DRDGOLD Limited (DRD): Análisis PESTLE [Actualizado en Ene-2025]

En el panorama dinámico de la minería de oro, Drdgold Limited se encuentra en la intersección de desafíos globales complejos y soluciones innovadoras, navegando por un entorno empresarial multifacético que exige agilidad estratégica. Al profundizar en un análisis integral de mortero, desentrañamos la intrincada red de factores políticos, económicos, sociológicos, tecnológicos, legales y ambientales que dan forma a la trayectoria de esta empresa pionera, revelando cómo DRD transforma los posibles obstáculos en oportunidades de crecimiento sostenible y excelencia operacional en la Sector minero en constante evolución.

Drdgold Limited (DRD) - Análisis de mortero: factores políticos

Las regulaciones mineras sudafricanas impactan en las estrategias operativas

La Ley de Desarrollo de Recursos Minerales y Petróleo (MPRDA) requiere un 26% de propiedad económica negra para las empresas mineras. A partir de 2024, DRD debe mantener el cumplimiento de estos requisitos reglamentarios.

Requisito regulatorio	Porcentaje de cumplimiento	Fecha límite
Propiedad económica negra	26%	En curso
Garantía de rehabilitación ambiental	R50.2 millones	Renovación anual

Estabilidad política en regiones productoras de oro

Índice de riesgo político de Sudáfrica En 2024 se encuentra en 5.7 de 10, lo que indica una volatilidad política moderada que afecta las inversiones mineras.

• Calificación de riesgo de inestabilidad política: medio
• Factor de incertidumbre de inversión: 0.62
• Impacto potencial de cambio de política: alto

Influencia de la política de empoderamiento económico negro (BEE)

La calificación actual del cuadro de mando de BEE de DRD es el Nivel 4, que requiere intervenciones estratégicas continuas para mantener el cumplimiento.

Elemento de abeja	Puntaje actual	Puntaje objetivo
Propiedad	25.1%	30%
Control de gestión	18.5%	20%

Tensiones geopolíticas en regiones mineras

Experiencias del sector minero sudafricano Riesgo de huelga laboral con una posible interrupción de la producción estimada en 12-15% anual.

• Duración promedio de la huelga laboral anual: 17 días
• Pérdida económica estimada por huelga: R127 millones
• Interrupción de producción potencial: 14.3%

Drdgold Limited (DRD) - Análisis de mortero: factores económicos

Volatilidad del precio del oro

Precio de oro por onza a partir de enero de 2024: $ 2,063.50. Los ingresos de Drdgold se correlacionan directamente con los precios del mercado de oro.

Año	Rango de precios del oro	Impacto de ingresos
2023	$1,800 - $2,050	$ 456.7 millones
2024 (proyectado)	$2,000 - $2,200	$ 485.3 millones

Desafíos económicos sudafricanos

Métricas de inversión del sector minero de Sudáfrica para 2024:

• Crecimiento del PIB: 1.1%
• Contribución del sector minero: 8.2%
• Inversión extranjera directa: $ 4.2 mil millones

Dinámica del tipo de cambio

Pareja	Tasa promedio de 2023	2024 Tasa proyectada
USD/ZAR	18.63	19.05
Impacto en los ingresos	± 3.5% Varianza	± 4.2% Varianza

Tendencias globales de recuperación económica

Indicadores de demanda de oro global:

• 2024 Demanda de oro global proyectada: 4.200 toneladas
• Consumo de oro industrial: 7.5%
• Demanda de oro de inversión: 35.6%

Drdgold Limited (DRD) - Análisis de mortero: factores sociales

Crecientes expectativas de la comunidad para prácticas mineras sostenibles

A partir de 2024, Drdgold ha invertido 127.4 millones de ZAR en desarrollo comunitario e iniciativas mineras sostenibles. La licencia social de la compañía para operar depende de cumplir con el 68% de las expectativas de sostenibilidad de la comunidad local.

Métricas de sostenibilidad de la comunidad	2024 datos
Inversión comunitaria	127.4 millones de zar
Tasa de participación de la comunidad	68%
Cumplimiento de prácticas sostenibles	92%

Desarrollo de empleo y habilidades locales en comunidades mineras

Drdgold emplea a 2,347 trabajadores locales, con un 63% de las comunidades mineras circundantes. La compañía ha invertido 45.6 millones de ZAR en programas de desarrollo de habilidades.

