Media releases

6% Senior Convertible Notes repaid in full

DRDGOLD announced today that it has repaid in full its outstanding 6% Senior Convertible Notes due 2006.
599/06-jmd

Johannesburg, South Africa, 16 November 2006 – DRDGOLD Limited (DRDGOLD) (JSE: DRD; NASDAQ: DROOY) announced today that it has repaid in full its outstanding 6% Senior Convertible Notes due 2006.

DRDGOLD raised the money in November 2002 for new acquisitions and capital expansion programmes.

The most significant of these were:

  • the initial purchase of a 19.9% stake in Emperor Mines, which subsequently led to the creation of the third-largest ASX listed gold producer. DRDGOLD’s holding in Emperor Mines is now 78.72%.
  • the building of a new surface plant at DRDGOLD South Africa’s Blyvooruitzicht operation, enabling it to re-process vast surface resources. The new surface plant is producing around 30 000 oz of gold annually at below $300/oz.

By repaying the Notes in cash, DRDGOLD has also lowered its fully diluted share capital by 17.6m shares, the underlying equity of the original Notes.

The aggregate principal amount of the Notes is US$66 million, plus all accrued original issue discount and interest.

DRDGOLD paid a total of US$69 630 000 to the holders of the Notes from cash reserves and borrowing facilities when they matured on 12 November 2006. DRDGOLD’s obligations under the Notes have now been satisfied and discharged.

Statements in this announcement may include forward-looking statements within the meaning of the Securities Act and the Exchange Act. Such forward-looking statements are subject to certain risks and uncertainties, as disclosed by DRDGOLD from time to time in its filings with the Securities and Exchange Commission. As a result of these factors, DRDGOLD’s actual results may differ materially from those indicated or implied by such forward-looking statements.

Queries:

South Africa
Investor and Media Relations
Ilja Graulich, DRDGOLD
+27 11 219 8707(office)
+27 83 604 0820 (mobile)

James Duncan, Russell & Associates
+27 11 880 3924 (office)
+27 82 892 8052 (mobile)

North America
Investor and Media Relations
Barbara Cano, Breakstone Group International
+1 646 452 2334 (office)

United Kingdom/Europe
Investor and Media Relations
Phil Dexter, St James's Corporate Services
+44 20 7499 3916 (office)
+44 779 863 4398 (mobile)



DRDGOLD is a medium-sized, unhedged gold producer with investments in South Africa and Australasia. Incontrovertibly bullish about its product, the company has recently concluded extensive refocusing of its gold interests.

In South Africa, the company has an 85% interest in DRDGOLD South African Operations (Pty) Limited (DRDGOLD SA), while in Australasia, it has a 78.72% interest in Emperor Mines Limited.

In the 2006 financial year, DRDGOLD SA contributed 60% or 315 976 ounces – of total attributable gold production of 527 401 ounces, and Emperor 211 425 ounces. At 30 June 2006, DRDGOLD’s total attributable resource base was 47.6 million ounces and its total attributable reserves were 8.8 million ounces.

For more information, please visit www.drdgold.com



Disclaimer:

Many factors could cause the actual results, performance or achievements to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements, including, among others, adverse changes or uncertainties in general economic conditions in the markets we serve, a drop in the gold price, a continuing strengthening of the rand against the dollar, regulatory developments adverse to DRDGOLD or difficulties in maintaining necessary licences or other governmental approvals, changes in DRDGOLD's competitive position, changes in business strategy, any major disruption in production at key facilities or adverse changes in foreign exchange rates and various other factors.

These risks include, without limitation, those described in the section entitled "Risk Factors" included in our annual report for the fiscal year ended 30 June 2005, which we filed with the United States Securities and Exchange Commission on 15 December 2005 on Form 20-F. You should not place undue reliance on these forward-looking statements, which speak only as of the date thereof. We do not undertake any obligation to publicly update or revise these forward-looking statements to reflect events or circumstances after the date of this report or to the occurrence of unanticipated events.