nedbank styldrift i site visit 9 november 2016 · nedbank styldrift i site visit ... 9 november...

Nedbank Styldrift I Site Visit

9 November 2016

9 November 2016 – Nedbank Site Visit 2

BRPM JV location relative to neighbouring mines


Mineral resources and reserves – 4E Moz

4.44(4.47g/t)

1.93(4.2g/t)

6.19(4.50g/t)

2.77(4.21g/t)

Merensky reserve classification

Proven Probable

5.83(3.87g/t)

1.40(3.65g/t)

UG2 reserve classification

Proven Probable

15.56(7.42g/t)

9.61(6.77g/t)

5.48(7.34g/t)

18.79(7.46g/t)

11.09(6.82g/t)

7.45(7.57g/t)

Merensky resource classification

Measured Indicated Inferred

BRPM JV

SD

8.09(5.07g/t)

9.51(4.99g/t)

3.58(5.13g/t)

15.87(5.22g/t)

12.08(4.99g/t)

5.03(4.95g/t)

UG2 resource classification

Measured Indicated Inferred

BRPM JV

SD

SD

BRPM JV

No SD UG2

resources

converted to

reserves


Styldrift I Project

High quality

Merensky

• Shallow dip 40 - 60

• Resource grade of 6.94g/t 4E

• Resource of 72.90Mt

• LOM 30 years – Merensky only

Shallow Merensky

mine

• Twin vertical shaft system:

› 10.5mØ Main# - 758m deep

› 6.5mØ Services# - 723m deep

• Mean mining depth of 680m

Key operating

statistics

• Mechanised bord and pillar

• ±3100 employees - steady state

• 230ktpm – 2.7Mt/annum

• 4.33g/t 4E delivered grade

• 320koz 4E/annum in

concentrate

• 2020 steady state opex:

› 15% lower than BRPM

Production ramp up

• First ROM production Q3 2015

• Start of ramp-up Q1 2017

• 36 month ramp-up

• Steady state Q1 2020

High grade, long life Mechanised, low costShallow Near term


Styldrift I – a brief history….

2009 2010 2011 2012 2013 2014 2015 YTD Q3 2016

• Site establishment

and commenced

with:

› Terrace bulk

earthworks

› Manufacture of

Main & Services

shaft winders

• Focus on placing of

long lead item

orders

• Bulk earthworks

completed

• Bulk civils

completed:

› Shaft collars

› Winder houses

› Headgear

foundations

• Pre-sink Main and

Services shafts

• Pre-sink completed

April

• Main and Services #

headgears erected

• Commenced with

main sink in July

› Main# 219m bc

› Service# 152m bc

• Shaft sinking on-

going

• 600L Merensky reef

intersection

achieved in August

• Commenced with

lateral

development

• Optimisation study

• Sinking progressed

to 708L on Main

and Services shafts

• 2,300m lateral

development

completed

• Commenced with

construction of key

surface

infrastructure

• Surface & U/G ore

handling

infrastructure

construction

• Primary &

secondary fleet

orders placed

• Commenced with

Main # equipping

• Start o/land belt

construction

• Sinking contract

terminated

• Main #

commissioned

• Surface silo’s

completed &

commissioned

• Vent # 1

completed

• Commenced with

250ktpm plant

• H2-2015 slow down

of construction

• Completed 250ktpm

in plant upgrade

• Silo 2 construction

completed

• 3.7km lateral

development

• Commenced with:

› Upfront Service#

equipping works

› Silo 3,4 & Settler1

preparation work

• 290kt ore delivered

@ 3.18g/t

Progressive CAPEX

R212 million

Progressive CAPEX

R689 million

Progressive CAPEX

R1 257 million

Progressive CAPEX

R1 883 millionProgressive CAPEX

R2 686 million

Progressive CAPEX

R3 818 million

Progressive CAPEX

R5 490 million

Progressive CAPEX

R6 086 million

9 November 2016 – Nedbank Site Visit

0.55 0.54

0.82

0.26

0.07 0.120.17 0.14 0.11 0.09

0.070.00

0.10

0.20

0.30

0.40

0.50

0.60

0.70

0.80

0.90

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

SIFR

Zero Serious injuries in

7 Years

(20% YOY reduction)

