Go Back Email this Link to a friend


Exxaro Resources Limited - Reviewed Condensed Group Interim Financial Statements For The 6 Months Ended 30 June 2016

Release Date: 18/08/2016 07:09:00      Code(s): EXX     
EXXARO RESOURCES LIMITED 
(Incorporated in the Republic of South Africa)
Registration number: 2000/011076/06
JSE share code: EXX
ISIN: ZAE000084992
ADR code: EXXAY
("Exxaro"? or "the company"? or "the group"?)

The full report is available on www.exxaro.com

Reviewed condensed group interim financial statements and unreviewed production and sales volumes information    
for the six-month period ended 30 June 2016

SALIENT FEATURES

Owner-controlled operations                                            
- Coal sales at 22Mt, up 9%                                       
- Core coal NOP of R2 billion, up 22%                             
                                                                                
SIOC                                                                   
- R745 million core post-tax equity-accounted income, up 17%          
- No dividends declared for 1H16                                  
                                                                       
Tronox                                                                 
- R921 billion core post-tax equity losses                        
- Dividend of R233 million                                        
                                                                       
Mafube                                                                 
- R450 million dividend received                                  
                                                                       
Group                                                                  
- Net debt: equity of 6,5%                                        
- Cost savings                                                     
  - R110 million labour bill savings since VSP*                     
  - R150 million reduction in procurement costs                     
- Interim dividend of 90cps, up 38%                                 

*Voluntary severance and termination packages 


CONDENSED GROUP STATEMENT OF COMPREHENSIVE INCOME
                                                                                        6 months ended       12 months ended           
                                                                   6 months ended              30 June           31 December          
                                                                          30 June                 2015                  2015          
                                                                             2016             Reviewed               Audited          
                                                                         Reviewed        (Re-presented)        (Re-presented)         
                                                                               Rm                   Rm                    Rm          
Revenue                                                                     9 762                8 324                18 330          
Operating expenses                                                         (7 557)              (6 473)              (13 116)          
Operating profit (note 7)                                                   2 205                1 851                 5 214          
Impairment charges of non-current assets (note 8)                                                                     (1 749)          
Net operating profit                                                        2 205                1 851                 3 465          
Finance income (note 9)                                                        83                   33                   102          
Finance costs (note 9)                                                       (417)                (359)                 (770)          
Income from financial assets                                                                         1                     1          
Share of (loss)/income from equity-                                            (9)                  83                (1 137)          
accounted investments (note 10)                                                                                                       
Profit before tax                                                           1 862                1 609                 1 661          
Income tax expense                                                           (490)                (399)               (1 102)          
Profit for the period from continuing operations                            1 372                1 210                   559          
Loss for the period from discontinued operations (note 6)                    (121)                 (43)                 (292)          
Profit for the period                                                       1 251                1 167                   267          
Other comprehensive (loss)/income, net of tax                                 (91)                 561                 2 167          
Items that will not be reclassified to                                         31                   16                   124          
profit or loss:                                                                                                                       
- Remeasurements of post-employment benefit obligation                                                                   (17)          
- Share of comprehensive income from equity-accounted investments              31                   16                   141          
Items that may be subsequently reclassified to profit or loss:               (122)                 545                 2 043          
- Unrealised gains on translation of                                                    
  foreign operations                                                           25                   28                   329
- Revaluation of financial assets                                                     
  available-for-sale                                                           (2)                  14                  (141)
- Share of comprehensive (loss)/income from
  equity-accounted investments                                               (145)                 503                 1 855          
Total comprehensive income for the period                                   1 160                1 728                 2 434          

Profit/(loss) attributable to:                                                                                                        
Owners of the parent                                                        1 285                1 167                   296          
- Continuing operations                                                     1 406                1 210                   588          
- Discontinued operations                                                    (121)                 (43)                 (292)          
Non-controlling interests                                                     (34)                                       (29)          
- Continuing operations                                                       (34)                                       (29)          
                                                                                                                                      
Profit for the period                                                       1 251                1 167                   267          
Total comprehensive income/(loss) attributable to:                                                                                    
Owners of the parent                                                        1 194                1 728                 2 463          
- Continuing operations                                                     1 226                1 769                 2 768          
- Discontinued operations                                                     (32)                 (41)                 (305)          
Non-controlling interests                                                     (34)                                       (29)          
- Continuing operations                                                       (34)                                       (29)          
                                                                                                                                      
Total comprehensive income for the period                                   1 160                1 728                 2 434          
                                      

                                                                                        6 months ended       12 months ended           
                                                                   6 months ended              30 June           31 December          
                                                                          30 June                 2015                  2015          
                                                                             2016             Reviewed               Audited          
                                                                         Reviewed        (Re-presented)        (Re-presented)         
                                                                            cents                cents                 cents          
Attributable earnings/(loss) per share                                                                                              
Aggregate                                                                                                                           
- Basic                                                                       362                  329                    83          
- Diluted                                                                     360                  328                    83          
Continuing operations                                                                                                               
- Basic                                                                       396                  341                   165          
- Diluted                                                                     394                  340                   165          
Discontinued operations                                                                                                             
- Basic                                                                       (34)                 (12)                  (82)          
- Diluted                                                                     (34)                 (12)                  (82)          


CONDENSED GROUP STATEMENT OF FINANCIAL POSITION
                                                     At 30 June      At 30 June      At 31 December    
                                                           2016            2015                2015    
                                                       Reviewed        Reviewed             Audited    
                                                             Rm              Rm                  Rm    
ASSETS                                                                                                 
Non-current assets                                       46 126          41 638              46 482    
Property, plant and equipment                            21 073          19 018              20 412    
Biological assets                                            52              84                  51    
Intangible assets                                            43              30                  56    
Investments in associates (note 14)                      19 687          18 118              19 690    
Investments in joint ventures (note 15)                   1 195           1 104               1 662    
Financial assets                                          3 638           2 766               4 067    
Deferred tax                                                438             518                 544    
Current assets                                            6 492           9 987               6 016    
Financial assets (note 19)                                  452                                        
Inventories                                               1 213             995               1 240    
Trade and other receivables                               2 281           1 906               2 666    
Current tax receivable                                      185             102                  55    
Cash and cash equivalents                                 2 361           6 984               2 055    
Non-current assets held-for-sale (note 16)                  142             314                 128    
Total assets                                             52 760          51 939              52 626    
EQUITY AND LIABILITIES                                                                                 
Capital and other components of equity                                                                 
Share capital                                             2 460           2 435               2 445    
Other components of equity                                6 901           6 581               6 911    
Retained earnings                                        26 651          26 413              25 670    
Equity attributable to owners of the parent              36 012          35 429              35 026    
Non-controlling interests                                  (834)                               (800)    
Total equity                                             35 178          35 429              34 226    
Non-current liabilities                                  11 940          12 638              12 701    
Interest-bearing borrowings (note 17)                     3 039           5 931               4 185    
Non-current provisions                                    3 297           2 373               3 112    
Post-retirement employee obligations                        228             167                 217    
Financial liabilities                                        73              82                 116    
Deferred tax                                              5 303           4 085               5 071    
Current liabilities                                       4 298           3 645               4 655    
Trade and other payables                                  2 515           2 465               3 546    
Current shareholder loans                                    21                                  21    
Interest-bearing borrowings (note 17)                     1 584             465                 882    
Current tax payable                                          35              14                  48    
Current provisions                                          127             168                 158    
Overdraft (note 17)                                          16             533                        
Non-current liabilities held-for-sale (note 16)           1 344             227               1 044    
Total equity and liabilities                             52 760          51 939              52 626    


CONDENSED GROUP STATEMENT OF CASH FLOWS
                                                                   6 months ended       6 months ended       12 months ended     
                                                                          30 June              30 June           31 December    
                                                                             2016                 2015                  2015    
                                                                         Reviewed             Reviewed               Audited    
                                                                               Rm                   Rm                    Rm    
Cash flows from operating activities                                        1 380                1 297                 3 011    
Cash generated by operations                                                2 183                2 330                 4 526    
Interest paid                                                                (252)                (230)                 (500)    
Interest received                                                              45                   23                    54    
Tax paid                                                                     (292)                 (74)                  (85)    
Dividends paid                                                               (304)                (752)                 (984)    
Cash flows from investing activities                                         (607)                (178)               (5 130)    
Property, plant and equipment to maintain operations (note 13)               (993)                (703)               (1 663)    
Property, plant and equipment to expand operations (note 13)                 (179)                (298)                 (727)    
Increase in investment in intangible assets                                                                              (34)    
Proceeds from disposal of property, plant and equipment                         3                   73                   198    
Increase in investments in other non-current assets                           (34)                (158)                 (106)    
Increase in loans to related parties                                                                                    (400)    
Proceeds from disposal of operation                                                                                       70    
Proceeds from disposal of joint venture                                       200                                               
Increase in investment in joint venture                                       (54)                 (77)                 (374)    
Increase in investment in associate                                          (233)                                               
Acquisition of subsidiaries                                                                                           (3 436)    
Income from investments in associates and joint ventures                      683                  984                 1 341    
Dividend income from financial assets                                                                1                     1    
Cash flows from financing activities                                         (443)               3 350                 2 000    
Interest-bearing borrowings raised (note 17)                                1 066                4 320                 4 320    
Interest-bearing borrowings repaid (note 17)                               (1 509)                (970)               (2 320)    
                                                                                                                                
Net increase/(decrease) in cash and cash equivalents                          330                4 469                  (119)    
Cash and cash equivalents at beginning of the period                        2 055                1 939                 1 939    
Translation difference on movement in cash and cash equivalents               (40)                  43                   235    
Cash and cash equivalents at end of the period                              2 345                6 451                 2 055    
Cash and cash equivalents                                                   2 361                6 984                 2 055    
Overdraft                                                                     (16)                (533)                          
                                                                                                                                    
CONDENSED GROUP STATEMENT OF CHANGES IN EQUITY
                                                                           Other components of equity            
                                                   Foreign      Financial              Retirement    Available-      
                                       Share      currency    instruments    Equity-      benefit      for-sale     
                                     capital   translation    revaluation    settled   obligation   revaluation     
                                          Rm            Rm             Rm         Rm           Rm            Rm     
At 31 December 2014 (Audited)          2 409         4 167            116      1 695         (329)          382     
Profit for the period                                                                                               
Other comprehensive income                              28                                                   14     
Share of comprehensive income/(loss)   
from equity-accounted investments                      384            (23)       116           16            13     
Issue of share capital                    26                                                                        
Share-based payments movement                                                      2                                
Dividends paid                                                                                                       
At 30 June 2015 (Reviewed)             2 435         4 579             93      1 813         (313)          409     
Loss for the period                                                                                                  
Other comprehensive income/(loss)                      301                                    (17)         (155)    
Share of comprehensive income from     
equity-accounted investments                         1 054            148         99          125            51     
Issue of share capital                    10                                                                        
Share-based payments movement                                                     96                                
Reclassification of equity                                                                                 (360)   
Dividends paid                                                                                                       
Acquisition of subsidiaries                                                                                          
Liquidation of subsidiaries                         (1 012)                                                          
At 31 December 2015 (Audited)          2 445         4 922            241      2 008         (205)          (55)    
Profit/(loss) for the period                                                                                        
Other comprehensive income/(loss)                       25                                                   (2)    
Share of comprehensive (loss)/income   
from equity-accounted investments                      (80)          (192)       127           31                    
Issue of share capital1                   15                                                                        
Share-based payments movement                                                     81                                
Dividends paid                                                                                                       
At 30 June 2016 (Reviewed)             2 460         4 867             49      2 216         (174)          (57)     
1 Vesting of Mpower 2012 treasury shares to good leavers.                                                                        

CONDENSED GROUP STATEMENT OF CHANGES IN EQUITY (continued)
                                                                    
                                                               Attributable           Non-    Total     
                                                    Retained   to owners of   controlling    equity    
                                                    earnings     the parent     interests        Rm    
                                                          Rm             Rm            Rm              
At 31 December 2014 (Audited)                         25 985         34 425                  34 425    
Profit for the period                                  1 167          1 167                   1 167    
Other comprehensive income                                               42                      42    
Share of comprehensive income/(loss)               
from equity-accounted investments                         13            519                     519    
Issue of share capital                                                   26                      26    
Share-based payments movement                                             2                       2    
Dividends paid                                          (752)          (752)                   (752)    
At 30 June 2015 (Reviewed)                            26 413         35 429                  35 429    
Loss for the period                                     (871)          (871)          (29)     (900)    
Other comprehensive income/(loss)                                       129                     129    
Share of comprehensive income from                 
equity-accounted investments                                          1 477                   1 477    
Issue of share capital                                                   10                      10    
Share-based payments movement                                            96                      96    
Reclassification of equity                               360                                          
Dividends paid                                          (232)          (232)                   (232)    
Acquisition of subsidiaries                                                          (771)     (771)    
Liquidation of subsidiaries                                          (1 012)                 (1 012)    
At 31 December 2015 (Audited)                         25 670         35 026          (800)   34 226    
Profit/(loss) for the period                           1 285          1 285           (34)    1 251    
Other comprehensive income/(loss)                                        23                      23    
Share of comprehensive (loss)/income               
from equity-accounted investments                                      (114)                   (114)    
Issue of share capital1                                                  15                      15    
Share-based payments movement                                            81                      81    
Dividends paid                                          (304)          (304)                   (304)    
At 30 June 2016 (Reviewed)                            26 651         36 012          (834)    35 178    
1 Vesting of Mpower 2012 treasury shares to good leavers.                                                                       

Final dividend paid per share (cents) in respect of the 2015 financial year                85                                        
Interim dividend paid per share (cents) in respect of the 2015 interim period              65                         
Dividend payable per share (cents) in respect of the 2016 interim period                   90                                

Foreign currency translation                                                                                                                  
Arises from the translation of the financial statements of foreign operations within the group.              
                                                                                                                       
Financial instruments revaluation                                                                                      
Comprises the effective portion of the cumulative net change in the fair value of cash flow hedging 
instruments where the hedged transaction has not yet occurred.                                                                     
                                                                                                                       
Equity-settled                                                                                                         
Represents the fair value, net of tax, of services received from employees and settled by equity 
instruments granted.  
                                                                                                                       
Retirement benefit obligation                                                                                          
Comprises remeasurements, net of tax, on the post-retirement obligation.                                               
                                                                                                                       
Available-for-sale revaluation                                                                                         
Comprises fair value adjustments, net of tax, on the available-for-sale financial assets.                              
                                                                                                                       
RECONCILIATION OF GROUP HEADLINE EARNINGS
                                                                             Gross         Tax           Net    
                                                                                Rm          Rm            Rm    
6 months ended 30 June 2016 (Reviewed)                                                                          
Profit for the period attributable to owners of the parent                                             1 285    
Adjusted for:                                                                 (184)         (5)         (189)    
- IAS 16 Net losses on disposal of property, plant and equipment                13          (1)           12    
- IAS 28 Gain on disposal of joint venture                                    (203)                     (203)    
- IAS 28 Loss on dilution of investment in associate                            29                        29    
- IAS 28 Excess of fair value over cost of investment in associate             (35)                      (35)    
- IAS 28 Share of equity-accounted investments' 
  separate identifiable remeasurements                                          12          (4)            8    
                                                                                                                
