Sponsored byThe Government of Mozambique, the World Bank, and the

Governments of Australia and Norway

March 25 – 26, 2009

Bridgette RadebeEXECUTIVE CHAIRPERSON: MMAKAU MINING

PRESIDENT: SOUTH AFRICAN MINING DEVELOPMENT ASSOCIATION

(VICE CHAIRPERSON OF MINERALS, MINING AND DEVELOPMENT BOARD)

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Creation of a Developmental State:

Need for legislative change recognized: Minerals and Petroleum Resources Development

Act at No. 28 of 2002

State becomes the Custodian of mineral rights

Mining Charter

Monopolistic culture of the mining industry addressed

Rural communities, Foreign investors and all Stakeholders have access

Fair Labour Laws South African Parliament

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Ownership• 26% equity participation

Human Resource Development

• 40% black managers within 5 years

• 10% women participation within 5 years

• Employment Equity

• 100% literacy within 5 years

Procurements

• BEE procurement

Beneficiation

Social and Labour Plan

• Migrant Labour

• Mining Community and Rural Development

Scorecard for the Broad Based Socio Economic Empowerment Charter, for South African Mining Industry 2004:

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Need for social license to operate:• Granting of mining licenses – Broad-Based Socio-Economic Charter • (Mining Charter) and Broad-Based Black Economic Empowerment • Scorecard (BBBEE)

SA Government engages in a Social Contract with Mining Investors:• Spatial management, Land Use Management Schemes• Land acquisition and housing • Public infrastructure and services• Institutional, technical, administrative & political capacity

Transformation Obligations:• Social & Labour Plan (SLP’s - an advanced form of Corporate Social

Responsibility) Public Private Partnership Projects Promotes Sustainability in the rural areas

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Focus on Sustainable Rural Economic Development:

SLP – Social Labour Plan

LED – Local Economic Development

6PMU - Project Management Units

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• Akanani Mining (Pty) Limited

• Anglo Operations Limited• Anglo Platinum• ARM Platinum (Pty) Limited• ASA Metals (Pyt) Limited• Assmang Limited (Dwarsrivier Mine)

• Barplats Mines Limited (Rhodium Reefs)• Boynton Investments (Pty) Limited• Chromex Mining (Pty) Limited

• Corridor Mining Resource (Pty) Limited• Eastern Platinum Limited

• Impala Platinum Limited• Lebowa Platinum• Marula Platinum

• Modikwa Platinum Mine Joint Venture• MTC Minerals• Northam Platinum Limited• Pan Palladium South Africa (Pty) Limited• Plateau Resources (Pty) Limited• Platreef Resource (Pty) Limited• Rustenburg Platinum Mines (Pty) Limited (Eastern Limb Development)• Samancor Chrome Limited• Sishen Iron Ore Company (Pty) Limited• Two Rivers Platinum (Pty) Limited• Umnotho weSizwe Investment Holdings Limited• Veremo Holdings Limited• Westen Platinum Limited (On behalf of Messina Platinum Mines Limited)• Xstrata South Africa (Pty) Limited

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Exploited Mining Environment Exploited Mining Environment Sustainable Mining EnvironmentSustainable Mining Environment

Massacres and Ethnic Cleansing

Rape as a Weapon of war

Conflict Diamonds the Root of all Evil

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Marula Platinum is an example of a useful multi-community equity investment model:

Dividends fund the sustainable futures of these rural communities

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Develop BEE mining support industries

Approximately

R9.5 billion to

HDSA

600 Buyers

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Total annual

procurement

budget – estimated

at R85 billion

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64 mining

& supply

operations

across 6 provinces

governments

65 000

suppliers

(4500 Narrow Based

HDSA suppliers)

(12000 BBEE

suppliers )

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Source: Decti - 2008

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RBN Partners, Anglo Plats, Implats, Xstrata Coal ect.

RBN

ManagementServices

RBH contracting entity eg.

Leases, employment

contracts

83.11m Shares (13.4%)

In Impala PlatinumHoldings Ltd

720.16m shares (32.1%)

In Merafe Resources Ltd

50% ofBakokeng Rasimone

Platinum Mine JV

Platinum and graniteLicences/rights

Industrial

27.03m shares (20%)In Astrapak Ltd

51% ofBafokeng Conor

Technicrete

18.95m shares (12.5%)

In Metair Investments Ltd

Services

31.93m shares (17.6%)

In Senwes Ltd

26% interestIn Metuba JV

27% ofPasco Risk Holdings

(Pty) Ltd

Royal Bafokeng Sports

Operating Company

100% ofFraser Alexander Holdings (Pty) Ltd

Royal Bafokeng Capital

51% of HardrockEngineering

17.6% of

DHL Express SA

55% ofMB Technologies

(Pty) Ltd

25.01% ofM-Tech (Pty) Ltd

30% ofZaptronix Limited

Financial

1.22m shares (10%)In Zurich

Insurance Company South Africa

Royal Bafokeng Holding (PTY) LTD

65% ofSouth African

Coal Mining Ltd

Resources

30% stake inPraxima Africa

Payroll Systems

Source RBN financial report: April 2008

100%

Most mines situated in rural areas

Mining is a catalysts for rural development

Royal Bafokeng Partners, a excellent role model:

Market cap: 33.5 billion

Dividends invested in rural renewal projects

In past 10yrs over R2 billion invested in clinics, education, public utilities

Great mentorship to other rural communities.

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A Developmental State created by Effective Minerals Legislation

Integrated Resources Management Developed by producers forums and

Local, Regional and National Government.

Mining Investors, Communities and Government Partners in the creation of a

Sustainable Mining Economy

Social and Labour Plan is an Advance Model of Corporate Social investment

Compassionate Capitalism to be practiced in all Developing Countries

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This land, the whole landWill be healed, must be healed

These brazen cities, the swollen minesThe mineral of our sweatThe teeming ghetto, the dormitory cellsIn towns and squalid squatter camps Where hope smothers in a tyreThese furnaces of human indifference must incinerate With all the heat of a healing fire

Those were the dark ages of miningAnd now the winds of change are blowing A brighter new future our way-A future of Global Mining TransformationA future of the paradigm shift

This land, the whole landWill be healed, must be healed

- Don Matera