REG-Pan African Resources Plc: Summarised Audited Results for the year ended 30 June 2025
10/09/2025 07:05
Pan African Resources PLC (Incorporated and registered in England and Wales under the Companies Act 1985 with registration number 3937466 on 25 February 2000) Share code on AIM: PAF Share code on JSE: PAN ISIN: GB0004300496 ADR ticker code: PAFRY (Pan African or the Company or the Group) Pan African Resources Funding Company Limited Incorporated in the Republic of South Africa with limited liability Registration number: 2012/021237/06 Alpha code: PARI (PAR Funding Company)
(Key features are reported in United States dollar (US$) or South African rand
(ZAR), to the extent relevant.)
summarised audited results for the year ended 30 June 2025
KEY FEATURES
Production
* Group gold production increased by 5.6% to 196,527oz (FY24: 186,039oz)
* Record FY25H2 gold production of 111,822oz, an increase of 28% from FY24H2
(87,581oz)
– Mogale Tailings Retreatment (MTR) operation ramp-up successful, producing
22,063oz in FY25H2, on track for 50Koz of low-cost ounces in FY26
* Tennant Mines in Australia achieved its inaugural gold pour in May 2025 and
forecast production over the next three years is estimated at between 46,000oz
and 50,000oz of gold per year, excluding expansion and growth projects.
ALL-IN SUSTAINING COSTS (AISC)
* AISC for FY25 of US$1,600/oz (FY24: US$1,354/oz) at an average exchange
rate of US$/ZAR:18.17, which was above guidance of between US$1,525/oz to
US$1,575/oz (at an average exchange rate of US$/ZAR:18.50), primarily as a
result of the negative impact on unit cost of production as a result of lower
production at the underground operations combined with above inflationary
increases in electricity and reagents. The realised hedge loss of US$30/oz
included in the AISCand the 1.8% effect of the appreciation in the rand
relative to the US$ also contributed to the increase. The Group is fully
unhedged as of 1 July 2025
* AISC of US$1,425/oz (FY24: US$1,170/oz) for our lower-cost operations, which
account for more than 85.0% (FY24: 84.0%) of annual production.
PRODUCTION AND COST GUIDANCE
FY26 production guidance of 275,000oz to 292,000oz, with the expected increase
in production largely attributable to the contribution from the Group’s new
MTR and Tennant Mines operations.
* Production for FY26H1 is expected to be between 130,000oz and 137,000oz,
with MTR at steady state, ramping up of production at Tennant Mines and
underground production increases at Evander Mines underground
* Production for FY26H2 is anticipated to increase as the MTR plant capacity
is expanded from 800ktpm to 1mtpm, higher grades are mined from the B line at
Evander Mines 24 Level underground and higher-grade ore from Nobles Gold’s
open pit at Tennant Mines supplements the Crown Pillar Stockpile as
run-of-mine (RoM) feed. Production is expected to be between 145,000oz and
155,000oz
* FY26 AISC guidance of between US$1,525/oz and US$1,575/oz (assuming an
exchange rate of US$/ZAR:18.50).
Safety
* Regrettably, the Group suffered two fatal accidents during the year and one
shortly after year-end. Pan African proactively reinforces safety measures on
a continuous basis to achieve our goal of a zero-harm working environment
* The Group’s surface remining operations reached a significant milestone in
safety and operational excellence by achieving zero lost time injuries and
zero reported injuries through the year.
Financial
* Revenue increased by 44.5% to US$540.0 million (FY24: US$373.8 million)
* Profit for the year increased by 78.4% to a record US$140.6 million (FY24:
US$78.8 million)
* Headline earnings increased by 46.7% to US$116.6 million (FY24: US$79.5
million)
* Earnings per share (EPS) increased by 72.9% to US 7.16 cents per share
(FY24: US 4.14 cents per share) and headline earnings per share (HEPS)
increased by 41.9% to US 5.89 cents per share (FY24: US 4.15 cents per
share)
* Net cash generated from operating activities increased by US$64.1 million to
US$154.9 million (FY24: US$90.8 million)
* Net debt increased to US$150.5 million (FY24: US$106.4 million) but
decreased significantly from US$228.5 million at 31 December 2024
* The Group expects to be fully degeared (from a net debt perspective) during
FY26 at prevailing gold prices
* Board-approved share buy-back programme to purchase up to ZAR200 million
(approximately US$11.1 million) of ordinary shares in the market.
OPERATIONAL AND NEAR-TERM GROWTH PROJECTS
Surface remining operations
* The MTR operation was commissioned, with steady-state production since
December 2024. The US$135.1 million project was delivered under budget and
ahead of schedule
– The expansion of the plant from 800ktpm to 1mtpm, at a total cost of
US$6.5 million has commenced. The addition of two carbon-in-leach (CIL) tanks
and installation of reactors to further improve recoveries, will result in an
increase in production from 50,000oz to approximately 60,000oz per annum. This
expansion project is expected to be completed during FY26
* The Soweto Cluster feasibility study is on track for completion during
September 2025, with the study focusing on the option of constructing a new
processing facility, which would be a stand-alone operation also producing
approximately 50,000oz to 60,000oz per annum
* At the Elikhulu Tailings Retreatment Plant (Elikhulu), the construction of
remining infrastructure at the Winkelhaak tailings storage facility (TSF) will
commence in FY26 and deliver process feed into the production schedule by
FY27. Production at Elikhulu is anticipated to be between 49,000oz and
51,000oz for FY26.
Tennant Mines’ operations in Australia
Tennant Mines was acquired at a total cost of US$54.2 million, settled
through the issue of Pan African shares after an initial 8% of the company
was acquired in March 2024 for US$3.4 million in cash. The acquisition cost
was less than 6% of Pan African’s market capitalisation at the time. The
acquisition was completed in November 2024 and expected payback on the
investment is less than three years at a gold price of approximately
US$2,600/oz.
* The construction of Nobles Gold Mine was completed in April 2025, ahead of
schedule and within budget. An inaugural gold pour from this operation was
achieved in May 2025. Forecast production over the initial three years of the
life-of-mine (LoM), mostly from surface stockpiles, open pits and TSFs, is
46,000oz to 50,000oz per year at an AISC of approximately US$1,500/oz.
Underground operations
Evander Mines’ 8 Shaft 24 and 25 Level underground expansion project made
significant progress in FY25.
* The subvertical hoisting shaft commissioning at Evander Mines’ 8 Shaft
underground operation was completed during January 2025, with ramp-up to its
expected hoisting capacity achieved during April 2025, enabling full
production from 24 and 25 Levels. Monthly production of ~3,850oz/month for
the last two months of FY25 confirms the operation’s ability to deliver
annual production of approximately 50,000oz going forward
– Significant capital expenditure was invested to extend the LoM to
sustainably add gold production of approximately 50,000oz to 60,000oz per
annum for another 11 years, with development of the 24 and 25 Level mining
areas being fast-tracked.
Barberton Mines
The restructuring of the underground operations was completed in May 2025,
with an approximate 20% reduction in the overall Barberton Mines workforce
* At Fairview Mine, mining operations are being conducted on the 260, 261 and
262 Platforms within the high-grade Main Reef Complex (MRC) orebody.
Optimisation of the Rossiter Reef mining methodology has led to improved
production, reducing dilution and improving ore grades
* At Consort Mine, a revised mine plan was implemented to access higher-grade
mining areas below 37 Level, which significantly enhanced operational
performance.
Environmental, social and governance (ESG) initiatives
The Group has embarked on a journey to integrate IFRS S1 and S2 and Taskforce
on Nature-related Financial Disclosures (TNFD) recommendations into its
business model and community stakeholder engagement process to contribute
towards a sustainable mining future.
* The Group continues to lead the way on environmental stewardship
initiatives:
- Pan African achieved a renewable energy mix of 8.8% (FY24:
6.6%), with the 9.975MW Evander Mines solar plant and the 8.75MW Fairview Mine
solar plant, commissioned in August 2024, saving over ZAR76 million (US$4.2
million) in electricity costs, and avoiding 35.4ktCO2e in emissions in FY25
- Feasibility studies for Evander Mines’ phase 2 20MW and
MTR’s 19MW solar renewable energy plants have been completed, with
construction of the Evander facility planned to commence during FY26
- A feasibility study is in progress for a 4MW solar
facility at Tennant Mines
- A 40MW power purchase agreement (PPA) has been concluded
with NOA Group, a renewable energy service provider, for wheeled power to the
Group’s South African operations
- Pan African is on track to achieve a 15% Group renewable
energy mix by FY27, 39% by FY30 and 50% by FY50
- Evander Mines’ 3ML/day water recycling plant produced
833,000m3 of potable water in FY25, and construction of phase 2 of the plant,
also with 3ML/day capacity, has commenced in June 2025
- At MTR, construction of a 3ML/day water treatment plant
will commence in September 2025
- Tennant Mines commissioned a 0.05ML/day water treatment
plant in April 2025
- Rehabilitation at the MTR operation’s Mogale Cluster and
Soweto Cluster sites is in progress, with concurrent rehabilitation also being
undertaken at all Group mining sites.
Proposed dividend
* Record final dividend of ZA 37.00000 cents per share (or US 2.08451 cents
per share at an indicative exchange rate of US$/ZAR:17.75), an increase of 68%
(FY24: ZA 22 cents per share) proposed for approval at the upcoming annual
general meeting (AGM).
POTENTIAL LISTING ON THE MAIN MARKET OF THE LONDON STOCK EXCHANGE (LSE)
The Group is considering moving its current listing from AIM to the Equity
Shares (Commercial Companies) segment of the Official List and to trading on
the London Stock Exchange plc’s Main Market. Longer term benefits of the
move may include an enhanced corporate profile, broader access to a wider pool
of UK and global investors.
The Company expects to make further announcements on this process in due
course.
Summary of salient features
Salient features Unit Year ended 30 June 2025 Year ended 30 June 2024 Movement % change
Gold produced oz 196,527 186,039 5.6
Gold sold oz 196,926 184,885 6.5
Revenue US$ million 540.0 373.8 44.5
Average gold price received US$/oz 2,735 2,015 35.7
ZAR/kg 1,595,761 1,212,252 31.6
Cash costs US$/oz 1,426 1,199 18.9
ZAR/kg 835,034 721,161 15.8
AISC (refer to detailed commentary) 1, 2 US$/oz 1,600 1,354 18.2
ZAR/kg 934,517 814,243 14.8
All-in costs 2 US$/oz 2,383 1,782 33.7
ZAR/kg 1,287,842 1,071,926 20.1
Adjusted EBITDA 2 US$ million 226.6 141.2 60.5
Attributable earnings – owners of the Company US$ million 141.6 79.4 78.3
Headline earnings US$ million 116.6 79.5 46.7
EPS US cents 7.16 4.14 72.9
HEPS US cents 5.89 4.15 41.9
Cash flows from operating activities US$ million 154.9 90.8 70.6
Net debt US$ million 150.5 106.4 41.4
Total sustaining capital expenditure US$ million 11.7 13.8 (15.2)
Total capital expenditure US$ million 168.0 172.4 (2.6)
Net asset value per share US cents 26.9 19.00 41.6
Weighted average number of shares in issue million 2,029.3 1,916.5 5.9
Average exchange rate US$/ZAR 18.17 18.71 (2.9)
Closing exchange rate US$/ZAR 17.75 18.19 (2.4)
1 The AISC per kilogramme and all-in cost (AIC) per kilogramme include
realised derivative mark-to-market fair value gains/losses and exclude
unrealised derivative mark-to-market fair value gains/losses relating to the
current gold mining operations. Refer to the alternative performance measures
() summary report for the reconciliation of cost of production as calculated
in accordance with IFRS® Accounting Standards (IFRS) to AISC and AIC.
2 Adjusted EBITDA comprises earnings before interest, tax, depreciation and
amortisation adjusted for impairment losses, bargain purchase gains and
unrealised fair value losses on financial derivatives.
CHIEF EXECUTIVE OFFICER’S STATEMENT
Cobus Loots, Pan African’s chief executive officer, commented:
OUR MACROECONOMIC ENVIRONMENT
I believe any chief executive officer’s report in our sector at present has
to start with some commentary on the gold price. Gold has experienced a
historic rally over the past two years, supported by factors such as central
bank buying, persistent geopolitical risk and shifting interest rate
expectations. The metal posted record US$, rand and A$ prices in the past
year.
The perceived safe-haven status of gold is likely to persist amid global
geopolitical uncertainty and a shifting world order, with seemingly continued
momentum for a reallocation towards alternatives to the US$ as the global
reserve currency, and increasing central bank gold reserves in many countries.
Tariff turmoil and market volatility have exacerbated investor uncertainty,
with inflationary fears also adding to the rationale to preserve purchasing
power via holding real assets.
Gold has sparkled on its own after an apparent decoupling from real interest
rates. The World Gold Council reports that supply is limited and that there
are very few new large discovery prospects or development projects from major
gold producers. Over the past years, we have also seen a significant increase
in the unit cost of gold mining, with AISC for the sector now trending above
US$1,500/oz. Despite the recent excellent commodity price performance, the
allocation of global capital to the sector is still fairly insignificant, and
a further compromise to the already fragile world order could result in even
more demand for both the physical metal and gold equities.
Currently, there is considerable debate as to whether the recent move in the
gold price is cyclical or structural. Regardless, Pan African and our
shareholders are well-positioned to benefit from the extremely attractive gold
price in FY26.
Political stability has deteriorated in many African countries in recent
years. Resource nationalism is surging, and gold miners are increasingly
caught in the crosshairs of this geopolitical shift. Governments are asserting
greater control over their mineral wealth—revoking permits, expropriating
assets and renegotiating contracts to secure a larger share of revenues.
Pan African’s focus in terms of operations and production growth will
therefore, in all likelihood, continue to be centred in South Africa, a
jurisdiction where our operations have an approximate 140-year track record,
and Australia, considered a Tier 1 jurisdiction globally.
In South Africa, the Government of National Unity has remained resilient
despite a number of disagreements between the major parties forming part of
this arrangement, and recent polls suggest that decades-long political
domination by a single party may be meaningfully challenged in the future. The
South African economy is very vulnerable to global developments, with
significant growth rate pressure amid continued high unemployment rates. On
the upside, the rand has been fairly stable, partly due to a weak US$, and
South African inflation is well-managed. This environment, together with
constructive labour relationships, has facilitated longer wage agreements
linked to reasonable inflationary increases for the Group. Pan African
provides employment to over 2,300 employees and 4,700 contractors at present;
we therefore make a meaningful contribution to the South African economy.
In terms of the South African electricity grid, supply has been more stable in
the past year, with improved maintenance, reduced demand and increased
renewable energy penetration all assisting in this regard. The power outage
that resulted from an Eskom (the South African electricity utility)
infrastructure failure at our Barberton Mines operation in November and
December 2024 cost us dearly in terms of production (an estimated production
loss of 2,250oz of gold), and we continue to work with Eskom to avoid a
recurrence. We will also roll out even more renewable energy projects in the
next years. These initiatives will reduce the unit cost of gold production,
mitigate against future power outages and reduce emissions.
Australia presents a highly prospective environment for further growth. We
have found the Northern Territory Government to be very supportive of our
business, and we look forward to expanding our operations in the next years.
As with the South African rand, the A$ is considered a commodity currency, and
as most costs are denominated in local currency, this provides a natural hedge
to the US$ gold price.
EXPANDING HORIZONS AND THE BUSINESS CASE FOR INVESTING IN PAN AFRICAN
According to a recent Sprott Gold Report (14 August 2025), over the past
five years, the gold price has increased by over 85%, while gold stocks,
despite an increase in profit margins, have lagged the metal by some margin,
gaining only 52% over the same period. Investor participation remains subdued,
considering the number of shares outstanding in the VanEck Gold Miners ETF
(GDX), which has declined 20% year-to-date and 33% since 2020. The GDX has
still not reached the highs seen in previous cycles.
For gold miners, the approximate industry-wide profit margin has increased
from US$647/oz in Q1 2024 to approximately US$1,700/oz in Q2 2025,
representing a 163% gain. The continued general lack of interest in precious
metals miners seems unwarranted, given this significant increase in margins.
The sector’s reputation for poor capital allocation decisions during periods
of high gold prices, operating volatility, large capital investment
requirements and a business model that, prior to the strides made in ESG
compliance and reporting, was thought to be detrimental to the environment,
may be partly to blame.
Strong fundamentals suggest that mining stocks are likely to continue to
outperform other S&P sectors, as they have over the past 12 months. The
investment case for gold bullion rests on the prudence of portfolio
diversification. Gold is under-owned and highly illiquid relative to potential
capital market flows. In the June 2025 Bank of America Global Fund Manager
Survey, it was reported that investors had allocated just 3.5% of their
portfolios to gold.
The Sprott Gold Report concludes that the case for allocating a meaningful
portion of liquid assets to unlevered positions in physical metals has never
seemed stronger. Even a slight reallocation as a percentage of global
financial assets would have a disproportionate percentage impact on the gold
price. While bullion may provide a safe haven, miners could provide additional
leverage to events for which the markets are improperly positioned.
We believe that investing in the right gold equity, such as Pan African, has
several advantages over a direct gold holding, with some key points as
follows:
* Ability to significantly grow production: In the past year, Pan African
commissioned two new projects, expanding our production by 28% to 111,822oz in
the FY25H2. We are guiding to gold production of 275,000oz to 292,000oz for
FY26, an increase of 40% to 49%
* Track record of delivery: In the past year, the Company extended its track
record of delivering new mining projects on time and within budget:
– The MTR operation was successfully commissioned in early October 2024
with an inaugural gold pour at the plant’s smelting facility. Ramp-up to
steady-state production and plant throughput of 800ktpm was achieved by
December 2024. This US$135.1 million project was delivered under budget and
ahead of schedule, with construction completed in only 14 months
– Construction work at Tennant Mines’ Nobles Gold operation, at a cost of
US$36 million, was completed in a record 12 months, with successful hot
commissioning during April 2025. An inaugural gold pour from this operation
was achieved in May 2025. Production ramp-up was slower than expected as a
result of a delay in the commissioning of the filter presses associated with
the dry stack landforms (tailings section) of the plant. Steady-state
throughput at an annualised rate of approximately 840,000t is expected to be
achieved during FY26Q1.
* Disciplined capital spend to maintain and increase production going forward.
In the past year, Pan African spent US$156.3 million in growth capital and
US$11.7 million in sustaining capital. In FY26, total capital spend is
forecast to reduce to US$146.7 million
* A robust statement of financial position with access to immediately
available cash and undrawn debt facilities of US$99.7 million at year-end. The
Group is forecast to be fully degeared (from a net debt perspective) by June
2026 at prevailing gold prices
* Dividends: The Company has a track record of providing its shareholders with
attractive annual cash returns in the form of sector-leading dividends.
A record dividend of ZA 37 cents per share (US 2.08451 cents per share at
an exchange rate of US$/ZAR:17.75) is proposed for FY25 (subject to
shareholder approval), an increase of 68% from the prior year
* Well-diversified portfolio: For FY26, approximately 58% of the Group’s
gold production will be mined from low-cost, high-margin surface sources
compared to 52% in FY25 and 41% in FY24, prior to the commissioning of the MTR
and Tennant Mines operations
* The Company has an agile and flat management structure and unrelenting cost
control, underpinned by disciplined capital allocation. Pan African was the
first South African gold producer to commission solar renewable energy
projects at its operations, with a further pipeline of solar energy and water
recycling projects scheduled to come on stream in the next financial year. We
operate in two jurisdictions (South Africa and Australia) with long and
distinguished histories of gold mining
* Pan African’s robust internal project pipeline bodes well for sustained
increased shareholder returns in the longer term.
– In addition to a notable immediate increase in Pan African’s
production capacity, our investment in Tennant Mines also provides for
exciting growth in a Tier 1 mining jurisdiction, with some 1,700km2 of
prospective exploration ground. Our newly established processing plant at
Tennant Mines is the only such facility in the region
– We have also now demonstrated our ability to commission large-scale
projects outside of South Africa
– Pan African has a total resource base of 42.87Moz and a reserve base of
12.98Moz, very significant for a mid-tier producer.
Our recent performance has contributed to Pan African’s exceptional return
on invested capital of 48.7%, compared with the average of 31.3% for mid-tier
producers. AISC guidance for FY26 is between US$1,525/oz and US$1,575/oz
(FY25: US$1,600/oz), which is below the average AISC for global gold
producers.
ILLEGAL MINING AND LEGISLATION
Pan African is concerned about the increase in illegal mining in South Africa
and specifically in Barberton, where arrests of perpetrators have soared in
the past year. Many thousands of people are currently estimated to be involved
in illegal mining. They typically enter abandoned shafts illegally, travelling
many kilometres underground, where they may live for extended periods at a
time, risking their lives and posing serious state, community, environmental
and industrial security threats, and costing the South African economy an
estimated ZAR60 billion in 2024, according to the Department of Mineral and
Petroleum Resources (DMPR). We believe a concerted effort and approach are
needed to contain this situation. We further advocate for harsher sentences to
be passed to perpetrators. The deterioration of local government has led to a
scenario where the Company now sustains (in certain respects) the areas around
its mines. Pan African has an excellent security team and I would like to
specifically commend them for their continued efforts in safeguarding our
people and assets.
Earlier this year, the DMPR released proposed amendments to the Mineral and
Petroleum Resources Development Act, 28 of 2002, for public comment. In our
view, certain of the proposed changes would not be conducive to improved
investor confidence and increased investment and employment in the sector, and
we have submitted detailed comments in this regard.
Some of Pan African’s assets have a 140-year track record of operating
successfully and generating returns for shareholders.
SAFETY FIRST
We continue to work towards our goal of zero harm. We are therefore saddened
by the loss of two colleagues during the year and another employee shortly
after year-end in underground mining accidents. Our thoughts and prayers are
with the families and friends of the deceased.
The Group’s emphasis on safety consciousness and ongoing initiatives to
enhance its safety performance generally contributed to improvements in its
already industry-leading safety statistics across all operations, with key
features as follows:
* The lost time injury frequency rate (LTIFR) improved to 1.58 (FY24: 1.82)
per million man hours
* The reportable injury frequency rate regressed marginally to 0.85 (FY24:
0.78) per million man hours
* The total recordable injury frequency rate (TRIFR) remains stable at to 6.56
(FY24: 6.52) per million man hours, with the regression mostly due to reduced
shifts at Barberton Mines, following the underground restructuring.
Surface operations
In FY25, the Group’s surface remining operations (Barberton Tailings
Retreatment Plant (BTRP), Elikhulu and MTR) reached a significant milestone in
safety and operational excellence by achieving zero lost time injuries and
zero reportable injuries throughout the year. This remarkable result
underscores our unwavering dedication to fostering a safety-first culture,
implementing proactive risk management and ensuring strict adherence to safety
protocols at every level of the organisation.
We also wish to congratulate the MTR construction team, which managed a total
of 1.8 million fatality-free hours worked during project construction by the
approximately 1,600 employees and contractors on-site, with no reportable
injuries and only one lost time injury.
Zero lost time injuries were experienced during the construction and
commissioning of Tennant Mines’ plant.
Underground operations
Despite a safety performance that was better than most of our industry, our
underground operations experienced certain serious injuries and also the
tragic fatal accidents detailed earlier in this review. We therefore recognise
the need to continue to work with all of our stakeholders, including labour
unions, employees and contractors, to ensure all our people return home safely
every day.
