Secunda Complex SLP Stakeholder Engagement

November 2020

Copyright ©, 2020, Sasol Presentation content outline

• Overview of Sasol

• Background information

• Social and Labour Plan (SLP) implementation update

• Requirement for the review of SLP’s

• Review of the Secunda Complex SLP for the period 1 July 2020 to 30 June 2025

• Conclusion

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Copyright ©, 2020, Sasol 2 Overview of Sasol

➢ Sasol is a proudly South African based, global energy and chemicals company

➢ Sasol is internationally recognised for its innovative coal-to-liquid (CTL) and gas-to-liquid (GTL) technology

➢ Sasol’s CTL technology is used to produce more than a third of ’s transportation fuels which is of strategic importance to the country

➢ The coal for the CTL process is mined by Sasol Mining which operates an underground coal-mining complex near Secunda in the province

➢ Sasol Mining’s Secunda Complex has been operational for almost 50 years and annually produces approximately 41 Mt of coal destined for the following markets: ➢ Domestic market: the majority of the coal mined in Secunda area is used as gasification feedstock in Sasol’s CTL operations; and ➢ Export market: a small percentage, roughly 3,5 Mt is exported to European and Asian markets

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Copyright ©, 2020, Sasol 3 Overview of Sasol

• Sasol produce and commercialise a range of product streams including coal, oil and gas, commodity and specialised chemicals, gaseous and liquid fuels and lower carbon electricity

MINING EXPLORATION AND ENERGY PRODUCTION INTERNATIONAL

Liquid fuels Illuminating Crude oil and Petrol, diesel, paraffin Coal Natural gas condensates jet fuel

PERFORMANCE CHEMICALS

Liquefied petroleum Other fuels, gas (LPG), propane lubricants and fuel and butane oils ENERGY Advanced materials Organics Inorganics, catalysts Wax and carbon

GTL fuel Natural gas & BASE CHEMICALS Bitumen products methane-rich gas

Speciality Gas-to-power Polymers Solvents Explosives Fertilisers Ammonia gases electricity

4 Copyright ©, 2020, Sasol 4 Sasol team

Sasol Mining Rights

Dr Sarel Booyens

King Nkambule

Nobom Hlatshwayo

Sasol Corporate Affairs

Mashudu Ndou

Andile Mbatha

Ntombi Macheke

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Copyright ©, 2020, Sasol 5 Background

➢ Sasol Mining is the holder of three mining rights in the Mpumalanga province, with the associated Social and Labour Plans (SLP)

➢ Mining rights are situated in the following municipalities: ➢ Govan Mbeki Local Municipality ➢ ➢ Dipaleseng Local Municipality; and ➢ eMalahleni Municipality

➢ The SLP covers a period of five years ➢ must be reviewed every five years for the duration of the mining right; and ➢ the SLP addresses the development of employees and training offered to the community, local economic development, employee housing and preferential procurement

➢ Sasol Mining SLP periods ➢ Secunda Complex ended on 30 June 2020 ➢ Block IV ends 30 June 2022, review to commence January 2021 ➢ Alexander ends 30 June 2023, review to commence January 2022

Copyright ©, 2020, Sasol 6 Social and Labour Plans progress update Background

A mining right holder must comply with the provisions of the Mineral and Petroleum Resources Development Act, 2002 (Act 28 of 2002) as amended (MPRDA) and the regulations promulgated thereunder

On 27 March 2020, the Department of Mineral Resources and Energy (DMRE) published an amendment to the MPRDA Regulations which requires holders of mining rights to provide the community with progress on the implementation of SLPs

Must take place at least three times per year

Sasol Mining, in partnership with the local municipalities, implemented various community local economic development projects (LED projects)

Local suppliers are used for the implementation of projects

Labour is sourced from local communities

Copyright ©, 2020, Sasol 8 Summary of training provided

During the five-year period of the Secunda Complex SLP, from 1 July 2015 to 30 June 2020, Sasol Mining implemented the commitments contained in the SLP In addition to training and development opportunities provided to employees, Sasol Mining also implemented various training initiatives for the community

