IMP 201810310009A
First quarter production report for the period 1 July 2018 to 30 September 2018

(Incorporated in the Republic of South Africa)
(Registration number 1957/001979/06)
JSE Share code: IMP
ISIN: ZAE000083648
("Implats" or "the Group")

First quarter production report for the period 1 July 2018 to 30 September 2018

Key highlights

   - Improved safety performance: 9% improvement in lost-time injury frequency rate from the end
     of FY2018

   - Strong operational performance at Impala Rustenburg: Achieved its highest first quarter mill
     tonnage of 3.15-million tonnes since FY2013

   - Improved Group operational performance: 1.9% improvement in tonnes milled across the
     Group compared to the previous comparable quarter

   - Implementation of strategic review continues: Section 189 restructuring process for 1 500
     employees progressing according to plan and outsource/disposal process for 1 Shaft commenced

   - Revenues benefit from weaker rand and improved palladium and rhodium prices: 14.2%
     improvement in revenue per platinum ounce received during the quarter (R28 355 per platinum
     ounce) compared to the previous comparable quarter as a result of a weaker ZAR:US$ exchange
     rate and higher US$ metal prices

Implats’ Chief Executive Officer, Nico Muller, commented: "I am pleased to report improved safety and
operational performances during the quarter, particularly at Impala Rustenburg, which has reported its
highest first-quarter mill tonnage for the past six years. Tonnes milled at Impala Rustenburg increased by
5.6% compared to the previous corresponding quarter, reflecting the positive outcomes of various
initiatives implemented at the operation to improve safety, production and cost performance. We remain
steadfast in our resolve to eliminate high-cost production at this business, aligned with our lower future
metal prices outlook. To this end, we have progressed the Section 189 restructuring process for 1 500
employees and engaged with parties interested in potentially acquiring the 1 Shaft operation, which is
scheduled to be put on care and maintenance in April 2019 as per our restructuring plan."

                                                                             Unaudited             Unaudited
  Operational information                                                  Quarter ended         Quarter ended
                                                                         30 September 2018     30 September 2017

  Gross production:
  Tonnes milled (including associates)                           000t                  6 867               6 741
  Grade (6E)                                                       g/t                  3.82                 3.83
  Platinum in concentrate (mine-to-market)                      000oz                    349                  349
  Platinum in concentrate (third-party and toll)                000oz                    49                  100

  Platinum refined                                              000oz                   369                  341
     Impala platinum refined                                    000oz                   180                  133
     IRS platinum refined                                       000oz                   189                  209
  Palladium refined                                             000oz                   207                   189
  Rhodium refined                                               000oz                     47                   46
  Nickel refined                                                 000t                   3.78                 3.71

  Managed operations production:

  Tonnes milled                                                  000t                  3 152                2 984
  Grade (6E)                                                       g/t                  4.03                 3.95
  Platinum in concentrate                                       000oz                    186                  181
  Platinum refined                                              000oz                    180                  133

  Tonnes milled                                                  000t                  1 677                1 690
  Grade (6E)                                                       g/t                  3.48                 3.49
  Platinum in concentrate                                       000oz                     70                   71
  Platinum in matte                                             000oz                     70                   49

  Tonnes milled                                                  000t                   511                   498
  Grade (6E)                                                       g/t                  4.23                 4.43
  Platinum in concentrate                                       000oz                     23                   23

  JV operations production:

  Tonnes milled                                                  000t                   702                   717
  Grade (6E)                                                       g/t                  3.80                 3.86
  Platinum in concentrate                                       000oz                     30                   32

  Two Rivers
  Tonnes milled                                                  000t                   825                   852
  Grade (6E)                                                       g/t                  3.51                 3.70
  Platinum in concentrate                                       000oz                     38                   42

  Group and third party production:

  Platinum refined                                              000oz                   189                  209
     Mine-to-market platinum refined                            000oz                   154                  151
     Third-party and toll platinum refined                      000oz                    35                   57

Rounding of figures may result in computational discrepancies
The safety and health of employees remains a priority for the Group. Improvements achieved in the
previous financial year have continued into FY2019, particularly at Impala Rustenburg and Marula. The
Group recently achieved seven months without a fatal accident – a record for Impala Rustenburg and the
Group. In addition, the lost-time injury frequency rate improved 9% from the end of FY2018 to 5.05 per
million man hours worked.

Regretfully, Impala Rustenburg recorded an employee fatality at 16 Shaft in September 2018. The
Company has provided support to the family of the deceased, while the board of directors and
management team have extended their very sincere sympathies to his family, friends and colleagues.

Implats’ safety strategy is premised on providing an inherently safe work environment, maintaining
leading safety practices and inculcating safe behaviour at all times. Management remains resolute in
leading this imperative through direct engagement with all our stakeholders, including each employee in
the organisation, and the leadership of our representative unions and government.

Gross tonnes milled (including joint venture operations) during the quarter increased by 1.9% to 6.87-
million tonnes, compared to 6.74-million tonnes achieved in the prior comparable period.

