Pan African Resources Plc - Operational Update & Trading Statement

Pan African Resources PLC
(Incorporated and registered in England and Wales under Companies Act 1985 with registered number 3937466 on 25 February 2000)
Share code on AIM: PAF
Share code on JSE: PAN
ISIN: GB0004300496
("Pan African Resources" or "the Company" or "the Group")

OPERATIONAL UPDATE AND TRADING STATEMENT FOR THE SIX MONTH REPORTING PERIOD ENDED 31 DECEMBER 2017

OPERATIONAL UPDATE

Key features

• Improved safety performance from both Barberton Mines and Evander Mines.
• The Group's gold production for the six months ended 31 December 2017 ("current reporting period") reduced by 6,331oz to 85,282oz
  (2016: 91,613oz), primarily as a result of operational challenges at Barberton Mines.
• Improved overall operational and financial performance from Evander Mines.
• The Elikhulu tailings retreatment plant ("Elikhulu") project remains on track for commissioning early in the 2019 financial year, ahead of schedule and below budget.
• The reduced production from Barberton Mines was as a result of:
  • processing challenges at the Barberton Tailings Retreatment Plant ("BTRP"), which produced 6,289oz less compared to the corresponding period; and
  • underground production impacted by delays in developing into Fairview's high-grade 272 and 358 platforms, as well as 11 production days lost (equivalent to 3,000oz of gold) due to industrial action by employees and protests directed by community pressure groups.
• Conclusion of the sale of Phoenix Platinum Mining Proprietary Limited to Sylvania Platinum Limited on 7 November 2017 for R89 million.
• The group's production guidance for 2018 financial year will now be 177,000oz to 181,000oz.

Pan African Resources CEO Cobus Loots commented:

"The past 12 months have been a watershed period, during which we reassessed the sustainability of all our operations and dealt with the issues causing operational disruptions. While we still have some work to do, we are confident our operations are being positioned to deliver into our objective of mining relatively low-cost, high-margin and sustainable gold ounces. In light of the prevailing low ZAR gold price, the Group is reviewing its cost base and the strategic merits of our portfolio. We expect to deliver improved production results and cost savings in the next reporting period.

We also look forward to commissioning the Elikhulu Project below budget and ahead of schedule in the coming months. In terms of medium- to long-term gold production growth, we believe feasibility studies for the Royal Sheba Project at Barberton Mines, and Evander Mines' Egoli Project (previously called the 2010 Pay Channel), will demonstrate robust economic returns in a relatively low risk mining environment."

Operational production summary

	Period ended 31 December	Units	Underground operations		Tailings operations
			Barberton Mines	Evander Mines	BTRP	ETRP
Tonnes milled - underground	2017	(t)	124,969	174,233	-	-
	2016	(t)	123,168	161,872	-	-
Tonnes processed - tailings	2017	(t)	-	-	458,779	907,969
	2016	(t)	-	-	388,905	940,489
Tonnes processed - surface feedstock	2017	(t)	-	-	-	184,161
	2016	(t)	-	-	-	240,495
Tonnes processed - total tailings and surface feedstock	2017	(t)	-	-	458,779	1,092,130
	2016	(t)	-	-	388,905	1,180,984
Tonnes milled and processed - total	2017	(t)	124,969	174,233	458,779	1,092,130
	2016	(t)	123,168	161,872	388,905	1,180,984
Head grade - underground	2017	(g/t)	8.7	6.1	-	-
	2016	(g/t)	9.4	5.4	-	-
Head grade - total underground and surface	2017	(g/t)	8.7	6.1	-	-
	2016	(g/t)	9.4	5.4	-	-
Head grade - tailings	2017	(g/t)	-	-	1.4	0.3
	2016	(g/t)	-	-	2.2	0.3
Head grade - surface feedstock	2017	(g/t)	-	-	-	2.0
	2016	(g/t)	-	-	-	1.9
Head grade - total tailings and surface feedstock	2017	(g/t)	-	-	1.4	0.6
	2016	(g/t)	-	-	2.2	0.6
Head grade - total	2017	(g/t)	8.7	6.1	1.4	0.6
	2016	(g/t)	9.4	5.4	2.2	0.6
Recovered grade	2017	(g/t)	8.0	5.8	0.6	0.3
	2016	(g/t)	8.7	5.1	1.2	0.4
Overall recovery - underground	2017	(%)	93%	96%	-	-
	2016	(%)	93%	94%	-	-
Overall recovery - tailings	2017	(%)	-	-	41%	56%
	2016	(%)	-	-	55%	65%
Gold sold - underground	2017	(oz)	32,159	32,734	-	-
	2016	(oz)	34,471	26,477	-	-
Gold sold - tailings	2017	(oz)	-	-	8,452	3,248
	2016	(oz)	-	-	14,741	4,444
Gold sold - surface feedstock	2017	(oz)	-	-	-	8,689
	2016	(oz)	-	-	-	11,480
Gold sold - total	2017	(oz)	32,159	32,734	8,452	11,937
	2016	(oz)	34,471	26,477	14,741	15,924

