Exxaro Resources Limited
Environmental, social and governance report for the year ended 31 December 2024 

Protecting air quality

Pollutants such as dust and particulate matter (PM) emanate from opencast mining activities that unavoidably generate dust, posing health and safety risks and negatively impacting the environment and our host communities. To address this, we aim to progressively reduce air quality emissions (dust fallout, PM10 and PM2.5) within our operating boundary.

Showcasing dust mitigation improvement in action

We conducted detailed measurement and monitoring of our operations' fugitive dust emissions to ensure we comprehensively comply to the revised draft Dust Control Regulations.

We have since developed detailed dust management plans for all our operations in anticipation of the revised Dust Control Regulations and for the reduction of air quality impacts associated with our operations.

Mitigation measures include:

  • Implementing innovative fugitive dust control techniques, such as stabilising haul road surfaces
  • Optimising water usage during wet suppression activities
  • Scheduling dust-intensive tasks with consideration for weather factors such as wind speed and direction
  • Using technology to ensure accurate measurement and monitoring of dust and air pollutants
  • Collaborating on regional dust mitigation and general air quality management

Showcasing dust suppression partnerships for local economic development in action

Lubocon Dust Suppression Project JV Proprietary Limited, a joint venture between Siluno Group and Lubocon Civils, has expanded its capabilities to deliver effective dust suppression and road maintenance services through Exxaro's ESD programme.

In 2021, Lubocon was awarded a five-year contract to provide dust suppression services at Grootegeluk mine and the Rustenburg depot. Initially leasing equipment, the company sought to own its assets and approached the Exxaro ESD programme, securing zero-interest loan funding of R20.2 million. This support, combined with the contract, enabled the creation of 58 jobs and boosted local procurement, with Lubocon sourcing plant hire and accommodation services from local businesses.

Building on its success, we awarded a three-year contract to Lubocon at Leeuwpan mine, creating an additional 30 jobs. The parent companies have committed to establishing Lubocon as a permanent, transformed player in the dust suppression industry, positioning the business for long-term growth and environmental impact.

Exxaro continues to drive solutions that integrate sustainable environmental practices with economic empowerment opportunities.

Our air quality management approach at a glance

Our risk-based air quality management plans and systems support sustainable pollution reduction measures for current and future operations. Implementation of these plans is driven through:

Accountability and responsibility

The chief sustainable impact officer approves air quality policies, procedures and mechanisms. Mine managers allocate capital, oversee projects and monitor impacts. BU specialists are responsible for compiling site-specific dust management plans.

Regulatory compliance

Our prevention and mitigation measures comply with relevant environmental legislation, particularly the National Environmental Management: Air Quality Act, 2004 (Act 39 of 2004) and associated regulations. We meet the conditions of our atmospheric emission licences and submit quantitative data to the National Atmospheric Emissions Inventory System.

Beyond compliance

Our approach integrates safety, health and environmental objectives, including:

  • Working with all stakeholders on air quality management
  • Participating in air quality public policy development
  • Contributing to community awareness campaigns
  • Collaborating with dust suppression service providers to explore and implement more effective technologies through pilot projects

We also aim to comply with dust fallout and air quality standards at levels below regulated limits.

To successfully implement sustainable air pollution reduction measures, we aim to conduct:

  • Quarterly air quality awareness and education campaigns
  • Continuous dust fallout monitoring at all operations
  • Continuous PM10 monitoring at all operations
  • Meteorological monitoring at all operations to provide surface data on temperature, wind direction and wind speed, which are essential for dispersion modelling, baseline characterisation, ambient monitoring design, dust fallout tracking and reporting

Our proactive approach to air quality management includes compliance to the Air Quality Act and monitoring changes to the National Dust Control Regulations to ensure BUs understand and adhere to fallout measurement, mitigation and reporting requirements, including protocols for exceedances or nonconformances. We regularly evaluate and enhance our management plans, expanding our monitoring network to maintain 100% coverage at all operations and improving data granularity.

We partner with research institutions to further advance air quality standards by refining emission quantification methods, especially for discard dumps. We also engage with the Coaltech Research Association, the National Association for Clean Air and government agencies in joint initiatives aimed at reducing pollution and carbon emissions in these critical areas.

CENNERGI

Cennergi's windfarms are exempt from monitoring, measuring and reporting as they do not create dust and air pollution. However, water trucks are used for dust suppression during biannual road maintenance works.

Prevention and mitigation

To ensure effective dust management, we incorporate best practice control measures based on safety and health considerations, environmental impact, regulatory requirements and compatibility with current processes and future developments. Our mitigation measures to minimise any impact on the environment or communities include:

  • Applying chemical and wet dust suppression on unpaved roads and open ground, with additives for enhanced effectiveness
  • Limiting drop heights during offloading
  • Controlling vehicle speeds using proximity detection systems and speed limiters
  • Vegetating topsoil stockpiles and overburden material
  • Optimising blast design with wind conditions in mind
  • Planting trees as windbreaks, as implemented at Belfast

Given the proximity of some operations to residential areas or sensitive receptors, we prioritise dust suppression on unpaved roads, which are a significant source of dust. During winter, we intensify dust control measures to address the potential for increased emissions due to high winds. We are also exploring environmentally friendly suppression technologies to reduce our reliance on chemicals.

