Mogalakwena mine - Anglo American

Mogalakwena Platinum Mine
Investor and Analyst Site Visit
12 th April 2010
1

Mogalakwena Platinum Mine
• Our Values
• Management Team
• Orientation
• Overview
• Safety
• Mining
• Concentrator
• Social Responsibility
• Financial Highlights
• Conclusion
Agenda
2

Our Values
Safety
Honesty &
integrity
Deliver on
promises
Team
work
Caring
Passion
&
pride
3

Management Team
M
i
n
i
n
g
William Matlhope
Mng Engineering
Shela Ledwaba
HR Mng
Wanda v Zyl
Protection Serv Mng
Bertus Schoeman
Mng Engineering Projects
Tumi Mbatha
Mng Finance
Ted Muhajir
General Manager
Hendrik v Niekerk
Production Mng
Frank Pieterse
SHE Mng
Vijay Kumar
MTS Mng
Thembisile Nkadimeng
Communities
C
o
n
c
e
n
t
r
a
t
o
r
Barry Davis
Senior Concentrator Mng
Manie Potgieter
North Concentrator Mng
Ashina Balram
South Concentrator Mng
4

Management Team
• Over 150 Years mining experience
• Global management Experience
• Over 50% HDSA
• 40% Women
5

Mogalakwena Platinum Mine
Orientation
6

Locality of Mogalakwena Platinum Mine
MOGALAKWENA
MINE
BOKONI MINE
TUMELA &
DISHABA MINES
7

Mogalakwena Platinum Mine
• Largest Open-pit Platinum Mine in the world
• Medium-size mature open pit operation, capable of breaking
and moving over 100Mt of hard rock.
• Largest hydraulic shovels in the world.
• Some of the largest trucks in Africa.
• Highest Basket price in AP.
• Lowest operating cost per ton milled.
• Building up to 400,000 oz capacity.
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• Ore Reserves > 500Mt
Mogalakwena Platinum Mine
• Measured & Indicated Ore Resources > 1,106 Mt
• LOM > 55 Years
• +1.6 Million Fatality free shifts.
• 4 LTI’s for the year 2009.
• Winner of Anglo Platinum Environmental award(2009).
• Comprehensive community engagement and development
programme.
• > 95 % of employees from within 50 km radius.
• Water availability
9

Mogalakwena Platinum Mine
• Mogalakwena: embedded flexibility
– Acceleration / Deceleration
– Low cost operation
– Highest basket price
10

Mogalakwena Platinum Mine
SAFETY
11

Safety Performance
12,000,000
Concentrator LTI's versus Tons Milled
6
10,000,000
5
8,000,000
4
Tons Milled
6,000,000
3
LTI's
4,000,000
2
2,000,000
1
-
2005 2006 2007 2008 2009
Tons Milled 4,535,000 4,595,000 4,187,000 7,180,000 9,722,000
LTI's 5 0 1 3 3
0
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Safety Performance
120,000,000
Mining LTI's versus Tons Mined
8
100,000,000
80,000,000
7
6
5
Tons Mined
60,000,000
40,000,000
20,000,000
4
3
2
1
LTI's
13
-
2005 2006 2007 2008 2009
Tons Mined 56,799,168 66,135,825 87,727,047 101,785,536 32,988,627
LTI's 6 6 1 7 1
0

Mogalakwena Platinum Mine
Mining
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Mogalakwena Platinum Mine – Mining Lease Area

Resources & Reserves
• Strike Length – 21km
• Dip – 42 o- 45 o
• Depth – Outcrop to +500masl
• Ore Width – 20 – 80m
• Total Conc. Capacity – 985 ktpm
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Tonnes
(Mt)
2009 2008
Grade Tonnes
(g/t 4E) (Mt)
Grade
(g/t 4E)
Reef
Platreef Ore Reserves
Proved 317.4 3.28 274.5 3.21
Proved Primay Ore Stockpiles 16.6 2.65 20.6 2.58
Probable 174.6 3.12 112.8 3.56
508.6 3.20 407.9 3.27
Platreef Ore Resources
Measured 192.9 1.95 152.4 1.85
Indicated 915.0 2.14 898.8 2.13
Inferred 1,160.6 1.89 1,331.3 1.89
2,268.5 2.00 2,382.5 2.00

Pit Layout - Sandsloot
• Remaining life of pit : 1
years
• Bench height 15m
• Current depth 255m
• Planned depth 270m
• Current length 1,700m
• Current width 600m
• Extension under review
17