Headline earnings/(loss)                                                                               1 096    
- Continuing operations                                                                                1 218    
- Discontinued operations                                                                               (122)    
6 months ended 30 June 2015 (Reviewed) (Re-presented)                                                           
Profit for the period attributable to owners of the parent                                             1 167    
Adjusted for:                                                                  (90)                      (90)    
- IAS 16 Net gains on disposal of property, plant and equipment                (66)         (2)          (68)    
- IAS 16 Compensation from third parties for items of property, 
  plant and equipment impaired, abandoned or lost                               (5)          2            (3)    
- IAS 21 Gains on translation differences recycled to profit 
  or loss on the liquidation of a foreign subsidiary                           (33)                      (33)    
- IAS 28 Loss on dilution of investment in associate                            11                        11    
- IAS 28 Share of equity-accounted investments' separate 
  identifiable remeasurements                                                    3                         3    
                                                                                                                
Headline earnings/(loss)                                                                               1 077    
- Continuing operations                                                                                1 193    
- Discontinued operations                                                                               (116)    
12 months ended 31 December 2015 (Audited) (Re-presented)                                                       
Profit for the year attributable to owners of the parent                                                 296    
Adjusted for:                                                                1 683        (356)        1 327    
- IFRS 10 Gain on disposal of an operation                                    (112)         31           (81)    
- IAS 16 Net gains on disposal of property, plant and equipment               (158)          2          (156)    
- IAS 16 Compensation from third parties for items of property, 
  plant and equipment impaired, abandoned or lost                               (5)          2            (3)    
- IAS 21 Gains on translation differences recycled to profit 
  or loss on the liquidation of a foreign subsidiary                        (1 012)                   (1 012)    
- IAS 28 Loss on dilution of investment in associate                            10                        10    
- IAS 28 Share of equity-accounted investments' separate 
  identifiable remeasurements                                                1 211        (328)          883    
- IAS 36 Impairment of property, plant and equipment                           225         (63)          162    
- IAS 36 Impairment of goodwill acquired in a business 
  combination in terms of IFRS 3                                             1 524                     1 524    
                                                                                                                
Headline earnings/(loss)                                                                               1 623    
- Continuing operations                                                                                2 035    
- Discontinued operations                                                                               (412)    

                                                                         6 months ended       12 months ended     
                                                    6 months ended              30 June           31 December    
                                                           30 June                 2015                  2015    
                                                              2016             Reviewed               Audited    
                                                          Reviewed        (Re-presented)        (Re-presented)   
                                                             cents                cents                 cents    
Headline earnings/(loss) per share                                                                               
Aggregate                                                                                                        
- Basic                                                        309                  303                   457    
- Diluted                                                      307                  303                   456    
Continuing operations                                                                                            
- Basic                                                        343                  336                   573    
- Diluted                                                      341                  336                   572    
Discontinued operations                                                                                           
- Basic                                                        (34)                 (33)                 (116)    
- Diluted                                                      (34)                 (33)                 (116)    
Refer to note 12 for details regarding the number of shares.                                                                    


NOTES TO THE REVIEWED CONDENSED GROUP INTERIM FINANCIAL STATEMENTS 
for the six-month period ended 30 June 2016

1.  CORPORATE BACKGROUND
    Exxaro, a public company incorporated in South Africa, is a diversified resources group with interests in the coal
    (controlled and non-controlled), TiO2 and Alkali chemicals (non-controlled), ferrous (controlled and non-controlled) 
    and energy (non-controlled) markets. These reviewed condensed group interim financial statements as at and for the 
    six-month period ended 30 June 2016 comprise the company and its subsidiaries (together referred to as the group) 
    and the group's interest in associates and joint ventures. 

2.  BASIS OF PREPARATION 
    Statement of compliance 
    The reviewed condensed group interim financial statements as at and for the six-month period ended 30 June 2016 have
    been prepared in accordance with IFRS, IAS 34 Interim Financial Reporting, the SAICA Financial Reporting Guides as 
    issued by the Accounting Practices Committee and Financial Pronouncements as issued by the Financial Reporting 
    Standards Cements of the Companies Act of South Africa. The reviewed condensed group interim financial statements
    as at  and for the six-month period ended 30 June 2016 have been prepared under the supervision of 
    PA Koppeschaar (CA)SA, SAICA registration number: 00038621.

    The reviewed condensed group interim financial statements should be read in conjunction with the group annual
    financial statements as at and for the year ended 31 December 2015, which have been prepared in accordance with  
    IFRS as issued by the IASB. The reviewed condensed group interim financial statements have been prepared on  
     the historical cost basis, excluding financial instruments and biological assets, which are at fair value.

    The reviewed condensed group interim financial statements of Exxaro and its subsidiaries as at and for the 
    six-month period ended 30 June 2016 were authorised for issue by the board of directors on 16 August 2016.

    Judgements and estimates
    In preparing these reviewed condensed group interim financial statements, management made judgements, estimates and
    assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income 
    and expenses. Actual results may differ from these estimates. The significant judgements made by management in 
    applying the group's accounting policies and the key source of estimation uncertainty were similar to those applied 
    to the group annual financial statements as at and for the year ended 31 December 2015.

3.  ACCOUNTING POLICIES
    The accounting policies adopted in the preparation of the reviewed condensed group interim financial statements are
    consistent with those followed in the preparation of the group annual financial statements as at and for the year ended
    31 December 2015. Amendments to IFRS effective for the financial year ending 31 December 2016 are not expected to have 
    a material impact on the group.

    New accounting standards and amendments issued to accounting standards and interpretations which are relevant to the
    group, but not yet effective on 30 June 2016, have not been adopted. The group continuously evaluates the impact of
    these standards and amendments.

    Taxes on income in the interim period are accrued using the tax rate that would be applicable to expected total
    annual profit or loss.

4.  RE-PRESENTATION OF COMPARATIVE PERIODS
    The prior periods of the condensed group statement of comprehensive income have been re-presented as a result of the
    ferrous iron ore operating segment being identified as discontinued operations. Refer note 6 on discontinued operations.

5.  SEGMENTAL INFORMATION 
    Operating segments are reported on in a manner consistent with the internal reporting provided to the chief operating
    decision-maker, who is responsible for allocating resources and assessing performance of the reportable operating
    segments. The chief operating decision-maker has been identified as the group executive committee. Operating segments
    reported are based on the group's different products and operations.
 
    Total operating segment revenue, which excludes VAT, represents the gross value of goods invoiced, services rendered
    and includes operating revenues directly and reasonably allocable to the segments. Export revenue is recorded according
    to the relevant sales terms, when the risks and rewards of ownership are transferred. 

    Segment revenue includes sales made between segments. These sales are made on a commercial basis. Segment operating
    expenses, assets and liabilities represent direct or reasonably allocable operating expenses, assets and liabilities.
    Segment net operating profit equals segment revenue less operating segment expenses, less impairment charges, plus
    impairment reversals.

    The group has four reportable operating segments, as described below. These offer different products and services,
    and are managed separately based on commodity, location and support function grouping. The group executive committee
    reviews internal management reports on these divisions at least quarterly.

    Coal
    The coal operations are mainly situated in the Waterberg and Mpumalanga regions and are split between coal commercial
    operations and coal tied operations, a 50% joint venture interest in Mafube (a joint venture with Anglo South Africa
    Capital Proprietary Limited) as well as a 10,82% (31 December 2015: 9,37%) effective equity interest in RBCT. The coal
    operations produce thermal, metallurgical and SSCC.

    Ferrous
    The ferrous segment comprises the Mayoko iron ore project in the RoC (iron ore operating segment), a 19,98% equity
    interest in SIOC (located in South Africa) reported within the other ferrous operating segment as well as the FerroAlloys
    operations (referred to as Alloys). Although the SIOC investment is an investment in an iron ore commodity company and
    the executive committee classifies the investment as a non-controlled business, it is classified within the other ferrous
    segment where investments and other are reviewed by the executive committee. The iron ore operating segment met the
    criteria to be classified as held-for-sale and has been disclosed as a discontinued operation for 
    30 June 2016 (refer note 6 and 16).

    TiO2 and Alkali chemicals
    Exxaro holds a 43,71% (30 June 2015: 43,84%; 31 December 2015: 43,87%) equity interest in Tronox and a 26% equity
    interest in Tronox SA (each of the South African-based operations) as well as a 26% member's interest in Tronox UK.

    Other
    This operating segment comprises the 50% investment in Cennergi (a South African joint venture with Tata Power company
    Limited), 26% equity interest in Black Mountain (located in the Northern Cape province), an effective investment of
    11,7% in Chifeng (located in the PRC) as well as the corporate office which renders services to customers.

5.  SEGMENTAL INFORMATION continued                                                                                                            
    The following table presents a summary of the group's segmental information:                                                                                  
                                                                                                            TiO2 and                                 
                                                                                                              Alkali                                           
                                                               Coal                    Ferrous             chemicals           Other        Total       
                                                        Tied     Commercial    Iron                  Other               Base                        
                                                  operations     operations     ore     Alloys     ferrous             metals     Other                   
                                                          Rm             Rm      Rm         Rm          Rm        Rm       Rm        Rm       Rm               
    For the six months ended                                                                                                                            
    30 June 2016 (Reviewed)                                                                                                                             
    External revenue (continuing operations)           1 659          8 059                 13                                       31    9 762          
    Segment net operating profit/(loss)                  122          2 110     (46)        (7)                                     (20)   2 159          
                                                                                                                                                        
    - Net operating profit/(loss) from                                                                               
      continuing operations                              122          2 110                 (7)                                     (20)   2 205          
    - Net operating loss from discontinued                                                                           
      operations                                                                (46)                                                         (46)                                 
    External finance income (note 9)                       1             14                  1                                       67       83          
    External finance costs (note 9)                      (52)          (121)                                                       (244)    (417)          
    Income tax (expense)/benefit                         (19)          (421)    (75)         2                                      (52)    (565)          
    Depreciation and amortisation (note 7)                (6)          (511)                (4)                                     (43)    (564)          
    Write-off and impairment of trade and                                                                            
    other receivables (note 7)                                           (6)                (5)                                      (6)     (17)          
    Cash generated by/(utilised in) operations           167          2 422     (11)       (34)         (9)                        (352)   2 183          
    Share of income/(loss) from equity-accounted                                                                     
    investments (note 10)                                               109                            736      (930)      39        37       (9)          
    Capital expenditure (note 13)                                    (1 158)               (10)                                      (4)  (1 172)          
    At 30 June 2016 (Reviewed)                                                                                                                          
    Segment assets and liabilities                                                                                                                      
    Deferred tax                                          37             31                124         109                          137      438          
    Investments in associates (note 14)                               2 242                          5 874    11 111      460             19 687          
    Investments in joint ventures (note 15)                             683                                                         512    1 195          
    External assets1                                   1 953         26 109      52        225          28                199     2 732   31 298          
    Total assets                                       1 990         29 065      52        349       6 011    11 111      659     3 381   52 618          
    Non-current assets held-for-sale (note 16)                                   14                                                 128      142          
    Total assets as per statement of                                                                                 
    financial position                                 1 990         29 065      66        349       6 011    11 111      659     3 509   52 760          
    External liabilities                               1 735          5 833                 33          47                        3 252   10 900          
    Deferred tax2                                        (28)         5 392                  3                                      (64)   5 303          
    Current tax payable2                                                 35                                                                   35          
    Total liabilities                                  1 707         11 260                 36          47                        3 188   16 238          
    Non-current liabilities held-for-sale                                                                            
    (note 16)                                                         1 072     272                                                        1 344          
    Total liabilities as per statement of                                                                            
    financial position                                 1 707         12 332     272         36          47                        3 188   17 582          
                                                                                                                     
    1 Excluding deferred tax, investments in associates and joint ventures and non-current assets held-for-sale.                                                     
    2 Off-set per legal entity and tax authority.                                                                                               

                                                                                                            TiO2 and                                 
                                                                                                              Alkali                                           
                                                               Coal                    Ferrous             chemicals           Other       Total       
                                                        Tied     Commercial    Iron                  Other               Base                        
                                                  operations     operations     ore     Alloys     ferrous             metals     Other                   
                                                          Rm             Rm      Rm         Rm          Rm        Rm       Rm        Rm       Rm               
    For the six months ended 
    30 June 2015 (Reviewed)                                                                                                                 
    External revenue (continuing operations)           1 847          6 370                 83                                       24    8 324          
    Segment net operating profit/(loss)
    (Re-presented)                                       102          1 562     (40)         3         (11)                         195    1 811          
    - Net operating profit/(loss) from 
      continuing operations                              102          1 562                  3         (11)                         195    1 851          
    - Net operating loss from 
      discontinued operations                                                   (40)                                                         (40)          
    External finance income (note 9)                       2             15                                                          16       33          
    External finance costs (note 9)                      (29)           (65)                                                       (265)    (359)          
    Income tax (expense)/benefit                         (15)          (427)     (3)        (2)          8                           37     (402)          
    Depreciation and amortisation (note 7)               (12)          (367)                (2)                                     (30)    (411)          
    Write-off and impairment of trade and 
    other receivables (note 7)                                           (3)                                                                  (3)          
    Cash generated by/(utilised in) operations           233          2 078     (65)       (16)        (15)                         115    2 330          
    Share of income/(loss) from 
    equity-accounted investments (note 10)                              132                            633      (659)       9       (32)      83          
    Capital expenditure (note 13)                                      (956)               (10)                                     (35)  (1 001)          
    At 30 June 2015 (Reviewed)                                                                                                                       
    Segment assets and liabilities                                                                                                                   
    Deferred tax                                           9             33                125         111                          240      518          
    Investments in associates (note 14)                                                              5 498    12 255      365             18 118          
    Investments in joint ventures (note 15)                             935                                                         169    1 104          
    External assets1                                   1 742         22 813     106        146          32                305     6 741   31 885          
    Total assets                                       1 751         23 781     106        271       5 641    12 255      670     7 150   51 625          
    Non-current assets held-for-sale (note 16)                          314                                                                  314          
    Total assets as per statement of 
    financial position                                 1 751         24 095     106        271       5 641    12 255      670     7 150   51 939          
    External liabilities                               1 366          3 564     165         43          75                        6 971   12 184          
    Deferred tax2                                        (78)         4 143       3          7                                       10    4 085          
    Current tax payable2                                                  8       2                                                   4       14          
    Total liabilities                                  1 288          7 715     170         50          75                        6 985   16 283          
    Non-current liabilities held-for-sale 
    (note 16)                                                           227                                                                  227          
    Total liabilities as per statement of 
    financial position                                 1 288          7 942     170         50          75                        6 985   16 510          

    1 Excluding deferred tax, investments in associates and joint ventures and non-current assets held-for-sale.                                                   
    2 Off-set per legal entity and tax authority.                                                                                                             

