This report is the culmination of the Socio-economic...

40
1 ANGLO PLATINUM TWICKENHAM MINE SEAT REPORT 2009 Within Anglo Platinum, the primary responsibility for working with local stakeholders to help address the Sekhukhune area’s long history of poverty and disadvantage lies with Twickenham Mine’s Community Engagement and Development (CED) Department. The mine’s CED team seeks to address social, economic and developmental issues in local communities by spreading the benefits generated by mining to local communities. This report is the culmination of the Socio-economic Assessment Toolbox (SEAT) process, a programme of intensive engagement with local stakeholders conducted in 2009. The process is designed to enquire as to what locals think of the mine, what impact the mine has had on them (both positive and negative), and whether the mine needs to change anything to improve its performance and enhance its relationships with local stakeholders. Aside from the mine’s role as a procurer and an employer, it is also involved in supporting local development initiatives that seek to improve the quality of infrastructure, services, education, healthcare and skills development. To this effect, the mine invested R12,85 million in community projects in 2008, and will spend in excess of R22m in 2010, which includes monies not spent during 2009. Emerging from the SEAT process are the following overarching issues: Local people are concerned that the mine is not making sufficient effort to build skills and procure from local enterprises. Pollution to water and air by the mine is a key concern raised by local people. Those engaged were concerned that blasting is the cause of damage to houses and other structures. The report sets out a number of measures designed to improve relations with local stakeholders, and to address their specific concerns through an intensive engagement plan and suitable community development interventions.

Transcript of This report is the culmination of the Socio-economic...

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1ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Within Anglo Platinum, the primary responsibility for working with local

stakeholders to help address the Sekhukhune area’s long history of poverty and

disadvantage lies with Twickenham Mine’s Community Engagement and

Development (CED) Department. The mine’s CED team seeks to address social,

economic and developmental issues in local communities by spreading the

benefits generated by mining to local communities.

This report is the culmination of the Socio-economic Assessment Toolbox (SEAT )

process, a programme of intensive engagement with local stakeholders conducted

in 2009. The process is designed to enquire as to what locals think of the mine,

what impact the mine has had on them (both positive and negative), and whether

the mine needs to change anything to improve its per formance and enhance its

relationships with local stakeholders.

Aside from the mine’s role as a procurer and an employer, it is also involved in

supporting local development initiatives that seek to improve the quality of

infrastructure, services, education, healthcare and skills development. To this

effect, the mine invested R12,85 million in community projects in 2008, and will

spend in excess of R22m in 2010, which includes monies not spent during 2009.

Emerging from the SEAT process are the following overarching issues:

• Local people are concerned that the mine is not making sufficient effort to build

skills and procure from local enterprises.

• Pollution to water and air by the mine is a key concern raised by local people.

• Those engaged were concerned that blasting is the cause of damage to houses

and other structures.

The report sets out a number of measures designed to improve relations with

local stakeholders, and to address their specific concerns through an intensive

engagement plan and suitable community development interventions.

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2 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

TABLES

Stakeholder engagement process 4

Operational profile 6

Demographic data 15

Economic activities and employment data 16

Summary of healthcare data 17

Summary of education data 18

Available utilities, infrastructure and services 19

Summary of priority community needs 20

Employment figures – 2008 21

Mine procurement data – 2009 22

Mine procurement data – 2009 22

Breakdown of mine spend locally, regionally

and with SMEs – 2009 22

Mine procurement data – 2008 23

Breakdown of mine spend locally, regionally

and with SMEs – 2008 23

Mine expenditure and costs – 2008 23

Existing engagement structures 25

Developmental support 2007 – 2009 26

Community development budget and spend – 2008 27

Community development budget and spend – 2009 28

Key issues raised during the SEAT process 29

2010 community development budget 30

Issues and responses summary table 31

Detailed management and monitoring plan 34

FIGURES

Mining rights area 6

Regional location of Twickenham Mine 7

Map indicating villages in relation to mining right area 15

CONTENTS

• Introduction 3

Background 3

Acknowledgements 3

• Objectives and approach 4

Objectives 4

Approach 4

Stakeholder consultation 4

• Overview of the operation 6

Basic information about Twickenham Mine 6

Location 7

Compliance with corporate policy requirements 8

Plans for future investment and expansion 9

Closure plans 9

• Overview of affected communities 10

Introduction 10

Municipal information 10

Community surveys 15

• The mine’s key impacts 21

Introduction 21

Employment 21

Procurement 22

Mine costs and expenditure 23

Development spend 24

Community health and safety impacts 24

Environmental impacts 24

• Stakeholder engagement and community

development at Twickenham 25

Introduction 25

Engagement 25

Support for development 26

Key issues raised during the SEAT process 29

• The mine’s response to issues raised 30

• Future monitoring 39

• Contact details 39

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3ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

BACKGROUND

The Socio-economic Assessment Toolbox (SEAT) process was carried out to inform Twickenham Mine’s decision-

making in respect of socio-economic and community issues and in regards the implementation of socio-economic

development initiatives. The SEAT process helps mining companies and mining operations to understand their socio-

economic impacts and helps cement relationships between the mines and their stakeholders. It also enables building

capacity within mine management to deal effectively with socio-economic issues. Stakeholder engagement is the

pivot upon which SEAT functions. Stakeholder consultation as part of the process was carried out between January

and July 2009. This report discusses the outcome of this engagement process.

BACKGROUND

The report is made up of the following sections, excluding Section 1:

• Section 2 discusses the objectives and approach of the process

• Section 3 provides an overview of the mine

• Section 4 provides an account of the mine’s neighbours

• Section 5 discusses the mine’s socio-economic impacts

• Section 6 describes existing socio-economic development activities

• Section 7 presents the mine’s response to issues raised including monitoring measures, and

• Section 8 shows the way forward whilst Section 9 gives contact details for relevant mine personnel.

ACKNOWLEDGEMENTS

This document has been compiled with the help and time of internal and external stakeholders. Twickenham Mine

wholeheartedly thanks all those who gave of their time such that this report could be completed.

INTRODUCTION

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4 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

OBJECTIVES AND APPROACH

OBJECTIVES

The objectives of the SEAT process are:

• To identify key impacts and issues perceived to be caused by the mine that need to be managed and in so doing

improve the operation’s risk management.

• To understand the key development challenges of host communities, with a view to the mine playing a greater

and more effective role in helping local communities reach their development aspirations.

• To improve Twickenham’s understanding of the full range of local stakeholders, their views and interests, and the

dynamics between them.

• To assess existing community development initiatives and identify where improvements might be made.

• To provide an analytical framework through which operations can assess their contribution to sustainable

development by, for example, balancing the extraction of natural resources with the enhancement of social and

human capital.

• To facilitate the capture and sharing of “best practice”.

• To identify key performance indicators as a basis for tracking commitments for improving the management of the

operation’s socio-economic impacts as the basis for local accountability.

The SEAT process also assists Twickenham to meet the objectives of Anglo American’s “Good Citizenship” Business

Principles as these relate to community development.