Our ongoing initiatives at Evander Mines include the following:
* We commissioned an external audit, which evaluated our compliance with South
African health, safety,
and environmental legislation, identified statutory non-conformities and
assessed legal risks
* During July 2025, we stopped underground operations at Evander Mines for a
day, with retraining and all staff individually committing to safe work
practices
* Our ongoing safety intervention plan includes Visible Felt Leadership (VFL)
initiatives, planned audits, scheduled inspections, and odd shifts by
supervisors. We are also again conducting a cultural survey across all
employees to help shape the roadmap for our long-term strategic safety plan
* As part of continuous improvement, we have implemented a software program to
assist with measuring and compliance with all standards and operating
procedures. Ongoing training on the system is being delivered to upskill all
employees, further reinforcing our safety culture.
At Barberton Mines:
* We introduced a campaign to improve housekeeping and reduce ‘slip and
fall’ injuries
* We commissioned an underground training centre at Fairview 20 Level, which,
among other features, has mock-stations to supplement learner comprehension.
All mining and engineering crews will be provided with refresher training at
this facility
* The operation has also implemented the compliance software and is focusing
on VFL campaigns and enhanced training of supervisors.
Pan African remains steadfast in its resolve to achieve a zero-harm working
environment.
FINANCIAL RESULTS
Pan African has delivered a strong financial performance in FY25:
* Revenue increased by 44.5%, supported by a 35.7% increase in the average US$
gold price received and a 6.5% increase in gold sales to 196,926oz
(FY24: 184,885oz). The opportunity cost for FY25 of the synthetic forward
sale of US$26.2 million, utilised to part-fund the cost of construction for
the MTR plant, negatively impacted revenue
* AISC has increased to US$1,600/oz (FY24: US$1,354/oz), resulting in an AISC
margin of 70.9% (FY24: 32.8%) earned on the average FY25 gold price of
US$2,735/oz (FY24: US$2,015/oz). The increase in AISC is primarily as a
result of the negative impact on unit cost of production as a result of lower
production at the underground operations combined with above inflationary
increases in electricity and reagents. The realised hedge losses of US$30/oz
and the effect of the strengthening US$/ZAR exchange rate compared to the
prior year also contributed to the increase
* The Group is unhedged from 1 July 2025, following the expiry of the last
zero-cost collar at the end of June 2025, and the synthetic forward that
matured at the end of February 2025, allowing the Group to fully benefit from
prevailing gold prices and increased production
* Adjusted earnings before interest, income tax expense, depreciation and
amortisation (adjusted EBITDA) increased by 60.5% to US$226.6 million (FY24:
US$141.2 million), primarily as a result of the increase in revenue
* EPS increased by 72.9% to US 7.16 cents per share (FY24: US 4.14 cents per
share) and HEPS increased by 41.9% to US 5.89 cents per share
(FY24: US 4.15 cents per share)
* The statement of financial position is robust and the Group is in a strong
financial position at year-end
* Net debt increased to US$150.5 million (FY24: US$106.4 million) but reduced
significantly from the position at the end of December 2024
(US$228.5 million) which followed the construction of the MTR operation and
the consolidation of debt as a result of the Tennant Mines acquisition. The
Group expects to see a continuation in this trend and is anticipated to be
fully degeared (in terms of net debt) by June 2026 at prevailing gold prices
* A sector-leading dividend of US$27.5 million was paid to shareholders in
December 2024, with the proposed dividend to be approved at the upcoming AGM
increased by 77.1% to US$48.7 million.
These exceptional results are attributable to the favourable gold price,
competitive unit costs and Pan African’s culture of strict capital
allocation discipline and circumspect investment decisions.
OPERATIONAL PERFORMANCE, OPTIMISATION INITIATIVES AND GROWTH PROJECTS
The Group produced 196,527oz of gold in FY25 (FY24: 186,039oz), an increase
of 5.6%, but marginally below guidance of 205,000oz to 215,000oz as a
result of:
* The previously flagged slower-than-expected ramp-up of Evander Mines’
underground subvertical shaft project, which is now fully commissioned and
operational
* Multiple Eskom transformer failures at Barberton Mines, which have
subsequently been resolved.
The gold production split per operation is as follows:
Operation FY25 Oz FY24 oz
Fairview Mine 40,804 44,325
Sheba and Consort Mines 27,745 27,145
BTRP 15,224 18,888
Elikhulu 52,606 54,812
MTR 30,806 –
Evander Mines 27,829 40,869
Tennant Mines 1,513 –
Total ounces produced 196,527 186,039
Barberton Mines
These high-grade underground mines (Fairview, Sheba and Consort) are
established operations with a capacity to produce approximately 80,000oz of
gold per year, boasting an excellent long-term safety record. Mining commenced
in Barberton in the 1880s, and Barberton Mines is one of the oldest operating
mining complexes in the world.
Barberton Mines has experienced significant AISC increases in recent years,
and management constantly considers improvement opportunities. Workforce
productivity has been a challenge in recent years, and a restructuring of the
underground operations was completed in May 2025, with an approximate 20%
reduction in the overall Barberton Mines workforce.
As detailed earlier in this report, in November and December 2024, multiple
Eskom transformer failures at Barberton Mines impacted underground production
by approximately 2,250oz.
At Fairview Mine, the bulk of mining operations are being conducted within the
high-grade MRC orebody. Optimisation of the Rossiter Reef mining methodology,
has enabled Rossiter ore to sunt production from the MRC orebody. Exploration
remains focused on the down-dip extensions of existing orebodies, specifically
the MRC and Rossiter orebodies.
* Fairview Mine produced 40,804oz (FY24: 44,325oz), a decrease of 7.9%, with
the production decrease primarily attributable to the Eskom transformer
failure. Initiatives to improve production in the year ahead include:
– electricity backup systems are now in place to partly mitigate challenges
with Eskom electricity supply
– completion of the 3 Shaft winder upgrade
– improved mining flexibility with multiple platforms on MRC
(mining operations are active on the high-grade 260 to 262 Platforms, which
supplied the bulk of the high-grade (over 20g/t) tonnes to the plant) and
Rossiter (optimisation of the mining methodology has improved production and
reduced dilution for improved grades of over 30g/t) orebodies
* Sheba Mine production decreased by 10% to 19,137oz (FY24: 21,255oz), with
production impacted by the Eskom infrastructure failure as well as the
workforce restructuring. We expect an improved production performance in the
year ahead
* Consort Mine produced 8,607oz (FY24: 5,890oz), an increase of 46%, with this
operation now positively contributing to cash flows as a result of:
– completion of the Prince Consort (PC) Shaft rehabilitation work, enabling
a return to higher-grade areas
– crews commenced mining within the Main Muiden Reef (MMR) Shaft 17 Level
and PC Shaft 33 Level, and deeper raise development and equipping within the
MMR section remain on track to increase RoM tonnage.
The BTRP produced 15,224oz (FY24: 18,888oz) at an AISC of US$971/oz (FY24:
US$669/oz), the lowest cost of production in the Group. It achieved a reduced
overall recovery rate of 42.1% (FY24: 52.8%), with a recovered grade of 0.7g/t
(FY24: 0.71g/t) from 725,535Mt of tailings material (FY24: 828,392Mt)
processed.
The remaining LoM of the BTRP has now been increased to six years from the
current surface sources, which will include reprocessing of the Bramber
dormant TSF.
Elikhulu
This flagship tailings retreatment operation, commissioned in 2018, remains
one of the lowest-cost gold mining operations in Southern Africa and is a
testament to Pan African’s ability to conceptualise, plan and construct
substantial growth projects ahead of schedule and within budget.
Elikhulu achieved production of 52,606oz for FY25 (FY24: 54,812oz) at an AISC
of US$1,077/oz (FY24: US$1,034/oz), in line with expectations.
Drilling of additional sonic holes and the construction of remining
infrastructure at the Winkelhaak TSF will commence in FY26, and with feed
processing from FY27. The ability to source feed from both Winkelhaak and
Leslie/Bracken concurrently will further increase flexibility at this
operation.
Elikhulu has a remaining LoM of nine years.
Evander Mines
The subvertical hoisting shaft commissioning at Evander Mines’ 8 Shaft
underground operation was completed during January 2025, with ramp-up to its
designed hoisting capacity achieved during April 2025, enabling full
production from 24 and 25 Levels and producing 27,829oz for FY25 (FY24:
40,869oz), inclusive of surface sources.
Development of the 24 and 25 Level mining areas has been accelerated, with:
* Ramped-up mining operations in the high-grade D line and F line on 24 Level
* Holing of the 24 Level B raise line enabling ledging to commence, followed
by stoping in the high-grade portion of the Kimberley Reef payshoot
– This high-grade portion extends further to the east and development in
the A line has already commenced with ledging planned towards the end of FY26
* Access to the 25 Level was achieved through an on-reef decline layout from
24 Level footwall infrastructure
– Development of the underground workshop on 24 Level has started and
mechanised development towards 25 Level will commence soon
– Mining below 24 Level is planned as a hybrid mining method with
conventional stoping and mechanised on-reef development
* First reef intersections from the 24 Level long-inclined borehole drilling
on the 25 Level reef horizon were achieved during January 2025 and exceeded
the expected grades. The following results were reported:
– 3,725cmg/t over 76.3cm (or 49g/t)
– 1,096cmg/t over 17.2cm (or 63.70g/t).
Significant capital expenditure is being invested to extend the LoM to
sustainably add gold production of approximately 65,000oz per annum for
another 11 years, and we expect a much-improved performance from the operation
in the year ahead.
The Egoli project at Evander Mines’ 7 Shaft is a stand-alone underground
operation which will utilise existing mining and metallurgical infrastructure,
including 7 Shaft’s hoisting systems and processing facilities at Kinross’
metallurgical plant.
MTR operation
The MTR operation reached steady-state production during December 2024, with
production of 30,806oz for FY25 at an AISC of US$1,282/oz.
Pan African acquired the Mogale Gold and Mintails SA Soweto Cluster TSFs in
October 2022 for ZAR50 million (US$2.8 million). It successfully commissioned
the operation in October 2024, ahead of schedule and US$8 million below
budget, with payback expected approximately two years post commissioning at
current gold prices.
The expansion of the plant from 800ktpm to 1mtpm, through the addition of two
CIL tanks together with the installation of reactors to further improve
recoveries, at a total expansion cost of US$6.5 million, is in progress. This
will result in an increase in production from 50,000oz to approximately
60,000oz per annum, with the expansion project to be completed during FY26.
The MTR operation has successfully concluded a three-year wage agreement with
its employees at an average wage increase of 5% per annum over the three
years, providing stability to the operation.
The Soweto Cluster feasibility study is on track for completion by September
2025, with the study focusing on the option of constructing a new processing
facility, which would be a stand-alone operation, also producing approximately
50,000oz to 60,000oz per annum for a period of 10 years from current Mineral
Reserves.
Pan African has transparent engagement with all local stakeholders. We believe
the more than 20-year operational life of the operation (MTR and the Soweto
Cluster combined) will continue to revive the local economy, create jobs,
contribute to community sustainability and improve security. Concurrent
rehabilitation improves air and water quality and reduces illegal mining, with
our activities on-site already making a meaningful positive difference to all
stakeholders.
Tennant Mines
This acquisition complements Pan African’s portfolio of high-margin,
long-life surface remining operations, being a near-term, low-cost and
low-risk production growth mine in a Tier 1 mining jurisdiction (Australia’s
Northern Territory). There is potential to expand the LoM beyond 15 years
through a two-stage gold and copper strategy.
The Company controls 1,700km2 through 100%-owned assets and joint venture
agreements with Australian Securities Exchange-listed Emmerson Resources
Limited, intending to utilise a hub-and-spoke growth strategy to process
multiple deposits and already had an experienced in-country management team in
place.
The construction of the Nobles Gold Mine was completed in April 2025, ahead of
schedule and within budget. An inaugural gold pour from this operation was
achieved in May 2025. Forecast production over the initial three years of the
LoM, mostly from surface stockpile, open pits and TSFs, is 46,000oz to
50,000oz per year of an AISC of approximately US$1,500/oz. There is limited
perceived project execution risk. It is the largest facility to have ever been
constructed in the region, which is Australia’s historically highest-grade
gold province. The initial development capital was fully funded through
Australian debt facilities. The US$32 million construction debt should be
repaid within 12 months of commencement of production at current gold prices.
More than 60, mostly local, workers were employed during construction, with 70
employees and 69 contractors currently on-site.
A further possibly exciting development in our portfolio is the White Devil
project. The recent scoping study, commissioned by joint venture partner
Emmerson Resources, delivered encouraging results, confirming a revised
Mineral Resource of 4.6Mt at 4.2g/t gold, or 611,000oz, with 87% of that in
the Indicated category. The White Devil project is subject to a joint venture
agreements with Emmerson Resources, as disclosed in earlier announcements.
The Warrego gold and copper project is another advanced project in our
Australian portfolio, where a prefeasibility study has recently been completed
on the processing plant infrastructure. The project targets approximately
100,000oz of gold per year and 10,000t to 15,000t of copper per year over more
than 10 years. The project cost is estimated at between US$40 million and
US$45 million and could be funded from cash flow (subject to commodity prices)
and debt finance. Regional gold and copper deposits owned by third-party
companies could supply additional feed sources. A feasibility study is
currently in progress.
Gold exploration programme in Sudan
No Mineral Resources or Mineral Reserves are currently reported for any of the
targets identified.
The Group continues to monitor and evaluate the in-country situation, with all
assets placed on care and maintenance and impaired by US$3.0 million to the
realisable value.
SUCCESSFULLY DEALING WITH COST PRESSURES
The Group’s AISC per ounce has increased by 18.2% to US$1,600/oz (FY24:
US$1,354/oz), above the guidance for FY25 of between US$1,525/oz and
US$1,575/oz and impacted by once-off items:
* Realised losses on zero-cost collar hedges of approximately US$30/oz
* Impact of a strengthened US$/ZAR exchange rate of US$/ZAR:18.17 compared to
guidance of US$/ZAR:18.50
* Slower ramp-up of Evander Mines’ underground production, which increased
unit costs
* Multiple Eskom transformer failures at Barberton Mines, increasing unit
costs.
An AISC of US$1,425/oz (FY24: US$1,170/oz) was achieved at our lower-cost
operations, which account for more than 85.0% (FY24: 84.0%) of annual
production. These low-cost operations exclude only Sheba Mine and Consort
Mine.
Our efforts to contain cost increases continue, and these initiatives include:
* a focus on low-cost, high-margin surface retreatment operations
* initiatives to increase gold production from underground operations,
reducing unit costs of production
* reinforcing a culture of safety and cost consciousness
* savings amounting to US$4.2 million (FY24: US$2.2 million) arising from
our extensive use of renewable energy generated by Evander Mines’ solar
plant, which will further increase once annual savings from the recently
constructed Fairview solar facility are included
* Barberton Mines concluded a five-year wage agreement to 1 June 2029 for
increases of about 5.3% a year with the National Union of Mineworkers,
representing the majority of employees at Barberton Mines.
Our AISC guidance for FY26 is between US$1,525/oz and US$1,575/oz (assuming an
exchange rate of US$/ZAR:18.50). We continue to monitor our progress very
closely as this is critical in a mining industry experiencing cost increases
above inflation. For Pan African, inflationary pressures will be offset by
the low cost of production at our surface retreatment operations (BTRP,
Elikhulu, MTR and Tennant Mines), which now account for approximately 60% of
Group production. Increased cost savings from the extensive use of renewable
energy from the solar plants at Evander Mines and Fairview Mine will further
positively impact the cost of production.
GROUP CAPITAL EXPENDITURE BUDGET
The Group continues to invest in its assets and growth projects to ensure
sustainability and generate attractive shareholder returns and value for our
stakeholders. The actual capital expenditure for FY25 and budget for FY26 are:
Operation Sustaining US$ million Actual FY25 Expansion US$ million Actual FY25 Sustaining US$ million 1 Budget FY26 Expansion US$ million 1 Budget FY26
Barberton Mines 8.6 19.1 14.9 15.9
Elikhulu 2.0 5.0 1.6 19.6
Evander Mines – 40.9 – 44.8
MTR operation 0.3 51.9 2.5 15.8
Tennant Mines – 35.8 – 31.0
Corporate and other 0.8 3.5 0.4 0.2
Total 11.7 156.3 19.4 127.3
1 Budgeted capital converted to US$ at an exchange rate of US$/ZAR:18.50.
Major components of capital expenditure include:
* Evander Mines’ underground development, ventilation upgrades and equipping
of 25 Level, 7 Shaft electrical and winder upgrades, shaft steel work and new
battery locomotives
* Plant expansion at the MTR operation to include reactors and increase
throughput to 1mtpm
* The Winkelhaak TSF pump station at Elikhulu
* Tennant Mines’ final plant construction costs and development of the
Nobles pit and satellite orebodies.
MINERAL RESOURCES AND MINERAL RESERVES
Pan African has one of the industry’s best track records for grade
consistency.
The Group’s estimated gold Mineral Resources of 42.87Moz and Mineral
Reserves of 12.98Moz at 30 June 2025, in compliance with Table 1 of the SAMREC
Code, are summarised as follows:
Gold Mineral Resources Gold Mineral Reserves
Operation Tonnes Mt Grade g/t Gold t Gold Moz Tonnes Mt Grade g/t Gold t Gold Moz
Barberton Mines 37.06 3.09 114.44 3.68 11.84 3.49 41.28 1.33
Elikhulu 142.34 0.26 37.49 1.21 117.52 0.26 30.39 0.98
Evander Mines 119.59 8.79 1,051.35 33.80 31.11 8.27 257.20 8.27
MTR operation 250.34 0.30 74.79 2.40 223.59 0.28 67.79 2.02
Tennant Mines 27.54 2.01 55.32 1.78 3.86 3.11 12.01 0.39
Total – FY25 576.87 2.31 1,333.38 42.87 387.93 1.04 403.67 12.98
Total – FY24 572.82 2.24 1,280.87 41.18 398.78 0.91 393.21 12.64
Mineral Reserve increases were recorded for Barberton Mines and Tennant Mines.
Marginal decreases, mainly due to mining depletion, were recorded at Elikhulu,
Evander Mines and the MTR operation.
Pan African’s long-life assets and organic growth potential are underpinned
as follows:
* Barberton Mines’ Fairview Mine, with a remaining LoM of 23 years
* Consort Mine and the BTRP, with remaining mine lives of 12 and six years,
respectively. Further studies have commenced on the Sheba dormant TSF for
inclusion into the LoM of BTRP. This source could extend the BTRP’s life by
a further 18 months
* Elikhulu, the Group’s flagship tailings retreatment operation in Evander,
has a remaining LoM of nine years
* Evander Mines’ 8 Shaft operation has a remaining LoM of 11 years (8 Shaft
pillar and 24, 25 and 26 Levels), excluding the Egoli project, which has a
nine-year LoM
* The MTR operation’s TSF resources have a modelled 20-year LoM, which
includes both the Mogale and Soweto Clusters
* Tennant Mines’ Nobles Gold operation has an initial eight-year LoM.
The Group also has estimated copper Mineral Resources of 16.50Mt at 1.33%
copper for a total of 219,159t copper at 30 June 2025.
The Group has secure mining rights:
* Barberton Mines’ mining rights are valid to 2051
* Evander Mines’ mining right is valid to 2038
* MTR’s mining rights are valid to 2029
* Tennant Mines’ Nobles Gold Mine management plan is valid to 2033.
Hendrik Pretorius is Pan African’s competent person and signs off on the
estimated Mineral Resources and Mineral Reserves report for the Group. Hendrik
has reviewed and approved the information contained in this report as it
pertains to Mineral Resources and Mineral Reserves.
Pan African’s full Mineral Resources and Mineral Reserves report is
available on our website at
https://www.panafricanresources.com/operations-at-a-glance-2/mineral-resource-mineral-reserve-2/
ENVIRONMENTAL, SOCIAL AND CORPORATE GOVERNANCE
Pan African has continued to embed sustainability into its core operations,
guided by a robust ESG framework and governance structure. The Group’s
growth strategy of low-risk gold mining through tailings management, by its
nature, drives our social licence to operate and environmental sustainability
and is boosted by our ‘beyond compliance’ approach.
The Group has invested in development projects and initiatives that have
impacted our business’ sustainability and community stakeholders in a
positive manner. These initiatives include energy management and climate
change, water management, biodiversity and conservation, education and health
infrastructure, skills development, youth and women employment and health and
wellness programmes.
Our sustainable development report, containing details of our ESG initiatives
and compliance, is available on our website at
https://www.panafricanresources.com/investors/gri-and-sustainability/
Environment
Renewable energy and reduction of emissions
Pan African’s renewable energy strategy is critical in achieving our
sustainability targets and measurably reducing the Group’s carbon emissions
in the long term, while stabilising the electricity supply to our operations
and realising cost savings that will continually assist in lowering our real
overall AISC.
The Group achieved a renewable electricity mix of 8.8% (FY24: 6.6%), compared
to the 12% sustainability-linked bond benchmark. This mix is lower than the
benchmark due to the delay in securing approvals from state and regulatory
bodies for Barberton Mines’ solar facility.
Fairview Mine’s 8.75MW solar plant was commissioned in August 2024 and we
continued operations at Evander Mines’ 9.975MW phase 1 solar plant. These
investments have returned significant sustainability and financial benefits by
providing 30.0GWh (FY24: 24.6GWh) of renewable energy for FY25, generating
approximately 25% of Elikhulu’s energy requirements and an estimated saving
of US$4.2 million (FY24: US$2.2 million) in annual electricity costs at
current tariffs.
Feasibility studies for Evander Mines’ phase 2 and MTR’s solar projects
were completed. Evander Mines’ phase 2 solar plant received board approval
and construction is planned for FY26. MTR is awaiting final board approval. In
addition, a 5MW solar feasibility study at Tennant Mines is being concluded
and, most recently, the Group has negotiated a 40MW PPA with NOA Group, a
renewable energy service provider.
As part of our commitment to increasing the percentage of renewable energy in
our overall energy mix, we are committed to achieving a 15% renewable energy
mix by FY27, in compliance with our sustainability-linked bond finance
framework. However, our ambitious target is 39% by FY30 and 50% by FY50,
conditional on a material expansion of our renewable energy initiatives in
pursuit of our longer-term decarbonisation strategy.
The Group is also actively investigating opportunities to secure further
renewable energy PPAs from wind energy, hydropower and battery storage
solution providers to reduce our power dependency on Eskom and its increasing
tariff regime.
Water management
Evander Mines’ 3ML/day water treatment plant, commissioned in March 2023,
performed as expected, with more than 833,000m³ of potable water produced in
FY25, resulting in significant cost savings and a reduction in water
withdrawals from municipal sources, thereby reducing our environmental
footprint.
Evander Mines’ phase 2 expansion to 6ML and the MTR 6.3ML/day projects were
approved by the board to meet growing demand and enhance water security.
Evander Mines’ phase 2 construction commenced in June 2025 and MTR will
commence in September 2025.
In April 2025, Tennant Mines commissioned a 0.05ML/day water treatment plant.
The Group expects reduced municipal water use, with cost savings of more than
US$1.1 million per year.
Biodiversity and land rehabilitation
Pan African contributes to programmes aimed at promoting biodiversity and
conservation. It strongly supports the coexistence of mining and conservation.
MTR met the 16% land rehabilitation target (204ha) set through our
sustainability-linked finance requirement in FY25.
Biodiversity partnerships with local non-governmental organisations (NGOs) and
authorities supported our conservation efforts. It is critical to ensure the
successful coexistence of the mines within the protected areas in and
surrounding our mining rights.
Annual environmental compliance audits showed compliance across operations,
with action plans in place to address minor non-conformances.
Pan African operates multiple, concurrent rehabilitation programmes, and we
are working to conform to the latest international TSF standards, as required
by the Global Industry Standard on Tailings Management (GISTM) requirements.
