Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate action
• Water security and stewardship
• Tailings management and rehabilitation
• Female empowerment
• Workforce diversity and labour practices
• Employee health and safety
• Training and development
• Communities, customers and local stakeholder relationships
• Gender-based violence
• Process and code of conduct
• Sustained resources, growth and diversification
• Stakeholders and engagement
• Economic contribution

Environmental Achievements

• Reduced diesel consumption in buildings (generators) significantly from 320,000 liters in FY2021 to 13,515.86 liters in FY2022.
• Successful rollout of greener technology for mine water treatment in a pilot phase.
• Doornbosch operation celebrated ten years LTI-free.

Social Achievements

• Launched an employee assistance program.
• Increased female representation in the workforce to 20.9%.
• Significant progress in improving ESG monitoring and reporting.
• Successful rollout of the employee assistance programme.
• Good female representation in the workforce.
• Significant progress made in improving ESG monitoring and reporting and embedding ESG firmly in the organisation.

Governance Achievements

• Developed an ESG Reporting Toolkit and a range of policies that are currently being implemented within the organisation.
• Reviewed Sylvania’s strategic risk and business register and updated it to reflect key business and operational risks, including ESG-related themes.

Climate Goals & Targets

Environmental Challenges

• Energy crisis in South Africa caused by ageing infrastructure and a lack of alternative energy producers.
• Nationwide loadshedding and a significant increase in copper cable theft.
• Water shortages leading to production and financial losses.
• Historical re-mining practices that damaged some perimeter drains of the Lesedi TSF, leading to its early decommissioning.

Mitigation Strategies

• Feasibility study for the installation of generators at the Millsell plant.
• Installation of generators at Tweefontein and Lannex plants for backup power.
• Upgrades to key components of internal electrical reticulation systems.
• Installation of power factor correction (PFC) at five of six operating sites.
• Implementation of a water conservation and water demand management strategy.
• Temporary suspension of operations at Lesedi to ensure the integrity of the tailings dam and enable remedial work.
• Commissioning of a new Lesedi TSF.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Supplying grease and oil to Lannex and Tweefontein operations in conjunction with a female-owned business.
• Working with female-owned laundry and cleaning businesses.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Energy crisis in South Africa

Opportunities

• Investigating synthetic fuel/biodiesel for generators and hydrogen electrolysers for trucking.
• Reviewing the use of solar PV plants to supplement the daily power usage at Doornbosch and Tweefontein.

Reporting Standards

Frameworks Used: GRI, UNSDGs, TCFD, SASB

Certifications: Null

Third-party Assurance: Internal

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Chromite ore pellet with the potential to markedly cut smelters’ electrical energy consumption.

Awards & Recognition

• Best-in-class Safety Performance commendation by the Mine Metallurgical Managers Association of South Africa

Environmental Metrics

ESG Focus Areas

• Tailings management and rehabilitation
• Water security and stewardship
• Climate action
• Female empowerment
• Workforce diversity and labour practices
• Employee health and safety
• Training and development
• Communities, customers and local stakeholder relationships
• Gender-based violence
• Responsible business
• Sustained resources, growth and diversification
• Stakeholders and engagement
• Economic contribution

Environmental Achievements

• Ongoing revegetation trial on tailings storage facility (TSF) showing positive results in grass seed germination, plant growth, and improvement in tailings characteristics.
• Developed an automated, live water balance system with flow meters for increased accuracy of water flow and use.
• Successful utilization of process water in revegetation, achieving a harmonious balance of nutrient composition and pH levels for robust plant growth.
• Cleaning up older tailings facilities and constructing new, lower-risk modern dams.

Social Achievements

• 11 years LTI-free at the Doornbosch operation.
• Learnerships and bursaries awarded.
• 85% unionised employees.
• 103 new employees: 68 from host communities, and 30% women.
• 23% female staff complement.
• Support of the Gatsheni Lifeway Hope non-profit organisation in the fight against gender-based violence (GBV).

Governance Achievements

• Complies with the QCA Corporate Governance Code.
• Internal ESG dashboard being developed to monitor and display ESG performance.
• SHE and ESG framework policies embed ESG in business.

Climate Goals & Targets

Environmental Challenges

• Increased GHG emissions due to acquisition of diesel generators to ensure operational continuity during South Africa's energy crisis.
• Water shortages at certain sites.
• South Africa's energy crisis and loadshedding impacting production.
• Copper cable theft disrupting production.

Mitigation Strategies

• Acquisition of diesel generators.
• Implementation of effective water management strategies, including additional flow meters and collaboration with host mines.
• Feasibility study for installation of generators at Lesedi and Millsell plants.
• Feasibility study for a 1MW PV installation at Lesedi plant.
• Cost/benefit analysis into mobile micro-grid solar power generation at Mooinooi and Lesedi.
• Investigation of synthetic fuel/biodiesel for generators.
• Continuous review of energy efficiency of equipment and infrastructure, including potential for hybrid mining vehicles.
• Waste management hierarchy: reduce – reuse – recycle – energy recovery – landfill.

Supply Chain Management

Responsible Procurement

• Rigorous supplier selection process evaluating commitment to human rights, labour standards, environmental sustainability, and ethical business practices.
• Regular dialogues, audits, training, and capacity-building programs with suppliers.

