Exxaro Resources Limited · JSE:EXX
Exxaro Resources — Merger or Acquisition (May 2025)
17 slides from Exxaro Resources's merger presentation, May 13, 2025
Slide 1: Acquisition of a portfolio of manganese assets held by Ntsimbintle Holdings and OM Holdings
Acquisition of a portfolio of manganese assets held by Ntsimbintle Holdings and OM Holdings 13 May 2025 1
Slide 2: Notice & Disclaimer
Notice & Disclaimer A range of financial and non-financial measures are used to assess our performance, including certain Alternative Performance Measures (APMs) that are not defined nor specified in International Financial Reporting Standards (IFRS® Accounting Standards) (as issued by the Internati
Slide 3: Exxaro's strategic entry into manganese in the world class Kalahari Manganese Field
Exxaro's strategic entry into manganese in the world class Kalahari Manganese Field Prudent Capital Allocation Strategic Fit • Purchase price consideration of Quality Assets • Based on fundamental R11.67bn to be fully demand analysis a funded through existing A World-Class Deposit targeted growth mi
Slide 4: The R11.67bn transaction creates value from day one
The R11.67bn transaction creates value from day one 60.1% effective ownership in Tshipi — board majority, 50.1%# marketing rights Exx Subsidiary 100% 19.99% 100% 9% 51% 51% ownership in Mokala mine, one of the newest mines in the KMF Ntsimbintle Hotazel Mokala Ntsimbintle Jupiter Mines Marketing and
Slide 5: Key transaction terms
Key transaction terms Proposed Transaction Key Suspensive Conditions • Exxaro has concluded binding sale and purchase agreements with Ntsimbintle Holdings and • Ntsimbintle Holdings shareholder approval OMH (Mauritius) Corp to acquire their shares and claims in the target assets • Approval by the Mi
Slide 6: Strong demand fundamentals support a positive price outlook
Strong demand fundamentals support a positive price outlook Crude steel production and manganese ore demand • Strong manganese ore demand expected through 2030, supported by global (Mt) (kt) infrastructure trends 2 050 23 000 22 500 2 000 22 000 1 950 21 500 • Manganese ore and manganese ferroalloy
Slide 7: A portfolio of high-quality, long-life, assets
A portfolio of high-quality, long-life, assets Mining assets profile Hotazel Manganese Mines Tshipi Mine Mokala Mine Mamatwan Wessels Measured and indicated resources 195.0 Mt 45.1 Mt 68.0 Mt 115.9 Mt Resource grade 33.0% Mn 36.8% Mn 34.6% Mn 42.0% Mn Reserves 82.2 Mt 20.1 Mt 37.0 Mt 56.0 Mt Reserve
Slide 8: Favourably placed on industry cost curve, within the 2nd quartile
Favourably placed on industry cost curve, within the 2nd quartile 8.5 1st Quartile 2nd Quartile 3rd Quartile 4th Quartile 8.0 7.5 China 2025 Manganese ore business costs*, $/t: 7.0 CIS Delivered operating costs to natural South Africa market; includes site costs, freight and 6.5 product premiums or
Slide 9: Robust balance sheet funded from our coal strength…
Robust balance sheet funded from our coal strength… Fully-funded through available cash resources Affordability Metrics • R19.7bn cash on hand (Dec 2024) Indicative cash price • Net debt/ EBITDA of (0.2x) post transaction, below internal target and Dec 2024 covenant requirements Unadjusted Maximum A
Slide 10: …positioned for growth through value accretive acquisition
…positioned for growth through value accretive acquisition Key highlights Attributable Target Asset Profit After Tax (R’m) Producing assets with immediate earnings contribution and 18% 824 significant upside potential Potential Tshipi a consistent dividend payer since its maiden dividend in sustaina
Slide 11: A proudly South African diversified mining company
A proudly South African diversified mining company Coal Manganese Iron Ore Zinc* Renewable energy 1 Grootegeluk complex 2 Mafube JV (50%) 3 Leeuwpan South Africa 12 1 4 Belfast Limpopo 5 Matla 2 6 Moranbah South, Australia (Project) 3 4 5 Gauteng 7 Richards Bay Coal Terminal (RBCT) (12%) 10 North-We
Slide 12: Exxaro's remarkable journey of empowerment and success
Exxaro’s remarkable journey of empowerment and success 2025 Exxaro’s next growth phase • Now we enter the next phase of our journey, our focus remains stakeholder value creation, transitioning into a diversified minerals and energy solutions business. • The acquisition of Ntsimbintle Holdings and OM
Slide 13: Thank you
Thank you Change to the image on 29 31 DECEMBER 2024 13
Slide 14: Additional information
POWERING POSSIBILITY Additional information
Slide 15: Recap of Exxaro's Sustainable Growth Impact Strategy
Recap of Exxaro’s Sustainable Growth Impact Strategy Climate resilience Build businesses that thrive Socio impact catalyst Deliver social, economic and Achieve carbon neutrality by 2050 Diversify towards resilient minerals environmental impact Maximise coal runway through Early Contribute towards su
Slide 16: Before structure
Before structure Ntsimbintle Holdings (Pty) Ltd OMH Blue Falcon (Mauritius) Trading 222 (Pty) Corp Ltd 74% 20.87% 100% 9% 51% 26% 49% Ntsimbintle Jupiter Mines Hotazel Mokala Ntsimbintle Marketing and Limted Manganese Mines Manganese Mine Mining (Pty) Ltd Trading. Ltd (“JMS”) (Pty) Ltd (Pty) Ltd (Si
Slide 17: Location of the new assets
Location of the new assets Target Mines 12 11 South Africa Mine 13 10 Mamatwan 1 Tshipi Borwa 2 UMK 3 9 Perth 4 8 7 6 Kudumane 5 5 East Mn 6 Mokala 7 4 Kalagadi 8 3 Gloria 9 7 Nchwaning 10 Wessels 11 MN48 12 2 1 Khwara 13 17