Our ongoing rehabilitation of land during FY25 extended to an additional 97ha
of land previously disturbed by mining at Barberton Mines (FY24: 85ha). The
rehabilitation liabilities related to Barberton Mines and Evander Mines of
US$11.3 million (FY24: US$9.5 million) are fully funded.
Besides extracting gold at attractive margins, tailings reprocessing assists
in rehabilitating mining sites to reduce water and air pollution. Pan African
plans to address the legacy of environmental pollution at the MTR operation
by concurrently rehabilitating the mining area and returning the land to a
state where it can be used for agriculture, solar power farms or housing
projects.
The MTR operation’s closure rehabilitation liabilities of US$11.0 million
(FY24: US$10.2 million) will be funded over the operation’s life.
Pan African produced its inaugural TNFD report for FY25.
Our climate change report, providing our stakeholders with visibility of our
approach to managing climate-related risks and opportunities, and our TNFD
report, which outlines our management of biodiversity-related risks and
opportunities, are available on our website at
https://www.panafricanresources.com/investors/gri-and-sustainability/
Social
Stakeholder engagement
Pan African has established formal stakeholder engagement forums at all
operations, which are aimed at establishing initiatives that provide
meaningful community benefits and reduce reliance on mining. The clear and
transparent communication and action have also reduced operational
disruptions.
Socio-economic development
Developing the community is integral to our social licence to operate.
All South African operations are up to date with their Social and Labour Plans
submitted to the DMPR. The plans include significant local community benefits,
such as new infrastructure projects in Barberton and Evander, while ongoing
corporate social investment initiatives provide support to local NGOs and
community organisations that would otherwise collapse without funding from
the Company.
Sustainable communities
The Barberton Blueberries project (Barberton Blue) has created 17 permanent
and 320 seasonal jobs. Community partnerships included pollination services
and training programmes.
Enterprise and supplier development
To date, over 135 local small and medium-sized enterprises have been engaged
across the Group’s operations for further development and potential
inclusion in the vendor list or supply chain.
Barberton Mines has implemented structured enterprise and supplier development
(ESD) programmes through specialist third-party service providers,
incorporating incubation centres, mentorship and ring-fenced procurement.
Evander Mines is scheduled to follow suit in FY26.
MTR launched its ESD strategy with a focus on co-working spaces and supplier
development hubs.
Skills development
Pan African’s employee value proposition is deeply rooted in our core
values, strategic priorities and commitment to sustainability and people
development. We encourage courageous conversations while respecting the safety
and dignity of our people. Respect and a commitment to care and safety build
trust within our operations and communities.
Communities benefit from the skills development required for our operations.
More than 100 bursaries were awarded across our operations, inclusive of
community beneficiaries. Learnerships, internships and adult education
programmes supported local workforce development and youth empowerment.
Wellness
Pan African has made significant strides in promoting employee health and
wellness across its operations. The wellness programmes focus on three key
performance indicators (KPIs): education and induction, movement initiatives
and health data monitoring. The programmes have reached thousands of employees
and are showing measurable health improvements.
Group wellness initiatives in FY25 included integrating health education into
induction training, promoting active events such as walks and hikes, improving
digital health data collection and engaging employees in wellness activities.
Awareness, prevention and treatment programmes are in place to combat
lifestyle diseases.
The Group has developed an interactive smartphone app to convey its unique
employee value proposition for a more engaged workforce and improved
productivity.
Corporate governance
Our ‘beyond compliance’ approach to corporate governance remains the
cornerstone of our sustainability approach amid evolving ESG regulations and
standards.
Our progress is monitored through independent external assurance by
PricewaterhouseCoopers Inc. on key sustainability information.
The Group complies with global standards from the Global Reporting Initiative,
the International Sustainability Standards Board and the TNFD. The Group is
aligning its reporting with IFRS S1 and S2, with strategic focus areas
including climate change, biodiversity management, artificial intelligence
(AI), ethics and stakeholder engagement.
Our 2024 integrated annual report received the merit award in the Small Cap
listed category at the Chartered Governance Institute of Southern Africa/JSE
Limited Integrated Reporting Awards 2024. This achievement recognises the
Group’s commitment to quality, transparent and comprehensive reporting.
Future ESG goals and commitments
Our sustainability efforts in the foreseeable future will focus on the
following:
* Achieve a 15% Group renewable energy mix by FY27
* Land rehabilitation targets of 470ha or 41% of MTR’s environmental
footprint
* Achieve water security at all operations
* Continue integrating the sustainable development strategy into business
strategy and operations
* Enhance stakeholder engagement and employee and local community development
initiatives aligned towards sustainable development for social change and
meaningful impact
* Expand ESG assurance in FY26, including new KPIs on water consumption and
usage intensity
* Align reporting with IFRS S1 and S2 – strategic focus areas include
climate change, biodiversity management, AI, ethics and stakeholder engagement
* Commence Evander Mines’ phase 2 and MTR’s solar projects in FY26.
OUR STAKEHOLDERS
We are conscious that Pan African does not operate in isolation, and we will
therefore continue our multifaceted involvement in the communities where we
operate through dedicated stakeholder engagement forums. We focus on our
‘beyond compliance’ initiatives to maintain our social licence to operate
and strengthen community relations.
We are grateful that we have no history of prolonged labour or community
protest actions, which we attribute to the strong, mutually respectful
relationships we have with our employees and their representative unions, as
well as the effectiveness of our proactive community engagement structures and
initiatives. Multi-year wage agreements are in place.
Our community involvement in the Mogale and Soweto areas is already highly
impactful, through the creation of direct employment opportunities,
environmental remediation and restoration, small business development and
training programmes, as well as efforts to eradicate illegal mining.
There is increasing collaboration between private sector businesses such as
Pan African and the state to resolve issues including illegal mining,
criminality, corruption, electricity shortages and infrastructure.
The Group is a member of the Global Initiative against Transnational Organised
Crime.
DIVIDENDS
The board has proposed a record final dividend of ZAR864.2 million for FY25
(approximately US$48.7 million), equal to ZA 37.00000 cents per share or
approximately US 2.08451 cents per share (1.52076 pence per share). The
dividend is subject to approval by shareholders at the AGM, which is to be
convened in November 2025.
POTENTIAL MAIN MARKET LISTING ON THE LSE
The Group is progressing work streams to transfer its listing from AIM to the
Equity Shares (Commercial Companies) segment of the Official List and to
trading on the London Stock Exchange plc’s Main Market. Pan African’s
Board of Directors believes that the proposed move to the Main Market could
enhance the Company’s corporate profile and broaden the Company’s access
to a wider pool of UK and global investors, supporting its next phase of
growth.
SHARE BUY-BACK PROGRAMME
The board believes that, at the current share price, the Company’s shares
continue to offer significant value, given the quality and profitability of
the Group’s existing operations and growth projects.
Pan African accordingly announced a share buy-back programme to purchase up to
ZAR200 million (US$11.1 million) of ordinary shares of GBP0.01 each,
commencing on 1 July 2025. The programme forms part of the Company’s broader
strategy to deliver value to shareholders.
In total, only 2,003,735 shares could be purchased as the trades were impacted
by the increase in the share price and limits imposed by the AIM Market Abuse
Regulation rules and JSE Limited (JSE) rules.
OUTLOOK AND PROSPECTS
Pan African continues to position itself for increased low-cost surface
sources production with a world-class portfolio comprising 60% low-cost
surface mining and 40% high-grade, long-life underground mines.
Group production for FY26 is expected to increase substantially, principally
as a result of steady-state production at the MTR operation, increased
production from Evander Mines underground (following substantial investments
in infrastructure and underground development over the past years), as well as
the production contribution from Tennant Mines, with production ramp-up
expected to be completed in FY26Q1.
Group production for FY26 is expected to be between 275,000oz and 292,000oz,
as outlined below, with higher production in FY26H2.
Operation Production range oz
Barberton Mines underground 69,000 – 72,000
BTRP 13,000 – 15,000
Elikhulu 49,000 – 51,000
Evander Mines underground 46,000 – 50,000
MTR operation 52,000 – 54,000
Tennant Mines 46,000 – 50,000
Total 275,000 – 292,000
AISC guidance for FY26 is between US$1,525/oz and US$1,575/oz, with positive
contributions to the cost outlook for FY26 coming from:
* the increase in the contribution to Group production from lower-cost surface
operations, with a full year of production from the MTR operation and
Tennant Mines
* increased production from Evander Mines’ underground operations
* reduction in the labour cost for Barberton Mines’ underground operations,
following the successful conclusion of the operation’s restructuring
programme
* savings arising from the extensive use of renewable energy projects
* ongoing efforts to contain costs and reinforce a culture of cost
consciousness.
Pan African views the broad macroeconomic environment as positive, given its
status as one of the lowest-cost, long-life producers of high-quality gold
ounces in Southern Africa.
Our primary focus for the short term is safely delivering into our production
guidance and successfully executing capital projects that will sustain and
increase future gold production. In particular, we will:
* continue our focus on health and safety initiatives in our proactive journey
to ‘zero harm’
* focus on achieving production and cost guidance
* execute capital projects designed to sustain and increase future gold
production
* continue the Group’s ESG initiatives and advance our renewable energy
roadmap as part of the decarbonisation strategy
* maintain focus on generating sustainable shareholder returns with a prospect
for further share buy-backs and increased dividends as the Group degears in
the next year
* explore local and international growth opportunities in a responsible and
circumspect manner.
APPRECIATION
I would like to thank our motivated leadership, dedicated staff and
contractors for their unwavering commitment to the ongoing success and
sustainability of the Group.
I am grateful for the support and guidance from our trusted board in
navigating challenges and opportunities in preparing for the exciting
expansion of our horizons in the future.
FINANCIAL PERFORMANCE
Exchange rates and their impact on results
During the current reporting period, the average
US$/ZAR exchange rate was US$/ZAR:18.17 (FY24: US$/ZAR:18.71) and the closing
US$/ZAR exchange rate at 30 June 2025 was US$/ZAR:17.75 (FY24: US$/ZAR:18.19).
The year-on-year appreciation in the average exchange rate of 2.9% and the
appreciation of the closing exchange rate by 2.4%, respectively, must be
considered when comparing period-on-period results.
The commentary below analyses the current reporting period’s and previous
financial year’s results in US$, with pertinent rand figures disclosed in
the body of this commentary.
Analysing the Group’s financial performance
Revenue
Revenue increased due to gold sold increasing by 6.5% to 196,926oz (FY24:
184,885oz) and the average US$ gold price received increasing by 35.7% to
US$2,735/oz (FY24: US$2,015/oz).
Cost of production
Production costs are incurred in rand and A$, the functional currencies of the
Group’s main operating entities, with translations to US$ impacted by the
US$/ZAR exchange rate which appreciated by 2.9% relative to the previous
financial year. The Group’s production costs increased in US$ terms by 27.0%
mainly due to MTR which was commissioned in FY24Q2 contributing to a 15.6%
increase.
* Mining and processing costs: Increased largely due to an increase in mining
and contractor costs with Consort migrating to a contractor model, combined
with above-inflation-related cost increases of more than 8.5% as well as an
increase in tonnes milled at Elikhulu, an increase of 20.0% relating to MTR
* Salaries and wages: The Group’s average annual salary increase was
approximately 5.6%, and an increase of 7.6% relating to MTR
* Electricity costs increased following a 13.9% regulatory increase and an
increase of 19.6% relating to MTR, partially offset by renewable energy
savings
* Engineering and technical costs increased due to the commissioning of MTR.
The increase in revenue was partially offset by the increase in cost of
production, resulting in the gross profit margin increasing to 71.9% (FY24:
35.2%), year-on-year.
Adjusted EBITDA increased to US$226.6 million, and the EBITDA margin increased
to 42.0% (FY24: 37.8%), following a US$166.2 million revenue increase and a
US$59.6 million increase in production costs.
Depreciation and amortisation
The depreciation and amortisation charge increased by 57.0%, primarily due to
the commissioning of MTR, resulting in a 29.5% increase and due to the 5.6%
increase in gold production. This charge is calculated based on actual RoM
production relative to RoM mining tonnes contained in the operations’
Mineral Reserve lives. Additionally, the 2.9% appreciation in the average
US$/ZAR exchange rate, relative to the previous financial year, resulted in an
increase in depreciation in US$ terms.
Finance costs
Finance costs increased by 78.8% largely due to an increase in the Group’s
borrowings to fund its capital expenditure programmes. Specifically, finance
costs on the Group’s borrowings increased by US$13.4 million to US$25.0
million (FY24: US$11.6 million), of which borrowing costs of US$7.1 million
have been capitalised to the MTR operation.
Tax
The income tax expense for the current reporting period gave rise to an
effective tax rate of 28.0%, which is consistent with the previous financial
year. The 83.2% year-on-year increase in the Group’s income tax expense is
primarily attributable to the tax charge increasing to US$19.3 million (FY24:
US$12.5 million), following an increase in the Group’s taxable profit. The
deferred tax expense increased to US$36.3 million (FY24: US$18.0 million).
EPS and HEPS
EPS increased to US 7.16 cents per share (FY24: US 4.14 cents per share),
and HEPS also increased to US 5.89 cents per share (FY24: US 4.15 cents per
share), relative to the previous financial year.
EPS and HEPS are calculated by applying the Group’s weighted average number
of shares of 2,029.3 million shares outstanding (FY24: 1,916.5 million shares)
to attributable earnings and headline earnings.
Assets
Capital expenditure on property, plant and equipment amounted to US$168.0
million (FY24: US$172.4 million), which included sustaining capital
expenditure of US$11.7 million (FY24: US$13.8 million) and expansion capital
expenditure of US$156.3 million (FY24: US$158.6 million) mainly due to plant
construction expenditure for MTR and Tennant Mines.
Equity
The Group’s net assets increased to US$546.7 million (FY24: US$364.1
million). Equity increased by the profit for the period, offset by:
* the net dividend payments to shareholders of US$27.5 million (FY24: US$18.3
million), which related to FY24 and FY23, respectively
* a comprehensive gain of US$12.8 million (FY24: US$11.7 million),
attributable to the recognition of a foreign translation gain of US$12.8
million (FY24: US$11.7 million), as a consequence of the closing exchange
rate appreciating from US$/ZAR:18.19 to US$/ZAR:17.75 at the financial
year-ends.
Liabilities
The environmental rehabilitation liability increased by US$4.3 million, mainly
as a result of a US$2.2 million (FY24: US$2.2 million) increase associated
with the unwinding of the obligation as well as a US$1.7 million (FY24:
restated US$0.6 million) foreign currency translation reserve loss movement.
Borrowings increased to US$190.0 million (FY24: US$127.8 million), which is
attributable to the expansionary capital expenditure on the MTR operation,
Tennant Mines’ plant and Evander Mines’ 24 Level project.
The Group is obligated to redeem principal debt of US$86.3 million during
FY26.
The share-based payment obligations increased as a result of an increase in
the number of cash-settled share options issued, coupled with an increase in
the Group’s share price.
Capital structure and financing arrangements
The Group has a term and revolving credit facility (RCF) agreement which
provides for a term loan facility amounting to ZAR1.3 billion (US$70.3
million), designed to fund the MTR operation and RCF of ZAR1 billion (US$54.1
million) with a maturity date of 30 June 2026. The RCF has a three-year term
and provides the Group with access to flexible and cost-effective working
capital. The term loan facility has a six-year term, with quarterly
repayments.
The green loan facility of US$19.2 million raised in June 2024 was settled in
June 2025, coupled with RCF redemptions in FY25H2 of US$42.3 million due to
the robustness of the Group’s cash flows. The RCF was settled in July 2025
and remains available should it be necessary to fund working capital
requirements over the short term. The sustainability-linked bond, RCF, green
loan and term loan facility are tied to specific sustainability-linked key
performance indicators, independently verified annually, over a seven-year
period. An improvement in these metrics will result in a reduction of the
interest rates levied by these instruments.
Cash flows
Net cash from operating activities before dividend, tax, royalties and net
finance costs increased by US$84.6 million to US$218.9 million
(FY24: US$134.3 million) and cash from operating activities increased by
US$59.8 million mainly due to the commissioning of MTR.
Cash used in investing activities includes capital expenditure on property,
plant and equipment of US$161.5 million (FY24: US$166.2 million).
Cash from financing activities includes proceeds from borrowings of US$139.5
million (FY24: US$114.2 million), partially offset by the repayment of senior
debt facilities of US$117.2 million (FY24: US$42.9 million).
Pan African has sufficient liquidity at the end of the financial year with
access to cash and undrawn facilities of US$99.7 million (FY24: US$95.0
million).
DIVIDENDS
Proposed dividend for FY25
The board has proposed a final gross dividend of ZAR864.2 million for FY25
(approximately US$48.7 million), equal to ZA 37.00000 cents per share or
approximately US 2.08451 cents per share (1.52071 pence per share).
The dividend is subject to approval by shareholders at the AGM, which is to be
convened on 20 November 2025.
It has come to the Company’s attention that the July 2024 interim accounts
in support of the 2024 dividend were posted to, but not received by, Companies
House, resulting in a technical issue with regard to the requirements under
the Companies Act 2006 for the payment of the dividend made in December 2024
and the share buy-backs in July 2025. The Company will include resolutions in
the notice of AGM for the meeting to be held on 20 November 2025 to enter into
deeds of release to remedy the historical dividend payment and the share
buy-backs and also to reduce the Company’s share capital to remedy the share
buy-backs.
This technical issue in respect of the dividend and share buy-backs is of a
historical nature and there is no change to the financial outlook of the Group
as a consequence. The remedial action that will be taken does not affect the
Company’s existing distributable reserves nor its capacity to pay
shareholder dividends going forward in accordance with the Company’s
dividend policy.
Assuming shareholders approve the final dividend, the following salient dates
would apply:
Annual general meeting Thursday, 20 November 2025
Currency conversion date Thursday, 20 November 2025
Currency conversion announcement released by 11:00 (South African time) Friday, 21 November 2025
Last date to trade on the JSE Tuesday, 25 November 2025
Last date to trade on the LSE Wednesday, 26 November 2025
Ex-dividend date on the JSE Wednesday, 26 November 2025
Ex-dividend date on the LSE Thursday, 27 November 2025
Record date on the JSE and LSE Friday, 28 November 2025
Payment date Tuesday, 9 December 2025
The British pound (GBP) and US$ proposed final dividend were calculated based
on a total of 2,335,675,263 shares in issue and an illustrative exchange rate
of US$/ZAR:17.75 and GBP/ZAR:24.33, respectively.
No transfers between the South African and UK registers, between the
commencement of trading on Wednesday, 26 November 2025 and close of business
on Friday, 28 November 2025, will be permitted.
No shares may be dematerialised or rematerialised between Wednesday, 26
November 2025 and Friday, 28 November 2025, both days inclusive.
The South African dividend tax rate is 20% per ordinary share for shareholders
who are liable to pay dividend tax, resulting in a net dividend of ZA 29.60000
cents per share for these shareholders. Foreign investors may qualify for a
lower dividend tax rate, subject to completion of a dividend taxation
declaration and submission to Computershare Investor Services Proprietary
Limited or Link Group, who manage the South African and UK registers,
respectively. The Company’s South African income taxation reference number
is 9154588173. The proposed dividend will be paid out of the Company’s
retained earnings/income reserves without drawing on any other capital
reserves.
Dividend policy
Pan African aspires to pay a regular dividend to its shareholders, and in
balancing this cash return to shareholders with the Group’s strategy of
generic and acquisitive growth, Pan African believes a target payout ratio of
40% to 50% of net cash generated from operating activities, after providing
for the cash flow impact of capital expenditure (reduced by externally funded
capital), contractual debt repayments and the cash flow impact of once-off
items (discretionary rand cash flow), is appropriate. This measure aligns
dividend distributions with the cash generation potential of the business. In
proposing a dividend, the board will also take into account the Company’s
financial position, prospects, satisfactory solvency and liquidity assessments
and other factors deemed by the board to be relevant at the time.
The net proposed dividend together with the approved share buy-back programme
constitutes a payout ratio of 37.8% of the Group’s discretionary cash flows,
as defined by its dividend policy. The payout ratio is within the dividend
policy guidelines, and the record dividend is indicative of the board’s
assessment of the sustainability of the operations and favourable prospects
for FY26.
The proposed dividend equates to a dividend yield of 3.3% based on the 30 June
2025 closing share price of ZAR11.09 per share.
Net asset value test for dividend distribution
During the prior reporting period, the board became aware that the net assets
test required by section 831 of the Companies Act 2006 is required to be
performed by the Company on presentation currency amounts (i.e. US$) and not
on functional currency amounts (i.e. rand).
It came to the Company’s attention that the foreign currency translation
reserve does not form part of the Company’s non-distributable reserves,
despite not being realised, and as such cannot be included as non-
distributable reserves when performing the net assets test. This means that
dividends paid in respect of the reporting periods ended 30 June 2019, 2020,
2021, 2022 and 2023 (together relevant dividends) and the repurchase of
ordinary shares (the share buy-backs) by the Company between 1 April and
9 May 2022 were made otherwise than in accordance with the requirements of
the Companies Act 2006.
The consequences of the relevant distributions (i.e. the Company’s payment
of each of the relevant dividends and the payments made in respect of the
purchase of each of the share buy-backs) having been made otherwise than in
accordance with the Companies Act 2006 were rectified by way of the
cancellation of the Company’s share premium account. That reduction of share
premium was approved by the High Court of Justice on 2 July 2024 and took
effect on 18 July 2024.
The Company has taken and continues to take the necessary steps to ensure
adequate distributable income (and the ability of the Company to comply with
the net assets test) in the future.
DIRECTORSHIP CHANGES AND DEALINGS
The Group’s financial director, Deon Louw, retired with effect from 30
September 2024. Marileen Kok succeeded Deon Louw as Group financial director
and was appointed to Pan African’s board of directors.
The following dealings in securities by directors took place during the
current reporting period:
* Cobus Loots entered into the following Company share transactions:
– On 20 June 2025: disposed of 125,282 ordinary shares of 1 pence each
– On 20 June 2025: LTS Ventures Proprietary Limited, an entity associated
with Cobus Loots, disposed of 299,094 ordinary shares of 1 pence each.
Cobus Loots held 5,597,154 indirect beneficial shares, representing 0.2396% of
the Company’s issued share capital, 1,448,700 direct beneficial shares,
representing 0.0620% of the Company’s issued share capital, and 314,280
contracts for differences at 30 June 2025.
No dealings in the securities of the Company by the directors took place
between year-end and the authorisation date of the annual financial
statements. None of the direct or indirect beneficial interests held by the
directors in the share capital of the Company are subject to security,
guarantee, collateral or otherwise.
JSE LISTING
The Company has a dual primary listing on the JSE and the AIM of the London
Stock Exchange (LSE), a secondary listing on the A2X Market (A2X Market)
exchange, as well as a sponsored Level 1 American Depository Receipt (ADR)
programme in the United States of America (USA) through the Bank of New York
Mellon (BNY Mellon).
This summarised audited results report has been prepared in accordance with
the framework concepts and the measurement and recognition requirements of
IFRS Accounting Standards, the South African Institute of Chartered
Accountants (SAICA) Financial Reporting Guidelines as issued by the Accounting
Practices Committee and the Financial Pronouncements as issued by the
Financial Reporting Standards Council. It contains the minimum information as
required by International Accounting Standard (IAS) 34. The accounting
policies are in accordance with IFRS Accounting Standards and are consistent
with those applied in the 2025 consolidated annual financial statements.
The Group’s external auditors, PricewaterhouseCoopers LLP (PwC), have issued
their opinion on the consolidated annual financial statements for the year
ended 30 June 2025. The audit of the consolidated annual financial
statements was conducted in accordance with the International Standards on
Auditing (UK). PwC has expressed an unmodified opinion on the consolidated
annual financial statements. A copy of the audited annual financial statements
and the audit report is available for inspection at the issuer’s registered
office.