6

Safety – LTIFR & SIFR

Safety

• Full compliance of Safety Strategy > YOY 20% improvement in SIFR and LTIFR

> Training programme on safety strategy

• Zero harm> People selection and assessment

> Tshwarelela Wall

• Road to resilience > Emotional Fitness (profiling as we employ)

> Knowledge: Anglo School of Mines & Standard Testing

> Technology: PDS, VDS, TRAKA key control system, CAS (Collision

avoidance system), Electronic explosives key control, CCTV monitoring,

LHD Camera

Health

• Annual percentage hearing loss difference <2.5%

• ZERO TB deaths for persons on the RBPlat TB program

• Contractors onto Platinum Health medical aid

Environment

• Improved closure action plan

• No overflow of any polluted water into the natural

environment

• Obtain ISO 14001 certification at Styldrift

0.66

1.17

1.64

0.76

0.53 0.60

0.35 0.28 0.22 0.18 0.14

0.00

0.20

0.40

0.60

0.80

1.00

1.20

1.40

1.60

1.80

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021

LTIFR

Zero Harm in 7 Years

(20% YOY reduction)

http://10.150.70.10/

E:/BP/STYLDRIF-LH104_20161010_023550_023600-LH104 DRIVING INTO DS101.exe


ZERO Harm & Road to Resilience

Tshwarelela Wall SILO Station CAS System


General shaft and level layout

Shaft bottom ramp

708 Level – Shaft Loading and Pumping level

Silos (2x Merensky, 1x Waste & 1x UG2)

Main shaft – Ø10.5m

Services shaft – Ø6.5m

642 Level – Top of silos and Section Ore

Handling

600 Level – Main Production level (on-

reef)

Settlers

Vent shaft No.1


Post slow down progress to date

• 9 Mining production crews:

› 600 level = 4 x development and 2 x stoping

crews

› 642 level = 2 x development crews

› 708 level = 1 x development crew

• 3 Mining production construction crews

• 4 Infrastructure construction crews

› Services shaft equipping

› Silo construction

› Settler construction

Two sections

pre-established

West

Two sections

pre-established

East

Services # Trackless Workshops

Main #

Vent #

No.3

Vent # No.1

LEGEND

Mined Out − Sept 2015

Progress Sept’15-Sept’16

Remaining

Key production stats:

• 290kt ore delivered to concentrator

YTD

• 3.7km of development completed YTD

• 354kt ore delivered since Aug 2015

• 4.8km development completed post

Aug 2015

Mining and construction continue to progress steadily and remain aligned with our revised construction programme – commence ramp-up Q1 2017

9 November 2016 – Nedbank Site Visit

0 2 4 6 8 10 12 14 16

-160

-150

-140

-130

-120

-110

-100

-90

-80

-70

-60

-50

-40

-30

-20

-10

0

10

20

30

40

50

60

70

80

90

100

110

120

130

140

4E (g/t)

Sam

pling r

ange

Mining Cut : 210cm

MRM Evaluation : 4.20 g/t (60 Sections)

Resource Model : 4.10 g/t

10

Grade reconciliation – face samples vs. resource model


Styldrift I - 150ktpm ramp-up strategy

Execution risk mitigation strategies

• Early adoption and implementation of technology - CAS

• Focus on asset creation efficiency

• Optimised designs – workshops, bulkheads and twin declines

• Improve operational efficiency by “de-coupling” management structures related to infrastructure development/construction and ramp-up

• Create ore-handling flexibility through the introduction of dump trucks during the construction of Silo 3 and 4

Underground Infrastructure

• 600 Level

> Stores

> Trackless workshops (32 mined, 24 equipped)

> Ancillary workshops (fuel bays, tyre bays, wash bays etc.)

