MINERAL RESERVES AND RESOURCES - … AISC (2016F) US$780/oz LOM 27 years. Kloof A high grade, long life operation 5 Commissioned 1968 ... Driefontein 169.1 0.3 1.819 1.805 169.1 0.3

MINERAL RESERVES

AND RESOURCES Update

Wayne Robinson

Chief Executive Officer: Gold Division

28 July 2016

Disclaimer

The information in this presentation may include forward-looking statements, which are based on current expectations andprojections about future events. These statements may include, without limitation, any statements preceded by, followed by orincluding words such as “target,” “expect,” “may,” “anticipate,” “estimate,” “will,” and other words and terms of similarmeaning or the negative thereof. These forward-looking statements, as well as those included in any other material discussedat the meeting, are subject to risks, uncertainties and assumptions, including, among other things, the development ofSibanye’s business, general economic conditions and actions of regulators. In light of these risks, uncertainties andassumptions, the events in the forward-looking statements may not occur. No representation or warranty is made that anyforward-looking statement will come to pass and no reliance should be placed on any forward-looking statement. No oneundertakes to publicly update or revise any such forward-looking statement.

In accordance with the requirements imposed by the JSE, Sibanye Gold reports its reserves using the terms and definitions ofthe SAMREC Code (2007 edition). There are differences between the SAMREC Code and the Security and ExchangeCommission’s Industry Guide 7. Mineral or ore reserves, as defined under the SAMREC Code, are divided into categories ofproved and probable reserves and are expressed in terms of tonnes to be processed at mill feed head grades, allowing forestimated mining dilution, recovery and other factors.

The lead Competent Person designated in terms of SAMREC, who take responsibility for the consolidation and reporting ofSibanye Gold’s Mineral Resources and Mineral Reserves and of the overall regulatory compliance of these figures is Mr.Gerhard Janse van Vuuren, who gave his consent for the disclosure of the 2015 Mineral Resource and Mineral ReserveStatement. Mr Janse van Vuuren [BTech (MRM), GDE (Mining Eng.), MBA and MSCoC] is registered with Plato (PMS No 243) andhas 27 years’ experience relative to the type and style of mineral deposit under consideration. He is the current Vice President:Mine Technical Services and is a full time employee of Sibanye Gold. Mr. van Vuuren consents to the inclusion of all informationin this release relating to mineral resources and mineral reserves in the form in which it appears.

The respective business unit based Mineral Resource Managers, relevant project managers and the respective MineralResource Management discipline heads have been designated as the Competent Persons in terms of SAMREC and takeresponsibility for the reporting of Mineral Resources and Mineral Reserves for their respective area(s) of responsibility. Additionalinformation regarding these personnel, as well as the teams involved with the compilation of the Mineral Resource and MineralReserve declaration is incorporated in the Mineral Resources and Mineral Reserves Supplement that was published inconjunction with the 2015 Sibanye Gold Integrated Report.