Secunda SLP training summary FY16 to FY20 FY16 FY17 FY18 FY19 FY20 Total Internal External Internal External Internal External Internal External Internal ExternalTotal internal Total External AET 34 24 44 22 48 25 54 35 56 30 236 136 372 Learnerships* 188 50 61 48 156 59 164 57 161 59 730 273 1003* Internships 49 0 38 0 42 1 38 1 38 0 205 2 207 Bursaries 216 46 171 42 89 37 83 37 31 32 590 194 784 Portable 37 57 57 33 48 232 232* skills*

*Learnerships - Section 18.1 (full time appointed) reported as internal and Section 18.2 (no employment commitment reported as external eventhough it is a totally new intake

*Portable skills - reflected as external as training is provided to employees exiting Sasol Mining as well as community members

Copyright ©, 2020, Sasol 9 Lebohang storm water drains phase 1 and 2 • Lebohang had no storm water drainage management system and is prone to flooding • Designed over all storm water drainage system for this section of Lebohang • It benefited some of the poorest people in the Lebohang • It provided immediate relief to people exposed to flooding during the rainy season. • A phased approach was adopted and to date phase 1 and phase 2 completed

Copyright ©, 2020, Sasol 10 footbridges

• 18 foot bridges have been constructed

• Footbridges used to access health services

• One bridge in eMbalenhle Ext 18 constructed over the Klip River (Welas)

• The bridge is crossed approximately 40 000 times per week by community members to access • shops • schools • recreational facilities • municipal services

• No drownings have occurred since the construction of the Welas bridge.

Copyright ©, 2020, Sasol 11 eMzinoni clinic upgrade

• Facility fully equipped and furnished at a total cost of R11 million benefiting around 23 000 households

• 35 jobs created for local residents

• More than 1000 community members attended opening

Copyright ©, 2020, Sasol 12 Kinross Extension 25 water reservoir repairs

• Sasol Mining repaired a 5 million litre reservoir supplying potable water to Kinross Extension 25

• The town experienced an interrupted water supply, as the reservoir leaked and was not able to supply a consistent flow of water to the town

• The repair work involved applying special techniques for sealing water leaks in concrete surfaces using an internationally patented technology developed in the South African mining industry – originally designed to prevent water seeping into mines and flooding them

• During construction, a total of nine local residents were employed

Copyright ©, 2020, Sasol 13 Sewerage removal trucks – Charl Cilliers • Two sewage removal trucks were supplied to Govan Mbeki Municipality

• Enables the removal of sewage sludge from Charl Cilliers town, where septic tanks and pit latrines are still in use

• The truck will improve the general health and wellbeing of communities as it can be used in the broader Govan Mbeki Municipality

Copyright ©, 2020, Sasol 14 Leandra fire station • Sasol Mining constructed, furnished and equipped the Leandra fire station (R10 million)

• Toyota Land Cruiser response vehicle and Mercedes Benz fire truck were provided

• This facility plays a key role in in the event of: • motor vehicle accidents on the • fires within the town • fires in the surrounding rural areas

Copyright ©, 2020, Sasol 15 Nthoroane and water reservoir fencing

• This project entailed the fencing of three water reservoirs, to ensure the safety of the community • Safety of children and animals ensured by the fencing • Drinking water is now clean and free from contamination by animals

Copyright ©, 2020, Sasol 16 Upgrading of roads in Nthoroane

• Sasol Mining paved six roads within Nthoroane near the town of Greylingstad between March 2014 and August 2014 at a cost of R10 million • Local contractors were used to implement the project • 63 local people were employed during construction

Copyright ©, 2020, Sasol 17 eMbalenhle Extension 26 sewer upgrade • 18 km of sewer lines with associated manholes investigated

• 8 km of sewer lines with associated manholes replaced/upgraded

• Project commenced in September 2014 and completed on 12 December 2015

• A local based company was appointed to do the construction and created 41 jobs for local residents

Copyright ©, 2020, Sasol 18 Charl Cilliers multi purpose centre

• Charl Cilliers Multi purpose Centre completed in 2018 at R11.6 million

• Centre equipped an furnished

• Municipal services, community meetings, health services

• Ikusasa provide Youth centre at a cost of R200 000 and a mobile clinic valued at R2 million

Copyright ©, 2020, Sasol 19 LED project update – Govan Mbeki Municipality Sakhisizwe bridge

