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ANGLO AMERICAN PLAT LTD - Anglo American Platinum Limited Production Report for the second quarter ended 30 June 2014

Release Date: 17/07/2014 08:00
Code(s): AMS     PDF:  
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Anglo American Platinum Limited Production Report for the second quarter ended 30 June 2014

ANGLO PLATINUM LIMITED
Incorporated in the Republic of South Africa
Registration number 1946/022452/06
Share code: AMS
ISIN: ZAE000013181

17 JULY 2014

NEWS RELEASE

ANGLO AMERICAN PLATINUM LIMITED
PRODUCTION REPORT FOR THE SECOND QUARTER ENDED 30 JUNE 2014

OVERVIEW

-   A three-year wage agreement reached on 24 June 2014; brought to an end the 5 month long legal industrial action.
-   Platinum equivalent refined production decreased by 40% to 358,200 ounces
-   Rustenburg, Amandelbult and Union production severely impacted by industrial action
-   Record production performance from Mogalakwena and Joint Venture operations
-   Processing operations were not affected by the industrial action and refined platinum production remained in line with Q2 2013,
    supplemented by a reduction in the pipeline stock
-   Sales to customers continued at normal levels, supplemented by refined platinum stock

REVIEW OF THE QUARTER

Total equivalent refined platinum production decreased by 40% to 358 koz, primarily due to the industrial action, which began on 23 January
2014, affecting the Rustenburg, Amandelbult and Union mines in South Africa. The industrial action concluded on 24 June 2014 and
employees returned to work on 25 June 2014. The total platinum ounces lost due to the industrial action for the second quarter was 239 koz.
The total lost production from the industrial action during H1 2014 was 424 koz and a further 16 koz has been lost during the ramp up of
operations as “safe return to work” procedures are undertaken before mining can commence. In addition, second quarter production was 43.7
koz less due to the consolidation of mine at Rustenburg and Union as part of the restructuring during 2013.

The industrial action has not impacted production at the Mogalakwena and Unki mines or the majority of the joint operations and associates.
Mogalakwena mine’s production increased by 23% to 95.6 koz, due to higher achieved 4E(1) built-up head grade and increased concentrator
throughput which was supported by mining productivity improvements. The Unki mine production was constant at 15 koz.

Underground mining performance reflected the effect of the industrial action. At Amandelbult, output decreased to 14 koz, a decline of 84%;
Rustenburg (excluding Western Limb Tailings Retreatment) decreased to 13 koz, a decline of 91%; and Union fell to 4 koz, a decline of 91%.
Production was also impacted by the shaft closures at Rustenburg and Union mines.

Production from the Joint Venture and associate portfolio increased by 3% to 188 koz. All operations except Modikwa mine delivered
production increases versus 2013. Production at Modikwa mine was impacted in June 2014 by Section 54 safety notices that were issued by
the Department of Mineral Resources post the regrettable fatal incident that occurred on the 3 June 2014.

Refined platinum production decreased by 28% to 421 koz. While the processing operations were not directly impacted by the strike action,
lower mined supply impacted refined production. A drawdown of pipeline inventory helped offset some of the shortfall. Refined production of
palladium decreased by 8%, while refined production of rhodium decreased by 30%. This variance was due to a different source of feed as
certain mines’ supply was impacted by the industrial action and the different processing times of the metals. Refined nickel production
increased by 105% as production in the nickel tank house continues to improve. Nickel and copper matte production in Q2 2013 includes
previously stockpiled matte delivered to third parties for processing.

Sales to both contractual and non-contractual (spot) customers continued at normal levels supplemented by refined platinum stock.

(1) 4E grade is the grade measured as the combined content of the four most valuable precious metals: platinum, palladium, rhodium and gold
(2) Built-up head grade is the total 4E grams produced from the concentrating process from concentrate, metallic (where applicable) and tailings,
    divided by the total tonnes milled.

