146 178 016 205

Re-Building Value
10 November 2014 – Final Results Presentation
Agenda
1
FY2014 – Key Features
2
Operational Performance and Ramp-Up
3
FY2014 - Financial Review
4
Market Outlook
5
Creating More
2
Ben Magara - Chief Executive Officer
FY2014 - Key Features
Key Performance Features
 Regrettably one fatality at the start of the year on 26 October 2013
 LTIFR at 3.34 a 4.6% year-on-year improvement
 Platinum sales of 441,684 ounces
 Lost 391,000 platinum saleable ounces due to five month strike
 Highly successful ramp-up – quicker than planned and cash generative
 Net debt of $29 million with available committed facilities of $575 million
 Underlying profit before tax $46 million; underlying EPS of 5.4 cents
 Strategic asset review has identified significant savings
 Completion of BEE deal
 Signed a 3 year wage agreement
Operational performance impacted by prolonged strike
4
Ben Magara - Chief Executive Officer
Operational Performance and Ramp Up
The Story Behind a Highly Successful Ramp-Up
Pre strike
Anticipate
During strike
Prepare
 Anticipated the strike and initiated a controlled shut down which aided
preparedness
 Pre-strike scenario planning and risk assessment done to address technical,
regulatory and employee relations challenges
 Sufficient stock pipeline enabled efficient start-up




Early decisive action to minimise cash burn while protecting ramp up prospects
Ensured robustness and readiness of work place before strike end
Proactive infrastructure upgrade, maintenance and optimisation carried out
Opportunity for leadership development training to supervisors
 Well organised implementation of start-up logistics, including employee
Post strike
Deliver
wellness, medical examinations, safety and operational re-training
 Better than anticipated return to work
 Impressive ramp-up progress reaching pre-strike production levels in two
months
Ramp-up was safe, efficient and rapid
6
Enthusiastic Employee Turnout and Flawless Logistics
Excellent attendance levels have continued
7
First and Foremost : Mine Safely!
Lost time injury frequency rate
 ZERO HARM IS ACHIEVABLE
7.0
6.0
40%
LTIFR
5.0
 Improved LTIFR by 40% over 5 years
4.0
3.0
2.0
1.0
 Limited contract mining during 5 months strike
0.0
2010
2011
2012
2013
2014
and the high risk ramping up
Industry Safety Leader
‒ Still achieved one year without fatality – first
Comparison of Platinum Industry – Fatality Rate
12 Month Rolling
0.20
0.15
time in Lonmin’s history
0.10
Peer 1
Lonmin
Jul-14
Sep-14
May-14
Jan-14
Mar-14
Nov-13
Jul-13
Sep-13
May-13
Jan-13
Mar-13
Nov-12
Jul-12
Sep-12
May-12
Jan-12
Peer 2
Mar-12
Nov-11
Jul-11
Sep-11
May-11
Jan-11
Mar-11
Nov-10
Jul-10
Sep-10
Mar-10
May-10
0.00
Jan-10
0.05
 … and industry safety leadership maintained!