● Provides improved and safe accessibility

● Constructed at a total cost of R10.2m

Copyright ©, 2020, Sasol 20 Lekwa electricity upgrades

• Lekwa electricity upgrade Phases 1 and 2 combined value of approximately .5 million

• Improved infrastructure and service delivery

• Increased capacity resulting in new town developments, thus promoting growth and job creation

Copyright ©, 2020, Sasol 21 Energy efficient high mast lights • Energy efficient lighting in eMzinoni, Leandra, Charl Cilliers and eMbalenhle • 43 high mast lights retrofftted and completed in July 2019 (R7 million) • Reduction in electricity usage • Improved safety and security

• Energy efficient lighting in Kinross completed in November 2019 ( R4,5 million) • Installed 11 new high mast lights • Improved safety and security

Kinross before and after

Copyright ©, 2020, Sasol 22 Greylingstad waste water treatment plant and sewerage reticulation upgrades

Greylingstad/Nthoroane/Willemsdal • Waste water treatment plant repaired and upgraded • Sewer pump stations constructed • Sewer reticulation network installed • Sizanani informal township converted to a formal services extension of Nthoroane • Multi year project with estimated completion cost of around R100 million

Copyright ©, 2020, Sasol 23 Charl Cilliers and eMbalenhle water provision

● Construction 41% complete ● Total project cost: million ● Reliable water supply to Charl Cilliers and eMbalenhle ● Improved service delivery ● Refurbishment of reservoir at eMbalenhle Extension15

Construction of potable water pump Water pipeline between Charl Cilliers station at eMbalenhle Ext 15 reservoir and eMbalenhle

Copyright ©, 2020, Sasol 24 LED projects FY11 to FY15 Actual amount SLP LED Project SLP Period Budget Govan Mbeki Municipality Secunda Complex eMzinoni clinic FY11 to FY15 R4,200,000.00 R10,038,007.15 Secunda Complex Lebohang storm water phase 1 FY11 to FY15 R1,200,000.00 R1,302,767.65 Secunda Complex Charl Cilliers sewer trucks FY11 to FY15 R3,000,000.00 R2,891,437.47 Secunda Complex eMbalenhle Foot bridges phase 1 FY11 to FY15 R1,000,000.00 R1,285,321.07 Secunda Complex Leandra fire Station FY11 to FY15 R8,000,000.00 R10,204,510.21 Secunda Complex Kinross water reservoir FY11 to FY15 R1,500,000.00 R1,296,195.55 Total R27,018,239.10 Dipaleseng Municipality Secunda Complex Nthoroane fencing FY11 to FY15 R500,000.00 R472,701.47 Secunda Complex Nthoroane road FY11 to FY15 R10,000,000.00 R10,374,270.24 Total R10,846,971.71 Total FY11 to FY15 R37,865,210.81 4

Copyright ©, 2020, Sasol 25 LED projects FY16 to FY20 SLP LED Project SLP Period Budget Actual amount to date Govan Mbeki Govan Mbeki Govan Mbeki Govan Mbeki Municipality Govan Mbeki Municipality Municipality Municipality Municipality Secunda Complex Lebohang storm water phase 2 FY16 to FY20 R5,300,000.00 R14,048,786.97 Secunda Complex eMbalenhle Foot bridges phase 2 FY16 to FY20 R1,200,000.00 R710,463.34 Secunda Complex eMbalenhle x25 sewer upgrade FY16 to FY20 R6,500,000.00 R8,158,206.12 Secunda Complex Sakhisizwe bridge FY16 to FY20 R4,000,000.00 R10,300,889.72 Secunda Complex Charl Cilliers multi purpose centre FY16 to FY20 R4,000,000.00 R13,007,877.02 Secunda Complex GMM energy efficient lighting FY16 to FY20 R6,000,000.00 R7,363,603.07 Block IV Kinross energy efficient lighting FY18 to FY22 R400,000.00 R3,840,909.69 Secunda Complex Charl Cilliers and eMbalenlhe water FY16 to FY20 R12,000,000.00 R14,848,327.73 Alexander connections FY19 to FY23 R30,000,000.00 Total R72,279,063.66 Dipaleseng Municipality Greylingstad waste water treatment plant Secunda Complex upgrade, Greylingstad, Willemsdal, FY16 to FY20 R45,000,000.00 R33,704,617.10 Nthoroane sewerage reticulation Lekwa Municipality Secunda Complex Lekwa electricity upgrade Phase 1 FY16 to FY20 R17,300,000.00 R33,520,589.93 Secunda Complex Lekwa electricity upgrade Phase 2 FY16 to FY20 R17,100,000.00 eMalahleni Municipality Block IV Ogies Vulindlela bridge repairs FY18 to FY22 R3,000,000.00 R856,331.26 Total FY16 to FY20 R140,360,601.95 4 Total FY11 to FY20 R178,225,812.76

