Exxaro Resources limited
Environmental, social and governance report 2021

About Exxaro

Exxaro has two decades of experience in mining, energy and ESG.

We have a diversified asset portfolio comprising interests primarily in coal, a growing renewable energy solutions business and equity-accounted investments in ferrous (iron ore) and zinc. We have plans to invest and diversify into manganese, bauxite and copper.


R75.7 billion

at 31 December 2021

(2020: R78.6 billion)


Coal mines:







in 2021

(2020: 47.4Mt), including buy-ins of 0.2Mt (2020: 0.3Mt), reflecting contributions from our expanded flagship Grootegeluk mine

Constituent of the JSE Top 40 Index




R53.4 billion/

US$3.4 billion

in 2021

(2020: R50 billion/US$3.4 billion)

Among the top 30 in the FTSE/JSE Socially Responsible Investment Index

We are among the top five coal producers in South Africa. Hence, we understand the importance and ambition of being carbon neutral and achieving net zero carbon by 2050, and strive to be an active participant in the just transition to a low-carbon economy. We have started incorporating renewable energy solutions into our business portfolio, as evidenced by our 100% ownership of Cennergi since 1 April 2020. Exxaro is also proud to embrace the principles of the Task Force on Climate-related Financial Disclosures (TCFD).

We also have business interests in Europe (comprising a marketing and logistics office in Switzerland) and Australia (comprising a joint operation with Anglo Coal (Grosvenor Proprietary Limited) in the Moranbah South project).

ownership structure
* Eyesizwe (RF) Proprietary Limited (Eyesizwe), a special purpose vehicle (SPV) private company, incorporated under South Africa’s laws, holds the BEE shares.
# Matla Setshabong NPC.
Border symbold

Our company is rooted in South Africa and respected by our peers for innovation, ethics and integrity.



100%* ownership: Coal

Our core operation is thermal, semi-soft coking and metallurgical coal mining, supplying Eskom, other domestic markets and offshore markets

Our coal mining business (including Reductants) is structured under five legal entities, all managed and operated by Exxaro, supplemented by a joint venture for the Mafube operation and an equity interest in Richards Bay Coal Terminal Proprietary Limited (RBCT)

Base metals

26% equity interest: Black Mountain

Black Mountain operates two underground mines and a processing plant in the Northern Cape producing zinc and other minerals

We continue evaluating our options to dispose of our shareholding in Black Mountain following the suspension of the sale in December 2020


20.62% equity interest: SIOC

SIOC is a leading supplier of high-quality iron ore to the global steel industry and a subsidiary of Kumba Iron Ore


Renewable energy

Our renewable energy business consists of 239MW of wind generation assets in the Eastern Cape that contribute to national energy supply

100% ownership


Our renewable energy business

* Includes 50% joint control of Mafube.


asset location

Our coal asset base is a key differentiator and critical part of how we create value for our stakeholders.



Our minerals business comprises coal operations and investments are iron ore and zinc. We have deep roots in mining with a track record of operational excellence and delivering value.


Coal mining is our primary business, structured under five legal entities that we manage and operate. We also have a:
  • 50% joint venture with Thungela Resources Limited in the Mafube operation
  • 10.26% effective equity interest in RBCT
  • 26% effective equity interest in Black Mountain
  • 20.62% effective equity interest in SIOC
  • Largest high-quality Coal Reserves remaining in the country, providing a platform for early value returns
  • Largest supplier of energy coal to Eskom and ArcelorMittal South Africa Limited (AMSA)
  • Five managed coal operations (including 50% share of Mafube) produced 42.5Mt of thermal and metallurgical coal (2020: 47.4Mt), down 10% in 2021 – the majority of power station coal is supplied to Eskom
  • Grootegeluk is acknowledged as one of the largest integrated mining and beneficiation operations globally, running the world's largest coal beneficiation complex, and the only producing mine in the coal-rich Waterberg, adjacent to Eskom's Matimba and Medupi power stations – Grootegeluk's capacity is expanding by 7% (1.7Mtpa) with the double-stage beneficiation plant, Grootegeluk 6 (GG6) and new rapid load-out station to enhance the growth of our export sales volumes
  • As at 31 December 2021, 82% of the R17.5 billion capital expenditure was spent on greenfield and brownfield expansion and sustaining projects (2020: 74%)

Our energy business comprises interests in renewable energy through our wholly owned subsidiary, Cennergi.

Renewable energy assets

Cennergi is a southern African-based diversified independent power producer (IPP) that focuses on asset management and the development, ownership, operation as well as maintenance of its own renewable energy projects and some owned by other companies. Cennergi has two established wind projects in the Eastern Cape (the Tsitsikamma community windfarm (95MW) and Amakhala Emoyeni (134MW)), which reached commercial operation in 2016. The energy business is also planning the development of the 70MW Lephalale Solar Project in a ringfenced SPV that will supply renewable energy to our Grootegeluk complex, reducing our carbon footprint and electricity costs.

The two windfarms are SPV companies with no management or employees. Cennergi provides full business, project execution and operations management services under separate management service agreements. Cennergi is responsible for the windfarms' environmental and social management and implementation of SPV commitments, and ensures adherence to applicable environmental, social, legal, regulatory and corporate requirements.

Our investments in renewable energy will enable us to deliver on our strategy, detailed on Our strategy: Positioning Exxaro for enduring success

For details about our wind operations, refer to About Exxaro in the integrated report.

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About this report
About Exxaro
Evolution of a 21st century company
Our ESG perspective
Measuring our performance
Strategic key performance indicators
Stakeholder management

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Air quality
Climate change resilience
Energy management
Water security management
Waste management
Environmental liabilities and rehabilitation
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Ethical culture
Performance and value creation
Adequate and effective control
Trust, good reputation and legitimacy
Board of directors
Our executive team
Remuneration and nomination committee report
Remuneration committee report
Nomination committee report
Risk and business resilience committee report
Social, ethics and responsibility committee report
Audit committee report
Investment committee report
King IV application register
Remuneration report
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Human rights

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GRI index
SASB index
Task Force for Climate-Related Financial Disclosures (TCFD)
Assurance report
Appendix A: Criteria