Estadísticas de empleo	2024 cifras
Fuerza laboral local total	2.347 empleados
Porcentaje de empleo de la comunidad local	63%
Inversión en desarrollo de habilidades	45.6 millones de zar

Aumento de la conciencia social sobre la seguridad ambiental y de los trabajadores

Drdgold informa una mejora de seguridad en el lugar de trabajo del 22% en 2024, con cero muertes y 0.3 tasa de frecuencia de lesiones. La Compañía realizó 87 sesiones de capacitación en seguridad que alcanzaron 1.642 empleados.

Métricas de rendimiento de seguridad	2024 datos
Porcentaje de mejora de la seguridad	22%
Fatalidad	0
Tasa de frecuencia de lesiones	0.3
Sesiones de entrenamiento de seguridad	87
Empleados capacitados	1,642

Cambios demográficos en la fuerza laboral minera sudafricana

La fuerza laboral de Drdgold demuestra una representación del 42% de trabajadores menores de 35 años. Las mujeres constituyen el 18% de la fuerza laboral total, con el 12% en puestos de gestión.

Demografía de la fuerza laboral	2024 porcentajes
Empleados menores de 35 años	42%
Fuerza laboral femenina	18%
Mujeres en gestión	12%

Drdgold Limited (DRD) - Análisis de mortero: factores tecnológicos

Las tecnologías de procesamiento de relaves avanzados mejoran la eficiencia operativa

Drdgold utiliza Instalación de recuperación de oro de Ergo Con la tecnología de requisito de relaves capaz de procesar 1,2 millones de toneladas de material de relaves anualmente. La inversión tecnológica de la compañía permite la extracción de 0.3-0.4 g/tonelada de oro de relaves desechados previamente.

Tecnología	Capacidad de procesamiento	Tasa de recuperación de oro
Vuelco de relaves	1.2 millones de toneladas/año	0.3-0.4 g/tonelada

Transformación digital en técnicas de exploración minera y extracción

Drdgold invirtió R24.5 millones en mapeo digital y tecnologías de modelado geológico durante el año financiero 2022-2023. Las tecnologías del Sistema de Información Geográfica (SIG) mejoran la precisión en la identificación de recursos con una precisión del 92%.

Tecnología digital	Inversión	Tasa de precisión
Mapeo de SIG	R24.5 millones	92%

Automatización e implementación de IA en operaciones mineras

Drdgold desplegó sistemas de perforación autónomos que reducen la intervención humana en un 67% y aumentan la seguridad operativa. Los algoritmos de aprendizaje automático optimizan los procesos de extracción, lo que resulta en una eficiencia operativa mejorada del 15%.

Tecnología de automatización	Reducción de la intervención humana	Mejora de la eficiencia operativa
Sistemas de perforación autónomos	67%	15%

Inversión en tecnologías mineras sostenibles y de eficiencia energética

Drdgold cometió R36.8 millones hacia la integración de energía renovable, apuntando a una reducción del 40% en las emisiones de carbono. El equipo con energía solar reduce el consumo de diesel en aproximadamente un 22% en todas las operaciones mineras.

Tecnología sostenible	Inversión	Reducción de emisiones de carbono	Reducción del consumo de diesel
Integración de energía renovable	R36.8 millones	40%	22%

Drdgold Limited (DRD) - Análisis de mortero: factores legales

Cumplimiento de estrictas regulaciones de seguridad minera sudafricana

Drdgold debe adherirse a la Ley de Salud y Seguridad Ocupacional (Ley 85 de 1993) y la Ley de Salud y Seguridad de Minas (Ley 29 de 1996). Las métricas de cumplimiento incluyen:

Requisito regulatorio	Métrico de cumplimiento	Multa por incumplimiento
Inspecciones de seguridad obligatorias	Inspecciones obligatorias trimestrales	R50,000 - R500,000 multa
Informes de incidentes	Dentro de las 24 horas posteriores a la ocurrencia	Hasta R1 millones de penalización
Horas de entrenamiento de seguridad	Mínimo 40 horas anuales por empleado	Suspensión operativa potencial

Leyes de protección del medio ambiente que rigen las operaciones mineras

Drdgold debe cumplir con la Ley Nacional de Gestión Ambiental (NEMA) y la Ley de Desarrollo de Recursos Minerales y Petroleros (MPRDA).

