1

Investor visit – Refineries

October 2005

Refineries flowsheet

Overview

BMR flowsheet

PMR flowsheet

2

Why Springs?

Infrastructure available

from Geduld Gold Mine

Proximity to Joburg

International Airport

Gas supply

Chemistry and Engineering

skills

Major achievements in safety

0.0 LTIFR including contractors for 25 months

Benchmarking : NOSA – International Top 100, 7 NOSCAR Awards

Won the MMMA competition for second year in 2005

Mine Metallurgical Managers Association

Individual recognition awards from NOSA

Meerkat programme

Currently in “gap analysis” for OSHAS 18 000

3

Statistical overview:Refineries health and safety history

0

2

4

6

8

10

12

14

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 20060.00

1.00

2.00

3.00

4.00

FREQ

UEN

CY

RAT

ES

LTIFR Fatality Disease

Benchmarking – LTIFR (200 000 hours)

0.062 0.110 0.124 0.140 0.197 0.213 0.235 0.2760.378 0.382

0.525 0.530

0.727

1.030

0.000

0.200

0.400

0.600

0.800

1.000

1.200

Air Pro

ducts RBM

Eastm

an

Refineri

es (0

6)DOW

Air Liquide (U

SA)

Bayer

Ashlan

d

E.I.Lilly

DuPont

Rhom& H

aas

BOC (USA)

Praxair

Zincor

4

Quality

ISO 9002 Quality Management System (QMS) – first certification , July 1997

ISO 9001 revised quality management system (QMS) – first certification, July 2002

12 external surveillance audits have been conducted on site thus far with one re-certification audit (September 2005)

Springs quality forum

Presently Impala chairs the forum

All issues related to the ISO 9001 QMS are discussed at these forums

5

Environmental

First received certification in May 2000

Re-certified in November 2004

A total of 8 surveillance audits

Springs Air Forum

Presently Impala chairs the Forum

Working with local businesses and authorities

6

Blesbokspruit

Blesbokspruit Forum

Impala is part of the monitoring committee

Grootvaly Trust

developing a framework to develop the centre as an environmental education centre for the Springs area

main aim is to assist environmental affairs with the retention of the RAMSAR status

Employment equity - management

7

6281

50

36

30

20

40

60

80

100

120

140

Snr Management (current) Middle Management (current) Supervisory (current)