APPROACH

The SEAT process incorporated the following steps:

• Stakeholder consultation

• Report and document review

• Internal and external meetings and workshops

• Interviews and questionnaires, and

• Report writing and review.

STAKEHOLDER CONSULTATION

Engagements with stakeholders took place as follows:

Meetings

Interviews and questionnaires

Workshops

26 February 2009 – 12 June 2009

May 2009 – June 2009

June 2009

Engagement Date

Stakeholder engagement process

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5ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

The following stakeholder groups formed part of the consultation undertaken as part of the SEAT process:

• Local municipal officials (Greater Tubatse and Fetakgomo Local Municipalities)

• Ward Councillors

• Ward Committees

• Traditional Authorities (traditional leaders and council members)

• Community representatives (elected by communities to serve on the Community Engagement Committee)

• Community Development Workers, and

• Department of Health representatives.

The issues raised during this process are discussed in sections 6 and 7.

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6 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

0 21

Kilometres

1

2

Mining right

Hackney shaft

Twickenham shaft

Merensky Reef outcrop

UG2 Reef outcrop

UG2 Reef workings

1

2

BASIC INFORMATION ABOUT T WICKENHAM MINE

Salient facts about the mine are presented in the table below; a basic diagram illustrates the mine’s lease area and

location of the shafts.

Safety is an on-going priority for the mine. No fatalities were recorded for 2008 – October 2009. The lost time injury

frequency rate for 2008 was 1.66, 0.99 for 2009 (Jan – Sep), and 0.67 since the inception of the project.

OVERVIEW OF THE OPERATION

Mining rights area

Aspect Data

Date the operation was established

Product produced at the operation

Output

Number of employees

Where does the operation fit into Anglo

American?

June 2003

Platinum

Palladium

Rhodium

Gold

2008 output in ounces:

• Platinum 9676

• Rhodium 1755

• Palladium 10,086

• Gold 423

608

Twickenham Mine is a part of the Platinum

business unit

Operational profile

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7ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

LOCATION

The operation is located within the Limpopo Province and is part of the Sekhukhune District Municipality and the

Greater Tubatse Local Municipality. Burgersfort is the nearest town, located approximately 46 km east of the mine.

Settlements situated within the mine lease area are:

• Mashabela

• Magadimane Ntweng

• Mashishi

• Kgwete

• Makgopa

• Mampa

• Phasha-Makgalanotho

• Swazi-Mnyamane

• Phashaskraal

• Magobading (Mecklenburg A township).

Brits

Pretoria

Emalahleni

Bela Bela

Mokopane

Polokwane

Burgersfort

Johannesburg

PANDORA PROJECT

DER BROCHEN PROJECT

SHEBA’S RIDGE PROJECT

MODIKWA PLATINUM MINE

BOKONI PLATINUM MINE

MOGALAKWENA MINE

BOIKGANTSHO PROJECT

TWICKENHAM PLATINUM MINE

GA-PHASHA PROJECT

POLOKWANE SMELTER

MOTOTOLO PLATINUM MINE

DISHABA MINE

TUMELA MINE

UNION MINE

BRPMSIPHUMELELE MINE

KHOMANANI MINE

THEMBELANI MINE

KHUSELEKA MINE

BATHOPELE MINE

MAGAZYNSKRAAL PROJECT

MORTIMER SMELTER

WESTERN BUSHVELD JV

ZANDSPRUIT AGREEMENT PRECIOUS METALS REFINERS,

RUSTENBURG BASE METAL REFINERS AND WATERVAL SMELTER

KROONDAL PLATINUM MINE

MARIKANA PLATINUM MINE

Bushveld Complex South African Operations

Cape Town •

• Pretoria

MPUMALANGAGAUTENG

NORTH WEST

LIMPOPO

Bushveld Complex

Operation (100% owned)

Operation (JV)

Project (100% owned)

Project (JV)

Process (100% owned)

Provincial boundaries

RustenburgKilometres

0 12.5 25

Regional location of Twickenham Mine

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8 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

COMPLIANCE WITH CORPORATE POLICY REQUIREMENTS

Anglo American requirements

Twickenham complies with the following Anglo American policies and guidelines:

• Safety, Health and Environmental Management Policy;

• Group Community Relocation Policy;

• Historically Disadvantaged South African (HDSA) Procurement with Local Vendors Policy;

• Anglo “Good Citizenship” Principles;

• The Anglo Social Way social performance standards; and

• The requirements of the SEAT process.

Anglo Platinum’s values

The company’s six values listed below keep it focussed on its commitment to become a world leader in building

sustainable relationships with its stakeholders. Anglo Platinum’s values are:

We put SAFETY FIRST

We act with HONESTY and INTEGRITY

We DELIVER on our PROMISES

We are one TEAM

We VALUE and CARE about each other

We are PASSIONATE and TAKE pride in everything we do.

OVERVIEW OF THE OPERATION continued

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9ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

PLANS FOR FUTURE INVESTMENT AND EXPANSION

Twickenham has a projected life of 100 years. At the time of writing, the mine was being operated on a reduced scale;

its planned development into a fully fledged operation is on hold owing to economic pressures. Should the

economics improve, then the R7.1 billion Twickenham expansion project, which was approved by the Board in

quarter one of 2008, will be revisited and production will then be scheduled for the fourth quarter of 2012. Financial

constraints arising from the global economic downturn have slowed the project down by six months.

CLOSURE PLANS

The mine will develop a closure plan that considers the optimal use of mine land and infrastructure during the

operational phase as well as after closure. This plan will be a focus area of the mine’s Local Economic Development

(LED) strategy to diversify the economy and will take into account the potential social benefits of existing land and

infrastructure. Of importance is the consideration of alternative uses of the physical infrastructure in the event of the

mine closure, which will require an amendment to the existing Environmental Management Plan Report (EMPR) in

consultation with the Department of Minerals Resources.

The mine’s Social and Labour Plan (SLP) is geared towards promoting local development and mitigating the impact

of mine-closure on communities. Specific planning is required regarding the concurrent and post-mining use of the

physical assets of the mine for community development purposes. These physical assets include:

• Land holdings by the mine;

• Physical infrastructure;

• Social infrastructure;

• Commercial and industrial infrastructure; and

• Administrative infrastructure.

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10 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

OVERVIEW OF AFFECTED COMMUNITIES

INTRODUCTION

This section presents a summary of the socio-economic profile of the area, drawn principally from official statistics

and other government information sources. It also provides summaries of the information collected during the

community surveys coordinated by the CED Department in the first half of 2009.

High levels of poverty, unemployment and large tracts of degraded land characterise the area where the

Twickenham Mine is located.