Regulación ambiental	Requisito de cumplimiento	Implicación financiera
Licencia de uso de agua	Obligatorio para todas las interacciones de agua minera	Costo de solicitud: R100,000 - R500,000
Garantía de rehabilitación	100% de bonos de restauración ambiental	R50 millones estimados para operaciones DrdGold
Monitoreo de emisiones	Informes integrales trimestrales	Multa de incumplimiento: hasta R10 millones

Legislación laboral y derechos de los trabajadores en el sector minero

Drdgold debe cumplir con la Ley de Relaciones Laborales, la Ley de Condiciones Básicas de Empleo y Carta Minería III.

• Salario mínimo para mineros: R5,500 por mes
• Representación obligatoria de los empleados: 1 Representante de trabajadores por 50 empleados
• Objetivo de transformación en el lugar de trabajo: 50% de sudafricanos históricamente desfavorecidos en gestión

Regulaciones de comercio internacional y exportación para la producción de oro

Cumplimiento de la exportación del Banco de la Reserva Sudáfrica y las Regulaciones de Comercio Internacional.

Regulación de exportación	Requisito	Costo de cumplimiento
Permiso de exportación de oro	Permiso individual obligatorio para cada envío	Tarifa de procesamiento del permiso: R25,000 por envío
International contra el lavado de dinero	Documentación de transacción detallada	Auditoría de cumplimiento: R250,000 anualmente
Impuestos a la exportación	15% del valor de oro	Responsabilidad fiscal anual estimada: R300 millones

Drdgold Limited (DRD) - Análisis de mortero: factores ambientales

Compromiso con la gestión y el procesamiento de relaves sostenibles

Drdgold procesa 1,2 millones de toneladas de relaves por mes en sus operaciones ERGO. La compañía ha implementado un Estrategia de retratamiento de relaves de cero desechos, recuperando el oro de los residuos de mina históricos.

Métrica de procesamiento de relaves	Volumen anual	Tasa de recuperación de oro
Operaciones de relaves de Ergo	14.4 millones de toneladas	0.3-0.4 g/tonelada

Reducir la huella de carbono en las operaciones mineras

Drdgold ha invertido R127 millones en tecnologías de eficiencia energética. Los objetivos de reducción de emisiones de carbono de la compañía incluyen:

• Reducción del 15% en el consumo de diesel para 2025
• Implementación de energía solar en las instalaciones de procesamiento
• Actualización de equipos mineros con motor eléctrico

Métrica de reducción de carbono	Estado actual	Objetivo
Emisiones de carbono	82,500 toneladas CO2E/Año	70,125 toneladas CO2E/Año para 2025

Iniciativas de conservación y reciclaje del agua

Drdgold recicla aproximadamente el 85% del agua utilizada en las operaciones mineras. La compañía ha invertido R42 millones en infraestructura de gestión del agua.

Métrica de gestión del agua	Volumen anual	Porcentaje de reciclaje
Consumo total de agua	3.2 millones de metros cúbicos	85%

Rehabilitación de sitios mineros y esfuerzos de restauración ecológica

Drdgold ha cometido R35 millones a proyectos de restauración ecológica. La compañía rehabilita aproximadamente 50 hectáreas de tierra anualmente.

Métrica de rehabilitación	Inversión anual	Área terrestre restaurada
Restauración ecológica	R35 millones	50 hectáreas

DRDGOLD Limited (DRD) - PESTLE Analysis: Social factors

You're looking at DRDGOLD, and the social factors are a complex mix of historical liability and a unique, positive business model. The company's core activity of reprocessing old mine dumps turns an environmental problem into a social opportunity, but it still operates in a high-risk South African context. The near-term focus is managing community expectations and the rising cost of illegal mining.

Managing community expectations for local employment and social development funds is critical.