Any reference to future financial performance included in this summarised
audited results report has not been reviewed or reported on by the Group’s
external auditors.
This summarised audited results report is extracted from audited information
but is not itself audited. The directors take full responsibility for the
preparation of the summarised audited results report and declare that the
financial information has been correctly extracted from the underlying annual
financial statements.
The auditors’ report does not report on the information contained in this
summarised audited results report. Shareholders are therefore advised that, in
order to obtain a full understanding of the nature of the auditors’
engagement, they should obtain a copy of that report together with the
accompanying financial information from the Company’s registered office.
SECONDARY LISTING ON THE A2X MARKET
Pan African’s ordinary shares are also traded on the A2X (effective Monday,
13 December 2021, the A2X listing date).
Pan African will retain its primary listings on the AIM and the JSE as well as
the Level 1 ADR programme in the USA. Its issued share capital has been
unaffected by the secondary listing on the A2X and its ordinary shares are
available to be traded on the AIM, JSE, ADR and A2X.
The A2X is a licensed stock exchange authorised to provide a secondary listing
venue for companies and is regulated by the South African Financial Sector
Conduct Authority and the South African Reserve Bank’s Prudential Authority,
in terms of the Financial Markets Act, 19 of 2012.
AIM LISTING
The financial information for the year ended 30 June 2025 does not
constitute statutory accounts as defined in sections 435(1) and 435(2) of the
Companies Act 2006 but has been derived from those accounts. Statutory
accounts for the year ended 30 June 2024 have been delivered to the Registrar
of Companies and those for FY25 will be delivered following the Company’s
AGM. PwC, the external auditor registered in the UK, has reported on these
accounts for the year ended 30 June 2025.
PwC’s audit report for 30 June 2025 is unqualified, does not include a
reference to any matters to which auditors draw attention by way of emphasis
of matter, and does not contain a statement under sections 498(2) or 498(3) of
the Companies Act 2006. These statutory accounts have been prepared in
accordance with UK-adopted International Accounting Standards (UK-IAS) and
with the requirements of the Companies Act 2006 applicable to companies
reporting under those standards. The statutory accounts have also been
prepared in accordance with IFRS Accounting Standards. As applied to the Group
and Company, there are no material differences between UK-IAS and IFRS
Accounting Standards as issued by the International Accounting Standards Board
(IASB).
POTENTIAL LSE MAIN MARKET LISTING
Pan African is in the process of completing work streams to move its UK
listing from AIM to the Equity Shares Commercial Companies (ESCC) segment of
the Main Market of the London Stock Exchange (LSE).
Pan African’s Board of Directors believes that the proposed move to the Main
Market could enhance the Company’s corporate profile and broaden the
Company’s access to a wider pool of UK and global investors, supporting its
next phase of growth.
Pan African has filed a draft prospectus with the UK Financial Conduct
Authority in connection with the listing of the shares. An update on the
timing and process to seek admission will be provided in due course.
* Pan African does not intend to raise any funds or offer any new securities
in connection with admission
* Pan African intends to retain its dual primary listing on the JSE
* Admission is subject, among other things, to the approval by the FCA of a
prospectus and the Ordinary Shares being admitted by the FCA to the ESCC
category of the Official List and by the London Stock Exchange to trading on
the Main Market.
* Subject to the satisfaction of these conditions, Admission is expected to
occur prior to 31 December 2025.
ADR PROGRAMME
On 2 July 2020, Pan African established a sponsored Level 1 ADR programme on
the over-the-counter (OTC) market in the USA, with BNY Mellon being the
appointed depository.
Each depository receipt in the ADR programme represents 20 ordinary shares in
Pan African and trades under the symbol PAFRY.
On 23 October 2020, to enhance the Company’s visibility and provide better
access to prospective USA retail investors, the ADR programme was upgraded and
approved for listing on the OTCQX Best Market (OTCQX) in the USA. To qualify
for trading on the OTCQX, which is the highest tier of the OTC market, Pan
African has complied with the necessary requirements, including the required
financial standards, corporate governance requirements and compliance with
applicable securities laws. The Company’s ordinary shares trade under the
symbol PAFRF on the OTCQX.
FORWARD-LOOKING INFORMATION
Any forward-looking information contained in this summarised audited results
report is the sole responsibility of the directors and has not been reviewed
or reported on by the Group’s external auditors.
The information contained within this report is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 as it forms part of UK Domestic Law by virtue of the
European Union (Withdrawal) Act 2018. Upon the publication of this report via
the Regulatory News Service and on SENS, this inside information is now
considered to be in the public domain.
Cobus Loots
Chief executive officer
10 September 2025
SUMMARISED CONSOLIDATED ANNUAL FINANCIAL STATEMENTS
for the year ended 30 June 2025
SUMMARISED CONSOLIDATED STATEMENT OF financial position
as at 30 June 2025
US$ thousand Notes FY25 FY24
Assets
Non-current assets
Property, plant and equipment 9 824,450 567,588
Goodwill 17,098 16,685
Intangible assets 616 365
Deferred tax assets 7 2,072 631
Long-term inventory 25,698 12,263
Investment – 3,373
Environmental rehabilitation obligation fund 29,118 24,773
Total non-current assets 899,052 625,678
Current assets
Inventory 38,887 16,431
Trade and other receivables 15,496 15,175
Current tax assets 1,542 2,455
Cash and cash equivalents 49,532 26,332
Total current assets 105,457 60,393
Total assets 1,004,509 686,071
EQUITY AND LIABILITIES
Share capital 12 39,442 38,002
Share premium 13 10,877 235,063
Retained earnings 717,642 364,657
Reserves (219,136) (272,505)
Equity attributable to owners of the Company 548,825 365,217
Non-controlling interests (2,157) (1,114)
Total equity 546,668 364,103
Non-current liabilities
Environmental rehabilitation obligation 23,982 19,688
Borrowings 11 103,642 123,056
Lease liabilities 2,607 2,158
Financial liabilities 936 374
Share-based payment obligations 10,297 6,475
Deferred tax liabilities 7 140,506 85,353
Total non-current liabilities 281,970 237,104
Current liabilities
Trade and other payables 72,643 66,388
Borrowings 11 86,335 4,729
Lease liabilities 1,050 791
Contract liability – 7,330
Financial liabilities 2,370 329
Share-based payment obligations 11,190 4,494
Derivative financial liability 1,848 5
Current tax liabilities 435 798
Total current liabilities 175,871 84,864
Total equity and liabilities 1,004,509 686,071
SUMMARISED CONSOLIDATED STATEMENT OF profit OR LOSS AND OTHER COMPREHENSIVE
INCOME
for the year ended 30 June 2025
US$ thousand Notes FY25 FY24
Revenue 4 540,033 373,796
Cost of production (314,187) (242,427)
Gross profit 225,846 131,369
Other income 6,529 4,106
Other expenses (36,484) (14,481)
Bargain purchase gains 28,019 –
Impairment losses on non-financial assets (2,954) –
Royalty costs (5,106) (1,687)
Profit before finance income and finance costs 215,850 119,307
Finance income 5 1,856 1,884
Finance costs 5 (21,073) (11,784)
Profit before tax 196,633 109,407
Income tax expense 6 (56,028) (30,581)
Profit for the period 140,605 78,826
Other comprehensive income
Items that may be reclassified to profit or loss
Foreign currency translation gain 12,842 11,623
Items that may not be reclassified to profit or loss
Fair value adjustment on investment at fair value through other comprehensive income 2,107 –
Tax thereon – –
Other comprehensive income for the period, net of tax 14,949 11,623
Total comprehensive income for the period 155,554 90,449
Profit/(loss) attributable to: 140,605 78,826
Owners of the Company 141,597 79,378
Non-controlling interests (992) (552)
Total comprehensive income/(loss) attributable to: 155,554 90,449
Owners of the Company 156,597 91,036
Non-controlling interests (1,043) (587)
Basic and diluted earnings per share (US cents) 7.16 4.14
SUMMARISED CONSOLIDATED STATEMENT OF changes in equity
for the year ended 30 June 2025
US$ thousand Share capital Share premium Reserves Retained earnings Equity attributable to the owners of the Company Non- controlling interests Total equity
Balance as at 38,002 235,063 (283,772) 303,190 292,483 (527) 291,956
1 July 2023
Total comprehensive income – – 11,658 79,378 91,036 (587) 90,449
Profit for the period – – – 79,378 79,378 (552) 78,826
Other comprehensive income – – 11,658 – 11,658 (35) 11,623
Dividend paid – – – (21,227) (21,227) – (21,227)
Reciprocal dividend – – – 2,925 2,925 – 2,925
– PAR Gold 2
Transfer of foreign currency translation reserve 1 – – (391) 391 – – –
Balance as at 38,002 235,063 (272,505) 364,657 365,217 (1,114) 364,103
30 June 2024
Total comprehensive income – – 15,000 141,597 156,597 (1,043) 155,554
Profit for the period – – – 141,597 141,597 (992) 140,605
Other comprehensive income – – 15,000 – 15,000 (51) 14,949
Capital reduction – (235,063) – 235,063 – – –
Shares issued 1,440 10,877 38,369 – 50,686 50,686
Dividends paid – – – (27,459) (27,459) – (27,459)
Reciprocal dividend – – – 3,784 3,784 – 3,784
– PAR Gold 2
Balance as at 39,442 10,877 (219,136) 717,642 548,825 (2,157) 546,668
30 June 2025
Notes 12 13
1 The transfer relates to the foreign currency translation reserve previously
recognised on the Sudan foreign operation.
2 Reciprocal dividend – PAR Gold Proprietary Limited (PAR Gold) refers to
the intra-Group transaction which relates to the dividend received on the
treasury shares held by the Group in the Company. PAR Gold holds 13.1% (FY24:
13.8%) of the issued share capital of the Company. Refer to note 17 in respect
of the related party transaction.
SUMMARISED CONSOLIDATED STATEMENT OF cash flows
for the year ended 30 June 2025
US$ thousand Notes FY25 FY24
Cash flows from operating activities
Net cash from operating activities before dividend, tax, royalties 223,184 134,310
and net finance costs
Dividend paid (27,459) (21,227)
Reciprocal dividend received 3,784 2,925
Income tax paid (20,147) (13,007)
Royalties paid (4,887) (2,469)
Finance costs paid (21,439) (11,565)
Finance income received 1,824 1,834
Net cash from operating activities 154,860 90,801
Cash flows from investing activities
Payments for property, plant and equipment 157,910 (166,241)
Proceeds from disposal of property, plant and equipment 133 141
Payments for other intangible assets (710) –
Cash acquired on acquisition of subsidiary 15 9,689 –
Contribution to environmental rehabilitation obligation fund (1,187) –
Withdrawal from environmental rehabilitation obligation fund 134 –
Payment for investment – (3,280)
Net cash used in investing activities 149,851 (169,380)
Cash flows from financing activities
Proceeds from borrowings 139,526 114,198
Repayment of borrowings (117,199) (42,854)
Fees paid on borrowings – (1,445)
Repayment of lease liabilities (1,028) (638)
Repayment of other financial liabilities (3,842) (281)
Net cash from financing activities 17,457 68,980
Net increase/(decrease) in cash and cash equivalents 22,466 (9,599)
Cash and cash equivalents as at 1 July 26,332 34,771
Effect of foreign exchange rate changes 734 1,160
Cash and cash equivalents as at 30 June 49,532 26,332
NOTES TO THE SUMMARISED CONSOLIDATED ANNUAL FINANCIAL STATEMENTS
for the year ended 30 June 2025
1. BASIS OF PREPARATION
The accounting policies applied in compiling the summarised consolidated
financial statements, in accordance with IFRS Accounting Standards as issued
by the IASB, are consistent with those applied in preparing the Group’s
financial statements for the year ended 30 June 2024. There are no material
differences between UK-adopted International Accounting Standards and IFRS
Accounting Standards as applied to these financial statements.
The financial information set out in this announcement does not constitute the
Company’s statutory accounts for the period ended 30 June 2025.
Furthermore, these financial statements have been prepared in accordance with
the SAICA Financial Reporting Guidelines as issued by the Accounting Practices
Committee, Financial Reporting Pronouncements as issued by the Financial
Reporting Standards Council and the listings requirements of the JSE and LSE,
and the Companies Act 2006.
Going concern
The Group closely monitors and manages its liquidity risk by means of a
centralised treasury function. Cash forecasts are regularly produced and
sensitivities run for different scenarios including, but not limited to,
changes in commodity prices and different production profiles from the
Group’s producing assets. The Group had US$50.2 million (FY24: US$68.7
million) of available debt facilities and US$49.5 million (FY24: US$26.3
million) of cash and cash equivalents at 30 June 2025. The Group has
considered the going concern forecast through to 30 June 2027, using a semi
static gold price in the base case scenario. The base case scenario assumes an
initial gold price of R1,750,000/kg (US$2,996/oz) increasing by 5% to
R1,873,500/kg (US$3,145/oz) for the next reporting period. For the downside
scenario, a gold price of R1,400,000/kg (US$2,397/oz) was applied, together
with a 10% reduction in production. The Group’s forecasts based on
the board-approved budgets (with production in line with production guidance
announced) demonstrate will have sufficient liquidity headroom to meet its
obligations, under both scenarios.
During the current reporting period, financial covenants relating to the
Australian operations debt facilities were breached. As a result, the loan is
classified as a current liability in the statement of financial position.
Subsequent to the end of the reporting period, the Group has engaged with its
lenders to obtain a waiver. The board considers that, based on the current
discussions and the Group’s current financial forecasts, the breach does not
affect the Group’s ability to continue as a going concern. The Group will
comply with the financial covenants for the 24 months from the date of
approval of the financial statements.
Notwithstanding the breach, the board has a reasonable expectation that the
Group has adequate resources to continue in operational existence for the
foreseeable future. Accordingly, the Group continues to adopt the going
concern basis of accounting in preparation of the 30 June 2025 financial
statements.
Alternative performance measures
The Group makes reference to APMs, in conjunction with IFRS Accounting
Standards measures, when assessing its reported financial performance,
financial position and cash flows. APMs should be considered in addition to,
and not as a substitute for or superior to, measures of financial performance,
financial position or cash flows reported in accordance with IFRS Accounting
Standards. Further information on APMs is provided in the other information
section.
2. SIGNIFICANT JUDGEMENTS AND ESTIMATES
The preparation of the financial statements in accordance with IFRS Accounting
Standards requires management to make judgements, estimates and assumptions
that may materially affect the application of the Group’s accounting
policies and the reported amounts of assets, liabilities, income and expenses.
These judgements and estimates are based on management’s best knowledge of
the relevant facts and circumstances, historical experience, current and
expected future economic conditions and other factors. Actual results may
differ from the amounts included in the financial statements.
The estimates and underlying assumptions are reviewed on an ongoing basis.
Revisions to accounting estimates are recognised prospectively.
Significant judgements
The following are areas of significant assumptions and judgements, apart from
those involving estimations, that have the most significant effect on the
amounts recognised in the summarised consolidated financial statements.
Cash-generating units
The Group defines a CGU as the smallest identifiable group of assets that
generate cash flows largely independent of cash flows from other assets or a
group of assets. The allocation of assets to a CGU requires judgement.
The Group’s CGUs have been determined as follows:
* Barberton Mines’ underground operations: Underground operations (Fairview,
Sheba and Consort) are reliant on the Fairview BIOX® plant for processing and
these operations have been grouped together as a single CGU
* BTRP: The BTRP has the ability to treat and smelt gold independently of the
Fairview BIOX® plant and is independent of the underground operations
resulting in the BTRP representing a single CGU
* Egoli project: A drilling programme and feasibility study were completed in
September and November 2017, respectively. Dewatering in accordance with the
phased development approach has commenced. The Egoli project will be developed
as a project independent of Evander Mines’ underground operations resulting
in the project representing a separate CGU
* Elikhulu: The surface mining operation has been constructed in a manner such
that it is independent of Evander Mines’ underground operations resulting in
Elikhulu being determined as a single CGU
* Evander Mines’ underground operations: This CGU includes 7 Shaft, 8 Shaft
and the RoM circuit at the Kinross metallurgical plant and 8 Shaft pillar
mining, which are independent of Elikhulu and the Egoli project, resulting in
them representing a single CGU
* Agricultural ESG projects: This CGU comprises Barberton Blue as well as
other small-scale agricultural projects in Barberton Mines’ host community
areas
* Solar projects: Currently consist of the solar plant located at Evander
Mines, the solar plant at Barberton Mines (commissioned in October 2024) and
the extension of Evander Mines’ solar plant
* MTR operation: This CGU comprises MTR, Mogale Gold and MSC and consists of a
tailings retreatment plant commissioned in October 2024
* Tennant Mines: This CGU is located in the Northern Territory of Australia
and complements the Group’s current portfolio of high-margin, long-life
surface mining operations
* Sudan: This CGU consists of exploration assets and five prospecting
concessions (or exploration licences) in north-eastern Sudan.
Significant assumptions and estimates
The following areas contain information about significant assumptions and
other sources of estimation uncertainty at 30 June 2025 that have a
significant risk of resulting in a material adjustment to the carrying
amounts of assets and liabilities in the next reporting period.
Deferred tax rates applied within the Group
South African income tax on gold mining income is determined according to the
gold formula that takes into account the taxable income and revenue from gold
mining operations. Judgement was applied in determining the future expected
deferred tax rates of the Group’s mining operation.
Deferred tax is calculated at the tax rates that are expected to apply to the
period when the asset is realised, or the liability is settled, based on tax
rates and laws that have been enacted or substantively enacted by the
reporting date. The rates used to calculate deferred tax are based on the
current estimate of future profitability when temporary differences will be
utilised. The respective rates are calculated based on management’s best
estimate through which the temporary difference will be realised over the life
of the mining operations.
Determining the fair value of identifiable assets acquired and liabilities
assumed in the business combination
As indicated in note 15, Pan African acquired the remaining 92% investment in
Tennant company on 5 November 2025. The acquisition was considered to be a
business combination in accordance with IFRS 3: Business Combinations and
has been accounted for using the acquisition method.
Accounting for the business combinations involved significant assumptions and
estimation to be applied in determining the fair value of assets acquired and
liabilities assumed. Significant assumptions regarding the forecast gold
price, discount rates and the grade of resources and reserves were applied in
determining the fair value of long-term inventory, exploration assets and
mineral rights on acquisition. As such, the fair value of identifiable net
assets acquired and resulting bargain purchase gain is sensitive to changes in
key assumptions.
Cash flow projections and key assumptions
Expected future cash flows used in discounted cash flow models are inherently
uncertain and could materially change over time. Cash flow projections are
significantly affected by a number of factors including Mineral Resources and
Mineral Reserves together with economic factors such as commodity prices,
foreign exchange rates and discount rates and estimates of production costs
and future capital expenditure.
Cash flow projections are based on financial forecasts and LoM plans
incorporating key assumptions as detailed below:
* Mineral Resources and Mineral Reserves: Mineral Reserves and, where
considered appropriate, Mineral Resources reflected within projected cash
flows, based on Mineral Resources and Mineral Reserves statements (in
accordance with the SAMREC Code for South African properties) and exploration
and evaluation work undertaken by appropriately qualified persons. Mineral
Resources are included where management has a high degree of confidence in
their economic extraction, despite additional evaluation still being required
prior to meeting the required confidence to convert to Mineral Reserves
* Commodity prices: Commodity prices are based on the latest internal
forecasts, benchmarked with external sources of information, to ensure that
they are within the range of available analyst forecasts. Where existing sales
contracts are in place, the effects of such contracts or hedging arrangements
are considered in determining future cash flows
* Discount rates: Value in use and fair value less cost of disposal
projections are sensitive to changes in the discount
rate
* Operating costs, capital expenditure and other operating factors: Operating
costs and capital expenditure are based on financial budgets. Cash flow
projections are based on LoM plans and internal management forecasts. Cost
assumptions incorporate management experience and expectations, as well as the
nature and location of the operation and the risk associated therewith (for
example, the grade of Mineral Resources and Mineral Reserves varying
significantly over time and unforeseen operational issues).
Cash flow projections and key assumptions
Expected future cash flows used in discounted cash flow models are inherently
uncertain and could materially change over time. Cash flow projections are
significantly affected by a number of factors including Mineral Resources and
Mineral Reserves together with economic factors such as commodity prices,
foreign exchange rates and discount rates and estimates of production costs
and future capital expenditure.
Cash flow projections are based on financial forecasts and LoM plans
incorporating key assumptions as detailed below:
* Mineral Resources and Mineral Reserves: Mineral Reserves and, where
considered appropriate, Mineral Resources reflected within projected cash
flows, based on Mineral Resources and Mineral Reserves statements (in
accordance with the SAMREC Code for South African properties) and exploration
and evaluation work undertaken by appropriately qualified persons. Mineral
Resources are included where management has a high degree of confidence in
their economic extraction, despite additional evaluation still being required
prior to meeting the required confidence to convert to Mineral Reserves
* Commodity prices: Commodity prices are based on the latest internal
forecasts, benchmarked with external sources of information, to ensure that
they are within the range of available analyst forecasts. Where existing sales
contracts are in place, the effects of such contracts or hedging arrangements
are considered in determining future cash flows
* Discount rates: Value in use and fair value less cost of disposal
projections are sensitive to changes in the discount
rate
* Operating costs, capital expenditure and other operating factors: Operating
costs and capital expenditure are based on financial budgets. Cash flow
projections are based on LoM plans and internal management forecasts. Cost
assumptions incorporate management experience and expectations, as well as the
nature and location of the operation and the risk associated therewith (for
example, the grade of Mineral Resources and Mineral Reserves varying
significantly over time and unforeseen operational issues).
Other assumptions and estimates
Rehabilitation obligation
The amount recognised as an obligation represents management’s best estimate
of the consideration required to complete the restoration and rehabilitation
activity. These estimates are inherently uncertain and could materially change
over time.
At each reporting date, the Group estimates the environmental rehabilitation
obligation. There is judgement in the assumptions used in determining the
estimated obligation which include:
* closure costs, which are determined in accordance with regulatory
requirements
* the inflation rate which has been adjusted for a
long-term view
* the risk-free rate, which is compounded annually and linked to the LoM
* the LoM and related Mineral Resources and Mineral Reserves.
An assessment of the Group’s environmental rehabilitation plan identified a
risk relating to the potential pollution of groundwater at Barberton Mines. As
a result of the amendments to the Financial Closure Provision Regulations
promulgated in terms of the National Environmental Management Act, 107 of
1998, the Group is required to include an obligation for all latent and
residual environmental liabilities, including water pollution, as part of the
obligation for environmental rehabilitation and decommissioning costs. The
Group has undertaken several detailed assessments, including a geohydrological
study at Barberton Mines, to ascertain the latent and residual environmental
liability as a result of the amendments and to quantify the impact of the
amendments. Based on the current closure cost estimate, the amendments will
result in an increase to the current obligation of approximately US$3.0million
(US$0.7million on a discounted basis) for environmental and decommissioning
costs in real terms, once the amendments become effective. The effective date
of the amendments is yet to be determined. Given the uncertainty, no
obligation has been recognised at the reporting date.
While not a member of the International Council on Mining and Metals, the
Group is working towards conformance with the GISTM as far as reasonably
practicable, with respect to its TSFs.
