Page 1 - Khumani Mine topsoil stockpile report

Khumani Iron Ore Mine

BKM Project

Northern Cape, South Africa

Soil & Dust Solutions Dust Control Application to Topsoil Stockpile

Performance Report of October 2006 – 2012 – 2016

General

The intention of this report is to record the performance of Engineered Base Stabilizer ( EBS) dust
control, and erosion control agent supplied by Soil and Dust Solutions (SDS) that was applied to the
Parsons Eastern topsoil Stockpile in early October 2006. As part of a performance test of the EBS
product a topical application of the product was applied to 1 of the 2 Topsoil Stockpiles located on the
farm Parsons adjacent to the Eastern side of the National Dingelton road.

The EBS product was applied to a shaped and lightly rolled topsoil stockpile under the direction of the
Soil & Dust Solutions representative, the suppliers of the EBS, in South Africa, Mr. Patrick Schoutens.
The untreated stockpile was also shaped and lightly rolled to a similar profile.

The application utilized what equipment was available on site at the time that being a Bell 18 000 liter
water tanker fitted with a spray nozzle, primarily utilized for in processing watering of bulk
earthworks. The water distribution of the Bell 18 000 liter tanker could not be accurately calibrated
and a general observation methodology of application was adopted. This was verified mathematically
based on the application rate and the measurement of areas topically treated with the SDS product.

It must be acknowledged that due to the remoteness of the location, the method of application was far
from optimum, and that better application methodologies with equipment more suited to the task
would improve the performance of the EBS product.

Application Rates

The EBS product was mixed in the Bell 18 000 liter tanker with water, in accordance with the
manufacturers recommendation for dilution rate, allowing for an application rate of 0,20liters per m²
in order to provide an effective and long term performance. The area covered was approximately
37 500 m², this included the sloped sides of the topsoil stockpile.

Observations

Subsequent to the topical application of the EBS product solution, the area has been subjected to high
temperatures, low humidity, high winds and sporadic rainfall of varying intensities. The climatic
conditions in a monthly summary format of related maxima and are shown below for November 2006,
December 2006, January 2007 and February 2007, extracted from the monthly environmental reports,
and weather station data for the Khumani Mine BKM Project.

Khumani Mine Stockpile Report Update 2016 .docx 1