Copyright ©, 2020, Sasol 26 Affordable housing - eMbalenhle and Secunda

• Policy to promote affordable home ownership for low income employees • Severe housing shortage of houses at the lower income levels (gap market) • Commenced with the implementation a number of housing construction projects • Embarked on an extensive communication process to ensure that the target group is aware of the Housing Project • First time homeowners were delighted to take ownership of their new houses. • Employees have the option to choose from a wide variety of house designs, to suite their individual needs and affordability • The employment of locals is also promoted during construction • Project to promote home ownership will continue

Copyright ©, 2020, Sasol 27 Requirement for the review of Social and Labour Plans Review requirements

The 2018 Broad Based Black Economic Empowerment Charter for the Mining and Mineral Industry (Mining Charter) was published on 27 September 2018

The Mining Charter Implementation Guidelines (Guideline) was published on 20 December 2018

The Mining Charter Implementation Guidelines determine that the holder of a mining right must review the approved SLP every five years for the duration of the mining right

The review must be done in consultation with affected mine communities, adjacent communities, labour sending areas, local or district municipalities and tribal authorities, where applicable The review period should be initiated from the fourth year of the SLP and must be done in consultation with affected mine communities, adjacent communities, labour sending areas, local or district municipalities and tribal authorities On 27 March 2020, the DMRE published an amendment to the MPRDA Regulations which requires consultations with interested and affected parties and allowing 30 days for parties to comment Consultations must be conducted in accordance with the provisions of the public participation processes as required by the Environmental Impact Assessment (NEMA) Regulations

Copyright ©, 2020, Sasol 29 Review requirements for the SLP

Review of the Secunda Complex SLP with DMRE reference number MP 30/5/1/2/2/138 MR

Review process commenced during 2019

The announcement of the a lockdown period commencing on 27 March 2020 resulted in the postponement of the consultation process

To meet regulatory requirements, the draft reviewed Secunda Complex SLP for the period 1 July 2020 to 30 June 2025 was submitted to the DMRE on 27 March 2020

The SLP submitted states that:

● the community LED projects will be confirmed, and ● the public participation process will recommence as soon as possible after the suspension of the lockdown period Sasol Mining is required to adhere to the new MPRDA Regulations and consultations must be conducted in accordance with the provisions of the public participation processes as required by the Environmental Impact Assessment Regulations Public participation process will have to start from scratch due to the requirements of the new MPRDA Regulations

Copyright ©, 2020, Sasol 30 Review requirements in support of a mining right amendment

Sasol Mining acquired a number of small and isolated coal reserve areas

To enable Sasol Mining to mine the coal in these areas, the Secunda Complex mining right has to be amended in terms of the provisions of the MPRDA,

The SLP was also amended to reflect the additional areas

The additional areas constitutes approximately 3,5% of the total Secunda Complex

Public participation has to recommence, (although all municipalities have been consulted on the review process) once the moratorium on gatherings and the lockdown period is lifted

Copyright ©, 2020, Sasol 31 Reviewed and amended Secunda Complex SLP Locality

Copyright ©, 2020, Sasol 32 Review of the Secunda Complex Social and Labour Plan for the period 1 July 2020 to 30 June 2025 Details of the SLP for the Secunda Complex

The SLP contains three broad sections:

● Human Resources Development ● Local economic development (LED) ● Downscaling and retrenchments

Human Resources Development covers the following:

• Adult Education and Training • Learnerships • Internships • Bursaries • Employment Equity • Portable Skills

Copyright ©, 2020, Sasol 34 Details of the SLP for the Secunda Complex

The SLP contains three broad sections:

● Human Resources Development ● Local economic development (LED) ● Downscaling and retrenchments

