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   Thungela is a leading pure-play producer and exporter of high quality,
   low-cost thermal coal in South Africa.
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Leaders In Superior Thermal Coal Exports

Thungela is a leading pure-play producer and exporter of high quality, low-cost
thermal coal in South Africa.

Read More

Superior Thermal Coal Exports

Thungela is a leading pure-play producer and exporter of high quality, low-cost
thermal coal in South Africa.

Read More

Thermal Coal Exports

Thungela is a leading pure-play producer and exporter of high quality, low-cost
thermal coal in South Africa.

Read More

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 * JSE
   17359997.36
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 * LSE
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Latest News
A collection of News relating to Thungela.
View More
Media Release
13 August, 2021
Solid Performance in First Interim Results

Thungela Resources reports solid performance in first Interim Results since
listing.

 * Operating profit of R990 million for the reporting period
 * Adjusted EBITDA of R1,888 million
 * Robust financial position with net cash of R3 billion

Thungela Resources Limited (“Thungela” or the “Company”) today reports a strong
set of interim results for the six months ended 30 June 2021. This follows the
successful listing on the Johannesburg Stock Exchange and the London Stock
Exchange on 7 June 2021.

July Ndlovu, CEO of Thungela, commented:

> “I am pleased to report that after one month of operating as an independent
> business, we are well-positioned to deliver on our targets. Although we are in
> the early days of independence, we continue to remain focused on running a
> fatality-free business, delivering productivity and cost improvements. With
> our strong balance sheet, we believe that we are in a good place. Our
> financial performance is buoyed by the recent recovery of global thermal coal
> prices and the active steps we have taken to upgrade our portfolio. We
> experienced firm demand from South Asia including India, Pakistan, Sri Lanka
> and Vietnam. Thungela's high quality coal is well placed to continue
> capitalising on significant market demand in this region. Coal prices were
> supported by supply constraints from South Africa, Colombia and Australia,
> with the latter still facing an ongoing ban on imports into China.”
> 
> JULY NDLOVU
> 
> THUNGELA CHIEF EXECUTIVE OFFICER

 

Regrettably, we had a loss of life at our Goedehoop Colliery. Our condolences go
to the family, friends and colleagues of Moeketsi Mabatla. Thungela reaffirms
its commitment to achieving a fatality-free business.

Benefitting from higher global thermal coal prices driven by the continued
demand from South Asian markets for high quality thermal coal and global supply
constraints, Thungela generated operating profit of R990 million and Adjusted
EBITDA for the six months ended 30 June 2021 close to R1.9 billion, while the
statement of financial position showed a strong net cash position of R3 billion.

Thungela delivered earnings per share of 313 cents and headline earnings per
share of 305 cents for the reporting period. This includes the impact of two
significant once-off adjustments; the restructuring costs and termination
benefits of R386 million, as well as the fair value adjustment of R584 million
on the derivative relating to the Capital Support Agreement with Anglo American.
“The majority of Thungela’s coal is exported and its revenue was positively
impacted by the benchmark thermal coal price which strengthened by 47% compared
to H1 2020, however, the strengthening of the Rand offset some of the gains.

Thungela implemented actions prior to the Demerger which has improved the
quality of its portfolio by taking higher cost production out of the business.
In particular, the Bokgoni pit of the Khwezela operation was placed on care and
maintenance during Q1 of this year.

Export saleable production volumes, on a comparable basis, decreased by 9% to
7.1Mt mainly as a result of the Bokgoni pit being placed on care and
maintenance, offset by the ramp up at the Navigation pit at Khwezela. Equity
export sales also declined by 8% to 6.6Mt, primarily as a result of the lower
saleable production volumes for the six months ended 30 June 2021, and also as a
result of lower than planned railings due to the underperformance of Transnet
Freight Rail. The rail line operator’s performance challenges are attributable
to theft of infrastructure and equipment failures mainly related to locomotives.

Thungela ended the period with a strong net cash position of R3.0 billion. From
1 June 2021, Thungela operated as a standalone business having received an
initial cash injection of R2.5 billion.

In a landmark empowerment transaction, Thungela’s Employee and Community
Partnership Plans each hold a 5% fully funded interest in Thungela’s coal
operations in South Africa and are set to benefit from the financial value that
the company will generate.
The first distribution of R6 million to the Community Partnership Plan was made
on 30 June 2021. Trustees have been appointed and plans are underway to appoint
an administrator to ensure the Trust delivers on its mandate.

Thungela’s results are not directly comparable with the prior period as a result
of an internal restructuring process which separated the South African Thermal
Coal Operations, and the various non-thermal coal operations within Anglo
American in preparation for the Demerger. One mine is included in the
comparative period versus the seven mining operations which currently form part
of Thungela. This impacts on both the operational and financial performance and
hence Thungela also developed pro forma financial information which seeks to
compare the current reporting period with the prior period on a like for like
basis.

Outlook

We confirm the guidance for Export Saleable Production of between 15Mt and 16Mt
and flat FOB cost per export tonne of R830 for the full year.

Capital expenditure is now expected to be on the low end of the range (R2.6
billion to R3 billion) previously provided for the full year.

With continued strong prices as well as improved performance by TFR through the
remainder of the year, Thungela is set to achieve a positive adjusted operating
free cash flow for the remainder of 2021.

We are committed to the stated dividend policy of paying 30% of the cash flows
from operating activities, after funding our sustained capital expenditure and a
strong balance sheet coupled with the above paves the way for Thungela to
consider the declaration of a maiden dividend at the annual results for 2021.

> “Looking ahead, we will continue to focus on what we can control. We commit to
> operating a fatality free business. We are continually reviewing our capital
> expenditure plans, our teams are focused on delivering cost efficiencies and
> we are poised to take advantage of the booming commodity cycle. Our
> foundations are in place. We are confident based on market fundamentals,
> Ndlovu concluded”

 

ENDS

Read More
Media Release
7 June, 2021
Admission to Trading on the JSE and LSE

The ordinary shares of Thungela Resources Limited (the “Company” or “Thungela”)
will start trading today following Thungela’s admission to the main board of the
Johannesburg Stock Exchange, as a primary listing, under the abbreviated name
“Thungela”, Alpha code “TGA”, and the main market of the London Stock Exchange,
as a standard listing, under the ticker symbol “TGA” (“Admission”).

Admission follows the completion of the demerger of Thungela from Anglo American
plc (“Anglo American”), which became effective at 9:00 p.m. (South African time)
/ 8:00 p.m. (London time) on 4 June 2021. As a leading South African thermal
coal exporter, Thungela offers investors access to a high-quality thermal coal
business with low cash cost and high-margin assets and a strong balance sheet,
underpinned by a robust environmental, social and governance (“ESG”) framework.

On 8 April 2021, Anglo American published a shareholder circular proposing the
separation of its South African thermal coal operations through their transfer
to Thungela and the subsequent demerger of Thungela from the Anglo American
group. The demerger and the scheme of arrangement to implement the demerger was
approved by Anglo American’s shareholders on 5 May 2021 and the scheme of
arrangement was sanctioned by the UK Court on 26 May 2021.

Thungela owns interests in, and produces thermal coal predominantly from, seven
collieries located in Mpumalanga, South Africa, namely Goedehoop, Greenside,
Isibonelo, Khwezela, Zibulo, Mafube and Rietvlei collieries, which consist of
both underground and opencast mines. Thungela’s operations are amongst the
highest quality thermal coal mines in South Africa by calorific value.
Thungela’s operations provide a wide range of economic and social benefits for
their host communities and for South Africa, such as employment, tax revenues,
export earnings, and many essential community services.

Commenting on the listings, Thungela Chief Executive Officer, July Ndlovu said:

 

> “We are excited to be listing Thungela today. The Company plays an important
> role in providing affordable energy to both our customers in the developing
> world, and South Africa. Our business consists of well- established,
> well-managed assets that produce high-quality thermal coal, with access to a
> world-class export infrastructure. Thungela has an enviable cash cost position
> and is poised to deliver attractive returns to shareholders.”
> 
> JULY NDLOVU
> 
> THUNGELA CHIEF EXECUTIVE OFFICER

 

On listing, all of Thungela's issued shares will be held by Anglo American’s
shareholders who will each receive one Thungela share for every 10 Anglo
American shares that they hold.

As part of its responsible transition away from thermal coal, Anglo American has
injected capital of R2.5-billion into the Thungela group and will provide
further contingent capital support until the end of 2022, depending on certain
coal price thresholds. Anglo American will also continue to market and sell
Thungela’s export products over the next three years, with an additional six-
month transitional period, in order to enable the Company to build sufficient
marketing capacity of its own.

According to research by the global mining research and consultancy group, Wood
Mackenzie, South Africa is the fourth-largest producer of thermal coal globally,
catering for the growing demand from India and other developing countries in
South Asia, and potentially the Middle East and North Africa (“MENA“). Demand
from these regions is expected to grow as power demand increases.

“We expect our portfolio of assets to be cash generative throughout the life of
our mines and well into the next decade, with the option for life extension
opportunities. In addition to export markets, we produce thermal coal for
domestic consumption in South Africa, which provides us with inherent
operational flexibility in response to changes in demand and other external
factors,” Ndlovu added.

Thungela’s management team is led by July Ndlovu, as Chief Executive Officer,
and Deon Smith, as Chief Financial Officer, who are supported by the rest of the
board, namely Sango Ntsaluba as chairperson, Kholeka Mzondeki, Ben Kodisang
Thero Setiloane, and Seamus French.

The management team has deep experience in driving cost optimisation strategies,
productivity improvements, ESG performance and value accretive investments.

As part of its commitment to enhancing ESG factors, Thungela has established an
employee partnership plan and a community partnership plan, which each hold a 5%
interest in Thungela’s direct subsidiary, South Africa Coal Operations
Proprietary Limited. These plans will enable employees and communities to share
financially in the value generated by the Company’s thermal coal operations.

“Our ambition is to build Thungela into a highly sustainable and investable
enterprise due to its strong cash flow generation, robust balance sheet,
credible leadership, dedicated employees, and consistency in meeting and
exceeding safety, ESG and production targets. We are igniting real change and
are optimistic about a bright future,” Ndlovu concluded.

Total voting rights

In accordance with the Financial Conduct Authority’s Disclosure Guidance and
Transparency Rule 5.6.1R, Thungela notifies the market that on Admission,
Thungela’s issued share capital consisted of 136,311,808 shares of no par value
and all Thungela shares carry voting rights of one vote per share.

Thungela does not hold any shares in treasury.

The total number of voting rights in Thungela is therefore 136,311,808 and this
figure may be used by shareholders (and others with notification obligations) as
the denominator for the calculations by which they will determine whether they
are required to notify their interest in, or a change to their interest in,
Thungela under the Financial Conduct Authority's Disclosure Guidance and
Transparency Rules.

ENDS

Read More
Media Release
7 April, 2021
Anglo American Announces Demerger

Anglo American plc (“Anglo American”) announces the demerger of its thermal coal
operations in South Africa, subject to the approval of Anglo American’s
shareholders on 5 May 2021.

The separation will be implemented through the transfer of Anglo American’s
thermal coal operations in South Africa to a new holding company, Thungela
Resources Limited (“Thungela”), the demerger of the Thungela shares to Anglo
American shareholders and the primary listing of Thungela’s shares on the
Johannesburg Stock Exchange (the “JSE”) and standard listing on the London Stock
Exchange (the “LSE”).

Mark Cutifani, Chief Executive of Anglo American, said: “Anglo American has been
pursuing a responsible transition away from thermal coal for a number of years
now. As the world transitions towards a low carbon economy, we must continue to
act responsibly – bringing our employees, shareholders, host communities, host
governments and customers along with us. Our proposed demerger of what are
precious natural resources for South Africa, allows us to do exactly that.

“We are confident that Thungela will be a responsible steward of our thermal
coal assets in South Africa, benefiting from an experienced and diverse
management team and board. While representing just a small proportion of Anglo
American today, we are laying the foundation for South Africa’s leading coal
business, setting it up for success to deliver value for all its stakeholders.
Looking forward, we believe the prospects for long-term value delivery are
greatest as two standalone businesses, each with their own strategy and access
to capital.”

July Ndlovu, CEO of Thungela, said: “Thungela is a leading South African
producer of high quality, low cost export thermal coal, well positioned to
benefit from improved market conditions, and providing a reliable and affordable
energy source to our customers mainly in developing economies. We have
significantly repositioned and upgraded our portfolio in recent years into a
highly competitive producer of export product, with established access to
world-class export infrastructure.

“As an independent business we will continue to contribute significantly to our
host communities and South Africa’s development objectives. As part of our
commitment to creating an enduring positive legacy, we are establishing an
employee partnership plan and a community partnership plan, with each holding a
5% interest in the Thungela thermal coal operations in South Africa, thereby
enabling employees and communities to share in the financial value that we
generate.

“Guided by the high standards set by Anglo American, Thungela is committed to
operating sustainably – continuing to drive safety, health, environmental,
governance and social programmes for the benefit of our employees, host
communities and shareholders. The demerger of Thungela and our listing on the
JSE will represent yet another major milestone for Anglo American’s long-running
contribution towards transforming South Africa’s mining industry.”

The proposed demerger recognises the diverse range of views held by Anglo
American’s shareholders in relation to thermal coal and therefore provides Anglo
American’s shareholders, including those with specified investment criteria,
with the choice to act on such views and, following the implementation of the
proposed demerger, to either retain, increase or decrease their interests in
Thungela. The proposal also allows Thungela to attract new shareholders and to
access new sources of capital as an independent company offering direct exposure
to thermal coal.

Anglo American is committed to setting up Thungela as a sustainable standalone
business, including by providing an initial cash injection of ZAR2.5 billion
(approximately $170 million) and further contingent capital support until the
end of 2022 in the event of thermal coal prices in South African rand (ZAR)
falling below a certain threshold.

Following the implementation of the proposed demerger, and in line with Anglo
American’s responsible approach, Anglo American’s marketing business will
continue to support Thungela in the sale and marketing of its products for a
three-year period with an additional six-month transitional period thereafter.
This transitionary arrangement ensures that customers receive a consistent
service and supply of thermal coal while Thungela concentrates on enhancing the
performance of its operations while continuing to receive optimal value for its
products in the market. The three-year term, and the additional six-month
roll-off period, also provide time for Thungela to build its own global
marketing capabilities should it choose to do so.

Proposed demerger process

In order for the proposed demerger to be implemented, Anglo American shareholder
approval will be sought at a general meeting and court meeting, both expected to
be held on 5 May 2021 following Anglo American’s Annual General Meeting. If it
is approved, it is expected that the demerger would be effective on 4 June 2021,
with Thungela’s shares being listed and admitted to trading on the JSE and LSE
on 7 June 2021.

Following completion of the proposed demerger, 100% of the issued share capital
of Thungela will be held by Anglo American shareholders who will each receive
one Thungela share for every ten Anglo American shares that they hold. Each
Anglo American shareholder will also retain their existing shareholding in Anglo
American. Thungela will hold 90% of the thermal coal operations in South Africa
with the remaining 10% held collectively by the employee partnership plan and
the community partnership plan.

Additional information

A shareholder circular setting out further detail in relation to the demerger,
including expected key dates has been published on
www.angloamerican.com/products/thermal-coal/demerger.

In respect of the JSE and LSE listing, a Thungela combined pre-listing statement
and prospectus is expected to be published on Anglo American’s website
(www.angloamerican.com) and Thungela’s website (www.thungela.com) later today.
In accordance with UK Listing Rule 9.6.1, a copy of the circular has been
submitted to the Financial Conduct Authority (FCA) and will shortly be available
for inspection via the National Storage Mechanism.

Anglo American will host a virtual investor and analyst presentation at 09:00 UK
time / 10:00 South Africa time today. Access and registration instructions are
available on Anglo American’s website (www.angloamerican.com/investors).

Thungela will host a virtual investor and analyst presentation at 08:00 UK time
/ 09:00 South Africa time on 6 May 2021. Access and registration details will be
provided nearer the time.

ENDS

Read More
Media Release
12 June, 2024
Thuthukani Honours Local Entrepreneurs at Graduation Ceremony

Thuthukani, Thungela’s enterprise supplier development (ESD) programme hosted a
graduation ceremony in honour of sixty-one (61) local entrepreneurs from
communities surrounding its operations, who completed the programme. This is the
second cohort of entrepreneurs to complete the programme since its inception in
2022.

The training programme is provided by business development support partner,
Raizcorp, a pioneering business incubator that supports the growth of small and
medium-sized businesses. The programme equips entrepreneurs with business-skills
training, technical enablement and comprehensive mentorship to build sustainable
and profitable businesses.

Mpumi Sithole, Executive Head for Corporate Affairs at Thungela said: "In the
hands of small business owners lies the power to create jobs, transform lives
and uplift communities, fostering resilience with every venture. We are proud of
this cohort as they set out to make a positive impact in the community.”

Thuthukani exemplifies the spirit of transformation and empowerment, which
honours the legacy of the 30 years of democracy by driving meaningful change in
our host communities. Thuthukani promotes the growth and development of
entrepreneurs to help improve access to income generation opportunities and
reduce reliance on mines, which is in line with Thungela’s socio-economic
development impact goals.

This year's cohort has demonstrated remarkable growth and progress, with many of
them already reporting significant increases in revenue and expansion into new
markets. One of the beneficiaries, David Mphikeleli Mavuso, owner of
Mphikeleli's Civils and Building CC, said: “I joined the programme to enhance my
business management skills and I am grateful that the programme has helped me
acquire invaluable insights into finance and marketing through the Supply Chain
Support course. Thanks to Thuthukani, I have since been able to expand my
business to other provinces across South Africa.”

Jeanne Renou Raizcorp’s Strategic Relations & Projects Manager said: “Partnering
with Thuthukani has allowed us to directly contribute to the growth and
development of many small and medium businesses in Mpumalanga. Seeing these
business owners succeed shows that we are making progress in growing and
developing entrepreneurs.”

The Thuthukani ESD programme is tailored to support entrepreneurs based on
individual needs identified through a detailed gap analysis. Graduates completed
training sessions covering entrepreneurship, finance, marketing, sales, project
strategy, leadership and management, mentorship and guidance, personal
development and ISO certifications. The courses were aimed at enhancing
competitiveness for supply chain opportunities and improve financial and
business management skills for the future.

ENDS

Read More
Media Release
30 May, 2024
Thungela and Absa Join Forces to Empower Smmes Through R200 Million Co-funding
Agreement

Thuthukani, Thungela’s Enterprise and Supplier Development (ESD) programme,
announces the signing of a co-funding agreement with Absa, one of South Africa’s
leading financial services providers. Absa will reserve R200 million, reviewable
annually, for Thuthukani beneficiaries using their new or existing contracts
with Thungela as collateral. 

Thuthukani, derives its name from the Zulu word translated “uplift.” The
programme focuses on cultivating local businesses through the provision of
business skills training and coaching, access to funding and technical
enablement. This co-funding agreement further empowers them to seize
opportunities within Thungela’s value chain. 

Mpumi Sithole, Executive Head for Corporate Affairs at Thungela says, “I am
pleased that our partnership with Absa will make funding more accessible for
local SMMEs with new and existing contracts with us. In 2023, Thuthukani
disbursed R21.6 million in loans, leading to the creation of 114 jobs. To this
end, we couldn’t support businesses requiring loan funding beyond this
threshold, as larger contracts require substantial funding that Thuthukani alone
could not provide. This partnership with Absa will close this funding gap for
SMMEs, opening opportunities for them to pursue larger projects.”

Absa will manage the loan application process on their ESD portal, subject to a
recommendation from Thuthukani. The portal is critical in ensuring funds are
accessible to the approved beneficiaries, offering loans at a prime-linked
interest rate.

Kgalaletso Tlhoaele, Executive for Enterprise Development at Absa Relationship
Banking says, “This agreement highlights Absa’s dedication to enabling financial
inclusion for SMMEs while also fostering sustainable economic growth across
various sectors. The allocation aims to provide substantial financial support
that empowers SMMEs to expand, innovate and achieve long-term sustainability. It
also underscores our commitment to being an active force for good in society –
enabling us to achieve our goal to support mining communities and create a
robust environment where small and medium enterprises can thrive.”

This partnership targets SMMEs in municipalities hosting Thungela’s operations
such as eMalahleni, Steve Tshwete and Govan Mbeki.

ENDS

Read More
Media Release
17 April, 2024
Thungela’s Esg Performance Ranked Tops by Global Rating Agencies

Thungela received high ratings from five highly respected agencies that evaluate
companies based on their environmental, social, and governance (ESG)
performance. These agencies assess listed companies against a wide range of
sustainability criteria, recognizing transparency and commitment to responsible
practices.

Mpumi Sithole, Thungela’s Executive Head for Corporate Affairs, said: “We are
immensely proud to be recognised for our outstanding environmental, social, and
governance performance on a global scale. For us, this is a testament that our
ESG framework and approach is entrenched in every aspect of our operations.
Understanding our exposure to risks and opportunities related to ESG allows us
to address and monitor them. These rankings reaffirm our dedication to
transparency and fostering positive impact where we operate.”

Thungela’s ESG performance was assessed by five agencies in 2023 based on 2022
performance, including CDP, FTSE Russell, MSCI, ISS, S&P Global and
Sustainalytics.

 * CDP scored over 21 000 companies on their environmental disclosures and
   released its score report on Climate Change. In the report, Thungela received
   an overall B rating, setting Thungela above both the African regional average
   of B-, and the global coal mining sector average of C. Thungela also received
   an A/A- Leadership score for implementing current best practices in
   governance and a B/B- Management score for taking coordinated action on
   climate-related issues.
 * On the annual FTSE Russell ESG Index, Thungela’s rating improved from 3.5 out
   of 5 in 2022 to 4 out of 5 in 2023, largely because of enhancements to
   reporting protocols.
 * On the MSCI index, Thungela moved up from a BB rating in 2022 to a BBB rating
   in 2023.
 * The ISS rated Thungela for the first time in 2023, and while coal mining
   companies are classified as high-risk and automatically penalised for their
   contribution to climate change, Thungela was ranked as an industry leader
   alongside several local coal producers and outperforming global peers.
 * On the S&P Global Corporate Sustainability Assessment (CSA), which annually
   evaluates the sustainability practices of over 10,000 listed companies around
   the world, Thungela’s total score rose to 49 in 2023, placing it in the 97 th
   percentile of the companies in the sector.

As a leading future-orientated thermal coal business with the purpose of
creating value together for a shared future, Thungela remains committed to
continuous improvement in its disclosure efforts.

Thungela will be publishing its reporting suite for the year ended 31 December
2023, which includes the Integrated Annual Report, Annual Financial Statements,
ESG and Climate Change Reports. These will be available on our website on
Wednesday, 24 April 2024.

Ends

Read More
Media Release
18 March, 2024
Thungela Delivers on Strategic Objectives and Enters 2024 as an International
Coal Producer

KEY FEATURES

 * Total Recordable Case Frequency Rate (TRCFR) remained at 1.40 for the South
   African operations.
 * Profit of R5.0 billion, includes R448 million contribution from Ensham for
   the four months since completion of the transaction. 
 * Strong cash generation and balance sheet position maintained, with adjusted
   operating free cash flow of R6.8 billion and net cash of R10.2 billion.
 * Declared final dividend of R10.00 per share, bringing total dividend for the
   year to R20.00 per share, amounting to R2.8 billion in dividends relating to
   2023.
 * Share buyback of up to R500 million announced, bringing total returns to
   shareholders to R3.3 billion.
 * Delivering on our commitment to share value with a total distribution of R312
   million to the Nkulo Community Partnership Trust and the Sisonke Employee
   Empowerment Scheme for 2023.

Thungela Resources Limited (“Thungela” or the “Group”), a leading South African
thermal coal exporter with an international footprint, has announced its
financial results for the twelve-month period ended 31 December 2023. Thungela
has demonstrated a resilient performance that underpinned strong cash generation
and a robust net cash position, which supports total returns to shareholders of
R3.3 billion relating to 2023, equivalent to 49% of adjusted operating free cash
flow, significantly higher than the minimum of 30% per the dividend policy.

Commenting on the results, July Ndlovu, CEO of Thungela, said: “Safety is our
first value. Although we have maintained a consistent TRCFR for our South
African operations, we cannot waiver in our commitment to operating a business
free from fatalities and injuries. As reported previously, our colleague Breeze
Mahlangu regrettably passed away in February 2023.”

“In 2023, Thungela experienced significant transformation with the acquisition
of Ensham in Australia, a key milestone in the Group’s geographical
diversification pathway, the approval of an extension to the life of our
flagship Zibulo Colliery, and the continued execution of the Elders project.
These advancements have set Thungela on a path towards a more competitive
portfolio, and a longer-life business.”

“Our financial performance reflects agility in responding to market challenges,
including weaker coal prices and continued rail under performance. Despite these
challenges we have generated an adjusted EBITDA of R8.5 billion, adjusted
operating free cash flow of R6.8 billion, and ended the year with a net cash
position of R10.2 billion.”

“Since listing, the Group has consistently fulfilled its promise to distribute a
minimum of 30% of our adjusted operating free cash flow to shareholders. The
board has declared a final ordinary cash dividend of R10.00 per share. Together
with the interim dividend of R10.00 per share, this brings our total dividend
distribution to R2.8 billion for the year. When taking into account the R500
million share buyback, this means that we are returning 49% of adjusted
operating free cash flow to our shareholders, affirming Thungela’s commitment to
delivering attractive shareholder returns.”

Building a sustainable and long-life business across multiple geographies

The acquisition of a controlling interest in the Ensham business is a
significant step in Thungela’s geographic diversification strategy, extending
its footprint beyond South Africa and enhancing its coal resource base by
approximately one billion tonnes. This move opens-up new markets, notably Japan
and Malaysia, diversifying the customer base and providing exposure to the
Newcastle benchmark coal price.

Thungela has further solidified its international presence by establishing
Thungela Marketing International (TMI) in Dubai. This move is designed to market
the coal produced by its South African and Australian assets; it also gives
Thungela direct access to seaborne markets. Through TMI, the Group is set to
enhance its relationships with customers, reflecting its intention to stay
attuned to their needs, the global commodities market, and to position itself as
a coal producer with an international footprint.
Maximising value from existing assets will also be critical to shaping the
future business. Through the Elders and Zibulo North Shaft projects, Thungela is
transforming into a long-life business with a competitive portfolio measured by
all-in sustaining cost.

Our ESG performance

Building on the momentum generated by its strategic initiatives, Thungela
continues to spike on the social component of ESG. We have made further
contributions of R156 million to the Nkulo Community Partnership Trust and the
Sisonke Employee Empowerment Scheme, bringing total contributions to these
trusts for the year to R312 million.

