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A unique, exciting,
global precious
metals company
IR meeting presentation
October 2019
2
Disclaimer
The information in this presentation may contain forward-looking statements within the meaning of the “safe harbour” provisions of the United States Private Securities Litigation
Reform Act of 1995. These forward-looking statements, including, among others, those relating to Sibanye Gold Limited’s (trading as Sibanye-Stillwater) (“Sibanye-Stillwater” or the
“Group”) financial positions, business strategies, plans and objectives of management for future operations, are necessarily estimates reflecting the best judgment of the senior
management and directors of Sibanye-Stillwater.
All statements other than statements of historical facts included in this presentation may be forward-looking statements. Forward-looking statements also often use words such as
“will”, “forecast”, “potential”, “estimate”, “expect” and words of similar meaning. By their nature, forward-looking statements involve risk and uncertainty because they relate to
future events and circumstances and should be considered in light of various important factors, including those set forth in this disclaimer and in the Group’s Annual Integrated
Report and Annual Financial Report, published on 29 March 2019, and the Group’s Annual Report on Form 20-F filed by Sibanye-Stillwater with the Securities and Exchange
Commission on 5 April 2019 (SEC File no. 001-35785). Readers are cautioned not to place undue reliance on such statements.
The important factors that could cause Sibanye-Stillwater’s actual results, performance or achievements to differ materially from those in the forward-looking statements include,
among others, our future business prospects; financial positions; debt position and our ability to reduce debt leverage; business, political and social conditions in the United
Kingdom, South Africa, Zimbabwe and elsewhere; plans and objectives of management for future operations; our ability to obtain the benefits of any streaming arrangements or
pipeline financing; our ability to service our bond Instruments (High Yield Bonds and Convertible Bonds); changes in assumptions underlying Sibanye-Stillwater’s estimation of their
current mineral reserves and resources; the ability to achieve anticipated efficiencies and other cost savings in connection with past, ongoing and future acquisitions, as well as at
existing operations; our ability to achieve steady state production at the Blitz project; the success of Sibanye-Stillwater’s business strategy; exploration and development activities;
the ability of Sibanye-Stillwater to comply with requirements that they operate in a sustainable manner; changes in the market price of gold, PGMs and/or uranium; the
occurrence of hazards associated with underground and surface gold, PGMs and uranium mining; the occurrence of labour disruptions and industrial action; the availability,
terms and deployment of capital or credit; changes in relevant government regulations, particularly environmental, tax, health and safety regulations and new legislation
affecting water, mining, mineral rights and business ownership, including any interpretations thereof which may be subject to dispute; the outcome and consequence of any
potential or pending litigation or regulatory proceedings or other environmental, health and safety issues; power disruptions, constraints and cost increases; supply chain shortages
and increases in the price of production inputs; fluctuations in exchange rates, currency devaluations, inflation and other macro-economic monetary policies; the occurrence of
temporary stoppages of mines for safety incidents and unplanned maintenance; the ability to hire and retain senior management or sufficient technically skilled employees, as
well as their ability to achieve sufficient representation of historically disadvantaged South Africans’ in management positions; failure of information technology and
communications systems; the adequacy of insurance coverage; any social unrest, sickness or natural or man-made disaster at informal settlements in the vicinity of some of
Sibanye-Stillwater’s operations; and the impact of HIV, tuberculosis and other contagious diseases.
These forward-looking statements speak only as of the date of the content. Sibanye-Stillwater expressly disclaims any obligation or undertaking to update or revise any forward-
looking statement (except to the extent legally required).
3
Our values define the way we do business – in the interests of all
stakeholders
• Recognised the importance of all stakeholders to the success and
sustainability of our business from the start – superior value creation
for all of our stakeholders
• 26 August 2019: 181 CEO’s of the Business Round table in the United
States released a statement on “the Purpose of a Corporation”
which moves away from shareholder primacy and includes a
commitment to lead companies for the benefit of all stakeholders
OUR VISION
SUPERIOR VALUE CREATION
FOR ALL OUR STAKEHOLDERS
through the responsible
mining and beneficiation
of our mineral
resources
PURPOSE
Our mining
improves lives
4
Our commitment towards ESG and related reporting guidelines
• Responsible Gold Mining Principles
- An over-arching framework that sets out clear
expectations as to what constitutes responsible gold
mining.
- Designed to provide confidence to investors, supply
chain participants and investors that gold has been
produced responsibly.
- Implementing companies will be required to publicly
disclose conformance and obtain external assurance
on this.
- Reflects the commitment of the world’s leading gold
mining companies to responsible mining.
• Other ESG commitments, reporting guidelines and
recognition by inclusion in ESG indices
5
OUR VALUES
OUR VALUES
Commitment
Accountability
Respect
Enabling
Safety
EN
GA
GED
LEA
DER
SH
IP
Safety moment – Zero harm strategic framework
Leading safety performance re-established and breaking through the previous performance plateau
ENABLING ENVIRONMENT
EMPOWERED PEOPLE
FIT-FOR-PURPOSE SYSTEMS
Reducing risk exposure by maintaining
a safe working environment with
equipment, tools and material that
enable sustainably safe production
Ensuring the required number of trained
people to apply relevant standards
and procedures to work safely
Subscribing to international best practice
principles and integrated systems with a
view to certification in the longer term
• Real risk reduction initiatives ongoing
– Working place layout improvements
› Focus on the elimination of ‘A’ Hazards
– Infrastructure improvement
› Rail-bound equipment safety enhancements
• Safe Production leadership and culture
– Individual, team and organisation
– Mirror sessions at SA gold operations
– Values-based decisions intervention
• Safety days
– Section 23 withdrawals reinforcement
• Bow-tie risk management process introduced– University of Queensland coaching
sessions on critical controls– Root cause analysis
• Independent high potential incident reviews• Life-saving rules introduced
• Enhanced Trigger Action Response Plan (TARP) for improved rock mass management
• ISO 45001 Occupational Health & Safety Management System implementation on track
• ICMM membership in progress
6
Group safety statistics – continued improvement
Re-establishing our industry leading performance
Source: Company information. H1 2019 include the Marikana operations for the June 2019 month
5,87 6,74 6,62 5,78 5,89 4,980,00
1,00
2,00
3,00
4,00
5,00
6,00
7,00
8,00
2014 2015 2016 2017 2018 2019 H1
Lost day injury frequency rate (Group)
0,12 0,06 0,10 0,07 0,161 0,0320
0,02
0,04
0,06
0,08
0,1
0,12
0,14
0,16
0,18
2014 2015 2016 2017 2018 2019 H1
Fatal injury frequency rate (Group)
3,88 4,68 4,16 3,57 3,7 3,180,00
1,00
2,00
3,00
4,00
5,00
2014 2015 2016 2017 2018 2019 H1
Serious injury frequency rate (Group)
0,117 0,065 0,108 0,086 0,237 0,0000,000
0,050
0,100
0,150
0,200
0,250
2014 2015 2016 2017 2018 2019 H1
Fatal injury frequency rate (Gold operations only)
Group overview, structure
and strategy
8
A unique, diversified, global, precious metal company
Quality portfolio of assets poised to excel
SA gold (oz %)
SA PGM (6E %)
US PGM (2E %)
Americas assets
Southern African assets
US PGM
East Boulder mine(100%)
Reserves: 10.9Moz 2E
Stillwater mine(100%)
Reserves: 14.8Moz 2E
Marathon project
with Generation mining
Altar project
with Aldebaran (in
Argentina)
SA PGM
Mimosa (50%)
Reserves: 1.7Moz 4E
Platinum Mile (91.7%)
Reserves: n.a.
