Palabora Mining Co Ltd - PRODUCTION SHAFT GUIDE ROPE FAILURE

PALABORA MINING COMPANY LIMITED
(Incorporated in the Republic of South Africa)
Registration number a'' 1956/002134/06
JSE Code: PAM         ISIN: ZAE000005245
(a''Palaboraa'' or a''the Companya'')

PRODUCTION SHAFT GUIDE ROPE FAILURE


Shareholders are advised that there was an incident at Palabora on Wednesday, 4
July 2012, which resulted in damage to the ore hoisting system. Most importantly,
there were no injuries as a result of the failure.


The incident occurred when a new ore-hoisting-shaft guide rope failed whilst it was
being installed for operation and the failure resulted in damage to the skip loading
station at the base of the shaft. At this point in time, the Company is unable to
provide any further detail as to the extent of the damage or the time needed to bring
production back on line. The second shaft at Palabora, the services shaft, is fully
operational and continues to allow access to the underground workings.


Palabora has initiated both an investigation and recovery actions that are in accord
with our Business Resilience & Recovery Management Plan to ensure that the shaft
is brought back into action in a safe and timely manner.


Shareholders will be kept informed of developments and potential effects on the
Company.




Phalaborwa
5 July 2012

Sponsor
One Capital


For further information, please contact:

Dikeledi Nakene, CFO
Office: +27 (0) 15 780 2277

Date: 05/07/2012 05:10:00 Supplied by www.sharenet.co.za                     
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