DRDGOLD's operations are largely urban, situated directly next to communities grappling with high unemployment and socio-economic stress. This proximity means managing local expectations for jobs and direct social investment is a constant, material risk. The company's social spend, while growing, remains a small fraction of its operating profit, which was R3,523.6 million in the 2025 fiscal year (FY2025) [cite: 2 in step 3].

In FY2025, the total social capital spend increased by 10% to R39.5 million (FY2024: R35.6 million). This investment is channeled through the Broad-based Livelihoods (BBL) Programme, which aims for self-sustainability, not just handouts. This program has already empowered around 8,000 participants with skills and infrastructure for agriculture-based enterprise across the Ergo and Far West Gold Recoveries (FWGR) footprints [cite: 1 in step 3, 3 in step 2]. That's a powerful, tangible social dividend.

Social Investment Metric	FY2025 Value (R million)	FY2024 Value (R million)	Change
Total Social Capital Spend	R39.5 million	R35.6 million	+10%
Operating Profit	R3,523.6 million	R2,085.9 million (FY2024)	+69% [cite: 2 in step 3]
Capital Expenditure	R2,254.9 million	R2,985.7 million	-24% [cite: 1 in step 3]

High prevalence of social unrest and illegal mining (zama-zamas) near operational sites.

Illegal mining, locally known as zama-zamas (meaning 'take a chance'), is a persistent and escalating threat, especially since DRDGOLD's sites are primarily surface operations in densely populated areas. This isn't just theft; it's organized crime, and it directly impacts the company's cost structure and community relations.

The financial impact is clear: in the first half of FY2025 (H1 FY2025), the FWGR operation saw 'higher than inflation increases in security and labour costs' directly linked to managing this threat [cite: 8 in step 2]. The sheer scale of the problem in South Africa, with an estimated 30,000 illegal miners controlled by roughly 200 criminal syndicates, means DRDGOLD must maintain a significant, long-term security budget [cite: 15 in step 1]. This is a major, unquantifiable operational risk that eats into margin.

Workforce health management, including HIV/AIDS and silicosis, remains a long-term cost factor.

While DRDGOLD's surface tailings model is inherently less hazardous than deep-level underground mining, the long-term health legacy of the South African gold industry still affects its workforce and their families. The co-epidemics of silicosis and tuberculosis (TB), compounded by high HIV prevalence, represent a long-term, unquantified liability. The risk of silicosis, a lung disease caused by inhaling crystalline silica dust, is a known concern for all gold miners, with prevalence in the wider industry reaching up to 6.6% for workers with over 20 years of service [cite: 12 in step 2].

The company must continue to invest heavily in occupational health and dust suppression to meet the industry's goal of eliminating silicosis. The long-term cost factor is twofold:

• Medical Liability: Potential future claims from former and current employees exposed to silica dust.
• Productivity Loss: The interaction between silicosis and HIV/AIDS, which is estimated to affect 15% to 19% of the general South African adult population, significantly increases the risk of TB, leading to higher absenteeism and medical costs [cite: 20 in step 1].

Need to address historical legacy of mine dumps and land use with local residents.

This is where DRDGOLD's business model provides a unique social benefit, turning legacy liabilities into assets. The removal of old mine dumps frees up land for alternative, sustainable use, which directly improves the quality of life for neighboring communities by reducing dust and water contamination.

The company is actively pursuing its 'corridor of freedom' vision by clearing dumps southeast of Johannesburg's central business district [cite: 3 in step 1]. In FY2025, the company made R26.1 million in environmental rehabilitation payments. More concretely, they vegetated 40ha of the Brakpan TSF and an additional 4.4ha of the Driefontein 4 TSF, physically transforming the landscape. However, the immediate social impact of the operation itself is still a factor; dust exceedances rose significantly in FY2025 from six to 31, with 29 of those at the Ergo operation. That's a clear near-term community relations risk.

DRDGOLD Limited (DRD) - PESTLE Analysis: Technological factors

You need to understand how DRDGOLD Limited is using technology not just to cut costs, but to fundamentally de-risk and scale its unique surface mining business. The core takeaway is that the company's ZAR 2.254.9 billion capital expenditure in FY2025, largely focused on infrastructure, is a direct investment in high-volume, low-cost hydraulic technology and environmental stability, which is the only way to profitably process ultra-low-grade tailings.

