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ARM Platinum Moving into overdrive

ARM Platinum Moving into overdrive. RBC Platinum conference 16 May 2008. 90%. Perfect diversified commodity mix. Growing diversified commodity business. Attributable EBIT split between operations. 12 months to 30 June 2007. 6 months to 31 December 2007. * Nkomati operating profit split:

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ARM Platinum Moving into overdrive

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  1. ARM PlatinumMoving into overdrive RBC Platinum conference 16 May 2008

  2. 90% Perfect diversified commodity mix

  3. Growing diversified commodity business Attributable EBIT split between operations 12 months to 30 June 2007 6 months to 31 December 2007 * Nkomati operating profit split: Nickel (86%) and Chrome (14%) * Nkomati operating profit split: Nickel (52%) and Chrome (48%) Attributable EBIT split between operations calculated from published EBIT (or segmental results) before corporate and exploration expenses and excluding the 45% minority interest in Two Rivers

  4. Attributable PGMS (‘000 oz) ARM Platinum volume growthExplorers, Juniors,????, Majors

  5. Power mitigation • Dayshift – Nightshift • Compressed Air vs Diesel / Electric • Diesel / Gas Generators • Stockpile management • Shallow Deposits / Opencast

  6. Platinum Mine Optimisation • Western – Eastern – North – Zimbabwe • Reef Type, Width, Grade, Prill Split, F/W and H/W • Dip, Strike (4 – 5 km), Depth • Mining Method – Production Statistics • Infrastructure - Water,power,road,rail,towns • Project Management • Timing • Capex • Opex

  7. Mine project – time versus depth 500m Depth from surface Modikwa Two Rivers Nkomati Opencast Plant 0 years 4 years 8 years Mine development

  8. Two Rivers: Introduction • Eastern Limb of Bushveld Complex • PGM Producer • 2.7 Mtpa (225,000 tpm) • 220,000 PGE oz pa (120,000 Pt oz pa) • Joint Venture • ARM (55%) Management • Impala (45%) Smelting, Refining, Marketing • Fundamentals • Owner operator • Outsource concentrator & tailings operations • Undertaking to employ local labour

  9. Two Rivers: Mine – Shallow Deposit • Dec 01 : Land Purchase • Sep 02 : Bulk Sample Shaft • Jan 04 : Trial Mining • Jun 05 : Project Approval • Aug 06 : Plant Commissioning (1 month early and 12% below budget) • Jan 07 : North Decline • Mar 07 : Plant Full Production • Mar 08 : UG Mining Full Production 7 Years

  10. Two Rivers: Geology

  11. Two Rivers UG2 Reef Section : North - South

  12. Two RiversResource & Reserve StatementAs at Feb 2008 Merensky Reef 120m above UG2 Analyst Visit

  13. Two Rivers: Mining

  14. Two Rivers: Decline Cross Section 560m 430m Analyst Visit – Sep 07

  15. Two RiversOperational Summary Statistics

  16. Tons per Month Two Rivers: Tonnes Milled Profile Unprotected Strike Ramp Up

  17. Industry Cost CurveR/ton Milled 2007 v Two Rivers Steady State: 275 R/t v Source: BJM research

  18. Locality – Modikwa Platinum Mine

  19. Mpumalanga Province Modikwa Platinum Mine – lease area 24.8km Total lease area 14 278 ha

  20. ModikwaResource Classification – Tonnage100 % JV (Millions) • Resource discounted for geological losses December 2007 Resource Statement

  21. UG2 Investment Centres S3# S2# N3# N2# S1# N1# Merensky Investment Centres S2# N3# N2# N1# S1# ModikwaBoth Reefs under continuous evaluation

  22. Footwall Drive Mining Direction Mining Direction ASG 105 m PILLARS Mined Out Area Unmined Area See Enlargement 200 m 10 m Enlargement 4 m 4 m 30 m 8 m Footwall Drive Cross Cut Muck Bay Travelling Way & SO 210 m Final Layout ModikwaBreast stoping layout with footwall development

  23. Modikwa Conversion from Dip to Breast Mining • Only breast mining is taking place (dip mining completely phased out) • All panels are expected to be on the standard 210m breast spacing by 2010

  24. ModikwaAverage Tons Milled per Month • H1 07 – Strike • Steady State – 240 kt / month Merensky trial mining

  25. ModikwaBuilt-up Headgrade

  26. Nkomati Nickel Project Nkomati Nickel is a 50:50 JV between ARM and Norilsk Nickel Total nickel in concentrate: 20 500 tpa Average grade: 0.35% Ni; Total plant capacity: 625 ktpa PCMZ Nickel in concentrate: 5 000 tpa Average grade: 0.25%Ni; PCMZ plant: 250 ktpm MMZ Nickel in concentrate: 15 500 tpa Average grade: 0.45%Ni; MMZ plant: 375 ktpm CHROME a significant value contributor • Oxidised lumpy chrome sales of 1 mtpa for 4 yrs • Chrome concentrate sales of 1 mtpa (2011) from PCMZ plant completed and processing of chrome fines currently being stockpiled Other By-products include: • 110 000 ounces of PGM (Pt:Pd 1:2.7) • 9 000 tpa Copper • 250 tpa Cobalt Project released Sept 2007 Open cast mine expected to produce at a steady state C1 cash cost of c.$3.50/lb Ramp-up: 2009 Full production: 2011 Capital cost of R3.2 billion, >20% committed, mainly funded from Nkomati cash flows

  27. Nkomati

  28. Kalplats • Exploration • Pre-feasibility in progress • Opencast Potential • Platinum Australia presentation later

  29. 2 x 2010 Delivering on growth plans in ARM Platinum

  30. ARM Platinum Summary • Eastern Limb • Shallow, Long Life Assets • Established PGM Producer • Positive Cash Flows • Growth Potential

  31. Questions?

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