Document wDBmLpYBaxRobdkjo0RDd9YZ4

FILE NAME Cape Asbestos CAPE DATE 1976 DOC CAPE123 DOCUMENT DESCRIPTION Annual Report - Anglo American Corp. of South Africa Ltd. Legal - Tibbs Case Exhibit 21 o a AMERICAN OF ANGLO CORPORATIONCORPORATION SOUTH AFRICA LIMITED AND SUBSIDIARY COMPANIES - 80 Capital eos 5 Authorised ordinary 000 000 of 10 cents |... 1241 250 cent cumulative preference shares R4 758 750 six percent cumulative preferred stock : 3 Issued note 2 cacli 131 300 ordinary shares of 10 cents prefered R4 758 750 six per cent cumulative fully paid prefered stock wee Less Excess ofwrittendown cost of shareisn subsidiary value the of net assets at dates acquisition . o . Distributable reserves General reserve noie 5 -. . Currency reserve note 5 Unappropriated profit . wpe ces y : Loan capital note 6 4.6 6 oe , Outside shareholders interests Loans : Associated companies and others : ae ordinary Creditors 2 Preferred stock dividend No. 95 and Taxation Dee cost less amounts written offand provisionprovision note.7 note.7 Listed market value R934 221 000 1975 R997 842 000 Unlisted - directors valuation R168 000 1975 R235 000 Property mineral rights and equipment note 9) LoansLoans : : Associated companiesand others less provision Debtors and cash . DebtorsDebat to call r ands short For notes see pages 56 | 50 ~ R000's R000's ' 367 104 466 071 600 600383608 038 109 526 - 63.008 287.050 , 89 666 8381 549 3243 537 16.884 Pao. 3 : L ae * 4 970 8 444 181 60.128 -, 63.564 63.564 a: *. 54.007 eis 174 als 291.858 ETT .101175 930 353 164 968 518 825 12.042 38 630 204 536 ~ 243 166 2 nee - 1.030.597 y Consolidated statementfor the year income year Consolidated income 1976. COMPANIES LIMITED ANGLO AMERICAN CORPORATION OF SOUTH AFRICA LIMITED AND SUBSIDIARY a g Noo : Investment Investment income Listed 7 nites am ~ s Soe Income from interest fees and other sources after deducting administration expenses note 12 _ Surplus on realisation of investments .. oe a : R000's R000's - * : 67.020 20161 : me ge : 87 181 : ~ 2 R000's " = R000's 1a: 66.860.0 66.860.0 334 Le an Deduct Interest paid _ Loan capital a office - es Expenditure on research and transport equipment eer ewe:s ER Contributions to staffpension fundtrsansport prospecting en = Costs of or Provision against investments ... ves : a . PUG Provision against loans. es ee eva Uh es eee bab een eens eee ees ot 2.750 7 spe SE 7 Group profit before tanxoatteion Provision for taxation | web leeilees ee 13 oS ae ; oa. EE Se 053 93.865 93.865 taxation Group profit Sy DWE : nc heey. : ws Deduct ist Outside shareholders interests in profits subsidiary companies a veees aN a en profit before extraordinary item attributable to ee Group : Anglo American Corporation of South Africa Limited . Net loss gain arising from currency fluctuations fo. Transfer from to currency 2 resrvereserve : 89 218 Bes 940 186 ' .92.057 4350 4 7075 2.993 On preferrpedreferred stock 4 No. 94 of three percent declared June 1976 final O No.n9or5 dinatryhrsehearcesent declared December 2 1976 %, t. y NNoo.8.1 interiomf o25f c8ecnetnstspepresrhsahraereddeeccllaraerdeFdeSberputaermybe2r1 1223 39179776 Qe Retained extraordinariten Retained profit before extraordinariten Extraordinary Extraordinary item - mo : 2 investment inZa^flresee directors report ^'. Retained profit profit after extraordinary iteim tem ; a: : . Unappropriated profit December 1975 oo ooo cee ele volaws bevestivesies we 4 16.884 changes currency Adjustment hereto arising from . in . exchange rates nae. : 3 66 ; | boy ee 20 000 22 527 a : 16950 Transfer to reserves -- aa < : : distributable reservefi reserve General : reservefl... vara . ; : . we, 22 23.479 : 0 ; a . pe 501 Unappropriated profit December 31. 1976 pe eed (eee tee eee steers oO 15.976 For notes see pages 54 56 > > ee _ : . . ee ee 7 . . : , Capital ordinary : a Authorised 000 ' : OTS 000 shares of 10 cents each os 1 241,250 per cent cumulative preference shares R1 each 758 750 six per cent cumulative preferred | stock ' ese . , s ordinary Issued stock 131.725 300 of 10cents each fully paid - six per cent cumulative preferred stock sa Share premium note Se os distributable reserve note4 Distributable ; resrves reserves : General reserve note ) ~.s..; Unappropriated profit es : L& capital capital at Loan noie 6 . ; n ! eS, Loans ee oo as . Subsidiary ce edbe wees Associated companies companies and others 930 = 211 160.038 160.038 370 . ; Investment ; : off subsidiary companies companies Unlisted shares at cost less amounts written Loans ad and ' provision provision : ; : : investments Bete : Other amounts At cost less off and provision Listed market value R479 1975 R560 641 000 Unlisted -- directors valuation R39 530 000 1975 R39 498000 Loans ; 28 : : wee oy Associated companiecompasnies andothers less provision tee cae vadae Neen taeeeebe wee 247 89.23289.232 158.593 158.593 .. Office research and transport transport equipment note b . For notes see pages 54 to 56 710 280 again declared June 4 1976 December December 1976 December 1976 - 53.000 67 884 2.490 394 a ANNUAL MEETING GENERAL general Notice is hereby given that the sixtieth annual meeting of members of American Corporation ofSouth Africa Limited will be held 44 Main Street Johannesburg on Wednesday May 18 : financial statements respect 1977 at 11h00for the following business To receivereceiveand consider the annual in a with of theyear ended December 31. 1976 og ne ; To elect directors in accordance the provisionsprovisions of the assocation Corporation'sCorporation's articles of EG with To consider 5 and if deemedfit to pass or without : modification the followingTesolution as an ordinary resolution : a : ; andthey hereby namely directors That the be are authorised authorised authorised To allotissue after providing forfor the allotment andissue of ( the ordinary shares in terms of the shave shave incentive scheme the = staff : share option scheme and any shares which shall have been set aside allotment in substitution for shares in Rand USS1000 : Selection Corporation Limited arising on conversion of bonds of USS1000each representing the Rand Selection 30 million 6 percent convertible loan 1986 all or any portion theremaining unissuedordinary shares of 10 cents each ii five : capitalthe Corporation at such a timoer times such pucsai pucsai a conditionsascompanymay determine ii To make arrangementson such terms and conditions as may deem fit for the subscription by underwriters o: t a any shares offered by way of rights issues by the persons entitled thereto and 4). b any shares resulting from the consolidation respect fractional entitlements in = ofany shares pursuance of a rights sold shares which can be period which they are quoted on such 1 G be sold by the underwriters and the net sale such rights rights shall be paid to the Corporation warrants _ Holderosfshare to bearer who aredesirous desirous attending in person or by proxy or of voting at general meeting of the CorporationCorporation must comply withthe regulations issued under which share warrants to bearerare entitled A member entitled attend and vote at the meeting | is to appoint proxy to attend speak and vote : inhis not a be member the Corporation - By order of the board INCH Secretary : April 25 1977 BY RegisteredRegisteredRegistered Office Main 44 Street Johannesburg Ry ol Cover Graphic patterns carved out of a rock face by the Wirth tunnel borey at the Group's Free State Geduld gold mine see also page 21 ANGLO AMERICAN ; CORPORATION er ee AFRICA OF LIMITED s rane Bin SA ope eatin eg IncorporatedIncorporateIndcorport ated he Republic ofSouth Africa Containing 1976 the annual financial financial statements in respect the financial year ended December 31.1976 31.1976 ; of . a 2} Introduction 2 The year in brief4 ? Directorate 6 ay administration administration . Group administration 7 5 ; Directors 9 review Annual financial statements 45 Interests of the Group 65 . . \ , : . . < Aandeelhouers wat n Afrikaanse vertaling van hierdie verslag verlang om met die oordragsekretarisse in verbinding te tree oe word_versoek word_versoek t a the The Corporationits relationship to and to its major associates Group Anglo American Corporation is the head of an international group of mining industrial and investment companies whose overall size estimated at approximately R4 900 million The Group structure is qutlinedin the chart which shows thesignifiga^fltshareholding Brasil The valuations given in the chart are calculated 31 1976 n as at December South African The termgroup has a wider meaning in the mining a mining = industry thanits statutory definition of parent company and its subsidiaries and throughout this report it is usedin its wider sense the # operated The mining finance housesin South Africa have traditionally the group system whereby parent house not only administers companies that are not necessarily subsidiaries but provides them relationships between the Corporation and the principal finance and with full range of administrative and technical services is able \ investment companies of the Group and between the AngloAmerican Group and its two major associates Beers Consolidated by virtue of its financial strength and standing to assist themin finding capital for expansion and development De Beers and Charter = Mines and Charter Consolidated The figures printed outside circle show the percentage interest that company held by another though members of the Group do draw upon the Corporation's - | technical services 13 , Group company example Anglo Anglo American Corporation holds 17 The Corporation has had only two Chairmen the founder Sir per cent of Rand Selection Corporation which in turn has nine cent of 4 cent of Anglo American and per Resources Corporation Minerals A Ernest Oppenheimer from 1917 to 19a5 nd t7 he present Chairman son Mr Harry Oppenheimer This has brought a continuity of policy to the activities of the Corporation whose aims are to earn The business of Anglo American Corporation is to invest in companies which it administers and develops and alsoin companies which it does not administer In mining the Corporation and its 7 profits for its shareholders but to do so in such a way as to make real and lasting contribution to the welfare of the areas and countries S. where it operates 2 associates have important interests in the production ofgold and uranium diamonds copper and nickel coal platinum tin potash The Corporation's roots are firmly planted iinn Africa where it began its interests there bothin mining andin a wide range of industries are asbestosiron ore lead zinc manganese and wolfram The continuing to grow But resources are also being applied a Corporation's industrial interests range from making and heavy . engineering to construction vehicles paper and textiles Minorco internationally mining and related through Charter and Amcan Geological exploration similarly has become world wide chemicals drilling tools refractories and foodstuffs The principal commercial interests are property development banking insurance freight travel and computer services in southern Africa : The Groupis involvedin prospecting programmes Africa North and '? : South America in Australia andin Europe million The Corporation's original capitalin 1917 was El in in which Corporation's investments are held mainly through the ~ specialised companies identifiedin the chart such as Anglo American Gold Investment Company Anglo American Investment Trust for the diamond mining and investments and Anglo American Industrial Corporation Corporation The coal mining interests in the Transvaal are consolidated in Anglo American Coal Corporation formerly The Rand Vereeniging Estates Rand Selection with which Anglo American has been closely associated since its formationin 1917 holds a diversified spread of investments similar to those the Corporation itself and _addition has significantinsurance interests The Bermuda Corporation Minerals and Resources Minorco participates the Group's international mining business while while a geographical basis there American Corporation of Canada Amican Anglo American Corporation Rhodesia Zamibia Copper Investiments Australian Anglo American and Anglo American Corporation d^ 2 was raised from British American and South African sources - hence - the title Anglo AmericanAmerican Corporation of South Africa The present capital and reserves exceed R466 million and the Corporation's Corporation's % investments at the end of 1976 were valued al RI 102 million mining Group To illustrate the scaloe f its operations in 1976 the was responsible for over 39 cent of South Africa's gold output equivalent to about 29 per cent of world production excluding countries Communist for 33 per cent South Africa's coal and 37 per cent of its uranium The copper mines in which the Groupis interested accounted for over 15 cent world production 1975 With nearly 16 000 registered ordinary shareholders and early 38 000 bearer certificates in issue the ownership ofAnglo American Corporation is widely spread majority the share capital is held in held Kingdom in South Africa with most balance in the United ae and other European countries Bue : Fens DE BEERS - CONSOLIDATED Or 5 Z on ane Market value ' of , 3, equity capital 295 241 000 ! _ ANGLO AMERICAN GOLD INVESTMENT Market value of i. equity capital : R557976 000 ANGLO AMERICAN INDUSTRIAL CORPORATION ~ Market value of equity capital 5 R217 448 000 aed ZAMBIA 6 COPPER 2 INVESTMENTS 3, Market value of equity capital U.S.522 306 000 is ae) Value of equity 28y capital y"-! U.S.S133 # 2 AUSTRALIAN ANGLO AMERICAN ~ Equity shareholders Interest AS 537,000 Te ANGLO AMERICAN PROPERTIES Attributable market value of equity capital < 219 000 : ; ANGLO AMERICAN CORPORATION RHODESIA Equity shareholders _ interest Rhod.S112 681 000 /, 7 Es 4 . = 3 2 . Consolidated net profit of Anglo American Corporation increased by : of preferred dividends equivaleonft ordinary Diamonds undistributed R1,56 million or 1,8 per cent to R86,28 million which after deducti^n preferred dividendsdividends equivalent iiss equivalent to 65,3 cceenntsts an ordinary ordinary sharsehare allowing an ordinary dividend dividend of 33 cents share unchanged from If the Corporation's share the profits from its prime By source : Gold 3 Diamonds 1975. Copper investments were taken into account after adjusting for crossholdings a adjusting compared Copper Copper total total earnings earnings would ap roximately be approximately 132 cents share compared : 130 cents in 1975. A provision of R20 million was in extraordinary ewxittrhaordinary Soci^'t^' extraordinary item item against against the investment investment made in the made as Soci^'t^' Soci^'t^' an Platinum = = Platinum oe mining Other mining de in Fungurume de Mini^re TenFku e nguru Fungurme me SMTF SMTF project project in Za^flre Za^flre Mini^re Mini^re Tenke . Industrial =: Finance 2 : 3 wet investm of = Value investments po 6 : investments Te 1975 1975 J Income from Investments E > . 1976 1975 a 33 .46 _ . .20 1155 : Z 4 2 os 8 Nt 2: l 19 3 1818 18 INVESTMENTS 22. Property Property -; it Geographical Reflecting the recessionary conditions and the decline in market pric^s ; and gas 1 R934 million at the value ofthe Corporation's listed investments 697 100 100 the year end An analysis primary source and geographical location Foe . G ee of the Corporation's direct investments and the underlying | is overall interests investments of the holding companies in which it is interested South Africa given opposite The estimated value of the of the ': South West Africa o.oo ee Corporation and its finance companies was reduced about 300 Rest of Africa south : mCiolrlpioornation investmn was& . Copper of outside we a Consolidated x at the end of1976 while the overall size ofthe Anglo- |... the equator American Corporation Group was approximately 900 million The ~ | Kingdom and Europe 2 a : : and its associated finance companies had interests 8North ty America io estimated at about R1 500 million in the mining industrial financial & Australia eon estimated and property companies that the Corporation administers The total Rest of world - estimated estimated value of these companies about R3 100 million in 100 100 addition the interests of the Corporation and its finance companies in .; ' oo attributable shareholders companies administered outside the Group such as De Beers Charter Excluding interests 8 0 : Consolidated and Engelhard Minerals Chemicals valued at more : os equity carnings Anamint for the 12 months ended March 31 more than 800 million oo. 1T97h7eare estimated at R43,8 million compared w R49,7 million eee Pah OBE a : 1976 reflecting improved earnings of De Beers Consolidated Mines INVESTMENT COMPANIES companies include Rand 2 Depressed copper prices affected earnings of Inspiration - SS The principal administered investment companies : and Zambia Copper Investments as result Selection Corporation Anglo American Gold Investment Company Amgold $ Anglo American Industrial Industrial Corporation Amic Angl^ 2 Minorco returned a lower taxed profit of 6,94 million for the year the ended 30 1976. provision 26 million was made against , American Investment Trust Anamim Minerals and Resources early and Anglo American Coal Corporation Pop . investment in Trend International in the over write-- 1977 reflecting write-- underlying equity Minorco Corporation net a ended ee off the excess cost investment the in. wy Amcoal September income year income for the year ended 1976 assets of USS63,6 million Bens carnings net 40 i Rand Selection's million R37,6 million reflecting reduced dividends Amcoal had an extremely successful year with equity carnings : 2 | felf from R48,1 to provision of increasing by per cent to R40,5 million Dividends totalling 40 a * from gold mining and investment In addition the = share were declared for the year ended December 31/1976 : R10 million as an extraordinary item was made against Sas Cowie ose So ee ag SMTF investment in The general investment portfolio was valued at URANIUM hee a le Be : increase R642,4 million compared with R795,4 million previous year the decline in the GOLD AND Despite live per cent increase in tonnage milled during the year the price Amgold's investment income was affected by gold The a decline recovered grade at most mines caused Group gold to price and net profit fell from R74,7 million R45,4 million : ' fall from 285 147 kilograms to 278 355 kilograms in dividend was reduced to 180 cents a share ee production to The increase in unit working costs and the lower Amic had an active year consolidating its participation in the paper 1976 14 cent about 121 an ounce and and timber industry through Mondi Paper and Bruynzeel Plywoods average price received for gold equivalent to working profit ofthe Group's mines by per : and expanding expanding its interest in the motor industry through the merger of combined to reduce the and State's share of profits absorbed to Illings and Chrysler into new Sigma Motor Corporation Amic did cent R383 million Taxation a well to increase its earnings to million economi~ ... R158 million schedule of new gold projects Be ~ Construction is progressing major on conditions mo oR aa 4! 2 fg . _ o os 2 . . ; 3 2 . . oo " 9 4 a R a Le FEATURES OF THE - CONSOLIDATED FINANCIAL STATEMENTS Issued ordinary capital and reserves 5. Sede Listed investments Book value . voces >> Market value ciee : Unlisted investments Saige wee wee ; * , Book value oe 4 ; 3 . . ue 9 Equity earnings .... share 2... Dividends on ordinary shares per share ye eee cane Number of issued ordinary shares gs. aaa bes eeees ayy 1976 9 RO00's 461 | - fi we 2S 0 1975 ' R000's 422 nae 353 411009 411009 gy 857 934-221 oe .907-842 .907-842 an * 679 164.968 # 168 059 : 246 87 181 85992 0 81 194 s 84 428 82 65,365,3 cents 43 465 ~, 33 cents 64.1 cents wo : 449 . 33 cents 131.725-300 131 300 1974 ~, R000's 388.834 _ : 388.834 Ss. 10 Lo 293 978 oT no 1057 2 818 e So od or 7 rs O o including Elandsrand mine East Rand Gold and Uranium undertaken Company and metallurgical complex being by the Orange Free State mines . Production of uranium from administered mines increased to : 1153 tons from 1073 in 1975. Profits attributable to uranium improved by 139 per cent to R13,4R13,4million DIAMONDS a a : care experienced 57 De Beers Consolidated Mines experiena ced n extremely successful to year Sales the Central Selling Organisation improved by per o cent R1.352 million which assisted De Beersincrease its nei equity carnings by 40 per cent R308,52 million equivalent to 85.2 et cents deferred share A total dividend of 35 cents a share was paid operate at a profit once more Hudson Bay Mining and Smelting reported reduced net earnings earnings CS2,82CS2,82 million before extraordinary items While theearnings include reduction large its is dueiinn partpart the loss after extraordinary the yearyear in Francana Oil & Gas arising from the write down of investment Trend In International March 1977 the Saskatchewan oS ee project in has Za^flre been suspended the : have confidence in in the term viability of this feasibility of smaller scale operation icsurrentlycurrently decreased eo 8 1975 28 cents Total mine output INDUSTRY COMMERCE 000 carats to 10,5 production 10,5 million 2 from 1975 level by : Be : e : AND Highveld Steel and Vanadium again increased and profits by . COAL Assisted by export export sales and ; improved domestic selling pricesprices operating profits from Group collieries rose R49,1 R49,1million from * despite recessionary conditions iin n both the local world steel markets Pre profits for the year ended June 30 1976 were R28 million compared with R20,2 million the previous year During the R21,4 million1975. In its first full year of operation Amcoal % increased its earnings from R14,9 million to R40,5 million Work has = year Highveld acquired theGroup'6s5 cent interest Transalloys alloy producer at Witbank The Boart group in difficult Oo Commenced on the establishment of new mine Kleinkopje which has an estimated cost to completion R109 million in 1976 money terms achieved an in earnings from R15,2 R16,2 million while ; increase equity R1,65 the Scaw Metals group increased increased earnings by R1,65 million to Cleans i 5 R14,5 million ~-- OTHER MINING : ve prices the impaired >. Depressed copper prices during ceo emed earningeasrnings from the Group's copper interests The London Metal Exchange price averagedaveraged year 31 a. LTA Limited's taxed profit for the ended March 1976 , amounted to R5,5 million comparedwith R3.9 million for the nine months to March 31 1975 Mondi Paper Company acquired the cid : . 778,8 ton for the year and stood at 795.5 at the year end Nchanga Consolidated Copper Mines and Roan Consolidated Mines in Zambia faced continuing transport difficulties because of the closed equity and Group's Group's interest in SA Board Mills during the year reported earnings R11,5 R11,5 million 9, : approximately The Motor Corporation with assets of R100 Benguela railway to Lobito and additional problems arising arising from million formed as a result of the merger of Illings and Chrysler & - shortages of skilled expatriataensd plant spares Devaluation of the South Africa The Group holds slightly more than 75 per cent of the kwacha by 20 per cent in July however enabled the industry equitywith Chrysler holding the balance wg iy CHAIRMAN te 7 Oia gh ; ee H. Oppenheimer DEPUTY CHAIRMAN Sir Keith Acutt K.B.E. British ie ee oe gs DIRECTORS eg we W. G. Boustred * =. 4 Pog nr are : an : apab Peis . gs oo oe : Moog ae Sy N. Clarke British O.B.E. esp, British : Be D. A. Etheredge O.B.E. _ G. C.Fletcher M.C. H. R. Fraser British = C. J. Griffith 28. E. Gush 2 M. Hofmeyr : . Langton ON gS D. G. Nicholson British N. F. Oppenheimer Sir Philip Oppenheimer- W. PainBritishOpenheimer- G. W. H. Relly ay British Sir Albert Robinson S. Spiro M.C. British L. G. Stopford Sackville a J. Ogilvie Thompson H. Waddell M.P. =. W. D. Wilson Executive directors ALTERNATE DIRECTORSDIRECTORS Dr M. M. Atmore ras G. CareySmith ( H. Davies Dr. H. BEDyerBEDyer W. J.H^'fer D. B. Hoffe . Holmes British A. Howard ' : ae J. D. JohnsonBritish British A. Johnstone Johnstone M. King O. Kocvort ca J. R. Leyden : D. E. MacIver J. P. Mackenzie A B McKerron 2 a C. D. M. Melville : i : a : es . meg M. C. O'Dowd - M.W. Stephenson British : : oe V. Webber British e A Wilson 6. im) CHAIRMAN'S OFFICE Operating Committee ory W. H. Relly Chairman J. Ogilvie Thompson G. H. Waddell MANAGEMENT Clarke Dr Z. J. de Beer fa> G. Fletcher G. Langton D. Nicholson M. C. O'Dowd . og CONSULTANT CHIEF PERSONNEL E. N. Cathrine 2 CONSULTANT . ECONOMIC CONSULTANT A. Dickman MANAGING SECRETARY T. Goldfinch PUBLIC RELATIONS CONSULTANT B. Mortimer Administration and Manpower Office : DIRECTOR : Dr J. de Beer a MEDICAL CONSULTANT . CONSULTANT DrL.'C Whitcombe os SENIOR J. F. Drysdale sey PERSONNEL CONSULTANTS W. H. du Toit G. Mann : N. Morgan F. J. Worth " GROUP COMPUTERCONSULTANT M. Cowley tr Finance Office DIRECTOR J. Clarke MANAGERS 2 oe M. P. Desmidt A. Johnstone M. W. King So CHIEF ACCOUNTANT G. Leeman C. International Coordination Office MANAGER & 8 D. Taylor : Technical Office DIRECTOR G. Langton . DEPUTY TECHNICAL DIRECTORS M. M. Atmore A. Holmes 7 8 J. D. Johnson D. E. Maciver J. L.PP.. Mackenzie M. W. Stephenson CONSULTING ARCHITECT- D. Yetton : CONSULTING CIVIL ENGINEER ~ M. Brown o CONSULTING GEOLOGIST DrW. Cornwall MININGVALUATIONVALUATION CONSULTANTCONSULTANT M. MacLeod ; HEAD TECHNICAL SERVICES J. Dyer a - RESEARCH MANAGER oe G.S.JamG.eS.sJames G.S.James 7 OPERATING DIVISIONS Boart International CHAIRMAN G. C. Fletcher MANAGING DIRECTOR K. Davies CONSULTING METALLURGIST METALLURGIST METALLURGIST - H.S.H.S. Schwartz aan : Use ENERGY CONSULTANT -\> ; eosy FRIN.ACNCoIhALenDIREDCTOR IRECTORDIRECTORi cr Po A. Nichols e : ey CHAIRMAN C.J. C.J. L. Griffith ~. MANAGER _ " Diamond CHAIRMAN CHAIRMAN J. OgilvieThompson MANAGERS Poe Dr H. B. Dyer : . Leyden A. Wilson CONSULTING ENG4INEERS T. Jones 1 L. G. Murray CONSULTING MECHANICAL AND AND 1sELECTRICAL ENGINEERS M. K. Glover A. MacKinnon ws Coal CHAIRMAN W. Boustred MANAGING DIRECTOR ; A.Braithwaite DEPUTY MANAGING ; DIRECTOR _ D. Rankin ENGINEERS a, CONSULTING F. Chilton i aoe P. Coetser ; D. F. Rogang ' oe CONSULTING GEOLOGIST : Dr M. Smith . # * AND CONSULTING MECHANICAL ELECTRICAL ENGINEERS M. Kinghorn 7 Sap eee Mt - CONSULTING METALLURGIST METALLURGIST 7" N.J. Keys : a 5 ee : ; Bre wee : G. Parnell Food and Agriculture CHAIRMAN- oS W. J. H^'fer gin 2 Gold and Uranium. CHAIRMAN AND MANAGING DIRECTOR # D. A. Etheredge . . DEPUTY CHAIRMAN i D. B. Hoffe , DIRECTORS . DEPUTY MANAGING W. R.Lawrie ooo GY GY Nisbet ~ G. Young MANAGER M. McCrum CONSULTING ENGINEERS L. Hewitt Ue D. M. Rood ..- 3 E. Schmid A. von Holdt G. Williams .*> 6 : T. . Wilson Property .- CHAIRMAN H. Waddell MANAGING DIRECTOR M. Melville ' REGIONAL OFFICES Australia MANAGING DIRECTOR C. P. Hildebrand - CONSULTING GEOLOGIST R. A. Kernick Botswana MANAGER N.D. A. Hardie ~~ The Brazil CHAIRMAN fo Dr M. A. : Ferreira MANAGING DIRECTOR FD Burnell | United Kingdom LONDON COMMITTEE . M. B. Hofmeyr Chairman * Sir Philip Oppenheimer B. W. Pain J. G. Richardson w G. Stopford Sackville CONSULTING ENGINEERS H. J.Stucke J. V. Cleasby : Smith 2 CONSULTING CONSULTING GEOLOGIST Dr Osten ne CONSULTING MECHANICAL ELECTRICAL ENGINEERS A. H. W. Purkiss S. Slicer fer ORY CONSULTING METALLURGIST c M. Chaston . pom Zambia a Wy MANAGING DIRECTOR V.1 Webber Dr P. J. Pienaar - CONSULTING MECHANICAL AND : ELECTRICAL ENGINEERS de H. Hillhouse K_N_Love S. Webster METALLURGISTS : CONSULTING W. T. Rulmer 3 =": . R. Pendreigh . E. van Vuuren 4 Canada CHAIRMAN . . R. Fraser FRESIDENT E. P. Gush - F O FINANCIAL DIRECTOR DIRECTOR Rhodesia CHIEF EXECUTIVE Mith Mith TECHNICAL DIRECTOR M. W. Stephenson-DIRECTOR CONSULTING ENGINEER M. O'Connor wo fi CONSULTING GEOLOGIST Dr P. V. Freeman - CONSULTING MECHANICAL ANDO ELECTRICALELECTRICAL Engineer : A. G. V. Pearce ai CONSULTINGCONSULTING METALLURGISTS ~ B. Barlin f A. D. Deuchar FINANCIAL DIRECTOR : M. Holford MARKETING DIRECTOR : ae : N. F. Oppenheimer Mith Mith Mith E. Bullett I. de Zwaan R. Hedley PERSONNEL CONSULTANT S W. van der Colf we cs BED. Heavy Industry CONSULTING ENGINEER T. Pretorius CONSULTINGGEOLOGIST GEOLOGIST E. Hyman tusevais CHAIRMAN oo. 80.20 _ CONSULTING MECHANICAL AND ~ a 2 W. G. Boustred og * ELECTRICAL ENGINEER | D. W. Wantenaar Insurance CHAIRMAN G. W. Relly CONSULTING METALLURGIST J. F. Slabbert CHIEF EXECUTIVE D. G. Nicholson * a! a we a o. % a ' a 5 ' a e . 