Pt Industry
“ZERO HARM” IS ACHIEVABLE even in the midst of the complexities of rebuilding relationships & ramping up
8
Impressive and Industry Leading Ramp up Within Record
Time
Tonnes Mined - Monthly
Tonnes Hoisted (millions)
1.2
1.0
1.0
1.1
1.0
0.9
0.7
 Strike impact on production clearly evident
0.6
 We lost 391,000 Platinum saleable ounces
0.4
 Operations were back to pre-strike levels in
Jul
Aug
Sep
less than 2 months driven by
Act FY13
Actual: FY14 Ramp-up
Planned: FY14 Ramp-up
Production Ramp-up (Actual vs. Prior year)
104%
104%
80%
52%
60%
 Operational readiness planning
 Incredible employee turn-out;
 Flawless logistical execution
30%
Jul
Aug
Planned: FY14 Ramp-up
Sep
% achieved vs PY
Full momentum established … renewing our operational credibility
9
Operational Discipline and Flexibility Maintained
Immediately Available Ore Reserves
Centares (millions)
3.8
3.7
3.3
2.7
16.3
2.9
• Operational flexibility maintained
18.3
19.8
18.1
20.9
with immediately available ore
reserves at 21 months production
2010
2011
2012
m²
2013
2014
Months
Industry Leading Recoveries
84.7%
85.3%
82.5%
86.1%
87.0%
85.0%
87.0%
86.2%
82.4%
• Instantaneous recovery rates remain
impressive
• … so are our concentrator recovery
79.1%
rates
2010
2011
2012
2013
2014
Instantaneous PGM Recoveries
Concentrator Recovery
Maintained industry leadership in process recoveries
10
Simon Scott - Chief Financial Officer
2014 - Financial Review
Earnings Impacted by the Loss of c.391 koz of Platinum
12 months to 30 Sep
Variance
Units
2014
2013
Abs
%
Platinum Sales
koz
442
696
(254)
(36.5%)
$ Basket Price
$/oz
1,013
1,100
(87)
(7.9%)
Revenue
$m
965
1,520
(555)
(36.5%)
Underlying EBITDA
$m
194
321
(127)
(39.6%)
Underlying EBIT
$m
52
164
(112)
(68.3%)
Special costs
$m
(307)
(17)
(290)
>100%
(LBIT)/EBIT
$m
(255)
147
(402)
>100%
Underlying EPS
cents
5.4
20.5
(15.1)
(73.7%)
Basic (LPS)/EPS
cents
(33.0)
31.2
(64.2)
>100%
12
Special Items
2014
$m
2013
$m
Industrial Action
- Idle fixed production costs
287
-
10
-
- Contractors' claims
3
-
- Other costs
7
7
-
10
307
17
- Security costs
Retrenchment & Restructuring Cost
13
Costs and Cost Per PGM Ounce - PGM Operations
Units
12 months to 30 Sep
2014
2013 % Change
Gross underlying costs - PGM Operations 1
Rm
7 443
13 254
43.8 %
Exchange rate on gross underlying costs
R/$
10.53
9.28
13.4 %
Gross underlying costs - PGM Operations 1
$m
707
1 428
50.5 %
SA exchange translation impact
$m
(95)
(0)
n/a
Cost of production (PGM operations) 2
R/oz
13 538
9 182
(47.4)%
1 Excludes inventory movement, group charges and FX
2 Includes idle production costs reported as special costs
14
Underlying EBIT Variance Analysis
Underlying EBIT Act v PY
300
200
164
(336)
Release of pipeline
stock
Impact of industrial action:
• Lower production volumes
• Lower labour costs (Strike)
• Idle production costs
allocated to special costs
100
0
609
52
Costs & depn
(like-for-like)
FY14
(100)
(442)
$m
(200)
Favourable foreign exchange
impact. Rand weakened from
R9.99 to R11.29
(300)
(400)
(500)
170
(56)
(600)
(35)
(700)
(22)
(800)
FY13
Stock
movement
PGM volume
PGM price
Base metals
PGM Mix
FX incl
translation fx
Lower revenue due to depressed prices & Industrial action
15
Net Cash/(Debt) Waterfall
250
201
(113)
$32m
200
150
76
7
100
(16)
(93)
(51)
Includes foreign exchange
on debt of $13m
50
(37)
(29)
0
(20)
17
(50)
Opening
Net Cash
EBITDA
Debtors
Creditors
Stock
Net
financing
Capex
Advanced
dividends
Deferred
revenue
Other
Closing Net
Debt
16
Balance Sheet Focus Maintained
 Early implementation of cash conservation measures during strike, but ability to
ramp up maintained
 Positive impact of our productivity efforts and costs reduction
 Cash flow focus
 Available debt facilities through to 2016
Cash management remains key focus to maintain Balance Sheet flexibility
17
Ben Magara - Chief Executive Officer
Market Outlook
Short-Term Headwinds But Solid Fundamentals In The
Long-Run
Short Term Market Dynamics