In parallel, addressing environmental stewardship, the Group has undertaken
remediation efforts, including the commissioning of a fish breeding facility, to
restore aquatic life following the unfortunate environmental incident at the
Kromdraai site in February 2022. Thungela has committed to executing remediation
measures and averting a reoccurrence, with an end goal of achieving full
ecological revival that reflects a return to pre-incident biodiversity and water
quality levels.

Managing the impact of continued poor rail performance

Inconsistent and constrained performance by Transnet Freight Rail (TFR) has
again severely affected the South African coal mining industry. In 2023, TFR
railed 47.9Mt of thermal coal to the Richards Bay Coal Terminal (RBCT), marking
a 4.8% decline compared to 2022.

Thungela continues to work closely with industry players and Transnet to remedy
rail performance. Through the RBCT, industry collaborated with TFR to strengthen
security measures by deploying additional security on the coal line for the past
18 months. RBCT is also helping Transnet acquire the critical spare parts,
necessary for the maintenance of locomotives, from alternative suppliers.

The cost of the spares and security deployment is recovered by the coal
exporting parties through the mutual cooperation agreement signed between TFR
and RBCT (representing the coal exporting parties). Further collaborative
efforts will address critical systems, such as signaling, to improve overall
performance.

We have responded to TFR’s persistent poor performance by curtailing production
at our underground mines, renting sidings to improve our distribution patterns
and driving efficiencies at our rapid loading terminals. Acting swiftly and
decisively in the face of rail challenges has allowed us to benefit from
additional trains when they are available, and to rail 12.3Mt of export saleable
volumes in 2023.

Outlook

Export saleable production guidance for South Africa in 2024 is set between
11.5Mt and 12.5Mt based on expected rail performance. FOB cost per export tonne
is expected to be between R1,170 and R1,290 excluding royalties. Including
royalties, the range is between R1,180 and R1,300 per tonne. Sustaining capital
expenditure is expected to be between R900 million and R1,100 billion.
Expansionary capex is expected to be between R1,600 million and R1,900 billion
on the Elders and Zibulo North Shaft projects.


For the Ensham Business, export saleable production guidance is between 3.2Mt
and 3.5Mt (on a 100% basis) based on our plans to ramp up production. FOB cost
per tonne is expected to be between AUD130 and AUD140 excluding royalties.
Including royalties, the range is between AUD150 and AUD160 per tonne.
Sustaining capital expenditure is expected to be between AUD40 million and AUD70
million (on an 85% basis), based on historical sustaining capex spend.

Looking ahead, despite near-term headwinds, Thungela remains committed to
delivering on its strategic priorities to take advantage of the long-term
fundamentals supporting coal demand and stronger coal prices in key markets. In
the short term, a sustainable solution to ensure efficient and reliable rail
performance in South Africa is critical, and we will continue working with TFR
to remedy the state of rail in South Africa.

Ndlovu concluded: “We will continue to evaluate our portfolio with a focus on
strengthening our competitiveness and optimising capital allocation to maximise
shareholder returns.”

Ends

Read More
Media Release
23 February, 2024
Thungela Launches Fish Breeding Facility in Mpumalanga

Today, Thungela celebrates an innovative fish breeding facility at the Loskop
Dam Nature Reserve in Mpumalanga, commissioned to restore aquatic life in the
Wilge-Olifants river catchment following the unfortunate uncontrolled release of
mine-impacted water from Khwezela Colliery’s Kromdraai site on 14 February 2022.

Thungela committed to rehabilitating the areas affected by this overflow and
took full accountability to do what was necessary to restore the ecosystem.
Through partnerships with the relevant stakeholders, Thungela developed a
rehabilitation plan approved by the Department of Water and Sanitation, which
included various activities aimed at restoring the environment, with particular
emphasis on enhancing biodiversity to levels beyond those prior to the incident.

Through close collaboration with the Mpumalanga Tourism and Parks Agency (MTPA)
and leading aquatic scientists in South Africa, Thungela embarked on a path to
execute the plan successfully. Amongst the activities contained in the plan was
to speed up the recovery of the fish population to restore biodiversity in the
Wilge-Olifants River catchment, which resulted in the commissioning of the fish
breeding facility we are unveiling today.

July Ndlovu, CEO of Thungela, said, “I am proud to witness the fulfilment of the
commitment that we, as a responsible coal miner, made in 2022. To be able to
implement all aspects of the rehabilitation plan, which has led to the
restoration of the environment to even better conditions than we found it – is
the legacy we want to leave. We hold ourselves to the highest standards as set
out in our Environmental, Social and Governance (ESG) Framework.”

“Our dedication to this initiative has helped us achieve our objective of
minimising impact on the environment to achieve sustainable outcomes where we
operate, and we are thrilled that the partnerships we have formed with the MTPA
will extend well beyond the river system’s ultimate revival. We anticipate that
this facility will become a hub for research in endemic species into the future
and that the MTPA will run the facility to benefit other river systems,” said
Ndlovu.

With water quality having returned to pre-incident levels and a resurgence in
macro invertebrate activity observed, the time is right to replenish fish
stocks. Through the fish breeding project, up to sixteen native fish species
will be re-introduced to the river system. These will be released as part of the
launch celebration, and we will continue to breed and release fish until
monitoring indicates that fish diversity and population density have returned to
pre-incident levels.

In addition, Thungela has forged partnerships with other authorities, the
farming community and members of society, embodying a shared vision for
environmental stewardship and the well-being of neighbouring communities. This
initiative not only contributes to the improvement of biodiversity in the area
but also highlights Thungela's dedication to environmental restoration and
sustainability - demonstrating the Company’s accountability and commitment to
being a responsible steward of the environment.

 Mduduzi Vilakazi, CEO of Mpumalanga Tourism and Parks Agency, commends the
collaboration: "Our partnership with Thungela showcases the significance of
united efforts in conserving our region's valuable natural resources and
enhancing community livelihoods. This partnership sets a precedence that ensures
sustainable use of resources to benefit our communities. The best way to
conserve nature is through such strategic collaborations with established
economic entities that invest in environmental appreciation.”

The fish breeding facility is among several of Thungela's conservation
endeavours, including the introduction of renewable energy solutions and
advanced water treatment systems to protect the environment, particularly during
periods of low rainfall in the area.

 We are committed to continuously share updates on the rehabilitation measures
to rectify the environmental impact and averting future occurrence, with an end
goal of achieving full ecological revival that reflects a return to pre-incident
biodiversity and water quality levels.

Download the Thungela Rehabilitation Brochure

End

Read More
Media Release
1 February, 2024
Thungela Establishes Export Marketing Function in Dubai

Thungela announced the successful registration of Thungela Marketing
International (“TMI”) with the Dubai Multi Commodity Centre Authority (DMMCA) as
of 15 December 2023.

The Dubai office will house the export marketing team, operating under Thungela
Marketing International and this team will be responsible for overseeing a broad
range of marketing functions, catering to both the South African and Australian
assets.

July Ndlovu, CEO of Thungela said, “This is a key milestone towards fulfilling
one of our strategic objectives - to create future diversification options. TMI
gives us direct access to seaborne markets and helps us to strengthen
relationships with our customers. Our presence in Dubai is testament of the
steps we are taking to realise geographic diversification and becoming a key
player in the international market.

The expansion into Dubai underscores Thungela’s intention to stay attuned to the
needs of customers and the global commodities market, deliberately positioning
the Company as a coal producer with a global footprint.

Further details on TMI will be provided at the upcoming annual financial results
presentation in March.

ENDS

Read More
Media Release
25 January, 2024
Thungela Launchers Education Initiative in Mpumalanga

Earlier this year Thungela announced that it will acquire a majority
shareholding interest in Sungela Holdings, which in turn will acquire an 85%
interest in the Ensham Business.

Thungela is pleased to announce that all conditions precedent relating to the
acquisition have now been fulfilled and that the Transaction has become
unconditional. The effective date of completion will be 31 August 2023, and
Thungela will assume operational control of the Ensham Business from 1 September
2023.
 
The acquisition of the Ensham Business is a significant step in Thungela’s
strategy to pursue geographic diversification. The Transaction will also allow
the Group to leverage its core capabilities in a commodity and mining method
which it understands well, while providing access to new markets and to the
Newcastle export coal price.

Based on Ensham’s performance up to completion, the mine is expected to produce
approximately 2.7Mt of export saleable production (on a 100% basis, at an
average quality of 5,850 kcal/kg) in 2023, at an FOB cost of between USD110 and
USD120 per tonne.
 
The terms of the Transaction remain unchanged, save for the fact that the
Co-investors are required to apply not less than 90% (previously 70%) of all
distributions received from Sungela Holdings to service the Co-investors
Mezzanine Loans and that the term of the Loans is revised to 18 months
(previously 4 years).
 
The Transaction was structured to enable Sungela to benefit from the economics
of the Ensham Business (subject to certain limits) during the period between 1
January 2023 and the date of completion. The determination of the economic
benefit will be finalised over a period of up to three months following
completion. The Transaction is also subject to customary working capital
adjustments upon completion.

Thungela CEO, July Ndlovu, commented on the Transaction: “We are delighted to
welcome our colleagues from Ensham into the Thungela family as they continue to
build on a proud history of safe production in the Bowen Basin region of
Queensland. We look forward to learning from them and also to sharing our
knowledge.“
 
Thungela is proud to have concluded a landmark Transaction with Idemitsu, a
responsible and reputable owner with well-established processes and systems. The
Transaction delivers on our purpose to responsibly create value together for a
shared future, and we will continue to support existing regional communities
while also delivering superior returns for the Group’s shareholders.”

Capitalised terms used in this announcement shall bear the same meanings as
those defined in the SENS and RNS announcements dated 3 February 2023.

ENDS

Read More
Media Release
22 January, 2024
Thungela Awarded Top Employer Certification for Third Consecutive Year

[JOHANNESBURG, 18 JANUARY] - Thungela, a leading pure-play producer and exporter
of high-quality thermal coal, has been honoured with the Top Employer
Certification, securing an impressive score of 87.86%. This prestigious
certification reflects Thungela's commitment to excellence in various key areas
of organisational development.

Showcasing excellence, Thungela achieved an impeccable 100% score in business
strategy, employer branding, talent acquisition, ethics, and integrity. This
accomplishment not only reinforces Thungela’s status as a leader but highlights
its commitment to maintaining high standards for vital operational standards.
These achievements are indicative of Thungela’s persistent efforts to promote
transparency, uphold integrity, and pursue a strategic vision that aligns with
business ethics and effective talent management.

Lesego Mataboge, the Executive Head of Human Resources at Thungela, says:
“Thungela's three consecutive Top Employer Certifications signify our unwavering
dedication to fostering an exceptional workplace. This award reaffirms our
belief that a supportive, safe, and thriving workplace is the foundation of
sustained success, and we are excited to continue this journey of excellence,
while creating value for a shared future.”

The leadership team at Thungela continues to shine with a remarkable 95% score,
emphasising the company’s commitment to cultivating a leadership that drives
innovation and success. In the sustainability category, Thungela earned a
notable 94.83%, showcasing the company's commitment to environmental
responsibility. The 97.58% score in performance highlights Thungela's ongoing
dedication to achieving operational excellence and delivering value to its
stakeholders.

The Top Employers Institute is the global authority on recognising excellence in
people practices and has certified 2,053 organisations in 121 countries/regions
since 1991. The certification is given if the people and practices at the
organisation can pass the HR Survey, which is based on six key HR themes: steer,
shape, attract, develop, engage, and unite.

For three consecutive years, Thungela has achieved the Top Employers
Certification, showcasing not only its current successes but also its steadfast
commitment to being a forefront advocate for a positive, inclusive, and
forward-thinking workplace environment. This recognition once again confirms
that Thungela is a people-centric business built on their people, for their
people.

ENDS

Read More
Media Release
29 August, 2023
Thungela Announces Completion of Transaction to Acquire Controlling Shareholding
in the Ensham Coal Mine

Earlier this year Thungela announced that it will acquire a majority
shareholding interest in Sungela Holdings, which in turn will acquire an 85%
interest in the Ensham Business.

Thungela is pleased to announce that all conditions precedent relating to the
acquisition have now been fulfilled and that the Transaction has become
unconditional. The effective date of completion will be 31 August 2023, and
Thungela will assume operational control of the Ensham Business from 1 September
2023.

The acquisition of the Ensham Business is a significant step in Thungela’s
strategy to pursue geographic diversification. The Transaction will also allow
the Group to leverage its core capabilities in a commodity and mining method
which it understands well, while providing access to new markets and to the
Newcastle export coal price.

Based on Ensham’s performance up to completion, the mine is expected to produce
approximately 2.7Mt of export saleable production (on a 100% basis, at an
average quality of 5,850 kcal/kg) in 2023, at an FOB cost of between USD110 and
USD120 per tonne.

The terms of the Transaction remain unchanged, save for the fact that the
Co-investors are required to apply not less than 90% (previously 70%) of all
distributions received from Sungela Holdings to service the Co-investors
Mezzanine Loans and that the term of the Loans is revised to 18 months
(previously 4 years).

The Transaction was structured to enable Sungela to benefit from the economics
of the Ensham Business (subject to certain limits) during the period between 1
January 2023 and the date of completion. The determination of the economic
benefit will be finalised over a period of up to three months following
completion. The Transaction is also subject to customary working capital
adjustments upon completion.

Thungela CEO, July Ndlovu, commented on the Transaction: “We are delighted to
welcome our colleagues from Ensham into the Thungela family as they continue to
build on a proud history of safe production in the Bowen Basin region of
Queensland. We look forward to learning from them and also to sharing our
knowledge.“

Thungela is proud to have concluded a landmark Transaction with Idemitsu, a
responsible and reputable owner with well-established processes and systems. The
Transaction delivers on our purpose to responsibly create value together for a
shared future, and we will continue to support existing regional communities
while also delivering superior returns for the Group’s shareholders.”
Capitalised terms used in this announcement shall bear the same meanings as
those defined in the SENS and RNS announcements dated 3 February 2023.

ENDS

For further information, please contact:
Tarryn Genis
tarryn.genis@thungela.com
082 324 4650

Read More
Media Release
29 August, 2023
Thungela Announces Completion of Transaction to Acquire Controlling Shareholding
in the Ensham Coal Mine

Earlier this year Thungela announced that it will acquire a majority
shareholding interest in Sungela Holdings, which in turn will acquire an 85%
interest in the Ensham Business.

Thungela is pleased to announce that all conditions precedent relating to the
acquisition have now been fulfilled and that the Transaction has become
unconditional. The effective date of completion will be 31 August 2023, and
Thungela will assume operational control of the Ensham Business from 1 September
2023.

The acquisition of the Ensham Business is a significant step in Thungela’s
strategy to pursue geographic diversification. The Transaction will also allow
the Group to leverage its core capabilities in a commodity and mining method
which it understands well, while providing access to new markets and to the
Newcastle export coal price.
Based on Ensham’s performance up to completion, the mine is expected to produce
approximately 2.7Mt of export saleable production (on a 100% basis, at an
average quality of 5,850 kcal/kg) in 2023, at an FOB cost of between USD110 and
USD120 per tonne.

The terms of the Transaction remain unchanged, save for the fact that the
Co-investors are required to apply not less than 90% (previously 70%) of all
distributions received from Sungela Holdings to service the Co-investors
Mezzanine Loans and that the term of the Loans is revised to 18 months
(previously 4 years).

The Transaction was structured to enable Sungela to benefit from the economics
of the Ensham Business (subject to certain limits) during the period between 1
January 2023 and the date of completion. The determination of the economic
benefit will be finalised over a period of up to three months following
completion. The Transaction is also subject to customary working capital
adjustments upon completion.

Thungela CEO, July Ndlovu, commented on the Transaction: “We are delighted to
welcome our colleagues from Ensham into the Thungela family as they continue to
build on a proud history of safe production in the Bowen Basin region of
Queensland. We look forward to learning from them and also to sharing our
knowledge.“

Thungela is proud to have concluded a landmark Transaction with Idemitsu, a
responsible and reputable owner with well-established processes and systems. The
Transaction delivers on our purpose to responsibly create value together for a
shared future, and we will continue to support existing regional communities
while also delivering superior returns for the Group’s shareholders.”
Capitalised terms used in this announcement shall bear the same meanings as
those defined in the SENS and RNS announcements dated 3 February 2023.

ENDS

For further information, please contact:
Tarryn Genis
tarryn.genis@thungela.com
082 324 4650

Read More
Media Release
22 August, 2023
New Access Road for Sikhululiwe Village

Mafube Coal held a symbolic sod-turning ceremony at the Sikhululiwe Village
Sports Ground on Tuesday. This ceremony marks the official beginning of the
construction of a shorter access road that will give the community easy access
to the R104 towards Belfast and Middleburg.

The access road forms part of the Mafube Coal’s socio economic development
strategy and has been identified in order to uplift the communities by improving
basic infrastructure. Mafube Coal’s general manager, Shepherd Nkadimeng said,
“The construction of the road is projected to cost R29million and will provide
an opportunity to a local construction company that will in turn hire local
labour to uplift lives of the communities where we operate.

Infrastructure development is about creating opportunities to positively impact
the lives of our communities. Roads are about creating access to opportunities,
connecting families, and ensuring continuous improvement to service delivery and
this is why we have partnered with local government authorities and community
leaders to bring this initiative to life.”

The new road, spanning 3.465km, aims to reshape the landscape of Sikhululiwe
Village, neighbouring farms and will solve the community’s struggle to gain
access to and from the village due to deteriorated roads as a result of erosion.

The current 5.1km gravel road will undergo a remarkable transformation,
shortening the travel distance by an impressive 1.635km and emerging as a tarred
route that will create greater reach to schools, healthcare centres and
municipality facilities by ensuring that valuable time is not lost in travel.

Speaking during the ceremony, the MEC of Public Works, Roads and Transport Hon
MP Ndlovu welcomed and applauded the commitment by Mafube Coal and all the
involved stakeholders to implement the project that will change the lives of the
people of Sikhululiwe Village and the entire Nkangala District.

“Mafube Coal has delivered on the commitment they have made to build this road
for the community. As government we appreciate the building of infrastructure
and commend the company for not just focussing on profits but sharing their
proceeds with the community.” Said MEC of Public Works, Roads and Transport Hon
MP Ndlovu.

Located south of the Mafube Coal Mine, in the Steve Tshwete Local Municipality
within Nkangala District, Mpumalanga Province, the project’s significance
extends beyond its physical boundaries. The collaboration between the local
government and Mafube exemplifies how unity and shared vision can lead to
groundbreaking initiatives that touch lives.

The Ward Councillor, Cllr Iddy Mahlangu, a long-time resident in the Sikhululiwe
Village, reflected on the unfolding of the road construction project and said,
“The project signifies a monumental leap for our village. The prospect of a
well-constructed road brings a renewed sense of hope. We can't wait to witness
our community thrive.”

Among other opportunities, the construction of the Sikhululiwe Village Road
project will generate a range of jobs across various sectors. Some of the
potential job roles include construction workers, heavy equipment operators and
drivers, maintenance workers and cleaners. More than 30 jobs will be created for
the neighbouring communities as well as subcontracting opportunities.

The project is anticipated to be completed by April 2024.

ENDS

Read More
Media Release
21 August, 2023
Thungela Reports Resilient Performance

Key features

 * Total Recordable Case Frequency Rate (TRCFR) improved from 1.59 in June 20221
   to 1.33 in June 2023.
 * Profit for the reporting period of R3.0 billion reflecting a significant
   decrease in thermal coal prices (H1 2022: R9.6 billion)
 * Headline earnings of R22.46 per share (H1 2022: R67.23)
 * Adjusted operating free cash flow* of R4.3 billion (H1 2022: R8.9 billion)
   and balance sheet strength intact with net cash* position of R13.6 billion
   (H1 2022: R14.8 billion)
 * Interim dividend of R10 per share declared, being 33% of adjusted operating
   free cash flow, resulting in R1.4 billion returned to shareholders
 * Delivered on the commitment to shared value with a R156 million distribution
   to Sisonke Employee Empowerment Scheme and Nkulo Community Partnership Trust

Thungela Resources Limited (“Thungela” or “Group”), a leading South African
thermal coal exporter, has announced its interim results for the six-month
period ended 30 June 2023.

The safety of our people remains our first value. Regrettably, a fatality was
recorded when, Mr Breeze Mahlangu passed away in February following
complications from an accident in December 2022.

The Group generated an adjusted EBITDA of R4.4 billion and an adjusted operating
free cash flow of R4.3 billion for the reporting period. Net profit was R3.0
billion (R22.45 per share). Thungela's balance sheet remained strong, with a net
cash position of R13.6 billion at 30 June 2023.

July Ndlovu, CEO of Thungela, commented, “We are confident that we have taken
considered actions to enhance our resilience as a business to allow us to
navigate the challenging market conditions, including softer coal prices,
inflationary pressures, and the persistent underperformance of Transnet Freight
Rail.

Safety is a core value that has primacy in everything we do. We continue our
pursuit of a fatality free business. We report an improvement in our TRCFR from
1.59 in June 2022 to 1.33 in June 2023.

Given the context we are operating within, we have set ourselves up to be
resilient to weaker short-term market conditions and are ready to take advantage
of improved conditions as they arise. We reduced the number of underground
sections at some operations where we are facing increasingly complex geological
conditions, while ramping up production at Khwezela. Our focus to increase our
competitiveness by improving productivity will produce superior results for our
shareholders.”

Resilience to challenging market conditions

The most notable external factor of the period was the sharp fall in the
benchmark seaborne coal price as European buying slowed after a mild winter. In
addition, global inflation management resulted in slower growth and a related
reduction in demand for energy.

Locally, the continuing underperformance of TFR hampered the business’s ability
to operate optimally. Following a particularly poor first quarter, rail
performance stabilised in the second quarter, notwithstanding two derailments
that cost Thungela at least 340kt in rail capacity. Improvements in rail
performance during the second quarter were the result of intensive collaboration
between TFR and the South African coal industry, including Thungela.

“A consistently performing and well-managed bulk rail infrastructure is critical
to the coal mining industry and the South African economy. Through ongoing
collaboration with TFR, we are dedicated to optimising the performance of this
critical infrastructure, benefiting both our operations and those of the broader
South African coal industry”, says Ndlovu.

ESG commitment

Thungela’s purpose is to responsibly create value together for a shared future.
Delivering on its aspiration to spike in the social aspect of its environmental,
social and governance efforts, the Sisonke Employee Empowerment Scheme and the
Nkulo Community Partnership Trust will receive a contribution of R156 million
based on the Group’s performance in the first half of 2023. This exemplifies its
dedication to enriching the lives of its workforce and the communities in which
it operates.
We recognise the critical importance of addressing climate change and have
committed to reducing the environmental impact of our operations by reducing
Scope 1 and 2 emissions by 30% by 2030, using 2021 emissions as a baseline. The
long-term objective is to reach net zero emissions by 2050.

Preserving shareholder value through robust capital allocation

Our capital allocation framework seeks to create long term shared value for all
stakeholders.

Board approval of the Zibulo North Shaft project meets the group’s objective of
maximising value from existing assets. With a budgeted capital cost of R2.4
billion, this project is set to extend the operational lifespan of Thungela’s
flagship Zibulo operation by 10-12 years. The anticipated completion of the
Elders and Zibulo North Shaft projects, with approximately R3.8 billion yet to
be invested, is integral to enhancing the quality of our portfolio, our
competitiveness and extending the life of our business.
We are making good progress on the Elders production replacement project
approved by the board last year and expect first coal from the underground
operation by the first half of 2024, in line with our original target.

Geographic diversification

Thungela announced the proposed acquisition of Ensham Coal Mine in Australia in
February 2023 and the completion of this transaction will mark a significant
step in Thungela’s strategy to pursue geographical diversification and enhance
the resilience of its portfolio.

Ensham will be acquired at a cost of approximately R4.1 billion and is set to be
earnings and cash flow accretive, with strong potential for a short payback
period.

The transaction is projected to close on 31 August 2023, and a comprehensive
roadmap has been prepared to ensure alignment regarding priorities, governance
and other aspects of integration.

Looking ahead

Based on operations for the first six months of the year – and excluding Ensham
until the transaction has been completed – the Group has updated its operational
outlook for 2023 with the export saleable production guidance for the year
revised to between 11.5Mt and 12.5 Mt.

The FOB cost per export tonne guidance for 2023 has been also been revised. This
cost excluding royalties is expected to be between R1,120 and R1,200 per tonne.
Including royalties, the guidance range has been revised to between R1,170 and
R1,250 per tonne based on a forecast benchmark coal price of USD100 per tonne.

“While much of the focus in the next half of the year will be on productivity
and cost improvements, it is important to emphasise that realising our strategic
objectives always goes hand-in-hand with operating responsibly,” says July
Ndlovu. “This involves ensuring the health and safety of our employees, the
fulfilment of our responsibilities to the environment and meeting our social
obligations. It also requires that, together with industry, government, and
Transnet, we continue a relentless journey to find sustainable solutions to the
logistics challenges facing South Africa.

Market fundamentals remain strong and there are reasons to remain optimistic. We
are confident that our strategy and resilience will allow us to weather the
challenging market conditions.”

End

Media
Wayne Mokhethi
wayne.mokhethi@thungela.com
+27 (0)73 894 7689

Tarryn Genis
tarryn.genis@thungela.com
+27 (0)82 324 4650

Investor Relations
Ryan Africa
Ryan.africa@thungela.com
+27 (0)11 638 0237

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Media Release
24 May, 2023
Thungela Receives Recognition at Coalsafe Awards

Thungela has been recognised with six awards at the 2023 CoalSAFE Conference
hosted by the South African Colliery Managers’ Association in Johannesburg on 10
May 2023, under the theme “Responsible Coal Mining Stewards”. These accolades
serve as a testament to our unwavering commitment to the well-being and security
of our employees, as well as the communities in which we operate.

SAFETY:

 * Thungela was recognised for operating fatality-free in 2022.
 * Khwezela Colliery: 12,000 fatality-free production shifts (FFPS).
 * Khwezela Colliery: Lost-time frequency rate of zero for 2022.
 * Isibonelo Colliery: 12,802 fatality-free production shifts.

Thungela was recognised for operating fatality-free in 2022. Khwezela Colliery
received anaward for the Zero LTI Frequency Rate and achieving 12 000
fatality-free shifts, while the Isibonelo Colliery was recognised for 12 802
fatality-free shifts. To achieve these results, Thungela introduced a
transformation process to strengthen its safety culture and reduce risk in the
workplace. This included training, coaching, and education to embed risk
awareness into daily routines. It also implemented a work management model at
four operations, improving planning and resource allocation, and reducing
pressure on frontline leaders.