While this work is ongoing, it is not currently possible to reliably estimate
the value of incremental costs required to achieve conformance with the new
standard and hence no additional obligation has been recognised in this
respect. Part of the work currently being conducted may require no
modifications to the Group’s TSFs to achieve GISTM compliance. For further
details regarding progress and conformance refer to our website
https://www.panafricanresources.com/pan-african-resources-tailings-management-system/
3. SEGMENT ANALYSIS
Operating segments are reported in a manner consistent with the internal
reporting provided to the chief operating decision-maker. The chief operating
decision-maker, which is responsible for allocating resources and assessing
performance of the operating segments, has been identified as the Pan African
executive committee (Exco). The operating segments of the Group are determined
based on the reports used to make strategic decisions that are reviewed by
Exco. Exco considers the business principally according to the location and
nature of the products and services provided, with each segment representing a
strategic business unit.
The reported segments comprise the following:
Mining operations
These segments derive their revenue from mining, extraction, production and
the sale of gold.
South African operations
* Barberton Mines including the BTRP located in Barberton
* Evander Mines: Elikhulu, the underground 8 Shaft pillar, 24, 25 and 26 Level
project, Egoli project and surface sources located in Evander
* MTR operation: The MTR operation located in the Mogale district; the plant
was commissioned in October 2024 to process gold tailings deposits of Mogale
Gold and Soweto Cluster
* Solar projects currently consist of the solar plant located at Evander
Mines, the solar plant at Barberton Mines (commissioned in October 2024) and
the extension of Evander Mines’ solar plant.
Australian operations
* Tennant Mines is located in the Northern Territory and complements the
Group’s current portfolio of high-margin, long-life surface remining
operations. The segment includes Yungatha which operates a motel in the
Tennant Creek region to support the workforce requirements of local mining
companies, including Tennant company employees.
Other operations
* Exploration assets consist of five prospecting concessions (or exploration
licences) in north-eastern Sudan (the Block 12 concessions), covering an area
of almost 1,100km² and located approximately 70km north-west of Port Sudan
* Agricultural ESG projects mainly comprise the Group’s Barberton
Blueberries project (Barberton Blue Proprietary Limited (Barberton Blue)), as
well as other small-scale agricultural projects in Barberton Mines’ host
community areas
* Corporate consists mainly of the Group’s holding companies and management
services company which renders services to the Group and is located in
Johannesburg
* Funding Company is the centralised treasury function of the Group located in
Johannesburg.
The segment results have been presented based on Exco’s reporting format, in
accordance with the disclosures presented as follows:
FY25 FY25
US$ thousand Notes Barberton Mines Evander Mines Solar projects MTR operation Tennant Mines 1 Mining operations
Revenue 4 242,186 206,166 – 87,344 3,873 539,569
Cost of production 2 (146,105) (123,588) (1,741) (40,670) (1,028) (313,132)
Salaries and wages (49,962) (8,159) – (4,219) (322) (62,662)
Mining (28,145) (23,882) – (3,123) – (55,150)
Processing and metallurgy (18,774) (33,349) (311) (13,525) (337) (66,296)
Engineering and technical services (12,031) (12,695) (152) (3,199) – (28,077)
Electricity (13,217) (21,485) – (6,449) (136) (41,287)
Administration and other (4,612) (5,760) – (1,866) (210) (12,448)
Realisation costs (523) (345) – (198) (21) (1,087)
Security (5,750) (2,578) (233) (1,006) – (9,567)
Fuel costs (2,267) (409) – (823) (2) (3,501)
Depreciation and amortisation 9 (10,824) (14,926) (1,045) (6,262) – (33,057)
Gross profit/(loss) 96,081 82,578 (1,741) 46,674 2,845 226,437
Other income 3 1,373 2,601 – 1,052 873 5,899
Other expenses 3 (11,523) (2,000) (58) (2,225) (1,433) (17,239)
Impairment loss on property, plant and equipment 9 – (27) – – – (27)
Bargain purchase gains 15 – – – – 28,019 28,019
Royalty costs (4,762) (344) – – – (5,106)
Profit/(loss) before finance income and finance costs 81,169 82,808 (1,799) 45,501 30,304 237,983
Finance income 3 5 8 10 4 37 39 98
Finance costs 3 5 (311) (1,435) – (1,157) 53 (2,850)
Profit/(loss) before tax 80,866 81,383 (1,795) 44,381 30,396 235,231
Income tax expense/(credit) 6 (25,085) (21,757) 794 (9,943) 109 (55,882)
Profit/(loss) for the period excluding 55,781 59,626 (1,001) 34,438 30,505 179,349
intra-Group transactions
Revenue – – 1,452 – – 1,452
Cost of production (662) (790) – – – (1,452)
Elimination of dividends received from/(paid to) fellow Group companies – – – – – –
Management fees (1,989) (1,915) (440) (1,633) – (5,977)
Finance income/(costs) 4,211 (7,164) (2,239) (8,059) – (13,251)
Profit/(loss) after tax including intra-Group transactions 57,341 49,757 (2,228) 24,746 30,505 160,121
Segment assets (total assets excluding goodwill) 174,038 400,096 26,119 155,425 122,945 878,623
Segment liabilities 68,613 119,841 223 36,635 64,757 290,069
Net assets (excluding goodwill) 4 105,425 280,255 25,896 118,790 58,188 588,554
Goodwill 17,098 – – – – 17,098
Capital expenditure 5 27,624 47,926 3,530 52,207 35,849 167,136
Reconciliation of adjusted EBITDA 4
Income/(loss) before tax, finance income and finance costs 81,169 82,808 (1,799) 45,501 30,304 237,983
Excluding: depreciation and amortisation included in gross profit 9 10,824 14,926 1,045 6,262 – 33,057
Excluding: other depreciation and amortisation 9 – – – – 38 38
EBITDA 91,993 97,734 (754) 51,763 30,342 271,078
Excluding: impairment loss – 27 – – – 27
Excluding: bargain purchase gains 13 – – – – (28,019) (28,019)
Excluding: unrealised fair value loss on financial derivatives 1,805 – – – 120 1,925
Adjusted EBITDA 6 93,798 97,761 (754) 51,763 2,443 245,011
FY25
US$ thousand Notes Exploration Assets Agricultural ESG projects Corporate Funding Company Group Total
Revenue 4 – 464 – – 540,033
Cost of production 2 – (1,055) – – (314,187)
Salaries and wages – (332) – – (62,994)
Mining – – – – (55,150)
Processing and metallurgy – (191) – – (66,487)
Engineering and technical services – (79) – – (28,156)
Electricity – (23) – – (41,310)
Administration and other – – – – (12,448)
Realisation costs – (69) – – (1,156)
Security – (26) – – (9,593)
Fuel costs – (32) – – (3,533)
Depreciation and amortisation 9 – (303) – – (33,360)
Gross profit/(loss) – (591) – – 225,846
Other income 3 277 16 29 308 6,529
Other expenses 3 (1,010) (106) (18,020) (109) (36,484)
Impairment loss on property, plant and equipment 9 (2,927) – – – (2,954)
Bargain purchase gains 15 – – – – 28,019
Royalty costs – – – – (5,106)
Profit/(loss) before finance income and finance costs (3,660) (681) (17,991) 199 215,850
Finance income 3 5 – 5 179 1,574 1,856
Finance costs 3 5 – – (98) (18,125) (21,073)
Profit/(loss) before tax (3,660) (676) (17,910) (16,352) 196,633
Income tax expense/(credit) 6 – – (116) (30) (56,028)
Profit/(loss) for the period excluding (3,660) (676) (18,026) (16,382) 140,605
intra-Group transactions
Revenue – – 27,999 – 29,451
Cost of production – – – – (1,452)
Elimination of dividends received from/(paid to) fellow Group companies – – (27,999) – (27,999)
Management fees – (83) 6,314 (254) –
Finance income/(costs) – (707) (2,380) 16,338 –
Profit/(loss) after tax including intra-Group transactions (3,660) (1,466) (14,092) (298) 140,605
Segment assets (total assets excluding goodwill) 548 2,926 60,432 44,882 987,411
Segment liabilities 29 61 16,849 150,833 457,841
Net assets (excluding goodwill) 4 519 2,865 43,583 (105,951) 529,570
Goodwill – – – – 17,098
Capital expenditure 5 – 313 460 – 167,909
Reconciliation of adjusted EBITDA 4
Income/(loss) before tax, finance income and finance costs (3,660) (681) (17,991) 199 215,850
Excluding: depreciation and amortisation included in gross profit 9 – 303 – – 33,360
Excluding: other depreciation and amortisation 9 129 9 338 – 514
EBITDA (3,531) (369) (17,653) 199 249,724
Excluding: impairment loss 2,927 – – – 2,954
Excluding: bargain purchase gains 13 – – – – (28,019)
Excluding: unrealised fair value loss on financial derivatives – – – – 1,925
Adjusted EBITDA 6 (604) (369) (17,653) 199 226,584
1Tennant Mines includes Tennant Consolidated Mining Group Proprietary Limited
(Tennant company) and Yungatha Asset Holdings Proprietary Limited (Yungatha).
Tennant company was acquired in November 2024 and the results are for an
eight-month period. Yungatha was acquired in December 2024 and the results are
for a seven-month period.
2 These disclosures have been disaggregated in light of the IFRS
Interpretations Committee’s final agenda decision relating to IFRS 8:
Operating Segments on the disclosure of material income and expense line items
for reportable segments.
3 Other expenses and income exclude intra-Group management fees. Finance
income and finance costs exclude intra-Group interest.
4 The segment assets and liabilities above exclude intra-Group balances.
5 Capital expenditure comprises additions to property, plant and equipment,
mineral rights, exploration and intangible assets.
6Adjusted EBITDA comprises earnings before interest, tax, depreciation and
amortisation, adjusted for impairment losses, bargain
purchase gains and unrealised fair value losses on financial derivatives.
FY24 FY24
US$ thousand Notes Barberton Mines Evander Mines Solar projects MTR operation Mining operations
Revenue 4 185,163 188,074 – – 373,237
Cost of production 1 (126,032) (114,462) (910) (19) (241,423)
Salaries and wages (47,205) (7,676) – – (54,881)
Mining (21,035) (20,552) – – (41,587)
Processing and metallurgy (14,803) (32,922) – – (47,725)
Engineering and technical services (9,791) (15,434) (274) – (25,499)
Electricity (12,332) (18,761) – – (31,093)
Administration and other 2 (5,112) (4,477) – – (9,589)
Realisation costs (566) (431) – – (997)
Security (4,962) (2,016) (174) – (7,152)
Fuel costs (1,730) (185) – – (1,915)
Depreciation and amortisation 9 (8,496) (12,008) (462) (19) (20,985)
Gross profit/(loss) 59,131 73,612 (910) (19) 131,814
Other income 2 1,447 2,538 – 165 4,150
Other expenses 2 (4,967) (1,914) (30) (132) (7,043)
Royalty costs (1,319) (368) – – (1,687)
Net income/(loss) before finance income and finance costs 54,292 73,868 (940) 14 127,234
Finance income 2 5 3 6 5 18 32
Finance costs 2 5 (373) (2,528) – (1,085) (3,986)
Profit/(loss) before tax 53,922 71,346 (935) (1,053) 123,280
Income tax expense (14,239) (14,429) 3 – (28,665)
Profit/(loss) for the year excluding intra-Group transactions 39,683 56,917 (932) (1,053) 94,615
Revenue – – 1,661 – 1,661
Cost of production – (1,661) – – (1,661)
Elimination of dividends received from/(paid to) fellow Group companies – – – – –
Management fees (4,422) (3,536) (53) – (8,011)
Finance income/(costs) 3,495 (3,705) (665) – (875)
Profit/(loss) after tax including intra-Group transactions 38,756 48,015 11 (1,053) 85,729
Segment assets (total assets excluding goodwill) 152,921 352,275 22,636 104,555 632,387
Segment liabilities 56,373 100,538 1,468 23,340 181,719
Net assets (excluding goodwill) 3 96,548 251,737 21,168 81,215 450,668
Goodwill 16,685 – – – 16,685
Capital expenditure 4 21,961 70,642 10,318 68,654 171,575
Reconciliation of EBITDA 5
Net income/(loss) before tax, finance income and finance costs 54,292 73,868 (940) 14 127,234
Excluding: depreciation and amortisation included in gross profit 9 8,496 12,008 462 19 20,985
Excluding: other depreciation and amortisation 9 – – – – –
EBITDA 5 62,788 85,876 (478) 33 148,219
FY24
US$ thousand Notes Exploration assets Agricultural ESG projects Corporate Funding Company Group Total
Revenue 4 – 559 – – 373,796
Cost of production 1 – (1,004) – – (242,427)
Salaries and wages – (312) – – (55,193)
Mining – – – – (41,587)
Processing and metallurgy – (267) – – (47,992)
Engineering and technical services – (69) – – (25,568)
Electricity – (22) – – (31,115)
Administration and other 2 – – – – (9,589)
Realisation costs – (41) – – (1,038)
Security – (5) – – (7,157)
Fuel costs – (27) – – (1,942)
Depreciation and amortisation 9 – (261) – – (21,246)
Gross profit/(loss) – (445) – – 131,369
Other income 2 260 1 (393) 88 4,106
Other expenses 2 (1,184) (178) (5,195) (251) (14,481)
Royalty costs – – – – (1,687)
Net income/(loss) before finance income and finance costs (1,554) (622) (5,588) (163) 119,307
Finance income 2 5 – 6 203 1,643 1,884
Finance costs 2 5 – – (29) (7,769) (11,784)
Profit/(loss) before tax (1,554) (616) (5,414) (6,289) 109,407
Income tax expense – – (1,911) (5) (30,581)
Profit/(loss) for the year excluding intra-Group transactions (1,554) (616) (7,325) (6,294) 78,826
Revenue – – 15,916 – 17,577
Cost of production – – – – (1,661)
Elimination of dividends received from/(paid to) fellow Group companies – – (15,916) – (15,916)
Management fees (160) (80) 8,465 (214) –
Finance income/(costs) – (627) (7,539) 9,041 –
Profit/(loss) after tax including intra-Group transactions (1,714) (1,323) (6,399) 2,533 78,826
Segment assets (total assets excluding goodwill) 3,683 2,868 8,178 22,270 669,386
Segment liabilities 17 62 12,333 127,837 321,968
Net assets (excluding goodwill) 3 3,666 2,806 (4,155) (105,567) 347,418
Goodwill – – – – 16,685
Capital expenditure 4 156 66 608 – 172,405
Reconciliation of EBITDA 5
Net income/(loss) before tax, finance income and finance costs (1,554) (622) (5,588) (163) 119,307
Excluding: depreciation and amortisation included in gross profit 9 – 261 – – 21,246
Excluding: other depreciation and amortisation 9 380 13 268 – 661
EBITDA 5 (1,174) (348) (5,320) (163) 141,214
1 These disclosures have been disaggregated in light of the IFRS
Interpretations Committee’s final agenda decision relating to IFRS 8:
Operating Segments on the disclosure of material income and expense line items
for reportable segments.
2 Other expenses and income exclude intra-Group management fees. Finance
income and finance costs exclude intra-Group interest.
3 The segment assets and liabilities above exclude intra-Group balances.
4 Capital expenditure comprises additions to property, plant and equipment,
mineral rights, exploration and intangible assets.
5 EBITDA comprises earnings before interest, tax, depreciation and
amortisation.
4. REVENUE
US$ thousand FY25 FY24
Revenue from contracts with customers
Gold revenue 538,572 372,589
Silver revenue 997 648
Blueberries revenue 464 559
Total revenue 540,033 373,796
Revenue per geographical market
South Africa 535,824 373,540
Australia 3,873 –
UK and Europe 336 256
Total revenue 540,033 373,796
5. NET FINANCE COSTS
US$ thousand Note FY25 FY24
Finance income
Finance income in respect of:
– Cash and cash equivalents 1,807 1,824
– Tax authorities 47 60
– Other 2 –
Total finance income 1,856 1,884
Finance costs
Finance costs in respect of:
– Borrowings 11 (25,033) (11,637)
– Borrowing costs capitalised 11 7,190 3,792
– Lease liabilities (326) (286)
– Environmental rehabilitation obligation (2,156) (2,161)
– Contract liability (277) (1,301)
– Trade payables (105) (84)
– Financial liability (278) (107)
– Cash and cash equivalents (4) –
– Tax authorities (84) –
Total finance costs (21,073) (11,784)
Net finance (costs)/income (19,217) (9,900)
6. INCOME TAX
US$ thousand FY25 FY24
Income tax expense
South African current tax 19,348 12,527
– Current year 19,354 12,504
– Prior year (6) 23
Australian current tax 371 –
– Current year 371 –
Securities transfer tax – 14
Deferred tax 36,309 18,040
– Current year 33,438 16,911
– Prior year 2,871 1,129
Income tax expense recognised in profit or loss 56,028 30,581
Assessed loss Unredeemed capital
carried forward carried forward
US$ thousand FY25 FY24 FY25 FY24
Evander Mines 479 450 60,652 96,805
Deferred tax assets have only been recognised, where applicable, on the basis
that the individual Group companies will be able to generate future taxable
economic benefits to utilise current deductible temporary differences.
7. DEFERRED TAX
% FY25 FY24
Barberton Mines 24.00 22.00
Evander Mines (other and mining rights) 28.00 27.00
MTR operation 28.00 27.00
Tennant Mines 30.00 –
Other Group companies 27.00 27.00
Deferred tax balances at the reporting date are as follows:
US$ thousand FY25 FY24
Deferred tax liabilities
Arising from temporary differences relating to:
Inventory 9,080 –
Property, plant and equipment 136,460 91,404
Environmental rehabilitation obligation (4,651) (3,009)
Prepayments (40) (47)
Assessed loss (169) (2,075)
Lease liabilities (174) (725)
Other – (195)
Net deferred tax liabilities 140,506 85,353
Reconciliation of deferred tax liabilities
Net deferred tax liabilities as at 1 July 85,353 64,345
Deferred tax recognised at acquisition 14,439 –
Deferred tax recognised in profit or loss 37,750 18,223
Transferred to deferred tax assets (44) –
Foreign currency translation reserve movement 3,008 2,785
Net deferred tax liabilities as at 30 June 140,506 85,353
Deferred tax assets
Arising from temporary differences relating to:
Property, plant and equipment (5,936) (27)
Assessed loss 6,729 –
Other payables 1 1,171 617
Lease liability 2 54
Prepayments (19) (29)
Cash-settled share-based payment obligation 125 16
Net deferred tax assets 2,072 631
Reconciliation of deferred tax assets
Net deferred tax assets as at 1 July 631 428
Deferred tax recognised in profit or loss 1,441 183
Transferred from deferred tax liability (44) –
Foreign currency translation reserve movement 44 20
Net deferred tax assets as at 30 June 2,072 631
1 Other payables relate to the temporary difference on the accrual for
employee benefits and leave pay liability.
8. Inventory
US$ thousand FY25 FY24
Gold at Rand Refinery 5,343 6,323
Consumables stores 15,852 10,115
Current portion of long-term inventory 18,131 213
Allowance for obsolete inventory (439) (220)
Current inventory 38,887 16,431
Long-term inventory 1 25,698 12,263
Total inventory 64,585 28,694
Inventory recognised in cost of production 27,358 33,862
1 The long-term inventory increased in the current reporting period as a
result of the acquisition of Tennant Mines (refer to note 15.1) and relates to
a holding of tailings contained in Barberton Mines’ Harper tailings storage
facility (TSF), Mogale Gold, MSC and Tennant Mines.
There was no write-down of inventory to net realisable value or any reversal
of write-downs in the current or previous reporting period.
9. Property, plant and equipment
US$ thousand Land 1 Mineral rights and mining property Exploration assets – other 2 Exploration assets – Sudan Leasehold improve- ments Buildings and infrastructure – owned Buildings and infrastructure – right-of- use assets
Cost
Balance as at 1 July 2023 5,004 35,005 24,955 1,569 1,069 86,592 755
Additions – – – – 9 2,893 –
Disposals – – – – – – –
Increase in environmental rehabilitation obligation – – – – – 276 –
Borrowing costs capitalised – – – – – – –
Transfers – – – – – 15,887 –
Derecognition 5 – – – – – (8,077) –
Foreign currency translation reserve movement 176 1,232 878 21 (74) 3,591 27
Balance as at 30 June 2024 5,180 36,237 25,833 1,590 1,004 101,162 782
Additions through business combination 6 – 31,628 22,718 – – 5,126 1,082
Additions – 1,007 3,921 – – 2,032 125
Additions – right-of-use asset – – – – – – –
Disposals – – – – – – –
(Decrease)/increase in environmental – (124) – – – 1,236 –
rehabilitation obligation
Borrowing costs capitalised – – – – – – –
Transfers 1,504 – – – – 55,030 –
Foreign currency translation reserve movement 164 911 699 39 25 3,949 21
Balance as at 30 June 2025 6,848 69,659 53,171 1,629 1,029 168,535 2,010
Accumulated depreciation and
accumulated impairment losses
Balance as at 1 July 2023 – (17,530) – – (85) (39,750) (496)
Depreciation – (473) – – (173) (3,970) (159)
Disposals – – – – – – –
Transfers – – – – – – –
Derecognition 5 – – – – – 8,077 –
Foreign currency translation reserve movement – (630) – – 3 (1,512) (22)
Balance as at 30 June 2024 – (18,633) – – (255) (37,155) (677)
Depreciation – (473) – – (57) (12,608) (123)
Impairment losses – – 52 (1,590) (554) – –
Disposals – – – – – – –
Transfers – – – – – (148) –
Foreign currency translation reserve movement – (473) 1 (39) (21) (1,219) (20)
Balance as at 30 June 2025 – (19,579) 53 (1,629) (887) (51,130) (820)
Carrying amount
As at 30 June 2024 5,180 17,604 25,833 1,590 749 64,007 105
As at 30 June 2025 6,848 50,080 53,224 – 142 117,405 1,190
US$ thousand Plant and machinery – owned Plant and machinery – right-of- use assets Capital under construction 3 Shafts and exploration Bearer plants Other 4 Total
Cost
Balance as at 1 July 2023 274,133 4,159 22,068 179,974 1,051 750 637,084
Additions 10,244 – 148,925 9,968 57 309 172,405
Disposals (273) – (1) – – – (274)
Increase in environmental rehabilitation obligation – – – – – – 276
Borrowing costs capitalised – – 3,792 – – – 3,792
Transfers 6,570 – (22,639) – – – (182)
Derecognition 5 (32,491) – – (18,209) – – (58,777)
Foreign currency translation reserve movement 10,031 146 4,495 6,617 39 35 27,214
Balance as at 30 June 2024 268,214 4,305 156,640 178,350 1,147 1,094 781,538
Additions through business combination 6 18,240 – 20,601 – – 9 99,404
Additions 9,376 – 148,019 2,625 – 804 167,909
Additions – right-of-use asset – 1,293 – – – – 1,293
Disposals (306) – – – – (21) (327)
(Decrease)/increase in environmental – – 554 – – – 1,666
rehabilitation obligation
Borrowing costs capitalised – – 7,190 – – – 7,190
Transfers 108,790 – (166,354) – – 1,386 356
Foreign currency translation reserve movement 9,441 137 3,413 4,483 28 72 23,382
Balance as at 30 June 2025 413,755 5,735 170,063 185,458 1,175 3,344 1,082,411
Accumulated depreciation and
accumulated impairment losses
Balance as at 1 July 2023 (140,666) (1,793) – (40,859) (123) (535) (241,837)
Depreciation (12,625) (520) – (3,675) (106) (123) (21,824)
Disposals 10 – – – – – 10
Transfers 31 – – – – – 31
Derecognition 5 32,491 – – 18,209 – – 58,777
Foreign currency translation reserve movement (5,296) (78) – (1,543) (7) (22) (9,107)
Balance as at 30 June 2024 (126,055) (2,391) – (27,868) (236) (680) (213,950)
Depreciation (15,896) (693) – (4,082) (109) (353) (34,394)
Impairment losses (862) – – – – – (2,954)
Disposals 131 – – – – 10 141
Transfers (604) – – – – 148 (604)
Foreign currency translation reserve movement (3,533) (76) – (787) (8) (25) (6,200)
Balance as at 30 June 2025 (146,819) (3,160) – (32,737) (353) (900) (257,961)
Carrying amount
As at 30 June 2024 142,159 1,914 156,640 150,482 911 414 567,588
As at 30 June 2025 266,936 2,575 170,063 152,721 822 2,444 824,450
1 Land registers are maintained at the offices of Barberton Mines and
Evander Mines, which may be inspected by a member or their duly authorised
agents.