Demand Outlook
PGM demand in Automotive continues to grow…
1 800
11.6
11.2
1 600
10.8
1 400
10.4
1 200
10.0
1 000
9.6
Jan-14
Mar-14
May-14
Jul-14
Pt ($/oz)


Sep-14
USD:ZAR
The discontinuation of QE in the US has strengthened the USD which
in turn has weakened prices
87.5
91.2
0.82
3.02
0.87
3.15
0.89
3.18
7.17
7.63
7.93
2013
2014
2015
Pt
Rh
Light Duty Vehicle Production (m)
… rising wealth levels and urbanisation in emerging markets have a
positive contribution to growth
Jewellery demand (moz)
1.94
2.69
2.17
2.76
2.46
2.94
3.06
3.13
A weaker ZAR compensates for a weaker USD platinum price
Supply Outlook






84.6
Pd
Nov-14
(moz)
2008
2009
2010
2011
United States
Western Europe
2012
2013
2014
Japan
China
Rest of the World
2015
Mining output forecast to contract by 1.3 million ounces in 2014
South African mine production below 3.0 million ounces in 2014
Fundamental deficit for 2014 estimated at 1.5 million ounces
As SA supply recovers market reverts closer to balance in 2015



PGM demand in Automotive growing

Demand in India grows by 25%
Above ground liquid stocks diminishing
However, recycling continues to grow
Significant contraction in mine supply with no impact on price due to
current macroeconomics
Source: SFA (Oxford)
Jewellery demand estimated to grow by 4.1%
Demand in China breaches 2.0 million ounces but trade flows down from
2013 numbers
The world will continue to need platinum and above ground liquid
stocks are diminishing
19
Ben Magara - Chief Executive Officer
Creating More
Operational Excellence – a Focus on Business Review
 We launched a comprehensive review in 2013 to address asset utilisation, reduce
costs, improve productivity and capital efficiency
1
4
Asset
Utilisation
Fixed
Overheads &
TCO Costs
Shaft Review
Parameters
3
2
Productivity &
Crew
Efficiencies
Capital
Efficiency
21
Shafts Review Summary
Long life, large scale, low cost & cash generative
2
Long life, large scale but high cost
3
Old depleting shafts but cash generative
4
Key conclusions
Manage for closure




 K3
 Rowland
 4B/1B
 Improve crew
efficiencies
 Saffy
 Ramp-up
 Hossy
 Under review
 K4
 Care and
maintenance
 E3
 W1
 Newman
 E1
 E2
Open cast
 Cash generating
 Depleting in
2015
Shafts of the future
1
Focus
Old shafts
Shafts
Low shaft hoisting capacity utilisation
Low productivity and crew efficiencies
Excess concentrator, smelting and refining capacity
High fixed cost
Our target return for project is 15%
The asset review has enhanced our focus on capital discipline, productivity and reducing costs
22
Targeted Value Of More Than R2 Billion Over 3 Years
Operating model cost savings
 Procurement TCO
 Contractor model
 Overheads and redeployment
R600m
Targeted
Productivity and efficiencies




Stoping crew productivity
Half level optimisation
Shaft head efficiencies
K4 self funding
Value
15%
Improvement
> R2.0 bn
Process Operations
 OPM project
 Process recoveries
 Metal in process reduction to 270,000 oz
5%
Improvement
We are managing the controllables
23
Capital Efficiency : Capacity Utilisation Rate is Improving
2013 average output (ktpm)
2014 September output (kt)
Shaft of the Future
Installed capacity (ktpm)
Old Shafts
 Mining Operations
‒ Saffy / ramp-up
300
290
250
‒ Hossy / technical review
delivering
257260
‒ Redeployed labour
200
200
productivity and
underperforming crews
showing good traction
200
175
163
150
148
160
154158
120
 Process operations
120
112
100
96
80
88
80
79
80
73
the excess capacity:
50
55 54
36
29
34
12
0
Shaft status
% Utilised FY13
% Utilised FY14
 Plan to utilise some of
K3
Rowland
Saffy
1B/4B
Hossy
E3
Newman
E2
E1
Steady
State
Steady
State
Build
Up
Steady
State
Under
Review
Steady
State
Wind
Down
Wind
Down
Wind
Down
89%
90%
74%
88%
48%
81%
96%
99%
72%
93%
69%
67%
66%
61%
44%
36%
42%
15%
Delivering on our promises
‒ Increase purchase of
concentrate
‒ Increase third party
tolling
24
A New Operating Model – to Deliver on Our Strategy
What will it facilitate?
