Glencore Merafe statement regarding the status of its Ferrochrome Smelter operations and S189 process in South Africa

The Glencore-Merafe Chrome Venture ("the Venture") provides an important update on the Section 189 process initiated on 1 September 2025.

 Over the last three months, the Venture has continued to review its operating procedures to ensure it has been doing what it can to minimise any impact from the Section 189 process. This has included multiple meetings with the relevant Government Departments, Unions and Employees.

Despite its engagement with Government no viable interventions or solutions have been presented to address the severe challenges impacting our ferrochrome operations, the most pressing requirement being the provision of a competitive energy tariff. As a result, in the absence of any viable solution from the Government, retrenchments will commence within the next couple of weeks alongside the placing of the Wonderkop and Boshoek smelters on care and maintenance. This would leave only the Lion Smelter operational.

These operations have long been a cornerstone of local economic activity. The potential closure of these smelters will result in significant job losses and have a devastating impact on employees, their families, and the surrounding communities.

We have also taken the time to review the Alloys Division and will be right sizing some departments.

The Venture remains committed to transparent communication and will continue to engage with all stakeholders during this critical period. It is imperative that all stakeholders acknowledge the gravity of this situation and collaborate urgently to develop sustainable solutions that preserve employment and support affected communities.

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