> Extend on-reef declines to establish 12 sections (8 stoping and 4

spare IMS)

> Vent shafts No.2 and 3

• 642 Level

> Access and develop twin declines North and South

> Level ore handling infrastructure (section ore-pass installations,

decline conveyor and top of silo construction)

> Access and establish East declines

• 708 Level

> Water handling infrastructure

> Shaft ore handling infrastructure

Surface Infrastructure

• Complete 250ktpm concentrator upgrade – “Dry scope”

> ROM ore silo

> Crusher and mill silo feed conveyors

• Overland belt to BRPM concentrator complex

All key LOM infrastructure installed and commissioned during the 150ktpm phase able to support 230ktpm


600 Level mining and construction activities – 150ktpm

Main #

Service #

Vent # No.1

Vent # No.2

Vent # No.3

Underground

consumable

stores

TM3

Workshops

South 01 Tip

South 02 Tip

North 01 Tip

North 02 Tip

Ancillary workshops:

Refuelling

Tyre bays

Wash bays

TM3 stores

Key focus

• Mining and equipping of trackless equipment

workshops

• Access and advance reef declines North and South

• Establish section tips No.1 and No. 2 to the North and

South – ore handling for 8 stoping sections

• Equip required workshop infrastructure

• Establish and equip underground trackless and

consumable stores

LEGEND

Current workings – Oct 2016

150ktpm Infrastructure to be completed


642 Level mining and construction activities – 150ktpm

Key focus

• Mining and equipping of trackless equipment

workshops

• Access and advance twin declines North and South

• Establish No.1 and No. 2 ore passes to the North and

South – ore handling for 8 Stoping sections

• Top access for silo and settler reaming and

construction

• Construct and commission North and South decline

conveyors and top of silo (TOS) infrastructure

North 01 Ore

pass

South 01 Ore pass

LEGEND



Main #

Services #

TM3

Workshops

Top of

Settlers

North 02 Ore pass

South 01 Ore pass

Top of

Settlers

South Decline conveyor – TOS3

North Decline conveyor - TOS4


708 Level development and construction activities – 150ktpm

Main #

Services #

Shaft Bottom Spillage Ramp

Bottom of Vent # No 1

Silo 1

Silo 2

Silo 4

Silo 4

Sett

ler

1

Sett

ler

2

Silo 3

Bottom Silo Conveyor

Drive

Shaft Loading

Box

Main Pump

Station Mud Filter

Press

LEGEND



Key focus

• Ore handling infrastructure

› Silo 3 and 4 commissioned

› Bottom of silo conveyor extended to silo 4 and

commissioned

• Water handling infrastructure:

› Settler 1 commissioned

› Settler 2 excavation completed

› Main pump station and filter press

commissioned

• Installed water and ore handling capacity can

support 230ktpm


150ktpm Production profile

• Capital cost of 4.75 billion

• Ramp-up to 150ktpm over the next 2.5 years reaching 150ktpm

Q4 – 2018

• Lower capital requirement in current market environment

• 230ktpm Phase II ramp-up market dependant

> 100ktpm concentrator module

> Additional section development

> Associated fleet and infrastructure

0

500

1 000

1 500

2 000

2 500

3 000

2017 2018 2019 2020 2021

kt

Styldrift delivered tonnes

Phase I - 150 ktpm Phase II - 230 ktpm

0

50

100

150

200

250

300

350

400

2017 2018 2019 2020 2021

koz

Styldrift recovered ounces

Phase I - 150 ktpm Phase II - 230 ktpm


Visit route


Induction Video

Induction Video

E:/Styldrift Induction Video/VIDEO_TS/VTS_01_1.VOB


Thank You

nedbank styldrift i site visit 9 november 2016 · nedbank styldrift i site visit ... 9 november...

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