 Empower operations
 Enable quick
Lean
decisions making
Sustainable
 Drive accountability
in both operational
and functional areas
high performance,
care and respect
 Reward for high
performance
 Service departments
in partnership
 Attracts, develops
and retains the best
talent
Drive Value
 Enable a culture of
Simple
Flexible
Advances
competitive
advantage
Reinforces
accountability
Helps corporate
citizenship
agenda
■ The operating model is lean and fit for purpose
■ Focused on the elimination of inefficiencies and duplication
■ Results in cost saving as a result of the elimination of inefficiencies
■ Enhances safety, health, environment and community objectives
■ Employee wellness
■ It’s transparent and simplified. Aligned to support the current business objectives
■ Enables fast decision making
■ The operating model is flexible enough to ride volatility and commodity cycles
■ Robust enough to quickly to benefit from increased price /or other market
opportunities
■ Functions are located in the most appropriate and cost effective place to support
operations
■ Opportunities to group and share activities have been maximised
■ Clear roles and responsibilities and ownership
■ Empowering levels throughout the structure
■ Focus on value and execution excellence is clear
■ Operating model will assist in the achievement of our the transformation and
broader corporate citizenship agenda
Rebuilding bridges, creating sustainability
25
Our People
 Three year wage deal provides for stability
and embedding relationships
 Relationship charter in place, emphasising:
‒ Respect and trust
‒ Transparency and communication
‒ Effective relationships
‒ A successful Lonmin, creating shared value
 Step change in “the way we work”
 Managers with direct relationships with
employees
 Management and AMCU leadership – 2 day
workshop (August 2014)
A profitable Lonmin creates empowered people
26
Our Corporate Citizenship Agenda
 A working partnership with government; improving living
conditions
 Grateful to SA Government for a R462 million contribution
 Bapo ba Mogale – our royal host community
 Bapo deal – for economic participation
 R200 million procurement opportunities for jobs and local
entrepreneurs beyond compliance
 Integrated human settlement
 Community upliftment initiatives
Rebuilding bridges – we dig to improve lives
27
Finalising The 8% BEE Credits
BEE Deal
 Historic BEE deal with Bapo ba Mogale community
 Upholding same momentum ahead of deadline
 Building on our relationships for shared success
ESOP
 Employees have an opportunity to benefit in a profit-sharing scheme
 Implementation will give Lonmin HDSA equity credits of 3.8%
COMMUNITY TRUST
 Securing trust and community acceptance
 Community upliftment initiatives to address social issues
 Focus on direct and indirect impact on community
 Our future intricately linked to the health of our host communities
Economic participation… creating a shared purpose
28
“WE DIG TO IMPROVE LIVES”
OUR
VISION
The PGM supplier, investment, partner and employer of choice
Creating shared value for all stakeholders
Our
Investment
Case
Our
BELIEFS
Our
VALUES
Focused on returns
And cash-generating business
 Reduction in total cost per PGM oz
 Target 15% IRR
 Positive FCF post capital expenditures
Operational Excellence
Our People
Corporate Strategy
Corporate Citizenship
Zero Harm
A place where people are energised
Review to optimise business
processes and systems
Contribute and improve lives
Improved productivity
Attracting, developing and retaining