                                                                                                            TiO2 and                                 
                                                                                                              Alkali                                           
                                                               Coal                    Ferrous             chemicals           Other       Total       
                                                        Tied     Commercial    Iron                  Other               Base                        
                                                  operations     operations     ore     Alloys     ferrous             metals     Other                   
                                                          Rm             Rm      Rm         Rm          Rm        Rm       Rm        Rm       Rm               
    For the 12 months ended 
    31 December 2015 (Audited)                                                                                                                 
    External revenue (continuing operations)           3 835         14 258                173                                       64   18 330          
    Segment net operating profit/(loss) 
    (Re-presented)                                       195          2 379    (292)        10         (24)                         905    3 173          
    - Net operating profit/(loss) from
      continuing operations                              195          2 379                 10         (24)                         905    3 465          
    - Net operating loss from discontinued 
      operations                                                               (292)                                                        (292)          
    External finance income (note 9)                       3             38                                                          61      102          
    External finance costs (note 9)                      (63)          (154)                                                       (553)    (770)          
    Income tax (expense)/benefit                         (17)        (1 115)                (3)          6                           27   (1 102)          
    Depreciation and amortisation (note 7)               (24)          (927)                (7)         (4)                         (67)  (1 029)          
    Impairment charges - goodwill (note 8)                           (1 524)                                                              (1 524)          
    Impairment charges - non-current assets 
    (excluding financial assets and goodwill) 
    (note 8)                                                           (225)                                                                (225)          
    Write-off and impairment of trade and 
    other receivables (note 7)                            (4)            (3)     11                                                 (81)     (77)          
    Cash generated by/(utilised in) operations           332          4 300    (285)       (38)        (74)                         291    4 526          
    Share of income/(loss) from 
    equity-accounted investments (note 10)                              251                            104    (1 503)          64   (53)  (1 137)          
    Capital expenditure (note 13)                                    (2 313)               (28)                                     (49)  (2 390)          
    At 31 December 2015 (Audited)                                                                                                                                               
    Segment assets and liabilities                                                                                                                                    
    Deferred tax                                          39             47                124         109                          225      544          
    Investments in associates (note 14)                               1 919                          5 081    12 270         420          19 690          
    Investments in joint ventures (note 15)                           1 067                                                         595    1 662          
    External assets1                                   1 934         25 948     114        189          29                   210  2 178   30 602          
    Total assets                                       1 973         28 981     114        313       5 219    12 270         630  2 998   52 498          
    Non-current assets held-for-sale
    (note 16)                                                                                                                       128      128          
    Total assets as per statement of 
    financial position                                 1 973         28 981     114        313       5 219    12 270         630  3 126   52 626          
    External liabilities                               1 775          5 179     286         37          52                        4 908   12 237          
    Deferred tax2                                        (30)         5 094       1          5                                        1    5 071          
    Current tax payable2                                (100)           145       3                                                           48          
    Total liabilities                                  1 645         10 418     290         42          52                        4 909   17 356          
    Non-current liabilities held-for-sale 
    (note 16)                                                         1 044                                                                1 044                 
    Total liabilities as per statement of 
    financial position                                 1 645         11 462     290         42          52                        4 909   18 400          

    1 Excluding deferred tax, investments in associates and joint ventures and non-current assets held-for-sale.                                       
    2 Off-set per legal entity and tax authority.                                                                                             

6.  DISCONTINUED OPERATIONS                                                                                                            
    Exxaro entered into a sale of shares agreement for the sale of its interest in Exxaro Australia Iron Holdings Proprietary Limited 
    and Mayoko Investment Company on 22 July 2016 for a purchase consideration of US$2 million. This sales agreement is subject to 
    the fulfilment of conditions precedent. The disposal group met the relevant recognition criteria to be classified as a non-current 
    asset held-for-sale on 30 June 2016. The disposal group represents a major geographical area of operation since it represents the 
    iron ore operating segment within the ferrous reportable segment (which includes the Mayoko iron ore project) as well as a separate 
    major line of business. The disposal group met the recognition criteria to be classified as a discontinued operation.

    Financial information relating to the discontinued operations for the reporting period is set out below:           
                                                                                              6 months ended        12 months ended     
                                                                        6 months ended               30 June            31 December    
                                                                               30 June                  2015                   2015    
                                                                                  2016              Reviewed                Audited    
                                                                              Reviewed         (Re-presented)         (Re-presented)   
                                                                                    Rm                    Rm                     Rm    
    The financial performance and cash flow information                                                                            
    Operating expenses                                                             (46)                  (40)                  (292)    
    Net operating loss                                                             (46)                  (40)                  (292)    
    Income tax expense                                                             (75)                   (3)                          
    Loss for the period from discontinued operations                              (121)                  (43)                  (292)    
    Cash flow attributable to operating activities                                 (16)                  (85)                  (326)    
    Cash flow attributable to investing activities                                   1                    73                    119    
    Cash flow attributable to discontinued operations                              (15)                  (12)                  (207)    

7.  SIGNIFICANT ITEMS INCLUDED IN OPERATING PROFIT                                                                                 
    Depreciation and amortisation                                                 (564)                 (411)                (1 029)    
    Net realised foreign currency exchange (losses)/gains                          (74)                   38                  1 336    
    Net unrealised foreign currency exchange (losses)/gains                        (47)                  312                    510    
    Net gains/(losses) on derivative instruments held-for-trading                   19                     9                   (125)    
    Write-off and impairment of trade and other receivables                        (17)                   (3)                   (88)    
    Royalties                                                                      (53)                  (53)                  (126)    
    Gain on disposal of investment in joint venture (note 11)                      203                                               
    Net (losses)/gains on disposal of property, plant and equipment                (13)                   (8)                    39    
    Loss on dilution of investment in associate                                    (29)                  (11)                   (10)    
    Gain on disposal of an operation                                                                                            112    
    Termination benefits1                                                          (34)                  (40)                  (372)    
    1 Include voluntary severance package and other termination costs incurred and accrued for.                                    

                                                                        6 months ended        6 months ended        12 months ended     
                                                                               30 June               30 June            31 December    
                                                                                  2016                  2015                   2015    
                                                                              Reviewed              Reviewed                Audited    
                                                                                    Rm                    Rm                     Rm    
8.  IMPAIRMENT CHARGES OF NON-CURRENT ASSETS                                                                                        
    ECC                                                                                                                             
    Impairment, net of tax                                                                                                    1 524    
    - Goodwill                                                                                                                1 524    
    Reductants                                                                                                                      
    Impairment, net of tax                                                                                                      162    
    - Property, plant and equipment                                                                                             225    
    - Tax effect                                                                                                                (63)    
    Net impairment charges per statement of comprehensive income                                                              1 749    
    Net tax effect                                                                                                              (63)    
    Net effect on attributable earnings                                                                                       1 686    

    ECC                                                                                                                             
    Exxaro acquired TCSA on 20 August 2015 and renamed it ECC. The PPA was completed and goodwill of R1 524 million was recognised 
    at acquisition. The goodwill was assessed for impairment on 31 December 2015 and was fully impaired on that date.          

    Reductants                                                                                                                      
    The decline in demand, lower FeCr prices and rising production costs drastically impacted local producers. This, coupled with 
    continued declining imported semi-coke and cheaper market coke prices resulted in producers increasing market coke usage and 
    further reducing semi-coke demand. The char plant was fully impaired based on the cessation of production.            
                                                                                                                                           
                                                                   6 months ended       6 months ended        12 months ended     
                                                                          30 June              30 June            31 December    
                                                                             2016                 2015                   2015    
                                                                         Reviewed             Reviewed                Audited    
                                                                               Rm                   Rm                     Rm    
9.  NET FINANCING COSTS                                                                                                       
    Total finance income                                                       83                   33                    102    
    - Interest income                                                          78                   27                     91    
    - Finance lease interest income                                             5                    6                     11    
    Total finance costs                                                      (417)                (359)                  (770)    
    - Interest expense                                                       (245)                (260)                  (546)    
    - Unwinding of discount rate on rehabilitation cost                      (173)                 (96)                  (220)    
    - Interest on finance leases                                               (2)                                               
    - Amortisation of transaction costs                                        (4)                  (5)                   (10)    
    - Borrowing costs capitalised1                                              7                    2                      6    
      Total net financing costs                                              (334)                (326)                  (668)    
      1 Borrowing costs capitalisation rate.                                 9,02%                6,93%                  6,94%    

                                                                   6 months ended       6 months ended        12 months ended     
                                                                          30 June              30 June            31 December    
                                                                             2016                 2015                   2015    
                                                                         Reviewed             Reviewed                Audited    
                                                                               Rm                   Rm                     Rm    
10. SHARE OF (LOSS)/INCOME FROM EQUITY-ACCOUNTED INVESTMENTS                                                                           
    Associates                                                               (130)                 (17)                (1 339)          
    Listed investments                                                       (947)                (713)                (1 646)          
    - Tronox                                                                 (947)                (713)                (1 646)          
    Unlisted investments                                                      817                  696                    307          
    - SIOC                                                                    736                  633                    104          
    - Tronox SA                                                               (41)                   3                     40          
    - Tronox UK                                                                58                   51                    103          
    - RBCT1                                                                    25                                          (4)          
    - Black Mountain                                                           39                    9                     64          
      Joint ventures                                                          121                  100                    202          
    - Mafube                                                                   84                  132                    253          
    - SDCT                                                                                                                  2          
    - Cennergi                                                                 37                  (32)                   (53)          
      Share of (loss)/income from equity-accounted investments                 (9)                  83                 (1 137)          
    1 30 June 2016 includes R35 million excess of fair value over the cost of the investment which arose on the increase in 
      the shareholding in RBCT (refer note 14).                                                                                

11. GAIN ON DISPOSAL OF INVESTMENT IN JOINT VENTURE                           
                                                                     6 months ended                
                                                                 30 June 2016 (Reviewed)               
                                                                   SDCT          Total    
                                                                     Rm             Rm    
    Consideration received or receivable                                      
    Cash                                                            200            200    
    Total disposal consideration                                    200            200    
    Carrying amount of investment disposal (note 15)                            
    Equity-accounted losses realised on disposal                      3              3    
    Gain on disposal1                                               203            203    
    1 After tax of nil.                                                       

12. DIVIDEND DISTRIBUTION                                                                            
    Total dividends paid in 2015 amounted to R984 million, made up of a final dividend of R752 million which related to the 
    year ended 31 December 2014, paid in April 2015, as well as an interim dividend of R232 million, paid in September 2015. 
    A final dividend relating to the 2015 year of 85 cents per share (amounting to R304 million) was paid to shareholders 
    in April 2016.                                                                 
    
    An interim cash dividend number 27, for 2016 of 90 cents per share (2015: 65 cents per share) was approved by the board 
    of directors on 17 August 2016. The dividend is payable on 12 September 2016 to shareholders who will be on the register 
    at 9 September 2016. This interim dividend, amounting to approximately R322 million (2015: R232 million), has not been 
    recognised as a liability in these reviewed condensed group interim financial statements. It will be recognised in 
    shareholders' equity in the year ending 31 December 2016.                                                                 
    
    The dividend declared will be subject to a dividend withholding tax of 15% for all shareholders who are not exempt 
    from or do not qualify for a reduced rate of dividend withholding tax. The net local dividend payable to shareholders, 
    subject to dividend withholding tax at a rate of 15% amounts to 76,50 cents per share. The dividend withholding tax 
    amounts to 13,50000 cents per share (30 June 2015: 9,75000 cents per share; 31 December 2015: 12,75000 cents 
    per share). The number of ordinary shares in issue at the date of this declaration is 358 115 505 (2015: 358 115 505).
    Exxaro company's tax reference number is 9218/098/14/4.                                                                 
                                                                        At 30 June           At 30 June         At 31 December    
                                                                              2016                 2015                   2015    
                                                                          Reviewed             Reviewed                Audited    
    Issued shares as at declaration date (number)                      358 115 505          358 115 505            358 115 505    
    Ordinary shares (million)                                                                                                        
    - weighted average number of shares                                        355                  355                    355    
    - diluted weighted average number of shares                                357                  356                    356    
                                                                                                                                     
                                                                                                               12 months ended    
                                                                        At 30 June           At 30 June            31 December    
                                                                              2016                 2015                   2015    
                                                                          Reviewed             Reviewed                Audited    
                                                                                Rm                   Rm                     Rm    
13. CAPITAL EXPENDITURE                                                                                                            
    Incurred                                                                 1 172                1 001                  2 390    
    - To maintain operations                                                   993                  703                  1 663    
    - To expand operations                                                     179                  298                    727    
    Contracted                                                               1 506                2 715                  2 162    
    - Contracted for the group (owner-controlled)                            1 203                1 580                  1 721    
    - Share of capital commitments of 
      equity-accounted investments                                             303                1 135                    441    
    Authorised, but not contracted                                             760                  581                  1 376    
                                                                                                                                        
                                                                        At 30 June           At 30 June         At 31 December    
                                                                              2016                 2015                   2015    
                                                                          Reviewed             Reviewed                Audited  
                                                                                Rm                   Rm                     Rm    
14. Investments in associates         
    Listed investments                                                       7 818                9 075                  8 997    
    - Tronox1                                                                7 818                9 075                  8 997    
    Unlisted investments                                                    11 869                9 043                 10 693    
    - SIOC                                                                   5 874                5 498                  5 081    
    - Tronox SA                                                              1 795                1 792                  1 833    
    - Tronox UK                                                              1 498                1 388                  1 440    
    - RBCT2                                                                  2 242                                       1 919    
    - Black Mountain                                                           460                  365                    420    
      Total carrying value of investments in associates                     19 687               18 118                 19 690    
    1 Fair value based on a listed price (Level 1 within the IFRS 13 
      Fair Value Measurement fair value hierarchy) (Rm)                      3 349                9 183                  3 095    
      Listed share price (US$ per share)                                      4,41                14,63                   3,91    

      The recoverable amount (value in use) of this investment was determined based on Exxaro's share of the present value 
      of Tronox's cash flows, and resulted in no impairment charge being recognised on 30 June 2016. Subsequent to 30 June 2016, 
      the Tronox share price improved to US$8,36 per share on 15 August 2016, an increase of 90%.                                  
    2 On 31 March 2016, Exxaro restructured the shareholding in SDCT for a direct interest in RBCT. The restructuring 
      resulted in a R203 million gain on disposal of SDCT and a R35 million excess of fair value over cost of the investment 
      in RBCT on the additional 20 000 shares acquired in RBCT. The total purchase consideration of the additional RBCT 
      investment amounted to R297 million, comprising R233 million cash consideration and R64 million non-cash consideration.                
                                                                                                                       
                                                                        At 30 June           At 30 June         At 31 December    
                                                                              2016                 2015                   2015    
                                                                          Reviewed             Reviewed                Audited  
                                                                                Rm                   Rm                     Rm
15. INVESTMENTS IN JOINT VENTURES                                                                                           
    - Mafube                                                                   683                  935                  1 067    
    - SDCT1                                                                                                                   
    - Cennergi                                                                 512                  169                    595    
    Total carrying value of investments in joint ventures                    1 195                1 104                  1 662    
    1 The investment in SDCT was sold on 31 March 2016. Refer note 11.                                                           
      The carrying value of the investment was below R1 million (R1 333) 
      for the comparative periods and included in financial 
      assets, was a loan to SDCT which was settled on the disposal of      
      the investment:                                                                                90                    105          
                                                      
16. NON-CURRENT ASSETS AND LIABILITIES HELD-FOR-SALE                                                                    
    Ferrous offshore                                                                                                         
    The Exxaro board approved a divestment strategy of the ferrous offshore entities (which includes the Mayoko iron 
    ore project and related legal entities) and a sale of shares agreement with a Congolese consortium for the sale 
    of its interest in Exxaro Australia Iron Holdings Proprietary Limited and Mayoko Investment Company on 22 July 2016 
    for a purchase consideration of US$2 million. The disposal group met the relevant recognition criteria to be 
    classified as a non-current asset held-for-sale on 30 June 2016. Refer note 6.

