HOME INTEGRATED REPORT 2012 GROUP ANNUAL FINANCIAL STATEMENTS 2012

Introduction

The story of Exxaro is an unfolding one — just six years since its formation, Exxaro nonetheless draws on a pedigree and wealth of skills that stretch back decades. It is a company rooted in South Africa and respected among its peers for its innovation, ethics and integrity.

Building on an established base, Exxaro is one of the largest South African-based diversified resources groups, with interests in the coal, mineral sands, ferrous and energy commodities. The second-largest coal producer in South Africa with current production of 40 million tonnes per annum, Exxaro is listed on the JSE Limited, where it is a constituent of the Top 40 and the Socially Responsible Investment (SRI) indices respectively.

At 31 December 2012, Exxaro had assets of R41,6 billion and a market capitalisation of R60 billion (US$7 billion).

With a strong well-executed strategy, top-quartile returns, access to funds and good quality resources, Exxaro provides a unique listed investment opportunity into its chosen commodities. Exxaro was one of the top 10 globally in terms of total shareholder returns in 2012 (page 83). We are well on track to add significant value to all our stakeholders by tripling our market value from the 2010 baseline to US$20 billion by 2020.