MUNICIPAL INFORMATION Greater Sekhukhune District Municipality

From a geographic perspective, the district municipality is comprised of local municipalities, in this case the Greater

Tubatse and Fetakgomo local municipalities. It is one of the most severely impoverished areas in South Africa with a

predominantly rural population (97%). In addition, the dispersed settlement pattern makes infrastructure provision

and service delivery costly. The municipality’s weak skills base is a major constraint to economic growth as is the

critical capability gap of a lack of people employed in economic development with the appropriate skills and

background to interact with the private sector.

Population

• 1 024,748 people

• 217,171 households

• 123,759 absentee migrant workers

• Age profile:

– <17: 49.9%

– 18-64: 44.1%

– >65: 6.0%.

Income

There are four common sources of income for Sekhukhune households:

• Government-provided old-age pensions

• Child-support grants

• Remitted income from migrant workers with almost 51% of these over R3,000

• Income from regular wage employment.

Employment

• 69.4% unemployed

• 60% poverty rate in 2003 – highest in Limpopo Province

• Sixth most deprived district/metro in South Africa (2005/2006).

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11ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Education

• 27.8% with no formal education

• 23.5% with matric or higher qualification.

Economic activities

• Public services

• Mining (15 – 20% of GGP)

• Trade and catering.

Social challenges

• 42% of households receive water below minimum standards

• 9th worst district/metro in South Africa in terms of households with access to piped water. 65% of the

population don’t have piped water as compared to the national average of 28% without piped water

• 31% of schools lack access to water

• 98% of households receive sanitation at levels below minimum RDP standards

• 53% of schools receive sanitation at levels below minimum RDP standards

• 59,337 households as of March 2005 were without electricity (or 36% of households do not have electricity

(national average 30%))

• 22% of schools lack access to electricity

• 77% of households do not have a telephone (national average 57%)

• 93% of households do not have waste removal services (national average 43%)

• 23% of households suffered the death of an adult member in 2006

• 15% of households suffered the death of a child in 2006

• 19% of households have been victims of drought

• 53% of residents skip meals because of a lack of food

• 50% of children eat less than they need to because of a lack of food

• Lowest per capita expenditure on primary health care in South Africa (R115/person)

• The majority of households are dependent on social grants

• The area is dominated by female-headed households as most males are compelled to seek work outside the

district

• The population is very young, which leads to high dependency ratios.

Environmental challenges

• Water scarcity (constrains economic and social development)

• Rainfall patterns are highly variable, disrupting agricultural production

• Area characterised by severe erosion

• The area is highly susceptible to both the El Niño and La Niña phenomena.

Development focus

• Explore the potential of mining, agriculture and tourism as key contributors to the economy up to 2025

• Employment in the minerals industry in the area may increase by 180% by 2015

• By 2015 Sekhukhune will be producing 22% of South Africa’s platinum group metals

• Establish and attract service providers to provide services for mines

• Develop other sectors of the economy so that it is less vulnerable when the mining boom ends

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12 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

OVERVIEW OF AFFECTED COMMUNITIES continued

• Establish a commercial farming sector

• Invest in the upgrading of infrastructure

• Develop and improve road network to promote mining, agriculture and tourism.

Greater Tubatse Local Municipality

The local municipality forms part of the district municipality.

• 343,468 people

• 66,611 households.

• Age profile:

– <17: 50.7%

– 18-64: 44.3%

– >65: 5.0%.

Income (per annum)

• 41% have no income

• 32% earn between R1,000 and R9,600

• 20% earn between R9,600 and R38,400

• 7% earn more than R38,400.

Employment

• 37-40% unemployed.

Education

• 62,401 people with no formal education

• 20.8% of population under 15 are illiterate.

Economic activities

• Mining

• Retail

• Trade

• Services

• Agriculture.

Social challenges

• 89% receive water below minimum RDP standards

• 96% receive sanitation at levels below minimum RDP standards

• Electricity backlog of 24,531 houses

• 43% lack access to in-house telephone or cellular phone

• Low skill levels

• Prevalence of HIV/AIDS.

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13ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Environmental challenges

• Pollution of rivers due to lack of waterborne sewerage infrastructure

• Waste disposal and landfill site has reached its capacity

• 90% of communities use informal means of refuse disposal

• An environmental management framework and plan needs to be developed.

Development focus

• Development of basic infrastructure

• Upgrade and improve transport infrastructure

• Improve access to schools, clinics, police stations and other community facilities

• Implement housing programmes

• Skills training

• Develop tourism and diversify the economic base

• Environmental management

• Organic farming methods should be evaluated

• Supply of services to mining sector.

Fetakgomo Local Municipality

Population

• 99,712 people

• 18,885 households.

• Age profile:

– 0 to 4: 11.24%

– 5 to 14: 29.57%

– 15 to 34: 32.45%

– 35 to 64: 19.92%

– Over 65: 6.82%.

Income (per annum)

• No income from formal employment: 81.81%

• R1 – R1,600: 14.75%

• R1,600 – R6,400: 3.12%

• R6,400 – R12,800: 0.23%

• R12,800 – R51,200: 0.06%

• R51,200 – R204,800: 0.03%

• Over R204,801: 0.01%.

Employment

• 73% of the population were unemployed in 2001.

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14 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Education

• No schooling: 24.05%

• Primary: 36.42%

• Secondary: 20.36%

• Matric/Grade 12: 5.13%

• Tertiary: 2.38%

• Higher degree: 0.45%

• Unspecified: 11.21%.

Economic activities

• Social services

• Private household economic activities

• Trade

• Mining.

Social challenges

• Low levels of education

• High levels of unemployment

• Small economic base

• Lack of water

• No access to electricity

• Prevalence of HIV and AIDS.

Environmental challenges

• Urban greening

• Air pollution

• Water pollution

• Fire prevention

• Conservation

• Biodiversity conservation

• Erosion control

• Over utilisation of land and other resources

• Waste disposal.

Development focus

• Alleviate housing backlog

• Reduce the shortage of potable water

• Unavailability of water for livestock

• Insufficient levels of sanitation services

• Lack of energy

• Lack of education facilities

• Develop tourism

• Link small scale businesses with mining activities

• Strengthen environmental and land use policies.

OVERVIEW OF AFFECTED COMMUNITIES continued

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15ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

1

2

0 2 41

Kilometres

Balmoral508KS

Twickenham114KT

Hackney116KT

Surbiton115KT

Forest Hill117KT

Manyaka

Ga-Mashishi

Ga-Kgwete

Ntswaneng

Mantsakane

Twickenham

Ga-Mashabela

Morapaneng

Swale

Mantsakane

Magakala

ext 1

Ga-Masete

Ga-Makgopa

Ga-Masete

ext 1

Mosego

Makgake

Tidintitsane

Ga-Mongatone

Maotsi

Plaseng

Ga-Makgopa

ext 1

Mogobading

3a

Mining right

Hackney shaft

Twickenham shaft

Rural traditional communities

Local municipal township

1

2

Modimolle Mantsakane

ext 1

Ditobeleng

COMMUNITY SURVEYS

The following summaries are derived from community

profiles conducted by mine personnel

over the period May to June 2009.

