Company profile and structure

The company is domiciled in South Africa and has its corporate office in Johannesburg. As an independent, fully integrated PGM producer. Northam has full control over the entire beneficiation stream of its metals to market. The company has a combined resource base of 195.5Moz (13.9Moz in the reserve category), with a mining life of more than 50 years.

During F2012, Northam produced 288 675oz of PGMs and spent some R2 billion on capital projects. At the end of June 2012, the company employed 11 631 people (F2011: 10 096), 6 861 employees, 1 940 long-term contractors and 362 short-term contractors at Zondereinde and 2 468 people, mostly construction contractors at Booysendal. It is expected that the permanent employment at Booysendal will increase to 1 200 once the mine reaches steady-state production in F2015.

Location of operations

Northam is listed on the JSE Limited (JSE), trading under the symbol NHM. Northam is a member of the JSE’s Socially Responsible Investment Index (SRI). The company also runs a sponsored level 1 American Depositary Receipt (ADR) facility. The shares trade with the ticker code NMPNY on the over-the-counter market in the United States.

At the end of June 2012, the company had 382 496 990 shares in issue and a market capitalisation of R8.9 billion.

The majority of Northam’s shareholders (73.9%) reside in South Africa, followed by North America (17.2%), the UK and Europe (5.4%).

There were no significant changes to the company profile and structure during the year.

Structure

Northam wholly owns and operates the Zondereinde platinum mine and metallurgical complex on the upper end of the western limb of the South African Bushveld Complex near the town of Thabazimbi in Limpopo province. Zondereinde produces some 300 000oz annually. Northam is currently developing the shallower Booysendal platinum project, located near the town of Mashishing in Mpumalanga on the eastern limb of the Bushveld Complex. Booysendal is due to start producing in H2 F2013, and at full production should produce approximately 160 000oz of platinum group metals annually.

Following the acquisition by Northam of Mvelaphanda Resources Limited in June 2011, Northam now owns a 50% interest in the Dwaalkop PGM joint venture, a 51% initial participatory interest in the Kokerboom joint venture exploration project and a 20.3%interest in listed diamond miner, Trans Hex Group Limited (Trans Hex).

In addition, the company holds a 7.5% interest in the Pandora joint venture, a PGM mining operation at the lower end of the western limb of the Bushveld Complex, in partnership with Anglo American Platinum Limited (Amplats), the Bapo Ba Mogale community and Lonmin plc (Lonmin).

Group structure