoActiv has extensive relevant experience in the Bushveld Complex including large scale drilling programs and resource assessments. For PTM, drill core is split or sawn with half being retained for future study. The samples collected from the second half of the drill core are sealed on site and transported directly to the analytical lab. PTM has inserted blind duplicates and standards in the assay sample stream as a part of its internal Quality Assurance and Quality Control program ("QAQC").
Lakefield Research Africa (Pty) Limited in Johannesburg completed the above noted assays for platinum, palladium, rhodium and gold by standard fire assay methods that included their own internal quality control program of standards. The assays for this release were delayed initially as a result of further test work required by both the laboratory's and PTM's QAQC program. Any concern was resolved to the satisfaction of the assayer and the QP. Additional QAQC included umpire samples run by standard fire assay at ALS Chemex Labs in Vancouver, Canada.
ABOUT PTM
PTM is based in Vancouver BC, Canada and has active exploration programs in Canada and South Africa. The Company was founded in 2000 with the vision of tight physical markets for platinum group elements by 2005 and with respect to platinum this is on track.
PTM is a significant mineral rights holder in the northern and western Bushveld and is planning to continue its acquisition of mineral rights in South Africa and the Bushveld Complex. The Company is supportive of the new initiatives of the government of South Africa in the Mineral Bill and Mining Charter.
The Company is the largest mineral rights holders in the area surrounding Canada's only primary platinum and palladium mine near Thunder Bay, Ontario and PTM has a separate active joint venture with Anglo Platinum, the world's largest producer of platinum, near Sudbury, Ontario, Canada.
For further information contact:
R. Michael Jones, President Platinum Group Metals Ltd. Tel: (604) 899-5450
Larry Roth Roth Investor Relations Tel: (732) 792-2200
The TSX Venture Exchange has not reviewed and does not accept responsibility for the accuracy or adequacy of this news release, which has been prepared by management.
Note to U.S. Investors: Investors are urged to consider closely the disclosure in our Form 20F, File No. 0-30306, available at our office: Suite 800 - 409 Granville Street, Vancouver BC, Canada, V6C 1T2 or from the SEC: 1(800) SEC-0330.