Some of the community profiles

have not been completed

because of tensions between

the mine and the certain

communities. These tensions

are discussed in Section 7.

The location of these

communities is shown to the

right. At present, Twickenham

is addressing tensions with certain

stakeholders and community

groups. Partly as a consequence

of the deterioration in relations,

has appointed Mr Trinity Mthiyana as Operations

Community Engagement and Development Manager.

Demographic data

The following tables show socio-economic data collected by the mine’s CED Department as part of an exercise to

establish a database of relevant information to use as a basis for planning development interventions.

Community Population Household size

Magadimane Ntweng

Mampa

Makgopa

Kgwete

Swazi-Mnyamane (Sealane)

Phashaskraal

Phasha-Makgalanotho

Mashabela

Modimolle

Mashishi

25,836

648

3,000

12,000

14,000

Not available

Not available

Not available

1,800

Not available

4,306

270

210

1,500

700

800

Demographic data

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16 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Magadimane

Ntweng

Mampa

Makgopa

Kgwete

Swazi-Mnyamane (Sealane)

Phashaskraal

Phasha-Makgalanotho

Mashabela

Modimolle

Mashishi

Community Income Category

Subsistence farming

Public sector employment

Mine employment

Informal trading

Subsistence farming

Subsistence farming

Mine employment

Public sector employment

Mine employment

Some SMMEs

Subsistence farming

Public sector employment

Mine employment

Public sector employment

Taxi industry

56% no cash income

20% low income

20% medium income

4% high income

No data

85% no cash income

8% low income

5% medium income

2% high income

No data

Low income bracket

“over represented”

No data

80% unemployed

10% employed

10% not economically active

50% unemployed

10% employed

40% not economically active

40% unemployed

15% employed

45% not economically active

50% unemployed

40% employed

15% not economically active

No data

60% unemployed

35% employed

5% not economically active

Economic activities Employment data

Economy and employment

Despite not having a full data set, it is clear that the communities neighbouring the mine have many people not

formally employed and many people on low wages, and that the public and mining sectors are particularly

important in generating employment.

Economic activities and employment data

OVERVIEW OF AFFECTED COMMUNITIES continued

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17ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Health and healthcare infrastructure

Magadimane Ntweng

Mampa

Makgopa

Kgwete

Swazi-Mnyamane (Sealane)

Phashaskraal

Phasha-Makgalanotho

Mashabela

Modimolle

Mashishi

Community Healthcare infrastructure

Cholera

Flu

Cholera

TB

Cholera

Cough

Diarrhoea

Malnutrition

HIV/AIDS

Cholera

TB

STIs including HIV

Early pregnancies

Substance abuse

Not available

Not available

Not available

Health is not a serious issue

Not available

A clinic and hospital, but both

are remote

Use of traditional healers

No facilities in village

A mobile clinic

20 traditional healers

Use of 13 traditional healers

Use of three traditional healers

One clinic

Health issues

Summary of healthcare data

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18 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Education

Magadimane Ntweng

Mampa

Makgopa

Kgwete

Swazi-Mnyamane (Sealane)

Phashaskraal

Phasha-Makgalanotho

Mashabela

Modimolle

Mashishi

Community Educational facilities

50%

50%

50%

75%

50%

Not available

Not available

Not available

No data

Not available

11 crèches

4 primary schools

4 secondary schools

1 crèche

1 primary school

1 secondary school

1 crèche

1 primary school

1 secondary school

4 crèches

5 primary schools

3 secondary schools

1 crèche

2 primary schools

1 secondary school

2 crèches

1 primary school

1 secondary school

Literate (%)

Summary of education data

OVERVIEW OF AFFECTED COMMUNITIES continued

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19ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Utilities, infrastructure and services

Available utilities, infrastructure and services

Magadimane Ntweng

Mampa

Makgopa

Kgwete

Swazi-Mnyamane (Sealane)

Phashaskraal

Phasha-Makgalanotho

Mashabela

Modimolle

Mashishi

Community Utilities, Infrastructure and Services

Housing – mix of brick, mud, zinc

Water – no access to potable water, boreholes or the

river used

Electricity – none

Sanitation – pit latrines

Roads – poor quality gravel and some tarred

Housing – formal and informal

Water – source boreholes

Electricity – none

Sanitation – pit latrines

Roads – poor quality gravel

Housing – mix of brick, mud, zinc

Water – no access, source boreholes

Electricity – none

Sanitation – pit latrines

Roads – poor quality gravel

Housing – mix of brick, mud, zinc

Water – communal access (river) and boreholes

Electricity – 10% access

Sanitation – pit latrines

Roads – poor quality gravel and some tarred

Housing – formal and informal

Electricity – 60% have access

Sanitation – pit latrines

Roads – poor quality gravel and some tarred

Not available

Not available

Not available

Housing – mix of brick, mud, zinc

Water – communal supply

Electricity – small number have access (4%)

Sanitation – pit latrines

Roads – poor quality gravel and some tarre

Not available

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20 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Community needs

The surveys also ascertained the key development needs of the communities, tabulated as follows:

This information is and will be used in the mine’s CED planning. These development needs are raised again in

Section 7 where the mine provides a response. The needs identified during consultation are in line with those

expressed in the Integrated Development Plan (IDP) documents for the district.

Summary of priority community needs

Magadimane Ntweng

Mampa

Makgopa

Kgwete

Swazi-Mnyamane (Sealane)

Phashaskraal

Phasha-Makgalanotho

Mashabela

Modimolle

Mashishi

Community Priority community needs

Water supply

Road upgrades

Electricity

Multi purpose centres

Sports facilities

Skills development

Dust

Cracked houses

Water supply

Road upgrades

Water supply

Housing

Road upgrades

Electricity

Water supply

Job creation

Sports facilities

Road upgrades

Healthcare facility

Funding of projects/co-operatives

Water supply

Education (access to a library)

Road upgrades

OVERVIEW OF AFFECTED COMMUNITIES continued

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21ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

THE MINE’S KEY IMPACTS

INTRODUCTION

This section summarises the key impacts that Twickenham Mine has. If these impacts are categorised as positive and

negative then the former encompasses primarily the role of the mine as an employer, a purchaser and a contributor to

socio-economic development via its SLP commitments or through its social investment activities. The latter category

includes, for example: the mine’s use of land; environmental impacts; the social changes brought about by the mine;

and the population increase as job seekers move to the area.

EMPLOYMENT

Mine employment figures for 2008 are shown below. Note that 315 employees received training during that year. HDSA

representation in the workforce is ahead of target.