The increase was largely due to a much stronger operational performance at Impala Rustenburg.
Platinum in concentrate produced during the quarter across all mining operations (managed and joint
venture) was maintained at 349 000 ounces as increased production from Impala Rustenburg was offset
by lower volumes from Two Rivers and Mimosa.

Gross refined platinum production during the quarter increased by 8.2% to 369 000 ounces, compared to
341 000 ounces achieved in the prior comparable period, which was impacted by scheduled furnace
maintenance at both the Impala and Zimplats operations during the first quarter a year ago.

Impala delivered a much improved operational performance compared to the previous comparable
period. Tonnes milled increased by 5.6% to 3.15-million tonnes, compared to 2.98-million tonnes in the
previous comparable quarter, while the mill grade (6E) improved by 2.0% to 4.03g/t. Good performances
across all mining operations, supported by increased production from the development shafts, was
partially offset by the loss of production from 4 Shaft, which was closed in January 2018. Consequently,
platinum in concentrate increased by 2.8% to 186 000 ounces, compared to 181 000 ounces in the prior
comparable period. Refined platinum production increased by 35.3% to 180 000 ounces from 133 000
in the prior comparable quarter, which was impacted by planned furnace maintenance.

Zimplats sustained its operational performance with mill throughput and grade largely unchanged at 1.68-
million tonnes and 3.48 g/t (6E) respectively. As a result, platinum in concentrate produced at the
operation during the quarter was maintained at 70 000 ounces. However, platinum in matte increased
by 42.9% to 70 000 ounces, compared to 49 000 ounces in the prior corresponding period, which was
impacted by scheduled furnace maintenance.
Marula continues to deliver an improved operational performance following prior business restructuring
initiatives and ongoing multi-stakeholder engagements to sustain business continuity. Tonnes milled
during the period increased by 2.6% to 511 000 tonnes, compared to 498 000 tonnes in the prior
corresponding period. However, the grade declined by 4.5% to 4.23g/t (6E) due to a planned increase in
development volumes and an increase in stoping width. Consequently, platinum in concentrate
production was maintained at 23 000 ounces during the period under review.

Mimosa sustained production in line with design capacity. Tonnes milled during the period decreased by
2.1% to 702 000 tonnes, compared to 717 000 tonnes in the previous comparable quarter, impacted by
planned mill maintenance during the reporting period. Platinum production in concentrate decreased by
6.3% to 30 000 ounces from 32 000 ounces in the prior corresponding period as a result of the lower
milled tonnage and mill grade.

Two Rivers
Two Rivers’ mill grade continued to be impacted by mining into split reef areas. Performance during the
period was also impacted by community disruptions not aimed specifically at Two Rivers, but which
necessitated processing material from the lower-grade ore stockpile. Consequently, tonnes milled
decreased 3.2% to 825 000 tonnes, compared to 852 000 tonnes in the previous comparable quarter,
and the mill grade (6E) deteriorated by 5.1% to 3.51g/t. This impacted platinum in concentrate production,
which decreased by 9.5% to 38 000 ounces, compared to 41 600 ounces in the prior comparable period.

Impala Refining Services ("IRS")
IRS’s refined platinum production during the period decreased by 9.6% to 189 000 ounces, compared to
209 000 ounces in the prior comparable quarter. This was largely due to higher deliveries from a third-
party customer during the previous comparable period. Mine-to-market production increased by 2.0% to
154 000 ounces in the quarter under review, while third-party toll refining volumes decreased from 57 000
ounces in the prior corresponding period to 35 000 ounces this quarter.

Consistent with our strategic review announcement on 2 August 2018 and our FY2018 financial results
presentation, Implats is progressing the implementation of its Impala Rustenburg strategic restructuring
plan. This includes consideration being given to alternative commercial outcomes which, as
communicated to the market, could include the sale of identified shafts and/or full-contract mining

Implats has commenced a process to identify and engage with parties who may have an interest in, or
have already expressed an interest in, acquiring Impala Rustenburg’s 1 Shaft ("1 Shaft Disposal
Process"), which, as per the restructuring plan, is scheduled to be put on care and maintenance from
April 2019. In parallel to the 1 Shaft Disposal Process, Implats is continuing to engage with parties who
may have an interest in, or have already expressed an interest in, the 100% outsourcing of 1 Shaft to a
third-party contractor.

Implats will update the market, as and when appropriate, on any further developments related to the
1 Shaft Disposal Process.
The above information has not been reviewed and reported on by the Group’s external auditors.


 Johan Theron                                      Alice Lourens
 Group Executive: Corporate Relations              Group Corporate Relations Manager
 E-mail:                E-mail:
 Tel:    +27 11 731 9013/43                        Tel:    +27 11 731 9033/43
 Cell:   +27 82 809 0166                           Cell:   +27 82 498 3608

31 October 2018

Sponsor to Implats
Deutsche Securities (SA) Proprietary Limited

Date: 31/10/2018 08:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
 the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, 
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
 information disseminated through SENS.