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Rustenburg Platinum Mines Limited proposes new organisational support structure

23 June, 2015

Rustenburg Platinum Mines Limited, a wholly owned subsidiary of Anglo American Platinum Limited, (“RPM”) has issued a Section 189 (3) notice to relevant parties in terms of Section 189A of the Labour Relations Act, 66 of 1995, for the commencement of a consultation process on the proposed redesign of RPM’s organisational support structure that envisages a reduction of up to 420 mainly managerial and supervisory positions.

The proposed redesign takes into account the financial difficulties in the PGM industry and is a continuation of Anglo American Platinum’s value-driven strategy. It aims to improve the Company’s financial sustainability by aligning the support structure with the proposed reconfiguring of operations into large, more efficient mining complexes benefitting from increased scale and less complexity. The reconfiguration will include the consolidation of mines with adjacent concentrator operations: Tumela Mine, Dishaba Mine and Amandelbult Concentrator will be consolidated and redesigned into the Amandelbult operation; and Mogalakwena Mine and Mogalakwena Concentrator into the Mogalakwena operation.

In addition, the regional functional centres in Rustenburg, Amandelbult and Polokwane will be closed and their functions incorporated into the adjacent operations and Corporate Office. As these measures may lead to job losses, the Company will be offering voluntary severance packages and will introduce comprehensive support measures to limit the impact of the proposed restructuring on affected employees. The 60 day consultation process is anticipated to end on 22 August 2015. 

The proposed restructuring excludes the Company’s Rustenburg and Union Mine operations that are earmarked for disposal. Employees assigned to these operations have been ringfenced and are protected from the Section 189 process.

In addition to the anticipated reduction in support staff, the Company is seeking to further substantially reduce indirect costs allocated to the operations.

For further information, please contact:

Investors: Media:

Emma Chapman Mpumi Sithole

Tel: +27 (0)11 373 6239 Tel: +27 (0)11 373 6246

[email protected] [email protected]

 

Sponsor

RAND MERCHANT BANK (A division of FirstRand Bank Limited)

Notes to editors:

Anglo American Platinum Limited is a member of the Anglo American Plc Group and is the world's leading primary producer of platinum group metals. The company is listed on the Johannesburg Securities Exchange (JSE). Its mining, smelting and refining operations are based in South Africa. Elsewhere in the world, the Group owns Unki Platinum Mine in Zimbabwe and is actively exploring in Brazil. Anglo American Platinum has a number of joint ventures with several historically disadvantaged South African consortia as part of its commitment to the transformation of the mining industry. Anglo American Platinum is committed to the highest standards of safety and continues to make meaningful and sustainable difference in the development of the communities around its operations.

www.angloamericanplatinum.com

Anglo American is a global and diversified mining business that provides the raw materials essential for economic development and modern life. Our people are at the heart of our business. It is our people who use the latest technologies to find new resources, plan and build our mines and who mine, process and move and market our products – from bulk commodities and base metals to precious metals and diamonds (through De Beers) – to our customers around the world. Our diversified portfolio of products spans the economic development cycle and, as a responsible miner, we are the custodians of precious resources. We work together with our key partners and stakeholders to unlock the long-term value that those resources represent for our shareholders, but also for the communities and countries in which we operate – creating sustainable value and making a real difference. Our mining operations, growth projects and exploration and marketing activities extend across southern Africa, South America, Australia, North America, Asia and Europe.