Rustenburg (100%):
Reserves: 14.5Moz 4E
Kroondal (50%)
Reserves: 1.5Moz 4E
Marikana (100%)
Reserves: 31.2Moz 4E
SA GOLD
Cooke surface
Resources: 4.0Moz Au
Driefontein
Reserves: 3.3Moz Au
Kloof:
Reserves: 5.0Moz Au
Beatrix
Reserves: 1.2Moz Au
DRDGOLD (38.05%)
Reserves: 2.2Moz Au
Shares in issueShares in ADR formMarket cap¹
2,670,029,252731, 336, 904 (ADR ratio 1:4 ordinary share)R56 billion (US$3.8 billion)
Listings JSE Limited share ticker: SGL NYSE ADR programme share ticker: SBGL
Net debtat 30 June 2019
R21 billion (US$1.5billion)2 Net debtGearing of 2.5x Net debt :adjusted EBITDA* 2
R6.1 billion (US$431 million) available facilities
¹ Market cap as at 2 September 2019 2 Converted using exchange rate on 30 June 2019 of US$/R14.10 3 Definition as per debt covenants which includes 12 months pro-forma adjusted EBITDA of Marikana operations4 Declaration as per Lonmin at 30 Sep 2018 before the acquisition by the Group *The Group reports adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) based on the formula included in the facility agreements for compliance with the debt covenant formula. For a reconciliation of profit/loss before royalties and tax to adjusted EBITDA, refer to the relevant notes in the condensed consolidated interim financial statements
21%
62%
17%
Production
(oz%)
H1 2019
27%
73%
Reserves
(Moz %)
2018
SA* US
*Include SA gold and SA PGM operations inclusive of Lonmin’s Reserve and Resource declaration as at Sep 2018
48%
52%
Revenue
Rm%
H1 2019
9
Sibanye-
Stillwater
Board
Sibanye-Stillwater
Group Executive
committee
SA PGM
management
committee
Business units
and service areas
Improved operational management focus
• Three major operating
segments of the business have
distinct requirements
• Need for dedicated leadership
that will drive focused
strategies
• Integration of Lonmin and
restoring profitability at the SA
gold operations requires
specific focus
• Many functions will remain
decentralised to serve country
requirements and retain
benefits of scale
• Need for Group-wide strategies
to be adopted in critical areas
Governance and oversight
Company business strategy
Operating segment
deliver strategy
Operational deliveryDepartment
heads
US PGM
management
committee
Business units
and service areas
Department
heads
SA gold
management
committee
Business units
and service areas
Department
heads
CEO/CFO
10
Significant transformation into a leading, global precious metals company
Source: Company filings
Notes:
1. Peer group information using public company filings with platinum, palladium and rhodium reflect primary production (where available) for 2018 actual. RBPlats based on H1 2019 production. Impala does not
disclose primary production for palladium and therefore a similar ratio as the platinum primary production to total production was assumed. North American Palladium also does not disclose primary production
for palladium therefore total production was used
2. 2018 full year production from Sibanye – Stillwater proforma Lonmin (Sep 2018 annuals) excluding recycling volumes
* Impala’s production represent the June 2019 year-end results issued on 5 September 2019
Positioned globally as a leading precious metals producer
Sibanye-Stillwater global PGM ranking – Primary production
0,26
0,30
0,65
1,31
1,32
1,48
RBPlats¹
Northam¹
Norilsk¹
Impala¹,*
Amplats¹
Sibanye-Stillwater²
2018A platinum
production (Moz)
1,01
0,11
0,14
0,22
0,82
1,13
2,73
RBPlats¹
Northam¹
North American Palladium¹
Impala¹
Amplats¹
Sibanye-Stillwater²
Norilsk¹
2018A palladium
production (Moz)
11
Significant transformation into a leading, global precious metals company
Source: Company filings
Notes:
1. Peer group information using public company filings with platinum, palladium and rhodium reflect primary production (where available) for 2018 actual. RBPlats based on H1 2019 production. Impala does not
disclose primary production for rhodium therefore a similar ratio for platinum primary production to total production was assumed
2. 2018 full year production from Sibanye – Stillwater proforma Lonmin (Sep 2018 annuals) excluding recycling volumes
* Impala’s production represent the June 2019 year-end results issued on 5 September 2019
Positioned globally as a leading precious metals producer
Sibanye-Stillwater global gold ranking
7,40
5,81
3,64
3,40
2,48
2,44
2,44
Newmont Goldcorp¹
Barrick¹
Sibanye-Stillwater²
AngloGold¹
Kinross¹
Polyus¹
Freeport-McMoRan¹
2018A gold and gold equivalents production (Moz)
21
44
164
178
196
RBPlats¹
Northam¹
Impala¹,*
Amplats¹
Sibanye-Stillwater²
2018A rhodium
production (Koz)
Sibanye-Stillwater global PGM ranking – Primary production
Gold produced
Gold equivalents
12
What we said
PGM assets will complement the gold portfolio
and create value and sustainability
A track record of delivery
… and delivered Status
PGM assets have been a success story – providing
valuable diversification
Stillwater: a quality asset in a favourable region
offering growth and value
Contributing half of Group earnings:
Production growth and 112% increase in palladium
price since offer was made in 2016
Restructure SA gold to a smaller, more
sustainable footprintComplete
Re-establish our leading safety performance and
break through the previous safety plateauRecord safety milestones achieved at SA gold
US operations to claw back Q1 2019
underperformance
Recovery plans promptly initiated resulting in an
improved 2Q 2019
Four step PGM strategy with mine to market in SA
Concluded through successful acquisition of Lonmin.