the best talent
Financing strategy to support the
business
Genuine stakeholder engagement
Significant cost reduction
Collaborative and flat structures
Diversifying profit pools
Community value proposition
Optimised operating model
Accountable leadership, empowered
teams
Maximise profitability and shareholder
returns
Beyond compliance
Innovation and technology
Strengthen employee and union
relationships
Corporate activity opportunities
Corporate communication
Strategic
PILLARS
Immediate
ACTIONS
A superior PGM operator
 Ramp-up Saffy
 Crew efficiency
 Managers reclaiming their roles
 Hossy Review
 Blast performance
 Union relationships
 K4
 Recoveries
 Improving living conditions
 High quality Mineral Resource, BIC
mining methods and process
technology
Employee Self Worth
 Zero Harm is achievable
Integrity, Honesty and Trust
 Optimised business plan
 Value creation opportunities
 Robust medium- to Long-term PGM
industry fundamentals
Respect for others
High Performance
 Education
 Infrastructure
 Health
 ESOP
 The power of shared purpose – I
am because you are (UBUNTU)
Transparency
ZERO HARM in SAFETY HEALTH and ENVIRONMENT
29
Guidance & Outlook
2015 Financial year
 Platinum saleable metal in concentrate production of around 750,000 ounces
 Sales of around 730,000 Platinum ounces
 Unit costs of production around R10,800 per PGM ounces
 Capital expenditure of around $250 million
Near-term outlook
 Maintain sales of c.750,000 Platinum ounce per annum over next three years
 Manage capital expenditure within $250 million and $350 million per annum
 Cost management programmes to contain unit costs increases below wage inflation
30
In Conclusion…
…we have had a long strike…
…and the ramp-up has reinforced our operational credibility
We have put together a great team and a clear strategy…
…delivering encouraging results on the ground
We have the balance sheet flexibility as a result of thorough cash management and
sensible planning…
…and we are rebuilding bridges with our people and stakeholders to build a
sustainable, stable and profitable Lonmin
We are rebuilding bridges in pursuit of a Lonmin sustainable through all cycles
31
Questions
Appendices
Management Team
Ben Magara (47)
Chief Executive Officer
BSc Eng (Hons), ADP (LBS)
Ben joined the Company and
Board as Chief Executive on
1 July 2013.
Johan Viljoen (55)
Chief Operating Officer
BSc, Mining
Johan joined Lonmin in August
2014 and brings with him extensive
experience in the
mining industry.
Abey Kgotle (43)
EVP Human Resources
B.Soc.Sc, EDP, M.Dip HRM
Abey joined Lonmin in April
2008 and was appointed
Executive Vice President
Human Resources in
September 2013.
Simon Scott (56)
Chief Financial Officer
CA (SA)
Simon joined Lonmin and the Board in
September 2010, became CFO in November
2010 and was appointed as Acting CEO on 24
August 2012 in view of Mr Farmer’s illness.
Lerato Molebatsi (44)
EVP Communications and Public
Affairs
BA Phil, SMDP (Stellenbosch)
Lerato joined Lonmin in September
2013 from the Department of Labour,
where she was the Deputy Director
General; Corporate Services
Ben Moolman (53)
Head of Business Support Office
BSc Engineering (Mining)
Ben joined us in August 2014 to
head up our newly established
Business Support Office to drive
the implementation of our strategic
initiatives.
Thandeka Ncube (44)
Head of Sustainability and
Development,
Shanduka Resources
B.Soc.Sc, MBA (Henley Business
School)
Thandeka works with Shanduka’s
investee companies advising on
transformation and broad based
empowerment.