“Thungela's awards at the CoalSAFE Conference showcase our commitment to
responsible coal mining stewardship. There is a clear need for safe mining, and
it is great to see how the coal industry in Mpumalanga is stepping up to this
challenge “said Carina Venter, executive head of safety, health, and
environment.

COMMUNITY DEVELOPMENT:

 * 1st place: Goedehoop Colliery’s Mpumalanga Stainless Initiative.
 * 3rd place: Goedehoop Colliery for its support of Becca Farming and Projects.

In the community development category, Thungela’s Goedehoop Colliery was awarded
first place for the Mpumalanga Stainless steel Initiative (MSI) which saw the
acquisition of a cutting-edge machine with the support of contracting partners,
Komatsu Mining and Columbus. This has significantly bolstered the level of
support the MSI offers to steel fabricators in the Middelburg area, enabling
them to access untapped markets and expand their scope with high-precision work.
The machine can cut a range of material thicknesses without limitation to the
shape of the product required. This acquisition has resulted in the creation of
49 new jobs and sustained employment for 73 people.

Placing third is Goedehoop’s support provided to the BECCA Farming Projects, a
local SMME that cultivates its peach orchard on a 121-hectare farm near
Middelburg. The support provided forms part of the mine’s “Tool of the Trade”
initiative which provides local small businesses with equipment required to
succeed.

BECCA Farming Projects was provided with much-needed agricultural equipment,
tools, and PPE. Through this support BECCA, Farming projects made significant
strides in job creation, employing 11 individuals. “Community development
projects like these help us address local challenges and foster socio-economic
development. We believe that by supporting our communities, we can make a
meaningful and lasting impact on their lives. Thungela congratulates all the
winners and is honoured to play a role in creating a shared future that we can
be proud of,” Venter concludes.

ENDS

For further information, please contact:
Wayne Mokhethi
wayne.mokhethi@thungela.com
073 894 7689

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Media Release
19 May, 2023
Entrepreneurs Graduate From Thuthukani Programme

Thuthukani, an enterprise and supplier development program by Thungela,
successfully produced its first group of enterprise development graduates
Thungela, in partnership with Raizcorp provide host community entrepreneurs with
practical, hands-on entrepreneurial learning, technical enablement, development
and mentorship to help entrepreneurs expand their business knowledge a become
profitable and sustainable into the future.

Today, a total of 14 local entrepreneurs celebrated their successful completion
of the program which entailed three critical areas: developing a robust business
case, understanding business operations, and establishing a market presence.
Over the course of the program, the beneficiaries completed 22 comprehensive
modules, covering essential aspects of business development.

“The Thuthukani program has equipped the beneficiaries with a well-rounded skill
set in enterprise development, providing them with the necessary competence and
knowledge to successfully launch and grow their businesses. This comprehensive
approach ensures that they are well-prepared for the challenges and
opportunities of the business landscape” said Sandile Mkono, Thungela's
enterprise and supplier development manager.

Mthobisi Thomo, Owner of One Day Job Solutions, a water purification and bottled
water supplier, said "The Thuthukani enterprise development programme provided
invaluable assistance in enhancing my understanding of financial management. It
equipped me with the necessary skills to effectively handle finances as a small
business and effectively manage cash flow.

Personally, the program greatly benefited me in the financial management of my
business. Previously, I struggled with accurate bookkeeping, but the knowledge I
have gained has empowered me to conduct my finances with precision."

To learn more about Thuthukani, please visit our website at:
https://www.thungela.com/suppliers/our-development-programme

ENDS

For further information, please contact:
Wayne Mokhethi
wayne.mokhethi@thungela.com
073 894 7689

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Media Release
5 May, 2023
Thungela Hands Over Two Completed SLP Projects

On Thursday, 4 May, Thungela handed over two completed Social and Labour Plan
(SLP) projects to the Emalahleni Local Municipality – the new Phola Fire Station
and the revamped Ogies Taxi Rank. These initiatives signify the company’s
continued dedication to the Ogies and Phola communities and its promise to
continue investing in projects and facilities that benefit residents.

Creating access to emergency response services

The Phola Fire Station, which forms part of the Zibulo Colliery’s social and
labour plan (SLP) will assist the municipality’s under-resourced emergency
department, enabling it to respond to fire outbreaks more effectively. The fire
station will significantly enhance access to vital emergency response services
in a community that has experienced a growth in population. Until recently,
Ogies’ nearest fire station was 30km away and had limited resources. The Phola
Fire Station will provide much-needed relief to existing emergency services
infrastructure and reduce the local emergency response times.

“We have seen an increase in fire incidents recently. Because of load shedding
many of our residents have resorted to using fire in their homes. So, the timing
of this donation could not be better. The fire station should serve as a centre
of excellence where the community benefits through programmes that address fire
safety. We thank Thungela for meeting this essential need and bringing this fire
station closer to the community,” says Councilor Connie Nkalitshana, Emalahleni
Local Municipality executive mayor.

Heeding the call for improved commuter facilities

Due to a large population in the community using public transport, Thungela
partnered with the Ogies Phola Taxi Association and the Emalahleni Local
Municipality to renovate the taxi rank in Ogies. The renovations included the
painting of the facility, revamping the kitchen and ablution area inside the
office space. In addition, a boardroom and an outside ablution facility was
constructed for commuters. The boardroom will be earmarked for use during
community engagement meetings.

Mpumi Sithole, executive head of corporate affairs, said “As Thungela, we are
pleased to be a member of the community and to hand over these facilities to our
partners, the community, and the municipality. Meeting our SLP commitments is
critical to us achieving our business objectives of driving our ESG ambitions.
The fire station is an important infrastructure that is necessary for emergency
response. The upgraded facilities at the taxi rank will provide commuters and
informal traders a functional and safe space. I am particularly proud that both
these projects were awarded to a local, woman owned-construction company which
in turn created job opportunities for the community members.”

Sindane Masombuka, Ogies Phola Taxi Association chairperson, said “The work that
Thungela has done for our community is significant. The boardroom will help us
run matters of the association more effectively. We are grateful to Thungela for
their contribution.”

ENDS

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Media Release
27 March, 2023
Thungela Delivers an Outstanding Set of Results

Highlights

 * Zero work-related fatalities
 * Three-fold increase in both adjusted EBITDA to R29.5 billion and net profit
   to R18.2 billion.
 * Adjusted operating free cash flow increase to R18.1 billion from R3.9
   billion.
 * Net cash position of R14.7 billion (2021: R8.7 billion).
 * Significant economic contribution to employees and communities.
 * Declare final dividend of R40 per share, bringing total dividend for the year
   to R100 per share. This equates to 13.8 billion, or 76% of adjusted operating
   cash flow for the full year.

Thungela Resources Limited (“Thungela” or the “Company”) has delivered
exceptional financial performance, solid operational delivery and continued to
create value for stakeholders in 2022. The Company achieved a significant
increase in adjusted EBITDA to R29.5 billion and in net profit to R18.2 billion,
while executing its strategic priorities across several fronts.

We continue to prioritise being a fatality-free business and we operated without
a fatality in 2022. Regrettably, in February 2023 Mr Breeze Mahlangu, an
operator at Zibulo tragically passed away following complications after an
accident in December 2022. We continue to work at being a fatality-free
business.

We generated adjusted operating free cash flow of R18.1 billion, compared to
R3.9 billion last year. Despite losing close to 3Mt of export saleable
production volumes as a direct result of the poor Transnet Freight Rail (TFR)
performance, we achieved more than four-fold increase in cash generation.

While the acquisition of the Ensham Business will be paid for from cash on hand
at year end, it will materially change the overall structure of the Group,
including our liquidity needs. Accordingly, we have secured access to R3.2
billion in credit facilities with leading South African banks to reflect this
change, as well as to bolster our resilience against continued poor rail
performance by maintaining a sufficient level of liquidity.

The outstanding results and solid liquidity position enabled Thungela to declare
a final ordinary cash dividend of R40 per share. This final dividend represents
an overall return to shareholders of R5.68 billion. Combined with the 2022
interim dividend of R60 per share, this amounts to a total dividend declared for
the full year of R100 per share and brings the total returns to Thungela
shareholders to R13.8 billion, representing 76% of adjusted operating free cash
flow of R18.1 billion for the year.

July Ndlovu, CEO of Thungela commented: “In 2022 we continued to deliver on our
purpose of responsibly creating a shared future. Our outstanding performance in
this reporting period is largely due to strong coal prices but it is also
testament to the agility and the resilience of our people in operating in a
severely constrained rail environment.”.

Driving ESG aspirations

The Sisonke Employee Empowerment Scheme and Nkulo Community Partnership Trust
will receive a combined contribution of R396 million in addition to the R500
million contributed with respect to the first half of the year, delivering on
our aspiration to spike on the social aspect of ESG. In addition, we have
contributed R8.5 billion in income taxes and royalties to the South African
fiscus in 2022.

In line with the commitment we made last year, we have completed a full review
of our intermediate emissions reduction opportunities and commit to reducing our
scope 1 and 2 emissions by 30% by 2030 (using 2021 emissions as a baseline) and
reaching net zero by 2050.

Further details on the group’s pathway to net zero will be published in April
2023 in our maiden Climate Change Report aligned to the requirements of the Task
Force on Climate-Related Financial Disclosures (TCFD).

Effectively executing on strategic priorities

We have made significant progress in executing our strategy announced in 2022.
Aligned to our strategic priority of maximising the full potential of existing
assets, the board approved the development of the Elders production replacement
project, an integral part of our equity story. We continue to progress on the
feasibility study for the Zibulo North Shaft life extension project and expect
to submit this for board consideration in 2023. We are also evaluating potential
development options for our significant gas resources in Limpopo.

On the optimisation of capital allocation, in November 2022 we acquired the
remaining 27% shareholding in Anglo American Inyosi Coal (AAIC), the entity
which holds Zibulo and Elders. This transaction will allow us to benefit from
the full economics of the cash generative assets in our portfolio, resulting in
an increase in earnings attributable to equity shareholders of Thungela.

The creation of diversification options remains an important focus for our
business as we plan for the future. In February 2023, we announced the
acquisition of a controlling shareholding in the Ensham thermal coal business in
Australia. This transaction, funded from our cash on hand at year end, is
expected to conclude by mid-2023, marking an important milestone in our journey
as it will deliver geographic diversification through a highly cash-generative
thermal coal asset with long-life potential.

Outlook

Looking ahead, although thermal coal prices have softened in early 2023, the
fundamentals remain firmly in place. Prices can be expected to remain robust,
however we are unlikely to see the historic price levels observed in 2022. Over
the longer term, Thungela anticipates continued strong coal demand from emerging
markets, especially those in Asia, where coal is likely to remain part of the
energy mix for at least the next two decades.

Given TFR’s poor performance in 2022, we have reset our production outlook for
2023. Export saleable production guidance for 2023 is between 10.5 Mt and 12.5
Mt, as we plan to drawdown on the high-on mine stockpiles to the extent that the
rail performance exceeds production levels.

Our guidance for FOB cost per export tonne for 2023 is between R1,047 and R1,180
excluding royalties. Including royalties, the guidance range is between R1,131
and R1,264 per tonne using a forecast Benchmark coal price of USD130 per tonne.
Our sustaining capital expenditure is expected to be between R1.3 billion and
R1.5 billion. Expansionary CAPEX is expected to be between R1.6 billion and R1.8
billion, relating primarily to R1.2 billion for Elders and R0.5 billion for
Zibulo North Shaft.

“I look ahead with a sense of caution in the short term, yet confidence in the
longer term. In the short term, fixing the rail network is a matter of critical
importance to South Africa as the mining industry delivers far-reaching benefits
such as sustained jobs and livelihoods in our communities, and it contributes
significantly to the economy.

We will continue working with Transnet to resolve the issues plaguing the rail
performance and call on government to support these efforts to ensure that the
mining industry can continue to create value together for South Africa and its
people.” Ndlovu concluded.

ENDS

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Media Release
17 March, 2023
Sewer Line Upgrade Improves Water Sanitation

Thungela and Sasol this morning handed-over bulk wastewater infrastructure in
Leandra in the Govan Mbeki Municipality.

As part of Isibonelo Colliery’s Social and Labour Plan, the mine constructed
part of the bulk wastewater infrastructure to address the ailing infrastructure
and sewage overflow challenges of this rapidly growing community. Wastewater
infrastructure includes a network of sewer pipes that collect and carry
household, business, and industrial effluent to wastewater treatment systems.

The project established a pipeline network which connects the community to the
N17 pump station and replaced the rising main infrastructure – therefore
upgrading the overall sewerage network. This project will benefit over 30 000
community members in Lebohang Leandra by improving sanitation and decreasing the
negative impact on the environment.

Edrich Welthagen, general manager of Isibonelo Colliery, said:

“We are proud to be part of this partnership which supports the Municipality’s
efforts and its ability to reduce waste being released in the environment and
prevent diseases that can be caused by contaminants that are harmful to plants,
animals, and humans.”

Victor Bester, senior vice president at Sasol said: “I urge the community to
take good care of this upgraded infrastructure as well as all our other
infrastructure systems that we have when disposing of solid waste. Also remember
not to dispose any waste into the pipelines, drain systems, and in canals. It is
important for all of us to ensure the continued protection of all water and
sanitation infrastructure,” says Victor Bester.

Councillor Nhlakanipho Zuma, executive mayor of the Govan Mbeki Municipality,
thanked the project partners, saying: “As the Govan Mbeki Municipality, we are
very happy with the completion of this project which will address poor
sanitation and restore the pride of our people. We thank Thungela and Sasol for
their contribution in the development of the area and improving the lives of the
residents.

This project will address the scourge of sanitation-related challenges to ensure
that sewer spillages are eradicated in the area and we therefore urge community
members to safeguard this critical infrastructure”

ENDS

For further information, please contact:
Wayne Mokhethi
wayne.mokhethi@thungela.com
073 894 7689

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Media Release
25 January, 2023
Thungela Recertified as a Top Employer

People-centric Thungela named Top Employer for second consecutive year

Thungela one of the largest pure-play producers and exporters of thermal coal in
South Africa, has once again been recognised as a Top Employer in the country by
the - Top Employers Institute, for the second year in a row. Last year, just
eight months after its inception, the company was named an employer of choice in
the mining sector.

“Acquiring Top Employer certification is a fantastic achievement and is also a
further reaffirmation that we are living our values of safety, care and respect,
accountability, excellence, agility and entrepreneurship in the work
environment. This recognition will further enhance the employer brand of
Thungela and will attest to the fact that we continue to uplift and improve
people’s lives and create value for a shared future,” says Lesego Mataboge, the
executive head of human resources at Thungela.

This year, Thungela once again achieved this prestigious certification,
solidifying its commitment to its employees and was rated particularly highly
for values, ethics and integrity not to mention our people strategy.

The Top Employers Institute is the global authority on recognising excellence in
people practices and has certified 2 053 organisations in 121 countries/regions
since 1991. The certification is given if the people and practices at the
organisation can pass the HR Survey which is based on six key HR themes: steer,
shape, attract, develop, engage, unite.

“As we grow, we continue to affirm our commitment to the individuals that make
up our operation, and we are honoured that the Top Employers Institute can
endorse our intention with this certification,” ends Mataboge.

This recognition once again confirms that Thungela is a people-centric business
built on their people, for their people.

ENDS

For further information, please contact:
Tarryn Genis
tarryn.genis@thungela.com
082 324 4650

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Media Release
14 December, 2022
Employees Benefit From Empowerment Scheme

Thungela’s Sisonke Employee Empowerment Scheme (“Sisonke” or the “Scheme”) will
pay its first allocation of R387 million to employees in December this year.
This first disbursement is based on the dividends declared for the 2021 full
year results as well as the 2022 half year results. More than 3500 employees are
set to benefit.

Formerly termed the Employee Partnership Plan (EPP), Sisonke will now be
referred to as the Employee Empowerment Scheme. Sisonke, is an isiZulu word
meaning ‘we are together’. The name was decided through a staff competition and
is reflective of the company’s purpose.

“This is a milestone for the business and indeed all eligible Thungela
employees. It is testament to Thungela’s vision to responsibly create value
together for a shared future,” says Paulos Soviya, chairman of Sisonke’s board
of trustees.

“The intention of Sisonke is to ensure that one of the most important
stakeholders, Thungela employees meaningfully benefit from the growth and
profits of the business. We are proud and humbled that this is a reality.
Thungela employees and their families will benefit from the commitment and hard
work that has contributed to our success and we thank them for their
contribution,” said executive head of human resources, Lesego Mataboge.

“The successful launch of Sisonke Employee Empowerment Scheme is because of
fruitful engagement between the employer, National Union of Mineworkers (NUM)
and the board of trustees. We are confident that Sisonke will create real
benefits for employees,” said employee representative Bongani Mahungela.

The Scheme has been set up as a trust, which is a legal entity. The trust owns
5% of Thungela’s South African Coal Operations Pty (SACO) and is entitled to
receive 5% of the dividends that may be paid out by SACO. The board of trustees
includes 50% employee and 50% employer representation. The benefits of the trust
are shared, equally among all eligible employees on the beneficiary register
after taxes and other expenses have been paid to administer the trust.

ENDS

For further information, please contact:
Wayne Mokhethi
wayne.mokhethi@thungela.com
073 894 7689

Tarryn Genis
tarryn.genis@thungela.com
082 324 4650

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Media Release
8 December, 2022
Emalahleni to Benefit From New Community Centre

Thungela has built a multi-purpose community centre which is now open to the
community of Clewer. This social and labour plan project will provide a safe
space for the community to host activities such as townhall gatherings, events,
arts, and culture.

The project was born through a partnership with the Emalahleni Local
Municipality to identify infrastructure development projects that address
socio-economic challenges faced by the Clewer community. The hall will provide a
safe space for various community activities such as community gatherings,
events, arts, engagement sessions etc.

“At Thungela we are passionate about initiatives that enhance and improve the
lives of communities where we operate. We believe that the addition of community
hall in Clewer and our commitment to build a health post in 2023, are a positive
step in achieving our vision for shared value” says executive head of corporate
affairs for Thungela, Mpumi Sithole.

ENDS

For further information, please contact:
Tarryn Genis
tarryn.genis@thungela.com
082 324 4650

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Media Release
20 September, 2022
Thungela Signs Three-year Wage Agreement

Thungela announces that it has signed a three-year wage agreement with the
National Union of Mineworkers (“NUM”) which is the recognised labour union
across Thungela’s operations, and which represents 86% of unionised employees.

This agreement enables the implementation of a new wage agreement across
Thungela’s operations, other than Mafube which runs an independent wage
negotiation process. The agreement is effective from 1 June 2022 and covers a
period of three-years through to the end of May 2025.

The wage agreement increases salary and salary-related allowances and is
expected to increase the total labour cost-to-company, on average by
approximately 6% per annum over the three-year period.

Under the agreement, Thungela and the NUM also commit to engaging the board of
trustees of the SACO Employee Partnership Plan Trust (“EPP”) to review and amend
the trust deed to enable the payment of awards made to the EPP in the same
financial year in which they are declared, as opposed to vesting over a period
of three years.

July Ndlovu, CEO of Thungela, commented: “We are very pleased to have reached an
agreement with our employees and I thank the NUM for their collaboration and
constructive engagement during the wage negotiation process. The agreement
recognises the important role that our employees have in responsibly creating
value together for a shared future.”

ENDS

For further information, please contact:
Tarryn Genis
tarryn.genis@thungela.com
082 324 4650

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Media Release
15 August, 2022
A Record Set of Interim Results

Thungela creates value for stakeholders with a record set of interim results.

Highlights

 * Completed the first half of the year without a loss of life and remains
   committed to operating a fatality-free business
 * A record half-year profit of R9.6bn (30 June 2021: R351 million)
 * Adjusted operating free cash flow of R8.9 billion resulting in a robust net
   cash position of R14.8 billion
 * Headline earning per share of R67,23
 * Interim ordinary cash dividend of R60 per share declared, returning R8.2bn to
   shareholders, in excess of the minimum 30% payout ratio*
 * SACO Employee and Nkulo Community Partnership Trusts to receive a
   distribution of R0.5 billion in keeping with commitment to create shared
   value
 * Elders production replacement project approved, enabling us to maximise the
   value of our existing assets and support livelihoods in the region
 * Full year guidance for export saleable production revised to 13.0Mt to
   13.6Mt, reflecting the ongoing poor rail performance by Transnet Freight Rail
   (TFR)

Thungela Resources Limited (“Thungela” or the “Company”) released its half year
results for the period ended 30 June 2022. An interim cash dividend of R60 per
share was declared resulting in a total of R8.2 billion returned to
shareholders, emphasising the company’s ability to deliver attractive returns
during periods of strong coal prices.

Against the backdrop of firm demand for affordable and secure energy sources in
a volatile operating environment, Thungela achieved adjusted EBITDA of R16.7bn
while profit was R9.6bn (H1 2021: R351 million) with headline earning per share
at R67,23. Elevated coal prices combined with a strong operational focus
resulted in a net cash position of R14.8bn at the end of the period.

July Ndlovu, CEO of Thungela commented: Delivering attractive shareholder
returns while maintaining disciplined capital allocation remains a cornerstone
of Thungela’s strategy. Our robust cash flow generation and substantial net cash
position allow us to declare an interim ordinary dividend of R60 per share. This
represents a payout of approximately 92% of adjusted operating free cash flow,
once again substantially higher than the minimum payout ratio of 30% as per our
stated dividend policy. These results were achieved safely with no loss of life
recorded.

The Employee and Nkulo Community Partnership Trusts will receive a distribution
of R0.5 billion. These distributions cement our people as our partners and will
create a lasting legacy for our communities.”

Demand for affordable energy sources

During the period under review, benchmark coal prices were high due to the
energy crisis in Europe and the supply constraints in major coal producing
regions. This drove prices to record levels amidst volatility.

Thungela’s ability to take full advantage of the strong price environment in H1
2022 was hindered by TFR’s continued underperformance.

Despite the impact of rail performance on export sales, Thungela achieved record
cash generation of R8.9bn adjusted operating free cash flow, up from R1.9bn in
the first half of 2021.

“A consistently well-run logistics corridor between Mpumalanga and Richards Bay
is crucial not only for coal exporters such as Thungela, but also for the South
African economy which generates billions of Rands in foreign currency earnings,
tax and royalty revenues through coal exports. We remain committed to working
with TFR, government and the industry, but we are also evaluating alternative
logitistics so as to migitate the impact of TFR on our operations.”

Delivering on strategy and operating responsibly 

Aligned to Thungela’s strategic pillar to maximise value from existing assets,
the Elders project has been approved by the board. The project aims to replace
volumes from Goedehoop as the mine comes to the end of its life. In line with
the commitment to make environmental social and governance (ESG) considerations
a key driver of our capital allocation strategy the social impacts of the
project were carefully considered. Elders will support regional livelihoods and
benefit from a solar-powered energy solution. The forecast capital spend is R2bn
in 2022 money terms.

In addition to the R188 million contribution made to the Green Fund in the first
half of 2022, Thungela is committing a further discretionary amount of R200
million to increase the quantum of cash set aside for future environmental
obligations.

Driving our ESG aspirations requires an on-going focus on reducing carbon
emissions. Thungela has started the journey towards setting intermediate carbon
reduction goals to help us chart our path to net-zero by 2050.

Further cementing our commitment to building sustainable livelihoods in the
communities where we operate, Thungela launched an enterprise and supplier
development programme called Thuthukani focused on providing hands-on
entrepreneurial business support, loan funding and technical development to
small enterprises in Mpumalanga.

Outlook

Energy security, reliability and affordability concerns in Europe have
highlighted the importance of coal in the energy transition. Coal is set to
remain a critical input for affordable and reliable power generation, not only
in the developing world but also in highly industrialised and developed nations
which have recently increased their reliance on coal to meet their energy needs.
We are monitoring these trends and their implications for Thungela’s strategy in
the short to medium-term, with particular attention given to exploring
opportunities for geographic diversification.

Considering the continued uncertainty about TFR’s performance for the remainder
of the year and the view that the level of rail performance has not improved
sufficiently, the company revised its guidance for export saleable production to
a range of 13.0Mt to 13.6Mt for 2022. Previous guidance was between 14Mt to
15Mt.

Capital expenditure will be between R1.7 billion and R2 billion, with the bulk
of the spend taking place in the second half of the year in line with historical
seasonality.

“Operating a fatality-free business and ensuring exceptional shareholder returns
are crucial to earning the trust and support of our stakeholders. We remain
committed to delivering on our purpose of responsibly creating value together
for a shared future.”
*Thungela’s dividend policy is to target a dividend pay-out of a minimum of 30%
of adjusted operating free cash flow.

ENDS

For further information, please contact:
Media
Tarryn Genis
tarryn.genis@thungela.com
+27 82 324 4650 Investor Relations
Ryan Africa
ryan.africa@thungela.com
+27 11 638 0237

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Media Release
22 June, 2022
Thungela, Absa and Raizcorp Join Forces

Thungela Resources, Absa and Raizcorp Join Forces to Elevate Small Businesses,
Entrepreneurs in Mpumalanga.

Johannesburg, 22 June 2022 – Thungela Resources, Absa and Raizcorp have joined
forces to launch a business-development programme focused on providing small
enterprises in mining communities in Mpumalanga with hands-on business support,
loan funding and technical development.

The joint programme, named Thuthukani, means “uplift" in isiZulu will run across
the Thungela operational areas in the municipalities of eMalahleni, Steve
Tshwete and Govan Mbeki.

Nkosi Motsoeneng, Head of Corporate Affairs at Thungela says, “Through our
partnership with Raizcorp and Absa, we hope to make a positive impact in local
communities. The mining sector is a key contributor to South Africa’s fiscus, we
have an important role to play in the communities where we operate, and we know
that small business development is critical to the long-term growth of South
Africa and its people. Thungela is proud to be playing an active role in the
creation of a thriving small business sector.”

Powered by leading business incubator, Raizcorp, entrepreneurs who are selected
to take part will receive practical entrepreneurial learning, skills and
mentorship. In addition, Raizcorp will assist participants to uncover any
technical gaps in their businesses and, if necessary, provide them with
technical support and development. “Entrepreneurs are our future. The mining
context provides a unique environment for us to support large suppliers to
effectively scale, as well as those entrepreneurs just entering the mining
supply chain for the first time. At the same time, we also develop entrepreneurs
who are not currently in the supply chain but have the potential to become
future suppliers,” says Allon Raiz, CEO of Raizcorp.

Loan funding will be offered, in partnership with Absa, to those who qualify.
Dumisani Mkhonza, Chief Operating Officer for Absa Corporate Funds Management
says, “Small businesses face many challenges especially in our post-pandemic
economy, most notably a lack of access to finance. Through this initiative, Absa
aims to enable economic and social development to small business and
entrepreneurs in these areas.”