Other HDSA

37% in management

7

Women employed

Men, 764

Women, 139

0100200300400500600700800900

Women Men

17%

83%

Gross Pt and PGE production

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

4,000,000

4,500,000

FY1995

FY1996

FY1997

FY1998

FY1999

FY2000

FY2001

FY2002

FY2003

FY2004

FY2005

Troy

oz

Gross Pt Gross PGM

8

Gross base metal production

-

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

FY1995 FY1996 FY1997 FY1998 FY1999 FY2000 FY2001 FY2002 FY2003 FY2004 FY2005

Tonn

es

Gross Ni Gross Cu

Employees and Pt oz/employee

800

850

900

950

1000

1050

1100

1150

1200

1250

FY1995

FY1996

FY1997

FY1998

FY1999

FY2000

FY2001

FY2002

FY2003

FY2004

FY2005

Em

plo

ye

es

-

500

1,000

1,500

2,000

2,500

Pt

oz

/Em

plo

ye

e

Employees Pt oz/employee

9

Refineries unit costs

Refineries Unit Cost per Gross Pt ozFY

95

FY96

FY97

FY98

FY99

FY00

FY01

FY02

FY03

FY04

FY05

R/o

z

Actual Escalated at CPIX Escalated at CPIX-2

Refineries expansion

BMR PMR

10

Expansion phases

R398mJul 20052m ozsBMR Phase I

R40mJune 20072.3m ozsPMR Phase III

R300mJune 20072.3m ozsBMR Phase II

R225mJune 20062m ozsPMR Phase II

ValueEndDate

Resultant Capacity

Phase

Jul 2003 R18m1.6m ozsPMR Phase I

Simplified flow diagram

PALLADIUM

PLATINUM

GOLD

RHODIUM

RUTHENIUM

IRIDIUM

NICKEL POWDER

COBALT POWDER

COPPER CATHODES

OR BRIQUETTES

COPPER

COBALT

NICKEL

ELECTROWINNING

REDUCTION

REDUCTIONBRIQUETTING

AND SINTERING

BASE METALS REFINERYDISSOLUTION OF NICKEL ,

COPPER AND COBALT

GOLDPRECIPITATION

IMPALA PLATINUM MINES

CONCENTRATOR

SMELTERDRYING - SMELTING - CONVERTING

MILLING - FLOTATION

DISSOLUTION

ION EXCHANGE

PRECIPITATION

PRECIPITATION

PURIFICATION &PRECIPITATION

MOLECULAR

TECHNOLOGYRECOGNITION

DISTILLATION

HYDROLYSIS

ION EXCHANGEDISSOLUTION

PLATINUM METALS REFINERY

PURIFICATION &PRECIPITATION

PURIFICATION &PRECIPITATION

ACAD DRG No: PRP_STD_P_0240

11

Base metals refinery

Base metals refinery

Objective

To upgrade the PGM content of the feed to a level suitable for the refining of the PGM’s in the Precious Metals Refinery, while simultaneously and cost-effectively extracting the base metals – nickel, copper and cobalt – from the converter matte and converting them into quality saleable products

12

Base metals refinery flowsheet

MATTE FROMMATTE FROMMINPROMINPRO

NICKELLEACH

NICKELNICKELLEACHLEACH

COPPERLEACH

COPPERCOPPERLEACHLEACH

PGM CONCLEACHING

PGM CONCPGM CONCLEACHINGLEACHING

PGM CONCDRYING

PGM CONCPGM CONCDRYINGDRYING

DESPATCH TODESPATCH TOPMRPMR

NICKELPURIFICATION

NICKELNICKELPURIFICATIONPURIFICATION

COPPERPURIFICATION

COPPERCOPPERPURIFICATIONPURIFICATION

COPPERELECTROWINNING

COPPERCOPPERELECTROWINNINGELECTROWINNING

COPPERPRODUCTCOPPERCOPPER

PRODUCTPRODUCT

NICKELREDUCTION

NICKELNICKELREDUCTIONREDUCTION

COBALTSTRIPPINGCOBALTCOBALT

STRIPPINGSTRIPPINGCOBALT

PURIFICATIONCOBALTCOBALT

PURIFICATIONPURIFICATIONCOBALT

PRODUCTIONCOBALTCOBALT

PRODUCTIONPRODUCTION

NICKEL POWDERWASHING/DRYINGNICKEL POWDERNICKEL POWDERWASHING/DRYINGWASHING/DRYING

AMM SULPHPRODUCTIONAMM SULPHAMM SULPH

PRODUCTIONPRODUCTIONSAMPLE QA

PACKINGSAMPLE QASAMPLE QA

PACKINGPACKING

BRIQUETTINGSINTERING

BRIQUETTINGBRIQUETTINGSINTERINGSINTERING

SAMPLE QAPACKING

SAMPLE QASAMPLE QAPACKINGPACKING SALESSALESSALES

SAMPLE QAPACKING

SAMPLE QASAMPLE QAPACKINGPACKING

MATTEGRINDING

MATTEMATTEGRINDINGGRINDING

Across-the-fence hydrogen

Successfully installed in late March

Required as current H2 reformers too small for the new natural gas feed

18-hour storage in the 110km pipeline gives instant usage after frequent power outages and ample time for compressor or PSA repairs

Very minor capital expenditure

99.999% pure compared with 97% –better reduction kinetics – capacity

Hydrogen plants on care and maintenance therefore no CO2 greenhouse emissions +/- 22t/day

13

Across-the-fence hydrogen (cont)

Opportunity cost of Reformer steam (4t/hr or some 7% of total refineries steam consumption) and cooling water to be used for capacity

Less risk in the case of the large boilers becoming incapacitated

Cheaper gas over life of project

Opportunity for credits for third party hydrogen off-take

More constant pressure provision

Zero liquid effluent

Effluent treatment process for the treatment of rainwater run-off

Recycling of up to 900m3 of good quality water a day to the plant (RWB R3.71/m3 Ξ R1.2m/a)

