Outlook

The production guidance provided on 18 February 2011 for the year ending December 2011 remains unchanged. Equivalent gold production is estimated at between 3.5 million and 3.7 million attributable ounces. Total cash cost is estimated at US$790 per ounce (R178,000 per kilogram) compared with US$760 per ounce (R175,000 per kilogram) provided in February. This is mainly due to an increase in fuel costs at the West Africa region, higher power costs at the South Africa and West Africa regions, higher wage costs than originally anticipated, an increase in the workers’ participation of profits at Cerro Corona and increased royalties at all our operations due to the higher gold price. The NCE is estimated at US$1,190 per ounce (R268,000 per kilogram) compared with US$1,050 per ounce (R240,000 per kilogram) due to the increase in costs above together with significant investment in our growth projects, such as Chucapaca, APP and the feasibility study at Greater Damang, given the rate at which these projects are progressing. These growth projects, previously expensed, have reached a point where they are now being capitalised. These estimates are based on exchange rates of R/US$7.00 and US$/A$1.03 for the year as a whole which assumes R/US$7.14 for the remaining six months of the year. The above is subject to an improved safety performance limiting the impact of safety related stoppages and the forward looking statement.