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Stillwater acquisition

CREATING A PREMIER, GLOBAL, PRECIOUS METALS MINER

“We thank our shareholders for their support for this transaction which represents a unique and transformative opportunity to acquire world class, low-cost international PGM assets. Stillwater offers near-term organic production growth through the Blitz project, further enhancing Sibanye’s asset portfolio and will create in Sibanye, a globally competitive South African mining champion with a unique commodity mix”
Neal Froneman, CEO of Sibanye

More about Stillwater

Stillwater Mining Company is the only U.S. miner of platinum group metals (PGMs) and the largest primary producer of PGMs outside of South Africa and the Russian Federation.

The Company is engaged in the development, extraction and processing of PGMs from a geological formation in south-central Montana recognized as the J-M Reef. The J-M Reef is the only known significant source of PGMs in the U.S. and the highest-grade PGM resource known in the world. The Company is also one of the world’s largest recyclers of PGMs from catalytic converters and other industrial sources. Stillwater employs approximately 1,400 people across its business.

Strong transaction rationale

Enhance Sibanye’s asset base and create a globally competitive South African mining champion by:

  • Adding two low-cost, low-risk, steady state producing PGM mines to its portfolio
  • Expanding its portfolio with high-grade reserves that support over 25 years of mine life
  • Providing near term, organic and low-cost growth through the Blitz Project
  • Providing significant upside and growth potential through extensive regional resources
  • Creating a mine-to-market PGM business with a metallurgical processing complex
  • Significant PGM recycling business provides a steady margin and strategic insight into the market
  • Further operational optimisation potential through transfer of “best practices”

Position Sibanye shareholders for potential valuation re-rating by:

  • Being value accretive, per detailed management due diligence
  • Balancing its portfolio operationally and geographically with the addition of a world class operation in an attractive mining jurisdiction
  • Positioning its Platinum Division further down the global cost curve, with potential for further cost reductions
  • Enhancing its cash flow generation to sustain its industry-leading dividend
  • Improving its access to lower-cost global financing

CONTACT

For more information, contact:

Sibanye-Stillwater

James Wellsted
SVP: Investor Relations
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+27 (83) 453-4014