ANGLO AMERICAN PLATINUM
SECOND QUARTER PRODUCTION REPORT
PERIOD 01 APRIL 2014 TO 30 JUNE 2014

                                                                             Unaudited          Unaudited          Unaudited
                                                                          Quarter ended      Quarter ended     Quarter ended
                                                                           30 June 2014       30 June 2013     31 March 2014
 Attributable equivalent refined Pt production (note 1)  000 oz                     358                594               357
 Own Mines and WLTR                                      000 oz                     157                397               167
 Joint ventures – mined                                  000 oz                      58                 58                60
 Joint ventures and associates – purchased               000 oz                     130                124               123
 Third parties – purchased                               000 oz                      13                 16                12
 Sale of metal in concentrate                            000 oz                       –                  –                -5
 Gross refined production
 Platinum                                                000 oz                     421                582               435
 Palladium                                               000 oz                     295                320               257
 Rhodium                                                 000 oz                      49                 70                61
 Gold                                                    000 oz                      27                 16                25
 PGMs                                                    000 oz                     850              1,101               856
 Nickel – Refined                                        000 tonne                  5.5                3.3               4.9
 Nickel – Matte (note 2)                                 000 tonne                  2.7                5.4               1.4
 Copper – Refined                                        000 tonne                  3.8                1.9               3.2
 Copper – Matte (note 2)                                 000 tonne                  2.3                4.1               1.2
 Pt from: Mining                                         000 oz                     278                443               317
          Purchase of concentrate                        000 oz                     142                139               119
          Toll refining (note 3)                         000 oz                       –                  –                 –
 Total operations
 Tonnes milled                                           000 tonne                6,783             10,330             6,702
 Grade (4E)                                              g/t                       2.77               3.24              2.86
 Merensky milled                                         %                            1                 11                 3
 Equivalent refined production                           000 oz                     358                594               357
 Rustenburg operations excl WLTR
 Tonnes Milled                                           000 tonne                  337              2,481               454
 Grade (4E)                                              g/t                       2.59               3.78              3.05
 Merensky milled                                         %                            2                 34                20
 Equivalent refined production                           000 oz                      13                151                22
 Union Mine
 Tonnes Milled                                           000 tonne                  102              1,019               166
 Grade (4E)                                              g/t                       2.72               3.26              2.87
 Merensky milled                                         %                           17                  1                 1
 Equivalent refined production                           000 oz                       4                 47                 7
 Amandelbult operations
 Tonnes Milled                                           000 tonne                  449              1,290               339
 Grade (4E)                                              g/t                       2.07               4.42              3.80
 Merensky milled                                         %                            2                 18                16
 Equivalent refined production                           000 oz                      14                 89                20
 Mogalakwena Mine
 Tonnes Milled                                           000 tonne                3,073              2,639             2,755
 Grade (4E)                                              g/t                       3.00               2.83              3.16
 Equivalent refined production                           000 oz                      96                 78                89
 Unki Platinum Mine
 Tonnes Milled                                           000 tonne                  399                393               378
 Grade (4E)                                              g/t                       3.07               3.45              3.17
 Equivalent refined production                           000 oz                      15                 15                15
 Joint Venture operations – mined (excl POC)
 Tonnes Milled                                           000 tonne                1,173              1,140             1,199
 Grade (4E)                                              g/t                       3.58               3.63              3.58
 Merensky milled                                         %                            3                  –                 3
 Equivalent refined production                           000 oz                      58                 58                60

1 Mine’s production converted to equivalent refined production using Amplats’ standard smelting and refining recoveries
2 Nickel and copper refined through 3rd parties is now shown as production of nickel matte and copper matte
3 Toll refining represents metal refined in respect of the recycling project and it was returned to the third party
4 Grades and production are reflected inclusive of low grade surface material at operations
Note: WLTR refers to Western Limb Tailings Retreatment plant. POC refers to Purchase of Concentrate
Note: 4E Grade is the grade measured as the combined content of the four most valuable precious metals: platinum, palladium,
rhodium and gold


Johannesburg, South Africa
17 July 2014

Sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)

For further information, please contact:

Investors:                                  Media:
Emma Chapman                                Mpumi Sithole
(UK) +44 (0) 20 7968 8451                   (SA) +27 (0) 11 373 6246
(SA) +27 (0) 11 373 6239                    mpumi.sithole@angloamerican.com
emma.chapman@angloamerican.com



Notes to editors:

Anglo American Platinum Limited is a member of the Anglo American plc Group and is the world’s leading primary producer of platinum group
metals. The company is listed on the Johannesburg Securities Exchange (JSE). Its mining, smelting and refining operations are based in South
Africa. Elsewhere in the world, the Group owns Unki Platinum Mine in Zimbabwe and is actively exploring in Brazil. Anglo American Platinum
has a number of joint ventures with several historically disadvantaged South African consortia as part of its commitment to the transformation of
the mining industry. Anglo American Platinum is committed to the highest standards of safety and continues to make meaningful and
sustainable difference in the development of the communities around its operations. www.angloamericanplatinum.com

Anglo American is one of the world’s largest mining companies, is headquartered in the UK and listed on the London and Johannesburg stock
exchanges. Our portfolio of mining businesses meets our customers’ changing needs and spans bulk commodities – iron ore and manganese,
metallurgical coal and thermal coal; base metals and minerals – copper, nickel, niobium and phosphates; and precious metals and minerals –
in which we are a global leader in both platinum and diamonds. At Anglo American, we are committed to working together with our
stakeholders – our investors, our partners and our employees – to create sustainable value that makes a real difference, while upholding the
highest standards of safety and responsibility across all our businesses and geographies. The company’s mining operations, pipeline of growth
projects and exploration activities span southern Africa, South America, Australia, North America, Asia and Europe.
www.angloamerican.com

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