Media releases

Announcement re Vatukoula

Details

Published: Tuesday, 05 December 2006 02:00

DRDGOLD Limited draws attention to an announcement by Emperor earlier today which states that after an extensive three-month review of Vatukoula Mine it had determined that continued mining operations were no longer economically viable and therefore the mine would cease production today.
Johannesburg, South Africa, 5 December 2006 – DRDGOLD Limited (JSE: DRD; NASDAQ: DROOY) draws attention to an announcement by Emperor Mines Limited (“Emperor”) earlier today which states that after an extensive three-month review of Vatukoula Mine it had determined that continued mining operations were no longer economically viable and therefore the mine would cease production today.

Pending completion of a strategic review to optimise the value of Vatukoula and other Fijian land holdings, the mine would be placed on a care and maintenance programme, Emperor said.

Chief Executive Officer Mark Wellesley-Wood said DRDGOLD would work closely with the Board and executive management of Emperor Mines Limited as well as ANZ Bank, in the coming weeks to review all the options available to Emperor.

DRDGOLD – through its wholly owned subsidiary, DRD (Offshore) Limited – holds 78.72% of the issued shares of Emperor which is listed on the Australian Stock Exchange (ASX). Emperor wholly owns Vatukoula and the Tolukuma gold mine in Papua New Guinea (PNG), and has a 20% interest in the Porgera Joint Venture, also in PNG.

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)

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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

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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.