Integration to realise synergies and optimise value in
progress
13
Successfully concluded our four-step PGM strategy at favourable prices
Built a leading and influential
PGM business at a favourable
stage in the precious metals
cycle for a total of R38bn
(US$2.59bn4) within four years:
• R4.3bn Aquarius transaction
in Apr 2016
• R3.7bn¹ Rustenburg in Nov
2016
• US$2.2bn for Stillwater assets
effective in May 2017
• Lonmin all share acquisition
in June 2019 at R4.3 bn3 /
US$288m3
1. R1.5bn upfront payment to Amplats plus current estimate of R2.2bn deferred payment (refer to notes to the financial statements for reference)
2. US$2.2bn converted using US$/R10.65 exchange rate inline with disclosed value inclusive of transaction costs at the time acquired in May 2017 amounted to ~R25.6bn at the time
3. Estimate purchase price (not accounting value) of the Lonmin transaction based on Lonmin share capital figure of 290,394,531 shares in fixed ratio of 1:1 resulting in 290,394,531new Sibanye- Stillwater
shares. Considerations estimate based on spot Sibanye-Stillwater closing share price on the JSE of R14.83 per share on 7 June 2019. US$ price converted at R14.94
4. Converting R38bn to US dollar using a US$/R14.68 exchange rate as of closing prices on 18 September 2019
Executing clearly communicated four step strategy to create a unique PGM business
Aquarius• First entry into the SA PGM sector – Apr 2016
• Lean, well run company
• Operational performance has increased to further record levels since acquisition
Rustenburg
• Effective Nov 2016
• Smart transaction structure aligned with expectations of platinum market outlook
• Significant synergies with Aquarius and gold central services
• Realised synergies of ~R1bn in 14 months, well ahead of previous target of R800m over a 3-4 year
period
Stillwater
• Tier one, US PGM producer acquired in May 2017
• High-grade, low-cost assets with Blitz, a world-class growth project
• Provides geographic, commodity and currency diversification
• 78% palladium content provides upside to robust palladium market
Lonmin
• Effective June 2019. Attractive acquisition price at attractive point in platinum price cycle
• Significant potential synergies exist with our SA PGM assets
• Aligns with Sibanye-Stillwater’s mine-to-market strategy in SA and adds commercially attractive
smelting and refining
• Sizeable resources provide long-term optionality
14
Expected production profile represents a lasting, quality mix of precious
metals
• Source: Company information
0
1
2
3
4
5
2019 2020 2021 2022 2023 2024 2025 2026 2027 2028
Mill
ion
ou
nc
es
SA PGM operations (4E PGMs) US PGM operations (2E PGM oz)
US Recycling, (2E PGM oz) Gold operations (oz)
Lonmin operations (4E PGM oz)
Expected PGM and gold* life of mine production plan
(next 10 years displayed)
Our profile post various value accretive acquisitions
0
1
2
3
4
5
20
13
20
14
20
15
20
16
20
17
20
18
20
19
20
20
20
21
20
22
20
23
20
24
20
25
20
26
20
27
20
28
Mill
ion
ou
nc
es
Beatrix Base Driefontein Base
Kloof Base Surface
Base of gold operations’ life of mine upon unbundling in 2013
If we had made no further acquisitions
or implemented our operating model since unbundling
15* Definition as per debt covenants which includes 12 months pro-forma adjusted EBITDA of Marikana operations
We are working towards… … and we are currently at Status
Readiness for value accretive growth once
deleveraging accomplished and inherent value
recognised in equity rating
Commodities market intelligence strengthened through acquisition of SFA Oxford
Building a values-based culturePromoting values-based behaviour through inclusive involvement
Culture growth programme strengthening cohesion and engagement
Addressing our SA discountBenefit of diversified operations reducing exposure to SA discount
Exploring options to further enhance resilience to socio-political developments
De-leveraging ongoing
• significant reduction expected by end of 2019
• to 1.0x in the longer term
2.5x* net debt: adjusted EBITDA - well below the 3.5x covenant for the 2019 year
• Impacted by gold strike and deferred earnings from Rustenburg
• sustained higher commodity prices and weaker R/US$ exchange rate support
accelerated de-leveraging
Focus on operational excellenceSenior leadership driving segment-specific operational delivery strategies
Constructive safe production trends emerging
But it is a journey and we have not arrived yet...
16
Positioning for the new world
2013 2017 2020 Time
Gro
wth
SA Gold
1
SA PGMs
2
International precious metals
3
Establish base to participate in
appropriate drive train and
battery metal growth
4
17
Acquisition of SFA Oxford – fast tracking our PGM insights & technology
Acquiring tomorrow’s PGM marketsAcquiring tomorrow’s PGM markets
More about SFA Oxford (SFA)
Consulting analysts in tomorrow’s commodities and technologies
A leading commodity consultancy
with expertise in future technologies
and mobility
SFA is a world-renowned authority on platinum-group metals and provides
market intelligence on strategic and precious metals for industrial applications,
clean automobiles and technologies for future smart cities, as well as on
evolving jewellery trends and investment
For more than 15 years, the SFA team has successfully undertaken
complex assignments for producers, fabricators, end-users, recyclers
and investors, whilst compiling the most comprehensive,
independent supply and demand database
Lonmin – immediate value,
leverage and optionality
19
60%
3%
28%
4%5%
Reserves* (4E PGMs)
Created significant flexibility and optionality to SA PGM resources and
reserves
Lonmin added sizeable PGM Resources with potential upside from advanced brownfield projects and greenfield project pipeline 19Source: Company information
* Lonmin/ Marikana Reserve and Resource figures are as per their declaration as at Sep 2018 before the acquisition by Sibanye-Stillwater. This declaration is currently subject to an economic valuation aligned to our policy
38%
19%
2%
29%
2%1%
9%
Resources* (4E PGMs)
Marikana ops and
surfaceProjects (Lonmin)
Kroondal
Rustenburg
Mimosa
Surface
Projects
Total278Moz
Total52Moz
20
Cumulative losses from operational underperformance
Source: Lonmin information. Prior to the June 2019 month, all information is representative of Lonmin’s results prior to the acquisition by Sibanye-Stillwater
*Special costs include change in the rehabilitation provision, re-financing success fees, transaction costs, restructuring costs and retention fees
