MODIKWA PLATINUM MINE - Anglo American …

1 MODIKWAPLATINUM MINEFACILITY VISIT4 March 2003 AgendaAgendaAgendaMike Jooste : Business Leader nLocation and settingnProject parametersnJV structure and managementnMine layout and mining methodnGeology and exploration nTraining and developmentnSocio-economic developmentRon McGregor : Business Area Leader : ProcessnConcentrator and metallurgy 3 000mFOREST HILLBRAKFONTEINKLIPFONTEINHACKNEYDOORNBO SCHCLAPHAM466 KSZWARTKOPPIES 413 KS 465 KS 464 KS 116 KT117 KT118 KTWATERKOP 113 KT MECKLENBURG112 KT CROYDON120 KT SURBITON115 KT THE SHELTER121 KT AVOCA472 KS507 KSBALMORAL508 KS542 KSHILLGROOTHOEK256 KT MOOIHOEK255 KT TOUW282 KT 294 KT NOOIT-324 KT VERWACHTMAGNETS-541 KSVLAKTE543 KSKOP252 KT GROOT-284 KTVYGEBOOMWINNAARSHOEKHOEPA-291 KTKRANZGARA-DE KAMPPASCHASKRAALTWICKENHAM114 KTQUARTZKLOOF539 KSDE KOMDSJATE249 KT DINGAANS-HOOGSTE-PUNT290 KT323 KT HOUTBOSCHEERSTE GELUK322 KT 2

2 000m1 000m250 KTZWEM-283 KTKLOOFTWYFE-119 KT LAARM erenskyReefUG 2 NFERNMODIKWA LEASE AREAGENOKAKOP285 KT254 KT HENDRIKSPLAATS281 KT 292 KT MAANDAGSHOEKONVERWACHT293 KT LIMPOPOPROVINCEMPUMALANGA253 KT DRIEKOPWINTERVELDC urrent = RustenburgPotgietersrustWitbankWarmbaths PRETORIAB arplats KennedysValeNRPM. RUSTENBURGNORTHAMRPM. UNIONPP RUSTLEBOWARPM. AMANDELBULTIMPALAWESTERN ANDEASTERN PLATSBARPLATSCROCODILE RIVERBAFOKENGB ushveld ComplexAmplatsMinesImpala Mines -GencorLonrho MinesGoldfields Mines -NorthamB U S H V E L D C O M P L E X 25 ORepublic of South Africa25 OLydenburgEASTERN LIMBM odikwa 25O25 ORepublic of South Africakilometres500 0 500 1 000 PotgietersrustLebowaLebowaTwickenhamTwic kenhamModikwaModikwaDwarsrivierDwarsrivi erDerBrochenDerBrochenPolokwaneMokopaneS teelpoort FaultSteelpoort FaultMODIKWA PLATINUMMINEDRIEKOP 253 KTMAANDAGSHOEK 254

3 KTHENDRIKSPLAATS 281 KTONVERWACHT 292 KTWINTERVELD 293 ^_OnverwachtHill (adits)^_^_South ShaftNorth ShaftMerenskyUG2 NModikwa PLATINUM MineModikwa PLATINUM MineKey ParametersKey ParametersnMining authorisationcovers the farms Driekop, Maandagshoek, Hendriksplaats, Onverwacht& WinterveldnFirst phase comprises 2 decline shaft systems on Onverwachtand Hendriksplaats+ aditsystem on OnverwachtHillnProduction on steady state 200 ktm, 162 koz Pt/annumn2 100 employeesnBudget R1,8 billion (real 2003 terms)nPlant commissioned August 2002nFull production 2004 MODIKWA (Jan 2002) MODIKWA (Jan 2002) MODIKWA (Jan 2003) MODIKWA (Jan 2003)

4 Joint VentureJoint VentureJoint VentureModikwaPlatinum MineAngloPlatinumARM MiningConsortium50%60%50%SECT 21 21 ParticipantsARM Platinum40%STEERING COMMITTEESTEERING COMMITTEEM embers with requisite skills appointed by the EXCO sof ARM and Anglo PlatinumTechnical decisionsEqual number of members appointed from ARM and Anglo PLATINUM Chairperson -P MotsepePolicy decisionsJV Management StructureJV Management StructureEXCOEXCOOPERATIONAL COMMITTEEOPERATIONAL COMMITTEEOn mine operational teamOperational decisionsManagement TeamManagement TeamnBusiness Leader M JoostenArea Leader North M daCostanArea Leader South G StrongnArea Leader Process R McGregornArea Leader Info & Financial E CilliersnSHE Leader F VeltmannArea Leader Logistics A OliviernArea Leader ERM B van RhynnOther.

