About our integrated report

Exxaro's integrated report for the year ended 31 December 2022 is a value creation story for our stakeholders, particularly our shareholders and other providers of financial capital.

Scope and boundary

The report contains material information about our strategic decisions and operational performance for the period 1 January 2022 to 31 December 2022 (the 2022 financial year). It covers the financial and non-financial information of our wholly owned and joint arrangements in South Africa, Europe and Australia. The reporting boundary incorporates material information about Cennergi Proprietary Limited (Cennergi). We consolidated material information related to Cennergi's safety incidents into the Exxaro group's results. Unless otherwise stated, we no longer include information on Exxaro Coal Central Proprietary Limited (ECC) operations since its disposal in September 2021.

We include limited information on operations where we do not have management control but hold an important equity interest, namely Black Mountain, Richards Bay Coal Terminal Proprietary Limited (RBCT) and Sishen Iron Ore Company Proprietary Limited (SIOC), a subsidiary of Kumba Iron Ore Limited, or joint control, being Mafube Coal Mining Proprietary Limited (joint venture) and Moranbah South coal project (joint operation).

The 2022 integrated report summarises the most material information of the ESG and CMRR reports. Further detail on our financial performance is available in our annual financial statements, and historical performance in previous reports.

Reporting boundary

(risks, opportunities and outcomes)

Sustainable Growth and Impact strategy

Business model

Operational performance

Material matters

Business risks and opportunities

Governance

Financial reporting entity

(control and significant influence)

• Subsidiaries
• Joint arrangements
• Investments

Stakeholders

• Government and regulators
• Employees and labour unions
• Communities
• Investors
• Suppliers
• Customers
• Civil society
• Others

We report our progress in creating and preserving value, and preventing the erosion thereof, in the short, medium and long term. The report contains the most material information about our value creation transparently and understandably.

Materiality

We distinguish the information to include in this report through a double materiality determination process, which identifies the matters that impact our ability to create value (financial materiality), and our impact on the environment, communities and society (impact materiality). We group these material matters into themes that link to the resources we use and affect.

Material matters

Frameworks and guidelines

The content of the report is guided by:

• Our materiality determination process
• The Companies Act of South Africa, 2008 (Act 71 of 2008), as amended (Companies Act)
• The Integrated Reporting Framework
• International Financial Reporting Standards (IFRS)
• The JSE Limited (JSE) Listings Requirements
• Department of Trade, Industry and Competition (dtic) broad-based black economic empowerment (B-BBEE) codes of good practice
• Broad-based Socio-economic Empowerment Charter for the Mining and Minerals Industry 2018 (Mining Charter III)
• The United Nations Global Compact (UNGC)
• Global Reporting Initiative standards (elements of the ESG report are cross-referenced for a broader perspective)
• The King IV Report on Corporate Governance^TM for South Africa, 2016 (King IV)¹
• The South African Code for the Reporting of Exploration Results, Mineral Resources and Mineral Reserves, 2016 edition (SAMREC Code)
• TCFD recommendations
• The Sustainability Accounting Standards Board (SASB)

1	Copyright and trademarks are owned by the Institute of Directors South Africa. NPC and all of its rights are reserved.

Assurance

KPMG provided independent reasonable assurance over key sustainability information in this report. The key performance data assured by KPMG is detailed in

combined assurance for effective governance.

Board responsibility

The board of directors (board) acknowledges its responsibility for ensuring the integrity of our reporting suite, including this integrated report, which was prepared in accordance with the Integrated Reporting Framework. The board believes the report addresses all Exxaro's material matters and presents a balanced view of our strategy, business model and Exxaro's ability to create and preserve value over the short, medium and long term, as defined by the six capitals. The report remains the ultimate responsibility of the board, is prepared under the supervision of senior management and is subject to rigorous internal and external assurance reviews.

14 April 2023