Human Resources Development covers the following:

• Adult Education and Training • Learnerships • Internships • Bursaries • Employment Equity • Portable Skills

Copyright ©, 2020, Sasol 35 Adult Education and Training • Sasol Mining is committed to improve the education levels of employees, especially those with no schooling by providing adult education and training (AET) programmes • Over and above the training of employees, Sasol Mining also offers AET to community members from the host areas • The programme offers learners opportunities to be functionally literate and numerate (AET Levels 4 and 5) • Sasol embarks on an extensive external advertising campaign in order to attract qualifying community members ● Annual exhibitions are hosted within communities to attract interested prospective learners ● Advertisements for ABET are placed on all the public buildings within a municipal area ● Trade union partnerships are encouraged ● Other mediums such as radio and community newspapers are also utilised ● The numbers selected within communities are determined by the number of employees selected internall,y as it is important to accelerate their functionality at work ● The numbers selected from communities are referred for placement tests to establish their levels ● Oral interviews are also conducted

Copyright ©, 2020, Sasol 36 Adult Education and Training

• Sasol Mining has an in-house AET facility, located in Secunda and has programme approval with relevant licensing authorities

• The facility can accommodate up to 70 learners at a time

• The AET facility uses professional educators to facilitate the classes

• Cost considerations for the use of the centre to ensure that numbers are aligned to the requirements for the delivery of the programme

Period FY21 FY22 FY23 FY24 FY25 Total

Internal 40 35 30 25 25 155

External 20 15 15 15 15 80

Copyright ©, 2020, Sasol 37 Learnerships

• Sasol Mining Technical Training (T2), based in Secunda, is the primary training provider for Sasol Mining • T2 makes use of secondary providers to train on the various learnership programmes • The objectives of the learnerships are: ● To provide a skills pipeline for positions within the hard-to-fill vacancies category, particularly the electro mechanics, diesel mechanics and learner miners ● To provide a skills pipeline to support the Sasol Mining’ Employment Equity (EE) plan ● To mitigate the impact of the shortage of skills within the company and South Africa ● To meet current and future demand for skilled artisans and miners

Copyright ©, 2020, Sasol 38 Selection process for learner miners 18.1 and 18.2 • Artisans are still categorized as scarce skills in the country and Sasol is committed to the fulfillment of skills development in line with the Mining Qualifications Authority (MQA)

• 18.1 learners are those employed and 18.2 are learners recruited with no commitment to employ; all are being prepared to become skilled artisans

• Structured information sessions are conducted during the annual exhibition sessions

• During the exhibitions, prospective candidates complete training opportunity forms

• HR follows up by conducting oral interviews to establish interest

• Learners who had performed well in Mathematics and Physical Science, are considered

Period FY21 FY22 FY23 FY24 FY25 Total

Appointed (18.1) 80 80 80 80 80 400 No employment 13 13 13 13 13 65 commitment (18.1) Total 465

Copyright ©, 2020, Sasol 39 Internships • The Internship programme is aimed at providing practical work experience within the Sasol Mining environment to students or recent graduates

• Objectives: ● To provide students and recent graduates with practical experience ● To provide a transition between theoretical studies and the practical work environment ● To develop and entrench a work culture, desired workplace values and enhance participants’ performance when they are appointed ● To attract non-Sasol bursars to Sasol Mining on completion of their studies

• To ensure that Sasol mining has sufficient and qualified artisans and learner miners, an internship progamme is in place to address the challenge of hard-to-fill vacancies

• External internships have no commitment of employment

Period FY21 FY22 FY23 FY24 FY25 Total

Internal 40 40 40 40 40 200

External 2 2 2 2 2 10

Copyright ©, 2020, Sasol 40 Bursaries • The Sasol Group has an extensive programme to supply bursaries and support to the communities throughout the country • Sasol creates relationships with schools within the immediate Gert Sibande District and the Mpumalanga Province, to target students in grade 10 to 12 to create an awareness of a career in mining • Sasol Mining also advertises within the Mpumalanga region for prospective bursary holders to attract students within the Mpumalanga region • Bursary recipients study full time and the bursary continues until the student graduates as stipulated by the Sasol bursary agreement • Career expo’s like Techno X and the Osizweni science week are intended to promote bursaries and careers in engineering and mining-specific disciplines • Sasol Mining also provides bursaries to its employees through a Study Aid programme, enabling them to further their tertiary education. • Sasol’s objective is to develop and grow employee’s knowledge in their current positions