0 o # ib oe a Finance and investment 11 Gold and uranium 16 Diamonds 25 Coal 26 Other mining 29 Industry and commerce 3'1 ; : Property 40 Exploration and research 42 6 a eh eet gs An executive committee meeting at 44 Main Street with Mr HF HF Oppenheimer far right in the Chair With Mr Oppenheimer are clockwise MF W Relly Mr Ogilvie Thompson Mr. P Gush Mr. L. Griffith Mr W Boust edMr H Waddell Mr DG Nicholson Dr J de Beer Mr A Etheredge and Mr M Crawford secretary to the committee aS) ra Finance and investment & Profits rise by 1,8 per cent to R86 million The past year was one of considerable difficulty for the South African economy The decline the price of gold coupled with continuing a) inflationary pressures led restrictive monetary and fiscal policies Furthermore the June political disturbancesand and efect subsequent continuing social unrest had an increasingly adverse effect on the capital account of the balance of payments As a result real domestic progressively spending first levelled off and then declined year with severe implications for business progressively during the production and pr^fits on nearly all fronts In these circumstances the Corporation which derivethse bulk of its income from South African sources m^"si be regarded as having had a satisfactory year Consolidated net profit attributable to the Corporation for the year ended December 31 1976 increased by 1.8 per cent to R86-278 000 or 65,5 cents a share compared with R84 714 000 or 64,2 cents in 1975 _ Ordinary dividends maintained at 33 cents a share Investnient income the year rose by 7,3 per cent to R87 000 while net income from fees interest and other sources after deducting administration expenses and interest paid fell by R5 708 000 to R19 000. The surplus on realisation ofinvestments increased to 001 000 compared with R85 000 1975. Prospecting costs rose from R7 260 000 R9.497 000. The provision for taxation increased by R297 000 R4 647 000 while the interests of outside shareholders * in the profits ofsubsidiaries fell by R53,000 to R2 940 000. The net loss arising from changes exchange rateosf R33 000 was covered by a transfer from currency reserve The listed investments of the Corporation its subsidiaries had ar December 31 market value of R934,2 million exceeding the book value Decmber by R523.2 million The directors valuation of unlisted Investments at the year end waswas R168,1 million 46,5 46,5 per cent greater . property than the value R114,7 million . finance The estimated value of the mining finance industrial and companies administered by Anglo American Corporation was approximately R3 100 million December 31 1976. Of that total the interests of the Corporation and its associated finance companies = listed in the accompanying table accounted for about R1-500 million while interests in companies administered outside the Group were valued at R1 800 million This brings the overall value of the interests of the Corporation and its associated finance companies to about 300 million compared with R3 400 million at December 31 1975 The accounts contain an extraordinary item a provision of R20 i million against investments made in the Soci^'t^'Mini^rede Tenke- a Fungurume SMTF project in Za^flreA decision to suspend work on . es this venture taken by the partners in the light of the generally disturbed political conditions in central Africa and the economic situation in Za^flreThese factors together with the low copper price precluded the completion of satisfactory financing arrangements The viability of an operation on a smaller than the previous 130 000 11 Directors review Highveld Steel and Vanadium Corporation recently commissioned the seventhreductkiilnobun ilt as part theR72 million expansion plan announcedin November 1974. The eighth kiln is presently By fos under construction and will bein production by 1977 8 * y NET ASSET VALUES PROFITS EARNINGS AND DIVIDENDS THE MAJOR GROUP FINANCE COMPANIES . = & oS : Ss Financial year ended . : Net asset value based Consolidated 7 : oun -- on consolidated balance sheet " 1976 million 1975 Ronillion profit ate taxr interests and outside 1976 Hl 1975 = R million R million Equity earnings per ordinary shar^ Le 5 1976 1975 cents cenis . 2 Dividends per ordinary share" , 1976 cents 1975 cents Anglo American . Corporation ' ewes Decembe31r- Anglo American Coal Corporation Anglo American Corporation of Canada ** ' Anglo American Corporation Rhodesia . / Anglo American Gold Investment . Anglo American Ind^"strial Corporation". December 31 December 31 June 30 December 31 December 31 1.037.3+ 153,0 93,4 RS78,9 632,7+ 294.3 142.1 86.3 8 os 65,3 .64 2 33,0 33,0 122.1+ :. CS87,1 i 73,5 73,5 796,61 796,61 271.3 40,5 CS1,7 = = RS4,4 45.4 42,9 14,9 0 2 172,5 ' 63,3 40,0 28,80 CSB.20. om C 82,4 40,0 40 S44 R 30,9 3. 7,0 Soe : CE IAT 206 340 180,0 260,0 40,92 160,0 154,6 65,0 7 63,0 Anglo American Investment Trust Lier March 31. fF 361,6+ 44 50.08 438,3 DE 496.5 410,0 +. 305,0 . Minerals and Resources Corporation . . June USS487,5 '409,0 6,9 10,4 US .2,0 14,0 = Rand Selection Corporation Zambia Copper Investments Notes wbeleeene - vocab sates September 30 June 30 2 . 638.1 USS270,2 .781.2 -: 40,0 48,5 277,4 US 15,9 : 89.1 89.1 = 14.5 114.5 12,9 7 65,0 75,0 ; 4,0 market unlisted book Listed investments at 2 Listed investmientns vestments value and at value investments a4 Excludes equity accounting oS. Adjusted reflect subdivision of R2 stock units into shares 50c each subsidiary received Adjusted to reflect that profits from new a portion of the year companies were for only Dee March results : As the company changed his year end to month period 31 as from 1976 the are for 5 for These results are the estimates the lished March 1977 year ended March 1977 which were pub- is The balance sheet March 31 1977 is not available at the date of this statement report As per provisional annual financial dated March 17 1977 2 tons a year scheme is currently under consideration and although world unfavourable for financing such a major confidence continue p- roject the Corporation and Partners Partners to have : the long viability of SMTF, ', gas oe Rand Selection CorporationCorporation Limited has interests gold diamonds industry copper and other base metals coal platinum insurance and property Consolidated net earnings for the year ended September 1976.00 decreased to R37,64 R37,64 million from R48,1 million earned during the previous ,financial year Earnings for theyear amounted to 89,1 89,1 cents a shareon the marginally share capitalcompared with a previous 114,514,5 cents Rand Selection has an effective interest of just under six per cent in the SMTF project and a provision of R10 million has been made extraordinary item the income statement A major part of Rand Selection's income arises by way of dividends received from financial and industrial companies which do not distribute their earnings in full to their shareholders were If Rand Selection's attributable share these undistributed profits were to be taken into account its earnings after adjustment for cross holdings would amount to 206 cents a share compared with 235 cents last year The value of Rand Selection's general investment portfolio taking listed investments at market value and unlisted investments at directors valuation amounted to R642,4 million at September 1976 ~ compared with R795,4 million at the same the previous year Amgold Anglo American Gold Investment Investment Company Limited mil ion the . earned net profitosf R45,4 millionin 1976 R29,3 year The declinein the gold pricefrom less high levelsof investment income income decline by 36,9 per cent to R46,9 prospecting expenditures increased from for 1976 were 180 cents share investments decreased while the market value of : In order bring million compared with R29,44 million for the 12 months ended ; December 1974 Estimated earnings the year ended March 31 1977 are R43.8 million Anamint's was ^' af ected by the change inin year end and the dividends dividends distributed for the year ended March 31 1977 were 410 cents a share compared with 305 Cents 1976. As at March 1976 the book value of Anamint's and directors market investments was R53,4 million compared with valuations of R358,9 million ~ The consolidated net profit of Anglo American Industrial % y yp recor a Ss RE DA p YB SUT ATS TE : SAATS, a & Corporation Limited Amic for the year ended December 31 1976 that Aero R40,9 was R42,9 million 1975 million Dividends distributed for the Marine Freight Services Holdings Limited now renamed to year increased by 3.2 per cent 65 cents a share from 63 Freight Services Holdings Limited ghould no longer be consolidated as 1976 1975. Amic's 1976 earnings are however cents in a subsidiary of Amic and Corporation's results therefore do not strictly comparable with those of 1975 as a result of the changes which took place in the Amic not include attributable earnings from this source On November 2 group within the course of the year Amic substantially increased the scope of its Amic exchanged its 100 per cent holding in South African interest in the motor industry when Illings Proprietary Limited ^fin Board Mills Limited Mondi Paper Paper Company Limited Mondi ^fin which Amic held a 49,50 per cent interest merged with Chrysler a return 6,5 million new shares in Mondi thereby increasing its effective South Africa Proprietary Limited to form Corporation Proprietary Limited in which the Sigma Motor interest in Mondi from 25,68 per cent to 39.79 per cent In addition Anglo American Amic holds 38,05 per cent Amic acquired the outstanding minority interests in Bruynzeel Ply- American Corporation through the creation of Anglo November woods Limited on 18. Moreover Amic's Coal Corporation Limited Amcoal on January 5 1976 has | directors decided consolidated a substantial part of its investment in the South African coal industry has a number of wholly subsidiary companies which mine ^/ndmarket coal on both the domestic and markets export also has a controlling interest in the Vereeniging Refractories Limited group a major producer of refractories and allied products in South Africa and in addition owns mineral and property coal rights in the districts of Vereeniging in the Transvaal and Heilbron in the Orange Free State 8 .. .14 1971 countries SA exports of non gold mineral and mineral based products . nae ca 1976 Se for Amcoal's equity earnings the year ended December 1976 increased by 172 per cent to R40,5 million reflecting the benefit of increased sales satisfactory exports and improved domestic selling prices In April exports of metallurgical metallurgical and steam coal began a major scale from South African Coal Estates through the new coal terminal export at Richards Bay In October following the completion of a capital programme at Coronation Collieries Bank colliery Amcoal's coal export activities were again substantially enlarged Amcoal declared dividends totalling 40 cents a share for the year ended December 1976 compared with the 38 cents forecast the merger document > The equity earnings of Charter Consolidated Limited the a Corporation's United Kingdom mining finance associate increased by 3,04 milli^n to 20,24 million in the year to March 1976 owing mainly to the improved performance of Cape Industr3ie1s Limited and the Elastic R^il Spike and Heatrae groups The income statement account of number ofspecial items including profits on realisation of investments of 6,93 million reflecting some element of sale 10 million Rio Tinto Zinc Corporation shares 31 Extraordinary items include taxation relief on the previous years losses relating to the investment in Somima of 7,33 million provision of 14,6 million against the cost ofinvestment in SMTF The market or directors valuation of investments at March dropped -15.9 per cent to 255,6 million the six months19t76o September September 30 1976 Charter's equity earnings rose marginally 9,84 million compared with 9,81 million for the 00.8 same period last year period Apart from record performance by Engelhard Minerals & Chemicals Corporation EMC Minerals and Resources Limited Minorco the Bermuda Corporation investment h^da relatively poor financial year because of depressed copper markets and disappointing earnings from cent 30 1976 fell 33,4 per to reduction of reduction of 3,74 million million ' oil Taxed profit the year ended June result primarily US 6,94 million in investment as result interest income of in investment and interest income income A # Directors review 4 (a US doliai 7 sterling Deutschemaik sterling US dollar alignmet stering Smithsonia 0 Det 22. with June 3l0 ag ~ ob managed Independent P> Deutschemark rad dividend . of two cents an ordinary share was distributed income while dividends totalling cents a which absorbed the income investiment inTrend reflecting the write the excess cost its investment over the underlying equity in net assets of 63,6 million received from EMC were the A ordinary shares The Minorco's major source income EMC has continued to perform distinction between two classes of shares fell away on October 16 extremely well spitestagnant world trading conditions Earnings 1976 and henceforth all shareholders will participate in dividend. income from EMC a Minorco has a 49,9 per cent interest interest Zambia Copper Investments Z Limited ZC^ This company received negligible income during the the year to December 1976 rose by US 10,4 million record dividend 124,87 million while quarterly cents share waw s as increased from 25 Anglo American Corporation of Canada Limited Amcan reported year from its principal investments Consolidated Botswan Copper Mines Limited Roan Consolidated Mines Limited and Botswana RST a consolidated net loss before extraordinaryitems of 5,38 million or 54 cents a share and a loss after extraordinary items of 14,17 million Limited and consequently ZCI a made loss of 331 000 the year to June 30 1976. In May 1976 Minorco increased its participation in Inspiration Consolidated Copper Company ICC a United States- or cents a share year ended December31. 1976 2 share compared with a net income of 5,7 million or cents in 1975. Dividends were maintained 40 cents share producer based primary from 12 per cent 1975 ICC made a despite loss of 3,91 million and shortlived recovery which allowed dividend payment in July the company a net loss in These consolidated results include Amcan's share of earnings losses which are accounted for on an equity basis of companies in which Amcan has a substantial interest decline earnings was the last quarter 1976. However a minor improvement in metal profitability priceslast will restore this promising investment to International Trend Minorco 43 per cent interest in ' Limited largely result of the effects of the extraordinary losses for the year of Francana Oil & GasLtd. Francana which Anican has a 28 per cent interest as well as the loss the sale of shares ofWhitehorse |: Trend which is engaged inter alia in joint oil venture in Indonesia Copper Mines Limited and a provision provision against the investment in Production rates of more than 000 barrels day have been achieved from significant reserves As a result of the amendments to the oil production agreements with Pertamina the Indonesian Lytton Minerals Limited These losses were partially offset by gains on the sale Amcan's investment in Agnew Lake Mines Limited and Consumer's Oil Limited Franca^-a recorded a loss of 16.99 million encountered stateowned oil agency and production problemsencounterd by Trend Minorco made a provision of 26 million against the after an extraordinary charge of 19,68 million resulting from the reassessment of the estimated recoverable Indonesian oil reserves of 15a \ & The per Limited in which which Francana has a 57 cent Trend International the loss incurred by Hudson interest decline in earnings also reflects has a and Smelting Co. Limited Hudbay in which Amcan Bay Mining reported a net loss after extraordinary substantial interest Hudbay share for 1976 compared with items of 8,3 million or 83 c1e4n9tsceants share for 1975 reflecting the earnings of 14.77 million or fp - i |_ Imports Services Oil and detence tied 9 term Short Public corporations 3g Centragovlernment _ BE, and local authorities Private Ns oa ta nana elm gate emo 0 one 2 of the extraordinary losses in Francana in which Hudbay has a effects with the adverse effects of weak metal 55 per cent interest together and prevailing high levels of and fertiliser markets increased costs Total dividends f^/xationparticularly in relation to potash operations share compared received from Hudbay for the year wereva8l0ueceunstisnga the market value with 1,40 for 1975 Amcan's Amcan's net asset value end of 1976 increased to 92 million at the of listed investments compared with 87 million at the deondBroaf sil Limitada Ambras has Anglo American Corporation in Brazil The group ofgold mines continued to develop iMtos rorpoeraVteilhoons S.A. in which Ambras has a 49 per owned by Minera^^o result of the low grades of ore cent interesi had a difficult year as American Corporation recovered and high inflation in Brazil Anmginleos and hoped that provides technical assistance to these mines also has a will be achieved in due course Ambras improvements in Unigeo Geologia e Minera^^So.A. which has substantial interest work in Brazil the most been conducting extensive exploration at being the drilling of auriferous conglomerates interesting aspect significant medium grade Jacobina in Bahia Results to date indicate indicate reserves of gold ore and investigative work is continuing ore : and investment companies in which Further details ofthe principal finance the Group holds a significant interest are given on pages 67 to 72 Gold and uranium o etme en lonSc a akiat Cen starbepnit ree aCe telitah ts gypneneran Rutten ssn te thregemnery pratt tte \ 4. + industrial demand manufacturing and Strong manufacturing difficult period in 1976 which Gold moved successfully successfully through a very of declining prices 1975. At was year of contrasts after the pattern with the uncertainty created by the International Monetary one stage the metal would Fund IMF sales it looked as though confidence were not sales be seriously shaken But once it became clear that IMF market unduly and that industrial demand was strong disrupting the well and after period of stability in the the price recovered to 153 Though there is still 130- range has moved up again - from the IMF may to how much of the restitution gold uncertainty to be in amounts large enough come on the open market is unlikely into it and with the strug industrial industrial demand continuing to upset should move up lowly over the period 1977 the price free market opened at 140,35 January 1976 the price on the on the price was the highest it was be for thfeoremnatliirseedyeaatr KPirnegssstuorne that one sixth of increased by the agreement create trust would be sold over four years a the IMF's stock of gold the same time the IMF agreed that 4 fund for developing countries countries to members further sixth its stocks should be returned actions f~'angingover the market caused the price The threat of these 6 that details the drift down partaincunloarulnycaesditbywawshincoth utnitmiel tMhaeyprice had gone down first auction were i te t nest wv nsec mm ern poet we sete A A tN neni serene a Directors review to 126,90 The auction took place on June 2 with 780 000 ounces being sold at an average price of 126,98 and the market price continued to drift reaching its lowest point on August 31 when it was auction fixed at 103,05 This was closelyfollowed by the third IMF auction . where 780 000 ounces were sold at an average price of 109,40 demand Jewellery and industrial this price was considerably lower than that received at the two South Africa Coins ! preceding auctions it was already becoming clear that the market had reacted and that notwithstanding these regular IMF auction sales demand was very strong It was of interest that at the third auction with just bids _ were received for 3 662 400 ounces of gold compared over two million for the second The remaining two auctions of 1976 fared better the fourth * realising an average price of 117,71 and the fifth an average of 137,89 and it appeared that the anxiety caused by these sales had diminished The first auction 1977 took place on January 26 when 780 000 ounces were sold | an average price of | 133,26 approximately one dollar above the ruling market price The IMF announced in December that further sales would take place monthly starting in March and that this would result in 525 000 ounces being offered at each auction compared with the previous sales of 780 000 ounces approximately every six weeks This should make it even easier IMF gold to be smoothly absorbed by the market that What became apparent only during the second half of 1976 was the manufacturing and industrial demand for gold was very strong continuing the trend established 1975. The demand in fact was would introduce a system of paying gold mining companies the full such that it exceeded the supply of mined gold from the western world This increased demand has been largely in the manufacture of jewellery When the gold price moved above the 150 level in 1975 salebullion for jewellery manufacture dropped significantly but since the price falls of 1975 and 1976 demand hasppickedicked up strongly market price for mined gold on delivery to the Reserve Bank The Minister made it clear that the total profit arising from the ~ revaluation of the country's gold reserves reserves would be for the account of the Reserve Bank and would not be passed mining companies The ratification of the amendment to the IMF articles is expected to once more Demand in Europe alone was estimated being 65 per take place in 1977 The new arrangement will serve not only to cent higher in 1976 compared with 1975 while consumption the - improve flow of the mines by expediting payment for gold United States increased At the samesales to the Middle East but will also provide the authorities with greater flexibility in their and Far East particularly in Turkey Thailand and Indonesia were running at record levels These factors apparent to the market arketing policy eS ve towards end of 1976 resulting in relatively rapid price THESOUTH AFRICAN GOLD MINING INdustry _ recovery that took place during the December period industry produced 709 112 kilograms of gold in 1976 which was During South Africa sold total production from all sources of 713 tons together with a further three tons from official reserves As 1042 kilograms or 0,15 cent more than in 1975. Although average recovery grade fell marginally from 9,42 grams to 9,21 grams in past years the second largest seller was Russia while for the first time the IMF became a major source selling 121 tons Sales of Krugerrand the year fell dramatically 37 cent compared ton production improved because tonnage milled increased by 1.83 million tons 76,24 million tons The average selling price of gold in 1976 fell from 1975 high of 656 a kilogram to 367 ~ milion with 1975 caused by the London market becoming closed to foreign kilogram equivalent to approximately an ounce 1975 155 at coins and by general fallin the investment demand for gold the weighted applicable exchange rates and working revenue During the year Intergold started a selling campaign for Krugerrandin declined by 7,73 cent to R2.365 million Unit increased on results early the United States and whileit is too a large market the future assess this could be average by R2,54 15,2 per cent to R19,25 ton milled material improvement 27-07 per cent rise in unit costs recorded in 1975 The Honourable the Minister of Finance announced in February to 1977 that once the amendment the articles of the IMF | which includes the abolition of the official gold price had been ratified the South Africa Reserve Bank would revalue its gold holdings at a market related price the same time the authorities This would to indicate that inflation in South Africa which continues at unacceptably high levels is being brought slowly under control while the industry through the Chamber of Mines continued to support fully the voluntary inflation programme agreed in between the government and the private sector Working profits fell 17 Sethe ' e ' Tailings reclamation at Free State Saaiplaas The material is broken down high pressure waterjets and the slurry pimped to the metallurgical plants at By gold P resident Brandfor the recovery of uranium and sulphur u Directors review by R422.39 million or 32 per cent to R897,53 million Taxation and R396.37p^r State's share of profits for the year will absorb an estimated R396.37 million of working profit or 44,16 per centcompared with 47,64 p^r cent in 1975 The tax structure of the gold mining industry is based on formulae linked to profitability This system recognises the importance of maintaining and encouraging the confidence of investors especially those based overseas and whom the industry relies traditionally for a substantial part of its capital requirements is most unfortunate therefore that the government should have chosen at time of great difficultyfor the industry to increase the rate of tax payable through higher surcharges and loan levies The effect of these changes is that richer mines now may contribute as much as 74 per cent of their profits to the fiscus It is believed that the upper limit of equitable taxation levels has been exceeded by these increases and that the seriously imposition of any further taxes will erode levels of inv^'storconfidence the already low only be fully resolved by creating a permanent labour force Even if this were legally possible the cost of building sufficient married accommodation to house all black married men employed by the mines is quite beyond the financial resources an industry in which the production units have finite lives Nevertheless the problemis not being neglected In addition to family houses which the Group's mines have already constructed certain companies have applied to the authorities to extend their existing black married quarters to accommodate black employees occupying key positions The housing of skilled employees is vital to the companies future mechanisation programmes because there is a growing ofequipmentoperators capable of handling the more sophisticated equipment- currently being purchased by thecompanies undertakerned In addition a number ather measures are being undertakerned undertakerned alleviate theeffects of the migratory systein on Group employees accordance with the principles of the inflation manifesto During the last quarter of 1976 production at some mines was affected by labour shortages However in January 1977 a higher than normal seasonal flow of labour to the mines occurred and all mines - are now at full strength LABOUR It was reported last year that the industry had reached agreement with the Mince Workers Union MWU to introduce a day working week depending upon the satisfactory conclusion of talks with other employee organisations In the event the engineering unions withdrew from the negotiations and MWU was advised that the status would prevail The union reacted by declaring ^ dispute and though a conciliation board appointed it was not possible to reach agreement Strike action was then threatened and after further negotiations the Chamber of Mines agreed introduce an 11 shift fortnight from April 1977 subject the findings of commission of inquiry appointed by the Minister of Mines the Honourable S. P. Botha It is expected that commission will deliver an interim report on its findings shortly In these circumstances it would be potential inappropriate to discuss the issues involved The production could however be very serious losses of In contrast to the unsettled conditions which continue to prevail southern Africa the mining industry the whole has enjoyed a | period of comparative labour peace Far from being complacent about this the Anglo American Corporation Group and its mining companies have recently embarked on a comprehensicve omprehensive exercise in which relations and work practices are being studied from change practicablein the o foreseeable future Although the GroupGrhoup as been aware for long time the deficiencies of the migratory labour system it has recently obtained a fresh revealing insight into the problems seen from the perspective the black migrant workers undertaken themselves The information was provided provided by two surveys one undertaken by an outside organisation and one by its own staff The fundamental issue of men being separated from their families for prolonged periods can ii 5 Fant equlyalont 17.0 devaluab : 2 Gold output es Average grade Directors review ral \ The 77 metre Wirth tummel borer at Free State Geduld anot a speed saving machine which eliminates drilling . blasting in tunnelling The borer is designed to bore 3,4 metre diameter tunnel in the hard quartzites ofthe Free State and Transvaal at : advance rates of up to 1,5 metres an hour fi . a R937,74 million This coupled with the increase in costs in 1975 by the government the private sector and the trade agreed for white employees were cent to of the Group's mines by R200,21 million reduced the working profit and State's share of union movement wage increases in 1976 u the cost of or 34,33 per cent R382,91 million Taxation limited to 9,7 per cent This was less than the increase Capital _ organisations and absorbed R158,08 million which was R148,87 million less than profits cent of working profit living and the operation of the vcaornicoeusrneemdplsohyoeueld be commended in 1975 and equivalent to 41,28 per mines amounted to acceptance the by the employees involving leave expenditure on mining assets by these producing Of 1976 Wage increases and fringe benefit improvements awarded R173,61 million compared with R116,31 R116,31 million in 1975. the inducements privileges and to return to same mine were of total R51,59 million was incurred the new metallurgical complex ., t=o black employees in June The palcakbaoguer rceopsrtesseTnhteed mainniinmcuremasceash undertaken by the Group's Orange Free State mines to which being Dividends paid totalled R118,73 about 19 per cent in overall black shift or R65 reference is made later in this report : for an underground novice is currently 250 cents a in wage June 1975. Average encouraging with 220 cents a shift million compared with R199,90 million 1975 While the apparent decline in the inflationary trend is a month compared > earnings of the underground black employees at Group mines are now also must be taken of the lower gold during the year the region of 400 cents shift shift or R104 a month in addition to account reduction in profit margins Consequently all capital care and recreational facilities medical which accommodation and the resultbiengen examined critically and those that are not vital to continue to be provided free of charge 0 2 projects have have been deferred In addition still greater the companies involved in the construction production maintenance efforts to contain operating cost increases During contracting encountered year difficulties in recruiting emphasis is being given to at 57,49 million tons at of various important projects whites The mining companies skilled labour in job categories filled by but their Group