Eligible applicants must meet the following criteria:

 * Only South African citizens over the age of 18 may apply
 * Must have a 51% or more black-owned business. Must have been trading for at
   least six months
 * Applicants must be active in the business full time
 * Applicants must have access to their own transport
 * Must be based in one of the Thungela mining communities in the eMalahleni,
   Steve Tshwete or Govan Mbeki municipalities
 * Must have a cell phone, email address and access to a laptop or computer
   Interested?

SMS “THRS2022” to 35839 and a member of our team will get in touch with you. Or
you can apply for the programme
onlinehttps://www.thungela.com/suppliers/business-developmentprogramme.

“The long-term success and sustainability of our communities, employees,
shareholders and society as a whole is our top priority. We look forward to this
partnership which we hope will add to our efforts to ignite value for a shared
future,” concludes Motsoeneng.

ENDS

For further information, please contact:
Tarryn Genis
Head of Communication
Thungela
tarryn.genis@thungela.com | 082 324 4650

Penny du Plessis
Communications Officer
Raizcorp
pennyd@raizcorp.com | 011 566 2000

Read More
Media Release
15 March, 2022
Full-year 2021 Results Released

Thungela Delivers Value for Stakeholders With a Strong Set of Full Year 2021
Results.

Safety

Improvement in safety performance with a Total Recordable Case Frequency Rate of
1.35 in 2021 (2020: 1.51). Tragically, a fatality was recorded at Goedehoop in
June 2021.

ESG

Employee and Nkulo Community Partnership Trusts to benefit from shared value and
receive an inaugural cash dividend of R273 million Thungela contributed R7.1bn
to society through wages and related payments (R4.1bn), inclusive procurement
(R2.3bn), royalties and mining taxes (R570 million) and social & labour plans
and CSI (R118 million).

Financials

Return to profitability with profit for the reporting period of R6.9bn (2020:
loss of R362 million) Robust cash generation with net cash of R8.7bn (2020: net
debt of R388 million) Maiden dividend declared with R2.5bn returned to
shareholders in total at [R18] per share, representing 82% of Thungela’s day one
closing market capitalisation.

Thungela Resources Limited (“Thungela” or the “Company”) released its first set
of full-year results as a publicly listed company since its debut on the
Johannesburg and the London Stock Exchanges on 7 June 2021. This set of
exceptional results underscores its successful transition to a profitable,
highly cash-generative pure- play thermal coal business.

Thungela delivered adjusted EBITDA of R10bn (2021: R286 million); while net
profit was R6.9bn vs. a loss of R362 million in 2021; while headline earning per
share was at R66,57 (2021: loss of 531 cents). Favourable coal prices combined
with a strong operational focus, resulted in a net cash position of R8.7bn at
year end.

July Ndlovu, CEO of Thungela commented:

“Thungela has delivered record full year results, despite the on-going effects
of Covid-19 on our operations and rail infrastructure constraints. The tragic
loss of life recorded in June 2021 has reinforced our unwavering commitment to
achieve our goal of becoming a fatality-free business. This is and will remain a
non-negotiable objective. Our operational focus delivered substantial
shareholder returns while maintaining disciplined capital allocation, balance
sheet flexibility, and sufficient liquidity to withstand market and coal price
volatility. Shareholders are set to benefit substantially as 63% of Adjusted
operating free cash flow - R2.5bn - will be paid out as a dividend, well above
the stated dividend policy of a minimum pay-out ratio of 30% of Adjusted
operating free cashflow. This corresponds to a maiden dividend of [R18.00] per
share. Furthermore, the Employee and Community Partnership Trusts, the two share
ownership schemes that we established to enable employees and our communities to
share in the value we create, will receive R273 million collectively.”

Demand for SA coal

Thungela exports most of its coal, and its revenue was positively impacted by
the Benchmark thermal coal price which strengthened by 90% to $124 per tonne
although the stronger Rand did offset some gains. The demand for high quality
South African coal underpinned Thungela’s performance. Developing economies in
India, Pakistan, Sri Lanka and Vietnam are on a path of recovery, post COVID19,
and are experiencing an increased demand for energy. The discount to benchmark
prices has narrowed substantially in 2021 to 16% compared to 26% in 2020,
resulting in higher realised coal prices of $104 per tonne in 2021 (2020: $48
per tonne). Thungela reported export equity sales of 15Mt, which reflects a
decrease of 16% in 2021. Export sales and production were severely impacted by
TFR constraints, and the Company was forced to curtail lower margin production
from late in the third quarter as stockpiles reached capacity.

“We remain committed to working with TFR, government and the industry to resolve
the issues experienced in 2021 and the start of 2022. We believe the challenges
are transient and have planned our operational performance on a gradual, rather
than an immediate recovery in rail performance. This is of national concern
given that coal exports constitute one of the primary sources of foreign
currency generation for South Africa.”

Outlook

We expect a gradual rather than immediate recovery in TFR performance, the 2022
export saleable production is expected to be between 14Mt and 15Mt, before
returning to 16Mt per annum from 2023. “While the current geopolitical unrest in
Europe is resulting in an unprecedented escalation in energy and commodity
prices, including thermal coal prices, the impact on input cost inflation and
volatility will remain a risk to global growth. We believe that thermal coal
remains a key pillar of the global energy mix and as Thungela we have an
important ongoing role as a responsible producer. We recognise and balance
society’s needs, environmental expectations, and the vital role we play in the
economy and our communities. Our foundations are firmly in place and our journey
to value creation has just begun. We will continue our focus on what we can
control: achieving our goal of becoming a fatality-free business, realising
further operational improvements and cost efficiencies, and seamlessly executing
our life extension and production replacement projects,” Ndlovu concluded.

ENDS

For further information, please contact:
Media
Tarryn Genis
tarryn.genis@thungela.com
082 324 4650

Investor Relations
Ryan Africa
Ryan.africa@thungela.com
27116380237

Read More
Media Release
1 March, 2022
Initial Mitigation Actions Are Complete

Initial actions to mitigate environmental incident at Wilge River, Olifants
River and Inlet of Loskop Dam are complete.

Thungela Operations Proprietary Limited (the “Company” or “Thungela”) and the
Mpumalanga Tourism and Parks Agency (MTPA) can confirm that the first phase of
corrective measures to mitigate the impacts of the environmental incident, that
took place at the Wilge River, Olifants River and Loskop Dam, has been
successfully completed.

These measures included, containing the overflow, flushing the river system with
water from the Bronkhorstspruit and Witbank Dam and collaborative clean-up
efforts along the rivers system stretching 60km.

Two aerial surveys were conducted, on Friday, 25 February and Sunday, 27
February respectively. The first by a team of representatives from Thungela and
the Department of Water and Sanitation and the second by the MTPA at Loskop Dam.
The findings are encouraging.

The MTPA officials in charge, who are aquatic scientists, Dr. Francois Roux and
Mr Andre Hoffman undertook a survey on Loskop Dam up to the inflow on Sunday 27
February and found that there were no signs of dead or dying fish following the
flush of both Bronkhorstspruit and Witbank Dams. “The post-release clean-up was
successful and no further clean-up actions have to be done at this point in
time,” said Hoffman.

Additionally, results from independent water analysis indicate that the quality
of the water has normalised to the baseline quality that existed prior to the
incident. Based on these positive initial outcomes, farmers have been advised
that they can commence with irrigation of their crops.

Thungela will continue with water monitoring requirements, screening for
possible residual waste and will work with the MTPA should further clean-up
operations be required.

The next phase of the remediation is underway with a risk assessment to define
all impacts of the incident. A specialist biodiversity company has been
appointed to ensure that the detailed rehabilitation plan includes medium- and
long-term actions to re-instate the ecological integrity of the river and the
re-introduction of fish species.

Speaking about the remediation efforts, Thungela CEO July Ndlovu says; “We are
encouraged by the initial clean-up efforts and are fully committed to doing what
is right and within our power as citizens of the Mpumalanga community. We
continue to work with various biodiversity, environmental, water and health
experts to inform the steps to remedy the effects of the pollution.”

Hoffman further added, “We are satisfied with the post clean-up in the reserve.
On the reserve the incident was limited to the inlet to the Loskop Dam, and it
has not affected the water or fish in the rest of the dam itself. Our team of
scientists have seen a healthy presence of aquatic life including schools of
vulnerable young fish at several locations in the dam. We invite tourists and
members of the public to visit Loskop Dam and enjoy a memorable experience in
Mpumalanga.”

ENDS

For further information, please contact:
Media
Tarryn Genis
Email: tarryn.genis@thungela.com
Tel: +27 (0) 82 324 4650

Read More
Media Release
24 February, 2022
Remediating Impact of Environmental Incident

Thungela Resources Limited (the “Company” or “Thungela”) confirms that an
uncharacteristic environmental incident took place at Khwezela Colliery’s
Kromdraai site in eMalahleni, Mpumlanga on Monday, 14 February 2022. A full
investigation of the root cause of the incident has started and will be
concluded in due course.

The first stage of time critical remedial actions has now been completed. These
include containing the overflow, flushing the river system with water from the
Bronkhorstspruit Dam to mitigate the effect of mine-impacted water, and clean-up
efforts along the stretch of 60km. Screening for possible residual waste will
continue.

“We are encouraged by the level of collaboration from the authorities, farming
community and members of society who share in our devastation on the impact to
ecosystems. We are a responsible mining company and hold ourselves to the
highest standards when it comes to our environmental, social and governance
obligations. We are fully committed to doing what is right and within our power
as citizens of the Mpumalanga community. We will lead the remediation efforts
now and, in the future, as well as fully assess the causes and contributing
factors that led to this incident,” says July Ndlovu, CEO of Thungela Resources.

Interim findings indicate that a concrete seal at the South Shaft broke which
resulted in an uncontrolled release of mine-impacted water. The shaft was sealed
in 2019 as part of the water management strategy. Despite a water management
plan in place, the volume of water exceeded the maximum capacity for treatment
at the dosing site and flowed into the Kromdraaispruit resulting in lowered pH
levels of the water.

The collaboration efforts include working with the Department of Water and
Sanitation, the Mpumalanga Parks and Tourism Agency, the community, other
interested and affected stakeholders. Independent biodiversity, environmental,
water and health experts, along with the Company’s experts are providing
guidance on the investigation and evaluation of the impact on the environment,
the steps to be taken to control the pollution and the remediation steps that
need to be implemented to remedy the effects of the pollution.

ENDS

For further information, please contact:
Media
Tarryn Genis
Email: tarryn.genis@thungela.com
Tel: +27 (0) 82 324 4650

Read More
Media Release
1 December, 2021
Thungela to Release 2021 Pre-close Statement

Anglo American plc (“Anglo American”) announces the demerger of its thermal coal
operations in South Africa, subject to the approval of Anglo American’s
shareholders on 5 May 2021.

The separation will be implemented through the transfer of Anglo American’s
thermal coal operations in South Africa to a new holding company, Thungela
Resources Limited (“Thungela”), the demerger of the Thungela shares to Anglo
American shareholders and the primary listing of Thungela’s shares on the
Johannesburg Stock Exchange (the “JSE”) and standard listing on the London Stock
Exchange (the “LSE”).

Mark Cutifani, Chief Executive of Anglo American, said: “Anglo American has been
pursuing a responsible transition away from thermal coal for a number of years
now. As the world transitions towards a low carbon economy, we must continue to
act responsibly – bringing our employees, shareholders, host communities, host
governments and customers along with us. Our proposed demerger of what are
precious natural resources for South Africa, allows us to do exactly that.

“We are confident that Thungela will be a responsible steward of our thermal
coal assets in South Africa, benefiting from an experienced and diverse
management team and board. While representing just a small proportion of Anglo
American today, we are laying the foundation for South Africa’s leading coal
business, setting it up for success to deliver value for all its stakeholders.
Looking forward, we believe the prospects for long-term value delivery are
greatest as two standalone businesses, each with their own strategy and access
to capital.”

July Ndlovu, CEO of Thungela, said: “Thungela is a leading South African
producer of high quality, low cost export thermal coal, well positioned to
benefit from improved market conditions, and providing a reliable and affordable
energy source to our customers mainly in developing economies. We have
significantly repositioned and upgraded our portfolio in recent years into a
highly competitive producer of export product, with established access to
world-class export infrastructure.

“As an independent business we will continue to contribute significantly to our
host communities and South Africa’s development objectives. As part of our
commitment to creating an enduring positive legacy, we are establishing an
employee partnership plan and a community partnership plan, with each holding a
5% interest in the Thungela thermal coal operations in South Africa, thereby
enabling employees and communities to share in the financial value that we
generate.

“Guided by the high standards set by Anglo American, Thungela is committed to
operating sustainably – continuing to drive safety, health, environmental,
governance and social programmes for the benefit of our employees, host
communities and shareholders. The demerger of Thungela and our listing on the
JSE will represent yet another major milestone for Anglo American’s long-running
contribution towards transforming South Africa’s mining industry.”

The proposed demerger recognises the diverse range of views held by Anglo
American’s shareholders in relation to thermal coal and therefore provides Anglo
American’s shareholders, including those with specified investment criteria,
with the choice to act on such views and, following the implementation of the
proposed demerger, to either retain, increase or decrease their interests in
Thungela. The proposal also allows Thungela to attract new shareholders and to
access new sources of capital as an independent company offering direct exposure
to thermal coal.

Anglo American is committed to setting up Thungela as a sustainable standalone
business, including by providing an initial cash injection of ZAR2.5 billion
(approximately $170 million) and further contingent capital support until the
end of 2022 in the event of thermal coal prices in South African rand (ZAR)
falling below a certain threshold.

Following the implementation of the proposed demerger, and in line with Anglo
American’s responsible approach, Anglo American’s marketing business will
continue to support Thungela in the sale and marketing of its products for a
three-year period with an additional six-month transitional period thereafter.
This transitionary arrangement ensures that customers receive a consistent
service and supply of thermal coal while Thungela concentrates on enhancing the
performance of its operations while continuing to receive optimal value for its
products in the market. The three-year term, and the additional six-month
roll-off period, also provide time for Thungela to build its own global
marketing capabilities should it choose to do so.

Proposed demerger process

In order for the proposed demerger to be implemented, Anglo American shareholder
approval will be sought at a general meeting and court meeting, both expected to
be held on 5 May 2021 following Anglo American’s Annual General Meeting. If it
is approved, it is expected that the demerger would be effective on 4 June 2021,
with Thungela’s shares being listed and admitted to trading on the JSE and LSE
on 7 June 2021.

Following completion of the proposed demerger, 100% of the issued share capital
of Thungela will be held by Anglo American shareholders who will each receive
one Thungela share for every ten Anglo American shares that they hold. Each
Anglo American shareholder will also retain their existing shareholding in Anglo
American. Thungela will hold 90% of the thermal coal operations in South Africa
with the remaining 10% held collectively by the employee partnership plan and
the community partnership plan.

Additional information

A shareholder circular setting out further detail in relation to the demerger,
including expected key dates has been published on
www.angloamerican.com/products/thermal-coal/demerger.

In respect of the JSE and LSE listing, a Thungela combined pre-listing statement
and prospectus is expected to be published on Anglo American’s website
(www.angloamerican.com) and Thungela’s website (www.thungela.com) later today.

In accordance with UK Listing Rule 9.6.1, a copy of the circular has been
submitted to the Financial Conduct Authority (FCA) and will shortly be available
for inspection via the National Storage Mechanism.

Anglo American will host a virtual investor and analyst presentation at 09:00 UK
time / 10:00 South Africa time today. Access and registration instructions are
available on Anglo American’s website (www.angloamerican.com/investors).

Thungela will host a virtual investor and analyst presentation at 08:00 UK time
/ 09:00 South Africa time on 6 May 2021. Access and registration details will be
provided nearer the time.

ENDS

Read More
Media Release
23 September, 2021
Thungela Receives Top Honours at Coalsafe Awards

Newly listed Thungela Resources, one of the largest pure-play producers and
exporters of thermal coal in South Africa, last week received recognition at the
annual COALSAFE Awards. Due to Covid-19, the 2019 awards were postponed so this
year’s event recognised the efforts of the coal mining sector for 2019 and 2020.

In the 2020 Environmental Management category, Thungela took first and second
place honours for the Isibonelo Colliery Wetland Rehabilitation project and
Zibulo Colliery Gumboots Recycling project, respectively. While the Sikhululiwe
Clinic at the Mafube Colliery, a joint venture between Thungela and Exxaro, was
the winner of the 2019 Community Development category.

“We are humbled to be recognised for our efforts to be a coal miner that
genuinely cares about creating value, beyond the bottom-line,” says July Ndlovu,
CEO of Thungela. “When we started our journey to independence, I said that each
decision and action we take at Thungela must lead to a promising future for the
company, our employees, the communities and our country. To receive these
accolades at such an early stage of building our new company is an honour and
reinforces our resolve to keep looking for solutions to the challenges we face
as a society.”

Isibonelo was the first mine in South Africa to initiate an off-set wetland
project following its establishment in 2005. Considered to be a world first, a
novel approach was adopted that includes, a system of lightweight, interlocking
sheets made from recycled UV-resistant plastic, that replaces traditional
concrete structures. It can be installed year-round, at a fraction of the time
and cost and with minimal environmental impact as no heavy machinery is
required. The initiative, which has been broken down into multiple phases, will
ultimately restore a total of 119ha of severely degraded wetland systems to
pristine, natural condition.

The Sikhululiwe Clinic is a modern facility that provides healthcare services to
a population of approximately 5 000 people who live in the rural Sikhululiwe
Village in Mpumalanga. Opened in October 2019, the facility has consulting and
counselling rooms, includes a dental and emergency ward, as well as a labour
ward and pharmacy and operates five days a week. The clinic brings basic health
care services to the doorstep of this community thathas many pensioners and
unemployed people who would otherwise need to travel long distances to seek
health related assistance.

Other highlights for Thungela from the COALSAFE Awards include recognition for
more than 10000 fatality free shifts at both Isibonelo Colliery and Mafube
Colliery in both years, and 3rdplace in the 2019 Environmental Management
category for an irrigation project in the Steve Tshwete Municipality.

Hosted by the South African Colliery Manager’s Association, the COALSAFE Awards
recognise the efforts of the coal mining industry to uphold safety standards
with specific reference to the people, environment, and the communities in which
the companies operate. The awards have been in existence for more than 40 years.

ENDS

Read More
Media Release
13 August, 2021
Solid Performance in First Interim Results

Thungela Resources reports solid performance in first Interim Results since
listing.

 * Operating profit of R990 million for the reporting period
 * Adjusted EBITDA of R1,888 million
 * Robust financial position with net cash of R3 billion

Thungela Resources Limited (“Thungela” or the “Company”) today reports a strong
set of interim results for the six months ended 30 June 2021. This follows the
successful listing on the Johannesburg Stock Exchange and the London Stock
Exchange on 7 June 2021.

July Ndlovu, CEO of Thungela, commented:

> “I am pleased to report that after one month of operating as an independent
> business, we are well-positioned to deliver on our targets. Although we are in
> the early days of independence, we continue to remain focused on running a
> fatality-free business, delivering productivity and cost improvements. With
> our strong balance sheet, we believe that we are in a good place. Our
> financial performance is buoyed by the recent recovery of global thermal coal
> prices and the active steps we have taken to upgrade our portfolio. We
> experienced firm demand from South Asia including India, Pakistan, Sri Lanka
> and Vietnam. Thungela's high quality coal is well placed to continue
> capitalising on significant market demand in this region. Coal prices were
> supported by supply constraints from South Africa, Colombia and Australia,
> with the latter still facing an ongoing ban on imports into China.”
> 
> JULY NDLOVU
> 
> THUNGELA CHIEF EXECUTIVE OFFICER

 

Regrettably, we had a loss of life at our Goedehoop Colliery. Our condolences go
to the family, friends and colleagues of Moeketsi Mabatla. Thungela reaffirms
its commitment to achieving a fatality-free business.

Benefitting from higher global thermal coal prices driven by the continued
demand from South Asian markets for high quality thermal coal and global supply
constraints, Thungela generated operating profit of R990 million and Adjusted
EBITDA for the six months ended 30 June 2021 close to R1.9 billion, while the
statement of financial position showed a strong net cash position of R3 billion.

Thungela delivered earnings per share of 313 cents and headline earnings per
share of 305 cents for the reporting period. This includes the impact of two
significant once-off adjustments; the restructuring costs and termination
benefits of R386 million, as well as the fair value adjustment of R584 million
on the derivative relating to the Capital Support Agreement with Anglo American.
“The majority of Thungela’s coal is exported and its revenue was positively
impacted by the benchmark thermal coal price which strengthened by 47% compared
to H1 2020, however, the strengthening of the Rand offset some of the gains.

Thungela implemented actions prior to the Demerger which has improved the
quality of its portfolio by taking higher cost production out of the business.
In particular, the Bokgoni pit of the Khwezela operation was placed on care and
maintenance during Q1 of this year.

Export saleable production volumes, on a comparable basis, decreased by 9% to
7.1Mt mainly as a result of the Bokgoni pit being placed on care and
maintenance, offset by the ramp up at the Navigation pit at Khwezela. Equity
export sales also declined by 8% to 6.6Mt, primarily as a result of the lower
saleable production volumes for the six months ended 30 June 2021, and also as a
result of lower than planned railings due to the underperformance of Transnet
Freight Rail. The rail line operator’s performance challenges are attributable
to theft of infrastructure and equipment failures mainly related to locomotives.

Thungela ended the period with a strong net cash position of R3.0 billion. From
1 June 2021, Thungela operated as a standalone business having received an
initial cash injection of R2.5 billion.

In a landmark empowerment transaction, Thungela’s Employee and Community
Partnership Plans each hold a 5% fully funded interest in Thungela’s coal
operations in South Africa and are set to benefit from the financial value that
the company will generate.
The first distribution of R6 million to the Community Partnership Plan was made
on 30 June 2021. Trustees have been appointed and plans are underway to appoint
an administrator to ensure the Trust delivers on its mandate.

Thungela’s results are not directly comparable with the prior period as a result
of an internal restructuring process which separated the South African Thermal
Coal Operations, and the various non-thermal coal operations within Anglo
American in preparation for the Demerger. One mine is included in the
comparative period versus the seven mining operations which currently form part
of Thungela. This impacts on both the operational and financial performance and
hence Thungela also developed pro forma financial information which seeks to
compare the current reporting period with the prior period on a like for like
basis.

Outlook

We confirm the guidance for Export Saleable Production of between 15Mt and 16Mt
and flat FOB cost per export tonne of R830 for the full year.

Capital expenditure is now expected to be on the low end of the range (R2.6
billion to R3 billion) previously provided for the full year.

With continued strong prices as well as improved performance by TFR through the
remainder of the year, Thungela is set to achieve a positive adjusted operating
free cash flow for the remainder of 2021.

We are committed to the stated dividend policy of paying 30% of the cash flows
from operating activities, after funding our sustained capital expenditure and a
strong balance sheet coupled with the above paves the way for Thungela to
consider the declaration of a maiden dividend at the annual results for 2021.

> “Looking ahead, we will continue to focus on what we can control. We commit to
> operating a fatality free business. We are continually reviewing our capital
> expenditure plans, our teams are focused on delivering cost efficiencies and
> we are poised to take advantage of the booming commodity cycle. Our
> foundations are in place. We are confident based on market fundamentals,
> Ndlovu concluded”

 

ENDS

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Media Release
7 June, 2021
Admission to Trading on the JSE and LSE

The ordinary shares of Thungela Resources Limited (the “Company” or “Thungela”)
will start trading today following Thungela’s admission to the main board of the
Johannesburg Stock Exchange, as a primary listing, under the abbreviated name
“Thungela”, Alpha code “TGA”, and the main market of the London Stock Exchange,
as a standard listing, under the ticker symbol “TGA” (“Admission”).

Admission follows the completion of the demerger of Thungela from Anglo American
plc (“Anglo American”), which became effective at 9:00 p.m. (South African time)
/ 8:00 p.m. (London time) on 4 June 2021. As a leading South African thermal
coal exporter, Thungela offers investors access to a high-quality thermal coal
business with low cash cost and high-margin assets and a strong balance sheet,
underpinned by a robust environmental, social and governance (“ESG”) framework.

On 8 April 2021, Anglo American published a shareholder circular proposing the
separation of its South African thermal coal operations through their transfer
to Thungela and the subsequent demerger of Thungela from the Anglo American
group. The demerger and the scheme of arrangement to implement the demerger was
approved by Anglo American’s shareholders on 5 May 2021 and the scheme of
arrangement was sanctioned by the UK Court on 26 May 2021.

Thungela owns interests in, and produces thermal coal predominantly from, seven
collieries located in Mpumalanga, South Africa, namely Goedehoop, Greenside,
Isibonelo, Khwezela, Zibulo, Mafube and Rietvlei collieries, which consist of
both underground and opencast mines. Thungela’s operations are amongst the
highest quality thermal coal mines in South Africa by calorific value.
Thungela’s operations provide a wide range of economic and social benefits for
their host communities and for South Africa, such as employment, tax revenues,
export earnings, and many essential community services.

Commenting on the listings, Thungela Chief Executive Officer, July Ndlovu said:

 

> “We are excited to be listing Thungela today. The Company plays an important
> role in providing affordable energy to both our customers in the developing
> world, and South Africa. Our business consists of well- established,
> well-managed assets that produce high-quality thermal coal, with access to a
> world-class export infrastructure. Thungela has an enviable cash cost position
> and is poised to deliver attractive returns to shareholders.”
> 
> JULY NDLOVU
> 
> THUNGELA CHIEF EXECUTIVE OFFICER

 

On listing, all of Thungela's issued shares will be held by Anglo American’s
shareholders who will each receive one Thungela share for every 10 Anglo
American shares that they hold.

As part of its responsible transition away from thermal coal, Anglo American has
injected capital of R2.5-billion into the Thungela group and will provide
further contingent capital support until the end of 2022, depending on certain
coal price thresholds. Anglo American will also continue to market and sell
Thungela’s export products over the next three years, with an additional six-
month transitional period, in order to enable the Company to build sufficient
marketing capacity of its own.

According to research by the global mining research and consultancy group, Wood
Mackenzie, South Africa is the fourth-largest producer of thermal coal globally,
catering for the growing demand from India and other developing countries in
South Asia, and potentially the Middle East and North Africa (“MENA“). Demand
from these regions is expected to grow as power demand increases.

“We expect our portfolio of assets to be cash generative throughout the life of
our mines and well into the next decade, with the option for life extension
opportunities. In addition to export markets, we produce thermal coal for
domestic consumption in South Africa, which provides us with inherent
operational flexibility in response to changes in demand and other external
factors,” Ndlovu added.