A C I A C I W W M F

0 0 0 0 0 0 0 3 0 0 3

2 0 0 1 0 0 0 6 0 0 9

16 0 0 2 0 0 0 11 1 0 30

14 0 0 9 0 0 3 0 0 0 26

23 0 0 1 0 0 0 2 0 0 26

0 0 0 0 0 0 0 0 0 0 0

30 0 0 0 0 0 0 1 0 0 31

248 0 0 2 0 0 0 0 1 0 251

185 0 0 47 0 0 0 0 0 0 232

518 0 0 62 0 0 3 23 2 0 608

0 0 0 0 0 0 0 0 0 0 0

518 0 0 62 0 0 3 23 2 0 608

Legislators, senior officials and managers

Professionals

Technicians and associate professionals

Clerks

Service and sales workers

Skilled agricultural workers

Craft and related trades workers

Plant and machine operators and assemblers

Elementary occupations

TOTAL PERMANENT

Non-permanent employees

GRAND TOTAL

Male Female White Foreign

male Nationals Occupational categories TOTAL

Employment figures – 2008

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22 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

PROCUREMENT

The mine is committed to source goods and service from local and regional vendors including small and medium

enterprises (SMEs). The data shown below reflect the mine’s purchases of good and services.

Twickenham has shown exceptional growth in HDSA procurement spend from 2005 where an initial figure of R10

million was achieved (34.3% of total discretionary procurement spent). In 2009, HDSA procurement spend rose to just

over R190 million.

The spend is summarised as follows:

Category of Procurement 2009 Achieved

Local

Regional

HDSA

8.7%

8.1%

41.4%

2009 Target 2010 Target

8.0%

12.0%

35.6%

10.2%

13.0%

43.2%

Mine procurement data – 2009

Consumables

Services

Capital

Other

Total

2009 Educational facilities(%)

42,855,708

133,016,842

192,416,619

78,161

368,367,332

12,961,756

47,804,063

51,388,821

112,154,642

30.2

35.9

26.7

30.4

997,864

12,599,749

9,592,424

23,190,038

2.3

9.5

5.0

6.3

13,959,621

60,403,812

60,981,246

135,344,680

32.6

45.4

31.7

36.7

All HDSA empowered R HDSA owned R (%) (%)

Mine procurement data – 2009

Local spend

Regional spend

SME spend

2009

24,573,030

20,303,096

16,102,036

Amount R

Breakdown of mine spend locally, regionally and with SMEs – 2009

THE MINE’S KEY IMPACTS continued

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23ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Consumables

Services

Capital

Other

Total

2008 Educational facilities(%)

58,960,938

160,618,586

218,244,354

489,184

438,313,064

18,101,498

14,303,072

71,706,867

144,414

104,255,853

30.7

8.9

32.9

29.5

23.8

1,811,099

15,134,542

1,287,966

67,500

18,301,108

3.1

9.4

0.6

13.8

4.2

19,912,597

29,437,615

72,994,834

211,914

122,556,962

33.8

18.3

33.4

43.3

28.0

All HDSA empowered R HDSA owned R (%) (%)

Local spend

Regional spend

SME spend

2008

22,872,677

21,239,047

25 407 920

Amount R

Employee costs

Depreciation and amortisation

Capital expenditure 2008

Unemployment or sickness insurance taxes

Natural resource charges (water etc.)

Environmental and safety costs

Description

78,792,736

92,543,420

517,000,000

487,094

3,184,779

3,761,620

Amount R

MINE COSTS AND EXPENDITURE

Key data on mine expenditure and costs are shown below:

Mine procurement data – 2008

Breakdown of mine spend locally, regionally and with SMEs – 2008

Mine expenditure and costs – 2008

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24 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

DEVELOPMENT SPEND

The mine’s spend on socio-economic development is detailed in Section 6. A short discussion on its strategy vis-à-vis

socio-economic development is also provided in that section.

COMMUNITY HEALTH AND SAFETY IMPACTS

These are listed and responded to in the following section, but for the sake of completeness are:

• Air pollution

• Dust pollution

• Noise pollution

• Increased road traffic

• Blasting impacts

• The problems associated with population increase and influx.

ENVIRONMENTAL IMPACTS

The following environmental impacts are noteworthy:

• Land degradation

• Water pollution

• Water supply

• Groundwater drainage.

THE MINE’S KEY IMPACTS continued

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25ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

STAKEHOLDER ENGAGEMENT AND COMMUNITY DEVELOPMENT AT TWICKENHAM

INTRODUCTION

Twickenham Mine is aware that its presence can a be source of expectations, disappointments, satisfaction and

conflict. Cognisance of this fact allows the mine to engage honestly with its stakeholders in the expectation that it

will succeed on most occasions, but also understanding that some relationships and impacts need to be improved.

Development at the mine incorporates the mine’s efforts vis-à-vis:

• Stakeholder engagement and its management

• Ensuring that relationships between the mine and its stakeholders are such that mining can take place in a

conducive environment

• The collaborative development and support of development interventions that talk to local needs

• Linking stakeholders with mine management such that both are aware of one another’s positions, and can act

accordingly.

In 2009, in recognition of the importance of stakeholder engagement and support for community development, the

mine appointed a new Community Engagement and Development (CED) team. The CED Manager reports directly

to the General Manager but is supported by the corporate CED Department.

As detailed in Section 4, the people of the area are poor and typically lack even basic services such as water, education,

roads and healthcare. This backdrop informs the mine’s strategy in regards socio-economic development.

ENGAGEMENT

One of the most important functions of the CED Department is stakeholder engagement, whether directly or as the

responsible department at the mine which coordinates engagement activities between the mine and its stakeholders.

The engagement structures in which the CED Department participates are shown below.

Ditshaba Kopano Trust

Community Engagement

Committee

Recruitment Sub-committee

CED Sub-committee

Structure Period of existence

Oversee development in the area

Forum where issues are raised by

the mine and community

representatives

Monitors recruitment at the mine

to ensure local recruitment is

optimised

Mine planning committee for

development

4 years

2 years

2 years

2 years

Purpose

Existing engagement structures

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26 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

STAKEHOLDER ENGAGEMENT AND COMMUNITY DEVELOPMENT AT TWICKENHAM continued

Tekanang sport ground

Mecklenburg A sports ground

Nbtwampe high school

Matlamotse school

Kgwete water project

Mashishi water project

Mashabela A water project

Mashabela B water project

Mashabela D water project

Makgopa water project

TOTAL

Project name

Construction of soccer ground for the youth

Construction of soccer ground for the youth

Construction of classrooms and a laboratory

Construction of classrooms and sanitation

facilities

Construction of new pipeline to reservoir,

electrification of borehole and installation of

valves

Drilling and equipping of borehole

Provision of water storage tanks and reticulation

Provision of water storage tanks and reticulation

Provision of water storage tanks and reticulation

Installation of a water reticulation system

Erosion problems

Project not completed

Installation of valves still outstanding

500,000

500,000

860,000

850,000

150,000

60,000

351,000

110,000

105,000

340,000

3,83 million

Description Budget R Notes

Developmental support 2007 – 2009

SUPPORT FOR DEVELOPMENT

The mine’s support for socio-economic development primarily involves financial contributions to community

organisations or government departments involved in social development, or the funding of the construction,

installation or provision of basic services and infrastructure. Decisions as to what to support are made in conjunction

with local stakeholders and are aligned to local planning initiatives, specifically the IDP but must also comply with

Anglo Platinum’s requirements that funding should only be made for projects whose utility and viability can be

proven.

