Name of the Project
Burnstone gold project.

Location
Balfour area, in Mpumalanga, South Africa.

Project Owner/s
Sibanye-Stillwater.

Project Description
The Burnstone project is a low-cost, extensively predeveloped gold asset, which was previously operated under Great Basin Gold.

The project has mineral reserves estimated at 20.6-million tonnes grading 3.9 g/t as at December 31, 2021.

Existing infrastructure includes a functional metallurgical facility; an established tailings storage facility; an equipped and functional decline shaft and trackless decline; surface infrastructure, such as offices, workshops and compressors; and extensive underground development and infrastructure.

The relatively shallow underground mining operation will mine the Kimberley reef to an average depth of about 550 m below surface (deepest 1.05 km).

The project will produce about 138 000 oz/y of gold at steady state with a life-of-mine to 2044.

Potential Job Creation
The project is expected to create 2 500 long-term jobs. This is creating opportunities for procurement, which will benefit local businesses and the local economy, small, medium and micro-enterprises development and skills transfer.

Net Present Value/Internal Rate of Return
The latest optimised project evaluation generates a 20% internal rate of return and a net present value of R1.3-billion at a gold price of R800 000/kg (2022 real terms)

Capital Expenditure
Total project capital of R2.8-billion (from 2021 onwards) and preproduction capital of R1.5-billion is forecast, primarily to complete underground and surface infrastructure and acquire trackless mobile machinery (TMM). Project capital expenditure of R1.95-billion is forecast in 2023 (2022 real terms)

Planned Start/End Date
The project restart was approved in 2021, with first production expected in 2024. The life-of-mine is estimated at 22 years.

Latest Developments
Sibanye reported in February this year that the Burnstone project was 47% complete against a planned 55%, development having been impacted on by: the three-month industrial action at the South African gold operations, which resulted in the suspension of all activities over that period and required a phased gradual return to operating activities; supply chain constraints experienced globally affecting trackless mobile machinery (TMM) deliveries and the slower than planned recruitment of skilled personnel, particularly critical TMM skills locally.

Meanwhile, the establishment of the required surface infrastructure is progressing well. Further, the required TMM equipment has been received and is in operation.

The 56E central underground workshop has also been completed and the 60E underground reservoir advanced for completion in early 2023.

The immediate focus remains on completing the required infrastructure, recommissioning the existing metallurgical plant and achieving the required development run rate.

Key Contracts, Suppliers and Consultants
Read, Swatman & Voigt, or RSV (engineering design team for the balance of the engineering design); DLC Town Plan (access surveying and registration of the new servitudes for the new access road to Burnstone); and DTS (appointed for the design change to remove the skips from the shaft using the rock winder bank area).

Contact Details for Project Information
Sibanye-Stillwater executive VP: investor relations James Wellsted, ir@sibanyestillwater.com.