	Period ended 31 December	Units	Total continuing operations
			Barberton Mines Total	Evander Mines Total	Group Total
Tonnes milled - underground	2017	(t)	124,969	174,233	299,202
	2016	(t)	123,168	161,872	285,040
Tonnes processed - tailings	2017	(t)	458,779	907,969	1,366,748
	2016	(t)	388,905	940,489	1,329,394
Tonnes processed - surface feedstock	2017	(t)	-	184,161	184,161
	2016	(t)	-	240,495	240,495
Tonnes processed - total tailings and surface feedstock	2017	(t)	458,779	1,092,130	1,550,909
	2016	(t)	388,905	1,180,984	1,569,889
Tonnes milled and processed - total	2017	(t)	583,748	1,266,363	1,850,111
	2016	(t)	512,073	1,342,856	1,854,929
Head grade - underground	2017	(g/t)	8.7	6.1	7.2
	2016	(g/t)	9.4	5.4	7.1
Head grade - total underground and surface	2017	(g/t)	8.7	6.1	7.2
	2016	(g/t)	9.4	5.4	7.1
Head grade - tailings	2017	(g/t)	1.4	0.3	0.7
	2016	(g/t)	2.2	0.3	0.9
Head grade - surface feedstock	2017	(g/t)	-	2.0	2.0
	2016	(g/t)	-	1.9	1.9
Head grade - total tailings and surface feedstock	2017	(g/t)	1.4	0.6	0.8
	2016	(g/t)	2.2	0.6	1.0
Head grade - total	2017	(g/t)	2.9	1.4	1.9
	2016	(g/t)	3.9	1.2	2.0
Recovered grade	2017	(g/t)	2.2	1.1	1.4
	2016	(g/t)	3.0	1.0	1.5
Overall recovery - underground	2017	(%)	93%	96%	94%
	2016	(%)	93%	94%	93%
Overall recovery - tailings	2017	(%)	41%	56%	49%
	2016	(%)	55%	65%	60%
Gold sold - underground	2017	(oz)	32,159	32,734	64,893
	2016	(oz)	34,471	26,477	60,948
Gold sold - tailings	2017	(oz)	8,452	3,248	11,700
	2016	(oz)	14,741	4,444	19,185
Gold sold - surface feedstock	2017	(oz)	-	8,689	8,689
	2016	(oz)	-	11,480	11,480
Gold sold - total	2017	(oz)	40,611	44,671	85,282
	2016	(oz)	49,212	42,401	91,613

Group safety

We are pleased to report an improved group safety performance across all operations, with no fatalities in the current or prior reporting periods. The reportable injury frequency rate improved significantly to 0.62 (2016: 1.61) and the lost-time injury frequency rate increased marginally to 4.05 (2016: 3.96). The Group's total recordable injury frequency rate reduced to 14.42 (2016: 14.81).