Monitoring, measuring and reporting

Our dust monitoring networks are essential for regulatory compliance, which permits up to two exceedances per site annually for residential and non-residential areas (excluding consecutive months). These networks did not require any changes in 2024 due to previous efforts of ensuring they are comprehensive and representative.

In highly industrialised regions like Mpumalanga, ambient monitoring reveals exceedances in pollutants such as PM, sulphur dioxide (SO2), and nitrogen oxides (NOx) from multiple sources including vehicles.

As such, Exxaro actively supports air quality improvements in the Highveld and Waterberg-Bojanala priority areas to reduce cumulative environmental and community health impacts.

The DFFE tracks cumulative data for these regions, which we review regularly to assess our contributions and refine mitigation strategies in collaboration with stakeholders.

We report quantitative data to the National Atmospheric Emissions Inventory System.

Enabling effective monitoring using technology

We invest in advanced digital solutions for real-time emissions monitoring. A key example of this is the multi-pollutant ambient monitoring station at Grootegeluk. This station measures a wide range of emissions, including PM10, PM2.5 and SO2, providing critical data to support air quality management in the Waterberg- Bojanala priority area. By tracking pollutant levels in real time, we can adjust operations to minimise health and environmental impacts.

Awareness and education

For the past three years, we have run communication campaigns on air pollution and GHG emissions in our communities to raise awareness about the environmental impacts associated with mining activities. These campaigns empower our communities to change their behaviour and mindsets – highlighting the health impacts of using domestic fuels and assisting communities with access to renewable energy.

To ensure our campaigns remain relevant and determine how we can assist communities in reducing the impact of mining activities, we have quarterly feedback sessions on air quality data collected and mitigations implemented.

How we performed

          Highest recorded
  Maximum allowance Limits     2024 2023 2022
Non-residential dust fallout exceedances Two exceedances per BU per year (not occurring in sequential months) 1 200     1 at Matla, 2
at Belfast
1 at Matla 0
Residential dust fallout exceedances Two exceedances per BU per year (not occurring in sequential months) 600     0 2 at Matla 2 at Matla

We diligently monitored dust fallout across all Exxaro operations in alignment with the National Dust Control Regulations in 2024. Our comprehensive monitoring programme ensured that we maintained dust levels well within the prescribed limits of 1 200mg/m2/day for industrial areas and 600mg/m2/day for residential areas. Each BU submitted data to the National Emissions Inventory System.

Reduced rainfall at Belfast from May to October 2024 led to increased dust on haul roads. In response, we intensified dust suppression efforts, deploying additional water bowsers to reduce dust fallout.

Improving our performance

We are proactively preparing for the revised National Dust Control Regulations, currently open for public comment, by creating site-specific dust management plans. These plans include updating monitoring networks to ensure effective dust fall measurement. All the operating BUs have completed dust management plans in line with the draft regulations.

Additionally, we are aligning with the draft second-generation Highveld Priority Area Air Quality Management Plan and draft regulations for the Waterberg-Bojanala Priority Area, which set enhanced standards for compliance with the National Ambient Air Quality Standards. The proposals introduce expanded monitoring requirements, stricter compliance measures and measurable reduction targets for identified industries, including mining. Exxaro fully supports this approach, and Grootegeluk has submitted interventions to the Waterberg Integrated Task Team to support regional air quality improvements.

Projects implemented

Multi-pollutant monitor

The multi-pollutant monitoring station at Grootegeluk has been fully operational for over two years, backed by a service level agreement that ensures timely maintenance, calibration, and data accuracy. The station has recorded PM spikes, attributed to ash dust. This monitored data supports regional efforts in the Waterberg-Bojanala priority area to track and manage air quality impacts on community health and the environment.

Dust suppression services

Exxaro has appointed Dust-A-Side, a leading provider of dust suppression services, to effectively manage and reduce fugitive dust emissions through innovative technologies at Belfast and Grootegeluk. These services include high‑pressure mist spray systems, proprietary chemical applications, and dedicated maintenance teams to ensure optimal road conditions and minimal dust generation. At Grootegeluk, Dust-A-Side applied chemical dust suppression across all primary and secondary roads, significantly reducing dust levels and water usage.

Our primary focus in 2025 will be:

  • Implementing continuous dust fallout monitoring across all operations to ensure compliance with dust limits and maintain levels below regulatory standards
  • Establishing PM10 monitoring to assess particulate levels and support targeted mitigation
  • Installing weather stations at each site for essential meteorological data, aiding dispersion modelling, baseline assessments and dust reporting
  • Conducting air quality awareness campaigns and training for employees and local communities to reinforce dust management practices and reduce environmental impacts