Annual

Results

Year ended

29 February

2024

SMC SO2 Abattement and Smelter Expansion, Zimbabwe Platinum Mines, Selous, Zimbabwe

1

1

Biagino Stefanutti (76)

2

2

1

Contents

MSC Nelson Mandela Cruise Terminal, Durban Harbour, KwaZulu-Natal

3

3

Contents

Environmental Social Governance

Kusile Power Projects Update

Russell Crawford

CEO

Operational Review

MSC Nelson Mandela Cruise Terminal, Durban Harbour, KwaZulu-Natal

4

4

2

Contents

Environmental Social Governance

Kusile Power Projects Update

Operational Review

Financial Review

Russell Crawford

CEO

Yolanda du Plessis

CFO

MSC Nelson Mandela Cruise Terminal, Durban Harbour, KwaZulu-Natal

5

Contents

5

Environmental Social Governance

Kusile Power Projects Update

Operational Review

Russell Crawford

CEO

Financial Review

Industry Related Matters

Strategic Objectives

Yolanda du Plessis

CFO

Russell Crawford

CEO

MSC Nelson Mandela Cruise Terminal, Durban Harbour, KwaZulu-Natal

6

6

3

Environmental

Social

Governance

ESG

Mogalakwena Buffer Dam, Anglo Platinum, Mogalakwena, Limpopo

7

7

Our people

Employees per Region

R11.9m

39

Skills

development

Scholarships

& training

926

Health &

Bursaries:

133

Safety training

Total

SA students

Employees

employees

& employees

5 413

Health &

Safety training

Apprentices

Non-employees

R1m

Stefanutti Stocks

10

Academy

176

39

Additional

Operators

employees

Inland

Coastal

Western

Africa

Cape

Corporate

Region

Region

Region

Region

2 020

680

321

2 334

58

The Stefanutti Stocks Academy offers skill courses such as:

  • Solid Foundation (PPE, hand tools, safety awareness & environmental)
  • Basic concrete and Basic formwork.

8

8

4

Health & Safety

Zero fatalities during the current financial year

Significant decrease in LTIFR and RCR

Lost time injury-free hours

0.50

Recordable Case Rate (RCR)

Group: 21 597 242

0.44

0.40

0.35

Inland

Coastal

Western

Africa

Corporate

0.30

0.29

0.28

0.24

Cape

0.20

Region

Region

Region

Services

Region

0.10

Lost Time Injury Frequency Rate (LTIFR)

6 698 176

2 975 949

212 699

10 790 371

920 047

0.02

0.03

0.03

0.05

0.03

0.00

The group is ISO 45001:2018 certified

Feb 2020

Feb 2021

Feb 2022

Feb 2023

Feb 2024

9

9

Quality

The Group is ISO 9001: 2015 certified

Client satisfaction surveys

100%

95%

93%

89%

90%

88%

86%

84%

85%

Stefanutti Stocks minimum benchmark = 80%

80%

75%

70%

65%

60%

Time

Cost

Quality

SHE

General

10

10

5

Environment

The Group is ISO 14001: 2015 certified

  • Stefanutti Stocks Environmental Management System is well established - implemented in 2012
  • Environmental policy reviewed and revised annually
    - opportunity for participation and consultation
  • Environmental Objectives and targets are set annually
  • There were no significant environmental incidents nor legal transgressions during the year
  • Legal compliance and exceeding best practice remains at the forefront of all operations.

11

11

Transformation and Local Economic Development

70.49%

Black ownership

Management

control

Social

economic

Employment

10companies

development

equity

72.94%

development

Skills

B-BBEE

Level 1 contributor

The group continues to be a Level-1

Broad-Based Black Economic

Empowerment contributor

Valued Enterprise Development

partners: Facilitate and maintain solid

working relationships as either suppliers

or subcontractors, or both

Preferential procurement, suppliers

Enterprise

Enterprise development

development

Preferential procurement

and subcontractors are important

stakeholders - focus on enhancing and

developing these key relationships

Socio-economic development

- Vision 4 Change

114.57%

12

Local community engagement and upliftment

12

6

Digital Construction Organisation

The group has achieved the ISO 27001:2022 certification

The group has adopted Building Information Modeling (BIM) methodology

The group continues to enhance its in-housedigital platform which sets us apart in the market

Real-time monitoring platform for our

tailings dam facilities

13

Kusile

Power

Projects

Kusile Power Station, Mpumalanga

14

13

14

7

Eskom - Kusile Building Project SSBR JV Package-16 update

Final Commissioning

SSBR has finally commissioned the Works during March 2024.

and Documentation

The closing out of final snags and contract documentation is expected to

be completed by the end of May 2024.