2

Location of gold operations and projects

3Focused on the Wits Basin

Driefontein

4One of the most productive gold mines ever

* at average R15.7/US$ year to date

Commissioned 1952

Production to date 108Moz

Resources 19.8Moz

Reserves 8.2Moz

Production (2016F)* 553koz

AISC (2016F) US$780/oz

LOM 27 years

Kloof

5A high grade, long life operation

Commissioned 1968

Resources 28.2Moz

Resource grade 15.4g/t

Reserves 6.5Moz

Reserve grade 7.5g/t

Production (2016F) 488koz

AISC (2016F) US$825/oz

LOM 18 years* at average R15.7/US$ year to date

Beatrix

6Gold projects provide opportunities to extend life + Uranium potential


Commissioned 1983

Resources (gold) 9.6Moz

Reserves (gold) 4.3Moz


AISC (2016F)* US$865/oz

LOM 14 years

Resources (uranium) 26.0 Mlb

Reserves (uranium) 11.7Mlb

Cooke

7Significant surface tailings resources with high uranium content


Commissioned 1961

Resources (gold) 15.9Moz

Reserves (gold) 1.5Moz


AISC (2016F)* US$890/oz

LOM 8 years

Resources (uranium) 95.4Mlb

Resources (uranium) 14.7Mlb

RESERVES AND

RESOURCESOverview

8

Sibanye Gold Division 2016 R&R declaration

• Gold Mineral Reserves increased by 9% to 31.0Moz, despite depletion

of 1.6Moz in 2015

• Depth extension projects at Driefontein 5 Shaft, Kloof 4 Shaft and

Beatrix South were included

• Maiden Gold Reserve at Burnstone and gold and uranium reserves

at the Beisa Project were included

• Continued conversion of secondary reefs and white areas at operations (1.4Moz)

– increased expenditure on exploration − R65.1m in 2015 to R77.5m in 2016

• Quality reporting

– Investment Analyst Society 'Squirrel Award' for reporting in 2013 and 2015

9Organic growth projects have increased mineral Resources and Reserves

Mineral Reserves and Resources: assumptions

10Organic growth drives Reserve increase

Item Unit 31 Dec 2015 31 Dec 2014

Reserve gold price R/kg 430,000 420,000

Resource gold price R/kg 470,000 460,000

Reserve uranium price R/kg 1,140 1,110

Current operations

Weighted pay limit cm.g/t 1,188 1,187

Average mined value cm.g/t 1,484* 1,529

Mill width cm 201 210

Stoping width cm 160 163

Mine call factor % 84 83

Plant recovery factor % 97 97

* Average mined value excludes the Beisa Project, which is a high grade U3O8, low gold grade project

• Gold price of R430,000/kg in accordance with SEC guidelines for a three-year average

• Year to date gold price R605,000

• Year to date uranium contract price R1,500/kg

• Three-year average long-term contract price R1,140/kg applied from 2020 onwards for uranium

Gold Mineral Resources and Reserves: operations

11Significant addition to operation’s reserves through organic growth projects

Resources Reserves

Gold 31 Dec 2015 total31 Dec

201431 Dec 2015 total

31 Dec 2014

Tons (Mt) Grade (g/t) Gold (Moz) Gold (Moz) Tons (Mt) Grade (g/t) Gold (Moz) Gold (Moz)

Underground

Beatrix 55.8 5.3 9.530 9.788 38.2 3.5 4.264 3.598

Cooke 95.8 5.1 15.860 16.475 9.8 4.7 1.471 1.841

Driefontein 55.0 11.1 19.691 22.755 35.5 7.1 8.102 7.228

Kloof 56.6 15.4 28.023 29.106 26.3 7.5 6.383 6.706

Total underground 263.2 8.6 73.103 78.124 109.8 5.7 20.219 19.374

Surface rock dumps (SRD)

Beatrix 5.3 0.4 0.062 0.071 5.3 0.4 0.062 0.071

Cooke 4.7 0.3 0.052 0.114 4.7 0.3 0.052 0.114

Driefontein 4.6 0.6 0.094 0.125 4.6 0.6 0.094 0.125

Kloof 9.5 0.5 0.163 0.223 9.5 0.5 0.163 0.194

Total SRD 24.1 0.5 0.372 0.533 24.1 0.5 0.372 0.504

Total operations 287.3 8.0 73.475 78.657 134.0 4.8 20.591 19.878

Gold Mineral Resources and Reserves: major projects

12Maiden Reserves declared at Burnstone and Beisa

Resources Reserves

Gold 31 Dec 2015 total31 Dec

201431 Dec 2015 total

31 Dec 2014

Tons (Mt) Grade (g/t) Gold (Moz) Gold (Moz) Tons (Mt) Grade (g/t) Gold (Moz) Gold (Moz)

