Organisational overview

The Merafe Group and Glencore formed the Venture in July 2004 when we pooled our chrome operations to create the leading global ferrochrome producer.

Our business

We are listed on the JSE and A2X in the General Mining sector under the share code MRF. Our business is the 20.5% participation through our wholly-owned subsidiary, Merafe Ferrochrome, in the earnings before interest, tax, depreciation and amortisation (EBITDA) of the Venture in which Glencore Operations South Africa Proprietary Limited (Glencore) has a 79.5% participation. Our major shareholders are Glencore (Netherlands) B.V. (Glencore BV) and the Industrial Development Corporation of South Africa (IDC). See shareholder information for more details.

Stakeholder relationships

We believe our commitment and achievements in terms of empowerment, sustainability and good governance have allowed us to establish sound relationships with our stakeholders. A diagram of issues that could materially impact our stakeholders is set out on stakeholders.

Merafe Empowerment as at 31 December 2025

78%

of our Board members are black (2024: 78%)

86%

of our employees are black(2024: 88%)

33%

of our Board members are female (2024: 33%)

57%

of our employees are female (2024: 63%)

Governance and sustainability

We are committed to good governance and sustainability as reflected in our report. Merafe continues to apply the principles of King IV in its business. Please see our King IV register on our approach to governance of this report as well as the sections on Performance and Transparency and Accountability.

Our approach to risk

We recognise that risk is inevitable in business and that it goes hand-in-hand with opportunity. We have established a risk management system that allows us to pursue business opportunities and grow shareholder value, monitor risk in our investments and develop and protect our people, the environment in which the Venture operates and our reputation. Our approach to risk management is discussed in the Transparency and Accountability section of this report in approach to risk management.

Our material issues

Our material issues and our materiality determination process are set out in material issues.

Our Group structure
Merafe Resources Limited

100%

Merafe Ferrochrome and Mining Proprietary Limited

20.5%

Glencore-Merafe Chrome Venture formed 1 July 2004

79.5%

Glencore South Africa Proprietary Limited

Our shareholders

Our business model and strategy

The aim of our business model and strategy is to ensure that our ferrochrome, chrome ore and associated minerals interests are profitable, sustainable and add value to all our stakeholders. The Company may also consider acquisitions beyond our conventional operations.

We achieve this by:

extracting chrome ore from the Venture's mines or from tailings in a cost‑efficient manner;
beneficiating chrome ore in our smelters in a cost-efficient manner;
carrying out all our operations with employee health and safety as a priority;
investing in projects that improve the safety and efficiency of the Venture's operations;
exploring suitable opportunities to improve our chrome ore footprint;
employing the Venture's proprietary Premus technology to ensure that it is one of the low-cost producers of ferrochrome in South Africa and, despite rising energy costs in South Africa, remains a globally competitive ferrochrome producer;

using the flexibility provided by the Venture's variety of technologies to meet changing operating circumstances and customer requirements;
exploring available opportunities to render our smelting operations competitive and economically viable;
focusing on reducing costs at the operations and head office;
focusing on reducing our carbon footprint;
using our marketing agent to optimise revenue generated from our commodities; and
evaluating other growth opportunities.

Our story

2001-2003

The SA Chrome Boshoek Ferrochrome project (smelter facilities, pelletising and sintering plant, mine and UG2 plant) is completed and becomes operational.

2004

SA Chrome enters into the Venture with Xstrata to create the leading global ferrochrome producer.

2005-2010

The Venture's Lion I smelter project is successfully completed; SA Chrome changes its name to Merafe Resources; Merafe acquires Samancor's 50% interest in the Gemini Joint Venture with Xstrata at the Venture's Wonderkop operation as well as a 50% interest in the Kroondal resources and a 26% interest in the Marikana resources; the Venture completes the Bokamoso pelletising and sintering plant at the Wonderkop smelter; and the Venture's mining rights are converted into new order rights under the Minerals and Petroleum Resources Development Act (MPRDA).

2010–2020

The Venture’s Lion II smelter project is successfully completed.
The Venture completes the Tswelopele pelletising and sintering plant at its Rustenburg smelter; the Venture acquires significant reserves at its Eastern operations.
Glencore takes over Xstrata and becomes Merafe’s partner in the Venture.

2021–2025

Merafe and Glencore enter into PGM Venture agreements at the Venture's Western and Eastern operations.
The Venture completes the construction of the PGMX plant.
The Venture concludes its first Power Purchase agreement with Pele Green Energy for the construction of a 100MW solar energy plant.