Lonmin was not viable as an ongoing business on a standalone basis
0
100 000
200 000
300 000
400 000
500 000
(5 000)
0
5 000
10 000
15 000
20 000
Dec Q 2017 Mar Q 2017 Jun Q 2017 Sep Q 2017 Dec Q 2018 Mar Q 2018 Jun Q 2018 Sep Q 2018 Dec Q 2019 Mar Q 2019 Jun Q 2019
6E
PG
M o
un
ces
R/o
z u
nit
co
sts
Lonmin – Basket price versus total unit costs
Production costs per unit Capital per unit Other costs per unit London office per unit
Special costs* per unit Rand 6E PGM Basket price Refined 6E PGM ounces
21
Synergies with Marikana operations will ensure operational viability
• Overhead costs (R730m annually by 2021)
– corporate office rationalisation
(closing London office and
delisting)
– regional shared services
– operational (mining) services
– once-off R80m cost required to
achieve these synergies
• Processing synergies
– differential cost benefits of
R780m and an average of
approximately R550m
annually if moving
Rustenburg material to
Lonmin PMR
– Capex of approximately
R1bn required for purchase
of a new furnace
Quantified synergies Incremental synergy potential2
• Ability to mine through existing mine boundaries
• Optimal use of surface infrastructure
• Optimising mining mix
• Prioritisation of projects and
new growth capital
• Capital reorganisation in line with new consolidated regional plan
Pre-tax synergies of approx. R1.5bn annually1
Providing sustainability through realizing synergies and instilling appropriate cost structures for sustainable production levels1.For further information, please refer to page 17, 58 to 60 of the offer announcement on 14 Dec 2017, available at https//sibanyestillwater.com/investors/transactions/lonmin/documents but realisation delayed by a year due
to delayed closing of transaction2. Synergies which are unquantifiable at this point in time
22
Track record of successful integration of previous SA PGM acquisitions
• Rustenburg and Kroondal
synergies
- Initially estimated as R800 million
over 3 to 4 years
- Successfully realised > R1 billion
of synergies over 14 months
1. Northam
2. Anglo America Platinum
3. Siyanda Resources
4. Sedibelo Platinum
5. Wesizwe Platinum
6. Royal Bafokeng Platinum
7. Impala Platinum
8. Eastern Platinum
9. Sibanye-Stillwater
Rustenburg and Kroondal
operations
Marikana operations
(previously Lonmin)
1
2
3
2
4
6
7
7
6
6
5
189 9
Adjacent operations providing significant synergy opportunities
Operating and financial
results ended
30 June 2019 (H1 2019)
24
Key statistics – H1 2019 ended 30 June 2019
24
US Dollar SA Rand
Quarter ended Quarter ended
Jun 2018 Dec 2018 Jun 2019 UNITED STATES (US) OPERATIONS Jun 2019 Dec 2018 Jun 2018
PGM operations1
293,959 298,649 284,773 oz 2E PGM2 production kg 8,857 9,289 9,143
360,246 326,346 421,450 oz PGM recycling1 kg 13,109 10,151 11,205
996 1,016 1,285 US$/2Eoz Average basket price R/2Eoz 18,247 14,407 12,260
153.3 160.3 208.4 US$m Adjusted EBITDA3 Rm 2,959.1 2,264.5 1,887.4
653 701 772 US$/2Eoz All-in sustaining cost4 R/2Eoz 10,965 9,929 8,045
SOUTHERN AFRICA (SA) OPERATIONS
PGM operations5
569,166 606,506 627,991 oz 4E PGM2 production kg 19,533 18,864 17,703
1,051 1,039 1,224 US$/4Eoz Average basket price R/4Eoz 17,377 14,729 12,941
81.3 136.3 145.2 US$m Adjusted EBITDA3 Rm 2,060.9 1,880.7 1,001.1
821 755 932 US$/4Eoz All-in sustaining cost4 R/4Eoz 13,228 10,706 10,106
Gold operations5
598,517 578,188 344,752 oz Gold produced kg 10,723 17,984 18,616
1,314 1,212 1,308 US$/oz Average gold price R/kg 597,360 552,526 519,994
81.8 21.0 (204.6)US$m Adjusted EBITDA3 Rm (2,904.8) 355.3 1,007.1
1,315 1,308 1,904 US$/oz All-in sustaining cost4 R/kg 869,141 596,100 520,488
GROUP
6.4 (195.1) (18.9)US$m Basic earnings Rm (265.2) (2,576.3) 76.7
8.2 (9.5) (89.0)US$m Headline earnings Rm (1,263.1) (117.6) 101.0
316.4 315.6 145.8 US$m Adjusted EBITDA Rm 2,069.4 4,473.8 3,895.6
12.31 14.18 14.20 R/US$ Average exchange rate
1 The US PGM operations’ underground production is converted to metric tonnes and kilograms, and performance is translated to SA rand. In addition to the US PGM operations’ underground production, the operation treats recycling material which is excluded from the 2E PGM production, average basket price and All-in sustaining cost statistics shown. PGM recycling represents palladium, platinum, and rhodium ounces fed to the furnace
2 Platinum Group Metals (PGM) production in the SA operations is principally platinum, palladium, rhodium and gold, referred to as 4E (3PGM+Au), and in the US operations is principally platinum and palladium, referred to as 2E (2PGM)
3 The Group reports adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) based on the formula included in the facility agreements for compliance with the debt covenant formula. For a reconciliation of profit/loss before royalties and tax to adjusted EBITDA, see note 11.1 of the condensed consolidated interim financial statements. Adjusted EBITDA margin is calculated by dividing adjusted EBITDA by revenue
4 See “salient features and cost benchmarks for the six months ended 30 June 2019, 31 December 2018 and 30 June 2018” for the definition of All-in sustaining cost
5 The SA PGM operations’ results for the six months ended 30 June 2019 included the Marikana operations for the one month since acquisition and the gold operations’ results for the six months ended 31 December 2018 include DRDGOLD for the five months since acquisition
25
PGM Diversification – delivering clear benefits
Source: Company results information
Impact of strike at SA gold operations offset by increasing contribution from US and SA PGM operations
11,00
12,00
13,00
14,00
15,00
16,00
(4 000)
(2 000)
0
2 000
4 000
6 000
H1 2015 H2 2015 H1 2016 H2 2016 H1 2017 H2 2017 H1 2018 H2 2018 H1 2019
R:U
S$R m
illio
n
Profitability (adjusted EBITDA) and R/US$ exchange rate
SA PGMSA Gold US PGMProforma Rustenburg deferred revenue (toll) Average rand:US dollar exchange rate (RHS)
26
SA gold operations
• Achieved a full year without fatalities
- A significant milestone, never achieved by these deep level mines
- Achieved despite the strike and the subsequent production build-up
• Operations significantly affected by ~ five month gold strike
- Limited production during H1 2019
- Strike successfully resolved in April 2019 – AMCU committed to the same terms agreed with
other unions five months earlier
• Driefontein and Beatrix restructuring concluded in June 2019