34
Costs
12 months to September
2014
2013
Revenue (reported)
$m
965
1,520
Metal stock movement (like-for-like)
$m
(133)
Costs - PGM Operations
Like-for-like FX
Costs (like-for-like SA)
Costs (like-for-like RoW)
Costs (like-for-like)
Rm
R/$
$m
$m
$m
(7,443)
9.28
(802)
(17)
(819)
Exchange (total)
$m
181
Cost of sales (reported)
EBITDA (underlying)
$m
$m
(771)
194
(1,200)
321
Depreciation (reported)
$m
(142)
(157)
EBIT (underlying)
$m
52
164
Cost of production (PGM operations)*
R/oz
13,538
9,182
203
(13,254)
9.28
(1,428)
(23)
(1,451)
48
* Includes idle production costs reported as special costs
35
Consolidated Income Statement
for the Year Ended 30 September
Revenue
(LBITDA) / EBITDA
Depreciation, amortisation and
impairment
Operating (loss) / profit
Impairment of available for sale
financial assets
Finance income
Finance expenses
Share of (loss) / profit of equity
accounted investments
(Loss) / profit before taxation
Income tax credit
(Loss) / profit for the year
Attributable to:
- Equity shareholders of Lonmin Plc
- Non-controlling interests
(Loss) / earnings per share
Diluted (loss) / earnings per share
2014
Underlying
$m
965
194
(142)
Special
items
$m
(307)
-
2014
Total
$m
965
2013
Underlying
$m
1,520
(113)
321
(142)
(157)
Special
items
$m
-
2013
Total
$m
1,520
(17)
304
-
(157)
52
(307)
(255)
164
(17)
147
26
(28)
(1)
18
(80)
(1)
44
(108)
9
(19)
(2)
26
(25)
(2)
35
(44)
(4)
46
(5)
41
(2)
(372)
128
(244)
(6)
(326)
123
(203)
4
158
(27)
131
(18)
85
67
4
140
58
198
31
10
(219)
(25)
(188)
(15)
109
22
57
10
166
32
(33.0)c
(33.0)c
31.2c
31.1c
36
Consolidated Statement of Financial Position
at 30 September
2014
$m
2013
$m
40
457
2,882
28
27
3,434
40
462
2,908
36
430
3,876
373
76
2
337
143
931
449
86
4
201
740
(244)
(86)
(27)
(357)
574
(295)
(23)
(318)
422
Net assets
(86)
(376)
(23)
(141)
(626)
3,382
(501)
(47)
(140)
(688)
3,610
Capital and reserves
Share capital
Share premium
Other reserves
Retained earnings
Attributable to equity shareholders of Lonmin Plc
Attributable to non-controlling interests
Total equity
570
1,411
88
1,164
3,233
149
3,382
569
1,411
88
1,341
3,409
201
3,610
Non-current assets
Goodwill
Intangible assets
Property, plant and equipment
Equity accounted investments
Other financial assets
Current assets
Inventories
Trade and other receivables
Tax recoverable
Other financial assets
Cash and cash equivalents
Current liabilities
Trade and other payables
Interest bearing loans and borrowings
Deferred revenue
Net current assets
Non-current liabilities
Interest bearing loans and borrowings
Deferred tax liabilities
Deferred revenue
Provisions
37
Consolidated Statement of Cash Flow
Year ended 30 September
2014
2013
$m
$m
(255)
147
142
157
Changes in working capital
18
(246)
Other non-cash movements
(5)
(5)
(100)
53
(16)
(33)
-
(4)
(116)
16
Capital expenditure
(93)
(159)
Dividends paid to minority shareholders
(37)
(11)
(246)
(154)
-
767
(1)
1
1
1
(246)
615
201
(421)
Foreign exchange
13
13
Unamortised fees
3
(6)
(29)
201
Trading cash flow (cents per share)
(20.4)c
3.0c
Free cash flow (cents per share)
(43.2)c
(28.9)c
Operating (loss)/profit
Depreciation, amortisation and impairment
Cash flow (utilised in)/generated from operations
Interest and finance costs
Tax paid
Trading cash (outflow)/inflow
Free cash outflow
Net proceeds from equity issuance
(Contribution to) / distribution from joint venture
Issue of other ordinary share capital
Cash (outflow)/inflow
Opening net cash/(debt)
Closing net (debt)/cash
38
Improved Capital Discipline - capex in near term
39
Saffy as a Case Study
Available Ore Reserves Trend
Operational Trend
Positive momentum since 2013
Ramp up Drives Costs Down
M2 (‘000)
Tonnes Hoisted (kt)
Shaft Head Costs (ZAR/tonne)
+9%
2 300
2 400
2,210
+13%
700
639
2 100
2 200
1 900
2 000
566
1 700
1 800
1 500
1 600
1 300
1 400
206
218
271
1 200
1,117
1,110
900
853
1 000
800
591
1,150
878
723
1 164
1 100
900
782
713
600
'10A
'11A
Where do we
stand?