Underground

Beisa North 14.8 3.4 1.619 1.619

Bloemhoek 28.3 4.7 4.297 4.297

Burnstone 54.1 5.1 8.890 8.890 13.0 4.3 1.799

De Bron Merriespruit 28.3 4.4 4.022 4.022 15.4 4.3 2.112 2.088


TSFs

Cooke surface (RSO) 280.4 0.3 2.401 2.401 280.4 0.3 2.401 2.401

Driefontein 169.1 0.3 1.819 1.805 169.1 0.3 1.819 1.805

Kloof 265.3 0.3 2.267 2.253 265.3 0.3 2.267 2.253

Total TSF 714.8 0.3 6.486 6.459 714.8 0.3 6.486 6.459

Projects 840.3 0.9 25.314 25.287 743.2 0.4 10.397 8.547

Total Sibanye Gold 1,127.6 2.7 98.790 103.944 877.1 1.1 30.988 28.425

Uranium Mineral Resources and Reserves: operations

13Significant underground and surface uranium resources

Resources Reserves

Uranium 31 Dec 2015 total31 Dec

201431 Dec 2015 total

31 Dec 2014

Tons (Mt) Grade (kg/t) U3O8 (Mlb) U3O8 (Mlb) Tons (Mt) Grade (kg/t) U3O8 (Mlb) U3O8 (Mlb)

Underground

Beatrix 11.4 1.074 26.968 26.968 7.4 0.715 11.654 -

Cooke 58.5 0.530 68.423 66.385 4.2 0.336 3.073 3.827

Driefontein

Kloof


Surface rock dumps (SRD)

Beatrix

Cooke

Driefontein

Kloof

Total SRD

Total operations

Uranium Mineral Resources and Reserves: major projects

14Significant underground and surface uranium reserves

Resources Reserves

Uranium 31 Dec 2015 total31 Dec

201431 Dec 2015 total

31 Dec 2014

Tons (Mt) Grade (kg/t) U3O8 (Mlb) U3O8 (Mlb) Tons (Mt) Grade (kg/t) U3O8 (Mlb) U3O8 (Mlb)

Underground

Beisa North 14.8 1.084 35.373 35.373

Bloemhoek

Burnstone

De Bron Merriespruit

Total underground 14.8 1.084 35.373 35.373

TSFs

RSO 280.4 0.088 54.256 54.256 280.4 0.088 54.256 54.256

Driefontein 160.9 0.064 22.686 22.326 160.9 0.064 22.686 22.326

Kloof 265.3 0.038 22.146 22.071 265.3 0.038 22.146 22.071

Total TSF 706.6 0.064 99.088 98.653 706.6 0.064 99.088 98.653

Projects 721.4 0.085 134.461 134.026 706.6 0.064 99.088 98.653

Total Sibanye Gold 791.3 0.132 229.852 227.379 718.1 0.072 113.814 102.480

Delivering a sustainable Gold Division

Forecast of gold produced based on LoM profiles

15Extending the operating life

Note: Project profile is based on pre-feasibility and feasibility studies as at December 2015

Based on Reserves declared as at 31 December 2015

Assumptions: Gold price: R430,000/kg, Uranium R1,455/lb (real 2015 terms)