- Operating footprint reduced for improved profitability and sustainability
- Beatrix 1 & Driefontein 2 shafts - on care and maintenance
- Driefontein 6 & 7 shafts and Beatrix 2 plant - closed
- Driefontein 8 shaft - remains open if profitable on a rolling three month period
• Normalisation of production expected during Q3 2019– profitability restored at
current spot price
Safe production now at normalised levels with significant leverage to the ZAR gold price
27
US PGM operations
• High grade and high margin
mining operations with risk
diversification for Group
- Yield >13g/tonne
- 57% adjusted EBITDA margin
• Production disappointments in
Q1 2019 already addressed
through recovery plans
- annual guidance adjusted to
reflect ground condition
productivity considerations at
Blitz
• Ongoing production build-up at
Blitz and East Boulder’s Fill the Mill
(FTM) project will further
enhance profitability
- Supportive price environment
- FTM set to deliver +45koz by
2021 while Blitz remains on
schedule
Source: Company results information. H1 2017 only represents information from May 2017 when Stillwater was acquired. 1. Refer to page 13 of the 2018 results book under “salient features
and cost benchmarks for the six months ended 31 December 2018, 30 June 2018 and 31 December 2017” for the definition of All-in sustaining cost (AISC)
* Spot prices at 14 August 2019. US$/R15.29, Pt US$852, Pd US$1,551/oz, Rh US$3,520/oz, Au US$1,514/oz with prill split of 77% pd and 23% pt
The theoretical Adj. EBITDA calculation performed by adjusting revenue with the assumption that it only consists of revenue from 2E PGMs and assumes costs remained constant at spot prices
Benefitting from production build up at Blitz and FTM and rising palladium price – largest component of Group adjusted EBITDA & NAV
0
400
800
1200
1600
0
50
100
150
200
250
H1 2017 H2 2017 H1 2018 H2 2018 H1 2019 H1 2019
at spot prices*
US$
/2E o
z
US$
mill
ion
Adjusted EBITDA AISC Average 2E basket price
US PGM - adjusted EBITDA and All-in sustaining cost (AISC)
28
US recycling operations – record throughput
• Record recycling PGM fed
in H1 2019 following
commissioning of
expanded furnace (EF2)
• Increased capacity
enables significant
drawdown of recycling
inventory
- 17% increase in throughput
YoY
• Inventory drawdown and
the sale of ounces from
furnace brick resulted in a
115% YoY increase in
EBITDA
- US$21.5 million adjusted
EBITDA for H1 2019
- Supply contracts ensure the
delivery of high quality
autocats
Source: Company information
* Earnings before interest, tax, depreciation and amortisation
Well managed recycling business with increasing contribution to the US operations
0
5
10
15
20
25
30
0
100 000
200 000
300 000
400 000
500 000
H2 2017 H1 2018 H2 2018 H1 2019
US$
m
3E P
GM
Oz
Fe
d
Recycling 3E PGM oz fed and recycling adj. EBITDA*
3E PGM Oz fed Adjusted EBITDA
29
SA PGM operations
• Steady operational
performance resulting in a
106% increase in adjusted
EBITDA to R2.1 billion
(US$145 million)
• Incorporation of Marikana
operations from June 2019
- With R188m contribution to
Adjusted EBITDA
• Adjusted EBITDA from
Rustenburg deferred
(R202m) due to transition
from POC to toll treatment
• H1 2019 financials not
reflective of steady state
with further upside
Source: Company results information. 1. Refer to the H1 2019 results book under “salient features and cost benchmarks for the definition of All-in sustaining cost (AISC)
2. Average 4E basket price represent prevailing market prices and not the price received as per the various Purchase of Concentrate and Toll treatment agreements
* Spot prices at 14 August 2019. US$/R15.29, Pt US$852, Pd US$1,551/oz, Rh US$3,520/oz, Au US$1,514/oz, with prill split of 31% pd and 58% pt, 9% rh and 2% Au.
The theoretical Adj. EBITDA calculation performed by adjusting Revenue with the assumption that it only consists of revenue from 4E PGMs and assumes costs remained constant at spot prices
Consistent operational performance ensuring leverage to higher rand 4E PGM basket price
0
5 000
10 000
15 000
20 000
25 000
0
1 000
2 000
3 000
4 000
5 000
H2 2016 H1 2017 H2 2017 H1 2018 H2 2018 H1 2019 H1 2019
at spot prices*
R/4
E o
z
R m
illio
n
SA PGMs - AISC and adjusted EBITDA
Adjusted EBITDA Proforma Rustenburg delayed toll recognition* AISC Average 4E basket price1
30
Income statement for the six months ended 30 June 2019
Revenue decreased marginally. Revenue from the US PGM operations increased by 52% -
higher average 2E basket price, 28% decrease at the SA PGM operations - transition from
the Purchase of Concentrate (PoC) to the Toll processing. Revenue from the SA gold
operations excluding DRDGOLD decreased by 53% due to the strike.
Cost of sales before amortisation and depreciation increased at the US PGM operations
due to increased recycling volumes, decreased at the SA PGM operations due to inventory
build-up as a result of the Toll transition and was flat at the SA gold operations despite the 5-
month strike due to the high fixed cost nature of the operations.
Net other cash cost include care and maintenance costs of R265m at Cooke operations;
R4m at the Marikana operations and R36m at Burnstone. Also included are strike related
costs of R375m. .
Net finance expense increased by R91m mainly due to the unwinding of the deferred
revenue related to the streaming transaction (R149m), and the inclusion of DRDGOLD for
the full six months (R12m) and the Marikana operations (R15m). This increase was partly
offset by a decrease in interest on borrowings in H1 2019 following the US$395m buy-back of
the 2022 and 2025 Notes and US$ Convertible Bond in September 2018.
Gain on acquisition
A gain on acquisition of R1,093m arose on the acquisition of Lonmin and is attributable to
the transaction being attractively priced.
Mining and income tax charge for H1 2019 comprised an increase of R502m in current tax
due to the increase in taxable mining income from the US and SA PGM operations. This was
offset by a R1,567m credit in deferred tax as a result of the US PGM sales moving to a
different tax jurisdiction and a R1,303m deferred tax credit mainly as a result of the losses
incurred at the SA gold operations.
Restructuring costs include R386m due to the restructuring of the SA gold operations as a
consequence of ongoing financial losses experienced at the Beatrix and Driefontein
operations, and R247m related to the voluntary separation agreements at the Marikana
operations.
