Johannesburg - Sibanye Gold on Monday announced that it was restructuring into three divisions following its acquisition of Aquarius Platinum and Anglo American Platinum’s (Amplats) Rustenburg mines for at least R4.5 billion.
In a statement, Sibanye said it would be restructured into separate, commodity-specific divisions focused on operational delivery in order to become a multi-commodity business.
Read: Sibanye moves a step closer to platinum
The three divisions would be Gold and Uranium, Platinum, Energy and Coal.
Sibanye said its Group Services functions would provide all non-core, production support services required by the different commodity operating divisions, thereby eliminating duplication of support services.
The company said the re-organisation would ensure that there was minimal disruption to operating activities and that operations management were positioned closer to the mining face, with the aim of promoting operational effectiveness.
Wayne Robinson was appointed as the chief executive of the Gold and Uranium Division.
The Gold and Uranium Division executive management team supporting Robinson would largely be consistent with Sibanye’s current gold operational management.
Chief executive Neal Froneman expressed his confidence in the Gold and Uranium Division’s executive management team, saying they would “continue to deliver the excellent safety and operating results which underpin Sibanye’s strong cash flow generation on a sustainable basis”.
The Platinum Division executive management team would also have a similar executive structure with Jean Nel, previously chief executive of Aquarius Platinum, recently been appointed chief executive of the Platinum Division.
John Wallington was appointed executive vice president of the Energy and Coal Division and would drive Sibanye’s energy strategy.
Wallington has more than 30 years of experience in various operational and corporate roles in the mining industry with a specific focus on coal, including 25 years at Anglo American as well as chief executive of Coal of Africa Limited and Miranda Mineral Holdings Limited before joining Sibanye.
The Sibanye Group strategy would continue to be driven by a Group executive committee, which would be headed up by the chief executive, Neal Froneman.
Froneman said the organisational arrangements would provide for effective management of operations, particularly with regard to unit cost management, which was critical to prolonging the economic lives of our gold, uranium and platinum assets.
“We see these developments as central to realisation of our vision, which remains, ‘superior value creation for all of our stakeholders’,” Froneman said.
Froneman said Sibanye’s revised leadership structures had been established to provide company with a seamless transition into a multi-commodity business, in particular facilitating the effective integration of the Rustenburg and Aquarius operations into a Platinum Division.
ANA