Johannesburg, South Africa, 5 December 2007. DRDGOLD Limited (JSE: DRD; NASDAQ: DROOY) announced today that a man-winder motor in the sub–shaft at the FEV shaft of its ERPM operation in Boksburg had burnt out over the weekend. This would contribute to an expected negative variance in gold production from the company’s South African based operations of up to 15% for the quarter ending 31 December 2007.
In the quarter ended 30 September 2007, the South African operations produced 89 157 oz of gold.
Niel Pretorius, CEO of DRDGOLD South African Operations (Pty) Limited, said today that repairs to the damaged man–winder motor were expected to take at least 10 days. To relieve pressure on back–up infrastructure and to maintain production from the higher–yielding areas of the mine, it had been decided to send crews which are mining lower grade areas on leave.
“This incident, together with the loss of seven shifts arising from the closure of all of the Blyvooruitzicht mine’s underground operations by the Department of Minerals and Energy (DME) following a fatality earlier in the quarter, is a setback in our drive towards stability. Our fundamentals remain strong however, and we will have to work through these challenges,” Pretorius said.
James Duncan, Russell & Associates
+27 11 880 3924 (office)
+27 82 892 8052 (mobile)
Investor and Media Relations
Barbara Cano, Breakstone Group International
+1 646 452 2334 (office)
Investor and Media Relations
Phil Dexter, St James's Corporate Services
+44 20 7499 3916 (office)
+44 779 863 4398 (mobile)
For more information, please visit www.drdgold.com
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 2006, which we filed with the United States Securities and Exchange Commission on 22 December 2006 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.