PROFITABLE LOW COST CO-PRODUCER PGMS AND CHROME JUNE/JULY 2016 - PowerPoint PPT Presentation

PROFITABLE LOW COST CO-PRODUCER – PGMS AND CHROME JUNE/JULY 2016

DISCLAIMER This document has been compiled by Tharisa plc (“Tharisa”) . While the information contained herein is believed to be accurate, no representation or warranty, express or implied is or will be given by Tharisa or its respective directors, employees or advisors or any other person as to the accuracy, completeness or fairness of this document and, so far as permitted by law and except in the case of fraud by the party concerned, no responsibility or liability whatsoever is accepted for the accuracy or sufficiency thereof or for any errors, omissions or misstatements negligent or otherwise relating thereto. This document includes certain statements, estimates, targets, forecasts and projections with respect to Tharisa’s anticipated future performance. Such statements, estimates, targets, forecasts and projections reflect significant assumptions and subjective judgments and analysis by Tharisa’s management concerning anticipated results which may or may not prove to be correct and there can be no assurance that any estimates, targets, forecasts or projections are attainable or will be realised. Nothing contained in this document is, or shall be relied upon as, a promise or representation, whether as to the past or the future. Accordingly, none of Tharisa nor any of its directors, employees or advisors nor any other person, shall be liable for any direct, indirect or consequential loss or damage suffered by any person as a result of relying on any statement in or omission from this document and any such liability is expressly disclaimed. In particular, but without limitation, no representation or warranty is given as to the achievement or reasonableness of, and no reliance should be placed on, any estimates, targets, forecasts or projections contained in this document (or otherwise provided by or on behalf of Tharisa with respect to the subject matter of this document). Basis of preparation note: where figures are expressed in percent and a change is reflected, the change is expressed in percentage basis points. 2 J S E : T H A L S E : T H S

CORPORATE OVERVIEW MARKET STATISTICS SUMMARISED CORPORATE STRUCTURE LSE ONE YEAR INFORMATION JSE STANDARD LISTING (23 JUNE 2016) PRIMARY LISTING THARISA MAIN BOARD (Cyprus) Short name THA THS Sector Mining Mining Price ZAR11.50 GBP0.495 High ZAR11.50 GBP0.515 26% 74% BEE SHAREHOLDING Low ZAR4.00 GBP0.350 Market capitalisation ZAR2.9 billion GBP126.7 million ARXO RESOURCES 100% 100% One year return 69.1% - (Cyprus) PE ratio 39.60 - THARISA MINERALS Average volume traded* 10 277 27 647 (South Africa) Free float 26.7% ONE YEAR PERFORMANCE ARXO METALS FY2016 ARXO LOGISTICS 100% (South Africa) (South Africa) THARISA MINE THA:SJ 100% DINAMI (Guernsey) THS:LN Source: Bloomberg 3 * Average volume traded over 30 days J S E : T H A L S E : T H S

MANAGEMENT TEAM EXECUTIVE MANAGEMENT  Over 50 years of experience in  Over 15 years of experience in  Over 18 years of investment  Over 8 years of mining mining company exploration, project management in the mining banking experience in corporate management experience at the project management, financing industry (including PGM and finance Tharisa Group  Extensive equity and debt capital  Responsible for the day-to-day and production (including PGM chrome)  Held directorships in several and gold mines) raising experience with a focus in operations of the Tharisa Group  Established a number of mining  Works closely with the mining companies the latter years in the resources  Extensive trading experience companies including TransAfrika industry Pouroulis family and is familiar  6 years of financial management Resources, Keaton Energy, Kameni within the Tharisa group, Keaton with their operating and and Eland Platinum Energy and Chromex Mining experience with PGM and chrome reporting procedures and Loucas Pouroulis Phoevos Pouroulis Michael Jones Michelle Taylor mining operations management structure COO Executive Chairman CEO CFO GROUP MANAGEMENT  Responsible for the mining and  Responsible for the overall  Responsible for all marketing processing operations of the Tharisa management of the logistics activities of the Tharisa Group Mine  Over 20 years experience in and transport services provided  Over 15 years experience in the by Arxo Logistics to the Tharisa international trade, cross- recovery of PGMs and chrome group’s operations border relations and South  Held various positions in the technical  Over 30 years experience in African sales field focusing on the recovery of logistics  Held various managerial PGMs and chrome, having worked on positions and directorships with a number of chrome and PGM Hans van Wyk prominent companies in the concentrator operations Elize Groesbeek Greg Taurog mining industry since 1994 Operations Director: Managing Director: Executive – Sales Tharisa Minerals Arxo Logistics and Marketing 4 J S E : T H A L S E : T H S