Period FY21 FY22 FY23 FY24 FY25 Total Internal 80 80 80 80 80 400

External 35 35 35 35 35 175

Copyright ©, 2020, Sasol 41 Portable Skills

• Portable skills training is designed to equip affected employees with skills that can be used outside the mining industry in the event of mine closure and retrenchment as well as those employees who leave Sasol Mining due to retirement or being physically unable to perform underground work

• The selection criteria for employees to participate in portable skills training are: ● Less than 10 years from retirement with no formal skills ● Individual unable to perform work underground at the mine and who cannot be redeployed elsewhere ● The selection of employees to participate in the programme is done by the Human Resources Department, in consultation with representative trade unions ● All the training is paid for by Sasol Mining and if necessary, training is outsourced to a specialist service provider

Period FY21 FY22 FY23 FY24 FY25 Total

Target 45 40 40 40 40 205

Copyright ©, 2020, Sasol 42 Portable Skills: Selection process for communities

• Any unemployed person from the applicable local community may participate in the Portable Skills Program. The minimum age for external candidates is 18 years

• The eligible target population for external candidates is unemployed persons from the local area

• Prospective candidates will be considered after the final confirmation of internal intake as priority is given to internal candidates

Possible candidates are sourced through the following methods:

● Word of mouth ● Structured information sessions with training opportunity forms ● Advertisements/notices ● Recruitment via HR and union partnerships

Copyright ©, 2020, Sasol 43 Benefits to the communities from all the educational training programmes

• Improvement in the levels of education especially, those with no formal schooling

• Upskilling of learners in the categories deemed to be scarce skills

• Accredited qualifications at the end of each level

• Enabling communities to apply for jobs in Sasol and other industries within the surrounding areas

• Opening up opportunities for learners who may not necessarily have the financial means to study further

• Supporting schools with career guidance

• Employees leaving the employment of Sasol Mining, such as retirement, medical or retrenchment can utilise the skills acquired to enable them to sustain themselves beyond their service at the mine

Copyright ©, 2020, Sasol 44 Employment Equity five year targets in terms of the Mining Charter 2018

Management Level Target FY21 Target FY22 Target FY23 Target FY24 Target FY25 Top Management 66,7% 66,7% 66,7% 66,7% 66,7% Females (20%) 44,4% 44,4% 44,4% 44,4% 44,4% Executive Management (50%) 53,8% 53,8% 53,8% 53,8% 53,8% Females (20%) 15,4% 15,4% 15,4% 15,4% 15,4% Senior Management (60%) 46,1% 50% 53,9% 57,8% 57,8% Females (25%) 15,7% 18,4% 21,05% 23,7% 23,7% Middle Management (60%) 59,4% 59,4% 59,6% 59,6% 59,6% Females (25%) 24,2% 24,2% 24,7% 24,7% 24,7% Junior Management (70%) 65.7% 69.7% 69,7% 69,7% 69,7% Females (30%) 21,8% 24,4% 27,6% 30,0% 30,0% People with disabilities 0.15% 0.27% 0.67% 1.08% 1.50% Core and critical skills 84.49% 85.00% 85.00% 85.00% 85.00%

Copyright ©, 2020, Sasol 45 Mine Community Development

• Mine Community refers to communities where mining takes place as well as labour sending areas

• The primary objective of mine community development is to contribute meaning ful towards community development, both in terms of size and impact, in keeping with the principles of the social license to operate

• All Local Economic Development (LED) projects are developed in partnership with key community stakeholders and are concentrated in municipal areas where Sasol Mining has the largest footprint

• The Secunda Complex mining area incorporates a total of four local municipalities, namely the Govan Mbeki Municipality, Lekwa Municipality, Dipaleseng Municipality as well as the eMalahleni Municipality

• LED projects are identified in partnership with municipalities and communities through the IDP processes

Copyright ©, 2020, Sasol 46 Implementation of LED projects

• All the projects being implemented within the host and labour sending communities, Sasol Mining ensures that labour is recruited locally

