African Rainbow Minerals Ltd.

African Rainbow Minerals Ltd. is a mid-tier iron and pgm producer headquartered in Sandton, South Africa, operating primarily in Africa. The company's portfolio consists of 9 projects, comprising 7 operating mines, 1 development, and 1 suspended project. Key assets include Black Rock, Two Rivers, and Khumani. The organization's business model is centered on a diversified portfolio of mining and minerals operations, integrating extraction with downstream beneficiation and alloy production. A key operational characteristic is the application of an owner-operator model combined with an entrepreneurial management approach to maintain global competitiveness. The company actively develops more cost-effective and energy-efficient smelting technologies to enhance its processing capabilities. Strategic differentiation is achieved through a resilient portfolio of quality, long-life assets, a robust financial position, and a commitment to fostering positive relationships with neighboring communities. The business framework is structured around creating value across six capitals: financial, manufactured, human, social and relational, natural, and intellectual. A comprehensive enterprise risk management process and a combined assurance model are integral to its governance and operational oversight, ensuring alignment of production capacity with logistical constraints and market dynamics.

The corporate strategy is built upon three core pillars: operating responsibly, building resilience, and preparing for the future. The 'Responsible' pillar focuses on achieving operational excellence by enhancing efficiencies, containing unit costs through technology and innovation, and ensuring a safe work environment while investing in employees and communities. The 'Resilient' pillar emphasizes prudent capital management to maintain a robust financial position, enabling opportunistic and value-enhancing investments with integrated ESG criteria. The 'Ready' pillar is geared towards future value creation through innovation, supporting inclusive local business opportunities, and pursuing a strategic transition to net-zero emissions by 2050. Capital allocation is disciplined, with investments benchmarked against metrics such as net present value, internal rate of return, and payback period, as well as shareholder returns through dividends and potential share buybacks. Growth is pursued through both organic development and strategic acquisitions that align with long-term value-accretive objectives.

Executive leadership is structured with an Executive Chairman and a Chief Executive Officer, who guide the company's focus on cost management, productivity improvements, and strategic diversification. The board of directors consists of 14 members, of whom 11 are independent non-executive directors, ensuring robust oversight and governance. Board effectiveness is supported by 6 specialized committees: Investment and Technical, Audit and Risk, Remuneration, Social and Ethics, Nomination, and a Non-executive Directors' committee. The governance framework adheres to King IV principles and includes regular external assessments of board effectiveness. The remuneration philosophy is designed to attract and retain talent by linking compensation to performance across economic, social, and environmental outcomes. Executive remuneration includes safety as a key performance indicator, directly connecting leadership accountability to the organization's zero-harm commitment.

The sustainability approach is anchored by a commitment to achieve net-zero greenhouse gas emissions from mining by 2050, supported by concrete decarbonization pathways. A key initiative is a long-term agreement with an independent power producer to supply 100MW of renewable solar power to certain operations, with delivery expected by August 2025. Environmental stewardship includes the implementation of the Global Industry Standard on Tailings Management (GISTM) across all relevant facilities, with public conformance reports available. Social commitment is demonstrated through investments in community infrastructure, focusing on water, sanitation, health, and education, alongside support for local enterprise development and preferential procurement. Workplace health and safety are prioritized through a zero-harm objective, reinforced by risk-based occupational medical surveillance programs that address specific health issues and provide comprehensive mental health support via an employee assistance program.

The corporate structure comprises a combination of wholly-owned operations and significant joint ventures. A primary structural element is a 50/50 joint venture with Assore Limited, conducted through the entity Assmang Proprietary Limited, which governs the company's ferrous division. Other key partnerships include a joint venture with Anglo American Platinum, which holds a 50% interest in a specific operation, and another with Impala Platinum, which holds a 46% interest in a separate asset. The company has a pending agreement to acquire the 50% participation interest held by Norilsk Nickel Africa in a joint venture currently on care and maintenance. A recent acquisition, effective September 2022, is held via a consortium in which the company plans to allocate a 15% shareholding to employees, communities, and black industrialists. Strategic investments include an 11.8% holding in Harmony Gold Mining Company Limited and the acquisition of a 15% stake in Surge Copper Corporation, a Canadian-listed entity, completed on May 31, 2024.