Rm H1 2019 H1 2018
Revenue 23,535 23,910
Cost of sales, before amortisation and depreciation (20,662) (19,642)
Net other cash costs (804) (372)
Adjusted EBITDA 2,069 3,896
Amortisation and depreciation (2,925) (3,095)
Net finance expense (1,284) (1,193)
(Loss)/gain on financial instruments (536) 710)
Gain/(loss) on foreign exchange differences 53 210
Impairments (93) (60)
Gain on acquisition 1,093 -
Restructuring costs (633) (94)
Net other 50 (107)
(Loss)/profit before royalties and tax (2,206) 267
Royalties (117) (104)
Mining and income tax 2,142 (85)
(Loss)/profit (181) 78
31
Net debt reduced with proactive debt management
Reduced debt and improved ND:EBITDA ratio
0,0
0,5
1,0
1,5
2,0
2,5
3,0
3,5
4,0
15 000
20 000
25 000
30 000
Jun 17 Sep 17 Dec 17 Mar 18 Jun 18 Sep 18 Dec 18 Mar 19 Jun 19
x
R m
illio
n
Net debt balances (rhs) Net debt: Adjusted EBITDA (lhs)
Covenant limit (rhs) Linear (Net debt balances (rhs))
Net debt reduced and de-leveraging acceleration expected
• Net debt reduced to R21.0bn (US$1.5bn) - lowest level reported since the Stillwater
acquisition
• Well within the 3.5x covenant limit - Net debt: adjusted EBITDA of 2.5x as per the
covenant calculations* (3.2x as per the financial results)
• Net debt: adjusted EBITDA ratio expected to reduce significantly by end 2019 as the
impact of the abnormal events in H1 2019 are diluted by a more stable outlook and
normalised earnings from the enlarged Group, alongside the lower net debt values
Debt management to improve capital structure
• Two transactions executed during April 2019 to improve liquidity and accelerate
deleveraging
- Raised R1.7bn (US$120m) of funding through the issue of shares at near 52 week high
prices
- Raised US$125m (R1.7bn) of funding through a Gold Prepayment arrangement
• The US$169m Lonmin PIM Prepayment arrangement was settled from cash on hand within
the Lonmin group in July 2019
- Marikana's liquidity and funding are to be provided from Group funding facilities at a
cost of below 5% pa compared to the 15% pa cost incurred (both in USD terms)
under the Lonmin PIM Prepay. Results in an approximately US$15m (R210m) pa
funding cost reduction
Net debt to adjusted EBITDA
*For covenant calculations Marikana’s pro forma EBITDA is utilised (i.e. adjusted to represent a full 12 month period, rather than just 1 month as consolidated for accounting purposes) in order to more
accurately represent the enlarged entity post an acquisition. This results in a 2.5x Net debt: adjusted EBITDA ratio for covenant calculation purposes, compared to the 3.2x ratio from the financial results
32
Sufficient liquidity
• Available undrawn facilities of
US$431m (R6.1bn) providing
sufficient liquidity
• Elevated cash balance of US$423m
(R6bn) reported
• Refinancing of the R6bn (US$426m)
ZAR RCF (due Nov 2019) has been
initiated and is expected to be
completed during Q3 2019
• 75% of the USD RCF lenders have
approved a one year extension to
the April 2021 maturity of their
funding commitments under the
facility
Surplus liquidity and lower net debt
216
169112
336
347
388
338
1 906
1 483
423 431
0
500
1 000
1 500
2 000
2 500
2019 2020 2021 2022 2023 2024 2025 Gross debt Net cash
(incl
overdrafts)
Net debt Undrawn
facilities
US$ m
illio
n
R6bn ZAR RCF Lonmin PIM Prepay $600m USD RCF
$500m 6.125% 2022 bonds $450m 1.875% 2023 convertible $550m 7.125% 2025 bonds
Net cash (incl overdrafts) Available undrawn facilities
Debt maturity ladder as at 30 June 2019 in USD (i.e. Capital repayment profile)
Note: These are in line with the disclosures in the balance sheet within the results booklet
Relative valuations
34
400
600
800
1000
1200
1400
1600
10 000
12 000
14 000
16 000
18 000
20 000
22 000
24 000
26 000
US$/o
z
R/o
z
Gold R/oz PGM basket (R/4Eoz) PGM basket (US$/2Eoz)
Spot: R21,395/4Eoz
Spot: US$1,400/2Eoz
Spot: R23,315/oz
Ave: R16,752/4Eoz
Ave: US$1,284/2Eoz
Ave: 18,552/oz
Ave: R14,556/4Eoz
Ave: US$1,000/2Eoz
Ave: 17,297/oz
Ave: R12,952/4Eoz
Ave: US$992/2Eoz
Ave: 16,216/oz
Ave: R13,074/4Eoz
Ave: US$945/2Eoz
Ave: 17,087/oz
Ave: R12,039/4Eoz
Ave: US$836/2Eoz
Ave: 16,326/oz
H1 2017 H1 2019H2 2018H1 2018H2 2017
Revenue drivers - precious metals prices
Increasing precious metals prices and depreciating rand driving profitability and cash flow in H2 201934
35
Revenue drivers – ZAR/$
35Rand:US dollar exchange rate is the primary driver of revenues – depreciated by over 30% during last 18 months
11
12
13
14
15
16
ZA
R/U
SD
ZAR/USD
36
Highly geared to exchange rate and movement in commodity prices
Notes: 1.Annualised base for all segments are at spot prices at 14 August 2019. US$/R15.29, Pt US$852, Pd US$1,551/oz, Rh US$3,520/oz, Au US$1,514/oz, Ruthenium US$246/oz, Iridium US$1,460/oz
100
46
23
27
20
26
Base
Rand:dollar
Platinum price
Palladium price
Rhodium price
Gold price
Incremental AISC margin
Sensitivity of Group AISC margin (in Rand value) to economic context
10% change in
37
AISC margin upside at current spot prices (Rbn)
(2,89)(1,34)
3,222,49
4,39
5,72
2,07
2,23
2,23
(4,00)
(2,00)
-
2,00
4,00
6,00
8,00
10,00
12,00
H1 2019 actual at actual prices H1 2019 actual at spot prices H1 2019 pro-forma at spot prices
R b
illio
n
H1 2019 AISC margin (Rbn) - actual, at spot and pro-forma
SA gold operations SA PGM operations including Marikana US PGM operations
R1.7 billion
R5.3 billion2
1.Spot prices at 14 August 2019. US$/R15.29, Pt US$852, Pd US$1,551/oz, Rh US$3,520/oz, Au US$1,514/oz, Ruthenium US$246/oz, Iridium US$1,460/oz; 2. H1 2019 actual at actual prices = as per results with Marikana only in 1 month; 3. H1 2019 actual at spot prices = actual results x spot prices and exchange rate as in no 1 above. By using production of 16,500kg at AISC of R582,545/kg for the SA gold operations that could have been expected from SA gold operations without a strike x spot prices and exchange rate as in 1. above
• Major potential upside
looking forward from
- normalised production at
SA gold operations
- incorporation of
Marikana operations
realisation of cost
synergies across SA PGM
operations
- full recognition of PGM
production under toll
processing terms
- production ramp up at
Blitz and from Fill the Mill
R11.2 billion3
38
AISC margin upside at current spot prices (US$m)
-203-94
227175309
403
146
146
146
(400,00)
(200,00)
-
200,00
400,00
600,00
800,00
1 000,00
H1 2019 actual at actual prices H1 2019 actual at spot prices H1 2019 pro-forma at spot prices
US$
mill
ion
H1 2019 AISC margin (US$m) - actual, at spot and pro-forma
SA gold operations SA PGM operations including Marikana US PGM operations
U$118 million
US$361 million2
1.Spot prices at 14 August 2019. US$/R15.29, Pt US$852, Pd US$1,551/oz, Rh US$3,520/oz, Au US$1,514/oz, Ruthenium US$246/oz, Iridium US$1,460/oz; 2. H1 2019 actual at actual prices = as per results with Marikana only in 1 month; 3. H1 2019 actual at spot prices = actual results x spot prices and exchange rate as in no 1 above. By using production of 16,500kg at AISC of R582,545/kg for the SA gold operations that could have been expected from SA gold operations without a strike x spot prices and exchange rate as in 1. above
• Major potential upside
looking forward from