5 HR, Training, IR, CommunityBasic Layout of Decline ShaftsBasic Layout of Basic Layout of Decline ShaftsDecline ShaftsnTrackless material decline (5m x 5m)nConveyor decline (4,5m x 4m)nChairlift decline (4m x 4m)nFour production levels and a RAWnLevels accessed by means of ramps from the material declinenMain drives developed on reefDecline Shaft LayoutDecline Shaft LayoutDecline Shaft LayoutLEVEL 1 LEVEL 2 LEVEL 3 LEVEL 4 RAW2 X UC ShaftsDROPRAISE1 X DC ShaftsRAISEBOREAIRLOCKSD eclines and DrivesnDeveloped using mechanised equipmentnEquipment:zAxera D06 Drill RigszAxera D06 RoofbolterszToro 1250 LHD szToro D50 Dump TruckszFermel Utility VehiclesTwin Boom Drill RigRoof ton Load Haul Dumper50 ton Dump Truck50 Equipment MaintenancenTamrock contract in placenWorkshops on sitenSAP Planned Maintenance systemWinzesnMechanised development using low profile machinesnEquipment:nAxera LP Drill RigsnEJC 115 Lhd snWhere reef dips exceed 15 winzing is done conventionallyRaising and StopingRaising :nConventional raising with handheld machinesStoping.

6 NDown-dip panels 28m face lengthnConventional stopingnHandheld machinesnScraper cleaning nBlasting with Anfex and shocktubeStope panelStope panelDirection of stopingDirection of stopingReef driveReef raiseReef raiseMuck bayReef driveReef raise55 kW ton LHD50 ton Dump TruckMuck bayStrike pillarStrike pillarDip pillarSome Design CriterianTwo shaft systems approx. 3,2km s apart-One material and one conveyor shaft-Chairlift decline added later-Hillside aditminingn200 000 ton per month concentrator-Natural fines circuit -Autogenous/ ROM ball milling-Chrome silica circuitnCentral infrastructure -Offices and training facilitySome Design CriterianConventional stoping-Raises -Down dip stoping-Handheld drillsnHigh productivity mine.

7 -Continuous operations-Two panel cycle-No night shift on the reef plane-Concentrator has high level of process control GEOLOGY and EXPLORATIONGEOLOGY GEOLOGY and and EXPLORATIONEXPLORATIONG eologynLithologicalsetting and optimal stopecutnGeological model and mine design optimisationnExploration drilling programmeEastern Bushveld :Stratigraphic column in proximity of UG2 at ModikweUG 3 AUG 3UG 2UG 191m15m10m058cmTriplet 3 Triplet 2 Triplet 15cm12cm12cm15 to 70cmFWHWUG2 ChannelBRCTRCS topingProfile17cmNORITESPOTTED ANORTHOSITEMOTTLED ANORTHOSITEPYROXENITEPORPHYRITIC PYROXENITEPEGMATOIDAL PYROXENITEHARTBURGITECHROMITITE STRINGERCHROMITITE-L E G E N D -Optimal Stoping Cut(per shaft area)50586120 -453025821173710104885564212121129112102 RGSW= 97(Champion cut)RGSW = 91(Champion cut)RGSW = 91(Champion cut)

8 NORTH MINESOUTH MINEHILL MINE113 AVE101 AVE97 AVETRCBRCUG2* RGSW= Recommended Geological Stoping WidthLeuconoriteUnit101010 Geological Model North MineGeological Model South MineGeological Model Hill OperationsMine Design OptimisationnStructural features including slumps, potholes, shear zones/faults, undulating reef, and pegmatite replacement bodies although challenging are being successfully addressednAn increased drilling density is enabling optimal positioning of drives and access drives are in place to fit optimal raise backsnThe base of the regolith/ UG2 interference line is determined ahead of miningMine Design OptimisationnGroundwater modeling and management is in place.

9 Surface appears dry small secondary aquifers do exist -dewatering programmein placenGeological logging and modelling is in place and assists in optimal cut selectionExploration Drilling ProgrammePlanned drilling for 2003 :nSurface drilling24 600 mnUnderground drilling14 600 mnTotal39 200 mnDensity matched to achieve optimal mine designTraining and Development Create One Mine Create One Mine One Culture One Culture Behavioural DepartmentGoal:To develop every employee to his / her full potential. This will ensure world-class performance with world-class safety recordAreas of Focus.

10 NSelf Mastery(Focus on Personal Qualities)nTeam Mastery(Focus on Team Qualities)nBusiness Mastery(Focus on Business Principles)nBehavioural Safety(Focus on Critical Safe Behaviour)Behavioural Process MethodsnBehavioural and leadership trainingnTheatre and video s(A visual training program)nExperiential training business program(Comprehensive business training program)nAssessment program(Alignment with MQA and introduction of Modikwaassessment training program)nBehavioural safety interventions and programsnAnalysis and continuous involvement Socio-Economic DevelopmentnEmployment equity statusnSME and HDSA implementation and progressnSocio-Economic Development (SED) andlocal community involvementEmployment EquityAO 1 AND and HDSA Implementation100%100%100%% of contract awarded to HDSA s :nTransporting of concentrate :nTransporting of ore :nHostel administration and catering :nConstruction of concrete slabs for mobile offices :nBuilding of 3 vendor training houses :nConstruction of security access gates.