Twickenham’s support for development for 2007, 2008 and 2009 is shown in the tables below.

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27ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Serafa graveyard

Manjakane graveyard

Gangaza secondary school

Tekanang sport court

Twickenham soccer league

Mampa graveyard

Makgopa road

Water provision

TOTAL

Project name

Construction of fence and toilet facilities

Construction of fence and toilet facilities

Provision of office material

Sport court consisting of netball, volleyball and

teniquete for the youth

To develop soccer in surrounding areas

Construction of fence and toilet facilities

Tarring and upgrading of road complete with

two bridges

Provision of water to Modimolle, Manjakane,

Mashishi and Kgwete

Contractor very slow to complete the job

Not done

210,000

210,000

60,000

400,000

500,000

210,000

4,86 million

6,4 million

12,85 million

Description Budget R Notes

The total annual CSI budget varies from year to year, but in 2008 a total of R13 million was allocated by the mine,

although not all of it was spent.

Community development budget and spend – 2008

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28 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Health

• Community safety

• Cholera

• Multiple Concurrent Partners

• Image

Sub-total

Education and youth projects

• Learner development

• Educator development

• Subject advisors development

• Whole schools development

• Education Indaba

Sub-total

General community development projects (including infrastructure)

• Magalanoto electrification of 350 houses

• Mampa electrification of 278 houses

• Construction of 2008 water project

• Serafa graveyard

• Moja sa gagwe

• Tenecourts

• Fencing of Matsekane graveyard

• Mampa graveyard

Sub-total

Soccer league sponsorship

Discretionary fund

TOTAL

Category 2009 budget 2009 actual

1,000,000

70,000

300,000

1,076,556

2,446,556

2,100,390

932,640

20,000

250,000

0

3,303,030

2,000,000

1,700,000

6,400,000

0

0

0

0

0

10,100,000

0

200,000

16 049 586

0

0

0

1,649,835

1,649,835

404,388

61,380

0

0

4,104

469,873

0

0

0

169,475

206,000

628,163

158,100

224,802

1,386,539

500,000

45,142

4,051,389

At the time of writing (October 2009), Twickenham Mine is conscious of the fact that it has only spent approximately

a quarter of its development budget. The key reason for this under-spending is due to a lack of internal and external

coordination on the part of the mine and a resultant lack of stakeholder buy-in to the proposed projects. The recent

restructuring at the mine is designed to ensure that the situation does not recur. The mine is implementing short-

term strategies to spend the remaining funds before the end of 2009.

Community development budget and spend – 2009

STAKEHOLDER ENGAGEMENT AND COMMUNITY DEVELOPMENT AT TWICKENHAM continued

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29ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

KEY ISSUES RAISED DURING THE SEAT PROCESS

Twickenham’s management is confident that the issues presented in the following table, although raised only during

2009, capture the essence of stakeholder issues raised over the last few years. The issues are listed below; the mine’s

response to these issues is presented in the next section.

Issue Explanation

Sewage from the mine is alleged to have polluted

water sources

Contamination of water sources because of a lack of

designated dumping sites for community use

Water table dropped when mining started, including

the Serafa spring

Caused by blasting and traffic

Dust from blasting, traffic on gravel roads

Loss of ploughing fields and access to crop lands

More trucks and other vehicles present on local roads

Allegedly caused by blasting taking place on the mine

Certain people regard the mine’s means of

communication as inadequate

Retrenchment due to economic downturn has a

significant impact on livelihoods

Lack of training offered by the mine

Lack of procurement opportunities for local businesses

See immediately above

People living at home who are sick and require care

and attention

Water pollution

Waste disposal

Water supply

Air pollution

Dust pollution

Loss of agricultural land

Increased traffic

Cracked structures

Lack of transparency and communication on

the part of the mine

Job losses

Skills development

Local procurement

Lack of enterprise development

Health impacts

Key issues raised during the SEAT process

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30 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Twickenham, through its community development programmes, and supported by its engagement practices, aims

to build trust amongst local people and support its social licence to operate through the implementation of aspects

of the government’s development targets for the area, as expressed in the IDP, and through the support of broad-

based community development and poverty alleviation measures.

The mine has proposed management measures to address the key concerns raised by stakeholders during the

stakeholder consultation process detailed in the tables below. There are two tables that contain the mine’s response:

• A summary table listing the issues, the concerned stakeholders and a brief description of the proposed

management measure, and

• A detailed management and monitoring plan table.

Twickenham will be expanding the focus of its development agenda by incorporating more intensive enterprise

development and community development programmes. These programmes will be developed and implemented

with the collaboration of a range of stakeholders, both internal (Anglo Zimele, Anglo Platinum’s Enterprise Develop-

ment Department etc.) and external (community groups, government, NGO partners).

The CED Department’s budget for 2010 is as follows:

THE MINE’S RESPONSE TO ISSUES RAISED

2009 budget 2009 actual

Discretionary fund

Electrification

Day care facilities for children

Support for small scale farmers

Road infrastructure

Community access bridges and livestock

drinking troughs

Upgrading of traditional authority offices

and courts

Water provision support

Total

Programme Budget R

200,000

3,700,000

800,000

3,000,000

7,000,000

970,000

100,000

6,400,400

22,170,000

Furthermore, the mine will receive a portion of funds for education (R25 million), enterprise development (R7,900,000)

and community safety, health and wellness (R12 million). At the time of writing, the mine was in the process of

identifying suitable projects to allocate the funds to.

2010 community development budget

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31ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Issues and responses summary table

Water pollution

Waste disposal

Water supply

Dust pollution

Air pollution

Increased traffic

Loss of

agricultural land

Sewage from the mine is

alleged to have polluted

water sources

Contamination of water

sources because of a lack

of designated dumping

sites for community use

Water table dropped

when mining started,

including the Serafa

spring

Dust from blasting, traffic

on gravel roads

Caused by blasting and

traffic

More trucks and other

vehicles present on local

roads

Loss of ploughing fields

and access to crop lands

Illness, reduction of water

sources

Illness, reduction of water

sources

Lack of water for a range of

purposes especially

significant in an area with no

reticulation systems

Visual, damages crops,

irritates people and livestock

Deterioration of air quality

Hazard to local people and

livestock

Elimination of an important

component of local

livelihoods leading to

impoverishment

Morapaneng

Sekutlong

Community

in general

Community

in general,

Serafa

Community

in general

Community

in general

People living

alongside

D4071

and R37

roads

Former

users of

Twickenham

and

Hackney

farms

Ensure that no run-off, spillage or leakage

emanates from the mine.

Ensure that all waste generated by the mine

and its contractors is suitably disposed of at

authorised disposal sites.

The mine will investigate its responsibility in

depleting water reserves and provide water

where required.

The mine requires of all its employees and

contractors to abide by speed limits and

thus not produce more dust than

necessary. In addition, all mine roads will be

watered in the dry months. Dust from

blasting is kept to a minimum.

