Exxaro - Unbundling of Kumba - apportionment of cost for tax purposes

Exxaro - Unbundling of Kumba - apportionment of cost for tax purposes           
Exxaro Resources Limited                                                        
(Previously Kumba Resources Limited ("Kumba"))                                  
(Incorporated in the Republic of South Africa)                                  
(Registration number: 2000/011076/06)                                           
(Share code: EXX) & (ISIN: ZAE000084992)                                        
("Exxaro" or "the company")                                                     
Unbundling of Kumba Iron Ore Limited - apportionment of cost for tax purposes   
1. Introduction                                                                 
Exxaro shareholders are referred to the circular dated 9 October 2006           
("circular") relating to, inter alia, the unbundling of Kumba Iron Ore Limited  
("Kumba Iron Ore"), and are advised that, in terms of the unbundling, Kumba Iron
Ore shares commenced trade on the JSE Limited ("JSE") with effect from the      
opening of business on Monday, 20 November 2006.  The company"s name has been   
changed to "Exxaro Resources Limited" and this change of name became effective  
on the JSE with effect from Monday, 27 November 2006.                           
The purpose of this announcement is to notify Exxaro shareholders of the ratio  
to be used in the apportionment for tax purposes of the cost of a Kumba share   
between the Exxaro share after the unbundling ("Exxaro share") and the Kumba    
Iron Ore share received in terms of the unbundling ("Kumba Iron Ore share").  A 
summary of the South African tax considerations was set out in the circular.    
2. Apportionment ratio                                                          
The ratio of the respective market values of an Exxaro share and a Kumba Iron   
Ore share on the JSE as at 17:00 on Tuesday, 28 November 2006 was 31.92%        
relating to an Exxaro share and 68.08% relating to a Kumba Iron Ore share ("the 
apportionment ratio").                                                          
The apportionment ratio is to be used to apportion the cost of a Kumba share    
between an Exxaro share and a Kumba Iron Ore share for the determination of     
profits and losses, of a capital and trading nature, derived on any future      
disposals of Exxaro shares or Kumba Iron Ore shares.                            
Pretoria                                                                        
29 November 2006                                                                
Merchant bank and joint sponsor                                                 
RAND MERCHANT BANK (A division of FirstRand Bank Limited)                       
Lead sponsor                                                                    
JP Morgan Equities Limited                                                      
Date: 29/11/2006 01:57:21 PM Supplied by www.sharenet.co.za                     
Produced by the JSE SENS Department