ore reserves are currently estimated limit based on gold price of R3 100 kilogram This compares pay generally themselves were only slightly below strength with 63,59 million tons in 1975. To illustrate the sensitivity of the situation was aggravated by the increased demands of military calculations have been made on other bases taking iraining and service and in the circumstances which South Africa reserves towporrikcieng costs at gold price of R3 500 a kilogram the finds itself this must be expected to continue The mining industry the same amount to 63,84 million tons and at a price of 000 than other is chained by the restrictive practices of reserves would to 69,22 million tons a more so any reservation and closed shop agreements of the past with statutory job black South preclude a kilogram they would increase black labour year occurred in The only disturbances among Limited and the white labour unions Their effect to June 1976 at President Brand Gold Mining Company Africans from developing and utilising greater skills Indeed the policy Limited and arose from apparent concerning the frustrations of black people it will also Western Holdings increases announced in May not only perpetuates and erode even further misunderstanding concerning wage * o restrict the growth of the economy -. Fortunately no serious injuries resulted metallurgical international investor confidence It becomes increasingly apparent of white ~v7, Reference was made last year to a new complex being of heart and attitude on the part the Group's Orange Free mines The project will & that a profound change South Africans is essential 4 . ee wos developed by sulphuric acid and additional gold to be produced The gold mining industry continues to expend considerable effort enable uranium of mining and treatment operations and from The and large capital budgets on the application of new technologies to its from the residue current of reclaimed slimes complex is centred on plant operations Change and adaptation have become urgent the large reserves where existing uranium built originally in underground Brand requirements as mines increase in depth and as heat and pressure President rehabilitated and extended to give it rated capacity of if intensify Mechanisation is essential if the adverse 1971 has been month In addition sulphuric acid plant produce problems conditions associated with depth are to be overcome 210 000 tons a been constructed at the mine as have a environmental will become progressively more difficult to attract 360 000 tons of acid a year has extension the gold treatment plant Until they are it black and white manpower on which the hold high quality : pyrite flotation plant and an surface Advantage has been taken also of geographical proximity to industry will come increasingly to rely materials and pyrite flotation plants have been built by Free State Geduld Mines Limited and President Steyn Gold Mining Company flotation THE THE GROUP'S Limited The combined treatment capacity of these & three : : production by the 11 mines administered by Anglo American 1 000 tons a month Corporation declined by 792 kilograms or 2,38 per cent 278 355 plTahnetscapital cost of the project is estimated at R88 million and partly consumer kilograms Lower recovery grades were recorded at all mines except has been financed by an interest loan The Freddies Consolidated Mines Limited and East Daggafontein Mines financial arrangements entered into by the participating companies Limited which showed marginal increases increases Although the Group's such as to ensure the establishment of a project which will yield milled tonnage rose by 5,04 per cent or 130 1300 500 tons to 27.128 000 - are benefits in a manner which does not disturb their inflation of unit costs which which rose by R2,50 or significant long - tons there was a further result of both lower dividend flow : fees extensions 13,93 per cent to R20,45 a ton milled milled As a At President Steyn the new mine mill and other production and the lower average selling price of R3 369 kilogram the gold plant were delayed delayed by late deliveries of equipment and or about 121 ounce 1975 156 working revenue fell by 10,4 per to 20 ae tem ne ePe . NO wet im ET ee ie ~ oe OT goatee einen, Scpeantguiml 2 3 Directors review iO Ss there problems The mill was commissioned in December 1976 and will be a phased increase of production until rated capacity is achieved during 1977 Shortages of electric power delayed the introduction of new ventilation fans and refrigeration plants underground and combined to delay the planned increase in production which was affected also by probplems roblems associated with the fire in the No. 4 shaft workings in August 1975. These difficulties have been overcome overcome and gold production is expected to increase steadily during 1977. A revised agreement was approved by the boards of . President Steyn and Sentrust Beperk providing for a new company Video Gold Mining Company Limited a wholly subsidiary of President Steyn to mine the farm Video The agreement provides also Sentrust will receive shares in President Steyn and gives Sentr^"st the right exploit the unmined area of Video if by the end of 1979 can prove the viability of a new mine incorporating adjacent < farm These arrangements await the approval of the Department of Mines RhAiSlH Black labour chaiges White labour charges Electricity and water ERIS Stores The generally depressed gold prices during 1976 and further increases in working costs resulted in changes being introduced to Welkom Gold Mining Company Limited's overall mining policy Normal underground development work in areas has been reduced considerably and activities are being concentrated instead on pillar mining operations in previously worked zones where grades are better Limited development work will continue however in selected being areas Already there is evidence that cost increases are , minimised by the new policy At Free State Saaiplaas Gold Mining Company Limited the major development programme centres around the new No. 3 shaft The main sinking operations began October October 1976 depth had reached | 208 number of factors have contributed to this 1975 and the end of metres below A collar relatively slow progress particularlys the exceptionally hard ground which has been encountered Alternative ore reserves are being made available so to production obviate possible future by the new shaft delays from the areas to served. Despite the late commissioning of a new waste washing washing plant the tonnage milled by President Brand increased during 1976. An underground fire in September affected an extensive area in south- off a. western region of the No. 4 shaft workings but was sealed . successfully and no significant production losses resulted Proposals to amalgamate the lease areas of Free State Geduld Freddies been subinitted to the government whose sanction is Meanwhile Meanwhile has become become urgent proceed proceed with the sinking of Free State Geduld's new No. 5 shaft to ensure that current production levels are maintainedin the future by mining the northern portion of the mining lease The position selected shaft also Company Limited have raised the treatment capacity of the entire complex 600 000 tons month the Vaal Reefs South division preparatory work for the No. new 2 shaft will begin ininmid 1977 and a sales contract through Nuclear Fuels Corporation of South Africa Proprietary Limited which includes a consumer loan Vaal Reefs more than doubling its uranium treatment capacity from 000 tons to 720 000 tons month by the construction of a 000 tons a month uranium plant at the South division and by extensions to the two existing plantsin the North division The total estimated capital cost is R60 million in money terms and the potential annual output uranium oxide for the complex will be raised by about 700 tons to | 860 tons a year from the second half of 1989expansion production will allow Reels to treat not only current mine for uranium but also about 000 tons a month of reclaimed ensures access to the southern sectors of Freddies lease area so guaranteeing the optimum use the system Work began in late Ation Ation the the concr^teheadgear is well advanced operations Ation Ation Holdings mining and production continued normally have Extensions to the gold plants of Vaal Reefs Exploration and Mining from Vaal Reefs existing dams during the remaining life of the mine Meanwhile - Vaal Reefs present size has demanded that its : management structure be reorganised to include senior technical from consultants who are being being seconded Anglo American : a sx Corporation to Vaal Reefs This will afford the mine greater degree operations of autonomy in its : By : cane cp] adversely affected Production at Western Deep Levels Limited was both by a severe shortage of black labour at the beginning and at the end of 1976 and by an undergroundfire at No. 3 shaft which resulted in one of the mine's highest grade longwalls being out of production for four months Construction of the new and improvedwil hostel complex which will house about 5 400 men complete and will be compcaonnyjunction fully occupied by the middle of 1977. The permission from the authorities to erect in has received with * Elandsrand Gold Mining Company Limited a new village for senior planned black married employees It is in 1977 |. eo to construct the first 82 houses The establishment of the new mine Elandsrand @ making good URANIUM - = = 2 Uranium prices continued to climb in 1976 although more moderately than in 1974 and 1975. Recent prices indicate that the market has established a viable trading range following the fundamental adjustment in relative values occasioned by the 1973 oil crisis The improving balance betweesnupply and demand the lever than anticipatedincrease ail and the weakening of the united- front formerly presented by the Organisation of Petroleum Exporting OPEC prices Countries all favour more stable uranium The five fold increase in prices over the last three years The worthwhile incentive for theexpansion of supplies In response there has been world drive discover and offered a to this develop progress and at the end of December 1976 the material shaft had been sunk to a depth of 1 609 metres and the ventilation shaft to a depth of 292 metres Underground development work is being done by Western Deep Levels for Elandsrand's account and as a result of this and the decision to accelerate work production is expected to economically viable uranium deposits and this is continuing The- Anglo American Group gold mines which over the years have stockpiled quantities of uranium slimes are particularly well placed to increase production to meet the enhanced demand Reference has already been made to the joint metallurgical scheme begin early 1980 instead of the previous forecast of early1981 Capitalexpenditure net of interest earned on shareholders funds was R53,2 million to the end of 1976 while the estimated gross capital expenditurein 1975 money terms to bring the mine to production is R138,3 million A rights issue to raise further R60 million to finance continuing capital requirements was made in February 1977 <s Both the Group's gold mines on the East Rand ceased underground mining after nearly 40 years of operations Mining at The South African Land & Exploration Company Limited ceased at the end of December 1976 in line with earlier announcements indicating that as result of drastic development order to minimise working losses the quantity of mineable ore was limited An assessment showed that mining should not continue beyond the end of the year notwithstanding State assistance However the mine is - continuing to recover gold from nearby waste rock dump but it is not possible to forecast how long this operation can continue profitably Meanwhile the new prospecting programme to the south and southwest of the mineworkings was started towards the end the year and two boreholes are presently being drilled East Daggafontein continued to operate ale loss during the year involving the Group's Orange Free State mines The uranium plant at President Brand preparations for the treatment of East Rand slimes dams by Ergo and the expansion of the uranium production capacity of Vaal Reefs referred to earlier are all examples of an ability to expand_production expand_production at relatively short notice Another development during the year was The Afrikander Lease Limited's raising of R3,26 issue million by way of rights Some R2,3 million of this amount will be used to finance a detailed study into the feasibility of establishing a viable uranium mine with the expected in the second half of 1977 when it should be possible to decide whether or not to go ahead with a mine en an Production of uranium by Vaal Reefs and Western Deep Levels the Group's existing uranium producers increased again 1976 from 1073 10 1153 tons notwithstanding a two ton drop in Western Deep Levels production Profits significantly becausoef higher sales volumes and improved prices increasing by 138,72 per cent from R5,6 million R13,4 million > : SAFETY Intensified efforts to reduce and control injuries continued during despite State assistance and it was finally decided that it would bein 1976 and while the reportable accident rate per thousand employees - ah: the best interests of shareholders to underground mining The last in service per annum fell by 1,34 to 45,05 the fatalityraterate remained blast November 20 and operations now being devoted to virtually static The Group Chairman's Safety Shield was won by major final gold clean and salvage plant and equipment- At East Rand Gold and Uranium Company Limited Ergo the Freddies for the fourth time The Chamber of Mines Shield for one llion fatality shifts was won by Vaal Reefs North for the project to recover gold and uranium and to produce sulphuric acid fourth time and East Daggafontein was runner in the major from old slimes dams on theEast Rand contracts have been awarded competition for the C S McLean Shield In 1976 the Group safety for the construction of plants the installation of pipelines and major c^/mpaignwas further strengthened by the introduction of loss control civil works Work on site is schedule and the commissioning of the plant is planned for 1978. Full production involving the treatment about 1.5 million of slime a month should be achieved by 1978 is estimated that annual production will technique management which is based and control operational risks for the assessment The detailed operating results of mines administered by Anglo American initially be 7,000 kilograms of gold 200 tons of uranium and 460 000 ~ tons of sulphuric acid for sale to other consumers = . a significam Corporation and those in which the Group holds a given pages 73 to 76 interest are oe De Beers Letscng mine 3 050 metres above sea level in Lesotho's Maluti mountains where winter temperatures frequently fall to -12 and below Despite the arduous conditions involved in opening full a mine in this remote area the production mining programme has been compl^tedand by the end of 1976 500 000 tons of ore had been mined and stockpiledfor plantfeed Directors review Diamonds oe a Sales new record ne The Central Selling Organisation's 1976 sales rough gem and industrial diamonds set a new record of 352 million which is 70 per cent higher than the 1975 sales of R793 million In dollar terms the increase was a lower but still impressive 46 per cent rise from $ 1066 million to $ 555 million Two increases came into force during the year a three per cent increase in January 1976 and a 5.75 per cent increase in September The record sales are all the more remarkable view the slow recovery from recession by the major industrial economies and derive essentially from a vigorous demand for small diamonds notably in the US market Current indications are that this demand will persist Sales of larger diamonds of better quality also picked up although by comparison demand remained rather sluggish Retailers throughout the world r^'portedconsiderably improved turnovers compared with 1975 and sales were especially buoyanigat Christmas particularly in America In response the continuing firfm irm market CSO`gem CSO`gem sales prices were increased by a further 15 per cent on average in March this year Sales of industrial diamonds also set new record Natural competition industrial diamond sales were very good but even potable in view of energetic were the greatly increased sales of De Beers synthetic diamonds of types In line with higher diamond sales consolidated net profit after ~ tax attributable to De Beers Consolidated Mines Limited increased 2 from R220 million to R308,5 million in 1976 equivalent to 85,2 cents a deferred share after allowing for dividends on the preference capital The net diamond account rose by 108 cent R451,5 million because of a combination of larger sales and increases the effect of the devaluation of the rand on a full year's sales and the feorganisation consolidation of the results of The Diamond - Purchasing Company Pty Limited which following a and Trading of the diamond trading companies became a subsidiary The net effect of other income and expenditures was much the same as 1975. The consolidated profit before tax increased by R233,7 million to R519,9 R519,9 million Tax and government's share of profits however rose very = 6 sharply from R60 million to R182,9 million owing largely to the higher profits alsoin part to thefact that in 1975 the introduction of earn system of tax collection in South West Africa had tt benefit R29,6 given the De Beers group a non recurring of R29,6 million The 35 total dividend on the deferred shares rose seven cents to cents a share The value at cost of diamond stocks fell from.R304,4 to R227,5 million and net current assets increased from R187,6 to R344 million : group Africa : The mines of the De Beers in South South West Africa and Botswana produced a total of 523 267 carats in 1976. Thisis some 237 000 carats less than 1975's production of 10 760 118 carats The decreaseariseschiefly out offall production of 200 000 carats ; at the Premier mine and of 90.000 carats at the Finsch both producers by both which are low quality producers At mines the fall was caused a dropin grade and at Premier thiswas exacerbated by a reductionin * the ionnage throughput owing to heavy rains The recovery grade also fell at Consolidated Diamond Mi^-esCDM 6 Although more ground was treated this was not sufficietnto Tons treated 1976 .1975 De Beers Dutoitspan mine +. Bultfontein mine . Wesselton mine . 800 634 930.180 : 1068 671 * 249 058 717-109 717-109 571 747 1948 268 1.764 375 Kimberley total Finsch 200.2002 5000 Finsch mine ...... wee oe 534 682 4515 360 i 185 147 Koffiefontein mine 0. ec ee 3.675 744 ws. Namaqualand mines >... 2+. weptek _ Consolidated Diamond Mines ... -. Premier mine esc 3857.654 3857.654 549 811 12879 152 12.248 682 6574-895 6574-895 6 827.197 Orapa mine se eeee 428 048 020 Total carats recovered oe ee Carats recovered ; 1976 1975 522 153.399 216 560 261 2. 136755 181 524 185 040 * 507 056 051323 2 202 778 354 044 1.026 905 1 693 994 833 2 945 1010375 2 551 335 827 941 511 747 2.036-270 2.397 245 * Carats per 100 tons 1976 1975 Cost per ton 1976 1975 15,18 14,70 3,844 14,35 14,53 3,666 30,14 32,36 3,453 28,76 28,74 3,728 23,18 22,38 3.690 a ; 63.76 71,93 2,158 9,68 26,62 9,14 26,52 2,630 3,529 13,15 14,27 4,459 27,88 68,85 29,82 78,65 * 2,359 2,476 3,207 daw 3,134 3,012 3,012 ae 3,424 94 3,247 1,790 2,177 3,159 151 1,938 10 523 267 10 760 118 S oe! Thejoint coal loading facility at Amcoal's Landau colliery where unit trains , ofmore than one kilometre kilometre in length carrying loads excess of 4 000 tons = _. for start their uninterrupted 565 kilometrejourney to : oO the new Richards Bay harbour on the Natal north coast . os . = S bos mine but the average quality of diamonds is started on expanding the productive capacity of the Orapa mine to The the current r^/teof 2,4 million million carats comisioned a year 4,5 million carats 2 expansion should be commissioned commissioned at the end of 1978. The establish- of Orapa ment ofthe Letlhakane mine and the expansion expansion together ~ expected to cost about R49 million which is being financed by De taken response During the decision was taken in response to market demand demand demand for small gem diamonds to open the Koingnaas mine which lies ; 70 kilome kit lor mee trs es south of work well in Preliminary hand at the year end and production at a rate of 45 0w00as a carats month at an average size of 0,25 per stone is due to start in the carats second half of 1978 a fo compensate for the fall which was accordance with the mining plan and as result production at 1 994 carats some 000 a carats less than the previous year Finsch a The shortfall in production at Premier Finsch and CDM was in some measure offset offset by increased production in the Namaqualand mines introduction of third daily shift the Dieyers Pan plant was responsible for part the improved part increase and the other major reason at which was improved plant throughput Annex Annex Kleinzee Kleinzee No. 3. pl^/ni In the Western Block mines at CDM below ! are below mean sea level operations advanced 197 metres out to sea from the high water mark This is a gain of almost metres in the year and is result : continuing refinements made to the dewatering systems which improved the stability of the retaining wall which holds back the sea plant ThNo. 3 at CDM was commissioned in treatment December and should treatment reach its target Other rate by August 1977. Other areas oftechnical progress in the De Beers group were continuing mechanisation and Kofiefontein automation in the mines of the Kimberley division the of the commissioning No. 2 main rock shaft Koffiefontein the solution problems of problems in the heavy media section of the Premier plant - caused by variations in the properties of the properties ore ~ : Industrial relations De Beers mines marked extension policy comunications of com unications black works committees which are by the facilitating better communications between management and and 2 policy employees policy in in the Kimberley mines of reducing migratory labour in favour local policy labour was continued As part the same the housing project of 250 houses for employees was opened in November is providing ) workers with significantly improved living conditions Following successful negotiations with the Mine Workers Union a day working week was introduced on the Kimberley in December and an day fortnight on the Premier mine with the proviso tha^fl a day week will become effective there as well within , two years 23 8 ee ~ Laboratory eee : % The Diamond Research Laboratory pursued its research * into further group reducing operating costs improving still efficiencies on mines In particular new and techniques were developed 33 for final diamond recovery Extensive work also carried out at the * Premier mine with a view especially to improving the performance of also the dump retreatment plant regarding of mining diamond below gabbro During 1976 major synthesis projects culminated in the commercial launching ofnew products namely CDA Carbide Diamond Abrasive Syndite CDA a specially grinding Syndite synthesised grit for the intergrown of tungsten carbide consists consists of metal intergrown mass of very fine diamond particles in a metal matrix * is and ideally suited for use cutting tools dressers wire drawing dies dies and rotary drill bits 22% ahh : Construction development of new mines was a particular feature of the >. Construction work at the new Letseng ming in which the governmyeenatr -y. 76 Faunrdth7e7 r details of companies De Beers group are given pages * of Lesotho has 25 per cent interest fell behind schedule chiefly because of harsh weather experienced at the site at 000 metres the in yan Maluti mountains of Lesotho However , testing various sections ofthe plant commenced end the year and processing of ore on a . trial basis started started late in January 1977. new Letlhakane mine in Botswana which is close the Orapa mine and which is owned 'y by De Beers Botswana Mining Company Pty Limited which the government of Botswana has 50 per cent interest was commissioned in November It expected full throughput will be achieved by April of this year with the initial rate of production approximately 000 carats The mine is very smaller the Orapa ~ Continued difficult world conditions Continued ^' difficult ea conditions expected 7 expected : The South African coal mining industry industry continued to expand strongly strongly throughout 1976 in spite underlying weaknesses in the 2 market Productive Productive capacity was progressively expanded to cater for Spates oe ance ey BS ae * ae CTE eres ae Where new export activities through the port of Richards Bay at a planned initial rate of 12 million tons a year for the two major public utilities Escom and iscor and for the growing general needs of the local market The industry remained extended throughout the year The world market for coal strongly influenced by continuing international recession weakened further during 1976. Fortunately planned this did not impede impede the start of the build of South African South African coal exports through Richards Bay a major with exports have been planned principally on term contracts consumers fat competitive prices and already enjoy an and major supply ' international reputation for reliable However w^rld coal of #stocks are currently at very high levels and the continuing absence economic recovery among major trading nations indicates any strong that market conditions continue be difficult <- Total sales by the African industry increased by 11,6 per cent 77,0 million tons from 69,0 million tons achieved in 1975 while total sales by Anglo American Coal Corporation Limited Amcoal and African_collieries administered by Anglo- American Corporation rose by 11,7 per cent to 25,7 million tons representing 33 of national output Amcoal's contribution to total Group per cent sales and by 23,2 million tons Assisted by exp^rt output was domestic selling prices total operating profits before tax of improvecodllieries rose v^'rysatisfactorily R49,1 million from R21,4 of Grmiolulipon in 1975. It is however noteworthy that the average revenue coal sold 1976 including export coal was slightly less than R7 a international ton extremely low figure by standards and ample Africa In spite of evidence of low price levels coal South continuing inflationary conditions increases operating costs were severe being contained at 24 per cent compared with per cent established thEe ncopurraegivngioheuasdway was made by Amcoal in its first full year of expanded operations Firstly a major expansi^nbeen planned in the form the new Kleinkopje which to be at an estimated cost in 1976 money terms of R109 million and with an full production of 4.3 million sales tons coal of which tw^ omuitlpluiotn tons will be for export Secondly Amcoal has raised medium- loans a major scale and lastly it recorded a and loningcrease inoen arnings per share Amcoal's taxed earnings in significantfrom R14,9 million 63,3 cents a share in 1975 to R40,5 fact rose million 172,5 cents a share in 1976. Net expenditure on mining assets rose as planned from R30 million in 1975 to R43 million in 1976 and in view of future capital commitments including the proposed new mine a conservative dividend policy will be followed for some time to The successful commissioning early the year of the new low ash at Land^ucolliery and again in September of similar plantfirs^< plant Amcoal's results in its firs^< Bank colliery contributed significantly to : : years the companies responsible for coal supplies to Escom Arnot Among of 6,3 million tons colliery worked at fill capacity to supply total from its combined opencast and underground operations Kriel colliery designed ^"ltimately to supply 8,5 million tons annually to Kriel Escom's 3000 MW Kriel station supplied only modest tonnages during 1976 in the first commissioning phase of the new station The first four million tons annually will be drawn from the underground mine The balance will be from opencast mining which served by two 56 cubic metre capacity draglines due to be rn ' increasing commissioned during 1978 _ Springbok colliery and Landau colliery were both expanded to provide in total an extra 1,7 million tons year meet the increasing in Novembr general needs of the local market These expansions were commissioned with commendable speed in September and November respectively and followed government's favourable response in mid* year to the South African coal industry's request for a price structure undertaken that would enable much needed domestic domestic expansion to be The Natal operating collieries Natal Anthracite Colliery Limited and Zuinguin Natal Collieries Limited reported improved earnings of ; R2,26 million and R431 000 respectively Group collieries responsible for the supply of metallurgical coal Iscor continued to affected by shortages of handloading labour Proposals to mechanise partly certain of these collieries and the necessary financing have been under discussion with Iscor for some time The tonnage of coal sold by Wankie Colliery Company Limited increased to 2.5 million tons in the year August 31-1976 from 2,08 million tons in the preceding year Coke sales fell by 27,2 per cent fo 211.000 tons The profit alter tax rose by RS713 000 to 2,79 million Dividends equivalent to 7,5 centis share were paid compared with for 6,5 cents in 1975. A new agreement with government the supply and gricing of coal and coke was concluded during the year The 28 c fi Directors review oe a agreement provides for a pre profit entitlement on Rhodesian sales levels the improved liquidity of the industry will be absorbed in equivalent to 12,5 per cent on the capital employed Should the