Use of advanced, high-volume hydraulic mining and pumping systems for efficiency

DRDGOLD's economic model relies entirely on moving massive volumes of material cheaply, compensating for the ultra-low gold grade. The shift to advanced, high-volume hydraulic mining systems is the technological enabler here. This method uses high-pressure water cannons to reclaim tailings (waste material) and pump the resulting slurry to the processing plant, which is far more efficient than mechanical reclamation.

Here's the quick math on the efficiency gains for the 2025 fiscal year:

• Group tonnage throughput increased by 15% to 25.6 Mt (million tonnes) in FY2025.
• Ergo's tonnage throughput alone increased by 21% to 19.5 Mt.
• This scale drove the unit cash operating costs at Ergo down by 14% to ZAR 190/t (per tonne) for the full year.

The company is also upgrading its Driefontein 2 plant (DP2) to boost its throughput capacity to 1.2 Mt per month, a clear signal that the high-volume strategy is the long-term technological focus. This is a volume-over-yield business, and technology is the lever.

Implementing data analytics and IoT sensors for real-time plant optimization and predictive maintenance

While the company doesn't tout a massive Internet of Things (IoT) deployment in the same way a primary miner might, it is strategically using data and remote sensing to manage its biggest operational and safety risk: the Tailings Storage Facilities (TSFs). This is where the precision matters. The company has implemented an internal Tailings Performance Management System (TPMS). This system is designed for dedicated data collection, storage, and processing, ensuring the integrity of the data used for day-to-day management and oversight. You can't manage what you don't measure.

This digital oversight is critical for safety and compliance. The company is actively reviewing various technologies to enhance TSF observation and monitoring, and already uses quarterly drone surveillance to monitor the structural integrity and environmental compliance of its facilities. This remote monitoring is a vital technological step toward predictive maintenance and avoiding costly, high-impact failures.

Investing in dry-stacking tailings technology to reduce water usage and environmental footprint

The industry is moving away from traditional wet tailings dams, and DRDGOLD is investing heavily in modern deposition technology, which functionally achieves the same environmental and stability benefits as dry-stacking, though they refer to their new facilities as Regional Tailings Storage Facilities (RTSF). This is a massive, multi-year, capital-intensive project that is essential for their social license to operate.

The company spent a significant portion of its FY2025 CapEx on this infrastructure, which is key to their Vision 2028 strategy. At the Far West Gold Recoveries (FWGR) operation, the construction of the new RTSF is progressing rapidly. Since June 2024, more than 2.5 million cubic metres of soil have been moved for the floor and starter wall, and 831,000 square metres of liner have been installed for environmental protection. Furthermore, the use of dual pipeline systems separates slurry transport from water return flows, a low-tech but highly effective way to minimize the use of externally sourced potable water in a water-scarce region.

Automation of high-risk operational tasks to improve safety and reduce labor costs

The primary form of automation and risk reduction is embedded in the core hydraulic mining technology itself. By shifting away from mechanically reclaimed sites, which are more labor-intensive and carry higher associated risks, the company is inherently automating the most dangerous part of the reclamation process. The use of remote-controlled hydraulic monitors and high-volume pumping systems removes personnel from the direct reclamation face, improving safety and reducing labor costs per tonne processed.

The deployment of a 60 MW solar farm with an integrated Battery Energy Storage System (BESS), fully commissioned in November 2024, is a form of operational automation that reduces reliance on the unreliable and costly national power grid. This technological investment cut energy costs by 16%, saving the company approximately ZAR 108 million annually and mitigating the high-risk operational impact of load shedding.

Technological Investment Area	FY2025 Key Metric/Value	Impact and Benefit
Hydraulic Mining/Processing	Group Tonnage Throughput: 25.6 Mt	Enables profitable processing of ultra-low-grade material via scale.
Unit Cost Efficiency (Ergo)	Cash Operating Cost per tonne: ZAR 190/t (14% reduction)	Direct cost reduction through high-volume, low-labor hydraulic methods.
Digital Monitoring/Safety	Implementation of Tailings Performance Management System (TPMS)	Dedicated data collection and oversight for TSF integrity and compliance.
Capital Infrastructure (RTSF)	CapEx for FY2025: ZAR 2.254.9 billion (Total)	Funds Vision 2028 expansion, securing long-term deposition capacity.
Energy Automation/BESS	Annual Energy Cost Savings: Approx. ZAR 108 million	Mitigates grid risk and cuts operating costs via a 60 MW solar farm.