A notable achievement is the group-wide reduction in the number of Department of Mineral Resources ("DMR") safety stoppages ("Section 54 regulatory notices") during the current reporting period, evidencing the management team's focus on addressing previously highlighted risks and the constructive relationship with the DMR.

Barberton Mines

Barberton Mines' gold production reduced by 8,601oz to 40,611oz (2016: 49,212oz), predominantly due to the following, with mitigating actions addressed separately:

• BTRP gold production reduced to 8,452oz (2016: 14,741oz) due to the re-mining operation moving to the lower-grade Harper dump following depletion of the Bramber dump, and the head grade reducing from 2.2g/t to 1.4g/t. The Harper dump material has a larger coarse fraction, which resulted in processing problems and a reduction in plant recoveries to 41% (2016: 55%). A regrind mill is being installed to assist with improving recoveries from treating the Harper dump material.

• Barberton Mines' underground mining production reduced to 32,159oz (2016: 34,471oz) due to a lack of grade flexibility in the Fairview MRC orebody, which curtailed the mineable tonnes at the targeted head grade. The underground tonnes milled increased to 124,969t (2016: 123,168t), while the head grade reduced to 8.7g/t (2016: 9.4g/t).
• Gold production was adversely impacted by disruptions from pressure groups, community unrest and protected and unprotected strike action at Barberton Mines, which resulted in 11 lost production days, equivalent to approximately 3,000oz of gold. The source of the frustration from these stakeholders is driven by issues unrelated to the mine and is symptomatic of the general dissatisfaction with service delivery, inter-union conflict, and
  unemployment - issues that currently characterise the South African mining and other sectors.

A summary of the status of remedial actions taken by management at Barberton Mines is as follows:

Segment	Challenge	Remedial action	Status
BTRP	Unexpected coarse fraction material mined, resulting in reduced throughput, gold recoveries and gold production from the BTRP.	Installation of a regrind mill to assist with improving recoveries from treating the Harper dump coarse fraction material.	The regrind mill will be commissioned by April 2018.
Fairview underground mining flexibility	Limited grade flexibility within the Fairview MRC orebody, with development into new platforms delayed. Two high-grade platforms are however now available. In addition, a portion of the high-grade 101 platform was sterilised as a result of an unanticipated geological roll.	Initial production make-up strategy was to mine pillars in previously mined high-grade platforms (116 and 195 platforms). Unfortunately gold production from these platforms was less than anticipated. Development of two high-grade mining platforms in the MRC orebody to improve grade flexibility. This development is now complete.	The 358 and 272 high-grade mining platforms are available to mine in the second half of the financial year. These platforms will be available for the next two to three years, allowing sufficient time to ensure development into new mining areas is on schedule.
	Fairview mining operation is restricted by the hoisting capacity of its No 3 Decline, which is also used by employees to access workings below 42 Level and its high-grade 11-block of the MRC.	The Fairview sub-vertical shaft project will improve ore handling efficiencies and significantly reduce the time taken by employees to access high-grade mining platforms. The sub-vertical shaft project is estimated to improve production by approximately 7,000oz-10,000oz per annum.	The R105 million project is scheduled for completion over the next 24 months.
Barberton Mines	Community unrest and protected and unprotected strikes, resulting in lost production shifts.	Barberton Mines obtained court interdicts: - To halt the communities from blocking road access to the mining operations. - To halt the union's unprotected strikes - National Union of Mineworkers formally put on terms in terms of allowing unprotected and illegal strike action. - Section 189 process in terms of the Labour Relations Act has commenced at Barberton Mines. Management is resolute that in the current difficult operating environment, further disruptions to operations may lead to material loss in employment.	We continue to engage with all stakeholders to limit disruptions of this nature in the future.