2 Exploration assets comprise Evander South, Rolspruit, Poplar and Tennant
Mines.
3 Capital under construction balance represents ongoing capital projects
within the Group.
4 Other assets include computer equipment and furniture and fittings.
5 Items of property, plant and equipment which are fully depreciated were
derecognised as they are no longer in use.
6 Refer note 15.10.
CAPITAL EXPENDITURE
US$ thousand Sustaining capital Expansion capital Total
Barberton Mines FY25 8,568 19,057 27,625
FY24 11,546 10,415 21,961
Evander Mines FY25 – 40,919 40,919
FY24 – 54,348 54,348
Elikhulu FY25 1,972 5,035 7,007
FY24 1,857 14,437 16,294
MTR operation FY25 269 51,938 52,207
FY24 – 68,654 68,654
Tennant Mines FY25 – 35,849 35,849
FY24 – – –
Corporate FY25 460 – 460
FY24 288 320 608
Agricultural ESG projects FY25 314 – 314
FY24 66 – 66
Solar projects FY25 45 3,485 3,530
FY24 – 10,318 10,318
Exploration assets FY25 – – –
FY24 – 156 156
Total FY25 11,626 156,283 167,909
FY24 13,757 158,648 172,405
11. BORROWINGS
US$ thousand FY25 FY24
RCF 13,988 10,842
Term loan 68,804 53,519
Green loan – 19,199
Domestic medium-term note (DMTN) bond 67,972 44,225
Realside facility 29,822 –
Northern Territory of Australia loan 7,049 –
National Australia Bank loan 2,342 –
189,977 127,785
Less: current portion (86,335) (4,729)
Non-current portion 103,642 123,056
Total borrowings 189,977 127,785
Credit facilities
The Group has the following credit facilities, guarantees and derivative
trading facilities in place:
US$ thousand FY25 FY24
South Africa
RCF 56,388 54,975
Term facility 69,577 71,468
Green loan – 19,241
Guarantees 1
Eskom Holdings SOC Limited 3,761 1,278
DMPR – Cenviro Solutions insurance investment product 37,626 35,963
General banking facility 2 7,887 7,697
Pre-settlement splits
Forward exchange contract limit facility 2,535 2,474
Precious metals hedging facility 2,254 2,199
Gold hedging facility 15,211 14,843
US$ gold and derivatives trading facilities 3 35,003 34,157
Gold loan facility 16,338 15,943
Credit cards 167 163
Other credit facilities 282 275
Australia
Realside facility 31,020 –
Northern Territory of Australia facility 6,600 –
National Australia Bank loan 2,310 –
Total credit facilities 286,959 260,676
1 The guarantees issued to Eskom Holdings SOC Limited relate to the supply of
electricity. RMB issued a guarantee to Eskom on behalf of MTR resulting in an
increase in the Eskom guarantee. The guarantees issued to the DMPR relate to
the Group’s environmental rehabilitation obligation.
2 The Nedbank Limited and RMB general banking facilities are secured and were
unutilised in the current and previous reporting periods. These facilities,
when utilised, bear interest at rates linked to the South African prime
interest rate.
3 The US$ gold and derivative trading facilities are used by the Group for
the purpose of trading gold inventory and subsequent conversion of US$ sales
proceeds into rand. The facilities are held at Absa Bank Limited, Nedbank
Limited, Rand Merchant Bank Limited and Investec Bank Limited.
The Group has access to the following funding and undrawn facilities as at the
reporting date:
US$ thousand FY25 FY24
General banking facilities 7,887 7,697
Utilisation of the general banking facilities – –
RCF 56,388 54,975
Utilisation of the RCF 1 (14,085) (10,995)
Term loan 69,577 71,468
Utilisation of the term loan 1 (69,577) (54,426)
Green loan – 19,241
Utilisation of the green loan 1 – (19,241)
Realside facility 31,020 –
Utilisation of the realside facility 1 (31,020) –
Northern Territory of Australia facility 6,600 –
Utilisation of the Northern Territory of Australia facility 1 (6,600) –
National Australia Bank loan 2,310 –
Utilisation of the National Australia Bank loan 1 (2,310) –
Total available debt facilities 50,190 68,719
1 Excludes accrued interest on the facility as at 30 June.
Financial covenants
The financial covenants listed below are in place for the RCF, term loan,
green loan and DMTN bonds and are calculated for a 12-month period at each
reporting date.
Covenant 1 Measurement at period-end FY25 FY24
RCF, term loan, green loan and
DMTN bonds
Debt service cover ratio Must be greater than 1.3:1 8.3 3.8
Net debt-to-equity ratio Must be less than 1:1 0.21 0.29
Net debt-to-adjusted EBITDA ratio Must be less than 2:1 0.5 0.8
Interest cover ratio Must be greater than 4:1 10.7 12.2
1 Refer to the alternative performance measures summary report for the
covenant reconciliation and calculations.
12. SHARE CAPITAL
Number of shares FY25 FY24
Authorised and issued number of ordinary shares 2,335,675,263 2,222,862,046
Reconciliation of the number of shares:
Number of ordinary shares in issue at 1 July 2,222,862,046 2,222,862,046
Issued 112,813,217 –
Treasury shares (306,358,058) (306,358,058)
Number of ordinary shares outstanding and fully paid 2,029,317,205 1,916,503,988
The movement in share capital for the reporting period is as follows:
US$ thousand FY25 FY24
Balance as at 1 July 38,002 38,002
Issued 1 1,440 –
Balance as at 30 June 39,442 38,002
1 Of the issued shares, 83,597,210 were issued for the acquisition of Tennant
company and 4,298,400 were issued for the acquisition of Yungatha. The
remaining 24,917,607 shares were issued to a prior lender of Tennant company,
to novate an existing debt obligation. Refer to note 15
13. SHARE PREMIUM
The movement in share premium for the reporting period is as follows:
US$ thousand FY25 FY24
Balance as at 1 July 235,063 235,063
Capital reduction (235,063) –
Shares issued 1 10,877 –
Balance as at 30 June 10,877 235,063
1 During the current reporting period, 24,917,607 shares were issued to a
prior lender of Tennant company, to novate an existing debt obligation. Refer
to note 15.
Capital reduction
Formal approval of the capital reduction was granted by the High Court of
Justice (the Court) on 2 July 2024. The Court order confirming the capital
reduction and statement of capital approved by the Court, was registered with
the Registrar of Companies on 18 July 2024, and therefore the capital
reduction became effective on this date. Following the share capital
reduction, the Company’s share premium account was cancelled in full, with
the amount appropriated to retained earnings.
Details of the capital reduction, the purpose of which was to create
distributable reserves and to enable the Company to address certain historical
dividends issues, were more particularly set out in the Company’s notice of
general meeting, published by the Company on 24 May 2024, a copy of which is
available on the Company’s website.
14. MERGER RESERVE
The movement in the merger reserve for the reporting period is as follows:
US$ thousand FY25 FY24
Balance as at 1 July (21,638) (21,638)
Shares issued 1 38,369 –
Balance as at 30 June 16,731 (21,638)
1 The merger reserve consists of the historical Barberton mines reverse
acquisition reserve of a debit balance of US$21,638 and the current period
merger relief reserve that arose on the acquisition of Tennant company of a
credit balance of US$38,369. The merger relief reserve was recognised in
accordance with section 612 of the Companies Act 2006.
15. ACQUISITIONS AND DISPOSALS
15.1 Acquisition of Tennant Consolidated Mining Group Proprietary Limited
(Tennant company)
The Company acquired an initial 8% investment in Tennant company on 4 April
2024 for a consideration of US$3.280 million. Tennant company is a gold and
copper-focused resource company with an exploration portfolio of tenements
located in the Northern Territory of Australia. This initial equity investment
was measured at fair value with any changes in fair value recognised in other
comprehensive income.
On 5 November 2024, the Company, through its acquired wholly owned
subsidiaries, acquired the remaining 92% investment in Tennant company for a
fixed consideration of US$38.5 million, resulting in a total equity
shareholding of 100% in Tennant company. The purchase consideration was
settled through the issue of 83,597,210 ordinary Pan African Resources PLC
shares on 10 December 2024, based on the fixed 30-day volume-weighted average
price (VWAP) of 35.20 pence per share (US 45 cents per share) on settlement
date. In accordance with section 612 of the Companies Act 2006, the premium in
respect of the shares issued was recognised in the merger reserve.
On the same date, Pan African issued an additional 24,917,607 shares for a
fixed amount of US$11.5 million, based on the same fixed 30-day VWAP. The
issuance related to a loan novation agreement under which Pan African
Resources Australia replaced an existing lender of debt funding in respect of
financing provided to Tennant company. The debt remains an obligation in
Tennant company’s separate financial statements. This novation has been
recognised separately from the acquisition of Tennant company’s assets and
liabilities. As the novated debt, subsequent to acquisition, represents an
intra-Group balance, it is eliminated on consolidation. No material
transaction costs were incurred on the debt novation. As the shares were not
issued as part of the arrangement to acquire Tennant company, the premium in
respect of the shares issued was recognised in the share premium reserve.
The acquisition of Tennant company represents an opportunity for Pan African
to further expand and diversify the Group’s near-term, low-cost and low-risk
production base and presents the next phase in the growth trajectory of the
Group, in a Tier 1 mining jurisdiction (Australia’s Northern Territory). The
investment is complementary to the Group’s current portfolio of high-margin,
long-life surface remining operations. Tennant Mines was commissioned in April
of the current reporting period with an initial eight-year LoM. The
acquisition represents access to an attractive asset portfolio in one of
Australia’s known high-grade mineral fields.
Details of the purchase consideration, the net assets acquired and the bargain
purchase gains are as follows:
Purchase consideration
US$ thousand Note Fair value
Ordinary shares issued (83,597,210 shares based on the 30-day VWAP of 12 38,508
US 45 cents per share)
Fair value of assets acquired and liabilities assumed on acquisition date
The fair values of the assets and liabilities of Tennant company as at the
date of acquisition are as follows:
US$ thousand Notes Fair value
Property, plant and equipment 9 94,625
– Mineral rights 31,628
– Exploration assets 22,718
– Capital under construction 20,601
– Plant and machinery 18,240
– Buildings – leased 1,082
– Other buildings – owned 356
Long-term inventory 30,266
Trade and other receivables 2,815
Derivative financial asset 121
Cash and cash equivalents 9,665
Deferred tax liability (14,224)
Borrowings (45,008)
Environmental rehabilitation obligation (625)
Lease liability (1,113)
Financial liabilities (875)
Trade and other payables (3,714)
Total identifiable net assets acquired at fair value 71,933
Bargain purchase gain
The bargain purchase gain was determined as follows:
US$ thousand Fair value
Purchase consideration 38,508
Plus : fair value of previously held equity interest in Tennant company 5,408
Less : total identifiable net assets acquired at fair value (71,933)
Bargain purchase gain (28,017)
The acquisition of Tennant company resulted in the recognition of a bargain
purchase gain of US$28.017 million. The bargain purchase gain arose due to a
multitude of factors, including the following:
* The purchase consideration for Tennant company was agreed at a fixed A$
price per Tennant company share prior to the closing date and effective date
of acquisition
* During this period, the gold price increased significantly which directly
increased the fair value of the net identifiable assets on acquisition
* During this period, the risk profile of Tennant company was reduced due to
accelerated exploration activities and accelerated construction of the mining
plant, which resulted in operations commencing sooner than initially forecast.
15.2 Acquisition of Yungatha Asset Holdings Proprietary Limited (Yungatha)
On 10 December 2024, Tennant company acquired 100% of the issued share capital
of Yungatha for a fixed consideration of US$1.954 million (A$3.0 million). The
purchase consideration was settled through the issue of 4,298,400 ordinary Pan
African Resources PLC shares on 10 December 2024, based on the fixed 30-day
VWAP of 35.20 pence per share (US 45 cents per share) on settlement date.
Yungatha operates as a motel in the Tennant Creek region to support the
workforce requirements of local mining companies and other contractors and
workers, including Tennant company employees. This strategic investment
provides additional economies of scale to the Group as Tennant company
currently occupies the majority of the motel’s capacity.
Purchase consideration
US$ thousand Note Fair value
Ordinary shares issued (4,298,400 shares based on the 30-day VWAP of 12 1,954
US 45 cents per share)
Fair value of assets acquired and liabilities assumed on acquisition date
The fair values of the assets and liabilities of Yungatha as at the date of
acquisition were as follows:
US$ thousand Note Fair value
Property, plant and equipment 9 4,779
– Property 4,770
– Other 9
Trade and other receivable 1 24
Cash and cash equivalents 24
Deferred tax liability (212)
Financial liabilities (2,279)
Trade and other payables (380)
Total identifiable net assets acquired at fair value 1,956
Bargain purchase gain (2)
Purchase consideration transferred 1,954
15.3 Disposals
There were no disposals during the current or previous reporting period.
16. RECONCILIATION OF PROFIT BEFORE TAX TO CASH GENERATED BY OPERATIONS
US$ thousand Notes FY25 FY24
Profit before tax 196,633 109,407
Adjusted for: 30,079 23,771
Cash-settled share-based payment expense 13,358 4,142
Finance income 5 (1,856) (1,884)
Finance costs 5 21,073 11,784
Bargain purchase gains 15 (28,019) –
Loss on disposal of plant and equipment 53 106
Royalty costs 5,106 1,687
Unrealised loss on derivative contract 1,925 403
Change in estimate of the environmental rehabilitation obligation (481) (62)
Contract liability recognised as revenue (15,812) (11,991)
Fair value gain on environmental rehabilitation obligation fund (2,616) (2,319)
Depreciation and amortisation 9 34,394 21,905
Impairment of property, plant and equipment 9 2,954 –
Operating cash flows before working capital changes 226,712 133,178
Working capital (2,113) 4,303
Increase in inventories (4,814) (1,777)
Decrease/(increase) in trade and other receivables 2,833 (6,058)
(Decrease)/increase in trade and other payables (132) 12,138
Settlement of cash-settled share-based payment obligation (9,600) (3,171)
Advanced consideration received 8 422 –
Settlement of financial derivative (5) –
Rehabilitation costs incurred (232) –
Net cash from operating activities before dividend, 223,184 134,310
tax, royalties and net finance costs
17. FINANCIAL INSTRUMENTS
US$ thousand Note FY25 FY24
Financial assets
At amortised cost
Cash and cash equivalents 49,532 26,332
Trade and other receivables 3,648 4,008
At fair value through other comprehensive income
Investment – 3,373
At fair value through profit or loss
Environmental rehabilitation obligation fund 29,118 24,773
Financial liabilities
At amortised cost
Trade and other payables 64,837 59,308
Borrowings 11 189,977 127,785
Financial liability 3,306 703
At fair value through profit or loss
Derivative financial liability 1,848 5
Fair value of financial instruments
The directors consider the carrying amounts of financial assets and
liabilities to approximate their fair values due to their short-term nature.
Fair value hierarchy
Financial instruments measured at fair value are classified in the fair value
hierarchy based on the extent to which fair value is observable. The levels
are determined as follows:
Level 1 – Fair value is based on quoted prices in active markets for
identical financial assets or liabilities.
Level 2 – Fair value is determined using inputs other than quoted prices
included within Level 1 that are observable for the asset or liability, either
directly (i.e. prices) or indirectly (i.e. derived from prices).
Level 3 – Fair value is determined on inputs not based on observable market
data.
US$ thousand Level 1 Level 2 Level 3 Total
FY25
Environmental rehabilitation obligation fund 1 – 29,118 – 29,118
Derivative financial liability – (1,848) – (1,848)
FY24
Investment 2 – – 3,373 3,373
Environmental rehabilitation obligation fund 1 – 24,773 – 24,773
Derivative financial liability – (5) – (5)
1 The environmental rehabilitation obligation fund is treated as Level 2 per
the fair value hierarchy as the premiums are invested in interest-bearing
short-term deposits and equity share portfolios held in an insurance
investment product which is managed by independent fund managers.
2 The fair value of Tennant company was classified as Level 3 as the shares
are not quoted on an exchange. An independent valuation specialist was
appointed to undertake a detailed valuation of the enterprise value of Tennant
company. The fair value of Tennant company was derived by multiplying the
enterprise value with the Company’s 8% shareholding and applying a discount
for lack of control and marketability. The fair value of the investment was
not substantially different to its carrying amount at the previous reporting
period, and therefore no fair value adjustment was recognised.
18. COMMITMENTS, CONTINGENT LIABILITIES AND GUARANTEES
US$ thousand FY25 FY24
Outstanding open orders 36,500 35,100
Board-approved commitments, not yet contracted for 106,300 67,600
IFRS 16 lease commitments – due within the next 12 months 1,050 791
Financial liability commitment – due within the next 12 months 2,370 329
Guarantees – Eskom Holdings SOC Limited 3,761 1,278
Department of Mineral and Petroleum Resources 37,626 35,963
Power purchase agreement
The Company entered into a power purchase agreement (PPA) with Sturdee Energy
in a prior reporting period. As the relevant conditions precedent were not
fulfilled, the PPA has subsequently lapsed. As such, management entered into a
new PPA on 3 July 2025 with NOA Group Trading Proprietary Limited. The PPA is
for the supply of wheeled power for 10 years, with the option to extend it for
another five years.
Contingent liabilities
The Group identified no material contingent liabilities in the current or
previous reporting period.
19. RELATED PARTY TRANSACTIONS
The related party transactions are summarised as follows:
* Intra-Group interest and management fees – refer to segment analysis note
3
* Intra-Group loans have no specific repayment terms, are repayable on demand
and bear interest in relation to the treasury function provided by Funding
Company
* Intra-Group PAR Gold reciprocal dividend – refer to the summarised
consolidated statement of changes in equity
* Intra-Group electricity charge between Evander Solar Solutions Proprietary
Limited and Evander Mines for the electricity produced by the solar plant and
utilised by Elikhulu – refer to segment analysis note 3.
No further material related party transactions occurred, either with third
parties or with Group entities, during the current or previous reporting
period.
20. LITIGATION AND CLAIMS
Evander Mines and MPC
Evander Mines terminated the contract mining agreement (CMA) with its 8 Shaft
contractor during the previous reporting period due to disputes over specific
clauses in the CMA. Evander Mines referred this matter to arbitration and the
proceedings are still ongoing. The likelihood of any outflow of economic
benefits is remote.
Department of Forestry, Fisheries and the Environment – alleged offences in
the Barberton Nature Reserve
On 22 May 2025, the South African state served a summons on Barberton Mines
and its environmental health and safety manager for alleged contraventions of
the National Environmental Management: Protected Areas Act, 57 of 2003, and
related regulations. The charges relate to (i) conducting commercial
prospecting in a nature reserve and (ii) the unauthorised widening and
upgrading of a road within a nature reserve. Barberton Mines denies the merits
of the charges and is preparing representations to the state, to be submitted
on 18 September 2025. The likelihood of any outflow of economic benefits is
remote.
Sheba Mines’ water use licence
Sheba Mine has applied to the Department of Water and Sanitation (DWS) for the
respective National
Water Act, section 21 water use licence. The respective water use licence
application has not yet been approved by the DWS for Sheba Mine. The water use
licence conditions are not yet known, and the subsequent potential water
resource impact liability as part of the mine rehabilitation and closure
process (to which DWS is an important participant and decision-maker) is
uncertain. Sheba Mine continues to operate legally and responsibly.
Barberton Mines land claim
Barberton Mines is aware of a land claim, lodged by individuals purporting to
be part of communities surrounding Barberton’s Sheba Mine, pertaining to two
portions of land, one over which Barberton holds a converted mining right. The
merits of the claim remain unproven, and it appears opportunistic. The
Group’s legal counsel has advised that, irrespective of the merits of the
claim there will be no impact whatsoever on the company’s ability to
exercise its mining right and continue operations.
21. EVENTS AFTER THE REPORTING PERIOD
Share buy-back
As announced on SENS on 30 June 2025, the Company entered into a share
buy-back programme to purchase up to ZAR200 million (approximately US$11.27
million or GBP8.2 million) of ordinary shares of GBP0.01 each. Subsequent to
the reporting date, the Company has bought back 2,003,735 shares.
Interim accounts – July 2024
It has come to the Company’s attention that the July 2024 interim accounts
in support of the 2024 dividend were posted to, but not received, by Companies
House, resulting in a technical issue with regards to the requirements under
the Companies Act for the payment of the dividend made in December 2024 and
the share buy backs in July 2025. The Company will include resolutions in the
notice of AGM for the meeting to be held on 20 November 2025 to enter into
deeds of release to remedy the historic dividend payment and the share buy
backs and also to reduce the Company’s share capital to remedy the share buy
backs. This technical issue in respect of the dividend and share buy backs is
of an historic nature and there is no change to the financial outlook of the
Group as a consequence. The remedial action that will be taken does not affect
the Company’s existing distributable reserves nor its capacity to pay
shareholder dividends going forward in accordance with the Company’s
dividend policy.
OTHER INFORMATION
ALTERNATIVE PERFORMANCE MEASURES
Introduction
When assessing and discussing Pan African’s reported financial performance,
financial position and cash flows, management makes reference to alternative
performance measures (APMs) of historical or future financial performance,
financial position or cash flows that are not defined or specified under IFRS
Accounting Standards.
The APMs include financial APMs, non-financial APMs and ratios, as described
below.
* Financial APMs: These financial measures are usually derived from the annual
financial statements which have been prepared in accordance with IFRS
Accounting Standards. Certain financial measures cannot be directly derived
from the financial statements as they contain additional information such as
financial information from earlier periods or profit estimates or projections.
The accounting policies applied when calculating APMs are, where relevant and
unless otherwise stated, the same as those disclosed in the consolidated
financial statements for the year ended 30 June 2025.
* Non-financial APMs: These measures incorporate certain non-financial
information that management believes is useful when assessing the performance
of the Group.
* Ratios: Ratios may be calculated using any of the APMs referred to above,
IFRS Accounting Standards measures or a combination of APMs and IFRS
Accounting Standards measures. APMs are not uniformly defined by all companies
and may not be comparable with APM disclosures made by other companies, and
they exclude:
– measures defined or specified by an applicable reporting framework such
as revenue, profit or loss or earnings per share
– physical or non-financial measures such as number of employees, number of
subscribers, revenue per unit measure (when the revenue figures are extracted
directly from the annual financial statements) or social and environmental
measures such as gas emissions, breakdown of workforce by contract or
geographical location
– information on major shareholdings, acquisition or disposal of own shares
and total number of voting rights
– information to explain the compliance with the terms of an agreement or
legislative requirements such as lending covenants or the basis of calculating
director or executive remuneration.
APMs should be considered in addition to, and not as a substitute for or as
superior to, measures of financial performance, financial position or cash
flows reported in accordance with IFRS Accounting Standards.