All mine vehicles are serviced to ensure that

their engines are not excessive polluters.

Pollution from blasting is contained as best

the mine can and is within legal parameters.

All mine and contractor vehicles are easily

recognisable and are required to adhere to

all road regulations. The mine will also

examine whether it can assist with ensuring

that road markings and signage are

adequate along stretches of road yet to be

determined.

The mine will investigate the matter and

submit a proposal to the affected

communities to mitigate this loss of land

and livelihood. The mine will be spending

in excess of R3 million in 2010 on an

agricultural project within host

communities.

Issue raised Impact thereofExplanation Summary of proposed management measureAffecting

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32 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

THE MINE’S RESPONSE TO ISSUES RAISED continued

Cracked

structures

Lack of

transparency and

communication

on the part of the

mine

Job losses

Issue Impact

Blasting

Retrenchment due to

economic downturn

Loss of facilities

Inability of the mine and its

stakeholders to engage

amicably, affecting the

mine’s CED programme

Further impoverishment of

an already poor area

Explanation Monitoring plan

Hackney

Twickenham

Serafa

The mine

and

local

communities

Community

The mine will investigate whether it is

responsible or not for damage caused to

structures as a result of blasting, or whether

such damage by poor construction

practices or other factors

One of the CED Manager’s main tasks

will be to improve relations with the

community. This will start with a

reconsideration of the existing community

liaison structures and their mandates,

the outcome of which will be an

engagement forum whose terms of

reference will be suitable to all. A new,

more transparent and consistent

complaints and grievance procedure is

being implemented across Anglo American

operations, and this should also help to

increase accountability and responsiveness

to local concerns

The mine’s viability is somewhat dictated

by external circumstances – particularly

demand for platinum group metals and

the strength of the rand. This will have an

impact on jobs in terms of retrenchment

and/or a freeze on hiring. However, the

mine, through the CED Department,

will be involved in supporting skills

development within the region to

enhance employability of local people

and also to promote the independence

of local people from the mining sector.

The mine’s Human Resources Department

is also involved in training employees to

assist them to deal with life outside of

the mine.

Issue raised Impact thereofExplanation Summary of proposed management measureAffecting

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33ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Skills

development

Local

procurement

Lack of adequate

home-based

healthcare

Issue Impact therof

Lack of training offered by

the mine

No opportunities for local

businesses due to alleged

unfair and biased

procurement practices on

the part of the mine

People living at home

who are sick and require

care and attention

Local people are not trained

and jobs are offered to

people from outside the area

Local businesses do not

benefit from the mine’s

presence, which has a range

of ramifications

Explanation Monitoring plan

Community

Community

in general,

Modubeng

Malokela

Community

in general

Where possible, the mine will hire local

people and is investing considerable sums

in education to ensure there is a good local

talent pool. However, where skills are not

available locally, the mine will have to look

elsewhere.

The mine, through the CED Department,

will be involved in supporting skills

development in the region to enhance the

employability of local people.

Parallel to the issues of employing local

people, the mine will purchase goods and

services locally where these are available.

Through the CED Department, the mine

will be involved in supporting enterprise

development within the region to enhance

the ability of local suppliers to participate in

the mine’s supply chain.

The mine will investigate the allegations of

biased procurement and advise of its

findings.

The mine will determine and how where to

support home-based caregivers to

ameliorate the situation.

Issue raised Impact thereofExplanation Summary of proposed management measureAffecting

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34 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

THE MINE’S RESPONSE TO ISSUES RAISED continued

Water pollution

Waste disposal

Water supply

Dust pollution

Issue Steps

• Elimination of water

pollution

• Ensure that all

contaminated sites

are cleaned up

• Ensure that all waste

is properly disposed

of

• To confirm depletion

of water resources

• To provide adequate

replacement where

required

• To minimise dust

pollution caused by

the mine and its

service providers

1. Determine extent of current

pollution

2. Eliminate cause of above and

clean up

3. Check entire mine for areas of

risk and address these areas

1. Clean up of contaminated

sites

2. Develop a waste disposal

strategy

3. Training of all suppliers on

the strategy

4. Ensuring that all mine waste

is properly disposed of

1. Independent study to

confirm impact

2. Propose strategy to assist

affected persons

3. Study also to recommend

how depletion can be

minimised

1. Review of the mine’s dust

monitoring strategy to ensure

adequacy

2. Ensure that dust levels are

within legal parameters

3. Where dust is especially

troubling for local people, the

mine will consider measures to

significantly reduce dust caused

by its vehicles and those of its

service providers

Management objectives

Key Performance Indicators (KPIs) in relation to steps

ENG/SHE

Manager

ENG/SHE

Manager

GEN/ENG/

SHE

Manager,

CED

Manager

ENG/SHE

Manager,

CED

Manager

1. Report to mine

management, Community

Engagement Committee

(CEC)

2. Water tests confirm

clean up

3. Report to mine

management, CEC

1. Report to mine

management, CEC

2. Report to mine

management, CEC

3. Report to mine

management, CEC

4. Routine reporting in

respect of compliance

concerning violations etc.

1. Delivery of study

2. Acceptance of proposal

by affected persons

3. Implement measures

and monitor levels

1. Report to mine

management, CEC

2. Report to mine

management, CEC

3. Report to mine

management, CEC based

on dust monitoring and

number of complaints

Responsible persons

Timing of steps

1. 15 /11/2009

2. 15/12 /2009

3. 31/012010

1. 15 /11/ 2009

2. 31/01/2010

3. 30/04/2010

4. Ongoing

monitoring

1. 31/01 2010

2. 28/02/2010

3. From

February 2010

1. 31/012010

2. Ongoing

3. Begin in

March 2010

before onset of

dry months

Detailed management and monitoring plan

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35ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Air pollution

Increased traffic

Loss of

agricultural land

Issue Steps

• To minimise

vehicular emissions

• To improve road

safety in the area

• Protection of local

livelihoods

• To set the record

straight with regards

to cracked structures

and to compensate

where this is

necessary

1. All mine vehicles will

continue to be maintained

2. All contractors will be

required to maintain the same

standards of vehicle

maintenance as those of the

mine

1. Ensure that all mine and

contractor vehicles are

properly marked and that

drivers obey the law

2. Investigate the feasibility of

improving road markings and

road signage

1. The mine will determine

the extent of land lost as a

result of its activities, the

potential crop loss associated

with this and propose a

suitable compensation

package to affected

individuals

Management objectives

Key Performance Indicators (KPIs) in relation to steps

ENG/SHE

Manager

SHE

Manager

CED

Manager

1. Excessive belching of

smoke from mine vehicles

will be reported to SHE

Manager or CED Manager

2. Ditto for the vehicles of

service providers from April

2010

1. Report to mine

management, CEC

2. Report to mine

management, CEC

1. Acceptance of the

proposal submitted to the

community

2. Reestablishment of crop

lands and a concomitant

restoration of the affected

persons’ livelihoods – to be

reported by the CED

Manager to mine

management and to the

CEC

Responsible persons

Timing of steps

1. Ongoing

2. Process will

be set in

motion in

March 2010

1. From 31

October 2009

2. Discussions

with local

authorities will

commence in

November

2009

1. The process

will begin on

1 December

2009

2. Feedback to

affected

persons will be

on the 1st of

February 2010

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36 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