    EMJV                                                                                                                      
    Exxaro concluded the purchase of ECC in 2015, and as part of this acquisition Exxaro acquired non-current liabilities 
    held-for-sale relating to the EMJV. The sale of the EMJV is conditional on section 11 approval required in terms of the 
    MPRDA for transfer of the new-order mining right to the new owners, Scinta Energy Proprietary Limited as well as 
    section 43(2) approval for the transfer of environmental liabilities and responsibilities. The EMJV remains a non-current 
    liability held-for-sale for the Exxaro group on 30 June 2016.                                                               
    The EMJV does not meet the criteria to be classified as a discontinued operation since it does not represent a separate major 
    line of business, nor does it represent a major geographical area of operation.                        

    Corporate centre                                                                                                          
    The land and buildings situated at corporate centre were classified as a non-current asset held-for-sale on 31 December 2015. 
    The sale was subject to the fulfilment of suspensive conditions which were not met and the sales agreement subsequently lapsed.     
    A new agreement was entered into with Growthpoint Properties Limited (Growthpoint) in June 2016. The sale to Growthpoint is 
    conditional on Exxaro entering into a leaseback agreement with Growthpoint for a minimum of two years. The land and buildings 
    situated at corporate centre remains classified as a non-current asset held-for-sale on 30 June 2016.                    
                                                                                                                            
16. NON-CURRENT ASSETS AND LIABILITIES HELD-FOR-SALE continued                                                    
    The major classes of assets and liabilities classified as non-current assets and liabilities held-for-sale are as follows:      
                                                                        At 30 June           At 30 June         At 31 December    
                                                                              2016                 2015                   2015    
                                                                          Reviewed             Reviewed                Audited  
                                                                                Rm                   Rm                     Rm
    Assets                                                                                                                    
    Property, plant and equipment                                              128                  149                    128    
    Deferred tax                                                                                     79                           
    Financial assets                                                                                 75                           
    Inventories                                                                                       8                           
    Trade and other receivables                                                 14                    3                           
    - Trade receivables                                                                               1                           
    - Other receivables                                                          6                                                
    - Non-financial instrument receivables                                       8                    2                           
    Total assets                                                               142                  314                    128    
    Liabilities                                                                                                                 
    Non-current provisions                                                  (1 069)                (158)                (1 027)    
    Post-retirement employee obligations                                       (18)                  (4)                   (17)    
    Deferred tax                                                                (1)                                                
    Trade and other payables                                                  (163)                 (16)                           
    - Trade payables                                                           (41)                  (7)                           
    - Other payables                                                          (122)                  (3)                           
    - Non-financial instrument payables                                                              (6)                           
    Current tax payable                                                        (73)                  (9)                           
    Current provisions                                                         (20)                 (40)                           
    Total liabilities                                                       (1 344)                (227)                (1 044)    
    Net (liabilities)/assets held-for-sale                                  (1 202)                  87                   (916)    
    1 Relates to the NCC operation which was sold on 31 July 2015.                                                               

17. INTEREST-BEARING BORROWINGS                                                                                       
    Loans                                                                                                             
    Senior loan facility                                                                                              
    During April 2012, Exxaro secured a senior loan facility of R8 billion. The senior loan facility comprises a:     
    - Term loan facility of R5 billion for a duration of 97 months                                                    
    - Revolving credit facility of R3 billion for a duration of 62 months.                                            
    Interest is based on JIBAR plus a margin of 2,75% for the term loan, and JIBAR plus a margin of 2,50% for the revolving 
    credit facility. The effective interest rate for the transaction costs for the term loan is 0,47%. Interest is paid 
    on a six-monthly basis for the term loan, and on a monthly basis for the revolving credit facility.                         
    The undrawn portion relating to the term loan amounts to R1,5 billion (30 June 2015: R1 billion; 
    31 December 2015: R1 billion). The undrawn portion of the revolving credit facility amounts to R3 billion 
    (30 June 2015: R1,65 billion; 31 December 2015: R3 billion).                                                          
    Bond issue                                                                                                                  
    In terms of Exxaro's R5 billion DMTN programme, a senior unsecured floating rate note (bond) of R1 billion was raised 
    during May 2014. The bond comprises a:                                                                             
    - R480 million senior unsecured floating rate note due 19 May 2017                                                      
    - R520 million senior unsecured floating rate note due 19 May 2019.                                                              
    Interest on the bond is based on JIBAR plus a margin of 1,70% for the R480 million bond and JIBAR plus a margin of 
    1,95% for the R520 million bond. The effective interest rate for the transaction costs is 0,13% for the R480 million 
    bond and 0,08% for the R520 million bond. Interest is paid on a quarterly basis for both bonds.                              
    Finance lease                                                                                                                 
    Included in the 2016 interest-bearing borrowings are obligations relating to a finance lease for mining equipment.

                                                                        At 30 June           At 30 June         At 31 December    
                                                                              2016                 2015                   2015    
                                                                          Reviewed             Reviewed                Audited  
                                                                                Rm                   Rm                     Rm
    Summary by financial year of redemption                                                                              
    2016                                                                                            465                    882    
    20171                                                                    1 584                2 622                  1 274    
    2018                                                                     1 012                  795                    795    
    2019                                                                     1 529                1 316                  1 317    
    2020 onwards                                                               498                1 198                    799    
    Total interest-bearing borrowings                                        4 623                6 396                  5 067    
    - Current2                                                               1 584                  465                    882    
    - Non-current3                                                           3 039                5 931                  4 185    
    1 The repayment in the 2017 year 
      comprises a portion of the term loan, as well as the full repayment of the revolving credit facility that is drawn at 
      the end of the reporting period, and the R480 million senior unsecured floating rate note.                                                        
    2 The current portion represents                                         1 584                  465                    882    
    - Capital repayments                                                     1 507                  400                    800    
    - Interest capitalised                                                      85                   74                     90    
    - Reduced by the amortised transaction costs                                (8)                  (9)                    (8)    
    3 The non-current portion includes the following amounts in 
      respect of transaction costs that will be amortised using the 
      effective interest rate method, over the term of the facilities:          12                   28                     15    

17. INTEREST-BEARING BORROWINGS continued                                                                             
                                                                        At 30 June           At 30 June         At 31 December    
                                                                              2016                 2015                   2015    
                                                                          Reviewed             Reviewed                Audited    
                                                                                Rm                   Rm                     Rm    
    Minimum finance lease payments:                                                                                       
    - Not later than one year                                                   31                                        
    - Later than one year, but not later than five years                        33                                        
    Total                                                                       64                                        
    Less: future finance charges                                                (7)                                        
    Present value of finance lease liabilities                                  57                                        
    - Current                                                                   27                                        
    - Non-current                                                               30                                        
    Total present value of finance lease liabilities                            57                                        
    Overdraft                                                                                                           
    Bank overdraft                                                              16                  533                        
    The bank overdraft is repayable on demand and interest payable is based on current South African money market rates.              
    There were no defaults or breaches in terms of interest-bearing borrowings during the reporting periods.                            
                                                                                                                          
                                                                        At 30 June           At 30 June         At 31 December    
                                                                              2016                 2015                   2015    
                                                                          Reviewed             Reviewed                Audited    
                                                                                Rm                   Rm                     Rm    
18. NET (DEBT)/CASH                                                                                                                
    Net (debt)/cash is presented by the following                        
    items on the statement of financial position (excluding              
    assets and liabilities classified as held-for-sale):                    (2 278)                  55                 (3 012)    
    - Cash and cash equivalents                                              2 361                6 984                  2 055    
    - Non-current interest-bearing borrowings                               (3 039)              (5 931)                (4 185)    
    - Current interest-bearing borrowings                                   (1 584)                (465)                  (882)    
    - Overdraft                                                                (16)                (533)                            
    Calculation of movement in net debt:                                                                                           
    Cash inflow/(outflow) from operating and                                                                       
    investing activities:                                                      773                1 119                 (2 119)    
    Add:                                                                                                                              
    - Non-cash flow movement for interest accrued not yet paid                   5                  (31)                   (47)    
    - Non-cash flow of amortisation of transaction costs                        (4)                  (5)                   (10)    
    - Translation differences of movements in cash                                                                 
      and cash equivalents                                                     (40)                  43                    235    
    Decrease/(increase) in net debt                                            734                1 126                 (1 941)    
                                                                                                                                   

19. FINANCIAL INSTRUMENTS
    (a) Carrying amounts and fair values                                                
        The carrying amounts and fair values of financial assets and financial liabilities 
        in the condensed group statement of financial position, are as follows:
                                                                  At 30 June 2016
                                                              Carrying          Fair     
                                                                amount         value    
                                                              Reviewed      Reviewed    
                                                                    Rm            Rm    
        ASSETS                                                                          
        Non-current assets                                                              
        Financial assets, consisting of:                         3 499         3 499    
        - Environmental rehabilitation funds                     1 370         1 370    
        - KIO                                                       10            10    
        - Chifeng                                                  199           199    
        - Indemnification asset                                  1 072         1 072    
        - Non-current receivables                                  848           848    
        Current assets (1)                                       4 876         4 876    
        Financial assets, consisting of:
        - Loan to BEE shareholder(2)                               452           452    
        Trade and other receivables                              2 054         2 054    
        Derivative financial assets                                  9             9    
        Cash and cash equivalents                                2 361         2 361    
        Non-current assets held-for-sale (note 16)                   6             6    
        Total financial instrument assets                        8 381         8 381    
        LIABILITIES
        Non-current liabilities                                  3 009         3 009    
        Interest-bearing borrowings                              3 009         3 009    
        Current liabilities (1)                                  3 512         3 512    
        Trade and other payables                                 1 917         1 917    
        Current shareholder loans                                   21            21    
        Derivative financial liabilities                             1             1    
        Interest-bearing borrowings                              1 557         1 557    
        Overdraft                                                   16            16    
        Non-current liabilities held-for-sale (note 16)            163           163    
        Total financial instrument liabilities                   6 684         6 684    
        1 Carrying amounts approximate the fair values due to the short-term nature of the 
          maturities of these financial assets and financial liabilities.
        2 The loan has been classified as current for the reporting period ended 30 June 2016. 
          During 2015 Exxaro provided Main Street 333 with a loan. The loan is repayable by 
          April 2017 and attracts interest at prime plus 5%.


                                                                  At 30 June 2015
                                                              Carrying          Fair     
                                                                amount         value    
                                                              Reviewed      Reviewed    
                                                                    Rm            Rm    
        ASSETS                                                                          
        Non-current assets                                                              
        Financial assets, consisting of:                         2 612         2 612    
        - Environmental rehabilitation funds                       876           876    
        - Loans to joint ventures                                   90            90    
        - KIO                                                       13            13    
        - Chifeng                                                  305           305    
        - RBCT                                                     739           739    
        - Non-current receivables                                  589           589    
        Current assets (1)                                       8 617         8 617    
        Trade and other receivables                              1 630         1 630    
        Derivative financial assets                                  3             3    
        Cash and cash equivalents                                6 984         6 984    
        Non-current assets held-for-sale (note 16)                  76            76    
        Total financial instrument assets                       11 305        11 305    
        LIABILITIES                                                                     
        Non-current liabilities                                  5 931         5 931    
        Interest-bearing borrowings                              5 931         5 931    
        Current liabilities (1)                                  2 868         2 868    
        Trade and other payables                                 1 868         1 868    
        Derivative financial liabilities                             2             2    
        Interest-bearing borrowings                                465           465    
        Overdraft                                                  533           533    
        Non-current liabilities held-for-sale (note 16)             10            10    
        Total financial instrument liabilities                   8 809         8 809    
        1  Carrying amounts approximate the fair values due to the short-term nature of the 
           maturities of these financial assets and financial liabilities.
                                                                                        


                                                               At 30 December 2015
                                                              Carrying          Fair     
                                                                amount         value    
                                                               Audited       Audited    
                                                                    Rm            Rm    
        ASSETS                                                                          
        Non-current assets                                                              
        Financial assets, consisting of:                         3 921         3 921    
        - Environmental rehabilitation funds                     1 329         1 329    
        - Loans to joint ventures                                  105           105    
        - KIO                                                        4             4    
        - Chifeng                                                  210           210    
        - Indemnification asset                                  1 044         1 044    
        - Loan to BEE shareholder                                  426           426    
        - Non-current receivables                                  803           803    
        Current assets1                                          4 411         4 411    
        Trade and other receivables                              2 355         2 355    
        Derivative financial assets                                  1             1    
        Cash and cash equivalents                                2 055         2 055    
                                                                                        
        Total financial instrument assets                        8 332         8 332    
        LIABILITIES                                                                     
        Non-current liabilities                                  4 224         4 224    
        Interest-bearing borrowings                              4 185         4 185    
        Non-current derivative financial liability                  39            39    
        Current liabilities1                                     3 629         3 629    
        Trade and other payables                                 2 685         2 685    
        Current shareholder loans                                   21            21    
        Derivative financial liabilities                            41            41    
        Interest-bearing borrowings                                882           882    
                                                                                        
        Total financial instrument liabilities                   7 853         7 853    
        1  Carrying amounts approximate the fair values due to the short-term nature of the 
           maturities of these financial assets and financial liabilities.

