Northam Platinum Holdings Limited · JSE:NPH

Northam Platinum — H1 2010 Earnings Presentation

14 slides from Northam Platinum's earnings presentation, Feb 23, 2010

  1. Slide 1: H1 results: six months to 31 December 2009

    2/23/2010 H1 results: six months to 31 December 2009 Glyn Lewis, chief executive 23 February 2010 Key features • Sales revenue 7.7% higher g at R1.7 billion • Decrease of 21.0% in rand basket price • Earnings 41.9% lower at R216 million • Cash on hand of R975 million • Dividend of 20cps declared (3

  2. Slide 2: Safety – a key focus area; Operating performance

    2/23/2010 Safety – a key focus area 3 Operating performance H1 2010 H1 2009 Change Merensky tonnes milled 500 957 582 740 -14.0% Merensky head grade (g/t) 5.9 5.8 1.7% UG2 tonnes milled 575 244 579 751 -0.8% UG2 head grade (g/t) 4.6 4.4 4.5% Total tonnes milled 1 076 201 1 162 491 -7.4% Average comb

  3. Slide 3: Mining operations

    2/23/2010 5 Mining operations NORMAL Legend: eastern Normal Reef transition NP2T (U) 12m NP2 zone NP2T (L) TRANSITION P2 FWP2 FWP1 NP2 Big John Dyke TRANSITION P2 5m FWP2 4m Chromitite Zone of mineralisation possible normal UG2 reef 20 LJD 37 41 6 3

  4. Slide 4: Sales volumes; Income statement – salient features

    2/23/2010 Sales volumes H1 F2010 H1 F2009 Change (kg) (kg) Platinum 3 777 2 771 36.3% Palladium 1 815 1 341 35.3% Rhodium 420 409 2.7% Gold 122 78 56.4% Total (3PGE+Au) 6 134 4 599 33.4% Ruthenium 661 305 116.7% Iridium 148 129 14.7% Copper (tonnes) 388 277 40.1% Nickel (tonnes) 867 583 48.7% 7 Inco

  5. Slide 5: Cost of sales – breakdown; Comparative unit cash costs

    2/23/2010 Cost of sales – breakdown H1 2010 H1 2009 Change (R000) (R000) Cost of sales 1 502 517 1 010 220 48.7% Operating costs 1 094 088 970 262 12.8% Concentrates purchased 304 772 14 029 Smelting, refining and realisation 50 045 77 878 -35.7% Depreciation 83 482 106 897 -21.9% Change in metal st

  6. Slide 6: Market overview; Market outlook

    2/23/2010 Market overview • Autocatalysts • evidence of recovery in motor manufacturing sector • government incentive schemes and inventory destocking have supported demand • demand recovery likely to continue – potential strong growth from China • Jewellery • strong sales growth in China exceeds de

  7. Slide 7: Basket price

    2/23/2010 Basket price 13 14 7

  8. Slide 8: Booysendal – project update

    2/23/2010 Booysendal – project update • New order mining g right g executed • EMP amendment lodged • Mine design, metallurgical design and infrastructure layouts complete • Geotechnical drilling on site complete • Provision of 20Mva from Eskom confirmed • B d approvall off R340 million Board illi tt

  9. Slide 9: Feasibility area resource; UG2 prill split and grade

    2/23/2010 Feasibility area resource Resource – feasibility north and south blocks Orebody Classification Mtonnes 4E grade 4E Moz UG2 measured 80.5 2.94 7.5 UG2 mining cut Metal MCC200 indicated content inferred Low grade Pyroxenite total 80.5 2.94 7.5 30% Leader (UL) 140cm Merensky measured 63 2 63.

  10. Slide 10: Grade benchmark PGE(4) to mill; Final surface layout

    2/23/2010 Grade benchmark PGE(4) to mill Source: compnay information compiled by TMC 19 Final surface layout 20 10

  11. Slide 11: Booysendal – key technical parameters and capex

    2/23/2010 Booysendal – key technical parameters • RoM p production – 150 ktpm p • DMS to mill production – 120 ktpm • Average grade delivered to mill post DMS – 3.48 g/t • Mill feed grade improved by 20% • Steady state operating cost R404/t mined • Project P j t capex R3.05 R3 05 billi billion plus

  12. Slide 12: Booysendal – early works programme

    2/23/2010 Booysendal – early works programme • Budget g of R340 million approved pp for early y works programme p g • project set-up for mining and concentrator phases • complete detail engineering for mine infrastructure • complete detail engineering for mining • complete detail engineering for pro

  13. Slide 13: Early works – cash flow; Key issues going forward

    2/23/2010 Early works – cash flow 25 Key issues going forward • Zondereinde mine • maintain overall production volumes • address Merensky : UG2 tonnage ratio • increase Merensky ore reserve development • sustained focus on costs • Booysendal project • EMP approval • identify appropriate contractors

  14. Slide 14: H1 results: six months to 31 December 2009

    2/23/2010 H1 results: six months to 31 December 2009 Glyn Lewis, chief executive 23 February 2010 14

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