THE MINE’S RESPONSE TO ISSUES RAISED continued

Cracked

structures

Lack of

transparency and

communication

on the part of the

mine

Issue Steps

• To set the record

straight with regards

to cracked structures

and to compensate

where this is

necessary

• To improve relations

with stakeholders

1. The mine will appoint an

independent consultant to

examine the allegations (the

consultant will bear in mind that

some or all of these structure

may not have been built

according to the standards

against which the investigation

benchmarks itself; existing

records will also be checked to

see if cracking was present

before mining)

2. Should the mine be

responsible, suitable

reparations will be made

3. In addition, the CED

Department will determine

what building skills programme

it can support in the area to

improve the quality of builders

and the structures they erect

1. Internal review of CEC terms

of reference (ToR) and structure

2. Proposed amendment to ToR

and structure submitted to the

CEC

3. Based on discussions, new

ToR and structure agreed upon

4. Intensive interaction between

CED Manager and local

stakeholders to address

concerns

5. Mine open day involving all

mine management

6. Luncheon with mine

management and community

leaders

7. Circulation of SEAT report

and discussion thereof

8. Implementation of new

complaints and grievance

procedure

Management objectives

Key Performance Indicators (KPIs) in relation to steps

ENG/ SHE

Manager,

CED

Manager

CED

Manager,

General

Manager,

mine

manage-

ment

1. Report to mine

management, CEC

2. Acceptance on the part

of the community of the

proposal

3. Better builders and

better quality structures

that are not damaged by

blasting or seismic events

1. Revised ToR and

structure produced by

mine

2. –

3. New ToR and structure

4. Relations mended

5. –

6. –

7. Changes to

management interventions

should these be required

8. Numbers of minor,

moderate and serious

complaints received, as per

the categorisation in the

“Anglo Social Way”

(available on the Anglo

American website)

Responsible persons

Timing of steps

1.Appointment

by 15 Dec 2009

2. Proposals for

reparations to

be made by 10

January 2010

3. The CED

Manager will

investigate as

of 1 November

2009

1. By 30 Nov

2009

2. By 15 Dec

2009

3. 31 Jan 2010

4. Ongoing

from October

2009

5. January 2010

6. January 2010

7. By end of

2009

8. By end of Q2

2010

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37ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Monitoring plan

Job losses

Skills

development

Issue Steps

• To minimise job

losses; where these

are unavoidable, to

ensure that those

retrenched have a

skill or skills to rely on

• To support skills

development

programmes in the

area so as to enable

people to find work

or create

opportunities for

themselves

1. Ensure that training provided

by the mine also includes

preparation for retrenchment

should this be required. Mine

training should also ensure that

skills used on the mine are

deployable elsewhere

1. The CED Manager will review

the mine’s existing support of

skills development programmes

2. He will also explore

opportunities to support other

initiatives in this area

3. The CED Manager will also

require of the programmes

supported by the mine to

demonstrate their efficacy in

developing people and

ensuring that they are

employable

Management objectives

Key Performance Indicators (KPIs) in relation to steps

HR Manager

CED

Manager,

HR Manager

1. Report to mine

management, CEC

1. Report to mine

management, CEC

2. Report to mine

management, CEC

3. Individual programmes’

KPIs will be communicated

to the CEC

Responsible persons

Timing of steps

1. Ongoing

1. To be

completed by

31 Jan 2010

2. Ongoing,

but will report

to the CEC in

February 2010

3. Terms of

reference will

be reviewed

and new

contracts

amended

beginning 1

November

2009

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38 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

THE MINE’S RESPONSE TO ISSUES RAISED continued

Local

procurement

Lack of adequate

home-based

healthcare

Issue Steps

• To enhance local

procurement

through the support

of enterprise

development

initiatives in the area

• Improved care of the

sick, elderly and

feeble

1. The CED Manager will review

the mine’s existing support of

local enterprise development

programmes

2. He will also explore

opportunities to support other

similar initiatives

3. The CED Manager will require

of the programmes supported

by the mine to demonstrate

their efficacy in developing

businesses and their managers

4. The CED Manager will liaise

with Anglo Zimele to explore

enterprise development

opportunities in the area

5. The CED manager, together

with the mine’s Procurement

Department, will ensure that all

business opportunities are

communicated locally through

all available and suitable means

and that local enterprises are

given opportunities

1. The CED Department, in

conjunction with Platinum

Health, will determine what

support it can lend to the

training of home-based care

givers and what support can be

given to those care givers

already working in the

communities

Management objectives

Key Performance Indicators (KPIs) in relation to steps

CED

Manager,

Pro-

curement

Department

CED

Manager,

Platinum

Health

1. Report to mine

management, CEC

2. Report to mine

management, CEC

3. Individual programmes’

KPIs will be communicated

to the CEC and discussed

4. Report to mine

management, CEC

5. Report to mine

management, CEC

1. Report to mine

management, CEC

Responsible persons

Timing of steps

1. By 31st

January 2010

2. Ongoing,

but will report

to the CEC in

February 2010

3. Terms of

reference will

be reviewed

and new

contracts

amended

beginning 1

November

2009

4. The CED

Manager will

begin liaising

with Anglo

Zimele as of 1

November

2009

5. Ongoing,

but beginning

1 November

2009

1. The CED

Manager will

investigate this

before the end

of 2009

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39ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

Management responseRaised by Monitoring plan

FUTURE MONITORING

This report will be circulated amongst the mine’s stakeholders for review and comment. Input from this process will

be channelled into the mine’s strategy and will also be used to prepare for the next SEAT process in three years time.

In addition, this report will also contribute to the preparation of the mine’s Community Engagement Plan (CEP), to be

prepared by the end of 2009 for 2010. The publication of this SEAT Report fits comfortably with the restructuring of

the CED Department in that it provides the new Operations CED Manager an informative basis from which to develop

appropriate means of engagement and appropriate development interventions.

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40 ANGLO PLATINUM T WICKENHAM MINE SEAT REPOR T 2009

CONTACT DETAILS

For further information, please contact:

Anaki Karigeni

General Manager (acting)

Tel: 013 231 9115

Fax: 013 231 9182

Email: [email protected]

Kevin Pabst (acting)

SHE Manager

Tel: 013 231 9170

Fax: 013 231 9182

Email: [email protected]

Trinity Mthiyana

CED Operations Manager

Tel: 013 231 9244

Fax: 015 418 3532

Email: [email protected]

Karel Venter

HR Manager

Tel: 013 231 9118

Fax: 013 231 9182

Email: [email protected]