    (b) Fair value hierarchy
        The table below analyses recurring fair value measurements for financial assets and 
        financial liabilities. These fair value measurements are categorised into different 
        levels in the fair value hierarchy based on the inputs to the valuation techniques 
        used. The different levels are defined as follows:
        Level 1 - quoted prices (unadjusted) in active markets for identical assets or 
                  liabilities that the group can access at the measurement date
        Level 2 - inputs other than quoted prices included within Level 1 that are observable 
                  for the asset or liability, either directly or indirectly
        Level 3 - inputs for the asset or liability that are not based on observable market 
                  data (unobservable inputs)                             
 
    (b) Fair value hierarchy continued
        At 30 June 2016 (Reviewed)                           Level 1      Level 2      Level 3        Total    
                                                                  Rm           Rm           Rm           Rm    
        Financial assets held-for-trading at fair 
        value through profit or loss                                            9                         9    
        - Current derivative financial assets                                   9                         9    
        Financial assets designated at fair value 
        through profit or loss                                 1 160                                  1 160    
        - Environmental rehabilitation funds                   1 150                                  1 150    
        - KIO                                                     10                                     10    
        Available-for-sale financial assets                                                199          199    
        - Chifeng                                                                          199          199    
        Financial liabilities held-for-trading at 
        fair value through profit or loss                                      (1)                       (1)    
        - Current derivative financial liabilities                             (1)                       (1)    
        Net financial assets held at fair value                1 160            8          199        1 367   

        At 30 June 2015 (Reviewed)                                                                             
        Financial assets held-for-trading at fair 
        value through profit or loss                                            3                         3    
        - Current derivative financial assets                                   3                         3    
        Financial assets designated at fair value 
        through profit or loss                                   964                                    964    
        - Environmental rehabilitation funds                     876                                    876    
        - Environmental rehabilitation fund 
        held-for-sale                                             75                                     75    
        - KIO                                                     13                                     13    
        Available-for-sale financial assets                                              1 044        1 044    
        - Chifeng                                                                          305          305    
        - RBCT                                                                             739          739    
        Financial liabilities held-for-trading at 
        fair value through profit or loss                                      (2)                       (2)    
        - Current derivative financial liabilities                             (2)                       (2)    
                                                                                                               
        Net financial assets held at fair value                  964            1        1 044        2 009    
                                                                                                   
   
    (b) Fair value hierarchy continued
        At 31 December 2015 (Audited)                         Level 1      Level 2      Level 3        Total    
                                                                   Rm           Rm           Rm           Rm    
        Financial assets held-for-trading at fair 
        value through profit or loss                                             1                         1    
        - Current derivative financial assets                                    1                         1    
        Financial assets designated at fair value 
        through profit or loss                                  1 117                                  1 117    
        - Environmental rehabilitation funds                    1 113                                  1 113    
        - KIO                                                       4                                      4    
        Available-for-sale financial assets                                                 210          210    
        - Chifeng                                                                           210          210    
        Financial liabilities held-for-trading at 
        fair value through profit or loss                                      (41)                      (41)    
        - Current derivative financial liabilities                             (41)                      (41)    
        Financial liabilities designated at fair 
        value through profit or loss                                                        (39)         (39)    
        - Non-current derivative financial liability                                        (39)         (39)    
                                                                                                                
        Net financial assets/(liabilities) held at 
        fair value                                              1 117          (40)         171        1 248    
        
        
        Transfers
        The group recognises transfers between levels of the fair value hierarchy as at the end of the reporting 
        period during which the transfer has occurred.
        
        There were no transfers between Level 1 and Level 2 nor between Level 2 and Level 3 of the fair value 
        hierarchy during the periods ended 30 June 2016, 30 June 2015 and 31 December 2015, as shown in the 
        reconciliation below.
        
        During 2015, the RBCT investment was transferred out of Level 3 of the fair value hierarchy and classified 
        as an investment in associate following the acquisition of an additional interest in RBCT through the ECC 
        acquisition.
        
        Valuation process applied by the group
        The fair value computations of the investments are performed by the group?s corporate finance department, 
        reporting to the finance director, on a six-monthly basis. The valuation reports are discussed with the 
        chief operating decision-maker and the audit committee in accordance with the group?s reporting governance. 
        
        Current derivative financial instruments
        Level 2 fair values for simple over-the-counter derivative financial instruments are based on market quotes. 
        These quotes are assessed for reasonability by discounting estimated future cash flows using the market rate 
        for similar instruments at measurement date.
        
        
19.     FINANCIAL INSTRUMENTS continued
    (b) Fair value hierarchy continued
        Reconciliation of financial assets and liabilities within level 3 of the hierarchy
                                                                Non-      
                                                             current         
                                                          derivative
                                                           financial
                                                           liability    Chifeng        RBCT        Total
                                                                  Rm         Rm          Rm           Rm
        At 1 January 2015 (Audited)                                         267         973        1 240    
        Movement during the period                                                                            
        Gain/(loss) recognised for the period in OCI 
        (pre-tax effect) (1)                                                 29         (18)          11    
        Reclassification of loan repayments                                            (216)        (216)    
        Exchange gains for the period recognised 
        in OCI                                                                9                        9    
        At 30 June 2015 (Reviewed)                                          305         739         1044    
        Movement during the period
        Losses recognised for the period in OCI 
        (pre-tax effect) (1)                                               (132)        (43)        (175)    
        Reclassification of loan repayments                                             (13)         (13)    
        Acquisition of subsidiaries                              (33)                                (33)    
        Exchange gains for the period recognised 
        in OCI                                                               37                       37    
        Exchange losses for the period recognised in 
        profit or loss                                            (6)                                 (6)    
        Transfers out of Level 3                                                       (683)        (683)    
        At 31 December 2015 (Audited)                                       (39)        210          171    
        Movement during the period                                                                          
        Losses recognised for the period in OCI 
        (pre-tax effect) (1)                                                             (1)          (1)    
        Gains recognised for the period in profit 
        or loss                                                   38                                  38    
        Exchange losses for the period recognised 
        in OCI                                                              (10)                     (10)    
        Exchange gains for the period recognised in 
        profit or loss                                             1                                   1    
        At 30 June 2016 (Reviewed)                                                      199          199    
        1 Tax on RBCT amounts to nil (30 June 2015: R3 million; 31 December 2015: R23 million).
                
        
19.     FINANCIAL INSTRUMENTS continued
    (c) Valuation techniques used in the determination of fair values within Level 3 of the hierarchy, as 
        well as significant inputs used in the valuation models
        Chifeng
        Chifeng is classified within Level 3 of the fair value hierarchy as there is no quoted market price 
        or observable price available for this investment. This unlisted investment is valued as the present 
        value of the estimated future cash flows, using a discounted cash flow model. The valuation technique 
        is consistent to that used in previous reporting periods.
        
        The significant observable and unobservable inputs used in the fair value measurement of the investment 
        in Chifeng are rand/RMB exchange rate, RMB/US$ exchange rate, Zinc LME price, production volumes, 
        operational costs and the discount rate.
        
        At 30 June 2016 (Reviewed)                                                                                                    Sensitivity     
                                                                                                                                    analysis of a    
                                                                                                                                     10% increase     
                                                                                                                                 in the inputs is    
                                                                                           Sensitivity of inputs                     demonstrated    
                                                                                           and fair value                               below (2)    
                                                                     Inputs                measurement (1)                                     Rm    
        Observable inputs                                                                                                                          
        Rand/RMB exchange rate                                       R2,23/RMB1            Strengthening of                                        
                                                                                           the rand to the RMB                                 20
        
        RMB/US$ exchange rate                                        RMB6,28 to            Strengthening of                                       
                                                                     RMB6,99/US$1          the RMB to the US$                                 196  
        
        Zinc LME price (US$ per tonne in real terms)                 US$1 740 to           Increase in price of                                   
                                                                     US$2 100              zinc concentrate                                   196  
        
        Unobservable inputs                                                                                                                        
        Production volumes (tonnes)                                  85 000 tonnes         Increase in production volumes                      25
        
        Operational costs (US$ million per annum in real terms)      US$60,39 to           Decrease in operations costs                         
                                                                     US$74,76                                                                (171)  
        
        Discount rate (%)                                                                  Decrease in                                           
                                                                     10,17%                discount rate                                      (14)
        
        At 30 June 2015 (Reviewed)                                                                                                                 
        Observable inputs                                                                                                                          
        Rand/RMB exchange rate                                                             Strengthening of                                      
                                                                     R1,88/RMB1            the rand to the RMB                                 30 
        
        RMB/US$ exchange rate                                        RMB6,28 to            Strengthening of                                      
                                                                     RMB7,18/US$1          the RMB to the US$                                 175 
        
        Zinc LME price (US$ per tonne in real terms)                 US$2 000 to           Increase in price                                     
                                                                     US$2 400              of zinc concentrate                                175  
        
        Unobservable inputs
        Production volumes (tonnes)                                  85 000 tonnes         Increase in production volumes                      44 
        
        Operational costs (US$ million per annum in real terms)      US$64 to US$83        Decrease in operations costs                      (139)  
        
        Discount rate (%)                                            9,94%                 Decrease in discount rate                          (25)    
        1 Change in observable/unobservable input which will result in an increase in the fair value measurement.
        2 A 10% decrease in the respective inputs would have an equal but opposite effect on the above, on the basis that all other variables 
          remain constant.                                                                                    
        
        
19.     FINANCIAL INSTRUMENTS continued
    (c) Valuation techniques used in the determination of fair values within Level 3 of the hierarchy, as well as significant inputs used in the 
        valuation models continued
        Chifeng continued
        
        At 31 December 2015 (Audited)                                                                                                 Sensitivity       
                                                                                                                                    analysis of a       
                                                                                                                                     10% increase       
                                                                                                                                 in the inputs is       
                                                                                           Sensitivity of inputs                     demonstrated       
                                                                                           and fair value                               below (2)       
                                                                     Inputs                measurement (1)                                     Rm       
        Observable inputs
        Rand/RMB exchange rate                                                             Strengthening of                                        
                                                                     R2,31/RMB1            the rand to the RMB                                 21 
        
        RMB/US$ exchange rate                                        RMB6,26               Strengthening of                                       
                                                                     to RMB7,12/US$1       the RMB to the US$                                 203  
        
        Zinc LME price (US$ per tonne in real terms)                 US$1 611 to           Increase in price                                      
                                                                     US$2 200              of zinc concentrate                                203 
        
        Unobservable inputs                                                                                                                        
        Production volumes (tonnes)                                                        Increase in                                           
                                                                     85 000 tonnes         production volumes                                  31 
        
        Operational costs (US$ million per annum in real terms)      US$56,94              Decrease in                                          
                                                                     to US$75,22           operations costs                                  (173)   
        
        Discount rate (%)                                                                  Decrease in                                            
                                                                     9,93%                 the discount rate                                  (19)   
        1 Change in observable/unobservable input which will result in an increase in the fair value measurement.
        2 A 10% decrease in the respective inputs would have an equal but opposite effect on the above, on the basis that all other variables 
          remain constant.
        
        Inter-relationships
        Any inter-relationships between unobservable inputs are not considered to have a significant impact within the range of reasonably 
        possible alternative assumptions for the periods ended 30 June 2016, 30 June 2015 and 31 December 2015.
        
        Non-current derivative financial liability
        The non-current derivative financial liability, arising on the contingent consideration relating to the acquisition of ECC during 2015, 
        is classified within Level 3 of the fair value hierarchy as there is no quoted market price or observable price available for this 
        financial instrument. This financial instrument is valued as the present value of the estimated future cash flows, using a discounted 
        cash flow model.
        
        The significant observable and unobservable inputs used in the fair value measurement of this financial instrument are rand/US$ exchange 
        rate, API4 export price and the discount rate.
        
19.     FINANCIAL INSTRUMENTS continued
    (c) Valuation techniques used in the determination of fair values within Level 3 of the hierarchy, as well as significant inputs used in the 
        valuation models continued
        Non-current derivative financial liability continued
        
        At 30 June 2016 (Reviewed)                                                                                                    Sensitivity       
                                                                                                                                    analysis of a       
                                                                                                                                     10% increase       
                                                                                                                                 in the inputs is       
                                                                                           Sensitivity of inputs                     demonstrated       
                                                                                           and fair value                               below (2)       
                                                                     Inputs                measurement (1)                                     Rm       
        Observable inputs                                                                                                                          
        Rand/US$ exchange rate                                       R14,85/US$1           Strengthening of                                          
                                                                                           the rand to the US$                                       
        API4 export price (price per tonne)                          US$50,00              Increase in API4 export                   
                                                                     to US$51,62           price per tonne
        Unobservable inputs                                                                                                                        
        Discount rate (%)                                            3,44%                 Decrease in                                               
                                                                                           the discount rate                                         
        At 31 December 2015 (Audited)                                                                                                              
        Observable inputs                                                                                                              
                                                                                           Strengthening of the
        Rand/US$ exchange rate                                       R15,48/US$1           rand to the US$                                      4   
        
        API4 export price (price per tonne)                          US$51,15              Increase in API4 export              
                                                                     to US$62,50           price per tonne                                    175   
        Unobservable inputs                                                                                                                        
        Discount rate (%)                                            3,44%                 Decrease in the discount rate                       (1)    
        1 Change in observable/unobservable input which will result in an increase in the fair value measurement.
        2 A 10% increase or decrease in the respective inputs had no impact on the fair value as at 30 June 2016. A 10% decrease in the respective 
          inputs would have an equal but opposite effect on the above, on the basis that all other variables remain constant.
        
        Inter-relationships
        Any inter-relationships between unobservable inputs are not considered to have a significant impact within the range of reasonably 
        possible alternative assumptions for the reporting period.
        
        RBCT
        For the period ended 30 June 2015, RBCT was classified within Level 3 of the fair value hierarchy as there was no quoted market price or 
        observable price available for this investment. This unlisted investment was valued as the present value of the estimated future cash 
        flows, using a discounted cash flow model. It was not anticipated that the RBCT investment would be disposed of in the near future. The 
        valuation technique was consistent to that used in previous reporting periods.
        
        The significant observable and unobservable inputs used in the fair value measurement of the investment in RBCT are rand/US$ exchange rate, 
        API4 export price, Transnet Market Demand Strategy, annual utilisation factor and the discount rate.
        
19.     FINANCIAL INSTRUMENTS continued
    (c) Valuation techniques used in the determination of fair values within Level 3 of the hierarchy, as well as significant inputs used in the 
        valuation models continued                                                                              
        RBCT continued
        At 30 June 2015 (Reviewed)                                                                                                    Sensitivity        
                                                                                                                                    analysis of a       
                                                                                                                                     10% increase       
                                                                                                                                 in the inputs is       
                                                                                           Sensitivity of inputs                     demonstrated       
                                                                                           and fair value                               below (2)       
                                                                     Inputs                measurement (1)                                     Rm       
        Observable inputs                                                                                                                          
        Rand/US$ exchange rate                                       R11,81 to             Strengthening of                                       
                                                                     R20,43/US$1           the rand to the US$                                209  
                                                                                                                              
        API4 export price (US$ steam coal                            US$60,30 to           Increase in API4                                       
        A-grade price per tonne in real terms)                       US$85                 export price per tonne                             140 
                                                                                                                              
        Unobservable inputs                                                                                                                        
        Transnet Market Demand Strategy                                                    Acceleration of TFR                                     
        for the terminal (Mtpa                                       77Mtpa to             performance, ie: reach                                
                                                                     81Mtpa                full capacity sooner                                74
                                                                                                                              
        Discount rate (%)                                            13% to 17%            Decrease in the discount rate                     (125)
                                                                                                                              
        Annual utilisation factor                                                          Increase in annual                                    
        (safety and rail delay factor) (%)                           90%                   utilisation factor                                  99 
        1 Change in observable/unobservable input which will result in an increase in the fair value measurement.
        2 A 10% decrease in the respective inputs would have an equal but opposite effect on the above, on the basis that all other variables 
          remain constant.
        