Evander Mines

Evander Mines' return to profitability is encouraging and resulted from the remedial action taken to address the critical shaft infrastructure and the cost base of this operation. The 5.4% increase in gold production, and the lower cost base, were the primary contributors to improved operational performance.

Evander Mines' underground gold operations delivered an improved performance, with gold sold increasing to 32,734oz (2016: 26,477oz) due to tonnages milled from underground mining increasing by 7.6% to 174,233t (2016: 161,872t), with the head grade increasing by 13.0% to 6.1g/t (2016: 5.4g/t).

The existing 8 Shaft pump column, however, still experienced a number of water bursts, which contributed to lost production. This pump column will be reliable once the refurbishment programme is completed in April 2018. As a result of the 2017 refurbishment programme, 7 Shaft pumping and other infrastructure performed well in the current reporting period.

Development of the new high-grade "D raise" is being accelerated with the intent of it being available for mining in March 2018. This raise will contribute to increased mining flexibility and access to higher-grade areas of the 8 Shaft orebody.

Gold production at the Evander Tailings Retreatment Plant ("ETRP") reduced to 11,937oz (2016: 15,924oz). Compared to the previous reporting period, the ETRP treated more surface feedstock tonnages with additional milling capacity allocated for surface material due to the 7 Shaft infrastructure repairs during October 2016 and the resultant reduced production from underground.

GROWTH PROJECTS

Elikhulu

Capital expenditure of R671.4 million (excluding capitalised borrowing costs) has been incurred on the Elikhulu Project to date. The project remains on track for commissioning early in the 2019 financial year, which is ahead of schedule and below budget.

Although the Elikhulu Project experienced community protests during the current reporting period, the project remains ahead of plan and all capital has been contracted, which materially reduces the risk of cost overruns due to price escalations.

The re-mining contract for the project was awarded to Fraser Alexander ("Fraser"). The contract incentivises Fraser to deliver more than one-million tonnes per month.

Barberton Mines' sub-vertical shaft project at Fairview

Shareholders were previously advised that the Fairview mining operation is restricted by the hoisting capacity of its No 3 Decline, which is used to access workings below 42 Level and the high-grade 11-block of the MRC. During the period under review, Fairview started constructing a new sub-vertical shaft at a cost of approximately R105 million over a two-year period. Following the commissioning of this shaft, it is expected that productivity improvements will yield an additional 7,000oz - 10,000oz of gold per annum.

Evander Egoli Project - Results from mining feasibility study

The Egoli Project is adjacent to the No 7 Shaft infrastructure and extends from the boundary of Taung Gold International Limited's No 6 Shaft mining right.

Shareholders were informed on 20 September 2017 that the Group had initiated a mining feasibility study, conducted by DRA Global, into the viability of the Egoli Project.

The available resource of the Egoli Project orebody has increased materially and this, together with the study's findings, are summarised as follows:

	Updated resource statement Egoli Project				Previous resource statement Egoli Project
Category	Tonnes	Grade	Contained gold		Tonnes	Grade	Contained gold
	Million	g/t	Moz		Million	g/t	Moz
Measured	0.36	8.97	0.10		0.45	8.94	0.13
Indicated	2.92	9.87	0.93		0.70	7.11	0.16
Inferred	6.12	9.74	1.92		4.13	8.93	1.19
Total	9.40	9.75	2.95		5.28	8.69	1.48

Mineral resources are reported in accordance with the South African Code for the Reporting of Exploration Results, Mineral Resources and Mineral Reserves guidelines. Cut-off values are reported applying a gold price of ZAR600,000/kg (US$ 1,370/oz and ZAR:US$ 13.62:1). Mineral resources are reported inclusive of mineral reserves. All mineral resources reported exclude geological structures, regional pillars, middling pillars, safety pillars and shaft pillars. Mineral resources are reported as in-situ tonnes. Any discrepancies in totals are due to rounding. Mr HP Pretorius, of an independent Geological Consultant (Shango Solutions Pty Ltd), and registered with the South African Council of Natural Scientific Professionals (400051/11) was appointed as the Competent Person for the mineral resource report. Mr HP Pretorius has reviewed and approved the scientific and technical disclosures contained in this announcement.

