Exxaro Resources Limited

Integrated report for the year ended 31 December 2024

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Introduction

Introduction

Introduction

Exxaro is a JSE-listed company operating mainly in South Africa. Coal is our core commodity and we have an established energy solutions business.Our additional growth prospects include energy transition minerals and energy solutions.

Navigating this report Our reporting theme: Positioning Exxaro to win through our resilient strategy About this report Creating sustainable growth and impact
Who we are

Who we are

Who we are

We are driving sustainable growth to create future impact while positioning our business to navigate complex challenges with resilience. Environmental sustainability and social equity are key considerations on our journey. We are committed to ensuring our progress contributes meaningfully to the lives we touch as we strive to support a low-carbon economy.

Chairman's statement About Exxaro Our business model
The forces
shaping our business

The forces
shaping our business

The forces shaping our business

As we navigate the impacts of external factors on our business, we are focused on ensuring our resilience. Committed to powering better lives in Africa and beyond, we are exploring growth opportunities in energy transition minerals while optimising our coal portfolio to support energy security. Our goal is to create sustainable value for stakeholders and contribute to an energy landscape that is impactful and inclusive.

Our operating context Our outlook Our risks and opportunities Creating stakeholder value Our material matters
Strategically positioning
the business for growth

Strategically positioning
the business for growth

Strategically positioning the business for growth

We recognise the delicate balance between a rapid transition to a low-carbon world and a fair, equitable shift that benefits all stakeholders. Through our Sustainable Growth and Impact strategy, we are positioning Exxaro for sustainable growth and a meaningful impact for all our stakeholders while ensuring our long-term resilience.

Acting CEO and FD's report* Our Sustainable Growth and Impact strategy Performance against our strategy Availability, quality and affordability of capitals shaping our strategic decision making and value creation
Prioritising
good governance

Prioritising
good governance

Prioritising good governance

A robust governance approach is essential to our ability to create value. Aligned with our theme, Positioning Exxaro to win through our resilient strategy, we uphold good governance to drive sustainable growth and stakeholder confidence. Our commitment to responsible business practices supports our strategy and enables future readiness.

Our leadership Executive leadership Summarised governance report Board key matters in focus Ethical culture Performance and value creation Adequate and effective control Trust, good reputation and legitimacy

Audit committee Investment committee Logistics committee Nomination committee Remuneration committee Risk and business resilience committee Social, ethics and responsibility committee Combined assurance for effective governance
Creating value

Creating value

Creating value

Directed by our strategy and guided by our values, we are driven to create sustainable value while remaining resilient in a transitionary environment.

Financial capital Manufactured capital Intellectual capital

Human capital Social and relationship capital Natural capital
Our Mineral Resources
and Mineral Reserves

Our Mineral Resources
and Mineral Reserves

Our Mineral Resources and Mineral Reserves

We are extracting maximum value from our existing coal asset base while seeking opportunities to grow our mineral asset base portfolio, equipping us to flourish in a low-carbon economy.

Our Coal Resource and Coal Reserve reporting strategy Glossary Administration Downloads

Glossary

API4

Argus/McCloskey Coal Price Index

BEE Parties

Eyesizwe's external shareholders

Black Mountain

Black Mountain Mining Proprietary Limited

Bloomberg GEI

Bloomberg Gender-Equality Index

BU

Business unit

Cennergi

Cennergi group of companies

CMRR

Consolidated Mineral Resources and Mineral Reserves

COP28

2023 UN Climate Change Conference of the Parties

CSA

Coal supply agreement

CSI

Corporate social investment

DEI

Diversity, equity and inclusion

DMRE

Department of Mineral Resources and Energy

dtic

Department of Trade, Industry and Competition

DWS

Department of Water and Sanitation

EBITDA

Net operating profit before interest, tax, depreciation, amortisation, impairment charges or impairment reversals and net losses or gains on the disposal of assets and investments (including transaction differences recycled to profit or loss)

ECD

Early childhood development

ESD

Enterprise and supplier development

ERM

Enterprise risk management

Exxaro

Exxaro Resources Limited

FTSE

Financial Times Stock Exchange

HEPS

Headline earnings per share

HPI

High-potential incident

IFRS

International Financial Reporting Standards

IRP

Integrated Resource Plan

JSE

Johannesburg Stock Exchange

King IV

King IV Report on Corporate Governance^TM for South Africa, 2016

LoM

Life of mine

LSP

Lephalale solar project

LTI

Lost-time injury

LTIFR

Lost-time injury frequency rate

Mining Charter III

Broad-based Socio-economic Empowerment Charter for the Mining and Minerals Industry 2018

MoI

Memorandum of incorporation

POPIA

Protection of Personal Information Act, 2013 (Act 4 of 2013)

PV

Photovoltaic

RBCT

Richards Bay Coal Terminal Proprietary Limited

RBR

Risk and business resilience committee

ROCE

Return on capital employed

RoM

Run of mine

SDG

Sustainable Development Goal

SERC

Social, ethics and responsibility committee

SIOC

Sishen Iron Ore Company Proprietary Limited

SLP

Social and labour plan

STI

Short-term incentive

TCFD

Task Force on Climate-Related Financial Disclosures

TFR

Transnet Freight Rail

UNGC

United Nations Global Compact

VFL

Visible felt leadership