Thungela’s management team is led by July Ndlovu, as Chief Executive Officer,
and Deon Smith, as Chief Financial Officer, who are supported by the rest of the
board, namely Sango Ntsaluba as chairperson, Kholeka Mzondeki, Ben Kodisang
Thero Setiloane, and Seamus French.

The management team has deep experience in driving cost optimisation strategies,
productivity improvements, ESG performance and value accretive investments.

As part of its commitment to enhancing ESG factors, Thungela has established an
employee partnership plan and a community partnership plan, which each hold a 5%
interest in Thungela’s direct subsidiary, South Africa Coal Operations
Proprietary Limited. These plans will enable employees and communities to share
financially in the value generated by the Company’s thermal coal operations.

“Our ambition is to build Thungela into a highly sustainable and investable
enterprise due to its strong cash flow generation, robust balance sheet,
credible leadership, dedicated employees, and consistency in meeting and
exceeding safety, ESG and production targets. We are igniting real change and
are optimistic about a bright future,” Ndlovu concluded.

Total voting rights

In accordance with the Financial Conduct Authority’s Disclosure Guidance and
Transparency Rule 5.6.1R, Thungela notifies the market that on Admission,
Thungela’s issued share capital consisted of 136,311,808 shares of no par value
and all Thungela shares carry voting rights of one vote per share.

Thungela does not hold any shares in treasury.

The total number of voting rights in Thungela is therefore 136,311,808 and this
figure may be used by shareholders (and others with notification obligations) as
the denominator for the calculations by which they will determine whether they
are required to notify their interest in, or a change to their interest in,
Thungela under the Financial Conduct Authority's Disclosure Guidance and
Transparency Rules.

ENDS

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Media Release
7 April, 2021
Anglo American Announces Demerger

Anglo American plc (“Anglo American”) announces the demerger of its thermal coal
operations in South Africa, subject to the approval of Anglo American’s
shareholders on 5 May 2021.

The separation will be implemented through the transfer of Anglo American’s
thermal coal operations in South Africa to a new holding company, Thungela
Resources Limited (“Thungela”), the demerger of the Thungela shares to Anglo
American shareholders and the primary listing of Thungela’s shares on the
Johannesburg Stock Exchange (the “JSE”) and standard listing on the London Stock
Exchange (the “LSE”).

Mark Cutifani, Chief Executive of Anglo American, said: “Anglo American has been
pursuing a responsible transition away from thermal coal for a number of years
now. As the world transitions towards a low carbon economy, we must continue to
act responsibly – bringing our employees, shareholders, host communities, host
governments and customers along with us. Our proposed demerger of what are
precious natural resources for South Africa, allows us to do exactly that.

“We are confident that Thungela will be a responsible steward of our thermal
coal assets in South Africa, benefiting from an experienced and diverse
management team and board. While representing just a small proportion of Anglo
American today, we are laying the foundation for South Africa’s leading coal
business, setting it up for success to deliver value for all its stakeholders.
Looking forward, we believe the prospects for long-term value delivery are
greatest as two standalone businesses, each with their own strategy and access
to capital.”

July Ndlovu, CEO of Thungela, said: “Thungela is a leading South African
producer of high quality, low cost export thermal coal, well positioned to
benefit from improved market conditions, and providing a reliable and affordable
energy source to our customers mainly in developing economies. We have
significantly repositioned and upgraded our portfolio in recent years into a
highly competitive producer of export product, with established access to
world-class export infrastructure.

“As an independent business we will continue to contribute significantly to our
host communities and South Africa’s development objectives. As part of our
commitment to creating an enduring positive legacy, we are establishing an
employee partnership plan and a community partnership plan, with each holding a
5% interest in the Thungela thermal coal operations in South Africa, thereby
enabling employees and communities to share in the financial value that we
generate.

“Guided by the high standards set by Anglo American, Thungela is committed to
operating sustainably – continuing to drive safety, health, environmental,
governance and social programmes for the benefit of our employees, host
communities and shareholders. The demerger of Thungela and our listing on the
JSE will represent yet another major milestone for Anglo American’s long-running
contribution towards transforming South Africa’s mining industry.”

The proposed demerger recognises the diverse range of views held by Anglo
American’s shareholders in relation to thermal coal and therefore provides Anglo
American’s shareholders, including those with specified investment criteria,
with the choice to act on such views and, following the implementation of the
proposed demerger, to either retain, increase or decrease their interests in
Thungela. The proposal also allows Thungela to attract new shareholders and to
access new sources of capital as an independent company offering direct exposure
to thermal coal.

Anglo American is committed to setting up Thungela as a sustainable standalone
business, including by providing an initial cash injection of ZAR2.5 billion
(approximately $170 million) and further contingent capital support until the
end of 2022 in the event of thermal coal prices in South African rand (ZAR)
falling below a certain threshold.

Following the implementation of the proposed demerger, and in line with Anglo
American’s responsible approach, Anglo American’s marketing business will
continue to support Thungela in the sale and marketing of its products for a
three-year period with an additional six-month transitional period thereafter.
This transitionary arrangement ensures that customers receive a consistent
service and supply of thermal coal while Thungela concentrates on enhancing the
performance of its operations while continuing to receive optimal value for its
products in the market. The three-year term, and the additional six-month
roll-off period, also provide time for Thungela to build its own global
marketing capabilities should it choose to do so.

Proposed demerger process

In order for the proposed demerger to be implemented, Anglo American shareholder
approval will be sought at a general meeting and court meeting, both expected to
be held on 5 May 2021 following Anglo American’s Annual General Meeting. If it
is approved, it is expected that the demerger would be effective on 4 June 2021,
with Thungela’s shares being listed and admitted to trading on the JSE and LSE
on 7 June 2021.

Following completion of the proposed demerger, 100% of the issued share capital
of Thungela will be held by Anglo American shareholders who will each receive
one Thungela share for every ten Anglo American shares that they hold. Each
Anglo American shareholder will also retain their existing shareholding in Anglo
American. Thungela will hold 90% of the thermal coal operations in South Africa
with the remaining 10% held collectively by the employee partnership plan and
the community partnership plan.

Additional information

A shareholder circular setting out further detail in relation to the demerger,
including expected key dates has been published on
www.angloamerican.com/products/thermal-coal/demerger.

In respect of the JSE and LSE listing, a Thungela combined pre-listing statement
and prospectus is expected to be published on Anglo American’s website
(www.angloamerican.com) and Thungela’s website (www.thungela.com) later today.
In accordance with UK Listing Rule 9.6.1, a copy of the circular has been
submitted to the Financial Conduct Authority (FCA) and will shortly be available
for inspection via the National Storage Mechanism.

Anglo American will host a virtual investor and analyst presentation at 09:00 UK
time / 10:00 South Africa time today. Access and registration instructions are
available on Anglo American’s website (www.angloamerican.com/investors).

Thungela will host a virtual investor and analyst presentation at 08:00 UK time
/ 09:00 South Africa time on 6 May 2021. Access and registration details will be
provided nearer the time.

ENDS

Read More
Media Release
12 June, 2024
Thuthukani Honours Local Entrepreneurs at Graduation Ceremony

Thuthukani, Thungela’s enterprise supplier development (ESD) programme hosted a
graduation ceremony in honour of sixty-one (61) local entrepreneurs from
communities surrounding its operations, who completed the programme. This is the
second cohort of entrepreneurs to complete the programme since its inception in
2022.

The training programme is provided by business development support partner,
Raizcorp, a pioneering business incubator that supports the growth of small and
medium-sized businesses. The programme equips entrepreneurs with business-skills
training, technical enablement and comprehensive mentorship to build sustainable
and profitable businesses.

Mpumi Sithole, Executive Head for Corporate Affairs at Thungela said: "In the
hands of small business owners lies the power to create jobs, transform lives
and uplift communities, fostering resilience with every venture. We are proud of
this cohort as they set out to make a positive impact in the community.”

Thuthukani exemplifies the spirit of transformation and empowerment, which
honours the legacy of the 30 years of democracy by driving meaningful change in
our host communities. Thuthukani promotes the growth and development of
entrepreneurs to help improve access to income generation opportunities and
reduce reliance on mines, which is in line with Thungela’s socio-economic
development impact goals.

This year's cohort has demonstrated remarkable growth and progress, with many of
them already reporting significant increases in revenue and expansion into new
markets. One of the beneficiaries, David Mphikeleli Mavuso, owner of
Mphikeleli's Civils and Building CC, said: “I joined the programme to enhance my
business management skills and I am grateful that the programme has helped me
acquire invaluable insights into finance and marketing through the Supply Chain
Support course. Thanks to Thuthukani, I have since been able to expand my
business to other provinces across South Africa.”

Jeanne Renou Raizcorp’s Strategic Relations & Projects Manager said: “Partnering
with Thuthukani has allowed us to directly contribute to the growth and
development of many small and medium businesses in Mpumalanga. Seeing these
business owners succeed shows that we are making progress in growing and
developing entrepreneurs.”

The Thuthukani ESD programme is tailored to support entrepreneurs based on
individual needs identified through a detailed gap analysis. Graduates completed
training sessions covering entrepreneurship, finance, marketing, sales, project
strategy, leadership and management, mentorship and guidance, personal
development and ISO certifications. The courses were aimed at enhancing
competitiveness for supply chain opportunities and improve financial and
business management skills for the future.

ENDS

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Media Release
30 May, 2024
Thungela and Absa Join Forces to Empower Smmes Through R200 Million Co-funding
Agreement

Thuthukani, Thungela’s Enterprise and Supplier Development (ESD) programme,
announces the signing of a co-funding agreement with Absa, one of South Africa’s
leading financial services providers. Absa will reserve R200 million, reviewable
annually, for Thuthukani beneficiaries using their new or existing contracts
with Thungela as collateral. 

Thuthukani, derives its name from the Zulu word translated “uplift.” The
programme focuses on cultivating local businesses through the provision of
business skills training and coaching, access to funding and technical
enablement. This co-funding agreement further empowers them to seize
opportunities within Thungela’s value chain. 

Mpumi Sithole, Executive Head for Corporate Affairs at Thungela says, “I am
pleased that our partnership with Absa will make funding more accessible for
local SMMEs with new and existing contracts with us. In 2023, Thuthukani
disbursed R21.6 million in loans, leading to the creation of 114 jobs. To this
end, we couldn’t support businesses requiring loan funding beyond this
threshold, as larger contracts require substantial funding that Thuthukani alone
could not provide. This partnership with Absa will close this funding gap for
SMMEs, opening opportunities for them to pursue larger projects.”

Absa will manage the loan application process on their ESD portal, subject to a
recommendation from Thuthukani. The portal is critical in ensuring funds are
accessible to the approved beneficiaries, offering loans at a prime-linked
interest rate.

Kgalaletso Tlhoaele, Executive for Enterprise Development at Absa Relationship
Banking says, “This agreement highlights Absa’s dedication to enabling financial
inclusion for SMMEs while also fostering sustainable economic growth across
various sectors. The allocation aims to provide substantial financial support
that empowers SMMEs to expand, innovate and achieve long-term sustainability. It
also underscores our commitment to being an active force for good in society –
enabling us to achieve our goal to support mining communities and create a
robust environment where small and medium enterprises can thrive.”

This partnership targets SMMEs in municipalities hosting Thungela’s operations
such as eMalahleni, Steve Tshwete and Govan Mbeki.

ENDS

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Media Release
17 April, 2024
Thungela’s Esg Performance Ranked Tops by Global Rating Agencies

Thungela received high ratings from five highly respected agencies that evaluate
companies based on their environmental, social, and governance (ESG)
performance. These agencies assess listed companies against a wide range of
sustainability criteria, recognizing transparency and commitment to responsible
practices.

Mpumi Sithole, Thungela’s Executive Head for Corporate Affairs, said: “We are
immensely proud to be recognised for our outstanding environmental, social, and
governance performance on a global scale. For us, this is a testament that our
ESG framework and approach is entrenched in every aspect of our operations.
Understanding our exposure to risks and opportunities related to ESG allows us
to address and monitor them. These rankings reaffirm our dedication to
transparency and fostering positive impact where we operate.”

Thungela’s ESG performance was assessed by five agencies in 2023 based on 2022
performance, including CDP, FTSE Russell, MSCI, ISS, S&P Global and
Sustainalytics.

 * CDP scored over 21 000 companies on their environmental disclosures and
   released its score report on Climate Change. In the report, Thungela received
   an overall B rating, setting Thungela above both the African regional average
   of B-, and the global coal mining sector average of C. Thungela also received
   an A/A- Leadership score for implementing current best practices in
   governance and a B/B- Management score for taking coordinated action on
   climate-related issues.
 * On the annual FTSE Russell ESG Index, Thungela’s rating improved from 3.5 out
   of 5 in 2022 to 4 out of 5 in 2023, largely because of enhancements to
   reporting protocols.
 * On the MSCI index, Thungela moved up from a BB rating in 2022 to a BBB rating
   in 2023.
 * The ISS rated Thungela for the first time in 2023, and while coal mining
   companies are classified as high-risk and automatically penalised for their
   contribution to climate change, Thungela was ranked as an industry leader
   alongside several local coal producers and outperforming global peers.
 * On the S&P Global Corporate Sustainability Assessment (CSA), which annually
   evaluates the sustainability practices of over 10,000 listed companies around
   the world, Thungela’s total score rose to 49 in 2023, placing it in the 97 th
   percentile of the companies in the sector.

As a leading future-orientated thermal coal business with the purpose of
creating value together for a shared future, Thungela remains committed to
continuous improvement in its disclosure efforts.

Thungela will be publishing its reporting suite for the year ended 31 December
2023, which includes the Integrated Annual Report, Annual Financial Statements,
ESG and Climate Change Reports. These will be available on our website on
Wednesday, 24 April 2024.

Ends

Read More
Media Release
18 March, 2024
Thungela Delivers on Strategic Objectives and Enters 2024 as an International
Coal Producer

KEY FEATURES

 * Total Recordable Case Frequency Rate (TRCFR) remained at 1.40 for the South
   African operations.
 * Profit of R5.0 billion, includes R448 million contribution from Ensham for
   the four months since completion of the transaction. 
 * Strong cash generation and balance sheet position maintained, with adjusted
   operating free cash flow of R6.8 billion and net cash of R10.2 billion.
 * Declared final dividend of R10.00 per share, bringing total dividend for the
   year to R20.00 per share, amounting to R2.8 billion in dividends relating to
   2023.
 * Share buyback of up to R500 million announced, bringing total returns to
   shareholders to R3.3 billion.
 * Delivering on our commitment to share value with a total distribution of R312
   million to the Nkulo Community Partnership Trust and the Sisonke Employee
   Empowerment Scheme for 2023.

Thungela Resources Limited (“Thungela” or the “Group”), a leading South African
thermal coal exporter with an international footprint, has announced its
financial results for the twelve-month period ended 31 December 2023. Thungela
has demonstrated a resilient performance that underpinned strong cash generation
and a robust net cash position, which supports total returns to shareholders of
R3.3 billion relating to 2023, equivalent to 49% of adjusted operating free cash
flow, significantly higher than the minimum of 30% per the dividend policy.

Commenting on the results, July Ndlovu, CEO of Thungela, said: “Safety is our
first value. Although we have maintained a consistent TRCFR for our South
African operations, we cannot waiver in our commitment to operating a business
free from fatalities and injuries. As reported previously, our colleague Breeze
Mahlangu regrettably passed away in February 2023.”

“In 2023, Thungela experienced significant transformation with the acquisition
of Ensham in Australia, a key milestone in the Group’s geographical
diversification pathway, the approval of an extension to the life of our
flagship Zibulo Colliery, and the continued execution of the Elders project.
These advancements have set Thungela on a path towards a more competitive
portfolio, and a longer-life business.”

“Our financial performance reflects agility in responding to market challenges,
including weaker coal prices and continued rail under performance. Despite these
challenges we have generated an adjusted EBITDA of R8.5 billion, adjusted
operating free cash flow of R6.8 billion, and ended the year with a net cash
position of R10.2 billion.”

“Since listing, the Group has consistently fulfilled its promise to distribute a
minimum of 30% of our adjusted operating free cash flow to shareholders. The
board has declared a final ordinary cash dividend of R10.00 per share. Together
with the interim dividend of R10.00 per share, this brings our total dividend
distribution to R2.8 billion for the year. When taking into account the R500
million share buyback, this means that we are returning 49% of adjusted
operating free cash flow to our shareholders, affirming Thungela’s commitment to
delivering attractive shareholder returns.”

Building a sustainable and long-life business across multiple geographies

The acquisition of a controlling interest in the Ensham business is a
significant step in Thungela’s geographic diversification strategy, extending
its footprint beyond South Africa and enhancing its coal resource base by
approximately one billion tonnes. This move opens-up new markets, notably Japan
and Malaysia, diversifying the customer base and providing exposure to the
Newcastle benchmark coal price.

Thungela has further solidified its international presence by establishing
Thungela Marketing International (TMI) in Dubai. This move is designed to market
the coal produced by its South African and Australian assets; it also gives
Thungela direct access to seaborne markets. Through TMI, the Group is set to
enhance its relationships with customers, reflecting its intention to stay
attuned to their needs, the global commodities market, and to position itself as
a coal producer with an international footprint.
Maximising value from existing assets will also be critical to shaping the
future business. Through the Elders and Zibulo North Shaft projects, Thungela is
transforming into a long-life business with a competitive portfolio measured by
all-in sustaining cost.

Our ESG performance

Building on the momentum generated by its strategic initiatives, Thungela
continues to spike on the social component of ESG. We have made further
contributions of R156 million to the Nkulo Community Partnership Trust and the
Sisonke Employee Empowerment Scheme, bringing total contributions to these
trusts for the year to R312 million.

In parallel, addressing environmental stewardship, the Group has undertaken
remediation efforts, including the commissioning of a fish breeding facility, to
restore aquatic life following the unfortunate environmental incident at the
Kromdraai site in February 2022. Thungela has committed to executing remediation
measures and averting a reoccurrence, with an end goal of achieving full
ecological revival that reflects a return to pre-incident biodiversity and water
quality levels.

Managing the impact of continued poor rail performance

Inconsistent and constrained performance by Transnet Freight Rail (TFR) has
again severely affected the South African coal mining industry. In 2023, TFR
railed 47.9Mt of thermal coal to the Richards Bay Coal Terminal (RBCT), marking
a 4.8% decline compared to 2022.

Thungela continues to work closely with industry players and Transnet to remedy
rail performance. Through the RBCT, industry collaborated with TFR to strengthen
security measures by deploying additional security on the coal line for the past
18 months. RBCT is also helping Transnet acquire the critical spare parts,
necessary for the maintenance of locomotives, from alternative suppliers.

The cost of the spares and security deployment is recovered by the coal
exporting parties through the mutual cooperation agreement signed between TFR
and RBCT (representing the coal exporting parties). Further collaborative
efforts will address critical systems, such as signaling, to improve overall
performance.

We have responded to TFR’s persistent poor performance by curtailing production
at our underground mines, renting sidings to improve our distribution patterns
and driving efficiencies at our rapid loading terminals. Acting swiftly and
decisively in the face of rail challenges has allowed us to benefit from
additional trains when they are available, and to rail 12.3Mt of export saleable
volumes in 2023.

Outlook

Export saleable production guidance for South Africa in 2024 is set between
11.5Mt and 12.5Mt based on expected rail performance. FOB cost per export tonne
is expected to be between R1,170 and R1,290 excluding royalties. Including
royalties, the range is between R1,180 and R1,300 per tonne. Sustaining capital
expenditure is expected to be between R900 million and R1,100 billion.
Expansionary capex is expected to be between R1,600 million and R1,900 billion
on the Elders and Zibulo North Shaft projects.


For the Ensham Business, export saleable production guidance is between 3.2Mt
and 3.5Mt (on a 100% basis) based on our plans to ramp up production. FOB cost
per tonne is expected to be between AUD130 and AUD140 excluding royalties.
Including royalties, the range is between AUD150 and AUD160 per tonne.
Sustaining capital expenditure is expected to be between AUD40 million and AUD70
million (on an 85% basis), based on historical sustaining capex spend.

Looking ahead, despite near-term headwinds, Thungela remains committed to
delivering on its strategic priorities to take advantage of the long-term
fundamentals supporting coal demand and stronger coal prices in key markets. In
the short term, a sustainable solution to ensure efficient and reliable rail
performance in South Africa is critical, and we will continue working with TFR
to remedy the state of rail in South Africa.

Ndlovu concluded: “We will continue to evaluate our portfolio with a focus on
strengthening our competitiveness and optimising capital allocation to maximise
shareholder returns.”

Ends

Read More
Media Release
23 February, 2024
Thungela Launches Fish Breeding Facility in Mpumalanga

Today, Thungela celebrates an innovative fish breeding facility at the Loskop
Dam Nature Reserve in Mpumalanga, commissioned to restore aquatic life in the
Wilge-Olifants river catchment following the unfortunate uncontrolled release of
mine-impacted water from Khwezela Colliery’s Kromdraai site on 14 February 2022.

Thungela committed to rehabilitating the areas affected by this overflow and
took full accountability to do what was necessary to restore the ecosystem.
Through partnerships with the relevant stakeholders, Thungela developed a
rehabilitation plan approved by the Department of Water and Sanitation, which
included various activities aimed at restoring the environment, with particular
emphasis on enhancing biodiversity to levels beyond those prior to the incident.

Through close collaboration with the Mpumalanga Tourism and Parks Agency (MTPA)
and leading aquatic scientists in South Africa, Thungela embarked on a path to
execute the plan successfully. Amongst the activities contained in the plan was
to speed up the recovery of the fish population to restore biodiversity in the
Wilge-Olifants River catchment, which resulted in the commissioning of the fish
breeding facility we are unveiling today.

July Ndlovu, CEO of Thungela, said, “I am proud to witness the fulfilment of the
commitment that we, as a responsible coal miner, made in 2022. To be able to
implement all aspects of the rehabilitation plan, which has led to the
restoration of the environment to even better conditions than we found it – is
the legacy we want to leave. We hold ourselves to the highest standards as set
out in our Environmental, Social and Governance (ESG) Framework.”

“Our dedication to this initiative has helped us achieve our objective of
minimising impact on the environment to achieve sustainable outcomes where we
operate, and we are thrilled that the partnerships we have formed with the MTPA
will extend well beyond the river system’s ultimate revival. We anticipate that
this facility will become a hub for research in endemic species into the future
and that the MTPA will run the facility to benefit other river systems,” said
Ndlovu.

With water quality having returned to pre-incident levels and a resurgence in
macro invertebrate activity observed, the time is right to replenish fish
stocks. Through the fish breeding project, up to sixteen native fish species
will be re-introduced to the river system. These will be released as part of the
launch celebration, and we will continue to breed and release fish until
monitoring indicates that fish diversity and population density have returned to
pre-incident levels.

In addition, Thungela has forged partnerships with other authorities, the
farming community and members of society, embodying a shared vision for
environmental stewardship and the well-being of neighbouring communities. This
initiative not only contributes to the improvement of biodiversity in the area
but also highlights Thungela's dedication to environmental restoration and
sustainability - demonstrating the Company’s accountability and commitment to
being a responsible steward of the environment.

 Mduduzi Vilakazi, CEO of Mpumalanga Tourism and Parks Agency, commends the
collaboration: "Our partnership with Thungela showcases the significance of
united efforts in conserving our region's valuable natural resources and
enhancing community livelihoods. This partnership sets a precedence that ensures
sustainable use of resources to benefit our communities. The best way to
conserve nature is through such strategic collaborations with established
economic entities that invest in environmental appreciation.”

The fish breeding facility is among several of Thungela's conservation
endeavours, including the introduction of renewable energy solutions and
advanced water treatment systems to protect the environment, particularly during
periods of low rainfall in the area.

 We are committed to continuously share updates on the rehabilitation measures
to rectify the environmental impact and averting future occurrence, with an end
goal of achieving full ecological revival that reflects a return to pre-incident
biodiversity and water quality levels.

Download the Thungela Rehabilitation Brochure

End

Read More
Media Release
1 February, 2024
Thungela Establishes Export Marketing Function in Dubai

Thungela announced the successful registration of Thungela Marketing
International (“TMI”) with the Dubai Multi Commodity Centre Authority (DMMCA) as
of 15 December 2023.

The Dubai office will house the export marketing team, operating under Thungela
Marketing International and this team will be responsible for overseeing a broad
range of marketing functions, catering to both the South African and Australian
assets.

July Ndlovu, CEO of Thungela said, “This is a key milestone towards fulfilling
one of our strategic objectives - to create future diversification options. TMI
gives us direct access to seaborne markets and helps us to strengthen
relationships with our customers. Our presence in Dubai is testament of the
steps we are taking to realise geographic diversification and becoming a key
player in the international market.

The expansion into Dubai underscores Thungela’s intention to stay attuned to the
needs of customers and the global commodities market, deliberately positioning
the Company as a coal producer with a global footprint.

Further details on TMI will be provided at the upcoming annual financial results
presentation in March.

ENDS

Read More
Media Release
25 January, 2024
Thungela Launchers Education Initiative in Mpumalanga

Earlier this year Thungela announced that it will acquire a majority
shareholding interest in Sungela Holdings, which in turn will acquire an 85%
interest in the Ensham Business.

Thungela is pleased to announce that all conditions precedent relating to the
acquisition have now been fulfilled and that the Transaction has become
unconditional. The effective date of completion will be 31 August 2023, and
Thungela will assume operational control of the Ensham Business from 1 September
2023.
 
The acquisition of the Ensham Business is a significant step in Thungela’s
strategy to pursue geographic diversification. The Transaction will also allow
the Group to leverage its core capabilities in a commodity and mining method
which it understands well, while providing access to new markets and to the
Newcastle export coal price.

Based on Ensham’s performance up to completion, the mine is expected to produce
approximately 2.7Mt of export saleable production (on a 100% basis, at an
average quality of 5,850 kcal/kg) in 2023, at an FOB cost of between USD110 and
USD120 per tonne.
 
The terms of the Transaction remain unchanged, save for the fact that the
Co-investors are required to apply not less than 90% (previously 70%) of all
distributions received from Sungela Holdings to service the Co-investors
Mezzanine Loans and that the term of the Loans is revised to 18 months
(previously 4 years).
 
The Transaction was structured to enable Sungela to benefit from the economics
of the Ensham Business (subject to certain limits) during the period between 1
January 2023 and the date of completion. The determination of the economic
benefit will be finalised over a period of up to three months following
completion. The Transaction is also subject to customary working capital
adjustments upon completion.