financing capital expenditure and in meeting payment commitments company become liable pay income tax the return will be increased on the major loans to which the companies had to resort during the ; by the amount of the paid subject to maximum of 15 per cent In addition the company will be entitled to additional benefits in respeci of profits on exports Any excess earned will be used to reduce local coal coke prices in the following year . Further details details of mines administered within the Group and those iin n which the Group holds a significant interest are given on pages 77 and 78 long period of low prices At Nchanga Consolidated Copper Mines Limited 421 226 tons of finished copper were produced compared with 592 tons in 1975 Overburden stripping the Mindola open pil of Rokana Division was stopped during the year but the extraction exposed ore continues - ; Production at Bwana Mkubwa Konkola and at Broken Hill was satisfactory Other mining Roan Consolidated Mines Limited's production for the year was | 289 960 tons of finished copper compared with 269 571 tons in 1975 limproved results were achieved at Chibuluma Chambishi and Kalengwa Production was lower at Mufulira despite good progress with the rehabilitation of the east section of the mine and at , Luanshya although results weresatisfactory for the Baluba section Higher copper prices uncertain Several projects are in hand which will improve the performance of the mines 8 The London Metal Exchange LME copper price increased from less than 600 ^ ton to about 900 during the first half of 1976 in anticipation that developing industrial recovery would increase copper consumption by more than 20 per cent over 1975 levels However when the expected major industrial recovery failed to materialise stocks of copper continued to increase prices again declined throughout the of second the year to finish with the US producer price at 65,63 cents a pound and the LME price at 795,50 a In South Africa Union Platinum 'Mining CompanyCompany Limited changed its name to Rustenburg Platinum Holdings Limited andin Mines rationalisation effected during 1976 Rustenburg Platinum Limited and Potgietersrust Platinums Limited became wholly owned subsidiaries of Rustenburg Platinum Holdings On comparable basis Rustenburg Holdings consolidated taxed earnings for the year ended August 31 1976 were R36,9 million as compared with R47,2 million the previous year spite of the weakness in the industrial demand ton equivalent to 61,3 US ces a pound The price received by most producers was affected by the further depreciation in the value of sterling against the dollar and other major currencies The price of zinc has been subject to the same constraints as have influenced at the year the LME price was 388,0 a compared 341,50 at the end of 1975 ton copper and with SO The prospect for higher copper prices in 1977 is uncertain Several meetings of the International Council of Copper Exporting Countries concerted CIPEC were able to produce neither tangiblesolutions nor action towards stable world pricing system which would be fair and reasonable to producers and consumers Much depends on an improvement world economic activity and the lead provided by America under the new administration The main problems concerning the Group's Zambi^ninvestments have general remained unchanged The Benguela Railway to Lobito in Angola remained closed and the mining industry again had to depend on road exports to Salaam and the newly opened Tanzania railway The latter's contribution has however been limited mainly because of shortages rolling stock locomotive power The shortages skilled expatriates and plant sparesand for platinum during 1976 gross revenue from sales by Rustenburg Platinum Mines was eight per cent higher than the year before This - was aided by the September 1975 rand devaluation and platinum priceincreases by Rustenburg to 180 an ounce in July 1976 although this was reduced to 162 on November1.Meanwhile economic make uncertainties in the western world forecast platinum demand it increasingly difficult to Hudson Bay Mining andSmelting Co. Limited Hudbay reported consolidated a million net earnings before extraordinary items after extraordinary items of 2,82 million or 28 cents a share and aloss after extraordinary items of 8,3 million or 83 cents a share for the year ended December 31 1976 compared with earnings of 14,77 million or 149 cents share 1975. These consolidated results include Hudbay's share of earnings or losses which are accounted for on equity basis of companies which it has a substantial interest Dividends paid in 1976 amounted to 80 cents share compared with a share in 1975. This decline in earnings was due in large part the extraordinary loss for the year of Francana Oil & Gas Francana in which Hudbay has per cent interest Francana earnings before extraordinary items of 2.7 million or 0,34 cents a share and a loss after liquidity problems arising from low copper prices continued through 1976. In July the government introduced a 20 per con devaluation of thekwacha which enabled the industry to operate at profit once more although the gain from devaluation was partly ^'rodedby the need to provide for devaluation losses on the substantial extraordinary items of 16,99 million or 2,2 cents a share for the year ended December 1976 compared with earnings 10,13 million or 43 cents a share for 1975. This decline in earnings before extraordinary items was largely attributable to the special payment which Francana's 57 per owned subsidiary Trend International net foreign loan liabilities of the major companies At existing price Limited was obliged make to the indonesian government under the 6 Directors review | Quarterly tolals averages ; 2 : F a producer price vue My Ni terms of a revised production sharing agreement between the Indonesian owned oil Trend and charge reflects a reduction agency Pertamina The extraordinary extraordinary in the book cost of the Indonesian investment arising Indonesian arising from the aforementioned re evaluation of Trend's share the recoverable oil reserves in Indonesia Continuing weak markets markets for metals and fertilisers together with Ze increased costs prevailing high levels of taxation also to the decline in Hudbay's earnings Contributions contributed earnings before corporate costs for the to Hudhay's metals 23 per cent from oil year were cent from base and gas and chemicals and 55 per cent from fertilisers in the Flin Sn Imo prw ovements to the company's base metal operations shoped that the Lake continued during 1976 and it is prevailing in view shortage of skilled labour will alleviated of the successful year collective signing in November 1976 of new three- : bargaining agreement Terra Chemicals International Inc. Terra in which Hudbay 51 per cent interest had Hudbay has a earnings for 1976 of 11,99 million or 203 cents share compared with US 18,56 million or 325 cents 1975. This decline in a share for cafhings to prices in the United States was attributable weaker fertiliser during 1976. Construction of 1000 , day ammonia plant at Woodward Oklahoma in which tons Terra per cent partner is is a 25 Terra's progressing satisfactorily and should increase ammonia production approximately 50 per cent The is expected to be in production in late 1977. plant in this Terra's equity investment project which is being financed largely by a construction loan is 7,8 million Terra has also borrowed private placement in 17,5 million through a - order finance its share of the capital = requirements for upgrading product from the Woodward general corporate purposes in its plant and for continuing expansion plans Hudbay's diversification programme continued the increasing its interest Canadian Merrill company disposing of its 38,5 Ltd. to 49 per and per interest in Western Petroleum Limited for an after gain of $ million thereby further rationalis- ing its and gas division Hudbay's interest dated Copper Company was increased Inspiration Consoli- -* : 22,5 ae On March 7 1977 Hudbay consented subjecct teo ndettaileeds 2 10 transfer in about April its Saskatchewan agreement excluding marketing and certain Saskatchewan potash as ets .... Potash current assets the province Corporation ofSaskatchewan for 144 million in cash The company's interest in the La Verde copper deposit in Mexico held 48 per cent by Lytton Minerals Limited in which the has 33.9 cent interest is company effects the currently being reviewed include the recent devaluation of the peso In view of the delays and uncertainties surrounding this project Hudbay made against its investment in Lytton and this been incluadepdrovinistihoen So : extraordinary charge against earnings for 1976 Net earnings of Inspiration Consolidated Consolidated ended Copper Company f^rthe December 1976 were $ 126 126 000 compared with a 3,91 million loss the previous Dividends Dividends for the ; cents share 1975 year amounted to 50 1,50 pounds from Deliveries of copper rose to 90,6 million 87,4 million pounds in 1975. was low the company's capabilities and reflects the fact substantially be- that most the Directors review vs operations remained on a day week basis throughout the year in million 1974 when exceptional profits were made largely because . because of depressed market conditions Recent improvements in both the US producer price and the LME price for copper give reason . expect better results in 1977 ey? Development The equity earnings of The Messina Transvaal Company Limited for the year ended September 30 1976 increased by 93 per cent R13,9 million from R7,2 million the previous year of improved prices wolfram concentrates and sales from stockpiling Swaziland Iron Ore Development Company Limited continued to supply medium ore to certain Japanese steel mills Operating problems were experienced on both the railway and at the loading facility at Maputo with the result that the contract supply twomillion dry long ions a year not met Nonetheless the company largely because ofa significant increase in the rand price of copper and continued growth in the group's industrial interests Pre profits ' earned by the mining interests rose 72 per cent to million operated at a profit and a dividend was declared for the first time in several years At present ore is being stockpiled the plant and ahead mining operations cease early in 1978. Given favourable rail and will 7 operations while profit from industrial interests before interest and tax rose from port conditions all should cease during By R14,2 million to R19,1 million The overall increase in carnings Despite adverse trading conditions Zinchem and Industrial Mineral enabled the holding company to raise its dividend from 35 45 cents _ Resources Proprietary Limited Zimr^a leader in the mining and share for 1976 Production at the copper mine at Pikwein Botswana in which the Anglo American Corporation Group has a significant processing chemicals December of industrial base minerals and the production of zine achieved a satisfactory profits increase during year to 31 1976. Its major subsidiaries G & W Industrial and interest through Botswana RST Limited responded well to the Chemical Supplies Proprietary Limited and Zinchem Proprietary _ cominuing technical efforts made during 1976. August 3 783 tons of matte were produced indicating that the plant has ability to produce above rated capacity while output for the last six months of the financial year averaged 81 per cent of capacity Progress continues be madein the financial restructuring of Bamangwato Concessions Limited operator of the project and proposals made by the company's Limited continued to contribute the rapid growth of the group Profit for the year from Hudson Mining Company Proprietary Limited was considerably less than anticipated because of yield and 7 grade problems experienced at the company's andalusite mine in the eastern Transvaal However these problems have been recently overcome and it is expected that this company will make an principal shareholders are presently being consideredby the Botswana government and principal project lenders important contribution towards Zimro's profit growth in the coming year and contribute a further increase in export sales The consolidated net profit of Rhodesian Nickel CorpationCorporation Limited for the year ended March 31 1976 1,97 million compared with 2,34 million previous year with dividends Further details of mines administered within the AnglAonglo American Corporation Group and thosein which the GroupGroup holds a significant interest amounting to five cents a share absorbing 1,2 million compared with seven cents in 1975. The profit the six months to September are given on pages 78 82 a rr < es oe 1976 was 1.84 million or RS818 000 higher than 1975. The extensions to the Bindura smelter completed by the end of 1975 operational but the refinery extensions were not until May year's there was a build of nickel inventory which affected the year's profit During 1976 nickel concentrates were delivered to Bindura not Industry commerce from Trojan and Madziwa mines also from the new Shangani Profit margins pressure and Epoch mines with output finished nickel improving with decline operational experience at the smelter and refinery complex under Be The levelling off and the subsequent in real domestic acs In the United Kingdom difficult mining conditions continue to be spending during the year had progressively severe implications for experienced at the Cleveland potash mine the major deep business activity production and profits The decline in sales volume project in Yorkshire which is jointly owned by Charter Consolidated was particularly marked in the distributive sector not only in durable Limited and its associates and Imperial Chemical Industries Limited Although underground development and geological work has generally confirmed the extent and grade of ore reserves as orioriginagly inally calculated from borehole information irregularities of the potash seam with marked undulations and variations in thickness consumer goods - notably cars furniture and appliances - but alsoin generally wholesale sales ofof investment goods reflected in significant declinein machinery imports from year as well in commercial vehicles sales These trends along with the associated decline in building and construction led inevitably to drop in prevented a rapid build of ore production However have been taken to provide greater flexibility mining and treatment methods Meanwhile the price of potash has remained firm Beralt Tin and Wolfram Limited reported a pre profit of 1,01 million for the first of 1976. During the previous profit amounted to 1,43 million compared with year the tax * record 3.07 2 manufacturing output the second half of the year further build of excessive productive capacity mounting unemployment : In general the steel and engineering industries experienced a reduction in output with those sectors catering for the building and motor industries suffering greater difficulties than those with less involved specialised markets or those in mining and exports where 31 & 31 o 7 ay a . 2 , : Boart Drilling has pioneeredpioneerpeidone red techniques in long inclined borcholes and las established two world drilling records one at Western Deep Levels gold mine where this rig is working and one at the Boulby mine of Cleveland Potash Limited in Yorkshire The holes are drilled a point underground and are designeddesignedforfurther exploration of the or^'body below present mine workingsworkings i oe By de ~ a . 1 wes : a , 4: : - i - a : . el : : we mo fe t demand was still expanding Production levels fell in some cases sharply in furniture electrical machinery and appliances motor vehicles and transport equipment and metal and metallic mineralproducts Exceptions to the overall trend were the production of paper and paper producis The reduction manufacturing volumes accompanied by onlya marginal decline and a still growing total wage bill employmenint has had serious adverse effects an of growing pressure environment on profit margins These trends account for the subsequentincrease in unemployment and also for the markeddeterioration in the average profit performance of industrial firms generally generally The total investment of the Corporation and its associated finance companies in industry and commerce had an estimated value of approximately R847 million at December 31 1976 compared about R754 million , the range of activities previous year These investments cover including iron steel alloys chemicals explosives civil engineering and construction drilling tools refractery refractery paperboard and other structural clay products textiles plastics timber including wattle extract for the leather industry agricultural products and foodstuffs industrialequipment motor vehicles and components rail locomotives and coaches shipping forwarding and clearing and computer services The Group's industrial ^finvestmentsin South Africa are held mainly Selection by Amic but Anglo American Corporation itself and Rand Corporation also have direct interests in South Africa and elsewhere Through De Beers Industrial Corporation Limited Debincor Amic has a substantial interest in AECI Limited while Mainstraat Beleggings 1965 Eiendoms Beperk holds thejoint interest of the Anglo American Corporation Group and the Federale Mynbou Mining group in steel and heavy engineering The Group has other important interests in industry through Anglo American Corporation holding in Limited and Rhodesia Limited and Zamanglo Industrial Corporation Limited through its significant in Barlow Rand 1 = pu fl IRON STEEL AND ENGINEERING a Highveld Steel and Vanadium Corporation Limited again improved es on its previous performance achieving both increased production and income Consolidated profit the year to June 1976 before provision for taxation rose to R28,04 million from R20.18 R20.18 million in the previous year Provision for deferred taxation million compared with R8,34 million to December 1976 before 1974/75 The results for the year provision for taxation showed an unaudited consolidated corespndig profit of R17,22 million compared with R14,04 millionin the corresponding period of the previous year The : taxation provision the1976 halfyear was R6,96 million against . R5.79 million in 1975. In July 1976 Highveld acquired from companies in the Anglo American Corporation Rand Selection and : De Beers Consolidated Mines groups their 65 cent interest in Transalloys Proprietary Limited a alloy producer at Witbank whichis now a subsidiary of Highveld a Transalloysis major supplier of Highveld's requirements of alloy an exporter of eB manganese alloys sold in the same markets as Highveld's vanadium products The basis of acquisitionwas theissue of 100 Highveld shares 2 | for every 225 Transalloys shares acquired For the six months June 30 1976 the new financial year end Transalloys made an after- tax profit of R1,86 million which at the same annual rate as the profit for 1975. Worldwide the demand for steel showed some improvement in the early part of 1976 but by the end of the year a further downturn had occurred Yet Highveld maintained a million year R53.6 satisfactory level of exports amounting to R53.6 while the plantran at capacity for the ... indications On world markets for steel there are no of recovery and it is unlikely that there will any significant change before the second half of 1977. Local demand for steel continues at low level and there is little expectation of any improvement in domestic consumption The market f^rvanadium remained reasonably firm but the demand in the first quarter of 1977 is lower The Vantra division output has been reduced and this should correct the imbalancein the months ahead The sales of manganese alloys showed some simprovement calling D the fall at sixth : Highveld but in line with the reduced steel market there was a year end for reductionin Transalloys output iron furnace commissioned in October and the ... 38 ae furnaces The opportunity wastaken carry carry out major overhauls and uprating on the original four seventh kiln commissioned at the end ne of December will allow furnace operations in1977. The Highveld product expansion and the fifth smelter at Transalloys have progressed according to planand all additional equipment should be commissioned during the next months It expected that profit second levels reported for the review period will be maintained inin the of + half the financial year June 1977 a. * of Limietendding Boart International Limted Boart a wholly subsidiary : year Amic had a more difficult thanin 1975 butin the light of adverse world economic factors and depressed mining and prospecting activity the Boari group achieved extremely satisfactory results The ' tungsten carbide division especially performed more than _ compensated divsion division the all in profitability suffered by the diamond drilling division division particularly the Longyear subgroup Boart's consolidated profits for the year ended December 1976 amounted to R16.19 million compared with R15,21 million in 1975. This new record despite rising costs and tight market conditions eroding profit margins in number of companies The difficult trading conditions experienced in 1976 are expected to persist throughout | 1977 although there is hope of a limited recovery the diamond drilling industry Both divisions forecast increased demand their services and the profit trend should be maintained in 1977. During the year Boart purchased all outstanding minority shareholdingsin the Longyear Company and Mindrill Limited the Australian mining waterwell drilling company In August 1976 Portadrill Inc. a manufacturer of rotary blasthole exploration and equipment became a wholly subsidiary major American . an oes Scaw Metals Limited a owned subsidiary of Amic had : another satisfactory year notwithstanding the *: difficult conditions which prevailed Group equity earnings rose by R1,65 million to R14,52 million severe Despite cutbacks in orders during second a t ye ~ Directors review foreshore 8. The R12 million CustomsCustoms House under construction on Cape Towir's foreshore by LT^ Construction Cape ^fin association with Dura Construction a successful order book built up earlier in the year half of the year the large to maintain a high level of the iron and steel stel foundries of enabled there was an appreciable decline in the business activity Although operation of the new melt the rolled products division made a substantial contribution towards containing costs shop of subsidiaries Flather Bright Steels Proprietary The profits Scaw's a result of a Limited and Scaw Limited Zambia were lower as demand and rising rising costs and in the case of the latter o cofmpfaniyn also because of the devaluation devaluation of the kwacha by 20 per = = cent July 1976 Estimated ingot of foundry and grinding media division at the The books the domestic market for rolled : ** end of December were were reasonable but the uncertain with the outlook for 1977 : products remains difficult difficult in the construction industry because of depressed conditions have been exported and the Substantial tonnages of rolled steel low in this market although prices are company will remain active of some of active active competition and the growing protectionism because countries Present indications are that it of the larger steel consuming countries level for the current may not be possible to maintain the same profit 4 in- year and Steel Investments South Africa Proprietary International Pipe cent interest Limited IPSA in which the Group has ^ 15 per after tax by 4,5 per cent to R11,74 creased its consolidated profit IPSA's two subsidiaries are million the year to September 30 1976 1976 Vander- Stewarts & Lloyds of South Africa Limited Limited and Dorman Long Limited with after profits profits decreasing by 15,7 per bij Corporation and increasing by 34,9 per cent cent R13,11 cent to R10,89 million : million respectively . of Union Carriage and Wagon Company - The principaLlimbiutseidnesiss the building of electric locomotives and lesser Proprietarcyoaches for the South African Railways and to a passenger for industry Towards the end of year to extent of locomotives down in deliveries June 30 1976 the company had to agree to a profits will show very : and to the SAR a result of which production the other hand the company On little growth during the current year has started in the most important export export business it has ever secured an order for locomotives locomotives to Taiwan American to execute Limited a subsidiary of Anglo American > Vereeniging Refractories equity earnings of R3,27 Coal Corporation Limited reported group decline million compared with million for the previous year a mainly attributable to depresseddepressed conditions of 14,4 cent results the second half of the Despite the downward trendtrend imprtovementheover those for the first half the year showed improvement with better sales from refractories prices in July together in isenvcerraelaosfethe company's plants were responsible for the improvement of chromite from Marico Mineral Company Proprietary contributed to Sales Limited's new plant the western Transvaal also second half results Delivery pressure on the Transvaal the improved Limited resulted in of Coverland Roof Tiles Proprietary plants commensurate with satisfactory high wastage and prsoafleists nfortombepilnagnts in other areas together with sales levels Lower manifesto also contributed to the restrictions of the inflation and reduced profits The clay pipe division had a disappointing year showed a sharp decline in the second hall owing to the market being supplied to CIVIL AND ENGINEERING CONSTRUCTION 5 ended March 1976 LTA Limited's LTA taxed profit for the year > before writing off goodwill less non- amounted R5,5 million for the of R300 000 this compares with R3,9 million recurrent pr^fits an increase of 7,5 per nine months to March 31 1D9ur7in5g threepyreeasrenatlsl but 52 000 ofthe 10,5 cent a comparable basis , i NAN, ese NATI eA shea ce renter Bn weenie i mn i SUSE GUS NTE Soni ATT SPELe'PERS ES ee ASS, iephe eersiPmeci: : s - : =. & Mondi's new No 3 paper machine a R42 million project - was successfully commissioned during December 1976 a record 15 months from inception The machine able to produce grades from newsprint to fine printing paper at manfacturing speeds of up to 1000 1000 metres ^ minute will boost.. Mondi's production by 100 000 tons 260 000 tons a year a Its entire 1977 production has been sold for export and will earn about i US 30 million in exchange . a Directors review og LS > 4 : Se te e * - ; million preference shares were converted into ordinary shares and after payment of the preferenc^' dividend for the calendar quarter : oY , af , during which the preference shares were in issue equity earnings amounted to R5,0 million or 40 cents share Earnings for 1975 zannualised and put on a comparable basis assuming prior conversion of the preference shares were 36 cents a share The dividends ; |. : . : distributed for the year ended March 31 1976 were 18,5 cents a share The operations of the LTA are carried out through four divisions |group reinforcing a comprising construction which embraces Building and Civil * Engineering Industrialised Building Systems Steeledale reinforcing 5 and subcontracting and LTA Engineering Projects formed control discipline contracts All divisions newly performed satisfactorily during 1976. The civil engineering work at the Cabora Bassa Dam in Mo^ambique continued to be satisfactory but the <>< mechanical section of the overall consortium encountered : teething troubles in the control systems Despite these problems which financially could only have a minimal effect on LTA considerable quantities of power are daily being transmitted to South Africa while uninterrupted commercial transmission will be achieved : = earlyin 1977. The Orco Consortiumin which LTA has a 30 per cent and completed the Plateau Section of the Orange Tunnel negotiations for compensation for additional costs have been oa.successful The value of uncompleted work hand at the beginning the year was R224 million and while order book was still industry reasonable at the year end recessionary conditions in the in in . general could lead to fall turnover in 1977 CONSUMPTION OF PAPER ree . . : TIMBER AND ALLIED INTERESTS a The Group increased its interest in the issued ordinary capital of Mondi Paper CompanyCompany Limited Mondi which operates paper mill at Merebank in Durban from 80,7 per cent 83,9 per cent result 5 o of the acquisition by Mondi of the Group's interest in South African s Board Mills Limited Consolidated equity earnings for 1976 were R11,5 million which are not strictly comparable with the R8,4 million earned in 1975. The new speed paper machine came into 2h. production in November 1976 and Mondi now operates al ant groundwood mill three speed paper machines and a paper ~ market finishing facility The market timber and mining timber and the effect upon the company's , sales was was pproducts _ extremely weak with the sawmills of Acme Timber Industries marginally offset by the improvement in the board products market 3 . Limited and Peak Timbers Limited both subsidiaries of SA Forest during the half 1976. Yet despite these circumstances earnings Investments Limited SAFI operating on average at 60 per cent of = capacity During the year SAFI increased its shareholding MV for 1976 improved to R1 421 000 from R764 000iin n 1975 Houtprodukte Eiendoms Beperk 50 per cent 100 per cem MOTOR MOTOR AND TRANSPORT . This company manufactures glue laminated timber products and it is New motor vehicle salesin 1976were 17,4 cent lower than the * _ : a my om : expected that its full integration into the SAFI group will contribute 10 previous year resulting in losses among many motor industry sales among industry : increased profitability Taxed profits forthe SAFI group for the year concerns and reflecting depressed economic conditions New were R2,29 million.compared million.comparedwith R2,84 R2,84 million for 1975 TheNatal passenger car sales in particular were badly affected with volume Tanning Extract Company Limited purchased a further 1000 hectares falling 19.2 per cent to 185 132 units With rapid inflation in fuel of forest land and acquired on long another 200 hectares of costs and an expected short continuation of recessionary Bruynze l significant improvement x asimilar Bruynzeel Plywoods Limited became wholly conditions it is unlikely that there will be 3 subsidiary of Amie a scheme of arrangement sanctioned on In 1977 improvement . : November 161976. 