Pit Layout – Zwartfontein South
• Remaining life of pit : 21
years
• Bench height 10m
• Current depth 120m
• Planned depth 260m
• Current length 1,500m
• Current width 450m
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Pit Layout – Mogalakwena
• Remaining life of pit +39 years
• Bench height 15m
• Current depth 100m
• Planned depth 500m
• Current length 1500 m
• Planned length 7,000m
• Current width 350m
• Planned width 1,200m
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Significant Risks and Mitigation
• Delayed Relocation: Negotiation at advanced stage, Plan
B in place.
• Lightning: Advance warning systems.
• Slope Stability: Radars etc
• Trackless Mobile Machinery: Collision Avoidance System.
• Blasting/Explosives: Electronic detonators etc.
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21
Mining Sequence

Tonnes Mined
Tonnes mined
120,000
100,000
80,000
Gearing up for the 2 nd
concentrator
60,000
40,000
*
20,000
0
2001 2002 2003 2004 2005 2006 2007 2008 2009
Tonnes mined 29,631 39,672 48,444 54,026 56,799 66,136 87,727 101,786 32,989
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Tonnes Milled
Tonnes milled
12,000
10,000
8,000
Commissioning of 2 nd
concentrator
6,000
4,000
2,000
0
2002 2003 2004 2005 2006 2007 2008 2009
Tonnes milled 4,375 4,465 4,470 4,535 4,595 4,187 7,180 9,722
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Equivalent Refined Platinum Ounces
Equivalent Refined Pt oz
250,000
200,000
150,000
100,000
50,000
0
2003 2004 2005 2006 2007 2008 2009
Equivalent refined Pt oz 191,774 200,081 205,323 191,262 163,488 188,104 237,279
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Largest Electrical Hydraulic Face Shovel in the World
9 Hydraulic Shovels
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One of the Largest Electric Drive Trucks in Africa
• 49 Trucks
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In-pit Surveillance
Mining Technology
27

Mining Technology
Aquila
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Mining Technology
Load Metrics
Radars
HPGPS
29

Mogalakwena Platinum Mine
Concentrator
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31
Mogalakwena North Concentrator

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Mogalakwena North Concentrator

Process Flow Diagram
3 x Sandvik Hydrocone CH880 crushers
600 kW, Nominal capacity 1342 tph
3.66 x 8.23m
Top: 85 x 85mm
Fuller Tralor
Bot: 40 x 52mm
60 x 113
1000kW
3000t
45000t
2.044 x 4.88m
80mm
3.66 x 8.23m
18 x 36m
Top: 15x55mm
Bot: 8 x 25mm
Krupp Polysius
22/16-8 2.85MW
18 x 36m
15000t
15000t
FLS, 7.925 x 11.278m EGL Gearless drives
3 x PF 144/144
17.5 MW (ABB), Prim Grate & Sec Overflow
Ball load 33% (Prim 70mm & Sec 40mm)
Nominal capacity 900tph (current max 1050tph)
100 m 3
35m High Rate – 22kW
130 m 3 40 m 3
40 m 3 4 x 12.5m dia
Ultra High Rate
6 x 12/10 FF-AHP-R
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Overview
• Biggest single stream Platinum Concentrator in the World
(600ktpm).
• Decision to build a single stream plant required some groundbreaking
technology…..
• First:
– HPGR installation for a platinum ore body
– Gearless drive mills in Anglo Platinum
• Biggest:
– Primary Gyratory crusher 60’’ with a 1000kW motor
– Ball Mills in the world 26’ø x 37.6’ EGL with 17.5MW gearless drive
– Centrifugal blower installation in Africa
– Mill discharge pumps in SA – 1,45MW motors with gearbox drive
– HPGR in Africa with the largest installed power in the world (2 x 2.85MW)
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Energy Efficient Design
• Ultra high rate thickeners for tailings disposal
• High efficiency motors installed
– More work per unit of electricity consumed
• Day-night switches for lights
• “Ready to float” material can bypass primary milling stage:
– Creates additional primary milling capacity or save energy on primary
milling stage
– No energy waste to pass sufficiently liberated material through
primary mill (incl. metallurgical benefits)
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Mogalakwena Platinum Mine
Social Economic Development
36

Social Economic Development
•Social Economic
Assessment Tool in place
•Social and Labour plan in
place
•Strong focus on
Sustainable / Equitable
community projects
37

Financial Highlights
2005 2006 2007 2008 2009
Average Pt basket price
(Mogalakwena Mine) R/oz 10,574 16,626 21,046 25,046 19,000
Average Pt basket price
(Anglo Platinum) R/oz 8,871 13,852 18,167 22,348 14,115
Cash-on-mine cost / Ton Milled
(Mogalakwena Mine) R/ton 219 208 282 288 196
Cash-on-mine cost / Ton Milled
(Anglo Platinum) R/ton 273 296 388 475 453
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Conclusion
• Creation of low cost, flexible operation over the last 5 years.
• Ability to respond to market condition in shortest time.
• Constantly evaluating growth opportunities within the group
guidelines.
Geared to deliver “Safe , Profitable
Platinum”
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