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Lonmin Plc

4 Grosvenor Place
London SW1X 7YL
United Kingdom
T: +44 (0)20 7201 6000
F: +44 (0)20 7201 6100
www.lonmin.com

MEDIA RELEASE

062/2017

LONMIN APPEALS TO BAPONG PROTESTERS TO STOP THE VIOLENCE, DAMAGE TO PROPERTY AND
INTIMIDATION OF OUR EMPLOYEES

Johannesburg, 11 May, 2017: Lonmin is deeply concerned by the continued violence, damage to property and
intimidation of employees at and around its Marikana operations by members of the Bapo ba Mogale. Protest action was
started by community members on 2 May 2017.

The company has met on three occasions with a delegation claiming to represent the unemployed youth of the Bapo Bo
Mogale community. Lonmin remains ready to engage further.

Lonmin was granted an interdict against the protesters on 5 May 2017 by the High Court, Mahikeng. On Tuesday 9 May
2017, Lonmin had what it believed to be a fruitful discussion with the Bapo delegation, when it was agreed that the
company would withdraw the interdict subject to certain terms and conditions being met by both parties.

The interdict requires that the protestors refrain from engaging in unlawful protest action, including marching to or
barricading roads to Lonmins operations; preventing employees from reporting for work, or harassing or intimidating
them; and burning tyres and damaging property on the way to or around Lonmins operations. The conditions set by the
company, which had been agreed to by the protestors, included: the community would take immediate steps to ensure
that this unlawful protest action ceases; the signing of an agreement to end the protest action, and setting out the manner
in which parties will engage in future.

At a follow-up meeting on 10 May 2017, however, the Bapo delegation presented Lonmin management with new
demands for the creation of 1,000 permanent jobs and 500 cadet placements at Lonmin for community members.

These demands are not realistic in the current economic climate and cannot be acceded to without threatening the
sustainability of the business. Lonmin has recently undergone a restructuring, in close consultation with its recognised
union, and significantly reduced its workforce as a result. It simply cannot absorb additional employees at this stage.
As had previously been agreed, Lonmin has committed to engaging with its contractors to review local employment
opportunities and job application processes, and to improve the accessibility and value of the existing Resource Centre,
as requested. The Resource Centre was established in 2016 and handed over to the Bapo as per Lonmins agreement
with them, with the intention of it providing pre-screening processes and for unemployment data processing. Lonmin
also proposed that regular meetings be held between the company and the delegation to explore alternative ways that
the community can be assisted without jeopardising the companys sustainability.

Lonmin remains committed to seeking a peaceful resolution to the delegations demands through ongoing engagement,
but stresses that it is operating in an economically challenging environment and cannot take expedient, but harmful
short-term decisions that would have a negative impact on the sustainability of the business. The outcomes of that would
have a far greater negative impact on employees, contractors, associated businesses and communities supported by
the company through its Social and Labour Plan-led initiatives, among others.

Further, ongoing protests undermine the value of the indirect and direct benefits that accrue to the community through
the Bapos equity interest in the company and committed procurement contracts. In terms of this agreement, the Bapo
have been granted the opportunity to participate in procurement opportunities worth approximately R1.65bn over the
next 5 years. The Bapotrans contract, which sees the Bapo running and managing Lonmins passenger transport buses,
is worth approximately R800m over eight years. Sadly, the bus that was destroyed yesterday is among the assets owned
by the Bapo as part of the procurement opportunities.

Lonmins most pressing concern is the safety and security of employees, their families, community members, and
members of the public travelling through the area.

Queries:
Wendy Tlou: Group Head: Communications
T +27 11 218 8385
M +27 83 358 0049

Note to editors

Lonmin, which is listed on both the London Stock Exchange and the Johannesburg Stock Exchange, is one of the world's
largest primary producers of PGMs. These metals are essential for many industrial applications, especially catalytic
converters for internal combustion engine emissions, as well as their widespread use in jewellery. Lonmin's operations
are situated in the Bushveld Complex in South Africa, where nearly 80% of known global PGM resources are found.

The Company creates value for shareholders through mining, refining and marketing PGMs and has a vertically
integrated operational structure - from mine to market. Lonmin's mining operations extract ore from which the Process
Division produces refined PGMs for delivery to customers. Underpinning the operations is the Shared Services function
which provides high quality levels of support and infrastructure across the operations.

For further information please visit our website: http://www.lonmin.com

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