Climate-Related Risks & Opportunities

Physical Risks

• Difficult to estimate, but baseline TCFD report developed.

Transition Risks

• Regulatory changes, market shifts.

Opportunities

• Development of energy-efficient products.

Reporting Standards

Frameworks Used: Global Reporting Initiative (GRI), United Nations Sustainable Development Goals (UNSDGs), Task Force on Climate-Related Financial Disclosures (TCFD), Sustainability Accounting Standards Board (SASB), International Council on Mining and Metals (ICMM) 10 Principles

UN Sustainable Development Goals

• UN SDG 7 (Affordable and Clean Energy)
• UN SDG 6 (Clean Water and Sanitation)
• UN SDG 13 (Climate Action)
• UN SDG 5 (Gender Equality)
• UN SDG 8 (Decent Work and Economic Growth)
• UN SDG 15 (Life on Land)

Alignment with UNSDGs is detailed throughout the report.

Environmental Metrics

ESG Focus Areas

• Safety
• Water Management
• Climate Change
• Tailings Management
• Gender-Based Violence
• Diversity and Inclusion
• Community Development
• Energy Efficiency
• GHG Emissions Reduction
• Responsible Water Management
• Tailings Rehabilitation

Environmental Achievements

• Improved water conservation through scavenger boreholes and enhanced data collection, reducing water withdrawal needs.
• Completed a TCFD gap analysis, assessing physical and transitional climate risks.
• Advanced alignment with the GISTM through gap analysis and roadmap development.
• Conducted innovative tailings rehabilitation trials with OMI Solutions, improving revegetation and reducing erosion.

Social Achievements

• Achieved a Lost Time Injury Frequency Rate (LTIFR) of 0.19 per 200,000 hours worked.
• Expanded the Anti Gender-Based Violence (GBV) Programme, partnering with local authorities for awareness campaigns.
• Increased women's representation in the workforce to 25% and on the board to 40%.
• Provided 21 staff bursaries and training to 11 local community members.

Governance Achievements

• Integrated ESG strategies into business operations, aligning reporting with GRI, SASB, and TCFD guidelines.
• Improved data collection and monitoring for enhanced compliance and decision-making.
• Updated strategic risk and business register to reflect key ESG-related risks and controls.

Climate Goals & Targets

Environmental Challenges

• Climate change impacts (extreme heat, droughts, floods, wildfires) affecting operational efficiency, worker safety, and rehabilitation.
• Water scarcity in South Africa.
• Energy supply challenges (load shedding) leading to potential operational downtime.
• Managing the escalating cost of tailings facilities.

Mitigation Strategies

• Implementing mitigation measures to reduce the potential negative impacts of climate change.
• Improving energy efficiency, lowering energy consumption, and exploring renewable energy sources.
• Developing scavenger boreholes to reuse seepage water and reduce water withdrawal.
• Aligning tailings management practices with the GISTM.

Supply Chain Management

Responsible Procurement

• Prioritising local and national businesses and employees.

Climate-Related Risks & Opportunities

Physical Risks

• Extreme heat
• Droughts
• Floods
• Wildfires

Transition Risks

• Carbon pricing mechanisms
• Supply chain reputation
• Increased raw material costs

Opportunities

• Investment in low-carbon technologies and products

Reporting Standards

Frameworks Used: GRI Universal Standards, SASB Metals and Mining Standards, TCFD

UN Sustainable Development Goals

• UN SDG 6 (Clean Water and Sanitation)
• UN SDG 7 (Affordable and Clean Energy)
• UN SDG 8 (Decent Work and Economic Growth)
• UN SDG 13 (Climate Action)

Sylvania's initiatives contribute to these goals through responsible resource management, community development, and climate action.

Environmental Metrics

ESG Focus Areas

• Health and Safety
• Water Management
• Tailings Management
• Workforce Development & Diversity
• Community Development

Environmental Achievements

• Water usage decreased significantly to 1.41 m³/tons treated from 2.84 m³/tons in HY1 FY2024
• Launched hybrid vehicle pilot trial to assess feasibility of incorporating hybrid vehicles into the fleet

Social Achievements

• All operations remain fatality free since inception in 2007
• Achieved best LTI-free performance in Sylvania’s history with only one lost-time injury reported
• Female representation increased to 28.19% from 23.47%
• Community suppliers spend: ZAR75.9 million

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Heavy rains during December 2024 caused lower dump treatment tons at Mooinooi
• Challenges with the hydro-mining operation at Mooinooi
• Lesedi operation stopped for 24 days in August 2024 for optimization
• Higher than inflation electricity rate increases
• Grid constraints at Tweefontein increased use of backup diesel generators
• Increased borehole water use due to supply challenges

Mitigation Strategies

• Addressed challenges with the hydro-mining operation at Mooinooi
• Re-assessed and repositioned the Lesedi plant for treatment of alternative dump material
• Implemented mitigation strategies for increased borehole water use under review
• Commissioned a new column flotation cell at Millsell to improve concentrate quality
• Commissioned the host-mine’s Lesedi ROM plant to provide a higher-grade feed source
• Completed installation and commissioning of the Millsell standby generator to mitigate power constraints

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed