PresentingPresentingthethe
Managed by
Decorum Capital Partners (Pty) Limited
Portfolio Committee on Minerals & Energy, Parliament
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Principal Managers
Arthur Mashiatshidi
John Taylor
Neil Gardyne
Paul Mwasinga
Richard Shead
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Background & Motivation
• Mineralisation in the region
• Absence of junior mining culture
• New mining legislation in SA
• Existence of mining systems & knowledge
• Favourable investment climate
• Risk mitigation
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Description of NAMF Fund
• Incorporated in SA as a Bewind Trust
• Private Equity Fund
• Providing Risk Capital
• Competitive Return on Capital
• Focusing on Junior Mining Opportunities
• Investing in diversified minerals
• Regional Focus: The African Continent
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Framework
• Competitive Returns on Investor Capital
– Fund projects with potential for a high return
– Invest in projects with commercial merit
– Sanlam option to receive capital protection
• Support SA transformation objectives
– Access to funding (non traditional)
– Mitigate risks
– Facilitate access to skills
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Stage of FocusFocus on opportunities seeking risk capital
NAMF FOCUS
Discovery
Pre-Feasibility
ResourceDefinition
Feasibility
Incr
easi
ng P
roje
ct V
alue
Project Stages
Production
Harvest
IPO
MBO
Etc.
DecreasingRisk
Value
Cur
ve
Risk Capital (Equity) Quasi Equity Debt Finance
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Salient Terms
Aim to raise between R1 billion and R2 billion of commitments
Finite life of 10 Years
Draw-Down Basis
6 Year Commitment Period
Rand Denominated
Optional Capital Protection
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Corporate Governance
• Board of Trustees
– Reputable business and mining leaders
– Responsible for setting policy direction
• Investment Committee
– Balance between investors and trustees
– Significant investor representation
– Responsible for final investment approval
• Conflicts committee
– Actively address opportunities for conflicts
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Investors
• ABSA Corporate Merchant Bank
• BHP Billiton Limited
• Development Bank of Southern Africa
• Gold Fields Limited
• Harmony Gold Mining Limited
• Industrial Development Corporation
• International Finance Corporation
• Kumba Resources Limited
In Excess of R 460 million
alreadycommitted
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Participation Options• Sanlam Investment Management (SIM)
• 2nd Largest Asset Manager in Africa
• Manages > R 200 billion in assets
• Optional Up to R1 Billion Capital Guarantee
SIM Fund of Funds
New Africa Mining Fund
Current Investors
Other Fund Other Fund
New Investors
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Challenges/
• Skills and Expertise
– Technical
– Financial
– Managerial
– Operational
• Expectations
• Regulatory
– Commercial / BEE
– Royalties
– Beneficiation
Mentor Group
No Resources
Structured Incentives
Flow Through Shares
Access to Financial Markets
Contact Details:
Arthur +27 82 560 0469
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