HISTORY AND MILESTONES THARISA PLC PRIOR TO ACQUISITION OF THARISA MINERALS APR 2008 SEP 2014 Consent received to acquire JAN 2011 FEB 2012 Commissioning of high a 74% shareholding in US$95 million investment by Secured project finance energy PGM flotation circuit Tharisa Minerals Fujian Wuhang and HeYi Mining facility of ZAR1 billion FEB 2008 JUL 2013 MAR 2016 MAR 2015 Tharisa Limited was Challenger Plant DEC 2008 Annualised Record production incorporated AUG 2011 MAY 2012 is commissioned US$65 million NOV 2009 steady state of Tharisa Community of PGMs First bulk rail seed capital Commenced production mining and PGM Trust is registered shipment raising of chrome concentrate production 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 FEB 2006 AND OCT 2008 NOV 2011 NOV 2007 MAR 2007 DEC 2012 Commenced Community Trust Granted mining APR 2014 JUN 2016 First prospecting Voyager Plant trial mining MAR 2009 acquires 6% of rights Listed on Listed on rights secured is commissioned APR 2011 Tharisa Minerals Acquired 74% shareholding the JSE the LSE OCT 2015 MAR 2006 US$150 million in Tharisa Minerals Tharisa Minerals New five year MAR 2008 pre-listing capital raising incorporated JUL 2012 mining contract Purchased additional Improved PGM offtake agreement with IRS with MCC mining rights Tharisa Minerals water use license is granted PRIOR TO ACQUISITION BY THARISA PLC THARISA MINERALS 5 J S E : T H A L S E : T H S

BUILDING A GLOBAL PRESENCE THARISA IS THE ONLY JSE AND LSE LISTED PGM AND CHROME CONCENTRATE CO-PRODUCER WITH AN INTEGRATED MARKETING, SALES AND Specialty LOGISTICS PLATFORM chrome concentrate LSE: THS Specialty Metallurgical grade chrome concentrate HQ chrome concentrate Specialty chrome concentrate Specialty chrome concentrate PGM concentrate Specialty TM chrome concentrate JSE: THA RBDBT 6 J S E : T H A L S E : T H S

OUR VALUE CHAIN THE FULL VALUE CHAIN IS CAPTURED THROUGH THE CO-EXTRACTION OF PGM AND CHROME AND IN-HOUSE MARKETING, SALES AND LOGISTICS Our customers Mining and processing Beneficiation Marketing and sales Logistics and agreements (Tharisa Minerals) (Arxo Metals) (Arxo Resources) (Arxo Logistics) 74% 100% 100% 100%  20 year open pit  Production of higher value foundry    10.1% of China’s chrome Road and rail transport capacity, PGM off-take agreement with  40 year LOM underground extension warehousing facilities and port facilities ore/concentrate imports and 14.2% and chemical grade specialty chrome Impala Refinery Services sufficient for steady state production  829 Mt resource  of South Africa’s chrome concentrates Agency agreement with Rand York  Transport of PGMs to Impala Refinery  106 Mt reserve  Committed to research and ore/concentrate exports for FY2015 for foundry and chemical grade Services by road   Global reach for specialty chrome 87 Mt open pit reserve development chrome concentrates  Shipment of chrome concentrate in  5.5 km mining strike length  concentrates 50 ktpm chrome concentrate bulk from Richards Bay Dry Bulk  400 ktpm nameplate capacity agency agreement with the Noble Terminal and containers from the  Genesis Plant (100 ktpm) Group Durban port    Voyager Plant (300 ktpm) Relationships with a broad range of Shipments for H1 FY2016:  381.9 kt of chrome concentrates, stainless steel producers,  Production for H1 FY2016: mainly to China ferrochrome producers and global  60.0 koz of PGMs commodity traders  604.4 kt chrome concentrates 7 J S E : T H A L S E : T H S

LOCATION OF THARISA MINE LOCATED IN THE MAIN PGM AND CHROME PRODUCING AREA IN SOUTH AFRICA  Mining rights over 5 475 ha  Adjacent to Anglo Platinum, Lonmin, Impala Platinum, Eastern Platinum  Well serviced by road, rail, power and other services  Neighbouring towns are Brits (45 km) and Rustenburg (30 km) UG2 MG 8 J S E : T H A L S E : T H S

OUR INNOVATE APPROACH 9 J S E : T H A L S E : T H S