15

15

Eskom - Kusile Building Project SSBR JV Package-16 update

Final Commissioning and Documentation

Measurement

  • The only items remaining to be concluded in the final measure are:
    • Contract price adjustment, which we are currently reconciling and checking the calculations; and
    • A large variation related to transport, which remains unresolved between ourselves and Eskom and will either be agreed or referred to the DAB as a separate dispute.
  • The agreement of the final account is planned to be concluded during the third quarter 2024.
  • It is anticipated that the outcome of this final account process will largely be in line with amounts previously received.

16

16

8

Eskom - Kusile Building Project SSBR JV Package-16 update

Final Commissioning and Documentation

Measurement

Claim 5 ‒ Update

  • All Contractor claims, giving rise to entitlement for extension of time plus costs, which occurred before 31st December 2019, are considered to be
    "Claim 5".
  • SSBR and Eskom continue to participate in the claims resolution process, which involves independent Experts, in support of the Dispute Adjudication Board (DAB), to evaluate the causes of delays and the quantification thereof.
  • The claims resolution process provides for the issuance of interim decisions, these will then be consolidated into a single decision under clause 20.4 of the Contract, which will then be binding on the parties.

17

17

Eskom - Kusile Building Project SSBR JV Package-16 update

Final Commissioning and Documentation

Measurement

Claim 5 ‒ Update

  • As previously reported, in September 2023, SSBR submitted its revised Claim 5 to the DAB, Experts and Eskom to the value of R1.614 billion.

Contractor's site wide and sectional claim

R1.344 billion

Damages and finance cost claim

R0.270 billion

Interest

To be calculated

Total claim value at September 2023

R1.614 billion

  • The claim was based on the delay analysis as calculated by SSBR's
    Delay Expert and will be adjusted once the delay analysis is complete and agreed.
  • Interest was not included in the claim and will only be calculated once the Contractor's entitlement has been quantified.

18

18

9

Eskom - Kusile Building Project SSBR JV Package-16 update

Final Commissioning and Documentation

Measurement

Claim 5 ‒ Update

  • The original contract duration was six years with a completion date of November 2016, and a total planned construction duration of 19 000 days, for the 77 sections.
  • The Phase 1 and 2 delay analyses has been concluded as previously reported, with a total extension of time of 45 000 days for access and 25 000 days for construction delays.

Claim 5 ‒ Delay

Phase 1:

Access

delays

Phase 2:

Construction

delays

Phase 3:

Commissioning

delays

Agreed total delays: 45 088 days

Current agreements

This phase is now complete.

give rise to a four-year

extension of time

Agreed total delays: 25 136 days

= 192 years delay

This phase is now complete.

The experts are in the final process of concluding the Phase 3 delays with the DAB, which the DAB will be required to decide on during the second quarter of 2024.

  • Following the conclusion of phase 3 delay entitlements, a final delay expert report will be drafted by the experts and issued by the DAB as an interim decision.

19

19

Eskom - Kusile Building Project SSBR JV Package-16 update

Final Commissioning and Documentation

Measurement

Claim 5 ‒ Update

Claim 5 ‒ Delay

Claim 5 ‒ Quantum

  • The Quantum Experts and DAB are continuing to meet on various matters related to quantum principles and good progress has been made.
  • The remaining quantum matters in dispute have been narrowed down substantially.
  • We remain confident that the DAB will be in a position to arrive at a final financial outcome.
  • We expect that this final outcome will then be published by the DAB during the third quarter of 2024, as a final 20.4 decision in terms of the contract.
  • On conclusion of the process, either party may issue a notice of dissatisfaction with the ruling and refer the dispute to arbitration.
  • However, such ruling will remain enforceable unless and until overturned in arbitration.

20

20

10

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Disclaimer

Stefanutti Stocks Holdings Limited published this content on 23 May 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 23 May 2024 08:34:03 UTC.