Exxaro Resources Limited
Integrated report for the year ended 31 December 2024 

The investment we make in our communities reflects our commitment to social responsibility. Guided by sustainability, stakeholder inclusiveness and collaboration, we uplift and empower our host communities to build better futures.

Understanding social and relationship capital at Exxaro

Our social and relationship capital refers to mutually beneficial relationships that provide our social licence to operate. To ensure we have a holistic, positive and lasting impact on our people, communities and society at large, we conduct our business activities in a way that promotes development and success for us and our stakeholders.

How we deliver value through our social and relationship capital

We strive to leave a positive legacy in our communities by implementing large-scale community development initiatives. We deliver value and achieve tangible impact through the Social Impact strategy, which focuses on land use management, education and SMME development. The strategy aims to mitigate systemic social challenges in our communities through a long-term perspective. Through the lens of the SDGs, this will have a lasting positive impact on communities and reduce poverty by combining multidimensional approaches that address education, economic wellbeing and access to land for economic activity. The strategy will also allow us to influence other areas of wellbeing without additional investment.

Material theme Matters Strategies to achieve our objectives Related strategic
objective
Our broader
impact

Building
sustainable
communities
  • Social licence to operate
  • Supporting a just transition to a low-carbon economy
  • Upholding and respecting human rights
  • Sustainable job and business creation

Performance snapshot

Social impact

Local contracts worth R1.2 billion were awarded to 38 suppliers (2023: R1.9 billion; 31 suppliers)

R187.29 million invested by Exxaro and Cennergi in socio-economic and ESD programmes (2023: R223.51 million)

51 jobs created through SLPs (2023: 29)

Certified level 2 B-BBEE contributor (2023: level 2)

Four cases of community unrest at Leeuwpan (2023: four)

Our primary focus in 2025 will be to continue:

  • Going beyond compliance and achieving sustainable impact through our Social Impact strategy
  • Enhancing our efforts to ensure delivery of the SLPs
  • Strengthening economic opportunities and support for livelihoods in our communities

DETAILED DISCLOSURE

Our strategic response to building social and relationship capital

We aim to foster inclusive, healthy and empowered communities while ensuring long-term resilience and value creation.

Our approach is embedded within our Sustainable Growth and Impact strategy, guided by ESG objectives that prioritise sustainable impact, human rights, land management and collaborative partnerships.

ESG objectives     Supporting the achievement of our
Sustainable Growth and Impact strategy
  Social impact To contribute towards social cohesion and sustainable community development      
  Human rights To respect and uphold human rights for all people in Exxaro's sphere of influence, ie where we have the ability to effect investments and developments      
  Land management To leverage Exxaro's land assets to create sustainable post-mining economies      
  Partnerships and funding To use Exxaro's capabilities and resources to attract partners and create impact at scale      

Creating and preserving value through our Social Impact strategy

Our Social Impact strategy takes a holistic, long-term approach to addressing systemic challenges in host communities. Beyond compliance, it prioritises sustainable solutions that tackle root causes like education gaps, limited economic opportunities and land access, driving lasting socio-economic change. This approach integrates ESG principles and global SDGs to promote sustainable development within a low-carbon economy:

  • Environmental: initiatives such as green procurement, land rehabilitation and climate-resilient agricultural practices contribute to reducing Exxaro's environmental footprint while building community resilience to climate change
  • Social: our focus on education, job creation and SMME support reduces poverty and improves community resilience but also generates multiplier effects, influencing other areas of wellbeing without requiring additional investment
  • Governance: partnerships with credible institutions, transparent funding mechanisms and adherence to global human rights and ethical standards ensure the strategy maintains integrity and scalability

Our Social Impact strategy ensures that Exxaro's social initiatives not only benefit current stakeholders but also lay the foundation for sustainable, equitable growth for generations to come.

We achieve tangible impact in our communities through the three pillars of the Social Impact strategy:

Land use management (MSP)
Education
SMME development

 

CENNERGI
Amakhala Emoyeni and Tsitsikamma promote education and skills development, social welfare, healthcare, general administration and enterprise development. The socio-economic development and enterprise development commitments for the LSP are only applicable during the operation phase.