The Egoli Project has more than one-million ounces of contained gold in measured and indicated categories. The mining feasibility highlights for the Egoli Project are:

• Initial de-watering of the declines is expected to commence during the 2018 calendar year.
• The mining operation will be planned to ensure waste and reef are hoisted separately.
• The life-of-mine is expected to be 14 years.
• Average recoverable gold of approximately 13,000 ounces per annum during the initial four-year development phase, and an average of approximately 65,000 ounces per annum for the remaining ten years thereafter is forecasted.
• Existing available plant and shaft capacity will be used to treat the ore mined.
• Peak funding requirement is forecast at approximately ZAR572 million.
• An internal rate of return (real, pre-taxation) of 46%, with a payback period of two years following the initial four-year development period is forecast. This projection is based on an assumed gold price of US$1,287/oz and exchange rate ZAR:US$ 12.50:1, equating to ZAR517,194/kg.
• Project pre-taxation net present value is ZAR1.74 billion (US$139.4 million) at a 10% real discount rate.
• An incremental all-in sustaining cost per kilogramme of approximately ZAR275,000/kg, or US$684/oz, on average over the life of the mine.
• An average gold recovery rate of 95% and a mine call factor of 85%.

Royal Sheba

The Royal Sheba orebody forms part of the Barberton Mine complex and was historically mined on a small scale (approximately 2,000 tonnes per month) to a depth of 340 metres below surface. Due to poor economic returns resulting from the low tonnage profile, and the prevailing low gold price at that time, it was closed during 1996.

Since its closure, a concept study was completed in 2010 with the aim of re-opening the mine as a larger, mechanised, standalone operation. The study found it was a viable proposition, but required a significant amount of capital expenditure for a new shaft system to be sunk from surface and the construction of a new gold plant.

Since the 2010 study was completed, several synergies have been identified at the Barberton Mines complex, which indicates that the Royal Sheba orebody could be a viable economic proposition with materially lower capital investment than that envisaged in the 2010 study. These synergies include:

1. Proposed new mining method

The orebody is conducive to sub-level open stoping, a massive mechanised mining method, which can be used to extract the entire orebody at lower grades but with significantly more volumes and better efficiencies. Using this mining method, production volumes of approximately 30,000-40,000 tonnes per month can be mined.

2. Underground access

A development drive is currently being developed from the Sheba mine on 23 Level (600 metres underground) towards the Royal Sheba orebody, which obviates the need for the new shaft system identified in the 2010 study. A further 800 meters of development is required to access the orebody and multi-blasting is being investigated to reduce the development period from 36 months to 18 months.

3. BTRP processing

The existing BTRP plant can be expanded to treat Royal Sheba's ore, resulting in a substantial capital saving.

These infrastructure synergies should contribute to progressing the Royal Sheba project as an attractive prospect. It presents the Group with an opportunity to increase its production in the medium term by approximately 30,000oz at a low capital cost.

To improve confidence in the Royal Sheba project, a development strategy is being pursued, which entails a drilling programme of 14 surface holes totalling 12,000m, and a feasibility study, which is expected to be completed by the end of this financial year.

Mineral resources of Royal Sheba as at 30 June 2017

Royal Sheba Resource
Category	Tonnes	g/t	kg (Au)	Oz
Measured	385,450	4.15	1,599	51,421
Indicated	1,354,240	4.35	5,891	189,398
Inferred	856,470	4.40	3,726	119,782
Total Resource	2,596,160	4.32	11,216	360,601

TRADING STATEMENT

In terms of paragraph 3.4(b) of the Listings Requirements of the JSE Limited, a listed company is required to publish a trading statement as soon as it is satisfied that a reasonable degree of certainty exists that the financial results for the period to be reported upon next, will differ by at least
20 percent from those of the previous corresponding period.

