Shareholders are referred to the trading statement published on 30 January 2014 and are advised that Exxaro and its directors have obtained a reasonable degree of certainty relating to the expected financial results of Exxaro for the year ended 31 December 2013.

A decrease in consolidated net operating profit for the group is expected when compared to the R7 557 million in the corresponding period in 2012, mainly due to the non-recurring profits of R4 037 million realised during 2012 on the sale of the mineral sands and zinc operations and other assets.

The group is expected to record higher net operating profit from the coal operations, based on higher export volumes at higher average Rand selling prices as well as expected higher shortfall income at the Grootegeluk Medupi Expansion Project, partially offset by higher inflation. The group also recorded a net pre-tax impairment loss of R143 million of the carrying value of property, plant and equipment at the New Clydesdale Colliery coal operation in Mpumalanga during the year ended 31 December 2013.

The group is expected to report an increase in the operating cost of the ferrous business reported for the year ended 31 December 2013 when compared to 2012, mainly due to corporate costs and cost of the refurbishment of the demonstration furnace at Alloystream.

Contributions from equity-accounted investments are expected to be in line with 2012.

Attributable earnings (from both continuing and discontinued operations) for the year ended 31 December 2013 are expected to be between R5 595 and R6 404 million. This equates to basic attributable earnings per share of between 1 576 cents and 1 804 cents, representing a decrease of between 34% and 42% when compared with the comparative period in 2012. Again, this is mainly due to the non-recurring profit on the sale of the mineral sands operations as well as the sale of the Rosh Pinah mine and other non-core assets, collectively amounting to R4 037 million in 2012.

Basic headline earnings per share are expected to be between 1 370 cents and 1 478 cents, representing an expected range between a decrease of 2% and an increase of 6% when compared with the comparative period in 2012.

The forecast financial information on which this trading statement is based has not been reviewed, audited or reported on by Exxaro's external auditors. This statement is issued in compliance with the Listings Requirements of the JSE Limited.

Shareholders are reminded that Exxaro will release its reviewed financial results for the year ended 31 December 2013 on 6 March 2014.

Editors note:
Exxaro is one of the largest South African based diversified resources companies, with interests in the Coal, Titanium Dioxide and Iron ore commodities. www.exxaro.com

Enquiries:
Wim A de Klerk
Finance Director
Tel: +27 12 307 4848
Mobile: +27 82 652 5145
Email: wim.deklerk@exxaro.com

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