Thungela CEO, July Ndlovu, commented on the Transaction: “We are delighted to
welcome our colleagues from Ensham into the Thungela family as they continue to
build on a proud history of safe production in the Bowen Basin region of
Queensland. We look forward to learning from them and also to sharing our
knowledge.“
 
Thungela is proud to have concluded a landmark Transaction with Idemitsu, a
responsible and reputable owner with well-established processes and systems. The
Transaction delivers on our purpose to responsibly create value together for a
shared future, and we will continue to support existing regional communities
while also delivering superior returns for the Group’s shareholders.”

Capitalised terms used in this announcement shall bear the same meanings as
those defined in the SENS and RNS announcements dated 3 February 2023.

ENDS

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Media Release
22 January, 2024
Thungela Awarded Top Employer Certification for Third Consecutive Year

[JOHANNESBURG, 18 JANUARY] - Thungela, a leading pure-play producer and exporter
of high-quality thermal coal, has been honoured with the Top Employer
Certification, securing an impressive score of 87.86%. This prestigious
certification reflects Thungela's commitment to excellence in various key areas
of organisational development.

Showcasing excellence, Thungela achieved an impeccable 100% score in business
strategy, employer branding, talent acquisition, ethics, and integrity. This
accomplishment not only reinforces Thungela’s status as a leader but highlights
its commitment to maintaining high standards for vital operational standards.
These achievements are indicative of Thungela’s persistent efforts to promote
transparency, uphold integrity, and pursue a strategic vision that aligns with
business ethics and effective talent management.

Lesego Mataboge, the Executive Head of Human Resources at Thungela, says:
“Thungela's three consecutive Top Employer Certifications signify our unwavering
dedication to fostering an exceptional workplace. This award reaffirms our
belief that a supportive, safe, and thriving workplace is the foundation of
sustained success, and we are excited to continue this journey of excellence,
while creating value for a shared future.”

The leadership team at Thungela continues to shine with a remarkable 95% score,
emphasising the company’s commitment to cultivating a leadership that drives
innovation and success. In the sustainability category, Thungela earned a
notable 94.83%, showcasing the company's commitment to environmental
responsibility. The 97.58% score in performance highlights Thungela's ongoing
dedication to achieving operational excellence and delivering value to its
stakeholders.

The Top Employers Institute is the global authority on recognising excellence in
people practices and has certified 2,053 organisations in 121 countries/regions
since 1991. The certification is given if the people and practices at the
organisation can pass the HR Survey, which is based on six key HR themes: steer,
shape, attract, develop, engage, and unite.

For three consecutive years, Thungela has achieved the Top Employers
Certification, showcasing not only its current successes but also its steadfast
commitment to being a forefront advocate for a positive, inclusive, and
forward-thinking workplace environment. This recognition once again confirms
that Thungela is a people-centric business built on their people, for their
people.

ENDS

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Media Release
29 August, 2023
Thungela Announces Completion of Transaction to Acquire Controlling Shareholding
in the Ensham Coal Mine

Earlier this year Thungela announced that it will acquire a majority
shareholding interest in Sungela Holdings, which in turn will acquire an 85%
interest in the Ensham Business.

Thungela is pleased to announce that all conditions precedent relating to the
acquisition have now been fulfilled and that the Transaction has become
unconditional. The effective date of completion will be 31 August 2023, and
Thungela will assume operational control of the Ensham Business from 1 September
2023.

The acquisition of the Ensham Business is a significant step in Thungela’s
strategy to pursue geographic diversification. The Transaction will also allow
the Group to leverage its core capabilities in a commodity and mining method
which it understands well, while providing access to new markets and to the
Newcastle export coal price.

Based on Ensham’s performance up to completion, the mine is expected to produce
approximately 2.7Mt of export saleable production (on a 100% basis, at an
average quality of 5,850 kcal/kg) in 2023, at an FOB cost of between USD110 and
USD120 per tonne.

The terms of the Transaction remain unchanged, save for the fact that the
Co-investors are required to apply not less than 90% (previously 70%) of all
distributions received from Sungela Holdings to service the Co-investors
Mezzanine Loans and that the term of the Loans is revised to 18 months
(previously 4 years).

The Transaction was structured to enable Sungela to benefit from the economics
of the Ensham Business (subject to certain limits) during the period between 1
January 2023 and the date of completion. The determination of the economic
benefit will be finalised over a period of up to three months following
completion. The Transaction is also subject to customary working capital
adjustments upon completion.

Thungela CEO, July Ndlovu, commented on the Transaction: “We are delighted to
welcome our colleagues from Ensham into the Thungela family as they continue to
build on a proud history of safe production in the Bowen Basin region of
Queensland. We look forward to learning from them and also to sharing our
knowledge.“

Thungela is proud to have concluded a landmark Transaction with Idemitsu, a
responsible and reputable owner with well-established processes and systems. The
Transaction delivers on our purpose to responsibly create value together for a
shared future, and we will continue to support existing regional communities
while also delivering superior returns for the Group’s shareholders.”
Capitalised terms used in this announcement shall bear the same meanings as
those defined in the SENS and RNS announcements dated 3 February 2023.

ENDS

For further information, please contact:
Tarryn Genis
tarryn.genis@thungela.com
082 324 4650

Read More
Media Release
29 August, 2023
Thungela Announces Completion of Transaction to Acquire Controlling Shareholding
in the Ensham Coal Mine

Earlier this year Thungela announced that it will acquire a majority
shareholding interest in Sungela Holdings, which in turn will acquire an 85%
interest in the Ensham Business.

Thungela is pleased to announce that all conditions precedent relating to the
acquisition have now been fulfilled and that the Transaction has become
unconditional. The effective date of completion will be 31 August 2023, and
Thungela will assume operational control of the Ensham Business from 1 September
2023.

The acquisition of the Ensham Business is a significant step in Thungela’s
strategy to pursue geographic diversification. The Transaction will also allow
the Group to leverage its core capabilities in a commodity and mining method
which it understands well, while providing access to new markets and to the
Newcastle export coal price.
Based on Ensham’s performance up to completion, the mine is expected to produce
approximately 2.7Mt of export saleable production (on a 100% basis, at an
average quality of 5,850 kcal/kg) in 2023, at an FOB cost of between USD110 and
USD120 per tonne.

The terms of the Transaction remain unchanged, save for the fact that the
Co-investors are required to apply not less than 90% (previously 70%) of all
distributions received from Sungela Holdings to service the Co-investors
Mezzanine Loans and that the term of the Loans is revised to 18 months
(previously 4 years).

The Transaction was structured to enable Sungela to benefit from the economics
of the Ensham Business (subject to certain limits) during the period between 1
January 2023 and the date of completion. The determination of the economic
benefit will be finalised over a period of up to three months following
completion. The Transaction is also subject to customary working capital
adjustments upon completion.

Thungela CEO, July Ndlovu, commented on the Transaction: “We are delighted to
welcome our colleagues from Ensham into the Thungela family as they continue to
build on a proud history of safe production in the Bowen Basin region of
Queensland. We look forward to learning from them and also to sharing our
knowledge.“

Thungela is proud to have concluded a landmark Transaction with Idemitsu, a
responsible and reputable owner with well-established processes and systems. The
Transaction delivers on our purpose to responsibly create value together for a
shared future, and we will continue to support existing regional communities
while also delivering superior returns for the Group’s shareholders.”
Capitalised terms used in this announcement shall bear the same meanings as
those defined in the SENS and RNS announcements dated 3 February 2023.

ENDS

For further information, please contact:
Tarryn Genis
tarryn.genis@thungela.com
082 324 4650

Read More
Media Release
22 August, 2023
New Access Road for Sikhululiwe Village

Mafube Coal held a symbolic sod-turning ceremony at the Sikhululiwe Village
Sports Ground on Tuesday. This ceremony marks the official beginning of the
construction of a shorter access road that will give the community easy access
to the R104 towards Belfast and Middleburg.

The access road forms part of the Mafube Coal’s socio economic development
strategy and has been identified in order to uplift the communities by improving
basic infrastructure. Mafube Coal’s general manager, Shepherd Nkadimeng said,
“The construction of the road is projected to cost R29million and will provide
an opportunity to a local construction company that will in turn hire local
labour to uplift lives of the communities where we operate.

Infrastructure development is about creating opportunities to positively impact
the lives of our communities. Roads are about creating access to opportunities,
connecting families, and ensuring continuous improvement to service delivery and
this is why we have partnered with local government authorities and community
leaders to bring this initiative to life.”

The new road, spanning 3.465km, aims to reshape the landscape of Sikhululiwe
Village, neighbouring farms and will solve the community’s struggle to gain
access to and from the village due to deteriorated roads as a result of erosion.

The current 5.1km gravel road will undergo a remarkable transformation,
shortening the travel distance by an impressive 1.635km and emerging as a tarred
route that will create greater reach to schools, healthcare centres and
municipality facilities by ensuring that valuable time is not lost in travel.

Speaking during the ceremony, the MEC of Public Works, Roads and Transport Hon
MP Ndlovu welcomed and applauded the commitment by Mafube Coal and all the
involved stakeholders to implement the project that will change the lives of the
people of Sikhululiwe Village and the entire Nkangala District.

“Mafube Coal has delivered on the commitment they have made to build this road
for the community. As government we appreciate the building of infrastructure
and commend the company for not just focussing on profits but sharing their
proceeds with the community.” Said MEC of Public Works, Roads and Transport Hon
MP Ndlovu.

Located south of the Mafube Coal Mine, in the Steve Tshwete Local Municipality
within Nkangala District, Mpumalanga Province, the project’s significance
extends beyond its physical boundaries. The collaboration between the local
government and Mafube exemplifies how unity and shared vision can lead to
groundbreaking initiatives that touch lives.

The Ward Councillor, Cllr Iddy Mahlangu, a long-time resident in the Sikhululiwe
Village, reflected on the unfolding of the road construction project and said,
“The project signifies a monumental leap for our village. The prospect of a
well-constructed road brings a renewed sense of hope. We can't wait to witness
our community thrive.”

Among other opportunities, the construction of the Sikhululiwe Village Road
project will generate a range of jobs across various sectors. Some of the
potential job roles include construction workers, heavy equipment operators and
drivers, maintenance workers and cleaners. More than 30 jobs will be created for
the neighbouring communities as well as subcontracting opportunities.

The project is anticipated to be completed by April 2024.

ENDS

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Media Release
21 August, 2023
Thungela Reports Resilient Performance

Key features

 * Total Recordable Case Frequency Rate (TRCFR) improved from 1.59 in June 20221
   to 1.33 in June 2023.
 * Profit for the reporting period of R3.0 billion reflecting a significant
   decrease in thermal coal prices (H1 2022: R9.6 billion)
 * Headline earnings of R22.46 per share (H1 2022: R67.23)
 * Adjusted operating free cash flow* of R4.3 billion (H1 2022: R8.9 billion)
   and balance sheet strength intact with net cash* position of R13.6 billion
   (H1 2022: R14.8 billion)
 * Interim dividend of R10 per share declared, being 33% of adjusted operating
   free cash flow, resulting in R1.4 billion returned to shareholders
 * Delivered on the commitment to shared value with a R156 million distribution
   to Sisonke Employee Empowerment Scheme and Nkulo Community Partnership Trust

Thungela Resources Limited (“Thungela” or “Group”), a leading South African
thermal coal exporter, has announced its interim results for the six-month
period ended 30 June 2023.

The safety of our people remains our first value. Regrettably, a fatality was
recorded when, Mr Breeze Mahlangu passed away in February following
complications from an accident in December 2022.

The Group generated an adjusted EBITDA of R4.4 billion and an adjusted operating
free cash flow of R4.3 billion for the reporting period. Net profit was R3.0
billion (R22.45 per share). Thungela's balance sheet remained strong, with a net
cash position of R13.6 billion at 30 June 2023.

July Ndlovu, CEO of Thungela, commented, “We are confident that we have taken
considered actions to enhance our resilience as a business to allow us to
navigate the challenging market conditions, including softer coal prices,
inflationary pressures, and the persistent underperformance of Transnet Freight
Rail.

Safety is a core value that has primacy in everything we do. We continue our
pursuit of a fatality free business. We report an improvement in our TRCFR from
1.59 in June 2022 to 1.33 in June 2023.

Given the context we are operating within, we have set ourselves up to be
resilient to weaker short-term market conditions and are ready to take advantage
of improved conditions as they arise. We reduced the number of underground
sections at some operations where we are facing increasingly complex geological
conditions, while ramping up production at Khwezela. Our focus to increase our
competitiveness by improving productivity will produce superior results for our
shareholders.”

Resilience to challenging market conditions

The most notable external factor of the period was the sharp fall in the
benchmark seaborne coal price as European buying slowed after a mild winter. In
addition, global inflation management resulted in slower growth and a related
reduction in demand for energy.

Locally, the continuing underperformance of TFR hampered the business’s ability
to operate optimally. Following a particularly poor first quarter, rail
performance stabilised in the second quarter, notwithstanding two derailments
that cost Thungela at least 340kt in rail capacity. Improvements in rail
performance during the second quarter were the result of intensive collaboration
between TFR and the South African coal industry, including Thungela.

“A consistently performing and well-managed bulk rail infrastructure is critical
to the coal mining industry and the South African economy. Through ongoing
collaboration with TFR, we are dedicated to optimising the performance of this
critical infrastructure, benefiting both our operations and those of the broader
South African coal industry”, says Ndlovu.

ESG commitment

Thungela’s purpose is to responsibly create value together for a shared future.
Delivering on its aspiration to spike in the social aspect of its environmental,
social and governance efforts, the Sisonke Employee Empowerment Scheme and the
Nkulo Community Partnership Trust will receive a contribution of R156 million
based on the Group’s performance in the first half of 2023. This exemplifies its
dedication to enriching the lives of its workforce and the communities in which
it operates.
We recognise the critical importance of addressing climate change and have
committed to reducing the environmental impact of our operations by reducing
Scope 1 and 2 emissions by 30% by 2030, using 2021 emissions as a baseline. The
long-term objective is to reach net zero emissions by 2050.

Preserving shareholder value through robust capital allocation

Our capital allocation framework seeks to create long term shared value for all
stakeholders.

Board approval of the Zibulo North Shaft project meets the group’s objective of
maximising value from existing assets. With a budgeted capital cost of R2.4
billion, this project is set to extend the operational lifespan of Thungela’s
flagship Zibulo operation by 10-12 years. The anticipated completion of the
Elders and Zibulo North Shaft projects, with approximately R3.8 billion yet to
be invested, is integral to enhancing the quality of our portfolio, our
competitiveness and extending the life of our business.
We are making good progress on the Elders production replacement project
approved by the board last year and expect first coal from the underground
operation by the first half of 2024, in line with our original target.

Geographic diversification

Thungela announced the proposed acquisition of Ensham Coal Mine in Australia in
February 2023 and the completion of this transaction will mark a significant
step in Thungela’s strategy to pursue geographical diversification and enhance
the resilience of its portfolio.

Ensham will be acquired at a cost of approximately R4.1 billion and is set to be
earnings and cash flow accretive, with strong potential for a short payback
period.

The transaction is projected to close on 31 August 2023, and a comprehensive
roadmap has been prepared to ensure alignment regarding priorities, governance
and other aspects of integration.

Looking ahead

Based on operations for the first six months of the year – and excluding Ensham
until the transaction has been completed – the Group has updated its operational
outlook for 2023 with the export saleable production guidance for the year
revised to between 11.5Mt and 12.5 Mt.

The FOB cost per export tonne guidance for 2023 has been also been revised. This
cost excluding royalties is expected to be between R1,120 and R1,200 per tonne.
Including royalties, the guidance range has been revised to between R1,170 and
R1,250 per tonne based on a forecast benchmark coal price of USD100 per tonne.

“While much of the focus in the next half of the year will be on productivity
and cost improvements, it is important to emphasise that realising our strategic
objectives always goes hand-in-hand with operating responsibly,” says July
Ndlovu. “This involves ensuring the health and safety of our employees, the
fulfilment of our responsibilities to the environment and meeting our social
obligations. It also requires that, together with industry, government, and
Transnet, we continue a relentless journey to find sustainable solutions to the
logistics challenges facing South Africa.

Market fundamentals remain strong and there are reasons to remain optimistic. We
are confident that our strategy and resilience will allow us to weather the
challenging market conditions.”

End

Media
Wayne Mokhethi
wayne.mokhethi@thungela.com
+27 (0)73 894 7689

Tarryn Genis
tarryn.genis@thungela.com
+27 (0)82 324 4650

Investor Relations
Ryan Africa
Ryan.africa@thungela.com
+27 (0)11 638 0237

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Media Release
24 May, 2023
Thungela Receives Recognition at Coalsafe Awards

Thungela has been recognised with six awards at the 2023 CoalSAFE Conference
hosted by the South African Colliery Managers’ Association in Johannesburg on 10
May 2023, under the theme “Responsible Coal Mining Stewards”. These accolades
serve as a testament to our unwavering commitment to the well-being and security
of our employees, as well as the communities in which we operate.

SAFETY:

 * Thungela was recognised for operating fatality-free in 2022.
 * Khwezela Colliery: 12,000 fatality-free production shifts (FFPS).
 * Khwezela Colliery: Lost-time frequency rate of zero for 2022.
 * Isibonelo Colliery: 12,802 fatality-free production shifts.

Thungela was recognised for operating fatality-free in 2022. Khwezela Colliery
received anaward for the Zero LTI Frequency Rate and achieving 12 000
fatality-free shifts, while the Isibonelo Colliery was recognised for 12 802
fatality-free shifts. To achieve these results, Thungela introduced a
transformation process to strengthen its safety culture and reduce risk in the
workplace. This included training, coaching, and education to embed risk
awareness into daily routines. It also implemented a work management model at
four operations, improving planning and resource allocation, and reducing
pressure on frontline leaders.

“Thungela's awards at the CoalSAFE Conference showcase our commitment to
responsible coal mining stewardship. There is a clear need for safe mining, and
it is great to see how the coal industry in Mpumalanga is stepping up to this
challenge “said Carina Venter, executive head of safety, health, and
environment.

COMMUNITY DEVELOPMENT:

 * 1st place: Goedehoop Colliery’s Mpumalanga Stainless Initiative.
 * 3rd place: Goedehoop Colliery for its support of Becca Farming and Projects.

In the community development category, Thungela’s Goedehoop Colliery was awarded
first place for the Mpumalanga Stainless steel Initiative (MSI) which saw the
acquisition of a cutting-edge machine with the support of contracting partners,
Komatsu Mining and Columbus. This has significantly bolstered the level of
support the MSI offers to steel fabricators in the Middelburg area, enabling
them to access untapped markets and expand their scope with high-precision work.
The machine can cut a range of material thicknesses without limitation to the
shape of the product required. This acquisition has resulted in the creation of
49 new jobs and sustained employment for 73 people.

Placing third is Goedehoop’s support provided to the BECCA Farming Projects, a
local SMME that cultivates its peach orchard on a 121-hectare farm near
Middelburg. The support provided forms part of the mine’s “Tool of the Trade”
initiative which provides local small businesses with equipment required to
succeed.

BECCA Farming Projects was provided with much-needed agricultural equipment,
tools, and PPE. Through this support BECCA, Farming projects made significant
strides in job creation, employing 11 individuals. “Community development
projects like these help us address local challenges and foster socio-economic
development. We believe that by supporting our communities, we can make a
meaningful and lasting impact on their lives. Thungela congratulates all the
winners and is honoured to play a role in creating a shared future that we can
be proud of,” Venter concludes.

ENDS

For further information, please contact:
Wayne Mokhethi
wayne.mokhethi@thungela.com
073 894 7689

Read More
Media Release
19 May, 2023
Entrepreneurs Graduate From Thuthukani Programme

Thuthukani, an enterprise and supplier development program by Thungela,
successfully produced its first group of enterprise development graduates
Thungela, in partnership with Raizcorp provide host community entrepreneurs with
practical, hands-on entrepreneurial learning, technical enablement, development
and mentorship to help entrepreneurs expand their business knowledge a become
profitable and sustainable into the future.

Today, a total of 14 local entrepreneurs celebrated their successful completion
of the program which entailed three critical areas: developing a robust business
case, understanding business operations, and establishing a market presence.
Over the course of the program, the beneficiaries completed 22 comprehensive
modules, covering essential aspects of business development.

“The Thuthukani program has equipped the beneficiaries with a well-rounded skill
set in enterprise development, providing them with the necessary competence and
knowledge to successfully launch and grow their businesses. This comprehensive
approach ensures that they are well-prepared for the challenges and
opportunities of the business landscape” said Sandile Mkono, Thungela's
enterprise and supplier development manager.

Mthobisi Thomo, Owner of One Day Job Solutions, a water purification and bottled
water supplier, said "The Thuthukani enterprise development programme provided
invaluable assistance in enhancing my understanding of financial management. It
equipped me with the necessary skills to effectively handle finances as a small
business and effectively manage cash flow.

Personally, the program greatly benefited me in the financial management of my
business. Previously, I struggled with accurate bookkeeping, but the knowledge I
have gained has empowered me to conduct my finances with precision."

To learn more about Thuthukani, please visit our website at:
https://www.thungela.com/suppliers/our-development-programme

ENDS

For further information, please contact:
Wayne Mokhethi
wayne.mokhethi@thungela.com
073 894 7689

Read More
Media Release
5 May, 2023
Thungela Hands Over Two Completed SLP Projects

On Thursday, 4 May, Thungela handed over two completed Social and Labour Plan
(SLP) projects to the Emalahleni Local Municipality – the new Phola Fire Station
and the revamped Ogies Taxi Rank. These initiatives signify the company’s
continued dedication to the Ogies and Phola communities and its promise to
continue investing in projects and facilities that benefit residents.

Creating access to emergency response services

The Phola Fire Station, which forms part of the Zibulo Colliery’s social and
labour plan (SLP) will assist the municipality’s under-resourced emergency
department, enabling it to respond to fire outbreaks more effectively. The fire
station will significantly enhance access to vital emergency response services
in a community that has experienced a growth in population. Until recently,
Ogies’ nearest fire station was 30km away and had limited resources. The Phola
Fire Station will provide much-needed relief to existing emergency services
infrastructure and reduce the local emergency response times.

“We have seen an increase in fire incidents recently. Because of load shedding
many of our residents have resorted to using fire in their homes. So, the timing
of this donation could not be better. The fire station should serve as a centre
of excellence where the community benefits through programmes that address fire
safety. We thank Thungela for meeting this essential need and bringing this fire
station closer to the community,” says Councilor Connie Nkalitshana, Emalahleni
Local Municipality executive mayor.

Heeding the call for improved commuter facilities

Due to a large population in the community using public transport, Thungela
partnered with the Ogies Phola Taxi Association and the Emalahleni Local
Municipality to renovate the taxi rank in Ogies. The renovations included the
painting of the facility, revamping the kitchen and ablution area inside the
office space. In addition, a boardroom and an outside ablution facility was
constructed for commuters. The boardroom will be earmarked for use during
community engagement meetings.

Mpumi Sithole, executive head of corporate affairs, said “As Thungela, we are
pleased to be a member of the community and to hand over these facilities to our
partners, the community, and the municipality. Meeting our SLP commitments is
critical to us achieving our business objectives of driving our ESG ambitions.
The fire station is an important infrastructure that is necessary for emergency
response. The upgraded facilities at the taxi rank will provide commuters and
informal traders a functional and safe space. I am particularly proud that both
these projects were awarded to a local, woman owned-construction company which
in turn created job opportunities for the community members.”

Sindane Masombuka, Ogies Phola Taxi Association chairperson, said “The work that
Thungela has done for our community is significant. The boardroom will help us
run matters of the association more effectively. We are grateful to Thungela for
their contribution.”

ENDS

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Media Release
27 March, 2023
Thungela Delivers an Outstanding Set of Results

Highlights

 * Zero work-related fatalities
 * Three-fold increase in both adjusted EBITDA to R29.5 billion and net profit
   to R18.2 billion.
 * Adjusted operating free cash flow increase to R18.1 billion from R3.9
   billion.
 * Net cash position of R14.7 billion (2021: R8.7 billion).
 * Significant economic contribution to employees and communities.
 * Declare final dividend of R40 per share, bringing total dividend for the year
   to R100 per share. This equates to 13.8 billion, or 76% of adjusted operating
   cash flow for the full year.

Thungela Resources Limited (“Thungela” or the “Company”) has delivered
exceptional financial performance, solid operational delivery and continued to
create value for stakeholders in 2022. The Company achieved a significant
increase in adjusted EBITDA to R29.5 billion and in net profit to R18.2 billion,
while executing its strategic priorities across several fronts.

We continue to prioritise being a fatality-free business and we operated without
a fatality in 2022. Regrettably, in February 2023 Mr Breeze Mahlangu, an
operator at Zibulo tragically passed away following complications after an
accident in December 2022. We continue to work at being a fatality-free
business.

We generated adjusted operating free cash flow of R18.1 billion, compared to
R3.9 billion last year. Despite losing close to 3Mt of export saleable
production volumes as a direct result of the poor Transnet Freight Rail (TFR)
performance, we achieved more than four-fold increase in cash generation.

While the acquisition of the Ensham Business will be paid for from cash on hand
at year end, it will materially change the overall structure of the Group,
including our liquidity needs. Accordingly, we have secured access to R3.2
billion in credit facilities with leading South African banks to reflect this
change, as well as to bolster our resilience against continued poor rail
performance by maintaining a sufficient level of liquidity.

The outstanding results and solid liquidity position enabled Thungela to declare
a final ordinary cash dividend of R40 per share. This final dividend represents
an overall return to shareholders of R5.68 billion. Combined with the 2022
interim dividend of R60 per share, this amounts to a total dividend declared for
the full year of R100 per share and brings the total returns to Thungela
shareholders to R13.8 billion, representing 76% of adjusted operating free cash
flow of R18.1 billion for the year.

July Ndlovu, CEO of Thungela commented: “In 2022 we continued to deliver on our
purpose of responsibly creating a shared future. Our outstanding performance in
this reporting period is largely due to strong coal prices but it is also
testament to the agility and the resilience of our people in operating in a
severely constrained rail environment.”.

Driving ESG aspirations

The Sisonke Employee Empowerment Scheme and Nkulo Community Partnership Trust
will receive a combined contribution of R396 million in addition to the R500
million contributed with respect to the first half of the year, delivering on
our aspiration to spike on the social aspect of ESG. In addition, we have
contributed R8.5 billion in income taxes and royalties to the South African
fiscus in 2022.

In line with the commitment we made last year, we have completed a full review
of our intermediate emissions reduction opportunities and commit to reducing our
scope 1 and 2 emissions by 30% by 2030 (using 2021 emissions as a baseline) and
reaching net zero by 2050.

Further details on the group’s pathway to net zero will be published in April
2023 in our maiden Climate Change Report aligned to the requirements of the Task
Force on Climate-Related Financial Disclosures (TCFD).