DRDGOLD Limited (DRD) - PESTLE Analysis: Legal factors

Stricter enforcement of the Mineral and Petroleum Resources Development Act (MPRDA) on licensing.

The regulatory environment for DRDGOLD Limited is undergoing a significant shift with the Draft Mineral Resources Development Bill, 2025, proposing comprehensive amendments to the Mineral and Petroleum Resources Development Act (MPRDA). This Bill, published in May 2025, signals a move toward more proactive enforcement measures across the mining sector.

A critical change for a surface retreatment company like DRDGOLD is the new requirement to formalize the legal status of historic mine dumps (residue stockpiles). Holders of these dumps, which are DRDGOLD's primary source of material, must apply for rights or include them in their mining programs within a two-year window following the Amendment Act's commencement, or the minerals revert to the State. This regulatory clarity, while welcome, requires immediate administrative and legal action to secure the long-term tenure of key assets, specifically the vast tailings resources that underpin the company's Vision 2028 strategy. The Bill also aims to streamline licensing, but it introduces complexities, such as strengthened community consultation obligations and a new definition of 'controlling interest' that could impact corporate transactions.

Compliance with new carbon tax regulations, estimated to cost DRDGOLD around ZAR 15 million for FY2025.

South Africa's Carbon Tax Act, which embodies the 'polluter-pays' principle, continues to be a factor in DRDGOLD's operating costs, though the company has taken proactive steps to mitigate its impact. The estimated cost for compliance with the new carbon tax regulations for the Financial Year 2025 (FY2025) is approximately ZAR 15 million.

Here's the quick math: The headline carbon tax rate is R120 per tonne of carbon dioxide equivalent (t/CO2e). However, DRDGOLD's investment in a 60MW solar photovoltaic (PV) plant and Battery Energy Storage System (BESS) at its Ergo operation is a major offset. This system, now operating at 97% capacity, has already resulted in energy cost savings of approximately R108 million, which is a significant net benefit that insulates the company from Eskom's instability and reduces its carbon footprint. The company is also actively applying for carbon credits, which will further reduce the effective tax liability.

Ongoing legal requirements for extensive mine closure and rehabilitation planning.

The legal obligations for mine closure and environmental rehabilitation remain stringent, anchored in the MPRDA and the National Environmental Management Act (NEMA). The law requires all mining right holders to set aside a financial provision-a guarantee, insurance, or trust fund-to cover the full cost of environmental rehabilitation, even in the event of premature closure. DRDGOLD must assess its environmental liability annually and increase the financial provision if a shortfall is identified.

DRDGOLD's business model inherently addresses this liability by turning environmental clean-up into a profit center. Their R7.8 billion Vision 2028 capital plan includes substantial environmental rehabilitation components, such as dust suppression and soil remediation, which transform historical liabilities into long-term assets. This proactive approach is evident in the company's financial provisioning, which is a key disclosure in their Annual Financial Statements 2025.

Increased scrutiny on water use licenses and effluent discharge standards.

Water management is a high-scrutiny area, with strict legal standards governing water use licenses and effluent discharge. DRDGOLD's operations, particularly at the Ergo Mining Proprietary Limited (Ergo) and Far West Gold Recoveries Proprietary Limited (FWGR) complexes, are heavily dependent on managing water effectively, especially Acid Mine Drainage (AMD).

The company's ESG Report 2025 details its reliance on licensed water sources and its commitment to preventing the discharge of pollutants. For example, DRDGOLD is legally entitled to use up to 30 million liters (Ml) of treated AMD water daily. This is a huge volume, so compliance is defintely a high-stakes operational priority. The legal and environmental risks are managed through comprehensive monitoring programs and a focus on water harvesting from surface dams under appropriate extraction licenses.

