Mapochs Mine business rescue update EVRAZ Highveld Steel and Vanadium Limited (Incorporated in the Republic of South Africa) (Registration No: 1960/001900/06) Share code: EHS ISIN: ZAE000146171 (“Highveld” or “the Company”) MAPOCHS MINE BUSINESS RESCUE UPDATE - REPORT IN TERMS OF SECTION 132(3)(A) OF THE COMPANIES ACT 71 OF 2008 Highveld is the majority shareholder of the Mapochs Mine Proprietary Limited “(Mapochs” or “the Company” in below report), which declared business rescue on 20 April 2015. The Business Rescue Practitioners have prepared a report in terms of Section 132 (3) (a) of the Companies Act 71 of 2008 (“Act”)(“the Report”) for submission. The Report is also available on the Company’s website: http://www.evrazhighveld.co.za/businessrescue.asp Report to the Companies and Intellectual Property Commission and to all Affected Persons In Terms of Section 132 (3) (a) of the Companies Act 71 of 2008 Prepared by: John Lightfoot and John Evans – Joint Business Rescue Practitioners 1. Introduction 1.1. The Business Rescue Proceedings of the Company did not conclude within three months of the date of commencement thereof. 1.2. This report is to be read in conjunction with the previous reports. 1.3. Only actions taken subsequent to the earlier reports are dealt with in this report 1.4. Defined terms have the same meaning as ascribed to them in the adopted Business Rescue Plan. 2. Business Rescue Process 2.1. The key timelines: EVENT DATE 1 Business Rescue Plan Published 20 November 2015 2 Business Rescue Plan (as amended) 30 November 2015 Adopted 3 Notice of substantial implementation 2 December 2015 filed 1 3. Implementation of the Business Rescue Plan 3.1. On 2nd December 2015, the Offeror paid the full Offer Price into the Plan Fund and accordingly Substantial Implementation (as defined in the Business Rescue Plan) was achieved. 3.2. Due notice was filed with the CIPC. (Copy Attached) 3.3. Henceforth and as provided in the Business Rescue Plan the role of the BRP’s is to be carried out by them as Receiver on behalf of the Company, IRPL and Creditors, this to implement the remaining and outstanding terms of the Business Rescue Plan and as more fully set out in it. 4. Proof of Claims by Creditors 4.1. The adopted Business Rescue Plan provides that all Creditors are to lodge their claims on or before 31 January 2016. 4.2. Many Creditors have already submitted Claims. They are not required to resubmit them. A list of Claims received from Creditors to date is attached at Annexure A. 4.3. The Receivers will begin the process of adjudicating the Claims received. Creditors will be notified before 31 January 2016 of the Receivers acceptance of rejection of their respective Claim(s). 4.4. Rejected claims will be dealt with in terms of paragraph 13 of the Business Rescue Plan. 5. Litigation In the week preceding the s 151 meeting the following litigation was instituted against the Company. 5.1. Court Proceedings instituted by Global Renewable Energy Limited (“GRE”): 5.1.1. On 25 November 2015, one of the unsuccessful bidders in the sales process, GRE, applied to the High Court to urgently interdict the BRPs from proceeding with the s151 Meeting convened for 30 November 2015. 5.1.2. The application was opposed by the BRPs. 5.1.3. Before it was heard and on 26 November 2015, the application was withdrawn. 5.1.4. The BRPs / Receivers are now proceeding against GRE to recover their legal costs. 5.2. Court Proceedings instituted by East Metals (“EM”) and Mastercroft: 2 5.2.1. On 27 November 2015, EM and Mastecroft instituted an urgent application in terms of which they sought inter alia to interdict and restrain the Company, Evraz Highveld, the BRPs of Highveld and the BRPs from purchasing from creditors of the company their claims, making payments envisaged in the Plan, waiving any claim in or against the company and waiving any right to a dividend or distribution from the company which Evraz Highveld would be entitled. 5.2.2. The application was opposed and the BRPs filed their answering affidavit. 5.2.3. At the hearing EM and Mastercroft removed the matter from the roll. 5.2.4. The BRPs / Receivers will in due course proceed to recover legal costs from EM and Mastercroft. eMalahleni 4 December 2015 J.P. Morgan Equities South Africa (Pty) Ltd. Sponsor 3 Date: 04/12/2015 01:56:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.