Effectively executing on strategic priorities

We have made significant progress in executing our strategy announced in 2022.
Aligned to our strategic priority of maximising the full potential of existing
assets, the board approved the development of the Elders production replacement
project, an integral part of our equity story. We continue to progress on the
feasibility study for the Zibulo North Shaft life extension project and expect
to submit this for board consideration in 2023. We are also evaluating potential
development options for our significant gas resources in Limpopo.

On the optimisation of capital allocation, in November 2022 we acquired the
remaining 27% shareholding in Anglo American Inyosi Coal (AAIC), the entity
which holds Zibulo and Elders. This transaction will allow us to benefit from
the full economics of the cash generative assets in our portfolio, resulting in
an increase in earnings attributable to equity shareholders of Thungela.

The creation of diversification options remains an important focus for our
business as we plan for the future. In February 2023, we announced the
acquisition of a controlling shareholding in the Ensham thermal coal business in
Australia. This transaction, funded from our cash on hand at year end, is
expected to conclude by mid-2023, marking an important milestone in our journey
as it will deliver geographic diversification through a highly cash-generative
thermal coal asset with long-life potential.

Outlook

Looking ahead, although thermal coal prices have softened in early 2023, the
fundamentals remain firmly in place. Prices can be expected to remain robust,
however we are unlikely to see the historic price levels observed in 2022. Over
the longer term, Thungela anticipates continued strong coal demand from emerging
markets, especially those in Asia, where coal is likely to remain part of the
energy mix for at least the next two decades.

Given TFR’s poor performance in 2022, we have reset our production outlook for
2023. Export saleable production guidance for 2023 is between 10.5 Mt and 12.5
Mt, as we plan to drawdown on the high-on mine stockpiles to the extent that the
rail performance exceeds production levels.

Our guidance for FOB cost per export tonne for 2023 is between R1,047 and R1,180
excluding royalties. Including royalties, the guidance range is between R1,131
and R1,264 per tonne using a forecast Benchmark coal price of USD130 per tonne.
Our sustaining capital expenditure is expected to be between R1.3 billion and
R1.5 billion. Expansionary CAPEX is expected to be between R1.6 billion and R1.8
billion, relating primarily to R1.2 billion for Elders and R0.5 billion for
Zibulo North Shaft.

“I look ahead with a sense of caution in the short term, yet confidence in the
longer term. In the short term, fixing the rail network is a matter of critical
importance to South Africa as the mining industry delivers far-reaching benefits
such as sustained jobs and livelihoods in our communities, and it contributes
significantly to the economy.

We will continue working with Transnet to resolve the issues plaguing the rail
performance and call on government to support these efforts to ensure that the
mining industry can continue to create value together for South Africa and its
people.” Ndlovu concluded.

ENDS

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Media Release
17 March, 2023
Sewer Line Upgrade Improves Water Sanitation

Thungela and Sasol this morning handed-over bulk wastewater infrastructure in
Leandra in the Govan Mbeki Municipality.

As part of Isibonelo Colliery’s Social and Labour Plan, the mine constructed
part of the bulk wastewater infrastructure to address the ailing infrastructure
and sewage overflow challenges of this rapidly growing community. Wastewater
infrastructure includes a network of sewer pipes that collect and carry
household, business, and industrial effluent to wastewater treatment systems.

The project established a pipeline network which connects the community to the
N17 pump station and replaced the rising main infrastructure – therefore
upgrading the overall sewerage network. This project will benefit over 30 000
community members in Lebohang Leandra by improving sanitation and decreasing the
negative impact on the environment.

Edrich Welthagen, general manager of Isibonelo Colliery, said:

“We are proud to be part of this partnership which supports the Municipality’s
efforts and its ability to reduce waste being released in the environment and
prevent diseases that can be caused by contaminants that are harmful to plants,
animals, and humans.”

Victor Bester, senior vice president at Sasol said: “I urge the community to
take good care of this upgraded infrastructure as well as all our other
infrastructure systems that we have when disposing of solid waste. Also remember
not to dispose any waste into the pipelines, drain systems, and in canals. It is
important for all of us to ensure the continued protection of all water and
sanitation infrastructure,” says Victor Bester.

Councillor Nhlakanipho Zuma, executive mayor of the Govan Mbeki Municipality,
thanked the project partners, saying: “As the Govan Mbeki Municipality, we are
very happy with the completion of this project which will address poor
sanitation and restore the pride of our people. We thank Thungela and Sasol for
their contribution in the development of the area and improving the lives of the
residents.

This project will address the scourge of sanitation-related challenges to ensure
that sewer spillages are eradicated in the area and we therefore urge community
members to safeguard this critical infrastructure”

ENDS

For further information, please contact:
Wayne Mokhethi
wayne.mokhethi@thungela.com
073 894 7689

Read More
Media Release
25 January, 2023
Thungela Recertified as a Top Employer

People-centric Thungela named Top Employer for second consecutive year

Thungela one of the largest pure-play producers and exporters of thermal coal in
South Africa, has once again been recognised as a Top Employer in the country by
the - Top Employers Institute, for the second year in a row. Last year, just
eight months after its inception, the company was named an employer of choice in
the mining sector.

“Acquiring Top Employer certification is a fantastic achievement and is also a
further reaffirmation that we are living our values of safety, care and respect,
accountability, excellence, agility and entrepreneurship in the work
environment. This recognition will further enhance the employer brand of
Thungela and will attest to the fact that we continue to uplift and improve
people’s lives and create value for a shared future,” says Lesego Mataboge, the
executive head of human resources at Thungela.

This year, Thungela once again achieved this prestigious certification,
solidifying its commitment to its employees and was rated particularly highly
for values, ethics and integrity not to mention our people strategy.

The Top Employers Institute is the global authority on recognising excellence in
people practices and has certified 2 053 organisations in 121 countries/regions
since 1991. The certification is given if the people and practices at the
organisation can pass the HR Survey which is based on six key HR themes: steer,
shape, attract, develop, engage, unite.

“As we grow, we continue to affirm our commitment to the individuals that make
up our operation, and we are honoured that the Top Employers Institute can
endorse our intention with this certification,” ends Mataboge.

This recognition once again confirms that Thungela is a people-centric business
built on their people, for their people.

ENDS

For further information, please contact:
Tarryn Genis
tarryn.genis@thungela.com
082 324 4650

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Media Release
14 December, 2022
Employees Benefit From Empowerment Scheme

Thungela’s Sisonke Employee Empowerment Scheme (“Sisonke” or the “Scheme”) will
pay its first allocation of R387 million to employees in December this year.
This first disbursement is based on the dividends declared for the 2021 full
year results as well as the 2022 half year results. More than 3500 employees are
set to benefit.

Formerly termed the Employee Partnership Plan (EPP), Sisonke will now be
referred to as the Employee Empowerment Scheme. Sisonke, is an isiZulu word
meaning ‘we are together’. The name was decided through a staff competition and
is reflective of the company’s purpose.

“This is a milestone for the business and indeed all eligible Thungela
employees. It is testament to Thungela’s vision to responsibly create value
together for a shared future,” says Paulos Soviya, chairman of Sisonke’s board
of trustees.

“The intention of Sisonke is to ensure that one of the most important
stakeholders, Thungela employees meaningfully benefit from the growth and
profits of the business. We are proud and humbled that this is a reality.
Thungela employees and their families will benefit from the commitment and hard
work that has contributed to our success and we thank them for their
contribution,” said executive head of human resources, Lesego Mataboge.

“The successful launch of Sisonke Employee Empowerment Scheme is because of
fruitful engagement between the employer, National Union of Mineworkers (NUM)
and the board of trustees. We are confident that Sisonke will create real
benefits for employees,” said employee representative Bongani Mahungela.

The Scheme has been set up as a trust, which is a legal entity. The trust owns
5% of Thungela’s South African Coal Operations Pty (SACO) and is entitled to
receive 5% of the dividends that may be paid out by SACO. The board of trustees
includes 50% employee and 50% employer representation. The benefits of the trust
are shared, equally among all eligible employees on the beneficiary register
after taxes and other expenses have been paid to administer the trust.

ENDS

For further information, please contact:
Wayne Mokhethi
wayne.mokhethi@thungela.com
073 894 7689

Tarryn Genis
tarryn.genis@thungela.com
082 324 4650

Read More
Media Release
8 December, 2022
Emalahleni to Benefit From New Community Centre

Thungela has built a multi-purpose community centre which is now open to the
community of Clewer. This social and labour plan project will provide a safe
space for the community to host activities such as townhall gatherings, events,
arts, and culture.

The project was born through a partnership with the Emalahleni Local
Municipality to identify infrastructure development projects that address
socio-economic challenges faced by the Clewer community. The hall will provide a
safe space for various community activities such as community gatherings,
events, arts, engagement sessions etc.

“At Thungela we are passionate about initiatives that enhance and improve the
lives of communities where we operate. We believe that the addition of community
hall in Clewer and our commitment to build a health post in 2023, are a positive
step in achieving our vision for shared value” says executive head of corporate
affairs for Thungela, Mpumi Sithole.

ENDS

For further information, please contact:
Tarryn Genis
tarryn.genis@thungela.com
082 324 4650

Read More
Media Release
20 September, 2022
Thungela Signs Three-year Wage Agreement

Thungela announces that it has signed a three-year wage agreement with the
National Union of Mineworkers (“NUM”) which is the recognised labour union
across Thungela’s operations, and which represents 86% of unionised employees.

This agreement enables the implementation of a new wage agreement across
Thungela’s operations, other than Mafube which runs an independent wage
negotiation process. The agreement is effective from 1 June 2022 and covers a
period of three-years through to the end of May 2025.

The wage agreement increases salary and salary-related allowances and is
expected to increase the total labour cost-to-company, on average by
approximately 6% per annum over the three-year period.

Under the agreement, Thungela and the NUM also commit to engaging the board of
trustees of the SACO Employee Partnership Plan Trust (“EPP”) to review and amend
the trust deed to enable the payment of awards made to the EPP in the same
financial year in which they are declared, as opposed to vesting over a period
of three years.

July Ndlovu, CEO of Thungela, commented: “We are very pleased to have reached an
agreement with our employees and I thank the NUM for their collaboration and
constructive engagement during the wage negotiation process. The agreement
recognises the important role that our employees have in responsibly creating
value together for a shared future.”

ENDS

For further information, please contact:
Tarryn Genis
tarryn.genis@thungela.com
082 324 4650

Read More
Media Release
15 August, 2022
A Record Set of Interim Results

Thungela creates value for stakeholders with a record set of interim results.

Highlights

 * Completed the first half of the year without a loss of life and remains
   committed to operating a fatality-free business
 * A record half-year profit of R9.6bn (30 June 2021: R351 million)
 * Adjusted operating free cash flow of R8.9 billion resulting in a robust net
   cash position of R14.8 billion
 * Headline earning per share of R67,23
 * Interim ordinary cash dividend of R60 per share declared, returning R8.2bn to
   shareholders, in excess of the minimum 30% payout ratio*
 * SACO Employee and Nkulo Community Partnership Trusts to receive a
   distribution of R0.5 billion in keeping with commitment to create shared
   value
 * Elders production replacement project approved, enabling us to maximise the
   value of our existing assets and support livelihoods in the region
 * Full year guidance for export saleable production revised to 13.0Mt to
   13.6Mt, reflecting the ongoing poor rail performance by Transnet Freight Rail
   (TFR)

Thungela Resources Limited (“Thungela” or the “Company”) released its half year
results for the period ended 30 June 2022. An interim cash dividend of R60 per
share was declared resulting in a total of R8.2 billion returned to
shareholders, emphasising the company’s ability to deliver attractive returns
during periods of strong coal prices.

Against the backdrop of firm demand for affordable and secure energy sources in
a volatile operating environment, Thungela achieved adjusted EBITDA of R16.7bn
while profit was R9.6bn (H1 2021: R351 million) with headline earning per share
at R67,23. Elevated coal prices combined with a strong operational focus
resulted in a net cash position of R14.8bn at the end of the period.

July Ndlovu, CEO of Thungela commented: Delivering attractive shareholder
returns while maintaining disciplined capital allocation remains a cornerstone
of Thungela’s strategy. Our robust cash flow generation and substantial net cash
position allow us to declare an interim ordinary dividend of R60 per share. This
represents a payout of approximately 92% of adjusted operating free cash flow,
once again substantially higher than the minimum payout ratio of 30% as per our
stated dividend policy. These results were achieved safely with no loss of life
recorded.

The Employee and Nkulo Community Partnership Trusts will receive a distribution
of R0.5 billion. These distributions cement our people as our partners and will
create a lasting legacy for our communities.”

Demand for affordable energy sources

During the period under review, benchmark coal prices were high due to the
energy crisis in Europe and the supply constraints in major coal producing
regions. This drove prices to record levels amidst volatility.

Thungela’s ability to take full advantage of the strong price environment in H1
2022 was hindered by TFR’s continued underperformance.

Despite the impact of rail performance on export sales, Thungela achieved record
cash generation of R8.9bn adjusted operating free cash flow, up from R1.9bn in
the first half of 2021.

“A consistently well-run logistics corridor between Mpumalanga and Richards Bay
is crucial not only for coal exporters such as Thungela, but also for the South
African economy which generates billions of Rands in foreign currency earnings,
tax and royalty revenues through coal exports. We remain committed to working
with TFR, government and the industry, but we are also evaluating alternative
logitistics so as to migitate the impact of TFR on our operations.”

Delivering on strategy and operating responsibly 

Aligned to Thungela’s strategic pillar to maximise value from existing assets,
the Elders project has been approved by the board. The project aims to replace
volumes from Goedehoop as the mine comes to the end of its life. In line with
the commitment to make environmental social and governance (ESG) considerations
a key driver of our capital allocation strategy the social impacts of the
project were carefully considered. Elders will support regional livelihoods and
benefit from a solar-powered energy solution. The forecast capital spend is R2bn
in 2022 money terms.

In addition to the R188 million contribution made to the Green Fund in the first
half of 2022, Thungela is committing a further discretionary amount of R200
million to increase the quantum of cash set aside for future environmental
obligations.

Driving our ESG aspirations requires an on-going focus on reducing carbon
emissions. Thungela has started the journey towards setting intermediate carbon
reduction goals to help us chart our path to net-zero by 2050.

Further cementing our commitment to building sustainable livelihoods in the
communities where we operate, Thungela launched an enterprise and supplier
development programme called Thuthukani focused on providing hands-on
entrepreneurial business support, loan funding and technical development to
small enterprises in Mpumalanga.

Outlook

Energy security, reliability and affordability concerns in Europe have
highlighted the importance of coal in the energy transition. Coal is set to
remain a critical input for affordable and reliable power generation, not only
in the developing world but also in highly industrialised and developed nations
which have recently increased their reliance on coal to meet their energy needs.
We are monitoring these trends and their implications for Thungela’s strategy in
the short to medium-term, with particular attention given to exploring
opportunities for geographic diversification.

Considering the continued uncertainty about TFR’s performance for the remainder
of the year and the view that the level of rail performance has not improved
sufficiently, the company revised its guidance for export saleable production to
a range of 13.0Mt to 13.6Mt for 2022. Previous guidance was between 14Mt to
15Mt.

Capital expenditure will be between R1.7 billion and R2 billion, with the bulk
of the spend taking place in the second half of the year in line with historical
seasonality.

“Operating a fatality-free business and ensuring exceptional shareholder returns
are crucial to earning the trust and support of our stakeholders. We remain
committed to delivering on our purpose of responsibly creating value together
for a shared future.”
*Thungela’s dividend policy is to target a dividend pay-out of a minimum of 30%
of adjusted operating free cash flow.

ENDS

For further information, please contact:
Media
Tarryn Genis
tarryn.genis@thungela.com
+27 82 324 4650 Investor Relations
Ryan Africa
ryan.africa@thungela.com
+27 11 638 0237

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Media Release
22 June, 2022
Thungela, Absa and Raizcorp Join Forces

Thungela Resources, Absa and Raizcorp Join Forces to Elevate Small Businesses,
Entrepreneurs in Mpumalanga.

Johannesburg, 22 June 2022 – Thungela Resources, Absa and Raizcorp have joined
forces to launch a business-development programme focused on providing small
enterprises in mining communities in Mpumalanga with hands-on business support,
loan funding and technical development.

The joint programme, named Thuthukani, means “uplift" in isiZulu will run across
the Thungela operational areas in the municipalities of eMalahleni, Steve
Tshwete and Govan Mbeki.

Nkosi Motsoeneng, Head of Corporate Affairs at Thungela says, “Through our
partnership with Raizcorp and Absa, we hope to make a positive impact in local
communities. The mining sector is a key contributor to South Africa’s fiscus, we
have an important role to play in the communities where we operate, and we know
that small business development is critical to the long-term growth of South
Africa and its people. Thungela is proud to be playing an active role in the
creation of a thriving small business sector.”

Powered by leading business incubator, Raizcorp, entrepreneurs who are selected
to take part will receive practical entrepreneurial learning, skills and
mentorship. In addition, Raizcorp will assist participants to uncover any
technical gaps in their businesses and, if necessary, provide them with
technical support and development. “Entrepreneurs are our future. The mining
context provides a unique environment for us to support large suppliers to
effectively scale, as well as those entrepreneurs just entering the mining
supply chain for the first time. At the same time, we also develop entrepreneurs
who are not currently in the supply chain but have the potential to become
future suppliers,” says Allon Raiz, CEO of Raizcorp.

Loan funding will be offered, in partnership with Absa, to those who qualify.
Dumisani Mkhonza, Chief Operating Officer for Absa Corporate Funds Management
says, “Small businesses face many challenges especially in our post-pandemic
economy, most notably a lack of access to finance. Through this initiative, Absa
aims to enable economic and social development to small business and
entrepreneurs in these areas.”

Eligible applicants must meet the following criteria:

 * Only South African citizens over the age of 18 may apply
 * Must have a 51% or more black-owned business. Must have been trading for at
   least six months
 * Applicants must be active in the business full time
 * Applicants must have access to their own transport
 * Must be based in one of the Thungela mining communities in the eMalahleni,
   Steve Tshwete or Govan Mbeki municipalities
 * Must have a cell phone, email address and access to a laptop or computer
   Interested?

SMS “THRS2022” to 35839 and a member of our team will get in touch with you. Or
you can apply for the programme
onlinehttps://www.thungela.com/suppliers/business-developmentprogramme.

“The long-term success and sustainability of our communities, employees,
shareholders and society as a whole is our top priority. We look forward to this
partnership which we hope will add to our efforts to ignite value for a shared
future,” concludes Motsoeneng.

ENDS

For further information, please contact:
Tarryn Genis
Head of Communication
Thungela
tarryn.genis@thungela.com | 082 324 4650

Penny du Plessis
Communications Officer
Raizcorp
pennyd@raizcorp.com | 011 566 2000

Read More
Media Release
15 March, 2022
Full-year 2021 Results Released

Thungela Delivers Value for Stakeholders With a Strong Set of Full Year 2021
Results.

Safety

Improvement in safety performance with a Total Recordable Case Frequency Rate of
1.35 in 2021 (2020: 1.51). Tragically, a fatality was recorded at Goedehoop in
June 2021.

ESG

Employee and Nkulo Community Partnership Trusts to benefit from shared value and
receive an inaugural cash dividend of R273 million Thungela contributed R7.1bn
to society through wages and related payments (R4.1bn), inclusive procurement
(R2.3bn), royalties and mining taxes (R570 million) and social & labour plans
and CSI (R118 million).

Financials

Return to profitability with profit for the reporting period of R6.9bn (2020:
loss of R362 million) Robust cash generation with net cash of R8.7bn (2020: net
debt of R388 million) Maiden dividend declared with R2.5bn returned to
shareholders in total at [R18] per share, representing 82% of Thungela’s day one
closing market capitalisation.

Thungela Resources Limited (“Thungela” or the “Company”) released its first set
of full-year results as a publicly listed company since its debut on the
Johannesburg and the London Stock Exchanges on 7 June 2021. This set of
exceptional results underscores its successful transition to a profitable,
highly cash-generative pure- play thermal coal business.

Thungela delivered adjusted EBITDA of R10bn (2021: R286 million); while net
profit was R6.9bn vs. a loss of R362 million in 2021; while headline earning per
share was at R66,57 (2021: loss of 531 cents). Favourable coal prices combined
with a strong operational focus, resulted in a net cash position of R8.7bn at
year end.

July Ndlovu, CEO of Thungela commented:

“Thungela has delivered record full year results, despite the on-going effects
of Covid-19 on our operations and rail infrastructure constraints. The tragic
loss of life recorded in June 2021 has reinforced our unwavering commitment to
achieve our goal of becoming a fatality-free business. This is and will remain a
non-negotiable objective. Our operational focus delivered substantial
shareholder returns while maintaining disciplined capital allocation, balance
sheet flexibility, and sufficient liquidity to withstand market and coal price
volatility. Shareholders are set to benefit substantially as 63% of Adjusted
operating free cash flow - R2.5bn - will be paid out as a dividend, well above
the stated dividend policy of a minimum pay-out ratio of 30% of Adjusted
operating free cashflow. This corresponds to a maiden dividend of [R18.00] per
share. Furthermore, the Employee and Community Partnership Trusts, the two share
ownership schemes that we established to enable employees and our communities to
share in the value we create, will receive R273 million collectively.”

Demand for SA coal

Thungela exports most of its coal, and its revenue was positively impacted by
the Benchmark thermal coal price which strengthened by 90% to $124 per tonne
although the stronger Rand did offset some gains. The demand for high quality
South African coal underpinned Thungela’s performance. Developing economies in
India, Pakistan, Sri Lanka and Vietnam are on a path of recovery, post COVID19,
and are experiencing an increased demand for energy. The discount to benchmark
prices has narrowed substantially in 2021 to 16% compared to 26% in 2020,
resulting in higher realised coal prices of $104 per tonne in 2021 (2020: $48
per tonne). Thungela reported export equity sales of 15Mt, which reflects a
decrease of 16% in 2021. Export sales and production were severely impacted by
TFR constraints, and the Company was forced to curtail lower margin production
from late in the third quarter as stockpiles reached capacity.

“We remain committed to working with TFR, government and the industry to resolve
the issues experienced in 2021 and the start of 2022. We believe the challenges
are transient and have planned our operational performance on a gradual, rather
than an immediate recovery in rail performance. This is of national concern
given that coal exports constitute one of the primary sources of foreign
currency generation for South Africa.”

Outlook

We expect a gradual rather than immediate recovery in TFR performance, the 2022
export saleable production is expected to be between 14Mt and 15Mt, before
returning to 16Mt per annum from 2023. “While the current geopolitical unrest in
Europe is resulting in an unprecedented escalation in energy and commodity
prices, including thermal coal prices, the impact on input cost inflation and
volatility will remain a risk to global growth. We believe that thermal coal
remains a key pillar of the global energy mix and as Thungela we have an
important ongoing role as a responsible producer. We recognise and balance
society’s needs, environmental expectations, and the vital role we play in the
economy and our communities. Our foundations are firmly in place and our journey
to value creation has just begun. We will continue our focus on what we can
control: achieving our goal of becoming a fatality-free business, realising
further operational improvements and cost efficiencies, and seamlessly executing
our life extension and production replacement projects,” Ndlovu concluded.

ENDS

For further information, please contact:
Media
Tarryn Genis
tarryn.genis@thungela.com
082 324 4650

Investor Relations
Ryan Africa
Ryan.africa@thungela.com
27116380237

Read More
Media Release
1 March, 2022
Initial Mitigation Actions Are Complete

Initial actions to mitigate environmental incident at Wilge River, Olifants
River and Inlet of Loskop Dam are complete.

Thungela Operations Proprietary Limited (the “Company” or “Thungela”) and the
Mpumalanga Tourism and Parks Agency (MTPA) can confirm that the first phase of
corrective measures to mitigate the impacts of the environmental incident, that
took place at the Wilge River, Olifants River and Loskop Dam, has been
successfully completed.

These measures included, containing the overflow, flushing the river system with
water from the Bronkhorstspruit and Witbank Dam and collaborative clean-up
efforts along the rivers system stretching 60km.

Two aerial surveys were conducted, on Friday, 25 February and Sunday, 27
February respectively. The first by a team of representatives from Thungela and
the Department of Water and Sanitation and the second by the MTPA at Loskop Dam.
The findings are encouraging.

The MTPA officials in charge, who are aquatic scientists, Dr. Francois Roux and
Mr Andre Hoffman undertook a survey on Loskop Dam up to the inflow on Sunday 27
February and found that there were no signs of dead or dying fish following the
flush of both Bronkhorstspruit and Witbank Dams. “The post-release clean-up was
successful and no further clean-up actions have to be done at this point in
time,” said Hoffman.

Additionally, results from independent water analysis indicate that the quality
of the water has normalised to the baseline quality that existed prior to the
incident. Based on these positive initial outcomes, farmers have been advised
that they can commence with irrigation of their crops.

Thungela will continue with water monitoring requirements, screening for
possible residual waste and will work with the MTPA should further clean-up
operations be required.

The next phase of the remediation is underway with a risk assessment to define
all impacts of the incident. A specialist biodiversity company has been
appointed to ensure that the detailed rehabilitation plan includes medium- and
long-term actions to re-instate the ecological integrity of the river and the
re-introduction of fish species.

Speaking about the remediation efforts, Thungela CEO July Ndlovu says; “We are
encouraged by the initial clean-up efforts and are fully committed to doing what
is right and within our power as citizens of the Mpumalanga community. We
continue to work with various biodiversity, environmental, water and health
experts to inform the steps to remedy the effects of the pollution.”

Hoffman further added, “We are satisfied with the post clean-up in the reserve.
On the reserve the incident was limited to the inlet to the Loskop Dam, and it
has not affected the water or fish in the rest of the dam itself. Our team of
scientists have seen a healthy presence of aquatic life including schools of
vulnerable young fish at several locations in the dam. We invite tourists and
members of the public to visit Loskop Dam and enjoy a memorable experience in
Mpumalanga.”

ENDS

For further information, please contact:
Media
Tarryn Genis
Email: tarryn.genis@thungela.com
Tel: +27 (0) 82 324 4650

Read More
Media Release
24 February, 2022
Remediating Impact of Environmental Incident

Thungela Resources Limited (the “Company” or “Thungela”) confirms that an
uncharacteristic environmental incident took place at Khwezela Colliery’s
Kromdraai site in eMalahleni, Mpumlanga on Monday, 14 February 2022. A full
investigation of the root cause of the incident has started and will be
concluded in due course.