Exchange rates and gold price

Pan African Resources is incorporated in England and Wales under the Companies Act 1985 and, accordingly, its presentation currency is pounds sterling ("GBP").

The average ZAR:GBP exchange rate affects the reporting of Group results in GBP. For the current reporting period the average prevailing ZAR:GBP exchange rate is used to translate earnings per share ("EPS") and headline earnings per share ("HEPS") from ZAR to GBP.

For the reporting period of six months ended 31 December 2016 ("prior reporting period"), the average ZAR:GBP exchange rate was ZAR17.88:1. For the current reporting period, the ZAR appreciated against the GBP, with an average exchange rate of ZAR17.65:1. This 1.3% period-on-period appreciation in the average exchange rate should be taken into account for the purposes of comparing results with the prior reporting period.

The Group records its revenue from precious metals sales in ZAR and the strengthening of the value of the ZAR:US$ exchange rate during the current reporting period had a negative impact on the US$ metals revenue received. The average ZAR:US$ exchange rate was 4.3% stronger at R13.39:1 (2016: R13.99:1).

The average ZAR gold price received by the Group decreased by 2.4% to ZAR551,506/kg (2016: ZAR565,298/kg) as a result of appreciation of the ZAR:US$ exchange rate, and the US$ gold price received increased by 1.9% to US$1,281/oz (2016: US$1,257/oz). The reduced average ZAR gold price received therefore had a negative impact on the Group's gold revenues for the current reporting period, further compounded by lower gold production.

Weighted average number of shares

In the current reporting period the Group's weighted average number of shares in issue used to calculate the EPS and HEPS increased by 19.3% to 1,798.3 million shares, from 1,506.8 million shares in the prior reporting period. The 19.3% increase in the weighted average number of shares was due to issuing 291.5 million new shares during April 2017 to fund the equity component of the construction of the Elikhulu Project, the benefits of which will only accrue in the first half of the 2019 financial year. The 19.3% increase in the weighted average number of shares should be considered when comparing the EPS and HEPS period-on-period expected ranges.

EPS and HEPS

Pan African Resources advises shareholders that its EPS and HEPS for the current reporting period are expected to be between:

1) EPS in ZAR terms: 90% to 70% lower than the 16.58 cents EPS for the prior reporting period (therefore estimated EPS of 1.58 cents to 4.90 cents).

2) HEPS in ZAR terms: 88% to 68% lower than the 16.32 cents HEPS for the prior reporting period (therefore estimated HEPS of 1.88 cents to 5.14 cents).

Using the average ZAR:GBP 17.65:1 exchange rate that prevailed during the current reporting period, the Group's EPS and HEPS in GBP terms for the current reporting period are expected to be between:

1) EPS in GBP terms: 90% to 70% lower than the 0.93 pence EPS for the prior reporting period (therefore estimated EPS of 0.09 pence to 0.28 pence).

2) HEPS in GBP terms: 88% to 68% lower than the 0.91 pence HEPS for the prior reporting period (therefore estimated HEPS of 0.11 pence to 0.29 pence).

The financial information contained in this trading statement has neither been reviewed nor audited by the Company's auditors. The Group's interim unaudited results for the six months ended 31 December 2017, will be released on 13 February 2018.

