SIBANYE GOLD LIMITED - Agreement Reached at Beatrix West Section

Agreement Reached at Beatrix West Section

Sibanye Gold Limited
Incorporated in the Republic of South Africa
Registration number 2002/031431/06
Share code: SGL
ISIN – ZAE000173951
Issuer code: SGL
(“Sibanye Gold” or “the Company”)

Agreement Reached at Beatrix West Section
.
Westonaria, 29 May 2013: Sibanye Gold Limited (JSE: SGL & NYSE:
SBGL) is pleased to report that agreement has been reached with
employees and organised labour on the future of its Beatrix West
Section, following the consultation process which began on 2
April 2013.

The Section 189 process is specifically focused on finding
alternatives to closure and to extending employment to those
effected for as long as possible. Although alternatives to the
eventual termination of operations have not been found, as a
result of a concerted production effort by the Beatrix West team,
job losses have largely been limited to development employees,
thereby providing continuing employment to stoping employees for
longer. This arrangement will remain in force as long as the
Beatrix West Section operates profitably and has stope face to
mine.

In this regard, on the 28 May 2013 Sibanye Gold concluded an
agreement with organised labour and non-unionised employees to
implement a number of measures aimed at temporarily returning the
Beatrix West section to profitability. Management has agreed to
keep this section open for as long as it remains profitable.

These avoidance measures include, inter alia:
   - stopping development at Beatrix West Section, which will
     affect approximately 330 employees; and
   - approximately 780 over-complement positions being reduced at
     the Beatrix Operations as a whole.

The Company will however, continue to try and limit job losses
and will attempt to accommodate these employees elsewhere in the
organisation, where possible.

If, as a result of the section 189 process, retrenchments become
necessary at any point, such retrenchments will apply in respect
of Beatrix West Section only, so as to minimise disruption, job
loss and further financial losses on the other sections of the
Beatrix operations.

The process will not invalidate or suspend the existing Section
189 consultation process and will be an extension of the time
periods originally set out in the Section 189 letter issued on 2
April 2013.

Neal Froneman, CEO of Sibanye Gold, commented that the process
had proceeded in a mature manner with management, organised
labour, non-unionised employees and all stakeholders contributing
positively to the negotiation process and the unfortunate
commercial realities.


Contact

James Wellsted
Head of Corporate Affairs
Sibanye Gold Limited
+27 83 453 4014
james.wellsted@sibanyegold.co.za


Sponsor:
J.P. Morgan Equities South Africa (Pty) Ltd

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