PURPOSE OF APMs
The Group uses APMs to improve the comparability of information between
reporting periods and reporting segments by adjusting for uncontrollable or
once-off factors which impact IFRS Accounting Standards measurements and
disclosures to aid the user of the integrated annual report in understanding
the activity taking place across the Group’s portfolio. The directors are
responsible for preparing and ensuring the APMs comply with Practice Note
4/2019 (Performance Measures) of the JSE Listings Requirements. Their use is
driven by characteristics particularly visible in the mining sector.
* Earnings volatility: The sector is characterised by significant volatility
in earnings driven by movements in macroeconomic factors, primarily commodity
prices and foreign exchange rates. This volatility is outside the control of
management and can mask underlying changes in performance. As such, when
comparing year-on-year performance, management excludes certain non-recurring
items to aid comparability and then quantifies and isolates uncontrollable
factors to improve understanding of the controllable portion of variances.
* Nature of investment: Investments in the sector are typically
capital-intensive and occur over several years requiring significant funding
before generating cash. These investments are often made through debt and
equity providers, and the nature of the Group’s ownership interest affects
how the financial results of these operations are reflected in the Group’s
results, for example, whether full consolidation (subsidiaries), consolidation
of the Group’s attributable assets and liabilities (joint operations) or
equity-accounted (associates and joint ventures).
* Portfolio complexity: At year-end, the Group’s operating portfolio remains
largely in commodities, mainly gold, which accounts for 99.7% of the Group’s
revenue at year-end. The cost, value of and return from each saleable unit
(such as tonne or ounce) therefore does not differ materially between each
operating business. This makes understanding both the overall portfolio
performance and the relative performance of each mining operation on a
like-for-like basis less challenging.
Consequently, APMs are used by the board and management for planning and
reporting. A subset is also used by management in setting director and
management remuneration. The measures are also used in discussions with the
investment analyst community and credit rating agencies.
Financial APMs
Group APM Related IFRS Accounting Standards measure Adjustments to reconcile to primary statements Rationale for adjustment
Performance
All-in sustaining costs (AISC) Cost of production Other related costs as defined by the World Gold Council, including royalty costs, community costs, sustaining and development The objective of AISC and all-in cost (AIC) metrics is to provide key stakeholders with comparable metrics that reflect, as close as possible, the full cost of producing and selling an ounce of gold, and which are fully and transparently reconcilable back to amounts reported under IFRS Accounting Standards
capital (excluding non-gold operations)
All-in cost Cost of production Once-off capital costs As per the above for AISC with additional expansionary capital and once-off non-production-related cost adjustments
EBITDA Profit after tax Income tax Depreciation and amortisation Net finance costs Excludes the impact of non-recurring items or certain accounting adjustments that can mask underlying changes in performance
Adjusted Profit after tax Income tax Depreciation and amortisation Net finance costs Impairment loss or impairment reversals Bargain purchase gain Excludes the impact of non-recurring items or certain accounting adjustments that can mask underlying changes in performance
EBITDA Unrealised fair value gains or losses on financial derivatives undertaken in the normal course of business
Free cash flow Profit after tax Income tax Depreciation and amortisation Net finance costs Impairment loss or impairment reversals Unrealised fair value gains Reflects available cash flow to service debt obligations
or losses on financial derivatives undertaken in the normal course of business Adjusted for working capital changes Adjusted for
non-cash flow items as determined in accordance with IAS 7 Less capital expenditure funded through permitted indebtedness Less
tax paid
Performance
Levered free cash flow Profit after tax Income tax Depreciation and amortisation Net finance costs Impairment loss or impairment reversals Adjusted for: Finance costs Reflects available cash flow to service debt obligations
paid Income tax paid Net working capital changes Capital expenditure Proceeds from borrowings Repayment of borrowings
Headline earnings Profit after tax (Profit)/loss on disposal of property, plant and equipment Impairment or impairment reversals Bargain purchase gain Tax effect Indicates the extent of the Group’s normalised earnings to shareholders determined in accordance with SAICA’s Circular 1/2023
of the above adjustments
Statement of financial position
Net debt Borrowings from financial institutions less cash and related hedges IFRS 9 accounting adjustments IFRS 16 lease liabilities Restricted cash Financial liabilities Excludes the impact of accounting adjustments from the net debt obligations of the Group
Net senior debt Borrowings from financial institutions less cash IFRS 9 accounting adjustments IFRS 16 lease liabilities Restricted cash Financial liabilities Excludes the impact of accounting adjustments from the net debt obligations of the Group
All-in sustaining costs
Incorporates costs related to sustaining current production. AISC are defined
by the World Gold Council as operating costs plus costs not already included
therein relating to sustaining the current production, including sustaining
capital expenditure. The value of by-product revenue is deducted from
operating costs as it effectively reduces the cost of gold production.
All-in costs
Includes additional costs which relate to the growth of the Group. AIC starts
with AISC and adds additional costs which relate to the growth of the Group,
including non-sustaining capital expenditure not associated with current
operations and costs such as voluntary severance pay.
AISC and AIC are reported on the basis of a rand/A$ per kilogramme of gold and
US$ per ounce of gold. The US$ equivalent is converted at the average exchange
rate applicable for the current reporting period as disclosed in the Group’s
production summary table on pages XX to XX A kilogramme of gold is converted
to an ounce of gold at a ratio of 1:32.1509.
The following tables set out a reconciliation of Pan African’s cost of
production as calculated in accordance with IFRS Accounting Standards to AISC
and AIC for the financial years ended 30 June 2025 and 30 June 2024. The
equivalent of a rand per kilogramme1 and US$ per ounce basis is disclosed in
the Group’s production summary table.
Mining operations Tailings operations
FY25 US$ million Barberton Mines Evander Mines Total BTRP Evander Mines’ surface sources Elikhulu MTR operation Tennant Mines Total
Gold cost of production 121.1 53.5 174.6 14.9 2.5 53.5 34.4 1.0 106.3
Royalties 4.7 0.3 5.0 – – – – 0.3 0.3
Community cost related to gold operations 0.8 – 0.8 – – – 0.1 – 0.1
By-products credits (0.1) (0.5) (0.6) – – – (0.4) – (0.4)
Corporate general and administrative costs 10.4 3.0 13.4 – – 1.8 2.9 0.6 5.3
Reclamation and remediation – accretion and amortisation (operating sites) (0.4) (0.1) (0.5) – – – – – –
Sustaining capital – development 1.9 – 1.9 – – – – – –
Sustaining capital – maintenance 6.4 – 6.4 0.3 – 2.0 0.3 – 2.6
All-in sustaining costs 1 144.8 56.2 201.0 15.2 2.5 57.3 37.3 1.9 114.2
Voluntary severance package/retrenchment (non-sustaining) 1.4 – 1.4 – – – – – –
Expansion capital – capital expenditure 16.6 40.9 57.5 2.5 – 5.0 51.9 35.8 95.2
All-in costs 162.8 97.1 259.9 17.7 2.5 62.3 89.2 37.7 209.4
Total operations
FY25 US$ million Barberton Mines total 1 Evander Mines total 1 Mogale operations total 1 Tennant Mines total 1 Group total 1
Gold cost of production 136.0 109.5 34.4 1.0 280.9
Royalties 4.7 0.3 – 0.3 5.3
Community cost related to gold operations 0.8 – 0.1 – 0.9
By-products credits (0.1) (0.5) (0.4) – (1.0)
Corporate general and administrative costs 10.4 4.8 2.9 0.6 18.7
Reclamation and remediation – accretion and amortisation (operating sites) (0.4) (0.1) – – (0.5)
Sustaining capital – development 1.9 – – – 1.9
Sustaining capital – maintenance 6.7 2.0 0.3 – 9.0
All-in sustaining costs 1 160.0 116.0 37.3 1.9 315.2
Voluntary severance package/retrenchment (non-sustaining) 1.4 – – – 1.4
Expansion capital – capital expenditure 19.1 45.9 51.9 35.8 152.7
All-in costs 180.5 161.9 89.2 37.9 469.3
1 This total may not reflect the sum of the line items due to rounding.
Mining operations Tailings operations
FY24 US$ million 1 Barberton Mines Evander Mines Total BTRP Evander Mines’ surface sources Elikhulu Total
Cost of production 105.4 47.7 153.1 12.2 5.6 50.8 68.6
Royalties 1.3 0.4 1.7 – – – –
Community cost related to gold operations 1.6 0.6 2.2 – – – –
By-products credits (0.1) (0.6) (0.7) – – – –
Corporate general and administrative costs 6.8 2.9 9.7 – – 3.4 3.4
Reclamation and remediation – accretion and amortisation (0.4) (0.7) (1.1) – – – –
(operating sites)
Sustaining capital – development 11.1 – 11.1 0.4 – 1.9 2.3
Sustaining capital – maintenance – – – – – – –
All-in sustaining costs 2 125.7 50.3 176.0 12.6 5.6 56.1 74.3
Expansion capital – capital expenditure 10.3 54.3 64.6 0.1 – 14.4 14.5
All-in costs 136.0 104.6 240.6 12.7 5.6 70.5 88.8
Total operations
FY24 US$ million 1 Barberton Mines total 2 Evander Mines total 2 Group total 2
Cost of production 117.6 104.1 221.7
Royalties 1.3 0.4 1.7
Community cost related to gold operations 1.6 0.6 2.2
By-products credits (0.1) (0.6) (0.7)
Corporate general and administrative costs 6.8 6.3 13.1
Reclamation and remediation – accretion and amortisation (0.4) (0.7) (1.1)
(operating sites)
Sustaining capital – development 11.5 1.9 13.4
Sustaining capital – maintenance – – –
All-in sustaining costs 2 138.2 112.1 250.3
Expansion capital – capital expenditure 10.4 68.7 79.1
All-in costs 148.6 180.8 329.4
1 The above table was disclosed in ZAR million in the 2024 integrated
annual report.
2 This total may not reflect the sum of the line items due to rounding.
Mining operations Tailings operations
FY25 Unit Barberton Mines Evander Mines Total BTRP Evander Mines’ surface sources Elikhulu MTR operation Tennant Mines Total
Gold sold kg 2,179 837 3,016 486 29 1,651 906 37 3,109
Gold sold oz 70,053 26,903 96,956 15,632 927 53,092 29,140 1,179 99,970
Average exchange rate US$/ZAR 18.17 18.17 18.17 18.17 18.17 18.17 18.17 – 18.17
Average exchange rate US$/A$ – – – – – – – 0.65 0.65
Cost of production ZAR million 2,200.1 972.2 3,172.3 270.0 45.1 971.4 625.2 – 1,911.7
Cost of production A$ million – – – – – – – 1.6 1.6
ZAR cash cost ZAR/kg 1,009,725 1,161,872 1,051,942 555,319 1,564,131 588,268 689,795 – 622,155
A$ cash cost A$/kg – – – – – – – 43,116 43,116
US$ cash cost US$/oz 1,728 1,989 1,801 951 2,677 1,007 1,181 872 1,065
All-in sustaining costs ZAR million 2,628.6 1,021.9 3,650.4 275.8 45.1 1,039.4 679.0 – 2,039.3
All-in sustaining costs A$ million – – – – – – – 3.0 3.0
ZAR AISC ZAR/kg 1,206,373 1,221,190 1,210,485 567,273 1,564,130 629,441 749,128 – 663,676
A$ AISC A$/kg – – – – – – – 80,962 80,962
US$ AISC US$/oz 2,065 2,090 2,072 971 2,677 1,077 1,282 1,637 1,136
All-in costs ZAR million 2,956.0 1,765.4 4,721.3 320.9 45.1 1,130.9 1,622.7 – 3,119.6
All-in costs A$ million – – – – – – – 58.1 58.1
ZAR AIC ZAR/kg 1,356,643 2,109,720 1,565,605 659,936 1,564,130 684,843 1,790,344 – 1,015,238
A$ AIC A$/kg – – – – – – – 1,584,835 1,584,835
US$ AIC US$/oz 2,322 3,611 2,680 1,130 2,677 1,172 3,065 33,693 1,738
Total operations
FY25 Unit Bar- berton Mines total 1 Evander Mines total 1 MTR operation total 1 Tennant Mines total 1 Group total 1
Gold sold kg 2,665 2,517 906 37 6,125
Gold sold oz 85,685 80,922 29,140 1,179 196,927
Average exchange rate US$/ZAR 18.17 18.17 18.17 – 18.17
Average exchange rate US$/A$ – – – 0.65 0.65
Cost of production ZAR million 2,470.1 1,988.7 625.2 – 5,084.0
Cost of production A$ million – – – 1.6 1.6
ZAR cash cost ZAR/kg 926,825 790,142 689,795 – 835,034
A$ cash cost A$/kg – – – 43,116 43,116
US$ cash cost US$/oz 1,587 1,353 1,181 872 1,426
All-in sustaining costs ZAR million 2,904.4 2,106.4 679.0 – 5,689.7
All-in sustaining costs A$ million – – – 3.0 140.0
ZAR AISC ZAR/kg 1,089,778 836,877 749,128 – 934,517
A$ AISC A$/kg – – – 80,962 80,962
US$ AISC US$/oz 1,865 1,433 1,282 1,637 1,600
All-in costs ZAR million 3,276.8 2,941.4 1,622.7 – 7,840.9
All-in costs A$ million – – – 58.1 58.1
ZAR AIC ZAR/kg 2,016,579 1,168,624 1,790,344 – 1,287,842
A$ AIC A$/kg – – – 1,584,835 1,584,835
US$ AIC US$/oz 2,105 2,000 3,065 33,693 2,393
1 This total may not reflect the sum of the line items due to
rounding.
Mining operations Tailings operations
FY24 Unit Barberton Mines Evander Mines Total BTRP Evander Mines’ surface sources Elikhulu Total
Gold sold kg 2,200 1,197 3,397 586 80 1,688 2,354
Gold sold oz 70,732 38,477 109,209 18,827 2,584 54,265 75,676
Average exchange rate US$/ZAR 18.71 18.71 18.71 18.71 18.71 18.71 18.71
Cost of production ZAR million 1,971.6 891.6 2,863.2 227.5 105.1 951.3 1,283.9
ZAR cash cost ZAR/kg 896,195 745,000 842,925 388,448 1,307,958 563,605 545,443
US$ cash cost US$/oz 1,490 1,238 1,401 646 2,174 937 907
All-in sustaining costs ZAR million 2,351.4 940.6 3,292.0 235.5 105.1 1,049.7 1,390.3
ZAR AISC ZAR/kg 1,068,831 785,928 969,157 402,151 1,307,957 621,943 590,685
US$ AISC US$/oz 1,777 1,307 1,611 669 2,174 1,034 982
All-in costs ZAR million 2,544.9 1,957.4 4,502.3 236.9 105.1 1,319.8 1,661.8
ZAR AIC ZAR/kg 1,156,771 1,635,585 1,325,470 404,526 1,307,957 781,983 706,036
US$ AIC US$/oz 1,923 2,719 2,203 672 2,174 1,300 1,174
Total operations
FY24 Unit Barberton Mines total 1 Evander Mines total 1 Group total 1
Gold sold kg 2,786 2,965 5,751
Gold sold oz 89,559 95,326 184,885
Average exchange rate US$/ZAR 18.71 18.71 18.71
Cost of production ZAR million 2,199.1 1,948.0 4,147.1
ZAR cash cost ZAR/kg 789,455 656,999 721,161
US$ cash cost US$/oz 1,312 1,092 1,199
All-in sustaining costs ZAR million 2,586.9 2,095.4 4,682.3
ZAR AISC ZAR/kg 928,680 706,729 814,243
US$ AISC US$/oz 1,544 1,175 1,354
All-in costs ZAR million 2,781.8 3,382.3 6,164.1
ZAR AIC ZAR/kg 998,632 1,140,786 1,071,926
US$ AIC US$/oz 1,660 1,896 1,782
1 This total may not reflect the sum of the line items due to rounding.
Sustaining capital
Sustaining capital is the capital needed to sustain the current production
base.
Expansion capital
Expansion capital relates to capital expenditure for the growth of the
production base.
Sustaining capital Expansion capital Total capital
FY25 US$ million FY24 US$ million FY25 US$ million FY24 US$ million FY25 US$ million FY24 US$ million
Barberton Mines Mining operations 8.3 11.0 16.6 10.3 24.9 21.3
BTRP 0.3 0.4 2.5 0.1 2.8 0.5
Barberton Mines total 8.6 11.4 19.1 10.4 27.7 21.8
Evander Mines Mining operations – – 40.9 54.4 40.9 54.4
Surface sources – – – – – –
Elikhulu 2.0 2.0 5.0 14.4 7.0 16.4
Evander Mines total 2.0 2.0 45.9 68.8 47.9 70.8
MTR operation 0.3 – 51.9 68.7 52.2 68.7
Tennant Mines – – 35.8 – 35.8 –
Corporate Agricultural ESG projects 0.3 0.1 – – 0.3 0.1
Solar projects – – 3.5 10.3 3.5 10.3
Exploration assets – – – 0.2 – 0.2
Corporate 0.5 0.3 – 0.2 0.5 0.5
Group total 11.7 13.8 156.2 158.6 167.9 172.4
Net debt
Net debt is calculated as total borrowings from financial institutions (before
IFRS 9 accounting adjustments less cash and cash equivalents (including
derivatives that are entered into in connection with protection against, or
benefit from, fluctuations in exchange rates or commodity prices). A
reconciliation to the consolidated statement of financial position is provided
below.
FY25 FY24 1
US$ million South African operations Australian operations Total Group
Cash and cash equivalents (49.1) (0.4) (49.5) (26.3)
Borrowings 150.8 39.2 190.0 127.8
Financial instrument liability 1.8 – 1.8 –
Lease liability 3.4 0.5 3.9 2.9
Financial liability 0.4 2.9 3.3 0.7
Restricted cash 0.1 – 0.1 0.1
Facility arranging fees 0.9 – 0.9 1.2
Net debt 108.3 42.2 150.5 106.4
1 The comparatives exclude the Australian operations.
Net senior debt
Net senior debt includes secured, interest-bearing debt provided by financial
institutions, net of available cash.
FY25 FY24 1
US$ million South African operations Australian operations Total Group
Cash and cash equivalents (49.1) (0.4) (49.5) (0.4)
Borrowings 150.8 39.2 190.0 39.2
Restricted cash 0.1 – 0.1 –
Facility arranging fees 0.9 – 0.9 –
Net senior debt 102.7 38.8 141.5 38.8
1 The comparatives exclude the Australian operations.
Adjusted EBITDA
Adjusted EBITDA is a measure of the Group’s operating performance and is
calculated as net profit or loss for the Group before finance income and
finance costs and tax, before any amount attributable to the amortisation of
intangible assets and the depreciation of tangible assets and before any
extraordinary items or the impairment of non-financial assets bargain purchase
gain and unrealised fair value loss on financial derivatives.
A reconciliation of the adjusted EBITDA by operation has been provided below.
Mining operations Tailings operations
FY25 US$ million 1 Barberton Mines Evander Mines Total BTRP Evander Mines’ surface sources Elikhulu MTR operation Tennant Mines Total
Net income/(cost) before finance income and finance costs 59.7 14.1 73.8 21.5 0.5 68.2 45.5 30.3 166.0
Mining depreciation and amortisation 9.6 1.6 11.2 1.3 – 13.3 6.3 – 20.9
EBITDA 69.3 15.7 85.0 22.8 0.5 81.5 51.8 30.3 186.9
Impairment loss – – – – – – – – –
Unrealised fair value loss on financial derivatives 1.8 – 1.8 – – – – 0.1 0.1
Bargain gains on purchase – – – – – – – (28.0) (28.0)
Adjusted EBITDA 71.1 15.7 86.8 22.8 0.5 81.5 51.8 2.4 159.0
Total operations
FY25 US$ million 1 Barberton Mines total Evander Mines total MTR operation Total Tennant Mines Total Group total
Net income/(cost) before finance income and finance costs 81.2 82.8 45.5 30.3 239.8
Mining depreciation and amortisation 10.9 14.9 6.3 – 32.1
EBITDA 92.1 97.7 51.8 30.3 271.8
Impairment loss – – – – –
Unrealised fair value loss on financial derivatives 1.8 – – 0.1 1.9
Bargain gains on purchase – – – (28.0) (28.0)
Adjusted EBITDA 93.9 97.7 51.8 2.9 245.8
Mining operations Tailings operations
FY24 US$ million 1 Barberton Mines Evander Mines Total BTRP Evander Mines’ surface sources Elikhulu Total
Net income/(cost) before finance income and finance costs 33.6 30.1 63.7 20.7 (0.9) 44.7 64.5
Mining depreciation and amortisation 7.3 1.0 8.3 1.2 – 11.0 12.2
EBITDA 40.9 31.1 72.0 21.9 (0.9) 55.7 76.7
Adjusted EBITDA 40.9 31.1 72.0 21.9 (0.9) 55.7 76.7
Total operations
FY24 US$ million 1 Barberton Mines total Evander Mines total Group total
Net income/(cost) before finance income and finance costs 54.3 73.9 128.2
Mining depreciation and amortisation 8.5 12.0 20.5
EBITDA 62.8 85.9 148.7
Adjusted EBITDA 62.8 85.9 148.7
1 Adjusted EBITDA was previously presented in ZAR million. Due to the
acquisition of Tennant Mines in Australia, the FY24 figures have been
converted to US$ million for comparative purposes.
Net adjusted EBITDA
Net adjusted EBITDA starts with adjusted EBITDA adjusted for any entries made
to unrealised fair value gains or losses on financial derivatives that are
entered into in the normal course of business as part of the Group’s
financial risk management process.
Free cash flow
Free cash flow starts with adjusted EBITDA and is adjusted for changes in net
working capital, non-cash flow items as determined by IAS 7, capital
expenditure less capital funded through permitted indebtedness and tax
payments.
Headline earnings
Headline earnings, a JSE-defined performance measure (as defined by Circular
2023/1 issued by SAICA), are reconciled from profit/(loss) after tax.
RATIOS
Return on shareholder funds
This ratio measures returns to equity shareholders as a percentage of the
capital invested in the Group. It is calculated as profit/(loss) after tax
expressed as a percentage of the average total equity for the current and
previous reporting periods.
Net debt-to-equity ratio
This ratio measures the degree to which the Group finances its operations
through debt relative to equity and is calculated as net debt divided by total
equity.
Net debt-to-net adjusted EBITDA ratio
This ratio measures the number of years it would take the Group to repay its
net debt from net adjusted EBITDA assuming both variables are held consistent
and is calculated as net debt divided by net adjusted EBITDA. .
Interest cover ratio
This ratio measures the Group’s ability to pay interest on its outstanding
senior debt from net adjusted EBITDA and is calculated as total net adjusted
EBITDA divided by finance costs incurred on interest-bearing debt.
Debt service cover ratio
This ratio measures the cash flow available for debt service relative to the
Group’s obligatory principal and interest debt obligations and is calculated
as free cash flow available for debt service divided by principal and
interest-debt obligations.
Net asset value per share
Is calculated as total equity divided by the total number of shares in issue
less treasury shares held by the Group.
Unit FY25 FY24
Total equity US$ million 546.7 364.1
Shares in issue million 2,335.7 2,222.9
Treasury shares million (306.4) (306.4)
Net asset value per share US cents 26.94 19.00
Levered free cash flow
Levered free cash flow measures the cash available after the Group’s
financial obligations have been met including interest payments and debt. It
represents the cash flow available to shareholders.
Unit FY 25 FY24
Adjusted EBITDA US$ million 226.6 141.2
Finance costs paid US$ million (21.4) (11.6)
Income tax paid US$ million (20.1) (13.0)
Net working capital movement US$ million (2.0) 4.3
Capital expenditure US$ million (157.9) (166.2)
Proceeds from borrowings US$ million 139.5 114.2
Repayment of borrowings US$ million (117.2) (42.9)
Levered free cash flow US$ million 47.5 26.0
Shares in issue number million 2,335.7 2,222.9
Treasury shares number million (306.4) (306.4)
Number of shares number million 2,029.3 1,916.5
Levered free cash flow per share US cents per share 2.34 1.36
Levered free cash flow yield per share
Is calculated as the levered free cash flow per share expressed as a
percentage of the last traded price per Pan African share at 30 June.