0

10 000

20 000

30 000

40 000

50 000

60 000

kg

Gold Fields plan

Pre-feasibilities studies

undertaken

De Bron

Beisa

Pending capital approval

WRTRP

Projects in development

Burnstone

Below infrastructure projects

Kloof

Driefontein

Surface reserves in LoM

Kloof

Driefontein

Cooke

Beatrix

Underground reserves in LoM

Kloof

Driefontein

Cooke

Beatrix

2016 LOM REVIEWCurrent operations

and organic projects

Operations LoM profiles: square metres

17Based on current mine plan, production stable until 2023

0

20 000

40 000

60 000

80 000

100 000

120 000

140 000

Ave

rag

e m

²/m

on

th

Beatrix Cooke Driefontein Kloof

Kloof and Driefontein DE Projects start production

Operations LoM profiles: tons milled

18Surface TSF and SRD mining to be replaced by WRTRP

0

200 000

400 000

600 000

800 000

1 000 000

1 200 000

1 400 000

1 600 000

1 800 000

2 000 000

Ave

rag

e t

/mo

nth

Beatrix Cooke Driefontein Kloof Surface

Current Cooke surface and Driefontein SRD complete in 2016

Kloof SRD complete in 2019

Operations LoM profiles: forecast gold produced

19Gold production stable for five years

0

500

1 000

1 500

2 000

2 500

3 000

3 500

4 000

4 500

Ave

rag

e k

g/m

on

th

Beatrix Cooke Driefontein Kloof Surface

Operations LoM profiles: average value mined

20LoM profiles based on stable geological models and in line with current values

0

500

1 000

1 500

2 000

2 500

cm

.g/t

Group Beatrix Cooke Driefontein Kloof

Increase in average due

to Driefontein below

infrastructure forming

largest % of remaining

miningBeatrix increase in

value due to West

Section comprising

majority of tail

Operations LoM profiles: development

21Development excludes opening up and secondary development required to access white areas

0

1 000

2 000

3 000

4 000

5 000

6 000

7 000

Ave

rag

e m

/mo

nth

Beatrix Cooke Driefontein Kloof

LoM profiles: development replacement rate

22The historical replacement rate is ~20m²/month

0

10

20

30

40

50

60

70

80

90

100

2013 2014 2015 2016 2017 2018 2019 2020

m²/

m

Standard replacement ratio (with allowance for flexibility) is ~12m2/month for Cooke and between 20-30m²/month for the other operations

The ratio increases as the development grid is completed and required development declines

Development requirement

23Planning pyramids are used to scientifically calculate development required

Gold

rec.

316kg

Tons milled

40,000

Stoping m2

6,137

Ledging m2

341

Main Reef metres Secondary

88 88 0

Main

195Waste metres

195Secondary

0

Main

282Total metres

282Secondary

0

Gold required/planned (input)

All development is calculated from ratios as per standard layout. Flexibility is added to the minimum amount required

Ledging – calculated from ratio of stoping to ledgingas per standard layout

Tons and square metres are calculated from ore flow parameters (input)

Access to secondary reefs

• Development required to access secondary reef horizon is significantly less than

original development required to access the primary reef

• ORD capex is significantly lower

• As a result, pay limits for the secondary reefs will be lower than average

24Existing infrastructure reduces capital cost

Existing infrastructure Planned development

Developed ore reserves: months per mine

Developed ore reserves (DOR) are available for mining in the short term, pending

sequencing and/or equipping of individual panels

25The continued focus on cost reduction and development maintains flexibility

18

29

26

17

30

24

18

0

5

10

15

20

25

30

35

Beatrix Kloof Driefontein Cooke

Mo

nth

s o

f m

inin

g a

va

ila

ble

DOR months 2014 DOR months PresentDOR months present

Cooke

Addressing operational underperfomance

• Cooke 4 has continued to underperform operationally and losses

have accumulated

• Section 189 notification given on 11 July 2016

• Underperformance largely volume related driven by:

– complex geology and structure

– seismic activity affecting access to high grade panels

– section 54 stoppages

• Closure of Cooke 4* would:

– reduce annual production by between 1.5t to 2t

– reduce AISC costs at the Cooke Operations by R32,000/kg

– reduce Sibanye Gold Divison AISC by R7,800/kg

• Resulting in a more profitable Group

26Sibanye will not subsidise loss-making production

*Using 2015 reported numbers

QUESTIONS

Documents

MINERAL RESERVES AND RESOURCES - … AISC (2016F) US$780/oz LOM 27 years. Kloof A high grade, long life operation 5 Commissioned 1968 ... Driefontein 169.1 0.3 1.819 1.805 169.1 0.3