'12A
'13A
'14A
'15F
700
500
'10A
'11A
'12A
'13A
'14A
'15F
 Saffy’s ramp-up was delivered in line with 2013 promises, despite the strike
 18 months of available ore reserve to support the required extraction rate
 Stopping crew in place ahead of schedule with crew efficiencies improving
Highly skilled business improvement team deployed to identify and eliminate bottlenecks/improve
infrastructure to support planned productions levels
40
Shaft lifecycle of Marikana Mines
Lonmin Marikana Shaft Life Cycle
`
Reef
Capacity*
Production%%ofofCapacity
ReefProduction
100%
Newman
E2
E1
W1
0%
StudyBuild-up
Capital Project
Steady-state
Steady State
High Cost & Capital Requirement
Karee
Wind
down
End
of life
Low Unit Cost
Westerns
Easterns
Increased Unit Cost
Pandora
Marikana Mines Overview
Marikana Shaft Overview (FY 13 LTP)
ROWLAND
SD: 1032
SC: 200 000
MO: est. 2050 #
f
f
HOSSY
SD: 489
SC: 120 000
MO: est. 2042
f
MK3 SHAFT
PANDORA SHALLOWS
SD: (Feasibility study)
SC: 120 000
MO: est. 2052
SAFFY
SD: 804
SC: 200 000
MO: est. 2044
f
LONMIN
K5 SHAFT
K4
SD: 1331
SC: 225 000
MO: est. 2062
PANDORA
WESTERNS
PANDORA DEEPS
MK2 SHAFT
f
KAREE MINE
f
33E
32W
32E
32E
PANDORA SHALLOWS
MIDDELKRAAL
30E
31W
31E
31W
HW SI
31E
K4 SHAFT
33E
33W
31E
29E
30W
30W
30E
8E
30E
29W
6E
28E
10E
f
25E
23E
19W
22E
4E
9E
U16
9W
27W
18W
24W
20W
24E
19W
17W
ROWLAND SHAFT
23E
25W
22W
SAFFY SHAFT
20E
19E
24W
23W
21E
20E
K3 SHAFT
22W
14W
HOSSY
SHAFT
16E
18W
11W
9W
7W
9W
5E
9W 8E
8W
4E
5W
4E
4W
3E
4W
3E
3E
2W
U10
U9a
2E
U7
U8
U9
U5
Shallow inclines
1st generation
verticals
2nd generation
verticals
4B INCLINE
SD: 445
SC: 160 000
MO: est. 2023
1 SHAFT
SD: 322
SC: 90 000
MO: est. 2013
3E
U13
4E
3E
U13c
U13c
U13a
U13b
NEWMAN
SD: 396
SC: 120 000
MO: est. 2018 ¥
E1 BELT
SD: 396
SC: 80 000
MO: est. 2013
E2 BELT
SD: 345
SC: 80 000
MO: est. 2025
Mining Legend
Development
5W
4W
3W
1 Km
5 Km
SD
Shaft Depth below Collar
SC
MO
Shaft Capacity (Reef Tonnes)
Expected to be Mined Out by
Strategic Domains
Normal Reef Facies
Split reef facies
Geological Structures
High Risk Domain
Slump
Major Faults
Dykes
SCALE
LEGEND
Stoped out face
Outcrop
10 Km
f
¥ Excludes Newman Merensky Mineral Reserves
0 Km
E3 BELT
(INCLUDING
PANDORA JV)
SD: 349
SC: 80 000
MO: est. 2040
UG2 GEOLOGICAL DOMAINS
3rd generation
verticals
* Marikana Shaft Overview Jun2012
# Includes Middelkraal Mineral Reserves
U14
5E
3W
U12
U6
U5
7E
5W
6E
4W
4E
OP
OUTCR
UG2
f
U7a
U4
5E
E2 INC SHAFT
7W
8E
6W
f
U14
6E 4W
7E
E1 INC SHAFT
3W
3W
U11
4W
U9B
3W
2W
U3
7W
3W
5E
5W
4E
3W
8W
5W
6E
4B INC SHAFT
9E
9W
8W
7E
7W
6E
6W
5E
6W
8W 7E
7W
4W
NEWMAN
INC SHAFT
7E
10E
10W9E
6W
10E
10W
8E
10W
8E
6W
5W
8W
9E
f
11E
10E
9E
LATILLA
U15
7W
9W
10E
12W
1 SHAFT
9E
8E
11E
11W
12E
11W
11E
12W
11E
11W
13E
12E
16W
U2
f
8W
EASTERNS
13E
12E
12W
13W
f
15W
17W
15E
14E
13E
12E
14E
14W
15E
17E
16E
13W
5W
15E
14E
13W
17E
21W
19E
18E
20W
E3 INC SHAFT
16E
14W
18E
19W
10W
3E
17E
16W
15W
22E
15W
18E
21E
26W
23W
21W
18W
17W
12W
KEY
10W
HW V
24E
16W
P
TCRO
2 OU
UG
5E
27E
26E
28W
K3
SD: 809
SC: 290 000
MO: est. 2033
U17
7E
Surface Aeromagnetic anomaly
Building for the future from a secure platform
FY13 MINE EXTRAC_SHAFT OVERVIEW
FY13 Life Of Business Plan
25 March
OCT 2012