The first stage of time critical remedial actions has now been completed. These
include containing the overflow, flushing the river system with water from the
Bronkhorstspruit Dam to mitigate the effect of mine-impacted water, and clean-up
efforts along the stretch of 60km. Screening for possible residual waste will
continue.

“We are encouraged by the level of collaboration from the authorities, farming
community and members of society who share in our devastation on the impact to
ecosystems. We are a responsible mining company and hold ourselves to the
highest standards when it comes to our environmental, social and governance
obligations. We are fully committed to doing what is right and within our power
as citizens of the Mpumalanga community. We will lead the remediation efforts
now and, in the future, as well as fully assess the causes and contributing
factors that led to this incident,” says July Ndlovu, CEO of Thungela Resources.

Interim findings indicate that a concrete seal at the South Shaft broke which
resulted in an uncontrolled release of mine-impacted water. The shaft was sealed
in 2019 as part of the water management strategy. Despite a water management
plan in place, the volume of water exceeded the maximum capacity for treatment
at the dosing site and flowed into the Kromdraaispruit resulting in lowered pH
levels of the water.

The collaboration efforts include working with the Department of Water and
Sanitation, the Mpumalanga Parks and Tourism Agency, the community, other
interested and affected stakeholders. Independent biodiversity, environmental,
water and health experts, along with the Company’s experts are providing
guidance on the investigation and evaluation of the impact on the environment,
the steps to be taken to control the pollution and the remediation steps that
need to be implemented to remedy the effects of the pollution.

ENDS

For further information, please contact:
Media
Tarryn Genis
Email: tarryn.genis@thungela.com
Tel: +27 (0) 82 324 4650

Read More
Media Release
1 December, 2021
Thungela to Release 2021 Pre-close Statement

Anglo American plc (“Anglo American”) announces the demerger of its thermal coal
operations in South Africa, subject to the approval of Anglo American’s
shareholders on 5 May 2021.

The separation will be implemented through the transfer of Anglo American’s
thermal coal operations in South Africa to a new holding company, Thungela
Resources Limited (“Thungela”), the demerger of the Thungela shares to Anglo
American shareholders and the primary listing of Thungela’s shares on the
Johannesburg Stock Exchange (the “JSE”) and standard listing on the London Stock
Exchange (the “LSE”).

Mark Cutifani, Chief Executive of Anglo American, said: “Anglo American has been
pursuing a responsible transition away from thermal coal for a number of years
now. As the world transitions towards a low carbon economy, we must continue to
act responsibly – bringing our employees, shareholders, host communities, host
governments and customers along with us. Our proposed demerger of what are
precious natural resources for South Africa, allows us to do exactly that.

“We are confident that Thungela will be a responsible steward of our thermal
coal assets in South Africa, benefiting from an experienced and diverse
management team and board. While representing just a small proportion of Anglo
American today, we are laying the foundation for South Africa’s leading coal
business, setting it up for success to deliver value for all its stakeholders.
Looking forward, we believe the prospects for long-term value delivery are
greatest as two standalone businesses, each with their own strategy and access
to capital.”

July Ndlovu, CEO of Thungela, said: “Thungela is a leading South African
producer of high quality, low cost export thermal coal, well positioned to
benefit from improved market conditions, and providing a reliable and affordable
energy source to our customers mainly in developing economies. We have
significantly repositioned and upgraded our portfolio in recent years into a
highly competitive producer of export product, with established access to
world-class export infrastructure.

“As an independent business we will continue to contribute significantly to our
host communities and South Africa’s development objectives. As part of our
commitment to creating an enduring positive legacy, we are establishing an
employee partnership plan and a community partnership plan, with each holding a
5% interest in the Thungela thermal coal operations in South Africa, thereby
enabling employees and communities to share in the financial value that we
generate.

“Guided by the high standards set by Anglo American, Thungela is committed to
operating sustainably – continuing to drive safety, health, environmental,
governance and social programmes for the benefit of our employees, host
communities and shareholders. The demerger of Thungela and our listing on the
JSE will represent yet another major milestone for Anglo American’s long-running
contribution towards transforming South Africa’s mining industry.”

The proposed demerger recognises the diverse range of views held by Anglo
American’s shareholders in relation to thermal coal and therefore provides Anglo
American’s shareholders, including those with specified investment criteria,
with the choice to act on such views and, following the implementation of the
proposed demerger, to either retain, increase or decrease their interests in
Thungela. The proposal also allows Thungela to attract new shareholders and to
access new sources of capital as an independent company offering direct exposure
to thermal coal.

Anglo American is committed to setting up Thungela as a sustainable standalone
business, including by providing an initial cash injection of ZAR2.5 billion
(approximately $170 million) and further contingent capital support until the
end of 2022 in the event of thermal coal prices in South African rand (ZAR)
falling below a certain threshold.

Following the implementation of the proposed demerger, and in line with Anglo
American’s responsible approach, Anglo American’s marketing business will
continue to support Thungela in the sale and marketing of its products for a
three-year period with an additional six-month transitional period thereafter.
This transitionary arrangement ensures that customers receive a consistent
service and supply of thermal coal while Thungela concentrates on enhancing the
performance of its operations while continuing to receive optimal value for its
products in the market. The three-year term, and the additional six-month
roll-off period, also provide time for Thungela to build its own global
marketing capabilities should it choose to do so.

Proposed demerger process

In order for the proposed demerger to be implemented, Anglo American shareholder
approval will be sought at a general meeting and court meeting, both expected to
be held on 5 May 2021 following Anglo American’s Annual General Meeting. If it
is approved, it is expected that the demerger would be effective on 4 June 2021,
with Thungela’s shares being listed and admitted to trading on the JSE and LSE
on 7 June 2021.

Following completion of the proposed demerger, 100% of the issued share capital
of Thungela will be held by Anglo American shareholders who will each receive
one Thungela share for every ten Anglo American shares that they hold. Each
Anglo American shareholder will also retain their existing shareholding in Anglo
American. Thungela will hold 90% of the thermal coal operations in South Africa
with the remaining 10% held collectively by the employee partnership plan and
the community partnership plan.

Additional information

A shareholder circular setting out further detail in relation to the demerger,
including expected key dates has been published on
www.angloamerican.com/products/thermal-coal/demerger.

In respect of the JSE and LSE listing, a Thungela combined pre-listing statement
and prospectus is expected to be published on Anglo American’s website
(www.angloamerican.com) and Thungela’s website (www.thungela.com) later today.

In accordance with UK Listing Rule 9.6.1, a copy of the circular has been
submitted to the Financial Conduct Authority (FCA) and will shortly be available
for inspection via the National Storage Mechanism.

Anglo American will host a virtual investor and analyst presentation at 09:00 UK
time / 10:00 South Africa time today. Access and registration instructions are
available on Anglo American’s website (www.angloamerican.com/investors).

Thungela will host a virtual investor and analyst presentation at 08:00 UK time
/ 09:00 South Africa time on 6 May 2021. Access and registration details will be
provided nearer the time.

ENDS

Read More
Media Release
23 September, 2021
Thungela Receives Top Honours at Coalsafe Awards

Newly listed Thungela Resources, one of the largest pure-play producers and
exporters of thermal coal in South Africa, last week received recognition at the
annual COALSAFE Awards. Due to Covid-19, the 2019 awards were postponed so this
year’s event recognised the efforts of the coal mining sector for 2019 and 2020.

In the 2020 Environmental Management category, Thungela took first and second
place honours for the Isibonelo Colliery Wetland Rehabilitation project and
Zibulo Colliery Gumboots Recycling project, respectively. While the Sikhululiwe
Clinic at the Mafube Colliery, a joint venture between Thungela and Exxaro, was
the winner of the 2019 Community Development category.

“We are humbled to be recognised for our efforts to be a coal miner that
genuinely cares about creating value, beyond the bottom-line,” says July Ndlovu,
CEO of Thungela. “When we started our journey to independence, I said that each
decision and action we take at Thungela must lead to a promising future for the
company, our employees, the communities and our country. To receive these
accolades at such an early stage of building our new company is an honour and
reinforces our resolve to keep looking for solutions to the challenges we face
as a society.”

Isibonelo was the first mine in South Africa to initiate an off-set wetland
project following its establishment in 2005. Considered to be a world first, a
novel approach was adopted that includes, a system of lightweight, interlocking
sheets made from recycled UV-resistant plastic, that replaces traditional
concrete structures. It can be installed year-round, at a fraction of the time
and cost and with minimal environmental impact as no heavy machinery is
required. The initiative, which has been broken down into multiple phases, will
ultimately restore a total of 119ha of severely degraded wetland systems to
pristine, natural condition.

The Sikhululiwe Clinic is a modern facility that provides healthcare services to
a population of approximately 5 000 people who live in the rural Sikhululiwe
Village in Mpumalanga. Opened in October 2019, the facility has consulting and
counselling rooms, includes a dental and emergency ward, as well as a labour
ward and pharmacy and operates five days a week. The clinic brings basic health
care services to the doorstep of this community thathas many pensioners and
unemployed people who would otherwise need to travel long distances to seek
health related assistance.

Other highlights for Thungela from the COALSAFE Awards include recognition for
more than 10000 fatality free shifts at both Isibonelo Colliery and Mafube
Colliery in both years, and 3rdplace in the 2019 Environmental Management
category for an irrigation project in the Steve Tshwete Municipality.

Hosted by the South African Colliery Manager’s Association, the COALSAFE Awards
recognise the efforts of the coal mining industry to uphold safety standards
with specific reference to the people, environment, and the communities in which
the companies operate. The awards have been in existence for more than 40 years.

ENDS

Read More
Media Release
13 August, 2021
Solid Performance in First Interim Results

Thungela Resources reports solid performance in first Interim Results since
listing.

 * Operating profit of R990 million for the reporting period
 * Adjusted EBITDA of R1,888 million
 * Robust financial position with net cash of R3 billion

Thungela Resources Limited (“Thungela” or the “Company”) today reports a strong
set of interim results for the six months ended 30 June 2021. This follows the
successful listing on the Johannesburg Stock Exchange and the London Stock
Exchange on 7 June 2021.

July Ndlovu, CEO of Thungela, commented:

> “I am pleased to report that after one month of operating as an independent
> business, we are well-positioned to deliver on our targets. Although we are in
> the early days of independence, we continue to remain focused on running a
> fatality-free business, delivering productivity and cost improvements. With
> our strong balance sheet, we believe that we are in a good place. Our
> financial performance is buoyed by the recent recovery of global thermal coal
> prices and the active steps we have taken to upgrade our portfolio. We
> experienced firm demand from South Asia including India, Pakistan, Sri Lanka
> and Vietnam. Thungela's high quality coal is well placed to continue
> capitalising on significant market demand in this region. Coal prices were
> supported by supply constraints from South Africa, Colombia and Australia,
> with the latter still facing an ongoing ban on imports into China.”
> 
> JULY NDLOVU
> 
> THUNGELA CHIEF EXECUTIVE OFFICER

 

Regrettably, we had a loss of life at our Goedehoop Colliery. Our condolences go
to the family, friends and colleagues of Moeketsi Mabatla. Thungela reaffirms
its commitment to achieving a fatality-free business.

Benefitting from higher global thermal coal prices driven by the continued
demand from South Asian markets for high quality thermal coal and global supply
constraints, Thungela generated operating profit of R990 million and Adjusted
EBITDA for the six months ended 30 June 2021 close to R1.9 billion, while the
statement of financial position showed a strong net cash position of R3 billion.

Thungela delivered earnings per share of 313 cents and headline earnings per
share of 305 cents for the reporting period. This includes the impact of two
significant once-off adjustments; the restructuring costs and termination
benefits of R386 million, as well as the fair value adjustment of R584 million
on the derivative relating to the Capital Support Agreement with Anglo American.
“The majority of Thungela’s coal is exported and its revenue was positively
impacted by the benchmark thermal coal price which strengthened by 47% compared
to H1 2020, however, the strengthening of the Rand offset some of the gains.

Thungela implemented actions prior to the Demerger which has improved the
quality of its portfolio by taking higher cost production out of the business.
In particular, the Bokgoni pit of the Khwezela operation was placed on care and
maintenance during Q1 of this year.

Export saleable production volumes, on a comparable basis, decreased by 9% to
7.1Mt mainly as a result of the Bokgoni pit being placed on care and
maintenance, offset by the ramp up at the Navigation pit at Khwezela. Equity
export sales also declined by 8% to 6.6Mt, primarily as a result of the lower
saleable production volumes for the six months ended 30 June 2021, and also as a
result of lower than planned railings due to the underperformance of Transnet
Freight Rail. The rail line operator’s performance challenges are attributable
to theft of infrastructure and equipment failures mainly related to locomotives.

Thungela ended the period with a strong net cash position of R3.0 billion. From
1 June 2021, Thungela operated as a standalone business having received an
initial cash injection of R2.5 billion.

In a landmark empowerment transaction, Thungela’s Employee and Community
Partnership Plans each hold a 5% fully funded interest in Thungela’s coal
operations in South Africa and are set to benefit from the financial value that
the company will generate.
The first distribution of R6 million to the Community Partnership Plan was made
on 30 June 2021. Trustees have been appointed and plans are underway to appoint
an administrator to ensure the Trust delivers on its mandate.

Thungela’s results are not directly comparable with the prior period as a result
of an internal restructuring process which separated the South African Thermal
Coal Operations, and the various non-thermal coal operations within Anglo
American in preparation for the Demerger. One mine is included in the
comparative period versus the seven mining operations which currently form part
of Thungela. This impacts on both the operational and financial performance and
hence Thungela also developed pro forma financial information which seeks to
compare the current reporting period with the prior period on a like for like
basis.

Outlook

We confirm the guidance for Export Saleable Production of between 15Mt and 16Mt
and flat FOB cost per export tonne of R830 for the full year.

Capital expenditure is now expected to be on the low end of the range (R2.6
billion to R3 billion) previously provided for the full year.

With continued strong prices as well as improved performance by TFR through the
remainder of the year, Thungela is set to achieve a positive adjusted operating
free cash flow for the remainder of 2021.

We are committed to the stated dividend policy of paying 30% of the cash flows
from operating activities, after funding our sustained capital expenditure and a
strong balance sheet coupled with the above paves the way for Thungela to
consider the declaration of a maiden dividend at the annual results for 2021.

> “Looking ahead, we will continue to focus on what we can control. We commit to
> operating a fatality free business. We are continually reviewing our capital
> expenditure plans, our teams are focused on delivering cost efficiencies and
> we are poised to take advantage of the booming commodity cycle. Our
> foundations are in place. We are confident based on market fundamentals,
> Ndlovu concluded”

 

ENDS

Read More
Media Release
7 June, 2021
Admission to Trading on the JSE and LSE

The ordinary shares of Thungela Resources Limited (the “Company” or “Thungela”)
will start trading today following Thungela’s admission to the main board of the
Johannesburg Stock Exchange, as a primary listing, under the abbreviated name
“Thungela”, Alpha code “TGA”, and the main market of the London Stock Exchange,
as a standard listing, under the ticker symbol “TGA” (“Admission”).

Admission follows the completion of the demerger of Thungela from Anglo American
plc (“Anglo American”), which became effective at 9:00 p.m. (South African time)
/ 8:00 p.m. (London time) on 4 June 2021. As a leading South African thermal
coal exporter, Thungela offers investors access to a high-quality thermal coal
business with low cash cost and high-margin assets and a strong balance sheet,
underpinned by a robust environmental, social and governance (“ESG”) framework.

On 8 April 2021, Anglo American published a shareholder circular proposing the
separation of its South African thermal coal operations through their transfer
to Thungela and the subsequent demerger of Thungela from the Anglo American
group. The demerger and the scheme of arrangement to implement the demerger was
approved by Anglo American’s shareholders on 5 May 2021 and the scheme of
arrangement was sanctioned by the UK Court on 26 May 2021.

Thungela owns interests in, and produces thermal coal predominantly from, seven
collieries located in Mpumalanga, South Africa, namely Goedehoop, Greenside,
Isibonelo, Khwezela, Zibulo, Mafube and Rietvlei collieries, which consist of
both underground and opencast mines. Thungela’s operations are amongst the
highest quality thermal coal mines in South Africa by calorific value.
Thungela’s operations provide a wide range of economic and social benefits for
their host communities and for South Africa, such as employment, tax revenues,
export earnings, and many essential community services.

Commenting on the listings, Thungela Chief Executive Officer, July Ndlovu said:

 

> “We are excited to be listing Thungela today. The Company plays an important
> role in providing affordable energy to both our customers in the developing
> world, and South Africa. Our business consists of well- established,
> well-managed assets that produce high-quality thermal coal, with access to a
> world-class export infrastructure. Thungela has an enviable cash cost position
> and is poised to deliver attractive returns to shareholders.”
> 
> JULY NDLOVU
> 
> THUNGELA CHIEF EXECUTIVE OFFICER

 

On listing, all of Thungela's issued shares will be held by Anglo American’s
shareholders who will each receive one Thungela share for every 10 Anglo
American shares that they hold.

As part of its responsible transition away from thermal coal, Anglo American has
injected capital of R2.5-billion into the Thungela group and will provide
further contingent capital support until the end of 2022, depending on certain
coal price thresholds. Anglo American will also continue to market and sell
Thungela’s export products over the next three years, with an additional six-
month transitional period, in order to enable the Company to build sufficient
marketing capacity of its own.

According to research by the global mining research and consultancy group, Wood
Mackenzie, South Africa is the fourth-largest producer of thermal coal globally,
catering for the growing demand from India and other developing countries in
South Asia, and potentially the Middle East and North Africa (“MENA“). Demand
from these regions is expected to grow as power demand increases.

“We expect our portfolio of assets to be cash generative throughout the life of
our mines and well into the next decade, with the option for life extension
opportunities. In addition to export markets, we produce thermal coal for
domestic consumption in South Africa, which provides us with inherent
operational flexibility in response to changes in demand and other external
factors,” Ndlovu added.

Thungela’s management team is led by July Ndlovu, as Chief Executive Officer,
and Deon Smith, as Chief Financial Officer, who are supported by the rest of the
board, namely Sango Ntsaluba as chairperson, Kholeka Mzondeki, Ben Kodisang
Thero Setiloane, and Seamus French.

The management team has deep experience in driving cost optimisation strategies,
productivity improvements, ESG performance and value accretive investments.

As part of its commitment to enhancing ESG factors, Thungela has established an
employee partnership plan and a community partnership plan, which each hold a 5%
interest in Thungela’s direct subsidiary, South Africa Coal Operations
Proprietary Limited. These plans will enable employees and communities to share
financially in the value generated by the Company’s thermal coal operations.

“Our ambition is to build Thungela into a highly sustainable and investable
enterprise due to its strong cash flow generation, robust balance sheet,
credible leadership, dedicated employees, and consistency in meeting and
exceeding safety, ESG and production targets. We are igniting real change and
are optimistic about a bright future,” Ndlovu concluded.

Total voting rights

In accordance with the Financial Conduct Authority’s Disclosure Guidance and
Transparency Rule 5.6.1R, Thungela notifies the market that on Admission,
Thungela’s issued share capital consisted of 136,311,808 shares of no par value
and all Thungela shares carry voting rights of one vote per share.

Thungela does not hold any shares in treasury.

The total number of voting rights in Thungela is therefore 136,311,808 and this
figure may be used by shareholders (and others with notification obligations) as
the denominator for the calculations by which they will determine whether they
are required to notify their interest in, or a change to their interest in,
Thungela under the Financial Conduct Authority's Disclosure Guidance and
Transparency Rules.

ENDS

Read More
Media Release
7 April, 2021
Anglo American Announces Demerger

Anglo American plc (“Anglo American”) announces the demerger of its thermal coal
operations in South Africa, subject to the approval of Anglo American’s
shareholders on 5 May 2021.

The separation will be implemented through the transfer of Anglo American’s
thermal coal operations in South Africa to a new holding company, Thungela
Resources Limited (“Thungela”), the demerger of the Thungela shares to Anglo
American shareholders and the primary listing of Thungela’s shares on the
Johannesburg Stock Exchange (the “JSE”) and standard listing on the London Stock
Exchange (the “LSE”).

Mark Cutifani, Chief Executive of Anglo American, said: “Anglo American has been
pursuing a responsible transition away from thermal coal for a number of years
now. As the world transitions towards a low carbon economy, we must continue to
act responsibly – bringing our employees, shareholders, host communities, host
governments and customers along with us. Our proposed demerger of what are
precious natural resources for South Africa, allows us to do exactly that.

“We are confident that Thungela will be a responsible steward of our thermal
coal assets in South Africa, benefiting from an experienced and diverse
management team and board. While representing just a small proportion of Anglo
American today, we are laying the foundation for South Africa’s leading coal
business, setting it up for success to deliver value for all its stakeholders.
Looking forward, we believe the prospects for long-term value delivery are
greatest as two standalone businesses, each with their own strategy and access
to capital.”

July Ndlovu, CEO of Thungela, said: “Thungela is a leading South African
producer of high quality, low cost export thermal coal, well positioned to
benefit from improved market conditions, and providing a reliable and affordable
energy source to our customers mainly in developing economies. We have
significantly repositioned and upgraded our portfolio in recent years into a
highly competitive producer of export product, with established access to
world-class export infrastructure.

“As an independent business we will continue to contribute significantly to our
host communities and South Africa’s development objectives. As part of our
commitment to creating an enduring positive legacy, we are establishing an
employee partnership plan and a community partnership plan, with each holding a
5% interest in the Thungela thermal coal operations in South Africa, thereby
enabling employees and communities to share in the financial value that we
generate.

“Guided by the high standards set by Anglo American, Thungela is committed to
operating sustainably – continuing to drive safety, health, environmental,
governance and social programmes for the benefit of our employees, host
communities and shareholders. The demerger of Thungela and our listing on the
JSE will represent yet another major milestone for Anglo American’s long-running
contribution towards transforming South Africa’s mining industry.”

The proposed demerger recognises the diverse range of views held by Anglo
American’s shareholders in relation to thermal coal and therefore provides Anglo
American’s shareholders, including those with specified investment criteria,
with the choice to act on such views and, following the implementation of the
proposed demerger, to either retain, increase or decrease their interests in
Thungela. The proposal also allows Thungela to attract new shareholders and to
access new sources of capital as an independent company offering direct exposure
to thermal coal.

Anglo American is committed to setting up Thungela as a sustainable standalone
business, including by providing an initial cash injection of ZAR2.5 billion
(approximately $170 million) and further contingent capital support until the
end of 2022 in the event of thermal coal prices in South African rand (ZAR)
falling below a certain threshold.

Following the implementation of the proposed demerger, and in line with Anglo
American’s responsible approach, Anglo American’s marketing business will
continue to support Thungela in the sale and marketing of its products for a
three-year period with an additional six-month transitional period thereafter.
This transitionary arrangement ensures that customers receive a consistent
service and supply of thermal coal while Thungela concentrates on enhancing the
performance of its operations while continuing to receive optimal value for its
products in the market. The three-year term, and the additional six-month
roll-off period, also provide time for Thungela to build its own global
marketing capabilities should it choose to do so.

Proposed demerger process

In order for the proposed demerger to be implemented, Anglo American shareholder
approval will be sought at a general meeting and court meeting, both expected to
be held on 5 May 2021 following Anglo American’s Annual General Meeting. If it
is approved, it is expected that the demerger would be effective on 4 June 2021,
with Thungela’s shares being listed and admitted to trading on the JSE and LSE
on 7 June 2021.

Following completion of the proposed demerger, 100% of the issued share capital
of Thungela will be held by Anglo American shareholders who will each receive
one Thungela share for every ten Anglo American shares that they hold. Each
Anglo American shareholder will also retain their existing shareholding in Anglo
American. Thungela will hold 90% of the thermal coal operations in South Africa
with the remaining 10% held collectively by the employee partnership plan and
the community partnership plan.

Additional information

A shareholder circular setting out further detail in relation to the demerger,
including expected key dates has been published on
www.angloamerican.com/products/thermal-coal/demerger.

In respect of the JSE and LSE listing, a Thungela combined pre-listing statement
and prospectus is expected to be published on Anglo American’s website
(www.angloamerican.com) and Thungela’s website (www.thungela.com) later today.
In accordance with UK Listing Rule 9.6.1, a copy of the circular has been
submitted to the Financial Conduct Authority (FCA) and will shortly be available
for inspection via the National Storage Mechanism.

Anglo American will host a virtual investor and analyst presentation at 09:00 UK
time / 10:00 South Africa time today. Access and registration instructions are
available on Anglo American’s website (www.angloamerican.com/investors).

Thungela will host a virtual investor and analyst presentation at 08:00 UK time
/ 09:00 South Africa time on 6 May 2021. Access and registration details will be
provided nearer the time.

ENDS

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JSE
LSE
Thungela Resources Ltd
17359997.36
-0.38
Last Update: Friday, Jul 12 17:02:12
THUNGELA RES
583146.00
-1.16
Last Update: Friday, Jul 12 17:35:24
We continue to responsibly create value together for a shared future.
July Ndlovu
Chief Executive Officer
Executive Director

About Us

Thungela Resources Limited is a new name in the mining industry that is steeped
in history.

Thungela means to “ignite” in isiZulu. We might be a new company, but our roots
are deep. Our legacy and foundation in coal mining stretch back to 1945. We are
building a future-oriented leading thermal coal business with an “owner” mindset
focused on value creation for all stakeholders.

Read More

Environmental, Social & Corporate Governance (ESG)

Our ESG approach supports our purpose “to create value together for a shared
future responsibly”. A robust ESG framework underpins our licence to operate.
Establishing and committing to a comprehensive ESG framework with associated
targets, is one of Thungela’s five strategic focus areas.

Find Out More
Environmental

Being a responsible custodian of the environment is crucial to maintaining our
legal and social licence to operate, ensuring a positive legacy. 

/esg/environmental
Social

At the heart of our ESG framework lies a deep commitment to “shared value.” We
strive to uplift and enrich the lives of those we serve.

https://kss.jft.mybluehostin.me/esg/social
Governance

High standards of governance drive our business sustainability and foster trust
among our
stakeholders.

https://kss.jft.mybluehostin.me/esg/governance
Quick Links
Working At Thungela

We are dedicated to attracting the finest talent, investing in growth, and
developing our teams.

https://kss.jft.mybluehostin.me/careers
Investor Relations

Thungela Resources Limited is a pureplay producer and exporter of thermal coal,
listed on the JSE and the LSE.

https://kss.jft.mybluehostin.me/investors
Suppliers

Our suppliers need to meet all applicable laws and share our commitment to
improve lives, society, and environments.

https://kss.jft.mybluehostin.me/suppliers
Social Projects

Creating Shared Value: Our Social Commitment. At the heart of our ESG framework
lies a deep commitment to “shared value.”

https://kss.jft.mybluehostin.me/esg/social


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