Trading statement

Shareholders are advised that the group’s loss per share for the period ended 31 December 2017 is estimated to range between 77.7 cents per share and 90.7 cents per share and the headline loss per share is estimated to range between 77.6 cents per share and 90.5 cents per share, compared with the loss per share of 64.8 cents and headline loss per share of 64.7 cents reported for the period ended 31 December 2016. The aforementioned ranges expressed in percentage terms, are, in respect of both the loss per share and headline earnings per share, an increase of 20% and 40% per share.

The anticipated loss is attributable to the Zambezi Platinum (RF) Limited (“Zambezi”) preference share dividends, which are consolidated in the group’s results in terms of the International Financial Reporting Standards. The Zambezi preference shares accrue dividends at a cumulative variable dividend of 3.5% over the prime overdraft interest rate in South Africa. Shareholders are reminded that 159 905 453 Northam shares are held for settlement of the Zambezi preference share liability in terms of the Northam guarantee and the accrued dividends are consolidated into the Northam results as a non cash item for Northam.

Although the platinum mining industry has experienced difficult economic conditions during the reporting period, both of the group’s operating mines, Zondereinde and Booysendal, are expected to record an operating profit.

The weighted average number of Northam shares in issue for the period ended 31 December 2017 was 349 875 759 (31 December 2016: 349 875 759 shares).

The information on which this trading statement and trading update is based has not been reviewed or reported on by the group’s external auditors. The reviewed interim results for the period ended 31 December 2017 are anticipated to be published on or about 23 February 2018.

Issued by
R&A Strategic Communications
Tel +27 (0)11 880 3924
Marion Brower: +27 71 493 0387
Jan Walker: +27 71 493 0429

9 February 2018

Sponsor and Debt Sponsor
One Capital