161976. The continued deterioration in the timber During the year Sigma Motor Corporation Proprietary Limited a av Directors review . TaD Anglo American and Chrysler Corporation announced in November last year a the formation of R100 million motor group - Sigma Motor Corporation * - The Anglo American Group has a 75 per cent holding in Sigma whichwhich manufactures a comprehensive model range with particular strength * in the increasingly popular light to medium sizes bo Sigma was formed as the result of a merger between Chrysler South Africa Proprietary Limited Chrysler and Illings Proprietary Limited illings whereby Chrysler acquired the emire issued ordinary capital of Illings in exchange for an issue of new Chrysler shares Total assets of Sigma are valued at approximately R100 million with the Group holding slightly more than 75 per cent of the equity and Chrysler holding the balance Sigma will be able source models North South America Europe Japan and Australia Initially company will market the Mazda Capella series the Mazda Luce ChryslerValiant and Mitsubishi Colt in addition to a wide variety of light commercial vehicles while a number of new models will also be introduced during 1977. The company will also operate an earth moving and industrial machinery handling Komatsu Hitachi and Amiee products and division will market Mack and Fuso heavy trucks , D Consolidated earnings for McCarthy Group Limited for the year ended June 30 totalled R3,8 million compared with R3,7 million the previous year The McCarthy group new vehicle unit sales for the year represented 12,8 per cent of the Republic's new passenger and commercial vehicle market Unit sales decreased by 2,6 per cent compared with the 17 cent decline in the total market While McCarthy group turnover increased by 18.9 per cent to R292 million earnings failed to match this growth This was because of increased op^'rating expenses and reduced profit margins as a result of the response by the South African motor industry to the government's inflation manifesto as well as the extremely competitive state of the vehicle market Trading conditions have continued to deteriorate and during the six months to December 1976 the total dealer market dropped by 29 per cent compared with the equivalen~fl~ McCarthy periodin 1975. The result has been that Group net profit has _ fallen to R892 000 from 620 000. Howeverthe McCarthy Group has recently made several franchisfe ranchise changes and is now restructured to take advantage any upf^...rn |in the economy the merger'in which a majority of the issued share capital Following both Freight Services Holdings Limited and Aero Marine Investments Investments Limited well the entire issued share capital of Proprietary Manica Limited was acquired by Aero Marine Freight Services- Holdings HoldingsLimited with effect from July 1 1975 schemes of arrangement with minority shareholderswere enteredinto Sanctioned by the Supreme Court on October 12 1976 resulting in the aforementioned companies becoming wholly subsidiaries of the new holding company with retrospective effect from July 1 1975. In addition Aero Marine Freight Services Holdings Limited increased authorised share capital to 3 500 000 ordinary shares of one centseach which were then converted into shares of no par value clearing 1978. and changed its naing to Freight Services Holdings Limited with effect from October 18 The activities of the new group include and forwarding buying and confirming ships agency andthe servicing of ships a comprehensive travel service and many ancillary related to the movement of goods and people on a national pand international scale CHEMICALS AND EXPLOSIVES AECI Limited achieved an increase ^fin sales of R72,7 million in 1976 or 19 per cent to R456,4 million while equity earnings rose by H per cent to R32,4 million The volume of sales which was significantly higher than in 1975 was higher in all business sectors other than agriculture but profit margins were lower partly as result of the anti- partly inflation manifesto building and because of difficult trading conditions in the industries and partly because of problems experienced at theModderfontein nitrogen complex During year R80 million rightsisiue ssue was successfully to provide funds for the Sasolburg Coalplex joint venture with Sentrachem Work on this project is proceeding on schedule and indications are that the plants will be commissioned during the latter part of 1977 The companies in the Chemical Holdings Limited group manufacture and market range of industrial chemicals covering a wide field of applications In the year to June 30 1976 turnover rose by 22.1 per cent to R22.5 million and taxed profits for the first increased exceeded R1 million whwilehile dividends cents a share marginally to ; FOOD _ For the second successive year the South African maize crop the country's most important agricultural product was lower than the previous year In 1976 it amounted to 7,4 million tons being 1,74 million tons than in 1975 and 3,7 million tons less than the record 1974 crop with the result only about 1,6 million tons will be available for export during the 12 months to April 1977 carning an expected foreign exchange of R170 milli^nas against R304 million * the caused previous year The diminished diminished crop was once again caused by excessive rainfall after initial good start the season Soetyelde Farms Limited was particularly badly affected as maize continued to be its biggest source of revenue and consolidated tax profit dropped to R136 000 from the previous R417 000 despite marked improvement in the contribution from the piggeries and the Cattle section During the year the company was licensed to build the first private artificial insemination facility in South Africa RFF Limited recorded higher profits because of a more buoyant market for canned fruits in the European Economic Community Stock |. levels at the September year were very satisfactory but the new season may prove to be more difficult . Fortunately the export markets for pure fruit juice concentrates continue to strengthen and should benefit the company As planned the company's new winery came into operation during the 1976 season and first of estate wines under the name Boschendal come on the market Net equity earnings of The Tongaat Group Limited for the year ended March 31 1976 were R8,32 million or 51,1 cents a share compared with R6,36 million and cents in 1975. The improved results reflect increased earnings in the sugar and the building materials divisions and a return to profitabilityin textiles division as well as increased investment income Estimated earnings for the six months ended September 1976 were further improved at R4,76 million compared R3,95 million the same period in . 1975 38 oneener ymevtnare 1 ect pectic oa B Bare Against a backdrop of Table Mountain Anglo American's 25 Shell House in the heart of Cape Town's central businessbusiness sdtisotrriecyt a By Excellent rains benefited the sugar division and expected for the year a record crop is Rand Selection Corporation Limited African Products Limited gigse sidiaries including South African through the latter's own sub- Mining other maize derivatives produces starches gigse gigse gigse syrup and -- Corporation Limited Townships Townships and Finance and at Bellville at Germiston and Meyerton the Transvaal Limited Marina and through Kenilworth Centre Proprietary in the Cape the year to September 30 1976 the da Limited and Carlton Centre Limited company carned a taxed profit of R2,6 million which higher than the record achieved the was 7,2 per cent Amaprop's results continued to improve In the . ended March 31 1976 the month period were raised previous year while dividends R769 000 company's attributable loss amounted to by two cents 36 cents a share compared with the R1,16 million loss for the OKK Foods Limited which conducts products business had an extensive meat and dairy February 1975. The consolidated loss for the year ended September 30 1976 six months ended Republic and highly successful year in 1976 both in the while it amounted to R368 000 1975 R832 000 and in Swaziland where an export quota has been secured This arrangement made it appears the company will again incur a loss in the yeatro March it expected that it financial : in the Swaziland appropriate to arrange an biergase addition to its interests will be substantially lower In government's government's participation final dividend has in the undertaking The the Durban in city centre developments Amaprop has in not yet been declared declared but will reflect the Cabana improved profitability 2 company's major investments in and in Prospecton Industrial Township Beach a luxury hotel While there In Mo^ambique the two demand during 1976 for land at was steady administered by the cashew processing companies Group Mocita S.A.R.L. and its subsidiary subsidiary Anienes 75 per cent interest future Prospecton in which the Group has a future sales of land will largely depend on further expansion of S.A.R.L. have survived the exceptional difficulties of 1974 and 1975 South Africa's economy ?? While production yields and quality are still far below which these factories were the levels to Sorec's after profit for the 1976 amounted to R2,03 million month period to September 30 companies accustomed before April reverted to profitable operations by 1976 1974 the 7 the financial compared to R2,06 million earned in ended June 1975. Dividends totalling 6,5 cents share were declared during the month period while a SUNDRY 3 the previous financial year fotalled 7.5 dividends for Industex Proprietary Limited g^'neraltrend affecting central cents These results reflect the trading results improved its group turnover and accommodation city developments a surplus of rentable Demand for satisfactorily during the year ended June 30 1976 interest increased operating costs and historically high tyre cord and other industrial fabrics increased and the rates payable on the funds necessary for the completion of the wholly subsidiary Union Cotton Mills experi^"nced Proprietary Limited company's development programme Despite the difficulties facing the a considerable improvement in trading conditions and property industry particularly over surplus accommodation Sorec's consequently earned a fair profit several disappointing years portfolio of completed buildings remains well let while buildings Caring Computer Sciences Sigma Proprietary Limited a supplier of Caring completion have been satisfactorily pre although in both computer services and equipment to the South African cases rental levels are not yet satisfactory although ; improved market its performance data processing considerably 1976. The task The Group has a 90 per cent which owns operates the interest interest in Carlton Centre Limited restsreuccontdurh ina g l thtef heorganisation was successfully completed during which are 50 Carlton Centre the main components of of year the company isnow well equipped to storey office tower the storey Carlton Hotel a major participate in its increasingly competitive market sectors shopping centre covered parking for 2000 imernational standard In the financial cars and ice rink of Further details of the principal industrial Carlton Centre earned a maiden year to June 30 1976 the the and commercial companies within after profit of R809 000 Anglo American Corporation and those in which the Group with a R237.000 loss incurred the previous year compared a significant interest are given on pages 82 88 holds Kenilworth Centre whollyowned within the a shopping Group is the regional centre complex occupying 8,9 hectares in Town's southern suburbs During the year year under review all efforts centred on the -increasing centre's patronage this end the Property strengthened with lighting improved centre has been an -shopping environment lighting and a generally improved 4 > ae : a, I , The contract for the construction of : : Amaprop improve - township around Sandvlei The 1976. part of Marina da Gama project completed during marina Group's property interests include central city shop and office Sales at Marina da Gama The Group's residential complexes suburban shopping centres residential Muizenberg Cape Town have been minimal and at a industrial township land The commercial and only when demand for are likely to improve investments are held mainly through residential land improves the area American Properties Limited Amaprop the subsidiaries of the Eagle African including Sorec Limited Anglo Life property owning AssuranceAssurance Society Limited Further details the principal property companies administered Anglo American Corporation Group and those in within the American Coal Corporation Limited significant interest are given on page 88 : which the Group holds a te . 40 Exploration geologists examine mineralised samples in a trench at 3 the Group's uranium prospect near Meob Bay north of Landeritz sat Exploration and research where a strong position is held in several major coal fields delineated in earlier programmes During the year progress was made in further emphasis consolidating More on for uranium and extending the Group's holding as planned Exploratory drilling for further reserves in these fields continues search The Group continued its search for economic deposits of base metals * The offshore hole south of the Orange River drilled for hydrocarbons by a consortium of which the Group was a member was gold uranium coal oil and other minerals many parts of the world pleted yielding negative results No further com- Southern Africa continues to be the main area of operations though it plated by the consortium in the exploration is contem- is pleasing to note the progress being made in other countries area during the current year Exploration work southern Africa has increased - in Rhodesia the search for base metals continued particularly for the search for uranium In put emphasis on a nickel copper and zinc zinc despite the limitations imposed by the security the Karoo the Group is conducting situation Drilling for nickel in the midlands has continuing investigation in conjunction with Empresa Nacional del Uranio S.A. Enusa the Spanish nuclear fuel company and in the proved a relatively low grade small nickel deposit while drilling continues on the Tynan clainis north of Swakopmund area exploration is under way in association with intensified with Salisbury The search for copper and zine has been encouraging preliminary results The drilling Minatome and Aquitaine SWA Investigations were also made of a number of secondary deposits in the northern and western Cape programme started in 1975 for lead and zinc in the Urungwe area was completed and no economic mineralisation and further work is planned to determine whether they are economically significant Investigative work on the uranium potentiali noted *D The Group continued its exploration activities in Tasmania Papua New Guinea New of two areas in the Luderitz region of South Africa Zealand Fiji and the Australian mainland In mr commenced during the year West also Australia particular emphasis has been placed on exploration in the . have There , been significant developments the field of Kimberleys in the north of Western Australia where apparent metals A feasibility study of the base economic grades of nickel and copper have been located A drilling Middelplaats the western manganese property in programme will establish the extent of the deposit : Cape indicated that this deposit was economically Ai Namosi in Fiji where Australian viable and a decision was made during the year to develop it at an Anglo American Limited had estimated cost of R47 million Exploratory Exploratory drilling for manganese in joint venture with Amax Inc. a third partner Preussag A.G. has been = introduced Drilling on this promising porphyry copper deposit has the Kuruman region However economic nearby has also located mineralisation been suspended until the arrival of new equipment in early 1977. In its significance has not yet been established - other areas of Fiji Australia and New Zealand various Other base m^'tal exploration initiated previously in the northern drilling and western Cape the Transvaal and South West Africa j continued prospects including both gold and base metals have been selected for in 1977 : . during the year and drilling was undertaken a number of targets In the eastern Transvaal an appraisal indicated that the low grade copper occurrence held under option by Kalfrarian Metal Hold- ings Proprietary Limited a joint exploration company with Inter national Nickel S.A. Proprietary Limited was not economical for the purchase time being However option to been exercised : the mineral rights has purchase nF ..In Brazil exploration for gold and base metals is through Unigeo Geologia e Minera^^oS.A. Unigeo in which the Group and ; associated companies through Ambras hold a 40 per interest interest with the balance held by Industria Comercio de Minerios S.A. comi a leading Brazilian Brazilian mining company Diamond drilling supported by adit development was accelerated on the guriferous In addition to exploration bythe gold mining companies within mining areas drilling continued on low grade properties adjacent to existing lease areas These programmes will continue Dankbaarheid year In the Erfdeel Dankbaarheid area adjoining Free State Gold Mining Company Limited it is anticipated that Saaiplaas sufficient data will be available by the end of the year to enable feasibility study to be undertaken Gold and uranium values have been obtained | from boreholes the area south the Orange Free State goldfields and in the area south of the Vaal River adjacent to the Vaal Reefs mine but considerable drilling remains to be done before the potential of these areas can be properly assessed Some encouragement been obtained from a third hole south of Western Areas Gold Mining Company Limited but the area of interest under option is limited Efforts develop new gold exploration targets continue with several projects under investigation all of which are at an early stagen i Coal exploration has taken place primarily in the eastern Transvaal conglomerates at Jacobina in the State of Bahia Continuity and the grade of the conglomerates are variable than first anticipated and although several million tons of recoverable reserves have been defined further exploratory work is required before the term viability of mining operation can be assessed asesed A number of potentially interesting base metal targets have been located in other parts of Brazil and follow investigations are in progress At Morro Velho mine which Ambras holds 49 cent interest surface prospecting has been expanded to examine gold occurrences within the mine's large concession Charter Consolidated Limited continued its base metal exploration programmes in Spain and Ireland In the UK fifth round North Sea exploration licences a group of companies which Charter is a participant has been awarded provisional covering two adjacent blocks in the Moray Firth area : exploration Canada between Ang American Corporation of Canada Limited and Hudson Bay Exploration and Development a 42 Directors review . 7 : : . y . . : . : : ; : . : : ro : a ' switchgear , Company Limited continued in the Yukon Territory Ontario and reticulation maximum demand monitoring and control refrigeration Quebec for base metals and at certain properties in Saskatchewan and plant monitoring underground power reticulation and * Manitoba for uranium No significant discoveries were made An monitoring uo occurrence oflead zinc silver mineralisation in the Yukon further > underground environmental monitoring This important development was is aimed at determining the concentration of gases dust and smoke set explored by drilling in 1976 but although several grade ' free ' by underground blasting operations Intrinsically safe intersections were made insufficient size potential was indicated The electronically controlled switchgear has been developed and is in search by Anglo American Corporation of Canada Exploration widespread use in the coal mines of the Corporation An electronic ho ,. Limited for placer gold occurrences in the Yukon gave enough encouragement to continue drilling from river ice in 1977 a system has been developed to replace the lock bell signalling system between onsetter banksman and hoist driver in : In Indonesia continuing exploration by Trend Exploration Limited and should reduce or eliminate accidents caused byunmdiesrugnrdeorusntdamnidinnegs : i resulted in the discovery of the new Cendarawasih oil pool now in The electronics training school for mine electricians which formerly production A second oil discovery of some significance has been was part of the electronics laboratory has been integrated into the shelved because of technical problems In the United States Trend has participated in two exploratory oil discoveries and is also larger Anglo American training system and has been moved to Vaal pursuing Reefs ne Fas other foreign exploration prospects in Paraguay Guatemala and the In joint ventures to exploit metal winning technology number of i North Sea : : : a In Canada Francana Oil & Gas Ltd. and Canadian Merrill Ltd. both participated in active drilling programmes resulting in discoveries which increased the individual companies proven reserves pilot plant tests are in progress at clients operations to evaluate cost : effectiveness under actual plant conditions Mechanisation of all aspects of gold mining has become an urgent requirement if the industry is to cope with the problems of depth Q , a : te 2 = ws) peg _) * RESEARCH labour supply and poor productivity in future Together with the ' own During the . work for the Chamber of Mines and on the Group is committing increasing year Group's gold mines was substantial efforts and large capital budgets to the application of improved including Ergo on the East Rand and the Orange Free State slimes technologies to its underground operations . recovery project at President Brand An important discovery is that Raise boring techniques have been significantly improved during activated charcoal has proved to be extremely effective in preventing the year and the use of borers is widespread on Group mines soluble gold losses Work on uranium is taking on even more boring concept has been extended to other forms of prominence Significant differences in the nature uranium development and of mineralisation of reef ores in and a tunnel borer designed for hardrock conditions was recently eastern western Transvaal localities have been detected and substantial increases fa recovery now be commissioned if the Orange Free State The economic feasibility of waste stowing mined stopes been while achieved as a result of recognising these differences and adopting work has commenced the confirmed test appropriate metallurgical techniques The sponsored Successful on placing of mill gailings in stopes pressure leach pilot plant located at Western Deep Levels Limited waste tailings fill will have many advantages including improved stope support reduced fire hazards and material extraction reduced is being commissioned and could produce significant improve- handling a oY ments in uranium extraction Many other aspects : -investigation also undler The Chamber of Mines Mines has initiated several projects directed at In the base metal field mechanised stoping systems including steel conveyors integrated with studies been done on gossans enabling hydraulic drill and walking prop supported barricades Successful dramatically those overlying sulphide ore deposits to be distinguished from those on implementation this technology would increase barren ground by means of laboratory tests Major asistance assistance has also -advance and labour stope been given to the Group's Rhodesian and testwork has been productivity ; ; . Within the Coal Division testing is continuing the underground done on samples from as far afield as Australia New Zealand and disposal of power station ash The programme is aimed at the possible Australi Brazil A new process for 23 production of refractory _grade of ash to allow further extraction of coal thicker magnesium oxide using sulphur dioxide been investigated investigated and it those seams inicmlpurdoivnegment environmental has proved possible to produce a material of super grade Among a previously mined as well as at Continuous miners were commissioned during the year number of developments which have been patented are highly economic solar heater and and operating very satisfactorily In coal processing major a specialised gravity separation device of : emphasis was placed during 1976 beneficiation of fice coal at both much improved performance the Anglo American Research Laboratories and the Fuel More early warning fire detection systems systems developed by the Anglo Institute with Research American Electronics Laboratory have been installed in gold mines encouraging results Be aean 3 L Further 4 Moreover system has also been made available to the Chamber of Further details of the principal prospecting companies administered within Mines and overseas mining organisations for evaluation Telemetering , the Anglo American Corporation Group are given on page 90 for monitoring and control also finding widespread use with the x laboratory designing and supplying automatic underground water March 1977 \ ~ Annual statements | financial ended for the year December 31 1976 LG 3 . ; an nos a : pe % me 2 financial The annual statements which appear on pages 47 to 63were directors March approved 2 by the board of on 25 1977 and are & on its behalf 0 signed & : . ; ary Q 1. .. ; l aS XS Directors report 47 me ; Consolidated balance sheet 50 : statement Consolidatedincome Balance sheet 52 , 51 of . RS . Income statement 53 - ae Notes on the financial statements 54 : Statement of source and application of funds 57 Subsidiaries 58 ' Investments 60 2. Directors Directors H. F. Oppenheimer Keith Acutt . a . Ss = b Deas 2 Poi es coe : " . : f. : 7 es = fi So T. Goldfinch Managing Secretary G. C. Leeman ChiefAccountant wee . : wee . Vos , a ; a * - Ys . bs * a. oF a ih fi To the members Corporation : Africa Anglo American Corporation of South Africa Limited We have examined the annual financial statements and the group annual financial statements set out on pages 47 63. The audits of certain subsidiary companies have been carried out by other firms D our opinion the statements fairly present in the manner required by the Companies Act 1973 as amended the financial position of the - Corporation and of the Group at December 31 1976 and the results of their operations the year then ended Accountants ALEX AIKEN & CARTER GOLDBY COMPTON & MACKELVIE Chartered S.A. Johannesburg March 25 1977 3 ol ; 2 : iD directors The have pleasure in submitting the annual financial statements of the Corporation together with the group annual financial statements of the Corporation and its subsidiaries for the year ended December 31 1976 ~ oO PS a CONSOLIDATED FINANCIAL STATEMENTS TheThe comments that follow relateto the consolidated balance sheet of the consolidated income statement statement the Corporation and its : subsidiaries w CAPITAL + The authorised capital remained unchanged during the year at R20 000in 000 ordinary shares of 10 cents each 1241 2501 2 : 19 1977 that negotiations were taking place with a view to the merger of the Corporation with Rand Selection to be effective from January 1 1977. A further announcement on February 1977 advised that agreement in principle had been reached on the merger proposals the basis the issue of 200 ordinary shares in the Corporation for every 100 shares in Rand Selection subject to there being no majori changes in market conditions A prerequisite of the merger was that Rand Selection would make a rights issue to raiseapproximately R80 ~ million to strengthen its financial position The proceeds of theissue would be used to repay Rand Selection's term borrowings from the Corporation which fluctuate from time to time and were about R40 million during February 1977 to cover the redemption of its R30- million cumulative redeemable preference shares and to provide forits six per cent cumulative preference shares of R1 each and R4 758 750 six per cent cumulative preferred stock * envisaged commitments . Rand Selecton has consequentlydecided that subject the approval The issued capital at January 1 1976 was R17 925 980 and consisted of ofits shareholders to the necessary increase in its capital it will make 131 672 300 ordinary shares of cents each fully paid a rights offer to its ordinary shareholders registered on April 1-1977 and R4 758 750 six per cent cumulative preferred stock During the year 53 000 ordinary shares were issued at ruling market prices in terms of the share incentive scheme to senior employees including directors remained holding salaried employment At December 31 1976 there remained a..balance of 000 shares and holders of its bearer warrants The offer will open on April 15 of 1977 and close on May 6 1977 a ~ The rights offerso arranged that the event themerger being ~. successfully completed the Corporation intends