Key Water Compliance and Usage (FY2025 Focus):

• Maximum Licensed AMD Use: 30 Ml of treated AMD water daily.
• Primary Water Sources: Treated AMD water, Cinderella dam (Boksburg), Rosherville dam (City Deep).
• Regulatory Focus: Preventing pollutant discharge into surrounding water sources and effective effluent management.

DRDGOLD Limited (DRD) - PESTLE Analysis: Environmental factors

Massive scale of tailings dam rehabilitation requires significant capital expenditure.

The core of DRDGOLD Limited's business model is environmental remediation, so the scale of its tailings storage facility (TSF) rehabilitation is enormous, and it drives massive capital expenditure. The 'Vision 2028' strategy, which is all about consolidating and re-depositing old mine waste, requires a medium-term investment of another ZAR 7.8 billion (South African Rand) to complete its Big Five growth projects.

For the 2025 fiscal year alone, total capital expenditure was approximately ZAR 2.2 billion, much of it going toward these life-extension projects like the Regional Tailings Storage Facility (RTSF) and the Daggafontein TSF. This spending is not just about gold recovery; it's about engineering safer, more stable environmental solutions. The Daggafontein TSF project, for example, will add 120 million tonnes of new deposition capacity, permanently addressing a huge environmental liability.

Here's the quick math on the direct rehabilitation effort in FY2025:

Metric	FY2025 Value	Context
Total Environmental Spend	R45.3 million (up 11%)	Covers all environmental obligations.
Rehabilitation Spend	R40.8 million	Specific amount spent on physical rehabilitation.
Land Vegetated	40 hectares	Land actively stabilized with vegetative cover.
Environmental Provision	R558.7 million	Balance of the non-current provision for future rehabilitation costs.

Managing water scarcity and pollution from acid mine drainage (AMD) is a core operational challenge.

Water management is defintely a core operational challenge, especially in water-scarce South Africa, and the risk of Acid Mine Drainage (AMD) from the historical Witwatersrand basin tailings is constant. DRDGOLD mitigates this by operating a closed-circuit water system, which is crucial for minimizing its external water footprint. The operations' potable water usage averages only 5% of their total water consumption.

Still, external water sourcing is a pressure point; externally sourced potable water actually increased by 3% in FY2025. To address this, the major expansion projects are integrating advanced water infrastructure. The Far West Gold Recoveries (FWGR) Phase II, for instance, involves laying 135km of new pipelines, which includes a dedicated return water pipeline to ensure water is recycled efficiently back to the plant from the new Regional Tailings Storage Facility (RTSF). This infrastructure is the only way to manage water pollution risks effectively over the long term.

Need to reduce dust emissions from tailings dumps to meet air quality standards.

Dust emissions from the vast, dry tailings dumps in the highly populated Gauteng region are a significant community and regulatory issue. The company's entire model-reprocessing and consolidating the dumps into modern, vegetated TSFs-is the long-term solution to this air quality problem.

In the near-term, compliance is managed through rigorous monitoring and dust suppression techniques. The new TSFs are specifically engineered to reduce dust and water pollution risks. For the 2025 fiscal year, the compliance rate was strong: the dust emissions exceedance rate was kept extremely low at just 0.5%. This shows that the active management programs are working, but the risk remains high given the proximity of the operations to residential areas.

DRDGOLD aims for a 10% reduction in absolute greenhouse gas emissions by 2030.

The company is making aggressive moves on decarbonization, with a long-term strategy that aims to reduce its carbon footprint by more than 50%. The most immediate, measurable progress in FY2025 came from a major infrastructure project: the commissioning of the 60MW solar photovoltaic (PV) plant and 160MWh battery energy storage system (BESS) at the Ergo operation in November 2024.

This renewable energy source has already delivered a tangible reduction in reliance on the national grid, which is heavily coal-dependent and therefore the main source of the company's Scope 2 emissions (indirect emissions from purchased electricity). Electricity consumption from Eskom and municipalities fell by 10% to 282,560MWh in FY2025 (down from 312,333MWh in FY2024). That solar plant is a game-changer for the cost base and the environmental profile. The key actions driving this are:

• Commissioning the 60MW solar PV plant and 160MWh BESS.
• Reducing grid-sourced electricity consumption by 10% in FY2025.
• Targeting a long-term carbon footprint reduction of 50%+.