Media releases

150% Increase in resources at DRDGOLD SA's ERPM mine

Details

Published: Tuesday, 17 July 2007 02:00

DRDGOLD SA, jointly owned by DRDGOLD (74%), Khumo Gold SPV (20%) and an employee empowerment trust (6%), today announced a 150% increase in total resources at its East Rand Proprietary Mines Limited (ERPM) operation at Boksburg. Johannesburg, South Africa 16 July 2007. DRDGOLD Limited (JSE: DRD; NASDAQ: DROOY). DRDGOLD South African Operations (Pty) Limited (DRDGOLD SA), jointly owned by DRDGOLD (74%), Khumo Gold SPV (20%) and an employee empowerment trust (6%), today announced a 150% increase in total resources at its East Rand Proprietary Mines Limited (ERPM) operation at Boksburg.

The increase, from 16.58 million ounces at 30 June 2006 to 41.37 million ounces, arises primarily from the addition of:

• 16.74 million inferred resource ounces at an average grade of 5.54 grams per ton in ERPM’s southern lease area; and
• 8.32 million inferred resource ounces at an average grade of 9.06 grams per ton at a stope width of 125 cm in the ERPM Ext 2 area (continguous to the ERPM Ext 1 prospecting right). This resource relates to 17% of the 5 500 ha covered by the prospecting right.

The additional resources were estimated by ERPM, independent consultants Camden Geoserve and Minxcon, and reviewed by RSG Global.

DRDGOLD SA Chief Executive Officer Niel Pretorius paid tribute to the Department of Minerals and Energy (DME) both for its granting of a prospecting right over ERPM Ext 2 and of financial support for an ambitious underground plugging programme to secure ERPM’s Far East Vertical (FEV) Shaft from water rising in the Central Witwatersrand Basin.

“Without the DME-backed, three-year plugging programme now nearing completion, FEV Shaft would be lost to flooding; and without FEV Shaft there would be little prospect of ERPM increasing its resources, converting these to reserves and mining the additional ounces into the future,” Pretorius said.

“These ounces, all on the ‘dry’ side of the water barrier, are a lifeline into the future for the mine, a real option with flow-through benefits for all of its stakeholders, not least the surrounding community.”

The plugging programme, started in November 2004 and scheduled for completion in October 2007, has involved the construction of eight underground plugs at a total cost of R35 million. The DME has contributed some R22 million, or 63% of the total cost.

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.

In South Africa, the company has a 74% 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.