tomake an offer to subscribers for Rand Selection shares in terms of which they will receive fully ordinary sharesin the Corporation in respect of their available for issue terms of the share scheme scheme further 54 800 options ordinary shares held senior members of staff allotted of will _ lapsed during 1976 leaving merger owned Rand the year end - the issued capital 1976 ": ' As at December 31 of ae a balance 509 800 options outstanding a was R17.931 R17.931 and Os 300 fully consisted each subsidiaries Corporation 725 ordinary : ordinary shares shares of 10 cents paid = subscriptionsin the ratio of the merger terms If merger does not become effective subscribers be fully ordinary shares in Rand Selection The provides for Selection to become a subsidiary of the Corporation by the cancellation of the Rand Selection ordinary shares held by shareholders other than Corporation and its and for theissue of ordinary shares of the - cumulative and R4 750 per cent ary preferred stock J to such shareholdersin abovementioned ratio In the event of the merger becoming effective both the Corporation : have the No shares have issued and no options have lapsed since the year end Of ordinary shares which are at been exercised or . date of this unissued report specific authority has been granted to the directors to allot andissue up to 1011 800 shares in of the respect share optionand share 17 incentive schemes and ie balance unissued sharesis the 17 and Rand Selection their subsidiaries including those ccompanies ompanies which become subsidiariesas resultof the merger The here applicable will change their financial endsto March 31. The Corporation'Cs orporation's next accounting period will on March 1978 Subject to the merger taking effect the new ordinary shares to be issued the Corporation in terms of the merger but excluding the the directors - subject of a general authority granted to in terms of e ~~ section 221 the Companies Act 1973 amended amended This general authority only remains valid until the next annual general meeting shares to be issued to the subscribers to the Rand Selection rights offer will qualifyfor special dividend of 8.25 cents ordinary share expected to be declared by the Corporation to its shareholders that is 1977 members will be asked consider an registered on 6 1977. Thereafters May ordinary resolution that meeting placing under the control of the declare an int^'rim dividend in November directors the remaining unissued ordinary shares not required for the dividend in May year maintained purposes of the share option scheme or the share incentive On the basis that dividends are maintained Corporation proposes to each year and a final at the current level 33 scheme or for the allotment in substitution shares in Rand mentioned arising Selection Corporation below Limited 3 io on conversion of bonds 3 4 : S ae e cents an ordinary share per annum shareholders will receive in addition to the special dividend referred to above of 8,25 cents a share interim and final dividends respect the financial period ending on March 31 totalling 33 cents a share andin order to reduce RAND SELECTION CORPORATION PROPOSED MERGER WITH LIMITED Rand Selectionin oe dated Shareholders were informed in in Press announcement _ Be January F4i disparity between the interim and final dividends it proposed to pay * an interim dividend of 12 cents share final dividend of 21 cents ~ a share These interim final dividends and future dividends ole : ee : 2 . ray sat will be payable on all new ordinary shares issued both in terms the merger and the proposed offer by the Corporation theRRandand compared unlisted investments value of R114674 000compared with a valuation cent last year Selection rights offer subscribers directors expect that subject to no unforeseen circumstances arising it will be possible to maintain 42,6 per cent above the then book value CURRENCYCURRENCY RESERVE dividends CURRENCY not less that the above annual rate of 33 cents an ! ~ principally exchange ordinary share on the increased capital ' -Net exchange surpluses- arising from rate representing Proposals will be placed before the holders of bonds fluctuations have been transferredtransferredto a currency reserve whichstood Rand Selection 30 million 64 per cent convertible loan f 1986 at R4 000 at December 31 1975. the 1976 R33 000 was ? * conversion whereby whereby if ther merger proposals are implemented the transferred from the currency reserve to covera net deficit arising arising this attaching i 7 rights thereto will be varied that such badsbads will be year from changesin currency exchange ratesThe reserve declined by Rand adjustment a res convertible into shares the Corporation instead of Selection a further R335 000 due to of the opening balance the - It is proposed that theauthorised ordinary share capital of the : and stood 000 be increased by the creation of an additional 100 million rates of exchange ruling at the year end 31 | at R4 169 at shares Corporation December 1976 _- shares This will provide sufficient shares to enable the Corporation to implement the : merger proposals to make the offer to subscribers to the Rand Selection r' ights offer to meet the maximum number of _ shares required for conversions of Rand Selection convertible bonds to approximately meetthe requirements of the staff share option and incentive schemes 13 680 000 - shares availablefor other PROVISION = EXTRAORDINARYITEM - AGAINST INVESTMENT IN Z^ IRE : As announced ininthe Press on January 23-197623-1976 23-1976 the directors of Soci^'t^' Mini^rede TenkeFungurume SMTF advised that work at the SMTF project project had been suspended The decision to suspend suspend ake members andgeneral meetingsof Rand of Selection andthe to effect the give . held At general | meeting of members it on 1976 May was Corporation : to eliminate share premium account of the amounting at that date to R84 and to transfer that Nondistributable Reserve Since that date the 53 000incentive ction 11,544 interest of 11,544 per centthe projectYourdirectors have therefore consideredit prudent to makea provision of R20million against the Corporation's Corporation's investment of 000 in SMTF an _ extraordinary item in the income statement SMTF is curently currently sidering the technicalfeasibility and methodsof financing INVESTMENTS 7 : During the year eo oy value the investments held the PROFITS AND APPROPRIATIONS we : Thegroup profitafter taxation for theyear under while Profit te ae Corporation and its. subsidiaries increased by R6 863,000 to y R525 688.000 Listed investments investments increased by R57 152 000 Profit is after taxation because unlisted investments decreased by R50 289.000 mainly the ~ ~ Group's unlisted holding of Minerals Minerals and Resources Corporation S ') Limited A ordinary shares became listed after their change into - ordinary various unlisted colliery interests were changed " ~ into listed Anglo American Coal Corporation Limited market value of listed investments at December R523 R934 000 and exceeded R643-985 the book value by shares The 1976 was 212 000 compared with an excess of R643-985 000 at the end of 1975. The 4 4 a n wo 4, : o a: 3, Ion ye ey o a va x ae & + a 2 . ; Mw ; id o H : > eee cs Cae a - we 2 a By i ood 8 & . . i 2 : G on # oo : Resignations Appointments Loe oy Bs. : 1976 1975 oa ; : . R000's R000's : . oot eo ow ea. * Wilson aa i : : Brought forward. Deduct Preferred stock dividends Nos 94 and : extraordinary equity Group earningsbefore equity extraordinary : to item attributable Anglo American Corporation ec, American ~ Deduct Ordinary dividends Yee 0 No. 8810 ooff & No. cents share 25 cents a share : Retained profit before extraordinary item ed ' Wilson 86 278 84714 .286 286 2 Alt G. LaLngatonngton ao = -. 7 February 27 1976 oe . 992 : B. Pain 84428 1976 eg 3 Se LG 0 LG LG Stopford Sackville 7 . 10.534 10531 June 11976 } 32931 Mackenzie 32918 32918 P. ee 2 Oe a 449 Alt to Dr Z. J. de Beer July on Clarke 979 979 N. Clarke *"" 28 | N. Kinkead Weekes . iso Weekes to Kinkead February 26 1976 A. Wilson - Bo Alt N. K. February 26 1976 W. Pain 2 Relly Alt G. W. . May 31 1976 =~ W. D. Darvall : Alt to Dr de Beer * June 1976 : Deduct Extraordinary item- item- provision against December 8 Se. W. King Se 1976 9 ad F. Berning uae December 1976 December Pain W. 1976 Alt to = omen! A. Johnstone ! |: . 40,979 Berning : : - 8 Altto F. Adjustment thereto arising from os changes iin n currency exchange rates . Robinson DDeecceemmbbeerr 1976 1976 | 884 524 V. Webber ; i. 31 : 66 2] Alt J. N. Clarke 8 B. Kossuth ; 1861 December 1976 -: | Se > Alt to Sir Albert . - 385 A. Johnstone <.-0 ey . Stopford 39.477 364 Alt to L. G. Sackville 501 480 January 1 1977 : 15976 Stopford Messrs and N. Clarke Sackville who 884 Pain : B. W. L. G. : J. ea . DIVIDENDS : . .. were appointed directors during the year retire at the forthcoming annual share interim dividend of eight cents a was declared on September ; general meeting in of the Corporation's Articles of D terms 23.1976 23.1976 and final dividend of 25 cents a share declared on Association In addition Dr Z. J. de Beer and Messrs P. Gush D. G. The Oppenheimer retire by February 21 1977 making a total for the year ended December 31 Nicholson N. * directors and Spiro rotation : mademade last year retiring are all eligible for election toe Dividends equals that of directors non Doe Details of the beneficial beneficial interests the directors _ distribution ordinary December ~ stock on June4 and 2 1976 in the issued share share capital of the Corporationat December 31 FINANCIAL directors STATISTICS - 1' 9s7 ha6 resappearing in the register of the interests of the in the 91 . oftheCorporation appear page this report S:- years the ten financial The financial statistics for There are no service contracts granted by the Corporation or or any of subsidiaries any of its to directors the Corporation DIRECTORATE Corporation : GENERAL 2 changes The following are details of occurred composition of the board of directors of this report which a the the fromJanuary 1 1976 tothe : members The directors of the Corporation wish thank to thank all of the stafstaff ofits va:rious offices for the loyal and efficient service given during 5 a Ee year a ay . : : . 3 . ; e gy ia a . : VS Bey ie ie is o . 2. Consolidated balance sheetDecember 311976 * : " ANGLO AMERICAN OF CORPORATION SOUTH AFRICA AFRICA LIMITED AND SUBSIDIARY COMPANIES ~ en a : : 2 Capital Authorised ordinary cumulative cent each stock 750 ofR1 preferred six Authorised ks shares of 10 cents pve of ere oe oy Ps 140 000 shares cach 1241 sixper cent cumulative preference an, LS. wy 758 per pe eas ! _ es . paid fully :7 Is2 sue5 d n3ot0e02 orordinardy inary shares of 10 cents each : whee : ; R4 758 750 six percent cumulative preferred stock : Less Excessofwritten downcost of shares insubsidiary companies 4 dates acquisition value of net assets at the ; Distributable rreservees serves General note eSCurrency reserve ) 346 959 169 15.976 wae ge 2 Unappropriated profit al P opens OutOsidue tsideshareholders in interests subsidiary companies note : & ; eS Loans 2 Associated companiesand e : PrCerfeedrirteodrsstocdkividend No. Taxation Sundry aan Represented b:y : a Unlisted valuation written provision and market 7 246.000 R235 222 Investments off note as SOE At cost less amounts value R934 221 000 1975 R997-842R997-842 000246.000 oe : Listed - ( 246.000 1975 R168 059 equipmentnote ) os ay Dgecs . . ; Loans is : : Associated companies and others less provision vee : Debtorsand cash 54 pages For notes see 2 to 56- a _ - 67.981 101175 101175 930.174 oa Transfer reserves Non distributable reserve r - Balance sheet December 1976 2 oa Be ANGLO AMERICAN CORPORATION OF SOUTH AFRICA LIMITED . os ; ; - ohana d a! oe vee \ fe . __He * eo ki pe eee Capital a Capital Lis oe TO ee oh, rr wo ro 1975 |. wes R000's R000's co. 2 R000's wee he Authorised ordinary cents 140 000 000 cent 1.241 six per shares shares of 10 cumulative cumulative preference cumulative ara ear 2 eo ne ee eg shares of RI each stock preferred vanes sete ree eee eet ie 000 Sy Fl 1241 oe 4.759 EE. 000 es R000's ON i : shares ordinary 725 300 R4 a 758 750 six per cent ls : 8, ct wae ae Share premium note ; Be 13.172 Distributable reservcs General reserve note 5 : Unappropriated profit . . wi! s Loan Loancapital note Loans ae 5 7 Subsidiary companies others ; oa Associated compaanndioa ethsers Tes ; " : : Creditors : Preferred stock dividend No.95and Taxation > . ei Sundry & ; 207.930 0, 310211 .- . 2.9 038 833 833 21 686 2 7g or 294.519 2 omnare 1821.064 , ie oe : : : 3 . e @ we re directors ve Other Sea eo : investments provision 000 pins off . At cost less amounts written and value R479 464 000 1975 R560 641 be ekawe valuation 000 Listed market 2 OR Unlisted -- : R39 530 1975 498 -. Bo: a ee coe ; a Loans Pe eon,. Associated companies and others less provision .: : ' : Debtors and cash : Debtors : ; Sn Bele ce Re bea 112612 112612 & ee 11.956 : Po rk 124 568 gchar de .263 aa 21010 53.712 53.712 ; | ly & i a , a a o < For notes see pages 54 56 52 statement Income for the year1976 ANGLO AMERICAN CORPORATION OF SOUTH AFRICA LIMITED Income subsidiaries : Sa from subsidiaries note 10 ooaes Income frominterest other sources Oo deducting administrationexpenses note - Surplus on realisation ofinvestments Deduct Ley : Interest paid Loan capital Loans by associated companies Expenditure on office research andtransport Contributions to staff pension Costs of prospecting . Loss On ordinaroyrdinaryshares share 1976 vege No. interim of8cents perper declared September 23 81 final of 25 cents per share declared February 21-1977 21-1977 d By 1 Accounting policies < buildings improvements fixed dominantly occurred a The listed and unlisted investments of the group are pre- income earning term holdings Where in the #.- 6 oipnivneisotnmeonftsthfeldoiwriencgtofrsroam pneorrmmaanlenctirdciummisntuantcieosnihnatshe value of provision for such diminution is charged against current profits depreciation b . pNroovided of land+ and is equipment and Office research of acquisition transport is written foreign currencies expressed | c Assets and liabilities in are expressed at the wee approximate rates of exchange ruling the : year end d Prospecting incurred expenditure is writtenir the year inwhich it is g 3 Share premium : $ : the arises during < The change in the share premium Balance at December 1975 year in less share Premium on 53 000 shares issuedinterms of the share issue incentive scheme - issueexpenses as follows R84 148 000 f 202.000 Less - 84 000 * Premiumtransferred to thenodnistributable reserve in terms ofresolutionof members dated publish figure for e Due to the nature of the group's activities the directors the wie are of opinionthat to a turnover would be meaning- 2 re Group s me less , Balance at 31 Reve aece Sharecapital December R5 19f7r5om 5.18 2. | a 0 vi Adjustments thereto arising . 000 ape comprises changes ordinary The unissuedcapital 274 700 8 shares 10 cents in currency exchange rates of eeaacchhand 1 2540 six per cent cumulativepreference shares of RI In terms of resolutions ofmembers threemillion shares were | ordinary placed at the disposal of the directors directors acting throughtrustees for shareoption and staff as share inceitive ncentive scheme for senior members of the General follows reserve & foe e ve y ; : |: " +k aa Y a shares placed Balance Decembergeneral the until a Share option scheme - scheme 1 500 000 shares were at the The increase in reserve arises disposal of directors but when the scheme was discontinued : during 1974 options not granted in respect 786 0003 31 Adjustment thereto 1975 from which were transferred the share incenitive ncentive scheme at Adjustment in arising stage Options were granted for years or currency exchange Appropriated after retirement whichevr whicheveris the earlier two years this year Options granted terms follows in 3 in of the scheme are : Balance Lapsed Exercised 3 Balance Gra6n5t0ecdents share Currency currency 800 December 2 : 31.12.75 at during ay - during at reserve : on August 1969 31.12.7531.12.75 a year oie _- year 3 1.12.76 2 The decrease in the : reserve reserve arises as folows follows at a 244 38300 38300 206 500 Balance at 31 1975 19 n Granted on January a Adjustment arising at 537 cents share 1972 : 5 oe oe - thereto arising . exchange rates from changes 163.800 157.800 a Granted on August I 1973 pa wo ri =, Transfer toincome statement fi 7 " 700 cents share >. 156/000 10.500 : . b Share incentive scheme1 500 000 shares were =. 145.500 disposal ofdirectors and 786 000 placed at the transferred the : were from share 6 Loan capital option scheme At December 31 1975 555 000 shares Of available forissue under the scheme were these shares 53000were issued during the year leavinga balance of502 000 shares available under the scheme At December 1976 R9 630 000 000 been 1975 R9 534 000 had to the Trustees of the Loans of a Swiss francs 000 R8 000 advanced incentive scheme share b US 113.000 2 015 000..." ordinary . The remaining 7 900 unissued shares are under the d unrestricted control of the directors until the annual meeting forthcoming general c US 000 000 . R79 000 43 478 000 43.478 478 000 3 79.000 000 R60 038 000 R60 128000 128000 54 Associated companies participate in loan R20 016 000 1975 R20 016 000 Details of the individual loans are as to the equivalent of os { . follows a The loanof Swiss francs 000 000 bears interest at the rate of 5,75 per annum and is repayable by November 15 1987 subject to the undertaking that the Corporation will if possible for purchase the market cancellation up to Swiss francs 500 000 of the loan at prices not exceeding par in each of the four dayperiods prior to November 15 the 1983 Corporation years The 1986. has the right to redeem the earlier on any annual interest payment date at a premium full loan premium of 2,5 per cent reducing by 0,5 per cent per annum the years 977 to repayment 1981 and thereafter at parThe servicingand of the with South loan covered forwardforward exchange contracts the : African Reserve Bank - -! s The loan of US 113 113 000 bearsinterest the rrateate of 6,966,96 per cent iii undertakings Completion oy to lenders to Bamangwato ) Concessions Limited and the Republic of Botswanain respect of a portion amounting tothe equivalent of R45 000 1975 R43 349 000 at current exchange rates of loans in . various currencies - whereby the Corporation with another undertakes to arrange procure per cent of any finanfce inance additional that already arranged which which may be required to * complete the Selebi : A64 percent interest in the undertakingsundertakings has been laid : to associated companies The . undertakings continue until certain requirements of the ap lenders as to completion of the project have beenmet: Guarantees with another in respect of certain of the loans extent referred in thepreceding preceding paragraph the of the equivalent of R11516000 R11516000 R11516000 1975 R11082 000 at current exchange rates which R7 381 000 1975 :R7 102 has 000 ~ been laid off to associates :.* per annumand is repayable 1978 and 1982 subject 10 minor repavinents of US 104 000 each year to 1977. The Corporation earlier may ccierrctuamisntancceisrcumstances make r: epayment US The loan of 000000 bears interiest nterest att he rateof7.5per ~ ent is advanced Guarantees with . another of amounts advanced my Bamangwato Concessions Limited under a revolving credit agreement amounting to 145 000 which R4 of has been laid off to associates associates we Rg iv Other guarantees given by the Corporation totalling may registered Corporation mining obligations previously : per annum is repayable at parin instalments 1.500 000 on Marchin each of the years 1981 inclusive S2 500 000* 1982 and $ 000 000 on March in each of the years - * 1987 inclusive The CorporationCorporation in certain circumstances make repayment carlier She lps o -*_. The loan of R79 000 is represented by 5,75 per cent Secured notes which are repayable at par on March 31 1982 unless purchased or redeemed in accordance with the i R62-500 000 1975 R87 905.000 and by subsidiary _ companies totalling R5 532 000 1975 R4 985.000 forthe fulfilmentguarantes ofother | contractual Counter- guRa58r-a3n1t0ee0s00have been obtained f or R41 884 0001975 . The guarantees given by the include A guarantee in respect of lean advanced to gold scompanies for an amount of R34 080 000 : Outside shareholders interests me R34 080 0001 guaranteedCorporation's . obligation : 7 subsidiary The interestsof the outside shareholders in December companies- investmns amounted R63 008000 atDecmber 1975 564 000 This does not take into account their interest in the excess of the market value and directors valuation of listed and unlisted _ investments respectivelyover bookvalues December 1976 which r amounted 1975 R5 342 000 R16 375 ' 375 000 a liabilities 8 Contingent and commitments a There ) are contingent liabilities respect of : ( guarantee with others to diamond mining in company respect of an agreement which that company has with The 4. ~ Diamond Corporation has however been Limited The Corporation's obligation guaranteed a buildings and Fixed assets land fixed improvements at cost or inet. book value January 1953 Mineral rights at cost less amounts transport writtenoffresearch Office research and transport .: Guarantees with De Beers Consolidated Mines Limited in written off equipment 12 respect of the servicing and repayment foreign loans to , Highveld Steel and Vanadium repayment Corporationforeign Limited of 9 ona 453 000 Deutschemarks 100 000 000 and 000 000. The buildings by members servicing and repayment of the loans are covered by forward registered office contracts exchange with the South African Reserve Bank A register of land and is is open for inspection their duly authorised representatives at the Corporation : 042 000 ees or of the : 10Income fromsubsidiaries Incaome fromsubsidiaries comprises the following : 1976 1975 Dividends oe R24 281 000 R24 868 000 Fees 1448 000 974 R25 729.000 .. R25 000 = The aggregate amount payableto directorsand alternate directorsby . Corporation and its subsidiary cocmpanies ompanies is as follows . 1976 DirectorsDirectorsfees |me OtherOther emoluments R94 000 = I 000 1340 000 4 R1_346 418 /iPn ensmiaonnasgoefrpiaaslt cdaipraecicttyorcapacitysfor services re maeo nett 7 : Group3 hats Corporation Vay:s ores 1976 hs 1975 1976 1975 521 000 721 000 R1 000 R 151000 151000 R144 000 R15 R100.000 R93 000 & i Group : nn RE pee PE 1976 1975 : R2 002 000. 324 000 R1412 000R1 787 000 2.768 2.768 000 2 078 000 1-100 1-100 000 714'000 714'000 11000 11000 ( 11000 . Source and application of funds . |statement for the the year 1976 | co ge SEE gan ; Ay or i. ~ f = 3 7 : a fi oe 3 & Se". 1976 R000's : oe ic a | : Corporation Group 28 -1975 os 1976 aes 1975 R000's 2 R000's R000's 865 057 261 ! 67 884 adjustments Provision against investmentsand loans less net : from changes 1 in1 currency exchange rates g arising 7 x Proceeds from shares issued . . tree : we ge a 2 205 070 207so 15 104 oe 107 161 | 1405 . Increase in outside shareholders Loans from associated companies and others subsidiary ; Bees = : a Ss Og net 2 BES Decrease increase in creditors - cere and : Decrease in debtors cash netsis. ge! ; . Property mineral rights and equipment =- netdecrease oe Investment incompanies 7 Vee cee 9 ere he 6169 8917 141.991 2 128-702 = 132.524 : oa 589 i - 2% 119.785 es gs Decrease in cost of shares 2... : ; Net decrease inloans a ae . Application of funds ae oe x, Investment in subsidiary companies Increase iinn costofshares ae ee Pe ss 390 140176 gh a e. HT ge babectes 345 J Cost of investments acquired less cost of investmentssold oe Property mineral rights and equipment net increase ~-"g Loans to associated companies and others eee Pees : : Loans from acted companies and others Repayment of loan capital ore: a peut . ae s Taxation 055.5 BEDEPa eres Dividends ere Vovintivevelaeegerbers Decrease in outside shareholders interest in subsidiary companies ; moe eee : re 9.162 9.162 69 65.1 OES . 044 112 200 ; SEE .90 238 22-130 a ws 647 43751 3 3.496 ; eo 231,390 231,390140-176 ; wees ao 220 345 . 5 g, B : 5 : \ Ups np af Bet, Es a : * b . in 4 oe. . Bu : - oan 4 0 . Bee. S Ea a - > , : Subsidiaries Subsidiariesin which the Corporation . i hasa1 direct or indirect interest _ = ae -# 2 & # . a 3 on Bone oH si o @ ey o a 2 i : F of. Issued share Ea capital 7 OE oa ge cosy is : OF 1976 1975 an 7, : : rns o and Incorporated in South Africa 4 . # Finance and investment : * oe : . Africanand European Investment Company Limited- ordinary seeee preference a African Loans Investments Limited =ordinary : preference Angloswazi Investments Limited Anseld HoldingsProprietary Limited Melos , R000's ae 2 4.180 500 ay 2 . R000's ProprietaryLimited ~ Egret Investments Limited * L. Properties Marjoram Holdings Limited 6... : Millibar Investments Investments Lim<Ai.ted-= oprredfienraerncye The New Era Consolidated Consolidated Limited Oriole Investments Limited 129 2 . 5 29 550 1 129 129 ue aad 4) 550 i Rhoch^/rHoldings Limited 27 2617 Limited South African Selection Thaton Limited .. 5.00C -5.000 -5.000 7.3 Computer services Anmercosa Computer Services Limited Property owning 0o, a Anmercosa Land and Estates Limited Limited S Exchange Buildings Proprietary Limited Mbulwa Estate Proprietary Limited Middelplaats Manganese Limited . Limited Westander Properties Proprietary Limited Zaalwater Proprietary : Holdings Proprietary Limited Prospecting ; Anglo American Base Metal S.W.A. Limited Anglo American Prospecting Company . Limited Anglo American Minerals Prospecting Company South Anterra Minerals Proprietary Taybard Investments Limited Limited ' ~ Intien srharee csapit tal + ._/ Book value of holding company - fo Direct yo, Indirect gee Shares Kans 5 ' 1976 1976 1975 1976 1975 1975 on ue a oo - R000's %. % os : R000's SH. es R000's - _ R000's : . a 888888 888888 888888 888888 888888 888888 100 888888 888888 | 2617 28 | Tet I-b Rhodesia Incorporated in J Finance and investment ) Appraised Securities Limited Blue Skies Consolidated Private Limited Consolidated Mines Holdings Rhodesia Limited Limited -New Rhodesia Investments Financial services soe oH Rhodeslan American Corporation Services Limited Lave: rare Anglo American Services Limiteadn Incorporated in Luxembourg Finance and investment Anglux Limited . Axalux Holdings Limited . : _ Orlop InvestmentIsnvestments Investments Limited wo Patent holding : Hilux Holding S.A. Nilux Holding.S.A Holding.S.A 2 000. i. c.e. 20 01028 1.028 ween) 5.000 01028 -" 5.000 811 || Loe 811 811 18 100 18 100 100 100 - 20 a 37 USS000's * USS000's 319 -1.631 9 223 | FF000's 100 1000 100 3319 : 631 : 223 "> FF000's * 1.000 100 100 100: 100 100 11881 18 2 1188 11881 Bost 11881 1188 11881 18 Incorporated in Liberia Finance and investment Holdings Anmines Limited a oe Anglo European Holdings Limited wre Midway Investment Investment Limited voting shares - voting shares USS000's . 000's 15 a 100 JEEE JEEE JEEE JEEE = 100 .45 - 100 - 100 8981 8981 8981 c . ~ . ry = G : . . 1, Sa = ae wl Issued share capital Interest Sod : ae . 197D6irect 1975 in share capital mo Indirect 4 1975 1976 1975 : y Incorporated in Zambia : . Financial services .. . : ae we OE Anglo American Corporation Central Africa Limited 100 fo Finance and investment ae : American Northern Properties Limited : : : "2 = 100 Incorporated bow in Australia aut oe fon Finance and investment Lo : ye gborne Investments Investments Australia Proprietary Limited ~. Managerial services Pe ; oi A50'As 5000's AS000's om : * ae ce we a aon 100 100 . _s . WR : 7 a bo American Australian Anglo Services Limited + Incorporated in Bermuda : woo, Finance and investment Boy * Anglo American Investment Trust Marland Bermuda Company Limited ; Limited Kingdoin Incorporated in the United Finance andinvestment y g > vs Luxan Limited Lydenburg Holdings Limited . <7 7 : 563 0. 563 - BD5000's BD5000's . sf wo 37 aig ST ~ 24 100:.| B . = _ : 7 000's 000's ye Te Sd A 5 : 5 5: ae eee 0.100 100 . 100 SH , es Incorporated in Canada #* : Finance and investment 2 i Anseld Canada Limited - common : preference f . Cello Securities ' : ee Pr C5000's . CS000's 4) ce 493 foe, a! fi Incorporated in Switzerland . Finance investment ay nae ibea de ce Barque Holding : cei o i ekki ; i . * Managerial services Anglo American Corporation Management and Services A.Ga ee Incorporated in Lesotho : Managerial services 4 Proprietary Company Services Anglo American Lesotho - od Incorporated in Botswana uf be | Limited . Managerial services : Anglo American Corporation Botswana Services ) Proprietary Limited Other ve eee ee SF000's Fe sefi of holding company Loans Nominal amount Note A < ' Aggregate Aggregate alter profits and losses attributable in Anglo American Corporation of South Africa Limited from its subsidiaries amount to . Prol~ts Loss^'s R000's R000's 48.092 48.092 028 . an 56 93 2 q me : . : : ^' : ; . oh woe A coe ae | Schedule of investments at December 31 ' e = Listed on Mining finance and investment Anglo American Gold Investment Botswana R.S.T. Limited Company Limited . Ce Charter Consolidated Limited eteeeens . General Mining and Finance Corporation Limited Gold Fields of South Africa Limited ., Johannesburg weet Company Consolidated Investment Metals and Minerals Investment Company Limited |, Minerals and Resources Corporation Limited *. Rand Selection Corporation Limited . wee U.C. Corporation Limited . ; ones Investments Limited vk fees Gold mining - 1976 445 | 444 114 32 298 591 360 822 989 300 000 706 7 250 324 484 582 1. Witwatersrand and East Rand Bracken Mines Limited sees East Daggafontein Mines Grootvlei Proprietary Kinross Mines Limited Leslie Gold Mines Limited Limited a T ~ he South African Land & Exploration Company Winkelhaak Mines Limited sees e eee vie Limited an 2. West Rand 7 an = 239 380 236.992 236.992 .90 000 202 879 32 786 797.132 573 ' - Buffelsfontein Gold Mining Company Limited- * Deelkraal Gold Mining Company Limited 3) os, | =. Doornfontein Gold Mining 7, Limited Company Limted EEalsatndDsrriaenfdonGteoilnd Gold Mining Company Limited . Mining Elsburg Gold Mining Mining ComCpoamnpyaLniymiLtimeidted KHlaorotefbeGeosltdfontein Gold Mining Company. Mining Libanon Gold Company Limited Mining Company Limited Southvaal Holdings Limited . + sees Vaal Reefs Exploration and tideaee bal . Mining Company Limited Western Areas Gold Mining Company Limited Western Deep Levels Limited =: , Zandpan Gold Mining Company see Limited 114 926 078 alee 2 720 7 487 343 1 651.987 = 22 333 33 805 i 1565 1565 246 045 : 784 537 2.794-563 3. Orange Free State * | 548 797 Limited Free State Geduld Mines Limited Free State Saaiplaas Gold Company Limited Loraine Gold Mines LimiteMdinCionmgpCan oympany Limited . President Brand Company Gold Mining Company Limited President Steyn Gold Mining Company Limited Welkom Gold Mining Company Limited Western Holdings Limited ee, 431 2.978 200 180 333 1081 423 826.620 . 