• Prospective employees on the project are drawn from the database of the Department of Labour in consultation with the municipality where the project is being implemented

• A Community Liaison Officer (CLO) is appointed to serve as a conduit between the community, the managing the contractor and Sasol Mining ● Process to appoint a CLO: ● Advertisements in newspapers ● Shortlisting of candidates based on responses received ● Representative panel conducts interviews

• A Project Steering Committee is established to manage the interaction between the community and the project to guide the project during implementation

Copyright ©, 2020, Sasol 47 Proposed community local economic development (LED) projects

Project FY21 FY22 FY23 FY24 FY25 Total

Dipaleseng Greylingstad waste water R5,416,000 R5,416,000 treatment works and reticulation Nthoroane Ext 2 development and R15,111,425 R33,198,048 R9,690, 527 R58,000,000 potable water supply Govan Mbeki

Drug rehabilitation centre R10,000,000 R15,000,000 R25,000,000 Electricity upgrades R17,000,000 R10,000,000 R27,000,000 Holfontein resettlement R8,000,000 R8,000,000 Lekwa Rural water provision R4,100,000 R4,100,000 Lekwa sewer system upgrade R9,000,000 R10,000,000 R19,000,000 eMalahleni Agro processing hub – Kriel area R3,000,000 R3,000,000 LED total R5,416,000 R22,100,000 R47,111,425 R52,198,048 R22,690,527 R149,246,000

Copyright ©, 2020, Sasol 48 Inclusive procurement

• In line with the requirements of the Mining Charter 2018, Sasol is required to ensure that procurement of goods and services as it relates to the projects on mine and LED projects are also accessed by the historically disadvantaged emerging contractors

• In cases whereby we are unable to source a qualified contractor locally, Sasol Mining sources from the district and provincially

• Selection of contractors is based on the understanding of the scope of work

• In a case where a contractor has been sourced from the district or provincially, 30% of the contract value must, as far as possible, be ring-fenced for the benefit of the emerging contractors who are locally based

• Emerging contractors are expected to comply with legislation, namely: SARS, CIPC, Safety and Engineering Standards as approved by ECSA

• The requirement of a vendor number has been relaxed and roadshows are organised by the supply chain department, to ensure that locally based contractors get an equal opportunity to apply.

Copyright ©, 2020, Sasol 49 Inclusive Procurement targets for mining goods aligned with the Mining Charter

Category 2020 2021 2022 2023 2024 2025

50% +1 HDP owned and controlled 4,2% 7,35% 10,5% 21% 21% 21%

50% +1 Women and Youth owned and 1% 1,75% 2,5% 5% 5% 5% controlled

25% + 1 HDP ownership and minimum 8,8% 15,4% 22% 44% 44% 44% DTI B-BBEE Level 4 status

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Copyright ©, 2020, Sasol 50 Inclusive Procurement targets for services aligned with the Mining Charter

Category 2020 2021 2022 2023 2024 2025

50% +1 HDP owned and 50% 50% 50% 50% 50% 50% controlled 50% +1 Women owned and 15% 15% 15% 15% 15% 15% controlled 50% +1 Youth owned and 5% 5% 5% 5% 5% 5% controlled

25% +1 HDP ownership and minimum DTI B-BBEE Level 4 10% 10% 10% 10% 10% 10% status

Copyright ©, 2020, Sasol 51 Conclusion • Sasol Mining is committed to improve the skills levels of its employees and the local community

• LED projects aim to improve the lives of local communities

• Opportunities exist for local jobs and services providers

• Nurturing and strengthening skills development initiatives for self employment and employability in other sectors, and beyond the life of mine

• Proactive and constructive engagement with stakeholders to ensure that we maximise benefits to the communities

Copyright ©, 2020, Sasol 52 Conclusion Comments to be submitted no later than 22 December 2020 ● By email [email protected] ● Hard copies of the SLP and comments registers at the following public libraries: ● Secunda ● eMbalenhle ● ● eMzinoni ● Kinross ● Evander ● Leandra ● Lebohang ● Balfour, Nthoroane ● ● Sakhile ● Kriel ● The SLP is also available at the offices of Sasol Mining, Mining Rights and Properties, Uno Building, Paul Kruger Street,

Copyright ©, 2020, Sasol 53 4

Copyright ©, 2020, Sasol 54