EXXARO RESOURCES LIMITED - EXX: Business Continuity and Crisis Management During The Lockdown Period.

EXX: Business Continuity and Crisis Management During The Lockdown Period.

EXXARO RESOURCES LIMITED
Incorporated in the Republic of South Africa
(Registration Number: 2000/011076/06)
JSE share code: EXX
ISIN code: ZAE000084992
ADR code: EXXAY
(“Exxaro” or “the Company”)


BUSINESS CONTINUITY AND CRISIS MANAGEMENT PLANS DURING THE
LOCKDOWN PERIOD

Shareholders are advised that in line with South Africa’s national state of disaster, and
the lockdown which commenced at midnight, Thursday 26th March 2020 and which
lasts to midnight on Thursday 16th April 2020, the Company deemed it appropriate to
make a statement regarding the actions that Exxaro is taking to ensure business
continuity, crisis management and the mitigation of health and business risks during
this period.

This decisive action by both the public and private sector is necessary to fundamentally
disrupt the chain of transmission across the country. Exxaro has undertaken to act
responsibly and to do its part in preventing further spread of the virus. Therefore, the
Company has implemented its Crisis Management Plan (CMP) and Business
Continuity Plan (BCP) across the breadth of its businesses that includes Health and
Safety controls and preventative measures to be implemented immediately.

These measures are necessary to sustain our business in order to ensure that we
continue to serve stakeholders, as well as protect and support employees and their
families. Additionally, it is important to recognize the impact on the South African
economy and the cumulative negative impact of this lockdown.

Key considerations for this lockdown period include the following business and disease
prevention guidelines from the Department of Mineral Resources and Energy Minister,
Mr Gwede Mantashe:

    The need for energy security to ensure the availability of essential services during
    the lockdown and hence we will maintain our coal supplies to Eskom and other
    energy generating customers.
    The need to minimize the economic impact of the lockdown by continuing with the
    generation of foreign exchange which will provide the financial capacity for the state
    to respond to the crisis by continuing, to the extent it is possible, with our coal
    exports to offshore customers. However, this will be subject to Covid-19 responses
    in those markets which may prevent the delivery of coal; and
    The above production activities to be carried out with the minimum staff levels in
    order to maintain the guidelines of social distancing and safe health practices to
    prevent the transmission of the corona virus both inside and outside work areas.

Exxaro will be able to continue with its production activities subject to the approval of
an application that demonstrates that these activities are essential and that the
necessary measures have been taken to prevent possible corona virus infections.

The Company head office, the Connexxion is closed as of 26th March 2020 and most
employees have been enabled to work from home. Arrangements are in place for
business continuity and necessary protocols have been activated across all Operations
and Business Units ensuring efficient and safe ways of working. Additional
preventative disease transmission protocols have been implemented in all coal mining
operations.

Exxaro is closely monitoring all updates and advice from relevant organisations,
including the National Department of Health, the Department of Minerals Resources
and Energy and Minerals Council South Africa.

Additionally, all essential operating teams are working across the organisation and
together with key stakeholders to continuously assess the situation. This is a rapidly
evolving situation and the Company will keep shareholders updated.

SE VAN LOGGERENBERG
GROUP COMPANY SECRETARY

27 March 2020

Sponsor
Absa Bank Limited, acting through its Corporate and Investment Banking Division

Date: 27-03-2020 11:03:00
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