14

Precious metals refinery

Precious metals refinery

Objective

To cost-effectively separate the various platinum group metals contained in the PGM concentrate from the Base Metals Refinery into individually pure and saleable metals

15

Precious metals refinery philosophy

METAL EXTRACTION

A

METAL PURIFICATION

B

METAL EXTRACTION

B

METAL SEPARATION

B

METAL SEPARATION

A

METAL PURIFICATION

A

METALMETALAA

METALMETALBB

METALMETALAA

METALMETALBB

PURE METALPURE METAL

PURE METALPURE METAL

PURE METALPURE METAL

PURE METALPURE METAL

Classical processlow yields and high inventory

PMR philosophyquantitative and selective

W.I.P.W.I.P.

Precious metals refinery flowsheet

TOTALDISSOLUTION

TOTALTOTALDISSOLUTIONDISSOLUTION

Au SEPARATIONIX

Au SEPARATIONAu SEPARATIONIXIX

Pd SEPARATIONMRT

Pd SEPARATIONPd SEPARATIONMRTMRT

BASE METALSEPARATIONBASE METALBASE METALSEPARATIONSEPARATION

Ru SEPARATIONDISTILLATION

RuRu SEPARATIONSEPARATIONDISTILLATIONDISTILLATION

Pt / Rh / IrSEPARATION

Pt / Pt / RhRh / / IrIrSEPARATIONSEPARATION

Pt PRODUCTPt PRODUCTPt PRODUCT

Au REDUCTIONAu REDUCTIONAu REDUCTION

Pd SALTINGPd SALTINGPd SALTING

BASE METALPRECIPITATIONBASE METALBASE METAL

PRECIPITATIONPRECIPITATION

Ru SALTINGRuRu SALTINGSALTING

Ir SEPARATIONIX

IrIr SEPARATIONSEPARATIONIXIX Rh PURIFICATIONRhRh PURIFICATIONPURIFICATION

Au PRODUCTAu PRODUCTAu PRODUCT

Pd PRODUCTPd PRODUCTPd PRODUCT

BM PRODUCTBM PRODUCTBM PRODUCT

Ru PRODUCTRuRu PRODUCTPRODUCT

Rh PRODUCTRhRh PRODUCTPRODUCT

Ag PROCESSAg PROCESSAg PROCESS

Ir PURIFICATIONIrIr PURIFICATIONPURIFICATION Ir PRODUCTIrIr PRODUCTPRODUCT

Pt PURIFICATIONPt PURIFICATIONPt PURIFICATION

Pt SALTINGPt SALTINGPt SALTINGBARRENS

COLLECTIONBARRENSBARRENS

COLLECTIONCOLLECTION

RESIDUESMELTINGRESIDUERESIDUE

SMELTINGSMELTING

FINAL EFFLUENTFINAL EFFLUENT

RECYCLE TORECYCLE TOBMRBMR

PGM CONCENTRATE

FROM BMR

16

Toll-Out production

-20,00040,00060,00080,000

100,000120,000140,000

FY1995

FY1996

FY1997

FY1998

FY1999

FY2000

FY2001

FY2002

FY2003

FY2004

FY2005

Tro

y o

z

-2.04.06.08.010.012.0

Pe

rce

nta

ge

Actual Pt Toll Out % of Gross Pt Production

Pipeline days

2831 138Iridium

91315Rhodium

51108Palladium

3385Platinum

20041995Financial Year

17

Annual platinum production

0

5 0 0

10 0 0

15 0 0

2 0 0 0

19 9 7 19 9 8 19 9 9 2 0 0 0 2 0 0 1 2 0 0 2 2 0 0 3 2 0 0 4

Fi nanci al Year s to June

Pt gr oss P t ex mi ne

Annual palladium production

0

200

400

600

800

1000

1200

1997 1998 1999 2000 2001 2002 2003 2004

Financial Years to June

00

0's

ozs

Pd gross Pd ex mine

18

Annual rhodium production

0

50

100

150

200

250

300

1997 1998 1999 2000 2001 2002 2003 2004

Financial Years to June

000'

s oz

s

Rh gross Rh ex mine

Impala Refining Services

19

Impala Refining Services (IRS)

Officially created in 1998

Dedicated vehicle for toll-refining and metal concentrate purchases

leverage surface assets and expertise

reduce unit costs (through economies of scale)

seek growth through strategic alliances and joint ventures

Key benefits

Key benefits of growth through IRS

reduced exposure to mining risk

lower investment

exploitation of smaller deposits possible

increased process throughput

20

How does IRS work?