        Inter-relationships
        Any inter-relationships between unobservable inputs are not considered to have a significant impact within the range of reasonably possible 
        alternative assumptions for the period ended 30 June 2015.
        
        
                                                                                      At 30 June       At 30 June       At 31 December    
                                                                                            2016             2015                2015    
                                                                                        Reviewed         Reviewed             Audited    
                                                                                              Rm               Rm                  Rm    
20.     CONTINGENT LIABILITIES                                                                                                                  
        Total contingent liabilities                                                       8 037            3 678               7 378    
        - DMC Iron Congo SA                                                                   11               18                   6    
        - Pending litigation claims1                                                       1 118              995               1 233    
        - Operational guarantees2                                                          4 197            1 292               3 559    
        - Share of contingent liabilities from equity-accounted investments                2 711            1 373               2 580    
        1 Pending litigation claims consist of legal cases as well as tax disputes where Exxaro is the defendant. The outcome of these claims is 
          uncertain and the amount of possible legal obligations that may be incurred can only be estimated at date of reporting.
        2 Operational guarantees include guarantees to banks and other institutions in the normal course of business from which it is anticipated 
          that no material liabilities will arise.                                                          
        3 Exxaro?s share of contingent liabilities from equity-accounted investments relates mainly to operational guarantees, municipality rates 
          and taxes levied but under objection, as well as tax assessments under process of objection.
        
        The timing and occurrence of any possible outflows of the contingent liabilities above are uncertain.
        
        SIOC
        SIOC received a tax assessment from SARS in relation to the tax years 2006 to 2010, for the amount of R5,5 billion. This includes interest 
        and penalties of R3,7 billion. Exxaro?s share of the additional tax would be approximately R1,1 billion, which includes R739 million of interest 
        and penalties. SIOC submitted an objection to the assessment to SARS as well as an application for suspension of payment. Furthermore, a field 
        audit covering the 2011 to 2013 years of assessment is in progress.
        
        SIOC has considered these matters in consultation with specialist external tax and legal advisers and disagrees with SARS? audit findings.
        
        Mayoko iron ore project
        At 30 June 2016 DMC, a subsidiary of Exxaro, is exposed to possible customs import duties as a result of a review by the RoC customs department 
        on assets imported by DMC into the RoC in 2012 under a temporary arrangement, pending the ratification of the mining convention.
        
        On 31 May 2016 the Mining Convention was submitted to the RoC Parliament for final approval. To date, the Mining Convention has not been ratified, 
        which increases the potential risk.
        
        Penalties are deemed reasonably possible, but the level of probability for the outflow of economic resources is considered not probable.
        
        To date, no notification has been issued by the RoC customs department. Exxaro believes that these matters have been appropriately treated by 
        disclosing a contingent liability.
        
        SARS
        On 18 January 2016, Exxaro received a letter of intent from SARS following an international income tax audit for the years of assessment 2009 to 
        2013. According to the letter, SARS proposes that certain international Exxaro companies will be subject to South African Income Tax under Section 
        9D of the Income Tax Act. Assessments to the amount of R442 million (including R199 million relating to tax payable, R91 million interest and 
        R152 million penalties) were issued on 30 March 2016 and Exxaro formally objected against these assessments. The group is awaiting SARS' response.
        
        These assessments have been considered in consultation with external tax and legal advisers and senior counsel. Exxaro believes that these matters 
        have been appropriately treated by disclosing a contingent liability.                                                            
                                                                                                                                         
                                                                          At 30 June       At 30 June       At 31 December    
                                                                                 2016             2015                2015    
                                                                             Reviewed         Reviewed             Audited    
                                                                                   Rm               Rm                  Rm    
21.     CONTINGENT ASSETS                                                                                                   
        Total contingent assets                                                   145              170                  86    
        - Guarantee on sale of NCC (1)                                                             170                        
        - Share of contingent assets from equity-accounted investments (2)        145                                   86    
        1 Exxaro received a guarantee from Universal as part of the sales transaction of NCC. This transaction was concluded in 2015.
        2 Bank guarantee issued in favour of SIOC relating to environmental rehabilitation and closure cost.

22.     RELATED PARTY TRANSACTIONS
        During the period the group, in the ordinary course of business, entered into various sale and purchase transactions with associates and joint 
        ventures. These transactions were subject to terms that are no less, nor more favourable than those arranged with independent third parties.

        Exxaro received a payment of R7 million from Main Street 333, Exxaro?s majority BEE shareholder, during May 2016 for interest on the loan 
        granted in July 2015.

23.     GOING CONCERN
        Based on the latest results, current board-approved budget for 2016, as well as the available bank facilities and cash generating capability, 
        Exxaro satisfies the criteria of a going concern.

24.     JSE LISTINGS REQUIREMENTS
        The reviewed condensed group interim financial statements have been prepared in accordance with the Listings Requirements of the JSE.

25.     EVENTS AFTER THE REPORTING PERIOD
        Details of the interim dividend are provided in note 12.
        The following non-adjusting events occurred after the reporting date and are disclosed for information purposes:
        Sale of Mayoko iron ore project and all related legal entities 
        Subsequent to 30 June 2016, a sales agreement was signed with a Congolese consortium for the sale of shares of the legal entities that house 
        the Exxaro controlled Mayoko iron ore project. Refer note 6 and 16.

        Refinancing of Exxaro?s debt facility                                                                                          
        Subsequent to 30 June 2016, the Exxaro group?s debt facilities of R8 billion have been refinanced. The facility comprises three tranches:
        - R3,25 billion bullet term loan facility with a term of five years
        - R2,75 billion revolving credit facility with a term of five years
        - R2 billion amortised term loan facility with a term of seven years.

        The interest rate achieved is higher than the previous facility, however the covenant terms are more favourable.

        The directors are not aware of any other significant matter or circumstance arising after the reporting period up to the date of this report, 
        not otherwise dealt with in this report.                                                            

26.     REVIEW CONCLUSION                                                                                                              
        The reviewed condensed group interim financial statements for the six-month period ended 30 June 2016, on page 2 to 36, have been reviewed by 
        the company?s external auditors, PricewaterhouseCoopers Inc, who expressed an unmodified conclusion thereon. A copy of the auditors? report on 
        the condensed group interim financial statements is available for inspection at the company?s registered office, together with the financial 
        statements identified in the auditors? report.                                                     

27.     CORPORATE GOVERNANCE
        Detailed disclosure of the company?s application of the principles contained in the King Report on Governance for South Africa 2009 (King III) 
        was made in the 2015 integrated report and is available on the company?s website in accordance with the JSE Listings Requirements. Other than 
        the appointment of Messrs Mr PCCH (Peet) Snyders and Mr EJ (Ras) Myburgh (with effect from 1 September 2016) as independent directors to the 
        board and Mr PA (Riaan) Koppeschaar as finance director, no material changes have occurred since the disclosure. Please contact the group 
        company secretary, Carina Wessels, for any additional information in this regard.

28.     MINERAL RESOURCES AND RESERVES                                                                                         
        Other than the normal life of mine depletion, there have been no material changes to the mineral resources and  reserves as disclosed in the 
        2015 integrated report.                                                            

29.     KEY MEASURES (1)                                                                                          
                                                                   At 30 June    At 30 June   At 31 December    
                                                                         2016          2015             2015    
       Net asset value per share (rand/share)                             101            99               98    
       Operating lease commitments (Rm)                                    82           109              152    
       Closing share price (rand/share)                                 67,46         86,92            44,04    
       Market capitalisation (Rb)                                       24,16         31,13            15,77    
       Average rand/US$ exchange rate (for the period ended)            15,39         11,91            12,76    
       Closing rand/US$ spot exchange rate                              14,85         12,27            15,48    
       1 Non-IFRS numbers.                                                                                     

       Exxaro 1H16 performance at a glance
       Safe operations                                - 23 months without any fatalities                                              
                                                      -  =Lost-time injury frequency rate improved 53% to 0,08                 
                                                                                                                                      
       Improving coal operational performance         - Export volumes up 78% at 4Mt                                                  
                                                      - Production and sales volumes up 10%                                           
                                                      - Core net operating margin of 21%                                              
                                                                                                                                      
       Cost and capital expenditure discipline        Cost savings:                                                                   
                                                      - R110 million labour bill savings since VSP's          
                                                      - R150 million reduction in procurement costs                                  
                                                                                                                                      
       Resilient balance sheet                        - Net debt to equity at 6,5%                                                   
                                                                                                                                      
       Shareholder returns                            - HEPS of 309 cents                                                             
                                                      - Core attributable earnings dividend cover of 3,5 times                       
                                                      - Interim dividend of 90cps

COMMENTARY 
for the six-month period ended 30 June 
Comments below are primarily based on a comparison between the six-month periods ended 30 June 2016 and 2015 (1H16 and
1H15 respectively).

1. COMPARABILITY OF RESULTS
   The results of the two periods are not directly comparable mainly due to key transactions shown below. 

   Table 1: Key transactions
   Reporting                                                     1H16                                                                       2H15       1H15     
   segment     Description                                         Rm   Description                                                           Rm         Rm    
   Coal        - Gain on disposal of non-core assets                                                                                  
                 (South Dunes Coal Terminal SoC Limited (SDCT)          - Gain/(loss) on disposal of non-core assets (1),               
                 and other property, plant and equipment) (1)     188     Voluntary severance packages (VSP's) and  
                                                                          insurance claim income (1)                                          38        (11)
   
                                                                        - Impairment of goodwill recognised on the acquisition of    
                                                                          Total Coal South Africa Proprietary Limited (TCSA) and     
                                                                          property, plant and equipment (1)                               (1 749)             
                                                                                                                                      
   Ferrous     - Gain on disposal of property, plant and                                                                                
                 equipment1                                         1   - Partial reversal of previous write-off of financial assets          11              
                                                                                                                                      
                                                                        - Gain on disposal of non-core assets1 and VSP's                      10         73
                                                                                                                                      
   Other       - Loss on dilution of shareholding in                                                                                  
                  Tronox Limited (Tronox) (1)                     (29)  - Gain/(loss) on dilution of shareholding in Tronox (1)                1        (11)
                                                                                                                                      
               - Voluntary severance packages and other           (26)  - Unrealised foreign exchange gain on US$ held for the       
                                                                          TCSA acquisition                                                   432        315
                                                                                                                                      
                                                                        - Gains on translation differences recycled to profit or loss        979         33
                                                                                                                                      
                                                                        - Gain on disposal of other non-core assets (1) VSP's               (308)       (30)
                                                                                                                                      
   Group       Total net operating profit impact                  134   Total net operating (loss)/profit impact                            (586)       369
                                                                                                                                      
   Coal        - Tax on disposal of non-core assets (1)             1   - Tax on disposal of non-core assets, insurance claim income
                                                                          and impairments1                                                    28
                                                                                                                                      
               - Excess of fair value over cost of                                                                                   
                 investment in Richards Bay Coal                                                                                     
                 Terminal Proprietary Limited (RBCT) (1)           35                                                                 
                                                                                                                                      
   Ferrous     - Post-tax share of Sishen Iron Ore                      - Post-tax share of SIOC loss on impairment of operation1,  
                 Company Proprietary Limited (SIOC)                       loss on disposal of other non-core assets and compensation
                 loss on sale of non-core assets1                  (9)    from third parties1                                               (860)        (3)
                                                                                                                                      
   TiO2 and                                                             - Post-tax share of Tronox restructuring costs and loss on  
   chemicals   - Post-tax share of Tronox restructuring costs      (9)    disposal of property, plant and equipment1                        (152)       (10)
                                                                                                                                      
                                                                                                                                      
   Group       Total attributable earnings impact                 152     Total attributable (loss)/earnings impact                       (1 570)       356
   1 Excluded from headline earnings.                                                                                                 
                                                                                                                                      

We have also re-classified production volumes of the Mafube trading division from ?buy-in? to Mafube production
volumes as illustrated in Table 3: Unreviewed coal production and sales volumes.  This had no impact on revenue or net
operating profit. 


2. SAFETY, HEALTH, ENVIRONMENT AND COMMUNITY 
   Exxaro operated for 23 consecutive months without any fatalities as at 30 June 2016. We achieved a lost-time injury
   frequency rate (LTIFR) of 0,08 in 1H16 (1H15: 0,17), well ahead of our internal target of 0,15 and a very satisfactory 
   53% improvement to date. There were seven lost-time injuries (LTIs) recorded in 1H16 (1H15: 13). We also continue with 
   routine assessments of occupational and chronic diseases to further create awareness and response across the group. We 
   intend to maintain this level of performance, in line with our zero-harm vision. 

   Climate change remains a risk to the long-term sustainability of our business. We submitted our 2016 plans to the carbon 
   disclosure project for both greenhouse gases and water treatment. The group?s strategy on climate change is being aligned 
   with the Paris COP-21 agreement and South Africa?s position in that respect. 
   
   We are addressing the dual water risks of scarcity and pollution by installing water treatment plants at affected
   operations. The result will be an increase in the re-use of treated (industrial quality) water, which will lead to
   self-sufficiency and thus returning (less demand) of potable water to the municipality. The treatment of water results in 
   no pollution of surface water from mine water.
   
   The Matla reverse osmosis water treatment plant is operational and returns seven mega litres of clean water per day into 
   the environment. Civil work started on the North Block Complex (NBC) zero liquid discharge reverse osmosis plant. The plant 
   is expected to be commissioned by 4Q16 and to return between one and one-and-a-half mega litres of clean water per day. 
   
   The Exxaro Chairman?s Fund and Exxaro Foundation have spent R20,3 million (1H15: R20,4 million) on local economic
   development projects as part of our social and labour plans during 1H16.  The bulk of the funds was spent on education
   (47%), skills development (17%), and infrastructure (16%) initiatives. 
   
   The Department of Environmental Affairs (DEA) has published new regulations under the National Environmental
   Management Act (NEMA) No 107 of 1998, relating to managing, rehabilitating and remediating environmental impacts as a result 
   of mining activities and post mine closure.  The DEA has extended the deadline until 20 November 2017 to comply with the new
   financial provision regulations. We are assessing the full impact of these developments on our rehabilitation and 
   decommissioning financial provisions. However, we expect that we will align and implement accordingly.


3. COMMODITY PRICES PERFORMANCE
   The coal API4 price for 1H16 averaged US$53 per tonne, compared with US$61 in 1H15. Iron ore fines prices also fell by
   over 13%, averaging US$52 (cost and freight (CFR) China) in 1H16 compared to US$60 in 1H15, while titanium dioxide (TiO2) 
   averaged US$2 201 per tonne (cost, insurance and freight (CIF), US) from January to April 2016.