2013
42
Mining Costs per Tonne (including mine overheads)
1 300
1 200
1 100
Rand per Tonne
1 000
900
800
700
600
500
400
300
43
Disclaimer
This presentation, which is personal to the recipient, has been issued by Lonmin. This presentation includes forward-looking
statements. All statements other than statements of historical fact included in this announcement, including without limitation
those regarding Lonmin's plans, objectives and expected performance, are forward-looking statements. Lonmin has based
these forward-looking statements on its current expectations and projections about future events, including numerous
assumptions regarding its present and future business strategies, operations, and the environment in which it will operate in
the future. Forward-looking statements generally can be identified by the use of forward-looking terminology such as
'ambition', 'may', 'will', 'could', 'would', 'expect', 'intend', 'estimate', 'anticipate', 'believe', 'plan', 'seek' or 'continue', or
negative forms or variations of similar terminology. Such forward-looking statements involve known and unknown risks,
uncertainties, assumptions and other factors related to Lonmin, including, among other factors: (1) material adverse changes in
economic conditions generally or in relevant markets or industries in particular; (2) fluctuations in demand and pricing in the
mineral resource industry and fluctuations in exchange rates; (3) future regulatory and legislative actions and conditions
affecting Lonmin's operating areas; (4) obtaining and retaining skilled workers and key executives; and (5) acts of war and
terrorism. By their nature, forward-looking statements involve risks, uncertainties and assumptions and many relate to factors
which are beyond Lonmin‘ control, such as future market conditions and the behaviour of other market participants. Actual
results may differ materially from those expressed in forward-looking statements. Given these risks, uncertainties, and
assumptions, you are cautioned not to put undue reliance on any forward-looking statements. In addition, the inclusion of
such forward-looking statements should under no circumstances be regarded as a representation by Lonmin that Lonmin will
achieve any results set out in such statements or that the underlying assumptions used will in fact be the case. Other than as
required by applicable law or the applicable rules of any exchange on which Lonmin's securities may be listed, Lonmin has no
intention or obligation to update or revise any forward-looking statements included in this presentation after the publication
of this presentation. This presentation is for information only and does not constitute or form part of any offer or invitation to
sell, or any solicitation of any offer to purchase, any shares in Lonmin or any other securities, nor shall it or any part of it nor
the fact of its distribution form the basis of, or be relied upon in connection with, any contract or investment decision related
thereto. Information supplied by host presenters may not be used, referenced or published without the prior written consent
of the author of the presentations.
44
`