Confirmation of third party resource

Impurity distribution

PGM grade

Aggregate volume/capacity availability

Equity involvement

Contract establishment

Tolling relationship with Impala Platinum Limited

Wholly-owned subsidiary

Arm's length toll-refining agreement

Metal recoveries

Metal pricing

Processing costs

Metal pipelines

Sampling / Analysis

21

Contract structures

Metal purchase agreements

Metal purchase after an agreed processing period

IRS retains agreed proportion portion of metal value

Toll refining agreements

Percentage return of market value

Refining

Smelting

Handling charge

Future growth

Autocatalyst and secondary refining

Everest South / Two Rivers

Mine Concentrates

22

IRS: platinum production

0

200

400

600

800

1000

1200

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

('000

t.ozs

)

Mine Concentrates Other Matte

Platinum production profile: matte / concentrate / other

IRS: PGM production

0

500

1000

1500

2000

2500

3000

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

('000

t.ozs

)

Mine Concentrate Other Matte

PGM production profile: matte / concentrate / other

23

0

150

300

450

600

750

900

1050

1200

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

('000

t.oz

s)

Other Kroondal Crocodile River WPL ConcentratesMimosa Messina Zimplats MarulaMarikana Two Rivers Everest South

IRS platinum profile by contract

Ambatovy Nickel Project

24

Dynatec - 37.5%

Implats - 37.5%

Sumitomo - 25%

Nickel laterite in Madagascar

Mining and ore treatment to mixed sulphide in Madagascar

Refining to cobalt and nickel metal in Springs

Ambatovy

Ambatovy

Nickel - 60 000tpa from Madagascar and 20 000tpa from Implats operation

Cobalt - 5 800tpa

Large ammonium sulphate credit

27-year mine life

25

Implats’ motivation

Save on further capital requirements in current BMR operation

Dilute current BMR fixed cost structure over a larger production volume

Leverage skills, infrastructure and hydrogen pipeline

Involvement in a world – class primary nickel producer

Under feasibility study with Hatch – SNC JV in Woodmead

Study complete in February 2005

EIA well progressed submission before December 2005

Metallurgical piloting complete

Current status

26

50% gearing

Total project - $2.3 billion

Lowest quartile operating costs

Approximately 12% capital spend at Springs

Pre-feasibility data

Minesite

ProcessingPlant

Madagascar - Ambatovy Project

27

JAROSITE

POWDER

STRIPMETAL

Cu / MnREMOVAL

NICKEL

BRIQUETTESNICKEL

POWDER

ZnSO

NaHS

EVAPORATOR

NICKEL REDUCTION

SOLUTION

PLANT

FILTRATION

Co REDUCTION

COBALT

COBALTBRIQUETTES

STEAM

ADJUSTMENTCo SOLUTION

PRESSURE LEACHH O

MILLING

SULPHIDEMIXED

Co / Ni SX

pH ADJUSTMENT& IRON POLISHING

EXIST. PGM BEARING PLANT

ZINC SX

FILTRATION

GOETHITE

COPPER

FILTRATION

TO SMELTER

MIXED SULPHIDEEX. PHILNICO - NONOC ISLAND

FILTRATION

CRYSTALLISER

SULPHATEAMMONIUM

ADJUSTMENT

CEMENTATION

REMOVAL

REFINERY PROCESS

RESIDUE RETURNTO PRESSURE LEACH

Ni

Co

(NH

) S

O

42

28

2

3NH

NH3

ASO4

2H

O0

2

H2

2H

4A

SO

NH3

Investor visit – Refineries

October 2005