   Table 2: Reviewed group segment results (Rm)
                                           Revenue                                  Net operating profit/(loss)
                            6 months        6 months    12 months            6 months           6 months    12 months    
                             ended             ended        ended             ended                ended        ended    
                     30 June     30 June      31 Dec       31 Dec      30 June       30 June      31 Dec       31 Dec    
                        2016        2015        2015         2015         2016          2015        2015         2015    
                    Reviewed    Reviewed    Reviewed      Audited     Reviewed      Reviewed    Reviewed      Audited    
   Coal                9 718       8 217       9 876       18 093        2 232         1 664         910        2 574    
   - Tied (1)          1 659       1 847       1 988        3 835          122           102          93          195    
   - Commercial (2)    8 059       6 370       7 888       14 258        2 110         1 562         817        2 379    
   Ferrous                13          83          90          173          (53)          (48)       (258)        (306)   
   - Iron ore                                                              (46)          (40)       (252)        (292)   
   - Alloys               13          83          90          173           (7)            3           7           10    
   - Other                                                                               (11)        (13)         (24)   
   Other                  31          24          40           64          (20)          195         710          905    
   - Other                31          24          40           64          (20)          195         710          905    
                                                                                                                         
   Total               9 762       8 324      10 006       18 330        2 159         1 811       1 362        3 173    
   1 Mines managed on behalf of and supplying their entire production to Eskom in terms of contractual agreements.
   2 Net operating profit includes pre-tax impairment of the carrying value of goodwill recognised on the acquisition 
     of TCSA of R1 524 million and the reductants operation property, plant and equipment of R225 million in 2H15.

4. FINANCIAL AND OPERATIONAL EXCELLENCE
   4.1. Group financial results
   4.1.1. Revenue and net operating profit 
          Consolidated group revenue increased by 17% to R9 762 million (1H15: R8 324 million), while group net 
          operating profit increased by 19% to R2 159 million (1H15: R1 811 million) mainly due to higher sales volumes 
          from the coal operations.

          An average spot exchange rate of R15,39 to the US dollar was recorded for 1H16, compared to R11,91 in 1H15.

   4.1.2. Earnings attributable to owners of the parent 
          Earnings, which include Exxaro?s equity-accounted investments in associates and joint ventures, were R1 285
          million (1H15: R1 167 million) or 362 cents earnings per share (1H15: 329 cents), an increase of 10%.

          Headline earnings were 2% higher at R1 096 million (1H15: R1 077 million) or 309 cents per share (1H15: 303 
          cents per share). 

   4.1.3. Cash flow and funding
          Cash flow generated from operations was R147 million lower at R2 183 million (1H15: R2 330 million). It was used 
          to pay for capital expenditure of R1 172 million, dividends of R304 million, net financing charges of R207 million 
          and taxation of R292 million.

          At R1 172 million, overall capital expenditure increased 17% in 1H16 compared to 1H15, mainly due to Grootegeluk
          backfill and inclusion of Exxaro Coal Central Proprietary Limited (ECC) operation?s capital expenditure in 1H16. 
          A total of R179 million (1H15: R298 million) was invested in new capacity (expansion capital), and R993 million 
          (1H15: R703 million) was applied to sustaining and environmental capital (stay-in-business capital). Of the funds 
          spent on stay-in-business capital, R259 million was for GG?s replacement of trucks, shovels and stacker reclaimers. 
          We continue to critically assess our overall project pipeline and the timing of cash flows to prioritise and 
          preserve capital.

          Dividends received of R683 million (1H15: R985 million) were down 31% primarily due to the non-payment of dividends 
          by SIOC for 1H16, lower dividends declared by Tronox (US$0,045 per share per quarter for 1H16; US$0.25 per share 
          per quarter for 1H15), offset by a dividend declared by our Mafube joint venture with Anglo South Africa Capital 
          Proprietary Limited of R450 million (1H15: nil). 

   4.1.4. Debt exposure
          Net debt at 30 June 2016 was R2 278 million compared to the net cash position of R55 million at 30 June 2015, 
          reflecting a prudent net debt to equity ratio of 6,5% (at 30 June 2015: net cash to equity ratio of 0,2%). 

          Subsequent to 30 June 2016, we have refinanced the group?s R8 billion debt facilities made up of three tranches:
          - R3,25 billion bullet term loan facility with a term of five years
          - R2,75 billion revolving credit facility with a term of five years
          - R2 billion amortised term loan facility with a term of seven years.

          The interest rate achieved is higher than the previous facility, however, we are pleased that the covenant terms
          are more favourable with the net debt EBITDA cover ratio increasing from 2,5 times to 3,0 times. Included in the 
          facility is the option for Exxaro to increase the facility to R10 billion, subject to the relevant credit approvals.

   Table 3: Unreviewed coal production and sales volumes (?000 tonnes)
                                                 Production (Re-presented)                       Sales (Re-presented)
                                          6 months       6 months    12 months          6 months          6 months    12 months    
                                           ended            ended        ended            ended              ended        ended    
                                   30 June    30 June      31 Dec       31 Dec     30 June     30 June      31 Dec       31 Dec    
                                      2016       2015        2015         2015        2016        2015        2015         2015    
   Thermal                          20 431     18 579      22 521       41 100      21 161      19 339      22 807       42 146    
   - Tied                            3 966      4 181       5 079        9 260       3 961       4 181       5 089        9 270    
   - Commercial: domestic (1)       16 465     14 398      17 442       31 840      13 116      12 770      13 924       26 694    
   - Commercial: export                                                              4 084       2 388       3 794        6 182    
   Metallurgical                       970        923         933        1 856         738         697         644        1 341    
   - Commercial: domestic              970        923         933        1 856         738         697         644        1 341    
   Total coal                       21 401     19 502      23 454       42 956      21 899      20 036      23 451       43 487    
   Semi-coke                             1         35          13           48          12          35          14           49    
   Total coal (excluding buy-ins)   21 402     19 537      23 467       43 004      21 911      20 071      23 465       43 536    
   Thermal buy-ins (1)                 577        559         663        1 222                                                     
   Total coal (including buy-ins)   21 979     20 096      24 130       44 226      21 911      20 071      23 465       43 536    
   1 Mafube trading division buy-ins of 866kt  from Mafube JV are included under Thermal coal production and prior periods have 
     been re-presented from buy-ins to thermal coal production (1H15: 482kt; 2H15: 665kt).

   4.2. Coal business performance
        Domestic trading conditions remained challenging in 1H16. The metals and reductants markets remained under pressure due 
        to lower priced Chinese imports, weak demand and lower international metals prices.

        Despite an oversupplied coal export market, we recorded good demand for all our export coal. Export volumes rose 71% from 
        2,4Mt to 4,1Mt mainly due to additional volumes from ECC which is included for six months in 1H16 and not included in 
        1H15 as it was acquired in 2H15.

   4.2.1. Production and sales volumes
          Overall coal production volumes (excluding buy-ins from other suppliers) of 21,4Mt were 1,9Mt (10%) higher than the 19,5Mt 
          in 1H15 mainly due to the inclusion of ECC production (2,0Mt). This, amongst other factors, contributed to 1,9Mt higher 
          sales (9%).

   4.2.1.1. Metallurgical coal
            Grootegeluk (GG) production increased by 47kt (5%) as the Grootegeluk plant 8 (GG8) gantry, which had failed in December 
            2014 was brought back online. The gantry failure resulted in metallurgical coal to be substituted for power station coal 
            in 1H15.

            Sales increased by 41kt (6%) on the back of higher demand from local customers and marginally higher off-take by
            ArcelorMittal. 

   4.2.1.2. Thermal coal
            Tied mines
            Power station coal production was 215kt (5%) lower than 1H15, mainly due to no 1H16 production at Arnot (1H15: 746kt) as 
            a result of Eskom giving us notice of termination of the contract on 31 December 2015, partially offset by 531kt (15%) 
            higher production at Matla due to good cutting rates at mine 2.

            Commercial mines
            Power station coal production was 223kt (2%) higher compared to 1H15, mainly due to the higher power station coal production 
            at GG (123kt), better equipment availability at NBC (44kt) and higher demand at Leeuwpan (56kt). 

            Domestic power station coal sales were 227kt (2%) lower than in 1H15, mainly due to lower Leeuwpan sales (413kt) due to the 
            expiry of the Eskom coal supply agreement to Majuba power station on 31 March 2016, partly offset by higher GG (64kt) and 
            NBC (122kt) sales on the back of stronger Eskom demand.

            Steam coal production was 1 844kt (76%) higher due to the inclusion of ECC (2 021kt) in 1H16 partly offset by no production 
            from Inyanda (1H15: 535kt) as the mine reached its end of life in 4Q15 and lower Leeuwpan plant production (114kt). Domestic 
            steam coal sales increased by 572kt (44%) mainly due to the inclusion of ECC (189kt), and higher Leeuwpan (187kt) and GG 
            (145kt) sales.

            Steam coal export sales were 1 696kt (71%) higher, also due to the inclusion of ECC in 1H16.

   4.2.2. Logistics
          Transnet Freight Rail (TFR) export rail performance from Mpumalanga was favourable in 2Q16, however, the export rail flow from 
          the Waterberg remains a challenge, primarily due to crew unavailability and to a lesser extent network and locomotives issues. 
          We expect that this rail flow will achieve the required levels during 2H16. This will be achieved through renewed commitment 
          from TFR.

          We have utilised the Exxaro RBCT entitlement in full, with own production and leasing out excess entitlement to a third party. 

   4.2.3. Markets
          In the export market, our product mix has changed from being primarily an RB1 product mix to a lower value product mix of RB3, 
          mainly due to the inclusion of ECC. This led to our export market shifting from Europe to mainly Asia, dominated by India. This 
          trend is expected to continue in future.

   4.2.4. Revenue and net operating profit or loss
          Coal revenue of R9 718 million was 18% higher than in 1H15, mainly due higher sales volumes as a result of the inclusion of ECC, 
          offset by lower volumes from the closure of Inyanda and Arnot.

          Net operating profit of R2 232 million represents an increase of 34%, at an operating margin of 23%, when compared to 1H15, 
          mainly due to:
          - Inclusion of ECC (+R110 million)
          - Exchange rate variances due to the weakening of the rand against the US$ (+R166 million)
          - Lower cost per tonne and lower distribution costs (+R522m) in line with the operational excellence drive
          - Lower price paid for the Mafube JV buy-ins (+R281 million) as a result of a change in the pricing mechanism from a cost-plus 
            method to one linked to the API4 price performance.

          Partly offset by: 
          - Lower overall sales prices realised (-R249 million)
          - Inflation (-R117 million)
          - Higher depreciation (-R123 million) due to the higher asset base (GG7&8 and backfill)
          - No contribution from Inyanda as it ceased production in 2H15 (-R157 million)
          - Higher environmental rehabilitation expense (-R51 million), mainly due to the revision of the water liability estimate.

   4.2.5. Equity-accounted investment
          Mafube joint venture equity-accounted income decreased by 36% due to a change in the pricing mechanism between the joint venture 
          partners (Anglo and Exxaro) from a cost plus percentage to a price linked to the API4 price index. The investment in RBCT was 
          previously accounted for as an available-for-sale financial asset with fair value adjustments accounted for in equity. This 
          accounting treatment has since changed to an investment in associate. The change in classification is due to the increased 
          shareholding in RBCT obtained through the acquisition of ECC in 2H15. We also restructured our shareholding in SDCT by exiting SDCT 
          for a direct interest in RBCT. The restructuring resulted in a R203 million gain on the disposal of SDCT and a R35 million excess 
          of fair value over cost of the investment in RBCT on the increase in shareholding of RBCT shares.

   4.2.6. Portfolio improvement
          Project details were included in the finance director?s pre-close message published on the Stock Exchange News Service (SENS) on 
          28 June 2016. The details below include further developments since then.

   4.2.6.1. Eskom contracts
            All production at Arnot mine has ceased and the mine equipment has been reclaimed from the underground sections. Consultation with 
            employees, in terms of section 189 of the Labour Relations Act (section 189), is complete. We continue our discussions with Eskom 
            to ensure full provision for the rehabilitation funds, mine closure costs and post mine closure costs in terms of the NEMA 
            regulations, as stipulated in the coal supply agreement (CSA).

            Large capital projects at Matla await approval from Eskom, with mine 1 on care-and-maintenance. In the meantime, the remaining mine 
            shafts (mine 2 and mine 3) are expected to produce 4,3Mt for 2H16 (FY16: 8,3Mt) against contractual volumes of 10,1Mt for FY16. We 
            continue to engage Eskom to provide the required capital funding which will improve performance. Alternatively, we will be considering 
            available recourse in terms of the CSA.  

   4.2.6.2. Belfast
            The suspension imposed on our water use licence (IWUL) was set aside by the Department of Water and Sanitation (DWS). Any appeal 
            could result in a delay in the project timelines by about one year. The designated mine area could also still be impacted by objections 
            and future appeals.

   4.2.6.3. Grootegeluk rapid load out station
            The detail design-phase is progressing well. The first construction package for early works will be issued to the market later in 
            August 2016, with construction set to start in November 2016 if no appeals are lodged. Major construction is envisaged to start  
            in 1Q17.

   4.2.6.4. GG10
            Project construction was completed on 10 June 2016. The project is currently in commissioning and ramp-up phase. The project was 
            completed on budget and on time. Previous guidance of up to 1Mtpa now confirmed at 750Ktpa.

   4.2.6.5. GG6 Phase 2
            The project is progressing well within the detail design phase. A value engineering exercise has been completed on the project and 
            the project will be presented to the Exxaro board in November 2016 for a final investment decision.

   4.2.6.6. Thabametsi Phase 1
            The Thabametsi mining right has been granted and executed. Both the IWUL and environmental impact assessment (EIA) have been granted, 
            but the EIA has been appealed by neighbouring farmers. The only outstanding authorisation is the protected tree permit, which is 
            expected soon.

            The Department of Energy (DME) is expected to announce the successful Coal Independent Power Producer Procurement (CIPPP) programme 
            window 1 bidders in 3Q16. If successful, Exxaro, in a venture with Marubeni of Japan and Korea Electric Power Corporation (KEPCO), would 
            enter into a definitive Coal Supply Agreement.

   4.3. Ferrous business
   4.3.1. Net operating loss
          Net operating losses increased by 10% from R48 million in 1H15 to R53 million in 1H16, mainly due to the losses in the FerroAlloys business 
          as a result of lower off-take at FerroAlloys from Kumba Iron Ore Limited (KIO).

   4.3.2. Equity-accounted investments
          The improvement in the iron ore price, coupled with cost reductions resulting from the new Sishen mine plan, contributed to the increased 
          equity-accounted income from the SIOC investment, from R633 million in 1H15 to R736 million in 1H16. No dividends were received from SIOC 
          in 1H16 (1H15: R673 million).

          We continue to assess our options regarding this investment, following the announcement by Anglo American plc of its intention to potentially 
          divest of its interest in KIO (SIOC?s parent company).

   4.3.3. Portfolio improvement
          Project details were included in the finance director?s pre-close message published on the SENS on 28 June 2016. The details below include 
          further developments since then.

          The Mayoko iron ore project which has been under care and maintenance, has been classified as an asset held-for-sale. The Exxaro board 
          approved the divestment from the project, and in July 2016, an agreement was entered into with a Congolese consortium for the sale of shares 
          of the legal entities that house the project for a purchase consideration of US$2 million. The sale is subject to conditions precedent, such 
          as regulatory approvals to the sale of shares.


