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 and concluded on 2 December 2015 when the Business rescue practitioners filed a notice of substantial completion. 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 The Report The content of the Report is as follows: 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 concluded on 2 December 2015 when the Business rescue practitioners filed a notice of substantial completion. 1 1.2. This report is to be read in conjunction with the previous reports issued by the business rescue practitioners. 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. Key timelines: EVENT DATE Business Rescue Plan Published 20 November 2015 Business Rescue Plan (as amended) 30 November 2015 Adopted Notice of substantial implementation 2 December 2015 filed 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. As provided in the Business Rescue Plan the role of the BRP’s is now that of Receivers 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. The Receivers are in the process of adjudicating the Claims received and following up with creditors whose claims remain outstanding. A list of outstanding creditors’ claims is attached hereto on Annexure A. If you are on the attached list, please submit your claim on the attached form to mapochs@matusonassociates.co.za. 4.3. Many Creditors have already submitted claims which have been adjudicated and accepted. They have been duly notified and we have requested that they provide us with written confirmation of their banking details. 2 4.4. In respect of those claims that have been accepted and banking details provided, it is our intention to pay a first dividend to these creditors of 6.5 cents in the Rand by no later than 29 January 2016. 4.5. In view of the substantial number of claims outstanding, the Receivers have taken the decision to extend the deadline for submission and adjudication of claims by one month, to 29 February 2016 4.6. Rejected claims will be dealt with in terms of paragraph 13 of the Business Rescue Plan. 5. Litigation - Court Proceedings instituted by East Metals (“EM”), Mastercroft and Global Renewable Energy Limited (“GRE”): Details of these proceedings were dealt with in our previous report and the Receivers are currently proceeding to recover legal costs from EM and Mastercroft. 3 Annexure A – List of creditors who have not submitted claims Vendor Name Altech Netstar Ambu Training Bk Auto Fuel (Pty) Ltd (Rand Trust Sec Barloworld Equipment Bearing Man Group (Pty) Ltd Bearing Services Witbank Consolidated Water Conditioning Sa Delta Health And Safety Equipment Dual Couplers Cc Fuchs Lubricants Sa (Pty) Ltd Gundle Plastall (Pty) Ltd A Div Of Howson Ramsden Hytec King Mabhoko Lodge Cc Mars Investment Cc T/A Moosa Superm Metrofile Midas Mohlare Koma High School Nj Mnisi Enterprises Nordbak (Pty) Ltd Pencox Auto Air Cc Powermite Africa - A Div. Of Hudaco Sanitech - Steelpoort Sebenza Supplies Cc Sheltam (Pty) Ltd Sizwe Forms And Printing (Pty) Ltd Sunfox 106 Cc T/A Execuair The U Joint & Cv Joint Centre Tractor Grader Supplies Cc Transfire (Pty) Ltd Universal Rigging & Moving G4S Security Services Sa (Pt Waco Africa-Sgb Division (Wi eMalahleni 27 January 2016 JSE sponsor: J.P. Morgan Equities South Africa (Pty) Ltd 4 Date: 27/01/2016 03:54:00 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. 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