Unit FY 25 FY24
Levered free cash flow per share US cents per share 2.34 1.36
Last traded price per Pan African share 1 US cents per share 62.48 33.26
Cash flow yield per share % 3.73 4.08
1 Amounts converted at the 30 June 2025 closing exchange rate of
US$/ZAR:17.75 (FY24: US$/ZAR:18.19).
Return on capital employed
This ratio measures the profitability of the capital employed by the Group in
its operations. It demonstrates how effectively profits are generated on both
debt and equity capital and is calculated by dividing earnings before finance
costs and tax by the sum of the average equity for the current and previous
reporting period and the average debt provided by financial institutions for
this same period.
Unit FY 25 FY24
Net income before finance income and finance costs US$ million 215.9 119.3
Average equity US$ million 455.4 328.0
Average borrowings US$ million 158.9 90.6
Return on capital employed % 35.1 28.5
Adjusted EBITDA margin
Is calculated as adjusted EBITDA divided by revenue.
Gross profit margin
This is calculated as gross profit divided by revenue.
Current ratio
The liquidity ratio that measures the Group’s ability to pay its current
liabilities from current assets and is calculated as current assets divided by
current liabilities.
Price earnings ratio
Is calculated as the last sale price for the year divided by the earnings per
share either in ZA cents or in GB pence per the table below.
FY25 cents FY25 pence FY24 cents FY24 pence FY23 cents FY23 pence FY22 cents FY22 pence FY21 cents FY21 pence
Earnings per share 131.91 5.63 77.49 3.37 56.48 2.36 59.16 2.92 59.65 2.88
Dividend yield at the last traded share price
Is calculated as the dividend per share either in ZA cents or GB pence per the
table below expressed as a percentage of the last price per share traded.
FY25 cents FY25 pence FY24 cents FY24 pence FY23 cents FY23 pence FY22 cents FY22 pence FY21 cents FY21 pence
Dividends per share 37.00 1.53 22.00 0.96 18.00 0.75 18.00 0.90 14.00 0.65
GROUP PRODUCTION SUMMARY
Mining operations Tailings operations operations
Unit Barberton Mines Evander Mines Total BTRP Evander Mines’ surface sources Elikhulu MTR operation Tennant Mines Total
Tonnes milled – underground FY25 t 266,676 122,208 388,884 – – – – – –
FY24 t 250,744 192,050 442,794 – – – – – –
Tonnes milled – surface FY25 t 65,288 – 65,288 – – – – – –
FY24 t 108,192 – 108,192 – – – – – –
Tonnes milled – total underground and surface FY25 t 331,964 122,208 454,172 – – – – – –
FY24 t 358,936 192,050 550,986 – – – – – –
Tonnes processed – tailings FY25 t – – – 725,535 – 14,747,232 7,509,525 – 22,982,292
FY24 t – – – 828,392 – 14,198,865 – – 15,027,257
Tonnes processed – FY25 t – – – – 34,411 – – 85,316 119,727
surface feedstock
FY24 t – – – – 104,157 – – – 104,157
Tonnes processed – total tailings and surface feedstock FY25 t – – – 725,535 34,411 14,747,232 7,509,525 85,316 23,102,019
FY24 t – – – 828,392 104,157 14,198,865 – – 15,131,414
Tonnes milled and processed – total FY25 t 331,964 122,208 454,172 725,535 34,411 14,747,232 7,509,525 85,316 23,102,019
FY24 t 358,936 192,050 550,986 828,392 104,157 14,198,865 – – 15,131,414
Head grade – total FY25 g/t 7.3 7.0 7.2 1.5 1.1 0.3 0.3 1.3 0.3
FY24 g/t 6.8 6.6 6.7 1.3 0.4 0.3 – – 0.4
Overall recovered grade FY25 g/t 6.4 6.8 6.5 0.7 1.0 0.1 0.1 0.6 0.1
FY24 g/t 6.2 6.2 6.2 0.7 0.8 0.1 – – 0.2
Overall recovery – underground FY25 % 88 98 91 – – – – – –
FY24 % 92 94 93 – – – – – –
Overall recovery – tailings FY25 % – – – 42 88 35 51 43 40
FY24 % – – – 53 35 35 – – 39
Gold produced – underground FY25 oz 65,895 26,748 92,643 – – – – – –
FY24 oz 67,513 38,285 105,798 – – – – – –
Gold production – FY25 oz 2,654 – 2,654 – – – – – –
surface operations
FY24 oz 3,957 – 3,957 – – – – – –
Gold produced – tailings FY25 oz – – – 15,224 – 52,606 30,806 – 98,636
FY24 oz – – – 18,888 – 54,812 – – 73,700
Gold produced – surface feedstock FY25 oz – – – – 1,081 – – 1,513 2,594
FY24 oz – – – – 2,584 – – – 2,584
Gold produced – total FY25 oz 68,549 26,748 95,297 15,224 1,081 52,606 30,806 1,513 101,230
FY24 oz 71,470 38,285 109,755 18,888 2,584 54,812 – – 76,284
Gold sold – total FY25 oz 70,053 26,903 96,956 15,632 927 53,092 29,140 1,179 99,970
FY24 oz 70,732 38,477 109,209 18,827 2,584 54,265 – – 75,676
Average ZAR gold price received FY25 ZAR/kg 1,653,460 1,431,921 1,591,993 1,635,501 1,908,188 1,504,471 1,743,343 – 1,580,594
FY24 ZAR/kg 1,242,415 1,138,564 1,205,824 1,245,920 1,107,365 1,218,492 – – 1,221,521
Average A$ gold price received FY25 A$/kg – – – – – – – 162,171 162,171
FY24 A$/kg – – – – – – – – –
Average US$ gold price received FY25 US$/oz 2,830 2,451 2,725 2,800 3,266 2,575 2,984 3,279 2,706
FY24 US$/oz 2,065 1,893 2,005 2,071 1,841 2,026 – – 2,031
ZAR cash cost FY25 ZAR/kg 1,009,725 1,161,872 1,051,942 555,319 1,564,130 588,268 689,795 – 622,156
FY24 ZAR/kg 896,195 745,000 842,925 388,448 1,307,957 563,605 – – 545,443
ZAR AISC FY25 ZAR/kg 1,206,373 1,221,190 1,210,485 567,273 1,564,130 629,441 749,128 – 663,676
FY24 ZAR/kg 1,068,831 785,928 969,157 402,151 1,307,957 621,943 – – 590,685
ZAR AIC FY25 ZAR/kg 1,356,643 2,109,720 1,565,605 659,935 1,564,130 684,843 1,790,344 – 1,015,238
FY24 ZAR/kg 1,156,771 1,635,585 1,325,470 404,526 1,307,957 781,983 – – 706,036
A$ cash cost FY25 A$/kg – – – – – – – 43,116 43,116
FY24 A$/kg – – – – – – – – –
A$ AISC FY25 A$/kg – – – – – – – 80,962 80,962
FY24 A$/kg – – – – – – – – –
A$ AIC FY25 A$/kg – – – – – – – 1,584,885 1,584,885
FY24 A$/kg – – – – – – – – –
US$ cash cost FY25 US$/oz 1,728 1,989 1,801 951 2,677 1,007 1,181 872 1,065
FY24 US$/oz 1,490 1,238 1,401 646 2,174 937 – – 907
US$ AISC FY25 US$/oz 2,065 2,090 2,072 971 2,677 1,077 1,282 1,637 1,136
FY24 US$/oz 1,777 1,307 1,611 669 2,174 1,034 – – 982
US$ AIC FY25 US$/oz 2,322 3,611 2,680 1,130 2,677 1,172 3,065 32,041 1,738
FY24 US$/oz 1,923 2,719 2,203 672 2,174 1,300 – – 1,174
ZAR cash cost per tonne FY25 ZAR/t 6,628 7,955 6,985 372 1,311 66 83 – 83
FY24 ZAR/t 5,493 4,643 5,197 275 1,009 67 – – 85
Capital expenditure FY25 US$ million 24.9 40.9 65.8 2.8 – 7.0 52.2 35.8 97.8
FY24 US$ million 21.5 54.4 75.8 0.5 – 16.3 68.7 – 85.5
Revenue FY25 ZAR million 3,602.7 1,198.2 4,800.9 795.2 55.0 2,484.4 1,580.1 – 4,914.7
FY24 ZAR million 2,733.3 1,362.6 4,095.9 729.6 89.0 2,056.6 – – 2,875.2
Revenue FY25 A$ million – – – – – – – 5.9 5.9
FY24 A$ million – – – – – – – – –
Cost of production FY25 ZAR million 2,200.1 972.2 3,172.3 270.0 45.1 971.4 625.2 – 1,911.7
FY24 ZAR million 1,971.6 891.6 2,863.2 227.5 105.1 951.3 – – 1,283.9
Cost of production FY25 A$ million – – – – – – – 1.6 1.6
FY24 A$ million – – – – – – – – –
All-in sustainable cost of production FY25 ZAR million 2,628.5 1,021.9 3,650.4 275.8 45.1 1,039.4 679.0 – 2,039.3
FY24 ZAR million 2,351.4 940.6 3,292.0 235.5 105.1 1,049.7 – – 1,390.3
All-in sustainable cost of production FY25 A$ million – – – – – – – 3.0 3.0
FY24 A$ million – – – – – – – – –
All-in cost of production FY25 ZAR million 2,956.0 1,765.4 4,721.4 320.9 45.1 1,130.9 1,622.7 – 3,119.6
FY24 ZAR million 2,544.9 1,957.4 4,502.3 236.9 105.1 1,319.8 – – 1,661.8
All-in cost of production FY25 A$ million – – – – – – – 58.1 58.1
FY24 A$ million – – – – – – – – –
Adjusted EBITDA FY25 ZAR million 1,257.9 285.5 1,543.4 413.6 9.9 1,480.9 940.5 – 2,844.9
FY24 ZAR million 765.6 520.3 1,285.9 409.2 (16.1) 1,041.6 – – 1,434.7
Average exchange rate FY25 US$/ZAR 18.17 18.17 18.17 18.17 18.17 18.17 18.17 18.17 18.17
FY24 US$/ZAR 18.71 18.71 18.71 18.71 18.71 18.71 18.71 18.71 18.71
Average exchange rate FY25 US$/A$ 0.65 0.65 0.65 0.65 0.65 0.65 0.65 0.65 0.65
FY24 US$/A$ – – – – – – – – –
Total operations
Unit Barberton Mines total Evander Mines total MTR operation total Tennant Mines total Group total
Tonnes milled – underground FY25 t 266,676 122,208 – – 388,884
FY24 t 250,744 192,050 – – 442,794
Tonnes milled – surface FY25 t 65,288 – – – 65,288
FY24 t 108,192 – – – 108,192
Tonnes milled – total underground and surface FY25 t 331,964 122,208 – – 454,172
FY24 t 358,936 192,050 – – 550,986
Tonnes processed – tailings FY25 t 725,535 14,747,232 7,509,525 – 22,982,292
FY24 t 828,392 14,198,865 – – 15,027,257
Tonnes processed – FY25 t – 34,411 – 85,316 119,727
surface feedstock
FY24 t – 104,157 – – 104,157
Tonnes processed – total tailings and surface feedstock FY25 t 725,535 14,781,643 7,509,525 85,316 23,102,019
FY24 t 828,392 14,303,022 – – 15,131,414
Tonnes milled and processed – total FY25 t 1,057,499 14,903,851 7,509,525 85,316 23,556,191
FY24 t 1,187,328 14,495,072 – – 15,682,400
Head grade – total FY25 g/t 3.4 0.4 0.3 1.3 0.5
FY24 g/t 3.0 0.4 – – 0.6
Overall recovered grade FY25 g/t 2.5 0.2 0.1 0.6 0.3
FY24 g/t 2.4 0.2 – – 0.4
Overall recovery – underground FY25 % 88 98 – – 91
FY24 % 92 94 – – 93
Overall recovery – tailings FY25 % 42 35 51 43 40
FY24 % 53 35 – – 39
Gold produced – underground FY25 oz 65,895 26,748 – – 92,643
FY24 oz 67,513 38,285 – – 105,798
Gold production – FY25 oz 2,654 – – – 2,654
surface operations
FY24 oz 3,957 – – – 3,957
Gold produced – tailings FY25 oz 15,224 52,606 30,806 – 98,636
FY24 oz 18,888 54,812 – – 73,700
Gold produced – surface feedstock FY25 oz – 1,081 – 1,513 2,594
FY24 oz – 2,584 – – 2,584
Gold produced – total FY25 oz 83,773 80,435 30,806 1,513 196,527
FY24 oz 90,358 95,681 – – 186,039
Gold sold – total FY25 oz 85,685 80,922 29,140 1,179 196,926
FY24 oz 89,559 95,326 – – 184,885
Average ZAR gold price received FY25 ZAR/kg 1,650,189 1,484,976 1,743,364 – 1,595,761
FY24 ZAR/kg 1,243,151 1,183,222 – – 1,212,252
Average A$ gold price received FY25 A$/kg – – – 162,171 162,171
FY24 A$/kg – – – – –
Average US$ gold price received FY25 US$/oz 2,825 2,542 2,984 3,279 2,735
FY24 US$/oz 2,067 1,967 – – 2,015
ZAR cash cost FY25 ZAR/kg 926,825 790,142 689,795 – 835,034
FY24 ZAR/kg 789,455 656,999 – – 721,161
ZAR AISC FY25 ZAR/kg 1,089,778 836,877 749,128 – 934,517
FY24 ZAR/kg 928,680 706,729 – – 814,243
ZAR AIC FY25 ZAR/kg 1,229,538 1,168,624 1,790,344 – 1,287,842
FY24 ZAR/kg 998,632 1,140,786 – – 1,071,926
A$ cash cost FY25 A$/kg – – – 43,116 43,116
FY24 A$/kg – – – – –
A$ AISC FY25 A$/kg – – – 80,962 80,962
FY24 A$/kg – – – – –
A$ AIC FY25 A$/kg – – – 1,584,885 1,584,885
FY24 A$/kg – – – – –
US$ cash cost FY25 US$/oz 1,587 1,353 1,181 872 1,426
FY24 US$/oz 1,312 1,092 – – 1,199
US$ AISC FY25 US$/oz 1,865 1,433 1,282 1,637 1,600
FY24 US$/oz 1,544 1,175 – – 1,354
US$ AIC FY25 US$/oz 2,105 2,000 3,065 32,041 2,393
FY24 US$/oz 1,660 1,896 – – 1,782
ZAR cash cost per tonne FY25 ZAR/t 2,336 133 83 – 216
FY24 ZAR/t 1,852 134 – – 264
Capital expenditure FY25 US$ million 27.6 47.9 52.2 35.8 163.6
FY24 US$ million 22.0 70.6 68.7 – 161.3
Revenue FY25 ZAR million 4,397.9 3,737.6 1,580.1 – 9,715.6
FY24 ZAR million 3,462.9 3,508.2 – – 6,971.1
Revenue FY25 A$ million – – – 5.9 5.9
FY24 A$ million – – – – –
Cost of production FY25 ZAR million 2,470.1 1,988.7 625.2 – 5,084.0
FY24 ZAR million 2,199.1 1,948.0 – – 4,147.1
Cost of production FY25 A$ million – – – 1.6 1.6
FY24 A$ million – – – – –
All-in sustainable cost of production FY25 ZAR million 2,904.3 2,106.4 679.0 – 5,689.7
FY24 ZAR million 2,586.9 2,095.4 – – 4,682.3
All-in sustainable cost of production FY25 A$ million – – – 3.0 3.0
FY24 A$ million – – – – –
All-in cost of production FY25 ZAR million 3,276.9 2,941.4 1,622.7 – 7,841.0
FY24 ZAR million 2,781.8 3,382.3 – – 6,164.1
All-in cost of production FY25 A$ million – – – 58.1 58.1
FY24 A$ million – – – – –
Adjusted EBITDA FY25 ZAR million 1,671.5 1,776.3 940.5 – 4,388.3
FY24 ZAR million 1,174.8 1,545.8 – – 2,720.6
Average exchange rate FY25 US$/ZAR 18.17 18.17 18.17 18.17 18.17
FY24 US$/ZAR 18.71 18.71 18.71 18.71 18.71
Average exchange rate FY25 US$/A$ 0.65 0.65 0.65 0.65 0.65
FY24 US$/A$ – – – – –
glossary
Definitions of terms and abbreviations used in this report
A$ Australian dollar
A2X A2X Market, a licensed stock exchange authorised to provide a secondary listing venue for companies
ADR American Depository Receipt programme through the Bank of New York Mellon
AGM Annual general meeting
AI Artificial intelligence
AIC All-in costs
AIM The LSE’s international market for smaller growing companies (formerly known as the Alternative Investment Market)
AISC All-in sustaining costs
APMs Alternative performance measures
Barberton Blue Barberton Blue Proprietary Limited
Barberton Mines Barberton Mines Proprietary Limited
BNY Mellon Bank of New York Mellon
the board The board of directors of Pan African
BTRP Barberton Tailings Retreatment Plant, a gold recovery tailings plant owned by Barberton Mines, which reached steady-state production in June 2013
CGU Cash-generating unit
CIL Carbon-in-leach
CMA Contract mining agreement
Companies Act 2006 An act of the Parliament of the UK which forms the primary source of UK company law
Current reporting period The financial year ended 30 June 2025
DMPR Department of Mineral and Petroleum Resources
DMTN Domestic medium-term note
EBITDA Earnings before interest, income taxation expense, depreciation and amortisation, and impairment re-versal
ECL Expected credit losses
Elikhulu The Elikhulu Tailings Retreatment Plant in Mpumalanga province, with its inaugural gold pour in August 2018
EPS Earnings per share
ESD Enterprise and supplier development
ESG Environmental, social and governance
Eskom Electricity Supply Commission, South African electricity supplier
ETF Exchange Traded Fund
EU European Union
Evander Mines Evander Gold Mining Proprietary Limited
Exco Executive committee of Pan African Resources
FTSE Financial Times Stock Exchange
Funding Company Pan African Resources Funding Company Proprietary Limited
FY21 Financial year ended 30 June 2021
FY22 Financial year ended 30 June 2022
FY23 Financial year ended 30 June 2023
FY24 Financial year ended 30 June 2024
FY24H2 Second half of the financial year ended 30 June 2024
FY25 Financial year ended 30 June 2025
FY25H2 Second half of the financial year ended 30 June 2025
FY26 Financial year ending 30 June 2026
FY26H1 First half of the financial year ending 30 June 2026
FY26H2 Second half of the financial year ending 30 June 2026
FY26Q1 First quarter of the financial year ending 30 June 2026
FY27 Financial year ending 30 June 2027
FY30 Financial year ending 30 June 2030
FY50 Financial year ending 30 June 2050
G Gramme
g/t Grammes/tonne
GBP British pound
GDX VanEck Gold Miners ETF
GHG Greenhouse gas
GISTM Global Industry Standard on Tailings Management
GWh Gigawatt hour
Ha Hectare
HEPS Headline earnings per share
IAS International Accounting Standards
IFRS IFRS ® Accounting Standards
IFRS S1 IFRS S1: General Requirements for Disclosure of Sustainability-related Financial Information
IFRS S2 IFRS S2: Climate-related Disclosures (succeeded the Task Force on Climate-related Financial Disclosures)
IHT Inheritance tax
JSE JSE Limited incorporating the Johannesburg Securities Exchange, the main bourse in South Africa
Kg Kilogramme
Km Kilometre
km 2 Square kilometre
Koz Thousand ounces
KPI Key performance indicator
ktCO 2 e Kilotonne carbon dioxide equivalent
ktpm Thousand tonnes per month
LoM Life-of-mine
LSE London Stock Exchange
LTIFR Lost time injury frequency rate
m 3 Cubic metre
ML Megalitre
MMR Main Muiden Reef
Mogale Gold Mogale Gold Proprietary Limited
Moz Million ounces
MRC Main Reef Complex
MSC Mintails SA Soweto Cluster Proprietary Limited
Mt Mega tonne
mtpm Million tonnes per month
MTR company Mogale Tailings Retreatment Proprietary Limited
MTR operation or plant The Mogale Tailings Retreatment operation is located in the Mogale district. A plant has been constructed to process gold tailings deposited onto the Mogale Cluster and Soweto Cluster
MW Megawatt
NGO Non-governmental organisation
OTC Over-the-counter
OTCQX OTCQX Best Market in the USA
Oz Ounce
Pan African Resources PLC Holding company – Pan African
PAR Gold PAR Gold Proprietary Limited
PC Barberton Mines’ Prince Consort Shaft
PPA Power purchase agreement
PwC PricewaterhouseCoopers LLP
PwC Inc. PricewaterhouseCoopers Inc.
RCF Revolving credit facility
RMB Rand Merchant Bank, a division of FirstRand Bank Limited
RoM Run-of-mine
SA South Africa
SAICA South African Institute of Chartered Accountants
SAMREC Code South African Code for the Reporting of Exploration Results, Mineral Resources and Mineral Reserves, 2016 edition
SENS Stock Exchange News Service
S&P S&P Global
T Tonnes
Tennant company Tennant Consolidated Mining Group Proprietary Limited
Tennant Mines Tennant Mines consists of Nobles Gold Mine (consisting of stockpiles, open pit and underground mines) and the Warrego copper and gold project in Tennant Creek, Northern Territory, Australia
the Group or the Company or Pan African Resources PLC, listed on the LSE’s AIM and on the JSE in the Gold Mining sector
Pan African
TNFD Taskforce on Nature-related Financial Disclosures
TRIFR Total recordable injury frequency rate
TSF Tailings storage facility
UK United Kingdom
US United States
US$ United States dollar
USA United States of America
VFL Visible Felt Leadership
VWAP Volume-weighted average price
Yungatha Yungatha Asset Holdings
ZAR South African rand
Corporate information
Corporate Office The Firs Building 2nd Floor, Office 204 Corner Cradock and Biermann Avenues Rosebank, Johannesburg South Africa Office: + 27 (0)11 243 2900 info@paf.co.za Registered Office 107 Cheapside, 2 nd Floor London, EC2V 6DN United Kingdom Office: + 44 (0)20 3869 0706 jane.kirton@corpserv.co.uk
Chief Executive Officer Cobus Loots Office: + 27 (0)11 243 2900 Financial Director and debt officer Marileen Kok Office: + 27 (0)11 243 2900
Head: Investor Relations Hethen Hira Website: www.panafricanresources.com
Tel: + 27 (0)11 243 2900
E-mail: hhira@paf.co.za
Company Secretary Jane Kirton St James's Corporate Services Limited Office: + 44 (0)20 3869 0706 Joint Sponsor, Nominated Adviser and Joint Broker Ross Allister/Georgia Langoulant Peel Hunt LLP Office: +44 (0)20 7418 8900
JSE Sponsor & JSE Debt Sponsor Ciska Kloppers Questco Corporate Advisory Proprietary Limited Office: + 27 (0) 63 482 3802 Joint Broker Thomas Rider/Nick Macann BMO Capital Markets Limited Office: +44 (0)20 7236 1010
Joint Sponsor and Joint Broker Matthew Armitt/Jennifer Lee/Dan Gee-Summons Berenberg Office: +44 (0)20 3207 7800
Copyright (c) 2025 PR Newswire Association,LLC. All Rights ReservedRecent news on Pan African Resources
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