- normalised production at
SA gold operations
- incorporation of
Marikana operations
realisation of cost
synergies across SA PGM
operations
- full recognition of PGM
production under toll
processing terms
- production ramp up at
Blitz and from Fill the Mill
US$775 million3
39
Sibanye-Stillwater Net Asset Value sensitivity analysis (Rm)
Current price to spot NAV ratio of 0.36x – a significant discount
R5
7.6
2 p
er s
har
e
R2
1.0
0 p
er s
har
e
-
20 000
40 000
60 000
80 000
100 000
120 000
140 000
160 000
180 000
200 000
US PGM operations (5%) SA PGM operations(7.5%)
SA gold operations (7.5%) Lonmin (7.5%) Group Net debt Total Sibanye-StillwaterNAV
Market Cap
R m
illio
n
Sibanye-Stillwater NAV analysis - Spot prices1
1.Spot prices at 14 August 2019 - US$/R15.29, Pt US$852, Pd US$1,551/oz, Rh US$3,520/oz, Au US$1,514/oz, Ruthenium US$246/oz, Iridium US$1,460/oz2.SA gold operations excludes Burnstone and represents 2018 Life of Mine model adjusted for updated guidance and run at spot prices on 14 Aug 2019. 3. Lonmin - Due diligence model adjusted for current performance and run at spot prices on 14 August 2019. 4. SA PGM and US PGM operations are based on 2018 life of mine model run at prices on 14 Aug 2019. 5. Market cap is as per closing share price on 28 Aug 2019
40
Sibanye-Stillwater Net Asset Value sensitivity analysis (US$bn)
Current price to spot NAV ratio of 0.36x – a significant discount
US$
4.0
8 p
er s
har
e
US$
1.4
5 p
er s
har
e
-
2 000
4 000
6 000
8 000
10 000
12 000
14 000
US PGM Operations(5%)
SA PGM Operations(7.5%)
SA Gold Operations(7.5%)
Lonmin (7.5%) Net Debt Total Sibanye-Stillwater NAV
Market Cap
US$
mill
ion
Sibanye-Stillwater NAV analysis - Spot prices1
1.Spot prices at 14 August 2019 - US$/R15.29, Pt US$852, Pd US$1,551/oz, Rh US$3,520/oz, Au US$1,514/oz, Ruthenium US$246/oz, Iridium US$1,460/oz. Conversion from ZAR to US dollar at US$/R14.502.SA gold operations excludes Burnstone and represents 2018 Life of Mine model adjusted for updated guidance and run at spot prices on 14 Aug 2019. 3. Lonmin - Due diligence model adjusted for current performance and run at spot prices on 14 August 2019. 4. SA PGM and US PGM operations are based on 2018 life of mine model run at prices on 14 Aug 2019. 5. Market cap is as per closing share price on 28 Aug 2019
41
What held our share price back for the 18 months period before June 2019?
1. Net debt: Adjusted EBITDA
2. * Wages for Rustenburg and Marikana operations are being negotiated in 2019
Positioned for accretive returns in share price growth
Expect to de-lever significantly by the end of 2019Geared balance sheet
after Stillwater acquisition
Previous good safety record restored at the SA gold operationsSafety incidents in 2018
in the SA gold operations
Gold strike <5 months resolved with SA PGM* wages negotiations H2 2019
5 months strike at the SA gold
operations which was necessary
to level the playing field
Lonmin acquired
Lonmin transaction delayed by
stakeholders with hidden
agendas
Clear strategy for future value creation
Three year strategic focus areas
aims at creating superior value
for all stakeholders
42
2019 Annual guidance
Adjusting the US Region’s full year guidance to reflect higher PGM basket prices and ground conditions
at Blitz
Source: Company forecasts
1. Estimates are converted at an exchange rate of R13.55/US$
2. SA PGM operations’ production guidance include the 50% attributable Mimosa production, although AISC and capital exclude Mimosa due it being equity accounted
Production All-in sustaining costs Total capital
US PGM operations625 - 640 koz
(2E PGMs mine production)
US$740 - 755/oz US$235 – 245 million
SA PGM operations2
(excluding Lonmin)
1.0 - 1.10 moz
(4E PGMs)2
R12,500 - 13,200/4Eoz
(US$922 - 974/4Eoz)¹
R1,400 million
(US$103 million)¹
SA Gold operations
(excluding DRDGOLD) - 2019 full year
24,000kg - 25,000kg
(772 koz - 804 koz)
R715,000/kg and R750,000/kg
(US$1,640/oz and US$1,725/oz)
R2,350 million
(US$173 million)
- H2 201916,000kg - 17,000kg
(514 koz - 546 koz)
R590,000/kg and R630,000/kg
(or US$1,350/oz and US$1450/oz
R1,900 million
(US$140 million)
43
Fill the mill (FTM) – low capital intensity and attractive returns
• The value accretive Fill the Mill (FTM) project has been
approved by the Board
• FTM is a modular expansion of the East Boulder mine
- Improved utilisation of fixed plant and mine infrastructure
- Expansion from the 58,000W to the 83,000W section, above
6500 elevation of the JM-Reef
• The FTM is expected to add incremental 1.0mt of ore
and 336koz (2E) of mined production over its life
- 10-year operational life after initial two year ramp-up
› Incremental 40koz ounces produced per year
› Requires growth capital of ~US$19mi¹ over two years
- Project study suggests*
› Internal rate of return (IRR) of 88%
› NPV of US$106m (at 5% real discount rate)
Brownfields expansion project with potential quick payback and very attractive returns at conservative prices1. Excludes operating costs of US$10 million
* Calculation of IRR and NPV assumed prices at US$1,025/2E PGM ounce
PGM market outlook
45
(500)
0
500
1 000
199
2A
199
4A
199
6A
199
8A
200
0A
200
2A
200
4A
200
6A
200
8A
201
0A
201
2A
201
4A
201
6A
201
8A
202
0E
202
2E
202
4E
Da
ys
of
exc
ess
in
ve
nto
ry
Platinum Palladium Rodium
Fundamental palladium market outlook playing out
• Our long held Palladium view remains unchanged with record
deficits anticipated
- 2018 characterized by record autocat demand (at 8.6moz), significant ETF¹ liquidations (-560koz) and increased primary and secondary production, particularly from Russia (+400koz YoY)
• Balanced market in 2018 hasn’t hampered palladium’s
outperformance
- Record prices and elevated lease rates are indicative of a short squeeze and lack of available inventory
- Palladium excess inventories appear to have already reduced beyond normalised levels
- Autocat demand expected to continue pushing new highs in 2019, underpinned by a relatively stable gasoline market and higher loadings
- Long term producer supply CAGR² of 0% continues to lag a growing net-demand CAGR of 5%
• We remain concerned regarding the sustainability of the current
palladium market fundamentals
- Excess above ground stocks and producer inventory releases are unable to sustain the current palladium market
Sources include: Johnson Matthey, WPIC, broker consensus estimates, company forecasts
1. Exchange traded fund
2. Compound annual growth rate
200
400
600
800
1 000
1 200
(4 000)
(2 000)
0
2 000
200
7A
200
9A
201
1A
201
3A
201
5A
201
7A
201
9E
202
1E
202
3E
202
5E
US$/o
z
ko
z
Surplus /deficit (koz) Pall price (US$/ounce) (rhs)
Palladium market balance
Days excess above ground PGM stocks
46
Platinum appears poised for better days
• Surplus market anticipated in 2019, reducing to
considerable deficits from 2021 onwards
- Limited primary and secondary supply growth
- Gross autocat demand remains well supported at 2.9moz
• Decline in global diesel penetration rates and
growth in EVs¹ and hybrids already factored in
- Early indications that diesel demand may have troughed,
with renewed interest in the EU – potential blue sky to our
conservative diesel forecasts?
