Integrated Annual Report 2016

A view from the top

Perspective from the Chair

The past year has been particularly significant for Sibanye. We concluded the acquisitions of Aquarius Platinum Limited and the Rustenburg assets, establishing Sibanye as a leading PGM producer.

DOWNLOAD PDF

Chief Executive’s review

Our strategic vision at Sibanye is to create superior value for all of our stakeholders, and as a company, if we are to deliver value in a sustainable manner, we need to ensure delivery through all the phases of the economic and commodity cycles.

DOWNLOAD PDF

Chief Financial Officer’s report

Our net asset value per share has increased by 40% since Sibanye’s listing in 2013.

DOWNLOAD PDF

... Value created

Outputs

Produced:
Gold
1.51Moz
Platinum
238,662oz
Palladium
136,156oz
4E PGM
420,763oz
Uranium
123,000lb
Nickel
2,060t
Chrome
274,109t
Revenue generated through metal sales:
R31.2 billion

Outcomes

Of the revenue generated, value is distributed as follows:
Employees – salaries and wages paid
R9,276 million
Government – taxes and royalties paid
R1,733 million
Procurement – total discretionary
R9,914 million
Proportion BEE procurement
77%
Communities – socio-economic development
R656 million
Profit
R3,271 million
Investors – dividends declared
R1,343 million
Dividend yield1
5.7%

Enhanced outcomes and impacts

FINANCIAL AND MANUFACTURED CAPITAL

Optimising processes to reduce costs, maintain infrastructure and invest in organic growth:
Gold Division: Total cash cost:
R377,034/kg (US$799/oz)
Gold Division: All-in sustaining cost:
R450,152/kg (US$954/oz)
Platinum Division: Operating cost:
R10,296/oz (US$701/oz)
Group operating margin:
34%
Market capitalisation:
R23.6 billion ($1.7 billion)
Share price:
R25.39 (US$7.06) at year end
Total shareholder returns:
36% dividend payout ratio

HUMAN AND INTELLECTUAL CAPITAL

Creating employment, ensuring the safety, health and wellbeing of employees, enhancing skills development and training
Occupational health expenditure:
R38.5 million
Training and skills development:
6.99 million training hours
Investment in systems and engineering to improve safety and productivity:
R16 million
Fatalities:
14
LTIFR:
6.62 per million hours worked

NATURAL CAPITAL

Creating value by extracting, mining and processing ore:
Volume of ore mined:
31.8Mt
Water consumed (withdrawn and used):
45,860Ml
Electricity consumed:
4,720,323MWh
Scope 1 and 2 GHG emissions:
5.4Mt
Total closure liability:
R6.1 billion
Environmental incidents (level 3 and 4):
19

SOCIAL AND RELATIONSHIP CAPITAL

Creating employment, alleviating poverty, promoting enterprise development and social upliftment
BEE procurement spend:
R7.6 billion (77% of total discretionary spend)
Socio-economic development expenditure:
R656 million
Spend on approved SLP projects:
R59 million