   Table 4: Equity-accounted investments (Rm)
                                    Equity-accounted income/(loss)                        Exxaro?s share of dividends received
                               6 months            6 months      12 months            6 months              6 months      12 months    
                                ended                 ended          ended              ended                  ended          ended    
                        30 June       30 June        31 Dec         31 Dec       30 June       30 June        31 Dec         31 Dec    
                           2016          2015          2015           2015          2016          2015          2015           2015    
   SIOC                     736           633          (529)           104                         673                          673    
   Tronox                  (930)         (659)         (844)        (1 503)          233           311           357            668    
   Black Mountain            39             9            55             64                                                             
   Mafube                    84           132           121            253           450                                               
   Cennergi                  37           (32)          (21)           (53)                                                            
   RBCT                      25                          (4)            (4)                                                            
   SDCT                                                   2              2                                                             
   Total                     (9)           83        (1 220)        (1 137)          683           984           357          1 341    



   4.4. Titanium dioxide and Alkali chemicals
   4.4.1. Equity-accounted investment
          Equity-accounted losses from the Tronox investment were R930 million compared to R659 million in 1H15, mainly due to a 31% weakening of the 
          average rand/US$ rate realised (1H16: R15,56, 1H15: R11,84) and higher tax expense due to deferred tax liabilities being fully amortised at 
          the end of 2015.

          Tronox continued its dividend declaration. Our share of dividends received decreased to R233 million compared to 1H15.

          We are assessing our investment in Tronox, taking into consideration the prognosis for the global TiO2 industry as well as the impact of 
          Tronox?s equity-accounted losses on Exxaro?s earnings. 

   4.5. Energy business
   4.5.1. Equity-accounted investment
          Cennergi, a 50% joint venture with Tata Power Company Limited, has recorded equity-accounted gains of R37 million for 1H16 (1H15: R32 million 
          loss) mainly due to the projects generating deemed energy income following the successful connection of Tsitsikamma Community Wind Farm (TCWF) 
          and Amakhala Emoyeni (AE) to the Eskom grid in April and June 2016, respectively. TCWF reached commercial operation status in July 2016 and it 
          is expected that AE will reach commercial operation during 2H16. The two wind-farm projects will deliver a total of 229MW to the grid by 
          year-end, on time and within budget.

5. BROAD-BASED BLACK ECONOMIC EMPOWERMENT
   Since the pre-close message on SENS on 28 June 2016, progress has been made on unwinding the current BEE structure.

   To prepare for the unwinding of the group?s current BEE structure in November 2016, a task team is focusing on unwinding the existing structure as well 
   as a possible replacement transaction. We have constituted a board sub-committee to ensure proper governance and that this takes place in a coordinated 
   manner to minimise the impact on all shareholders. A replacement BEE transaction as well as a potential buy-back of Exxaro shares could mitigate the 
   impact of unwinding.

   It is likely that a replacement BEE transaction will be less than 50% BEE. We are engaging with our existing BEE shareholders as the ultimate size of a 
   replacement transaction will depend on the size of  their level of reinvestment

   Developing a future structure has also been complicated by uncertainties surrounding the new draft mining charter, which for instance, prescribes 
   empowerment at the mining right level as well as a minimum community and employee participation of 5% each. 

6. MINERAL RESOURCES AND RESERVES
   There are no material changes to mineral resources and reserves except for production related depletion. The cautionary statements that were presented 
   in the 2015 consolidated mineral resources and reserves report remain applicable, until conclusion of the 2016 reserve estimation process.

7. MINING AND PROSPECTING RIGHTS
   The mining right for Thabametsi was granted and subsequently executed in June 2016.

   In December 2015, a sale and purchase agreement was concluded for the Inyanda assets and liabilities (including the mining rights, plant assets and 
   a private rail siding). The sale is subject to conditions precedent, including the section 11 transfer of mining rights under the Mineral and 
   Petroleum Resources Development Act (MPRDA). The conditions precedent remain outstanding.
             
   A section 102 of the MPRDA for the inclusion of the Forzando West prospecting right into the Forzando South mining right was granted in May 2016. 

8. OUTLOOK
   We expect an improvement in the coal business? performance in 2H16, compared to 2H15 mainly due to: 
   - Stable trading conditions in domestic markets. Our focus remains on both product and market diversification
   - The positive impact from the inclusion of ECC in the portfolio for the whole of FY16 and ongoing optimisation of ECC operations 
   - Improving thermal coal price outlook
   - Increase in sales from Grootegeluk and Matla, compensating for the cessation in coal supply from Arnot and Inyanda mines.

   We expect that 2H16 domestic thermal volumes will remain at current healthy levels. Volumes in the metals markets will reduce as ArcelorMittal ceased 
   production at its market coke battery in Newcastle for emergency maintenance. This is expected to persist until 1Q17.

   Export markets depend heavily on demand from India for lower-quality coal products, while pricing is expected to remain flat.  Further growth is 
   expected in the African, Pakistani and South East-Asian markets, and the company is well positioned with a strong product mix to supply these 
   markets. 

   The performance of the investment portfolio (SIOC and Tronox) will be highly influenced by the iron ore and pigment prices realised in the period, as 
   well as the success of the ongoing cost optimisation efforts in these businesses.

   Weak global economic growth, low commodity prices, constrained household finances, rising inflation and interest rates, and a South African annual 
   economic growth rate of near zero are likely to hamper economic activity for the remainder of 2016. The sustainability of current price levels in the 
   international market and the volatility of the rand/US$ exchange rate remain risks to our outlook. Collective efforts by government, business and labour 
   deferred a sovereign rating downgrade, but the outlook remains negative. Exxaro will focus on what is in its control by ensuring our operations are 
   efficient and focusing on further planned investment in mining and energy-related projects (including the Thabametsi and Belfast projects).   

   The BREXIT referendum result has created uncertainties which have direct and indirect trade and GDP impact in emerging economies, including South 
   Africa. We will continue to monitor any potential impact on Exxaro?s business in 2H16.

   Overall, we expect 2H16 global growth will be relatively subdued, in spite of support from moderate policy stimulus in China and some degree of fiscal 
   and monetary easing in advanced economies.

9. INTERIM DIVIDEND
   Our dividend policy is based on a cover ratio of between 2,5 and 3,5 times core attributable earnings. 

   Notice is therefore given that a gross interim cash dividend, number 27, of 90 cents (interim 1H15: 65 cents) per share, for the six-month period ended 
   30 June 2016 was declared, payable to shareholders of ordinary
   shares. For details of the dividend, please refer note 12 of the reviewed condensed group interim financial statements.

   Salient dates for payment of the final dividend are:
   - Last day to trade cum dividend on the JSE                    Tuesday, 6 September 2016
   - First trading day ex dividend on the JSE                   Wednesday, 7 September 2016
   - Record date                                                   Friday, 9 September 2016
   - Payment date                                                 Monday, 12 September 2016.

   No share certificates may be dematerialised or re-materialised between Wednesday, 7 September 2016 and Friday, 9 September 2016, both days inclusive. 
   Dividends for certificated shareholders will be transferred electronically to their bank accounts on payment date. Shareholders who hold dematerialised 
   shares will have their accounts at their central securities depository participant or broker credited on Monday, 12 September 2016.

10. CHANGES TO THE BOARD
    Mr RP (Rick) Mohring, an independent non-executive director of Exxaro, passed away on 14 March 2016. The board expressed its sincere condolences to 
    Rick?s family and appreciation for his tireless and dedicated service to Exxaro. 

    Mr WA (Wim) de Klerk resigned as finance director effective 30 June 2016. He served Exxaro and its predecessors with distinction and the board 
    expressed its appreciation for his dedication and commitment during his tenure.  

    On 1 July 2016, Mr PA (Riaan) Koppeschaar was appointed as finance director and Mr PCCH (Peet) Snyders and EJ (Ras) Myburgh (with effect from 
    1 September 2016) as independent non-executive directors. The board welcomes these new members and looks forward to their contribution in future.

11. GENERAL
    Additional information on financial and operational results for the six-month period ended 30 June 2016, and the accompanying presentation can be accessed 
    on our website on www.exxaro.com.


On behalf of the board

Len Konar            Mxolisi Mgojo                      Riaan Koppeschaar
Chairman             Chief executive Officer            Finance director

17 August 2016


ANNEXURE: Acronyms

 ArcelorMittal    ArcelorMittal South Africa Limited
 API4             Benchmark price reference for RBI export coal
 BEE              Black Economic Empowerment
 Black Mountain   Black Mountain Proprietary Limited
 Cennergi         Cennergi Proprietary Limited
 CFR              Cost and Freight
 Chifeng          Chifeng Kumba Hongye Corporation Limited
 CIF              Cost, insurance and freight
 CIPPP            Coal Independent Power Producer Procurement
 COP              Conference of Parties
 Cps              cents per share
 CSA              Coal supply agreement
 DCM              Dorstfontein Coal Mine
 DCME             Dorstfontein coal mine east
 DCMW             Dorstfontein coal mine west
 DEA              Department of Environmental Affairs
 DME              Department of Mineral and Energy
 DMR              Department of Mineral Resources
 DMTN             Domestic Medium Term Note
 DRCM             Decommissioning, reclamation, care and maintenance
 DWS              Department of Water and Sanitation
 EBIT             Earnings before interest and tax
 EBITDA           Earnings before interest, tax, depreciation and amortisation
 ECC              Exxaro Coal Central Proprietary Limited
 EIA              Environmental impact assessment
 EMJV             Ermelo joint venture
 ESG              Environmental, social and governance
 FeCr             FerroChrome
 FOB              Free on board
 GDP              Gross domestic product
 Good leaver      A participant to a share-based payment scheme whose employment 
                  has been terminated due to retrenchment, retirement, death, serious 
                  disability, serious incapacity or promotion out of the relevant 
                  qualification category as defined internally by the remuneration 
                  and nominations committee      
 GG               Grootegeluk
 GMEP             Grootegeluk Medupi expansion project
 HEPS             Headline earnings per share
 IAS              International Accounting Standards
 IASB             International Accounting Standards Board
 IFRS             International Financial Reporting Standards
 IPP              Independent power producer
 JIBAR            Johannesburg Interbank Average Rate
 JSE              JSE Limited
 kcal             kilocalorie
 KEPCO            Korea Electric Power Corporation
 KIO              Kumba Iron Ore Limited
 kt               kilo tonnes
 LED              Local Economic Development
 LME              London Metal Exchange
 LOM              Life of Mine
 LTIFR            Lost-time injury frequency rate
 Mafube           Mafube Coal Proprietary Limited
 Main Street 333  Main Street 333 Proprietary Limited (RF) controlling shareholder
 MPRDA            Mineral and Petroleum Resources Development Act
 Mpower 2012      Exxaro Employee Empowerment Trust
 Mt               Million tonnes
 Mtpa             Million tonnes per annum
 MW               Megawatt
 NBC              North Block Complex
 NCC              New Clydesdale Colliery
 NEMA             National Environmental Management Act No 107 of 1998
 NOP              Net operating profit
 NPV              Net present value
 OCI              Other comprehensive income
 OE               Operational excellence
 PPA              Purchase Price Allocation
 ppi              Purchase price index
 Rb               Rand billion
 RB1              6000 kcal/kg thermal coal
 RB3              5500 kcal/kg thermal coal
 RBCT             Richards Bay Coal Terminal Proprietary Limited
 PRC              People?s Republic of China
 Rm               Rand million
 RMB              Chinese Renminbi
 RoC              Republic of Congo
 SAICA            South African Institute of Chartered Accountants
 SARS             South African Revenue Service
 SDCT             South Dunes Coal Terminal SOC Limited
 SENS             Stock Exchange News Service
 SIOC             Sishen Iron Ore Company Proprietary Limited
 SOC              State-owned Company
 SSCC             Semi-soft coking coal
 TCSA             Total Coal South African Proprietary Limited
 TFR              Transnet Freight Rail
 TiO2             Titanium dioxide
 TIPP1            Thabametsi independent power producer 1
 Tronox           Tronox Limited
 Tronox SA        Tronox KZN Sands Proprietary Limited and Tronox Mineral Sands Proprietary Limited
 Tronox UK        Tronox Sands Limited Liability Partnership in the United Kingdom
 UHDMS            Ultra high dense medium separator
 US$              United States dollar
 VAT              Value Added Tax
 WACC             Weighted average cost of capital
 ZAR              South African rand
 VSP              Voluntary severence packages

 
CORPORATE INFORMATION
Registered office
Exxaro Resources Limited
Roger Dyason Road
Pretoria West, 0183
Tel: +27 12 307 5000
Fax: +27 12 323 3400

This report is available at: www.exxaro.com

DIRECTORS
MW Hlahla**, Dr D Konar*** (chairman), S Mayet**, MDM Mgojo* (chief executive officer), 
PA Koppeschaar* (finance director), S Dakile-Hlongwane***, Dr CJ Fauconnier***, 
V Nkonyeni***, VZ Mntambo**, Dr MF Randera**, 
J van Rooyen***, PCCH Snyders***, D Zihlangu ***

*Executive 
**Non-executive 
***Independent non-executive

Prepared under supervision of: 
PA Koppeschaar CA(SA)
SAICA registration number: 00038621

Group company secretary 
CH Wessels (+27 12 307 4384)

Transfer secretaries
Computershare Investor 
Services Proprietary Limited
Ground Floor
70 Marshall Street
Johannesburg, 2001
PO Box 61051
Marshalltown, 2107

Investor relations 
MI Mthenjane (+27 12 307 7393)

Sponsor
Absa Bank Limited (acting through its Corporate and Investment Bank Division) 
Tel: +27 11 895 6000

If you have any queries regarding your shareholding in Exxaro Resources Limited, please contact the transfer
secretaries at +27 11 370 5000.

Disclaimer
The operational and financial information on which any outlook or forecast statements are based has not been reviewed 
nor reported on by the external auditors. These forward-looking statements are based on management?s current beliefs 
and expectations and are subject to uncertainty and changes in circumstances. The forward-looking statements involve 
risks that may affect the group?s operational and financial information. Exxaro undertakes no obligation to update or 
reverse any forward-looking statements, whether as a result of new information or future developments.

Where relevant, comments exclude transactions which make the results not comparable. These exclusions are the 
responsibility of the group's board of directors and have been presented to illustrate the impact of these transactions 
on the core operations? performance and hence may not fairly present the group?s financial position, changes in equity, 
results of operations or cash flows. These exclusions have not been reviewed nor reported on by the group?s external 
auditors. 


Date: 18/08/2016 07:09:00 Supplied by www.sharenet.co.za                     
Produced by the JSE SENS Department                             . The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
 the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, 
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
 information disseminated through SENS.


                                        
Email this JSE Sens Item to a Friend.

Send e-mail to
© 2017 SHARENET (PTY) Ltd, Cape Town, South Africa
Home     Terms & conditions    Privacy Policy
    Security Notice    Contact Details
Market Statistics are calculated by Sharenet and are therefore not the official JSE Market Statistics. The calculation/derivation may include underlying JSE data.