- EV growth expected to remain stellar at 25% CAGR but not
at the buoyant rate expected by the market
- Hybrid vehicles expected to make up the majority of “new
vehicle tech” growth, increasing to 19.5m units by 2025E
(CAGR of 28%)
• Platinum likely to be mostly balanced for the
remainder of this decade, thereafter reverting to
material deficits as primary production from SA
contracts
0%
5%
10%
15%
20%
25%
0
30
60
90
120
201
0A
201
1A
201
2A
201
3A
201
4A
201
5A
201
6A
201
7A
201
8A
201
9E
202
0E
202
1E
202
2E
202
3E
202
4E
202
5E
Mill
ion
s
Diesel Gasoline
Hybrids BEVs
Fuel cells Diesel market share (%) (rhs)
0
500
1 000
1 500
2 000
(1 000)
(500)
0
500
1 000
200
7A
200
9A
201
1A
201
3A
201
5A
201
7A
201
9E
202
1E
202
3E
202
5E
US$/o
z
ko
z
Surplus/(deficit) Pt price (US$/oz) (rhs)
Platinum market balance
Passenger vehicles by engine type
Sources include: Johnson Matthey, WPIC, broker consensus estimates, company forecasts
1. Electric vehicles
47
Rhodium – the forgotten PGM… but maybe the most precious of them all?
• Rhodium is the PGM outperformer over the last 12-months, having
appreciated by >140% YoY in 2018
- Relative outperformance despite a balanced market for most of
the last decade
- Up a further 10% YTD at US$2,650/oz
• Deficit markets projected from 2020 onwards, potentially providing
for further tail winds
- Pressure on primary supply from SA expected due to chronic
underinvestment by the industry, particularly in Rhodium rich
deposit
- Gross autocat demand expected to steadily increase from
900koz › Autocat demand supported by emission standards and loadings
• Rhodium remains critical to the sustainability of the ZAR PGM basket
• Sibanye-Stillwater has favourable prill split
0
500
1 000
1 500
2 000
2 500
(300)
(200)
(100)
0
100
201
6A
201
7A
201
8A
201
9E
202
0E
202
1E
202
2E
202
3E
202
4E
202
5E
US$/o
z
ko
z
Surplus /deficit (koz) Rhodium price (US$/oz) (rhs)
Rhodium market balance
Sources include: Johnson Matthey, WPIC, broker consensus estimates, company forecasts.
Note: All forward looking PGM prices are based on current broker consensus prices
48
Competent persons’ declaration
The Competent Persons, designated in terms of SAMREC, who take responsibility for the reporting of Mineral Resources and Mineral Reserves and the overall regulatory compliance are the respective operational (per mining unit) and project based Mineral Resource Managers. The Competent Persons have sufficient experience relative to the type and style of mineral deposit under consideration and are full-time employees of or contracted to, based on prior employment with the Group, Sibanye-Stillwater. The Competent Persons confirmation signatures are presented in the CPRs per operation.
The Competent Persons further consent is given to the disclosure of this Mineral Resource and Mineral Reserve statement.
Corporate governance on the overall compliance of the company’s figures and responsibility for the generation of a Group consolidated statement has been overseen by the lead Competent Persons listed below. The lead Competent Persons have given written consent to the disclosure of the 2018 Mineral Resources and Mineral Reserves statement. They are permanent employees or contracted by Sibanye-Stillwater.
For the United States Region, the lead competent person designated in terms of the SAMREC Code, who takes responsibility for the consolidation and reporting of the Stillwater and East Boulder Mineral Resources and Mineral Reserves, and for the overall regulatory compliance of these figures, is Brent LaMoure, who gave his consent for the disclosure of the 2018 Mineral Resources and Mineral Reserves Statement. Brent [B.Sc Mining Eng] is registered with the Mining and Metallurgical Society of America (01363QP) and has 23 years’ experience relative to the type and style of mineral deposit under consideration. For the US project Resource estimation, the competent person is Stanford Foy. Stan is registered with the Society for Mining, Metallurgy and Exploration Inc. (4140727RM) and has 27 years’ experience relative to the type and style of mineral deposit under consideration.
For the Southern African Platinum Group Metals (PGM) operations, the lead competent person designated in terms of the SAMREC Code, who takes responsibility for the consolidation and reporting of the SA Platinum Operations Mineral Resources and Mineral Reserves, and for the overall regulatory compliance of these figures, is Andrew Brown, who gave his consent for the disclosure of the 2018 Mineral Resources and Mineral Reserves Statement. Andrew [M.Sc Mining Eng] is registered with SAIMM (705060) and has 35 years’ experience relative to the type and style of mineral deposit under consideration.
For the Southern African Gold operations, the lead competent person designated in terms of the SAMREC Code, with responsibility for the consolidation and reporting of the SA Gold Operations Mineral Resources and Mineral Reserves, and for overall regulatory compliance of these figures, is Gerhard Janse van Vuuren, who gave his consent for the disclosure of the 2018 Mineral Resources and Mineral Reserves Statement. Gerhard [GDE (Mining Eng), MBA, MSCC and B. Tech (MRM)] is registered with SAIMM (706705) and has 31 years’ experience relative to the type and style of mineral deposit under consideration.
The 38.05% Attributable portion of the DRDGOLD current surface tailings operations including the ERGO and FWGR operations. For this attributable portion of the DRDGOLD resources and reserves, the company was reliant on external competent persons as follows: The Mineral Resources for the ERGO surface operations is based on depletion (up to December 2018) and the Competent Person designated in terms of SAMREC is Mr M Mudau, MSc Eng, Pr. Sci. Nat., the Resource Geology Manager at the RVN Group. The Competent Person designated in terms of SAMREC who takes responsibility for the reporting of the surface Mineral Reserves, also based on depletion up to December 2018, is Mr GJ Viljoen GPr MS 0256, an independent survey contractor.
Questions?Contacts
James Wellsted/ Henrika Ninham
Tel:+27(0)83 453 4014/ +27(0)72 448 5910