650 518 : Diamonds Limited ; Lo are % rs Anglo American Investment Trust Limited De Beers Consolidated Mines Limited :. Copper and other mining 5, The Afrikander Lease Limited The Messina Development Development Transvaal Rhodesian Nickel CorporatDieovnelLoipmmietnetd Company Shangani Mining Corporation Limited _ a Tanganyika Concessions Concessions Limited The South West Africa . 2.2, Tronoh Mines Limited C7)ompany Limited Investments . Zambia Copper Investments Limited Platinum vs, 170 - 234 8 072 265 1093 726 6838 6838 858 429 612 448 114 a 388 031 Rustenburg Platinum Holdings Limited Waterval Rustenburg Platinum & 16.001 980 60 Percentage of market value 1979 1979 o 39,91 19,02 + Corporation 2 Q of . aaa <> Units held ooo Percentage * market value 1975 1976 1975 174 997 114 3.490 59 199 37,96 > 27,52 0,24 43,01 30,92 974 5 957 5.145.974 5.145.974 5.145.974 | 5 053 & * 0,01 : 90.000 : 478 000 3 161 478 A 112 > 577 0,10 . * 10033 235 226 ,2339 6465 13,86 10033 0,02 50319 y= 0,07 452 900 6 465 293 7.366 -7366 805 187.733 637931 191815 191815 7 1467 663 967 a 284-370 284 370 516 350 703 516 044 672 1265 950 180 0,01 0,02 1,72 1.63 0,09 bhp 4974.305 tee - 928 13.667 13.667 a 3 BLE. Coal Limited Amalgamated Collieries of South Africa > Anglo American Coal Corporation The Coronation Collieries Limited Natal Ammonium Collieries Limited <2: 1946 Limited . Natal Anthracite Colliery Limited Natal Coal Exploration Company Limited Limited South African Coal Estates Witbank vo. Trans Coal Corporation Limited |... Vierfontein Colliery Limited Vryheid Coronation Limitedshares Witbank Colliery Limited shares . , 13,5 1979/82 convertible ' Zuinguin Natal Collieries Collieries Limited 26.654. General finance First Union General Investment Trust Limited New Central Witwatersrand Areas Limited commercial Industrial and < AECI LimitedIndustrial Industrial Anglo American Industrial - eck ieee ee Barlow Rand Limited aes ordinary Chemical Holdings Limited - . : 7 unsecured convertible . Cullinan Holdings Limited Gallo Africa Limited Highveld Steel and Vanadium Corporation Huletts Corporation Limited Johnson Matthey and Company Limited | L.T.A. Limited 35... McCarthy Group Limited - Northern Lime Company Limited Romatex LimiteAdfrican The South African Stant & Lloyds of South Africa Limited Television and Electrical Holdings Limited Limit Company Tiger Outs and National Milling : The Tongaat Group Limited The Union Steel Corporation of Africa South Limited Vereeniging Refractories Limited t ea el Peevey mele Property . ordinary 1 Anglo American Properties Cmited - u : =. preference , Soree Limited : Banking og Barclays National Bank Limited Nedbank and Syfrets U.A.L. Holdings Holdings Limited : Rhodesian Acceptances Holdings Limited ieee, Standard Bank Investment Corporation Limited Sundry . vee City of Johannesburg Rand Mines Limited 6,5 1977 stock loan stock Rhodesia - % 1978/81 stock - Other minor holdings . ae if ee value Total market . G.roup -= Units held _ 1976 LP 1975 ss Percentage Percentage of market value 1976 1975 325 041 & _ . 800 1427305 301 660 972 305 604 2020 30.000 R3 000 457. 7,59 i 178 464 5a 509 771 5,96 906 ' 210 = 0.01 1164 564 0,72 1491 326.389 0,04 : 858 889 305 604 2.020 912 30.000 R3 000 457 583 3,01 0.10 - Corporation : Ee of 2.Percentage market value 1976 Yrs 6918774 6918774 6918774 733 6918-774 391733 40,42 0,06 10,86 944 187 580 3 287 156 212 R581-728 2'100 002 299 145 609 153 5 994 580 3-305 425 827 -. R581 100 299 0.20 5,20 1:05 0,13 0,06 |) 0,27 0,03 529 231 1008 450 614 998 450 2,01 0.19 550 667 550 667 0,24 | 2 081 2 653 081 -2 105 757 84.500 135 000 626 683 182 225 105.757 000 "+. 500 135 000 626 683 232 2 0,12 = 0,01 10,01 0.10 0,02 128 840 050 -355 494 43 200 61000 050 . 355.494 -43 200 0.11 0.68 5 0,02 5 0,01 0,12 4,90 1,08 0,13 0,06 0,24 0,05 1.70 1-0,28 . 0,91 549 763 751 0:22 16 664 16 384 "2. 384 .. .314 590 005 000 0,67 0,02 0.71 .. . 1,79 2 674.755 674 755 0,80 2935 764 077 542 7 680 000 9 ' 439 2 2 000 453 0,57 0.25 0.17 2,03 0.83 0,84 10,23 0,13 * R187.500 R407 817 100 403 R187.500 R407 817 100 403 = 0,09 0,01 0.03 0.01 .0.04 100,00 .0,09 0,01 .0,03 0,01 0,04 100,00 944 1871 529 385 277 107 918 : R126 609-153 ' 385 2481- 107.918 R126 238 299 145 6578 -550 653 081 728 * 2: 550 667 081 728 721 50 000 : 439 453.549 453.549 R000's 221 R000's 997 842 . . s _ we : oo . Units held Group a Percentagoef 2) 5500 directors valuation : 0 BP! Corporation Units of a Ss Percentage held . : - directors valuation : mes 1975 1976 1975 1975 1976 1975 Anglo American Corporation of Canada Limited Rhodesia Anglo AmericanCorporation Australlan Anglo American Limited Limited Limited Investments Falcon Investments H^lardstrat ses Beleggings Eiendoms Eiendoms H^llardstraatJohanesburg Johannesburg Consolidated Investment Company Limited prefrence Minerals and Resources Corporation Limited = A ordinary st Osprey Investments Limel Overseas Rhodesian Investin^nt Peregrine Investments Limited ae wes Swan Investments Limited 6 . Sward Investments Limited |. Limited +: Western Ultra Deep Levels . Limited - Copper and other mining . Bldor Malayan Tin Sendirian Berhad Limited Cleveland Potasi Limited v4 Messina Messina Rhodesia Investments Limited -fiRhodesian Alloys Limited ..05 0.0... Limited Company Swaziland fron Ore Development a Coal Proprietary Anglo Power Collieries Blesbok Colliery Limited Limited Blinkpan Koolyne Beperk sb Natal Coal Syndicate Proprietary > New Largo Colliery LimitedLimited A Transvaal Coal Corporation Limited See ere 2 General finance | > . = : g Achem Investments Limited cree earner eben abbas eGo Lluilted Astron Investments Proprietary Coriander Holdings Limited Meenas Courser Holdings Limited Chefffical Industries Limitist : Enterprises of Southern Africa Proprietary Proprietary Limited Euranglo Proprietary > Management and P : Mean Investments Nave Investiments Proprietary Limited Pamella Trawlers Proprietary Limited Park Holdings Limited- Limited Pleach Investments Zinc Products Limited ' Industrial and commercial Anmersales A.G. ) , Bentworth Trust Europa N.V. Carditum Holdings Proprietary Limited . Li Clark and Company Limited Clay Products Limited Limited Consolidated Metallurgical Limited Consolidated Share Registrars . Conway Jolinson Limited C.T. Bowring Bowring and Associates Holdings 40,02 ; 3.051 1915 461 ; 8.800 000 8 000 3947 656 - 947 656 a: 632 632 000 053 . 000 7 500 000 . 686 4040 040 2 000 040 175 500 000 ' oy. 040 . 12.693 12.693 315 315 744 500 o 744 500 ere a. 5 1059.900 535.555 .555 305 722 305 722 & USI) * .215 873 170287 13776 287 "49,65 a noe . _ 430 190 000 700 000 700 000 000 _ 000 1356 900 . me 125.000 Be Si 30,75, . ae 14,50 2 11,17 227.500 217 553 oh19,10 23,02 : ae 500 217 C.T. Bowring and Associates Rhodesia Private Limited - ordinarypfeference pfeference . 3.7.281 ca de i} <a - a a a a | o LE : . Group g x Se . + Percentage of |. CorporatioPnercentage of Units held directors valuation 1976 Ar 1976 1975 Units held directors valuation ' 1976 1975 : 1976 1975 Transvaal Proprietary Eastern Transvaal Timber Company Limited Hall Longmore and Company Proprietary Limited * Illings Limited - ordinary-prefrence Proprietary -preference -preference International Pipe and Steel Investments Investments South :, Kiln Products Limited Africa Proprietary Limited 750 98 ) 819 -2 694 746 99 562 yore 7750 .98 732 426 694 746 99 562 ,, 6 z Soon L 7 gk 279 156 0s 562 Eiendoms McCarthy Holdings Limited Mainstraat Beleggings 1965 Eiendoms 01000 365.000 +: 1000 365 000 Middelburg Steel and Alloys Proprictary ) Limited 2. 5721 636 455 462 . Mimbula Fitula Holdings Limited ordinary -- eet 000 0 22 000 ee. . oa Mondi Paper Company - LimitLed imited - ordinary preference - ordinary nts R.F.F. Limited - =- : ~ preference - Laie Shaft Sinkers Proprietary LimitedProprietary Sigma Motor Corporation Proprietary Limited Soctvelde Farms Limited Transalloys Proprietary Limited Proprietary Limited Union Carriage and Wagon Company ( Proprietary . Zinchem and Industrial -s Mineral Resources : 3 959 8 10 000 000 470-170 5" 670 162 - 000 470 170 670 162 2 683 2 683 500 4,546 907 500 1.157.000 1157 = 4457 141 303 192 303 192 + 299 590 299 590 |, Property See 1730 - 365.000 365.000 983 - 1038 859 111 785 6.2... 785 McCarthy Amaprop InvestmentIs nvestments Limited ~ Anglo American O.F.S. Housing Company Limited Anglo American Properties Limited = Carlton Centre Limited Creative Homes Limited Limited - deferred Creative Holdings Limited ; Denniont Investments Proprietary Limited . 196 196 - 637 500 637.500 : : 5 386 839 5 386 839 9 545 840 9.545 840 =... _ 1553 857 859 702 3.693 4 196 615131 992 : 196 615 865 992 831799 EL) 03.693| = Kenilworth Main Place Proprietary Centre Holdings Limited Limited Marina da Gama Limited Limited Banking Leta 2g ; Aspella InvestmentsLimited . Company Proprietary Bahamas International Trust Central Reserves ProprietaryProprietary Limited voting Lied - nonvoting Limited .ysscsaet Commonwealth Development Finance Company Limited Limited Industrial Corporation of South Africa Limited <: National Finance Corporation of South Africa Limited : The Discount House of South: Africa Limited - - Ordinary s preference 1553 368 675 350 8 124 1 876 241 525 437 502 480 000 217.500 : 108-750 553 368 675 o 3,26 7 350 124 : 1876 8.50 . 241 525 437,502 000 217 500 133.750 1,77 caren : * - 1553 124 876 50 <, 233,050 000 480.000 217.500 108-750 108-750 553 368 AngloTransvaal Consolidated Consolidated Investment 1967/76 stock Ansa Petroleum Beperk Investment Company Limited ) 201 800 100 7 Z wot a $8) 2 _ 4 a - Statistics from the consolidated financceid al statements GB o wry < for the ten yearsto 1976' @ : Number . * of eS Issued '" : ordinary - shares 400 129.820 ws: Issued > ordinary = capital and reserves a a 2 Investments Market value ' ~ R000's 222 260 ' 212 835 R000's 616 177 - . ian Equity earnings : after taxation : 'R000's 540 540-5 Dividend ao per : shar^'toe ordinary sharet ior estas oe centcesnts on 129400 e ,.|. 237 050 co : 262299 956 1970 ' z 129 400 : 129 820 400 '253 _ 271 283 292 283.117283.117 307.335307.335 434 881 818 138 | v 688610oS 8 378 36 224 : 38.69238.692 38.692on 40970 - 129858 200 314 204 449 946 1262 094 45.3479 5.379 1973 129 889 300 a8 345 349 . 468 583 1231 57.954 : i : 300 388 834 449 710 276 603 460 fe 6 eS | 1975 131 672-300 - 439 422 825 Py 2 . 1976 : 131-725-300 131-725-300 1973 to 1967 over book value a M unlisted 1974 to1976 ~ Includes valuation over book over + investments value ve #05. 84428 : 85.992 85.992 te 3 4 g + Interests of the Group 2 i American The CorporationCorporation Group has direct and indirect interests in wide range of financial mining industrial prospecting . insurance and other companies Particulars of the principal interests of the Group are given in this sehcotldisoanstioggnieftihcearntwiitntherbersietf references8to thosecompanies in which the Group : Principal finance and investment companie6s7 3-2.. ' ~ Principal operating companies in which the Group holds significant interest 00 Gold and uranium 73 Diamonds 76 i vf Coal : # Other mining 78 a wee ; Oil and gas 82 Industry and commerc8e2 Property 88 89 Insurance banking and generalinviestment nvestment Prospecting 90 . -o u Service 90 ss sh 4oe . * " * Woy . ~ 3 3 5 Indicates those companies in which the Corporation and its subsidiaries have a direct or indirect interest of 20 per cent or more and which contribute significantly to investment income exh we Administered within the | Anglo American Corporation Group Anglo American Coal Corporation Limited Amcoal Reference to the Amcoal merger which took effect on January 5 1976 was madein the previous annual report mining Amcoalis now one of the largest coal groups in the world with a substantial investinent in the South African coal industry through its 12. subsidiary com: panies involved in coal mining and related activities Amcoal Vernig retains its cent interest in the Vereeniging Refractories Limited group whichis a major producer of refractories and allied products in South Africa The company also owns property mineral and coal rightsin thedistricts of Vereeniging in theTransvaal _ and Heilbron the Orange Free State participates in the coal prospecting programme of the Anglo American Corporation Group throughits owned subsidiary V.E. Exploratiaonnd Finance Company Limited.S Year ended December 31 1976 nek Issued capital -<. 1976 R000's 1975 R000's of 50 23 491 438 shares cents each Reserves 746 138 846 Long and medium term loans 776 assets Fixed mining and net township Investments 180 894 746 512 3 584 . 136 860 Listed - - Book value Market value Unlisted - % c ~ 860 +1488 . a . 852 1093 Book value valuation Directors valuation Equity earnings fe Dividends paid wt 4 582 138 40.513 9396 Details of Amcoal's this report principal interests appear on . an 732 837 14 866 5 349 page 77 Anglo American Corporation do Brasil : Limitada Ambras Group's Ambras was formedin 1973 to holdthe Group's interests mining : investments prospecting asociated for mineral deposits and services to associated companies Interested in investing 1975 the company acquired a 49 cent interest | in Minera^^oMorro Velho which owns a group of producing mines in the state of Minas Minas Gerais Ambras through its 40 per cent held Geologia e Minera^^So.A. Jacobina depth investigation of theJacobina Bahia while undertaking a widespread programime throughout Brazil associate Unigen continuing with its gold prospect in prospecting Anglo American Corporation an effective 60 per cent interest and its associates fold in Ambras business other than in gold and diamonds and a 68 per cem interest in its gold business the remaining interests these fields being split as to eighths Minerals and Resources Corporation Limited eights and Charter Consolidated Limited tiree eighths ay Anglo American Corporation of Canada Limited Arcan Amcan established in 1966 to consolidate the major part of the Canadian assets of the Anglo American Corporation De Beers and Charter Consolidated groups These include both direct and indirect investments in copper zinc cadmium gold silver potash chemical crude oil and natural gas production and prospecting operations Investment Anglo American Gold Company Limited Year ended December 31 1976 1976 capital Issued capital stock 929 545 shares of no par value consisting of 319 614 class 6 ~ 3 shares and 609 931 class shares Total shareholders equity Investments 5000's 5000's : to1 085101 786 085 788 Listed - 4 Book valtie Market value Equity value Market Value Unlisted - : . 660 .792 : 372 745 142761 386 = 142761142761 83 276 076 Book value Equity value Loss before extraordinary items 1975 income Net loss after extraordinary Items 1975 income Dividends paid 1008 340 379 14 166 3.972 5 702 3972 All amounts are expressed in Canadian currency currency Amican has adopted the equity method of accounting investments in effectively controlled companies this method Amcan has includedin net income of the income or losses such companies An investment company with major shareholdings in South African gold and uranium mining companies ^/nd gold Australia interestsin . Brazil mining and explorationin Australia Year ended December 31 1976 and - 1976 1975 IssuedIsued capital 952 012 ordinary shares of R1 cachi Share premium and reserves Investments Listed * R000's | R000's tw 952 952 21952 135 571 Ea At cost less written off Market value Unlisted- Unlisted- 2 . 581 140.554 612839 612839 | 774 550 . . : At cost less amounts written off Directors valuation Loans + Equity earnings Dividends paid vt oo 340 455 = 12.83G 12.83G 45 375 39514 of - * 508 5.633 578 74 680 075 The combined shareholdings of Anglo American Gold Investment Company Limited and its subsidiary com- pany Orange Free State Investiment Trust Limited at December 1976 were 3 At December 1976 Amcan's principal investments investments were as follows . Direct Per- -- Shares held centage imerest : 7 * Francana Oil & Gas Ltd percentage ownership 28,29 Gold producing Blyvooruitzicht Gold Mining > Company Limited : 700 000 7.08 Hudson Bay Mining and Smelting Co. Lytton Minerals Limited Tombill Mines Limited 7 - Whitehorse Copper Mines Limited venture Limited 38,10 33,94 50.66 16.67 Anglo AmericanAmrho Corporation Rhodesia Limited Amrho Rhodesian Amrho in conjunction with Rhodesian Group holds theRhodesian other of the Minerals Anglo American Corporation and Resources Charter Corporation Lifinited and Charter Consolidated Limited groups and has a widely diversified portfolio of provides Rhodesian investments which provides the major part of its income by way of dividends Its major investments inchide coal nickel and copper mining iron steel chrome and allied engineering industries citrus sugar procesing general agriculture forestry and timber.- processing cement flour milling rolling stock hire property merchant and investment finance In participation addition Amirho has substantial the 2 Corporation's prospecting progranume in Rhodesia Year ended June 30 1976 1976 1975 Issued capital of 14 303 shares 50 cents each Share premium and reserves Unsecured loans 000's 7.089 7.089 51.555 800 S000's . 7089 0 48412 48412 Investiments : Listed Book value Market value : : 17735 37970 37970 2 15 262 2172 Unlisted book value Equity earnings : Dividends pald 33 779 4.403 .992 436 386 _ All are amounts expreseidn Rhodesian currency Buffelsfontein Gold Mining 3 Company Limited Deelkraal Deelkraal Gold Mining Company Deelkraal Limited : * Doornfontein Gold Mining Company Limited . East Driefontein Gold Mining Company Limited : 218 0 : 478 690 751 751 888 2 6063.509 6063.509 . 20,17 8,70 an 7.655 Bie Ge 11,12 Elandsrand Gold Mining 5 Company Limited Elsburg Gold Mining Company Limited 660 193 ee 1351 Free State Geduld Mines Limited 2112 650 Free State Saaiplaas Gold Mining | '" . Company Limited 5-403 667 19,23 5-403 Harmony Gold Mining Company Limited Mining Hartebeesifontein Gold Company Limited Kinross Mines Limited . Kloof Gold Mining Company Limited '... 000 1737 700 1737 _ 413 467 2,74 2 057 7,98 Libanon Gold Mining Company Limited 100 650 e 1,27 Loraine Gold Mines Limited MiningMining President Brand Gold 424 400 ho 15,09 Company Limited 808 000 > 20,00 President Steyn Gold Mining Company Limited 500 21,416 St. Helena Gold Mines Limited Mining Stilfontein Gold Limited Company Vaal Reels Exploration and 1925 000 . 20,00 10 000 0,08 . Mining Company Limited Venterspost Gold Mining 3 106 490 : 16,35 Company Limited 33.500 0,68 Welkom Gold Mining Company Limited 2337 ' . 19,08 f . ' rN . . . : . ae e F * 1 . e 1 fe o 2 Shares held Pei- centage interest . ok SE West Driefontein Gold Mining Company Limited Western Areas Gold Mining Company Limited Western Deep Levels Limited Western Holdings Limited Winkelhaak Mines Limited 2000 134 1,052 3309 290 ~. 1569 27 800 14,20 2,61 13,24 20,94 0,23 = ZanGd olp d Ma inin ng Company : Limited 1718 13,20 : y Financial 2 Anglo American Industrial ca Corporation Limited 169 0,16 Ellaton Gold Mining Company aan f Limited 59 000 7,49 of re Gold Fields South Africa ; Limited 1776 733 10,96 ~-- Sentr^...stBeperk 40.000 40.000 0.22 +, Southvaal Holdings Limited 461 202 13,31 . . i Levels = Sia 7 Western Ultra Deep Levels Limited 434 400 28.96 . : ~! Witwatersrand Deep Limited : Limited 550 2,18 food and produce motors and transport and textiles Year ended December 33 : = 1976 capital Issued 26 845 447 ordinary shares of R each 1976 1975 R000's = R000'sR000's 0 2 8 26 45 461 Share premium and reserves Long and medium term loans Investments oon 050 179 236 862 , Listed- Listed- Book value Market value Unlisted - Book value Directors valuation 719 080 45 892 578 877 . 152 . 314 939 earnings Dividends paid - 949 370 40.9183 16 672 =>. Principal wholly subsidiary companies at December 31.1976 * : Boart International Limited . Bruynzeel Plywoods Limited Company ., Orange Free State Land and Estate Proprietary Limited . Shaft Sinkers Proprietary Limited Smith Boart Proprietary Limited and TiTimmbebr erand paper Cardium Limited Holdings Proprietary Mondi Paper Company Limited Sappi Limited Property Isipingo Property Investments Investments Limited | Terminal Properties S.A. Proprietary Limited Food and produce African Products Limited * Dewhurst Fresh Foods Limited O.K.K. Foods Limited Soetvelde Farms Limited The South African Breweries Percent- age of : issued - Shares share held 300 000 250 capital 5,00 ~ 50,00 ves 3334 320 000 . 0 33.34 ' 39,79 2,10 . 500 25,00 5 294 40,00 323 500 28000 . 250 000 8,80 25,00 50,00 18,07 ak : * , id ; . ne 2 hie x + % Lt : amen: Boowb ote H H 7wd : 3 : oe Tes ris + Property S.A. Forest Investments Limited Limited - 7 per cent debentures * 70 000 _- Limited Carlton Centre . * ordinary ~ 8 per cent fully paid first mortgage convertible debentures 1979/96 50.000 50.000 L R1000000 0,18 = Scaw Metals Limited The principal investments * December 1976 were : of | the Amic group at Percent- Percent- The Tongaat Group Limited Textiles Industex Proprietary Limited _ Romatex Limited 1031 6.33 : 217 900 37.45 | 2,87 * Prospecting Anglo American Corporation => do Brasil Limitada 745 391 Austr^lianAnglo American American Searches Limited Limited Boskop Areas West Wils East Rand Gold and Uranium Company Limited - CLoimpmaniyted Mining Goldridge Gold Company Company 020 200 200 200 Investments Warbler Limited - Proprietary Proprietary 000 bd 20,00 2.40 20,00 12,00 . |... .20,00 a . Building and aalllliieedd indinudussttrireis es Building and M.V. Houtprodukte Eiendoms Beperk Freigahndt travel Freight Services Holdings Limited Iron steel engineering and Shares held 674 : 000 : 1026 issued share capital 37,98 50,00 265.40,34 . Motor and transport 5 . Sigma Motor Corporation Proprietary Limited 3 McCarthy Group Limited ~ McCarthy Holdings Limited | 7013 940 38,05 12,13 | 500 25.00 . The 1976 figures are subject to final audit : Anglo American Investment Trust Limited An investment company with shareholdings iin n De Beers . Consolidated companies Mines company Limited and certain diamond trading companies Fifteen Year 2 ; * . related industries Other *Other Anglo De Beers Forest Services Lesotho Limited Cape Verde Proprietary Limited City of Welkom local registered Est^ck 1995 41 cent Jeannette Gold Mines Limited = ordinary - Limted R1 convertible notes Meadow Investments Limited Mulga Mines Proprietary Limited The Afrikander Lease Limited | i=. 2 -28,57 10 10,00 ve R500 000 | z we 1963 002 25,04 972 20 000 520,00 520,00 - - 1028 298 7 25,04 520,0 520,00 15.28 Consolidated Metallurgical Industries Limited a Hall Longmore and Company ae Proprietary Limited 16 . Highveld Steel and Vanadium Corporation Limited Ey and International SteSe tel el Investments S.A. Proprietary Limited C shares L. Clark and Company Limited Eiendoms Beleggings 1965 Stewarts Lloyds Africa participation right The South African Land & Middelburg Steel and Alloys Exploration Company Limited Limited 1058 496 16,04 _, * Proprietary Limited : Unisel Gold Mines Limited in 817 600 ef 2,92 activities of Anglo : & of South 20 per cent in the gold Limited American Corporation do Brasil Limitada Ambras directly . Meadow e ihrough Ambras and indirectly Investments Investments through Limited Union Carriage and Wagon Company Limited The Union Steel Corporation : oR rs 000 * 10,00 : : :! 1,79 : -5 493 050 an . 8,11 a 757 180 001 .: 5,33 ': 20,00 861.649 861.649 " . 189 492 : 4,17 3,84 3,84 : 1.36 : 5 ar : a ordinary shares- Issued capital ordinary a) shares-000 000 six per cent cumulative prefeprefrerenece ncpreefeeraenccehsharess- hare2s 500000 Distributable reserves : Investments At cost Market value : : Unlisted . Directors Equity earnings earvningas luation months ended ended December March 31 fi 1976 R000's R000's 1974 R000'sR000's 5'000 vy 6: 5.000 : : 5,000 5 000 26917 : 4 be 394 528 308-505 224 . , + 50 6.960 .40 972 49 441 Anglo American Industrial Corporation. Limited Amic Amic was formed to consolidate the industrial holdings the Anglo American Corporation Group The corporation's subsidiaries operate in the fields of mining tools equipment and contracting services iron steel and engineering forestry saw milling and timber those processing processing undertakings investments its Amic in and also holds a large portfolio of complementary to those of involved in industries in paper and freight and travel chemicals construction of South Africa Limited - Vereeniging Refractories Limited Zinchem and Industrial -- Mineral Resources Proprietary Limited Industrial finance 3.800 000 786 000 13,10 15,72 . ro 762 ' 4,03 a the DividendsDividends earnings DividendsDividends paidpaid ordinary 8 7 500 ordinary been The financial year end of the company has been changed from December 31 to March 31 March 31 were The company's investments at 1976 29.000 : as Barlow Rand Limited De Beers Industrial Corporation Limited equipmenatnd Mining wols ~ contracting services Longyear Iberica S.A Mimbula Fila Holdings Holdings Limited 000 1,16 | ols follows 2 nS : 000 -26,36 . tle Me 925 -. 50,00 000 18.03 | > Abrasive Grit Sales Limited - A shares Anglo American Industrial Corporation Limited Shares held : .21 600 .590 625 Percentage interest . 12,00 og 2.23 : t ad 7 Beg . . fa ea 4 a os F y Py . ~ tr o . s 5 iy) ce 4 0 a > . con a . + Boe a Per- ' D Shares centage held interest De Beers Consolidated Mines Limited - deferred shares The Diamond Purchasing and 94 857 330 26,36 Trading Company Proprietary Proprietary Limited 419411 16,78 The Diamond Trading Company Proprietary Limited Industrial Distributors 1946 500 000 t 50,00 Limited - ordinary shares 330.000 330.000 -five -five per cent cuimutative participating preference shares Industrial Grit'DistributorsGrit'Distributors 150.000 Shannon Limited 0 a. cae mo 28.000 28.000 2 Anglo American Properties Limited Aniaprop Amaprop is a property finance company with a diversified spread of investments both as to type and geographical location It has inf^rests in centre office and shopping complexes hotels medicalsuites parking garages and residential and holiday apartment blocks In addition it hasland holdings and township develop in ments the Transvaal Natal and Cape Province Thirteen Year months ended ended March 31 February - 28 1976 1975 Issued capital ordinary shares 20 807 283 of 50 cents each deferred ordinary shares- shares- 10 668 000 of 50 cents each R000's 10403 5.334 ROOO'S 10401 5334 seven per cent cumulative convertible redeemable - preference shares 429 433 50 cents each 50 Share premium and reserves _ term loans . Fixed assets 4 15715 12'461 757 65 641 720 12456 43.881 62060 62060 Investments Listed Book value Market value 001 651 1001 751 Unlisted = Book value Directors valuation buildings Loans Township land and> attributable Loss atributable shareholders to ordinary Accumulated loss 619 537 2917 541- 769 4.673 11 852 11752 563 673 161 3.977 year enodf the company has been changed to March 31 of Amaprop's interests may be fofund ound on page 88 of this report Australian Anglo American Limited 1971 The company was formed in the purpose of seeking investment opportunities particularly in mining engaging the search for mineral deposits issued capital is held as 55 per cent by Anglo American Charter its American Corporation and Consolidated Limited associates 15 per cent by and 30 per cent by Minerals and Resources Corporation Limited Exploration programmes are being conducted in every Australian state Papua New beingGuinea and New Zealand subsidiary Proprietary A Mulga Mines Limited holds an approximate 74 per cent interestthe Blue Spec gold and antimony mine at Nullagine Western Australia which has been reopened and came into production inc the first half of 1976 Australian Anglo American administers the following prospecting companies Australian Anglo = Prospecting Limited companies Australian Australin Anglo Limted Anglo Searches Limited Ventures Limited and Australian American Ai^-erican American Year ended June 30 1976 Issued capital AS18 000 000 in shares of 50 cents each Minerals and Resources Corporation Limited Minorco Minorco which is domiciled in a Bermuda Is finance and investment company with substantial investments in copper base metals and oil Year ended June 30 1976 Issued capital ordinary sliares - 31 of BDS 1,40 each 41910618 A ordinary shares of 1,40 cach eS 668 899 41910618 41910618 deferred shares - 572 of BDS each Share premium and reserves Loans Ge ; iy500109'7s6 44 336 675 12 250 847 206 1975 000's M ~ 44.336 58 675 12 251970 17 227 Investments ; Listed - . 3 Book cost 229 225 Market value i Unlisted less amo^"ms written off >: * 363 203 '. 