For further information on Pan African Resources, please visit the Company's website at www.panafricanresources.com

1 February 2018

Contact information
Corporate Office The Firs Office Building 1st Floor, Office 101 Cnr. Cradock and Biermann Avenues Rosebank, Johannesburg South Africa Office: + 27 (0) 11 243 2900 Facsimile: + 27 (0) 11 880 1240	Registered Office Suite 31 Second Floor 107 Cheapside London EC2V 6DN United Kingdom Office: + 44 (0) 207 796 8644 Facsimile: + 44 (0) 207 796 8645
Cobus Loots Pan African Resources PLC Chief Executive Officer Office: + 27 (0) 11 243 2900	Deon Louw Pan African Resources PLC Financial Director Office: + 27 (0) 11 243 2900
Phil Dexter St James's Corporate Services Limited Company Secretary Office: + 44 (0) 207 796 8644	John Prior / Paul Gillam Numis Securities Limited Nominated Adviser and Joint Broker Office: [phone]
Sholto Simpson One Capital JSE Sponsor Office: + 27 (0) 11 550 5009	Ross Allister Peel Hunt LLP Joint Broker Office: [phone]
Julian Gwillim Aprio Strategic Communications Public & Investor Relations SA Office: [phone]	Jeffrey Couch/Neil Haycock/Thomas Rider BMO Capital Markets Limited Joint Broker Office: [phone]
Website: www.panafricanresources.com

Glossary of technical terms:

Au	Chemical symbol for gold
Cut-off Grade	The lowest grade value that is included in a resource statement
Grade	The proportion of a mineral within a rock or other material. For gold mineralisation this is usually reported as grams of gold per tonne of rock (g/t)
g/t	Grammes per tonne
Indicated Mineral Resource	That part of a mineral resource for which tonnage, densities, shape, physical characteristics, grade and mineral content can be estimated with a reasonable level of confidence. It is based on exploration, sampling and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes. The locations are too widely or inappropriately spaced to confirm geological and/or grade continuity but are spaced closely enough for continuity to be assumed
Inferred Mineral Resource	That part of a mineral resource for which tonnage, grade and mineral content can be estimated with a low level of confidence. It is inferred from geological evidence and assumed but not verified geological and/or grade continuity. It is based on information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes that may be limited, or of uncertain quality and reliability
Life of Mine	The time in which, through the employment of the available capital, the ore reserves--or such reasonable extension of the ore reserves as conservative geological analysis may justify--will be extracted.
m	metre
Mineral Resource	A concentration or occurrence of material of economic interest in or on the Earth's crust in such a form, quality, and quantity that there are reasonable and realistic prospects for eventual economic extraction. The location, quantity, grade, continuity and other geological characteristics of a Mineral Resource are known, estimated from specific geological knowledge, or interpreted from a well constrained and portrayed geological model
Measured Resource	That part of a Mineral Resource for which tonnage, densities, shape, physical characteristics, grade and mineral content can be estimated with a high level of confidence. It is based on detailed and reliable exploration, sampling and testing information gathered through appropriate techniques from locations such as outcrops, trenches, pits, workings and drill holes. The locations are spaced closely enough to confirm geological and grade continuity
Moz	Million troy ounces
Orebody	Mining term to define a solid mass of mineralised rock which can be mined profitably under current or immediately foreseeable economic conditions "ore" a mineral deposit that can be extracted and marketed profitably
Ore Reserves	The economically mineable part of a Measured or Indicated Mineral Resource demonstrated by at least a Preliminary Feasibility Study. This Study must include adequate information on mining, processing, metallurgical, economic and other relevant factors that demonstrate, at the time of reporting, that economic extraction can be justified. A Mineral Reserve includes diluting materials and allowances for losses that may occur when the material is mined
Ounce / oz	Troy ounce, equivalent to 31.103477 grams
Probable Mineral Reserve	The economically mineable part of an Indicated and, in some circumstances, a Measured Mineral Resource demonstrated by at least a Preliminary Feasibility Study. This Study must include adequate information on mining, processing, metallurgical, economic, and other relevant factors that demonstrate, at the time of reporting, that economic extraction can be justified
Proven Mineral Reserve	The economically mineable part of a Measured Mineral Resource demonstrated by at least a Preliminary Feasibility Study. This Study must include adequate information on mining, processing, metallurgical, economic, and other relevant factors that demonstrate, at the time of reporting, that economic extraction is justified
t	Tonne (1 million grams)