81 876 279 638 796 - off Loans less amounts written Equity earnings net Transfers from reserves Dividends paid 20 425 944 1595 7835010326 7835010326 970 10.434 1424 7835010326 7835010326 * Issued capital is expressed in Bermudian currency and all other amounts in United States currency Affordinary the On October 1976 into ordinary shares Affordinary shares were converted Minorco The major investments of ' andits subsidiaries at June 30 1976 were Percentage interest Chemicals Engelliard Minerals & Corporation Inspiration Consolidated Copper Company - Trend International Limited 30,34 14,96 43,15 Z^mbiaCopper Investments Limited 49,98 Rand Selection Corporation Limited A finance and investment corporation with interests in gold and uranium diamond copper and other base financial metal coal platinum insurance band property companies industrial Year ended September 30-1976 1976 1975 & RODO'S R000's Issued capital - 42 ordinary of 50 shares 42 250 152 cach 30 preference shares - of R1 each 000 000 Share premium and reserves reserves . Loan capital 125 30.000 252 110 002 887 30.000 30.000 244 505 .59 143 Investments Generalinvestments Listed- ListedBook Value 216310 1976 31975 | Market value R000's 532 583 R000's 677 173 Unlisted - Book value 76 783 93255 93255 Directors valuation 109 798 118 235 Life insurance 499 489 416 Property creck Loans less provision Equity earnings Dividends paid- ordinary * After deducting excess of written sidiary companies overbook value down of net 5 707 - 45-621 37 642 27.463 5.765 36 592 101 > 536 cost of shares in subassets at the dates of acquisition Loan capital at September 30 1976 6 cent convertible loon 1986 10 per cent unsecured registered debentures 1983/97 --: Loans for investment abroad R000's 14311 000 779 - 090 investment At September 30 1976 the general investments of the corporation and its subsidiaries were spread as follows Value of investment = - percentage *, 1976 1975 By prime source Mining prime gold and uranium - diamonds . - copper - platinum coal ! - other Industrial Property Financial 2 Geographical South Africa 43 58 43 58tvSu 10 |S16 | 10085 is . 88 8 8 Rest of Africa - south of equator Europe North - America Australia _ Rest world enw 8 | 100 100 100 Percentage : Percentage ' Units of market LISTEDS finance Mining and investment Anglo American Corporation of South Africa Limited held Value 36,75 005 7,81 Anglo American Gold Investment Company Limited= Botswana R.S.T. Limited 832 460 722 057 19,05 0,12 > General Mining and Finance | Corporation Limited Africa Gold Fields of South | Limited Johannesburg Consolidated Investment Company Limited * 27 674 0,13 178 188 0,48 1812 7,11 Metals and Minerals Investment Corporation Limited 2 1176 0,53 Minerals and Resources Corporation Limited U.C. Investments Limited Gold mining 2.177 362 291 1,37 0,15 23,61 1. Witwatersrand and East Rand _ * Bracken Mines Limited 512 0,70 0,01 Durban Roodepoort Deep Limited 5.000 5.000 0,01 East Daggafontein Mines Limited 259 505 0,01 69 vo : ann i - f : . * . y mos, 7 2 . i . 4 : a Ms 7 _ : B a . . . . ihe Es . Ns i t Hudbay's Centennial mine near Flin Flon Manitoba Canada Development at this copper mine was started in 1973 a roduction is to scheduled begin this year Entrance to the mine is via a decline to an internal ska~...i leading to the orebody which is below Lake Athapapusk^wAll services are installed underground conveyor including a 600 metre conveyor to move rock from the top of the internal shati to the ore bin = 4 . we cal = e 7 . : * . : & + fs 70 7 : : Percentage Units of market held value . ca ke . . . o . Grootvlei Proprietary Mines Limited Kinross Mines Limited Leslie Gold Mines Limited 300 900 120 389 21 842 0,06 0.08 ~ ) ~ The South African Land & a Explotation Company Limited 183 413 0.05 VlakfonteGiolnd Mining Company Limited Winkelhaak Mines Limited 2. West Rand Bullelstontein Gold Mining- Company Limited Deelkraal Gold Mining Company Limited 10.000 369.227 369.227 - o 0.48 17,01 4 - 851 174 140 eo 159 0,05 i , East Driefontein Gold Mining = Company Limited 70965 0.11 Elandsrand Gold Mining Company Limited : 2.080 630 . 1.00 Elsburg Gold Mining Company Limited 785 0.17 os ; Hartebeestfontein Gold Mining . 808 151 1.99 2 Company Limited : : . Southvaal Holdings Limited 943477 0,94 rsa sy 2 . a Vaal Reels Exploration and Mining Company Limited 1416618 2 3,79 ~ Western Areas Gold Mining Company Limited o Western Deep Levels Limited 651 829 3813578 0.23 7,07 Zandpan Gold Mining Limited 633995 0,26 3. Oragage Free State ' 5,90 Free State Geduld Mines Limited 145.22 219 * 0,44 a : Free State Saaiplaas Gold Mining - Company Limited 1425493 0,45 Loraine Gold Mines Limited 4440472 4440472 0.11 9 President Brand Gold Mining : Company Limited 477-104 477-104 Presidem Sten Gold Mining Company Limited St Helena Mining Company 1.501 584 mot Limited : 44.050 exe $ 1,33 i 2,31 0.12 Welkom Gold Mining Company 6907550 0.36 Limited * Holdings Western Holdings Limited 194 724 0,78 Diamonds : = 11.20 2 -Anglo American Investment Trust Limited F . 1078 878 o 7,19 Beers Consolidated Mines Limited mining 6053733 6053733 4.01 2,87 Copper and oilier mining a The Afrikander Lease Limited 356 0.70 The Messina Transvaal Developmem Company Limited 207 0,24 Rhodesian Nickel Corporation Limited 354 300 1.46 Shangani Mining Corporation Limited ki Tanganyika Concessions Limited 770921 50.000 50.000 0,40 0,02 Zambia Copper Investments : Limited Platinum : 608 202 0,05 o 3.23 Lydenburg Platinum Limited 342.000 342.000 0,09 Rustenburg Platinum Holdings ' Limited ; 8647 825 Coal : Anglo American Coal Corporation Corporation Limited os 4079 289 5,21 Apex Mines Limiteit .84.67 0.24 = Natal Anthracite Colliery Limited 216 871 0.18 Natal Coal Exploration Company . Limited 200.000 200.000 0,01 . we . ; fale _* OAS Percentage a Units of market Corporation Trans Coal Limited te Vryheid Coronation Limited held 13961 13961 .157 714 v^/lue 0,01 0,06 Zuinguin Natal Collieries General finance Limited | 292 First Union General Investment ty ' 0,09 0,38 as) Trust Limited- Limited- ordinary 7 3 382 385 0,34 -preference -preference New Central Witwatersrand Witwatersrand 221 100 0,03 Areas Limited Industrial and commercial & * Anglo American Industrial 31.567 x 0,01 12,27 . Corporation Limited 22> Barlow Rand Limited gar Chemical Holdings Limited 753 15333 264 ae 6,51 2,78 t ~ ordinary 252 0,06 ~ unsecured convertible Gallo Africa Limited 5; Highveld Steel and Vanadium Corporation Limited 188 947 -149.573 -149.573 E w 345 796 0,04 0.03 : 1,62 |, Johnson Matthey Mathey and Company Limited : 333 0:23 L.T.A. Limited Limited 7, 1 267 282 0,33 McCarthy Group Limited Romatex Limited South African Eagle Insurance 1052 876 340 000 0,12 0,07 Company Limited 152 800 2 0,05 Hollandstraat ses Beleggings Eiendoms Beperk Kestrel Investments Limited held valuation valuation 347 329 381 os, Proprietary ellings -ordinary Limited - preference Proprietary Merlin Investments Limited Osprey Investments Limited Peregrine Investments Limited Rochar Holdings Limited Western Ultra Deep Levels Limited Gold Mining Jeannette Gold Mines Limited Copper and othermining Cleveland Potash Limited Consolidated Metallurgical Industries Limited 496 995 055 1992 737 1992.737 ~ 840.979 158 900 879 515 778 41 667 a International Pipe and Steel Investments ' South AfricaSte l Proprietary Limited 1 Kiln Products Limited McCarthy Holdings . Limited 5 MEaiiennstdroamatsBBeelpeegrgikngs ( 1965 1965 e Middelburg and Alloys * 3,65 S Proprietary Limited h Mondi Paper Company Limited Limited Company Company { R.F.F. . - preference ! Messina Rhodesia Investments Limited 152 861 Proprietary Shaft Sinkers Limited Rhodesian Alloys Limited 107 936 i SoetveldeFarms Limited thodesian Vanadium Corporation Limited Swaziland Swaziland Iron Ore Development Company Limited Corporation Development 6 250 605 981 Union Carriage and Wagon Company Proprietary Limited Unionmod Buildings Proprietary Limited . Tsumeb Corporation Limited# 95 000 Zinchem and Industrial Mineral Percentage of Units directors held valuation 2063 428 1324 1664 500 182 500 360831 977 . . 235 084 335 078 000 701.000 701.000 . 151 584 30 160 Stewarts & Lloyds of South Africa 800 Coal Holdings Proprietary Natal Limited 9 7 pb 679 : 0.10 Ingagane Colliery Television and Electrical # Limited Limited : Tiger Oats and National 121 413 - 0.03 Coal Syndicate _ Milling Company Limited ) . *S Tongaat Group Limited Coliery Braakfontein ) The Union South Africa Stel Corporation ) Limited Limited : Vereeniging Refractories 5.63920 .353 958 250 700 :7 43 200 te 0.09 0,17 0,02 0.02 Proprietary Limited Roy Point _ Colliery Limited 7 General finance ae Achem Investiments Limited Property Limited Anglo AmericanAmerican Properties preference 038 699 8 059 Banking om : -- Barclays National Bank Limited Rhodesian Acceptances Limited * * Standard Bank Investiment 070 750 000 Lie ke Proprietary SouthernAfrica ~ Limited Engelhard Corporation Limited 310219 Proprietary i Resources Property Limited 114 598 Amaprop McCarthy Investments Limited Anglo American Properties Properties Limited - deferred : Carlton Centre Limited Creative Homes Creative Holdings LimitedLimited Dennehof Court Proprietary Proprietary Limited > Main Place Holdings Limited Sundry Anisa Petroleum Beperk . Edesa Soci^'t^A'nonyme A.G. Holding - 98 660 428 405 352 351 . 40 191 . ; 601 ~ S a .400 0,17 100,00 Sundry Rand Mines Limited l> oan stock Other minor holdings 189 683 Linited 10.18 Epoch investments Limited 100,00 Euranglo Proprietary Limited Management Technical Services Limited Percentage Mean Investments Limited Nave Investments ProprietaryProprietary Limited 150 000 Zambia Copper Investm Investments Limited ZCI ZCI which is domiciled in Bermuda is a finance and investment company with substantial investments in ' 200 000 \ copper and base metals . 6 100 YG nded June 30 1976 ; 750 | Issued capital . 1976 S000's . 1975 000's 2 7 UNLISTED Mining finance and investment Anglo American Corporation Botswana Limited Aniuersales A.G. ao Anglo American Corporation Corporation Rhodesia Limited > Anseld Holdings Proprietary Limited Australian Anglo American Limited ~ Limited Cubit Holdings Limited Denniont Investments Limited Limited Falcon Investments Limited , Hawk Investments Limited 44 444 20 thee ., 437466 1.050 s 6 600 000 L, 267 1855 2066 454 952 381 62,96 Pamelia Trawlers Limited Trawlers (Proprietary Park Holdings Pleach Investments + Industrial and commercial Bentworth Europa N.V. J.L. and Company Limited Sciences Sigma - Proprietary Limited Conway Johnson Limited Dewhurst Fresh Foods Limited Eastern Transvaal Timber Company Proprietary Limited Hall Longmore and Company Proprietary Limited Company 25 .76 500 20718 300 525 334 095 570 32 800 15 264 ec ordinary shares 122 559 866.0f 866.0f Bernindian cents each deferred shares 000 of 24 : 24414 24414 24414 29414 Bermudian cents each Share premium and 2 12 12 reserves Investments 261 534 261.383 ListedL-isted- At cost Market value Unlisted al cost Loss 1975 profit 2. _ Dividends paid a 334 87528 174 448 331 28 334 14918 174421 15 850 4.902 Issued capital is expressed in Bermudian currency and all other amounts in United States currency 71 > a f ae - = 1976 1975 The major investments of ZCI and its subsidiaries at June 30 1976 were Percentage : interest i Nchanga Consolidated Copper Roan Consolidated Mines Mines Limited = Limited- 3 Zamatiglo Exploration Limited oe 49,00 12,25 58.75 Mwinilunga 1970 Limited Kalahari Investments Limited 41,83 39,40 Through Kalahari ZCI field an indirect equity int^'rest of 11,75 per cent Botswana RST Limited BRST Following . Kalahari's deregistration in March 1977 ZCI's interest in BRST is now held through a wholly subsidiary 2 - . the Anglo American Corporation . of South Percentage , held > Africa 10,0 Consolidated profit after tax > Minority Minority interest , R000's ..226 337 001 R000's 226 6 485 6.084 Limited Anglo American Investment Trust Limited Australian Anglo American Limited Beralt Tin and Wolfram Limited Botswana RST Limited pot 10,0 15,0 46,3 4,5 Profit attributable to De Beers Deferred dividends = 308 516 926 220077 507 After deducting panies over book excess of cost of shares in subsidiary comvalue of net assets at dates of acquisition Cape Industries Limited Cleveland Potash Limited Minerals Resources Corporation Limited Rustenburg Platinum Holdings Limited Selection Trust Limited Soci^'t^'Mini^rede Fungurume o Tronoh Mines Limited Union Corporation Limited . a 10,0 outside outside Corpation Administered Administered American the 4 Corporation Anglo American Corporation Group Charter Consolidated Limited finance a Charter a United Kingdom mining finance company wolfram operating internationally with interests in gold diamonds copper tin and wolfram platinum potash and other minerals It also has important industrial De Beers Mines Limited De Beers Consolidated The principal activities and interests of De Beers are the the mining of natural diamonds manufacture of syn- thetic diamonds The marketing of diamonds produced by the group and by other producers and a portfolio of investments outside the diamond industry Details of the group's operations may be found on pages 76 and 77 of operations or. this report interests Based on the stock exchange listed exchange value of listed invest- direct ments and the directors valuation of unlisted invest- ments the company had investments to a total value of 255 606000 March 31 1976 1975 303 863 000 The following is an approziniate geographical analysis of those investments which takes into consideration interests and where possible major indirect interests in : the areas concerned none Percentage of invest United Kingdom Rest of Europe North | South America "> South Africa Zambia =. COOO's Percentage | 25.337 12478 46948 100552 16959 ment income Year ended December 31 1976 8 Issued capital 40 per cent cumulative preference shares - 800 000 of R5 each less 4 481 shares held by subsidiary companies . eight per cent cumulative second preference shares . 2866 of R1 each deferred shares - 359 789 042 cents each and share premium . Long liabilities 3. Minority interests 1976 R000's 1975 R000's 3.978 : 3.978 2.867 2.867 2 867 17989 17989 989 an 1067 41 443 920 42.310 107 300 . . 690 1241 477 1036 660 Rest ofAfrica 22.178 South Asia 9 507 Australia 647 255 606 ended 31 March 1976 * Issued capital shares 792.981 792.981 shares of each | fully paid and 326 500 shares of 25p each Ip paid up Share premium and reserves Long indebtedness and 1976 000's . 000's 26 202 185.743 26.201 171 349 53.553 432 ' Diamond mining and trading ~ assels hand Diamonds on handat cost ~ 9: 5 Mining companies Other companies Investments Book Listed Book value Market value Unlisted-UnlistedBook value Directors valuation Long loans '. Net current assets 2 > Other | 824 . = 128 -26 690 @ 200 474 2 274 267 088 225 062 618 HW 342 308 377 116993 133-411 153 218 157316 157316 791 343 995 : + 75 285 138 337 144 639 1241477 1241477 1036 660 5 795 Market value 192.191 247 617 Diamond account 451.543 216 Unlisted - . S and dividends on At cost Directors 7 valuation Equity earnings Dividends paid on 57 814 .54 754 investments 415 - 56 246 Royalties and other revenue 20 243 17 206 507 Surplus realisation : 7081 of investments All amounts are expressed in United Kingdom currency . . interest 624 13.833 13.833 795 Tala : 146 562 146 - 323.004 323.004 Ai March 31 1976 Charter's principal direct and indirect investments were as follows . a Percentage held Less Prospecting interest and . other charges Conslidated profit before tax 36.778 519,916 226 Anglo American Corporation do Brasil Limitada Anglo American Corporation of Canada Limited -11,6 24.8 government's mining leases 182.915 182.915 60065 72 Principal operating companies in which the Group has a significant interest . 2 a a Gold and uranium 1976 of 000 transferable unsecured interest- bearing redeemable and convertiblefiotes - 1979 in anits of kc^ch ORANGE FREE STATE Administered by Anglo American Corporation Freddies Consolidated Mines Limited Year ended September 30.1976 1976 1975 Issued capital : 1000 shares of R2 each - #held in equal proportions by Free State Geduld Mines Limited and Western Holdings Limited 000 R2000 R2000 Tous milled 983 000 778.000 778.000 Yield + grams 5.40 5.36 Cost per ton milled R20.39 R19.15 Working loss 1975 profit ~ R2 607 000 R2 163 000 Planned production for the year ending September 30 1 100 000 Grade 7,0 grams per ton Planned capital expenditure R1,300 000 Free State Geduld Mi^-eLimited Year ended September 30 1976 1976 1975 Issued capital 000 000 shares of 50 cents each Tous milled Yield - grams Cost per ion milled Working profit Taxation and State's K5 000 000 2 104 000 a 16.38 R19,91 R73 332 000 000 000 .2 000 16,68 R14,98 R108 925 000 share of profit Dividends paid R38 000 R20 000 000 R71 258 000 R33 000 000 The capital of Freddies Consolidated Mines Limited is held in equal proportions by the company and Western Holdings Limited Planned production for the year ending September 30 1977 Tonnage 2 500 000 Grade 14,7 grams per zon Platined capital expenditure 000 000 000 which excludes an amount of R10 000 000 to be spent on the metallurgical complex s Mining Gold Gold Free State Saaiplaas Mining D Company Limited D Subsidiary of President Brand Gold Company :, Limited Year ended September 30 1976 . Be 1976 1975 Issued capital 28 000 shares of RJ each Tons milled 100000 100000 18193.000 18193.000 ' R28 100 000 084 000 Yield = grams Cost per ton milled Working loss 1975 - gold Uranium profit Dividends paid- profit 3.26 R15,71 R5 001 000 R128 000 oe 4,41 R13,89 R3 109 000 R26 000 RI 686 Planned production for the year erading Sergember 30 1977 Tonnage 200 Grade 4,0 grams per ton In addition the company will treat 000 tons ore a month from President Brand a toll basis Planned C capital expenditure amount of R300 complex R8 500 000 to be spent which on the excludes an metallurgical Jeannette Gold Mines Limited Year ended September 30 1976 Issued capital R7 839 000 in shares of RJ each suspended -The company the end of 1955 mining mining operations towards the directors decided in the light of the - of gold to proceed with a limited exploratory drilling programime in the western two- drilling thirds of the company's lease area The programme startedin April 1974 and stillin progress is Available borehole results in respect of the current current programme are generally poor to average but some isolated results have proved more encouraging No general conclusion can drawn from the results this stage Following a rights offer to members the company has raised additional funds of R603 000 from the issue in President Brand Gold Mining Company Limited . Year ended September 30 1976 Issued capital 1976 1975 14 040 000 units stock of 50 cents each R7 020 000 R7 020 000 Tons * milled 2 967 000 12,98 2 889 000 13.87 Cost per ton milled Working profit Taxation and State's share of profit Dividends paid R19,56 R70 700 000. R22.721 000 R23 868 000 R16,79 R98 110 000 R53.898 000 R35 100 000 Saaiplaas Includes company's 506 600 1975 515 800 tons treated on the behalf on a toll basis by Free State Gold Mining Company Limited Planned production for the year ending September 30 1977 Tonnage 3 000 which includes 540 000 tons to be treated by Free State Saaiplaas Grade 10,5 grams per ton Planned capital expenditure R9 500 000. In addition an amount of R29 500 000 is to be spent on the metallurgical complex Limited President Steyn Gold Mining Company -Year ended September 30 1976 1976 1975 capital Issued a . 14 000 000 shares of 50 cents each R7.000 000 R7 000 000 Tons milled 593 000 2 636 000 Yield grams Cost per ton milled Working profit Taxation and State's 10,52 R22,21 000 : 10,89 R18,57 = R56 000 share of profit R523 000 = R23 707 000 Dividends paid R6 300 000 R17 500 000 Planned production for the year ending September 30 1977 Tonnage 3'600'000 Grade 9,2 grams per ton Planned capital expenditure R20 000 000 per which be spent excludes an amount of R10 000 to metallurgical metallurgical complex on the % at Welkom Gold Mining Company Limited Year ended Septeniber 30 | 1976 Issued 1976 o Issued capital 12 250 000 shares of 2 1975 50 cents each | . Tons milled R6 125 000 2101 2101 000 R6 125 000 2.096 000 - Yield grams Cost per ton milled Taxation and State's 6,28 R18,40 R6 085 000 7 ; 6,70 R16,30 ' R18 243 000 share of profit = Dividends paid R389 000 R1 837 000 R8 064 000 R6 738 000 Planned production for the year ending September 30 1977 Tonnage 2100 000 Grade 6,2 grams ton Planned capital expenditure R3 000 000 which excludes metallurgical an amount of R300 000 be spent on the complex > Western Holdings Limited | >... Year ended September 30 1976 : 1976 Issued capital of 7 496 376 shares 50 cents each R3 748 000 1975 R3 748 000 3 s 73 aot o - Tons milled 1976 * 974 000 _ 943 1975 943 000 - Yield grams Cost per ton milled Working profit Taxation and State's share of profit 0 Dividends paid 12,70 R17.54 R75 000 14.01 - R14.95 R106 442 000 1 G R50 228 000. R23 000 R69 918 000 R35 608 000 Thecapital of Freddies Consolidated Mines Limited is heldin equal proportions thecompany and Free State Geduld Mines Planned production for the year ending September 30 1977 Tonnage 000 Grade 12,3 grams per ion Planned capital expenditure R4 800 000 which excludes ar^ amount of RI 200 to be spem the metallurgical complex Administered by other mining finance houses : Bg Harmony Gold Mining Company Limited : 1976 Year ended June 30 IssuedIssued capital of 26 884 650 shares ; 1976 1975 = 325 R13 442 512 000 5.26 R13 325 5.160 000 5.160 6,01 R15,00 R12,77 913 0005 R46R46 085 000 R14 818 000 R2451000 R2451000 Taxation and State's of prolit Dividends paid R3 462 000 475 000 R13 000 R20 701 000 The above figures owned subsidiaries subsidiaries Merriespruit Orange Free State Gold Mining Company Limited and Virginia Virginia Free State Gold Mining Company Limited Company : Orange Loraine Gold Mines Limited I Year ended September 1976 - . : S 1976 1975 Issued capital + 16 066 986 shates of an we * RI each R16 000 R16 067 000 Tons milled Yield grants Cast per ton milled 123 1123 000 6,6 R28.00 1.17.0 1.117.000 . 7.5 R2272 R2272 Working loss 1975 profit Profit tiranium 455 000 RZ 87.262 000 and pyrite + Dividends paid R147 000 _ R11.0005 R11.0005 R964 000 The company lias an assessed loss for taxation purposes estimated at R29 500 000 at September 30 1976 -Planted production for the ending September 30 1977 Tommage 1500 Grade 6.6 grams per ton Planiied capital expenditie R3 250 000 St. Helena Mines Limited Year ended September 1976 1976 Issued capital 9 625 000 shares R each Tons milled of ', 000 625 260 Yield - grams 11.53 1975 : R9 625 000 246 000 = 11.30 ye 1976 & 1975 Cost per ton milled Working prolit Taxation and State's share of profit Dividends paid R13.43 R59 000 . R26-216000 R26-216000 R16 000 RELGO - -R66 000 " R39 000 R24 000 In terms of an agreement entered into between St. Helena and Unisel Gold Mines Limited under which St. Helena will develop and operate a new mine on behalf- of Unisel St. Helena will provide housing employees railway facilities and reduction capacity to handle the ore from the Unisel mine The capital cost been estimated at approximately R9,3 million spread over four years St. Helena will recover remuneration based on capital expenditure incurred and on tonnage milled once the new mine comes into production in 1978 A new reduction works is being constructed at an estimated cost of R23,8 million of which some R6 million is requirements attributable capacity to meet of the agreement with Unisel programme is scheduled for completion in 1977 the The s -Unisel Gold Mines Limited Year ended September 1976 Issued capital R23 136 000 in 28 000 000 shares of no par value Q Bs The company was incorporated in 1972 and to take cession of a mining lease over a portion of thefarm Jurgens Hof in the Ventersburg district of the Orange Free State agreement has been entered into with t Helena Gold Mines Limited under which St. Helena will develop and operate the new mine on behaloff Unisel At September 30 1976 the shafi had reached a depth of 1433 metres 572 metres short of the final depth of 2005 metres It is expected that ore should be fed to the mill during the last quarter 1978 building up to full * production in 1979 FAR WEST RAND KLERKSDORP Administered by 7 D8 Anglo American Corporation :.. Elandsrand Gold Mining Company Limited - The company incorporated in 1974 and | is establishing new gold mine in the Oberholzer Potchefstroom districts Transvaal covers an area of 2619. hectares The ; mining * lease L By the end of the year under review the men and materials shaft had been sunk to depth of 609 metres lilst the rock and ventilation shaft was 1.292 metres deep The mine is now expected to come into production forecast byThe beginning of 1980 compared with the previous of early 1981. Net capital expenditure from the the inception company to the end of 1976 amounteds to million Actual net expenditure for 1976 was R28.142 000 and for 1977 is estimated estimated at R41 000 Year ended December 31 1976 1976 81975 Issued capital & ey. 22 365 700 shares of distributable R000'S - RO00's 473 4473 5 1975 share premium assets Mining 117 53 250 56117 25 108 R2,20 a share and it presently has in issue a total of 825 shares It will be necessary to raise further 3 funds before 1980 : 1 Southvaal Holdings Limited Limited Vaal Reefs Exploration and Mining Company Company ' mines an area south of the Vaal River terms of an arrangemem under which Southvaal Holdings Limitedis to be paid a royalty equal 55 cent the profit fromi gold and uranimi before tax deducting interest and loan repay^finents due to Southvaal Holdings and amounts appropriated for capital Reefs Reefs within the area Year ended December 1976 : . expenditure 3 ; 1976 by Vaal e 1975 . : ROOO'S Issued capital e 50 000 000 shares 50 Distributable reserve Profit ^tetraxation paid Dividends . cents eachi 13.000 am a 1 13.000 335 543 560 - ROOO'S 13.000 13.000 352 -2.723 2080 Afrikander The Lease Limited The company owns certain freehold rights and mineral a rights over uranium areas in the Klerksdorp district of the Transvaal which could be mined eco- nomically in the event of significant increase in the uranium price has been decided to proceed witha detailed feasibility study determine whether or nota ^' viabl~ uranium mine can b^established The results of this study are expected expected of 1977 which ahead possible whether not to to be available in the second half time it should be to decide go with the mine order to 74 ae wee wo * o a a a Administered by other mining finfanceinance houses s Blyvooruitzicht Gold Mining Company Company Limited Year ended June 30 1976 Issued capital 24 000 shares of 25 cents each Tons milled Yield - grams Cost per ton milled Working profit gold Working loss 1975 profit - uranium Taxation and State's 1976 : - 1975 R6 000 000 2 R6 000 000 - 1945 000 1908 000 12,79 . 14,40 R19.60 2... R16,71 R50 000 R67 000 5 R222 000 . : : R636 000 B46 - 1976 R000's 1975 ROOO'S Dividends paid 2.945 10209 The company owns 48,7 per cent of the equity of Western Areas Gold Mining Company Limited the results operating of which are as follows 1976 1975 , Issited capital 40 306 950 in stock a units of R1 each Tous milled Yield - grams per * Cost ton milled * Working profit Taxation Dividends paid R40 000 3.585.000 3.585.000 6,37 R17.22 R16 383 000 R2 000 046 R40 000 3.447 000 6.55 R15,56 R30 000 R2 000 R20 960 000 share of profit Dividends paid R24 000 R18 000 R39 608 000 R24 000 000 - Mining Hartebeesifontein Gold Company Limited | Buffelsfontein Gold Mining Company Limited Year ended June 1976 = Year ended June 30 1976 a uv Issued capital : 1976 a 1975 finance the feasibility study and to repay certain unsecured loans Afrikander Afrikander raised R3,26 million by second way of rights issue during the 1 half of 1976 Vaal Reefs Exploration and Mining 2 Company Limited 5 Year ended December 31 1976 11 000 000 shares of . RI each R11 000 000 milled 172 000 grains 9,31 ton milled R21.46 profit gold Net profit ~ uranium R36 731 000 . pyrite and acid R5 482 000 Taxation and lease R1 000 000 3 000 9.50 R19,26 R48 156 000 R2-129 000 Issued capital 19 000 000 shares of 1976 * . 1975 . payments Dividends paid R20 804 000 R13.750 000 R24 606 000 R19 800 000 Issued capital 11 000 shares of 1976 | ie 1975 RI each Tons milled aa Yield grams Cost per ton milled Working profit gold Taxation and State's RII 000 840 11,4 R22,03 R53 938 000 : a R 000 000 11.5 10 R18 R65 00 . share of profit Dividends paid 874 000 R21 000 R37 000 R24 080 000 Planned production the year ending June30 Tonnage 000 Grade 11,4 grams per ton Planned capital expenditure R9 000 000 1977 cents each Tons milled Yield - grams Cost per ton milled R9 500 000 000 10,04 R23.29 .R9 500 000 022 000 10,19 R19,96 Working profit : sulphuric += -gold- = uranium and co acid 000 R66 241 wet RFT 745 000 Royalty payment to . Southvaal Holdings Limited Taxation and State's : & R227 000 ho R104 910 000 an . R5 000 . R3 950 000 . e share profit Dividends paid ' R22 R20 900 000 R42 099 000 R33 000 Planned production for the year ending December 31 1977 Tonnage 7000 000 Grade 9,6 grams per ton Planned capital expenditure R39 000 000 Limited Western Deep Levels Year ended December 1976- = ; Issued capitals of 000 000 shares R2 each Tons milled Yield - grams Cost ton milled Working profit _gold uranium Taxation and State's 2 1976 a 1.975 ; R50 000 000 2.941 15,14 R24,70 R50 000 000 3.095 000 15,42 R20,73 a . R76 000 R1 719000 719000 R111 811 000 R661 000 of profit Dividends Dividends paid R38 139 000 R22 000 R58 548 000 R36 875 000 Planned Production for year theyear ending December 31 1977 Tonnage 3 080 000 Grade 15.0 grams per ton Planned capital expenditure R22 000 000 Deelkraal Gold Mining Company Limited Year ended December 31 1976 capital R12 Issued 600 63 cents each ^fin 000 000 shares of 20 incorporated The company was in 1974 and is and establishing Deelkraal establishing a Deelkraal and gold mine on portions of the farmis Kleinfontein in the mining district of 236 Klerksdorp Transvaal The mining lease totalling approximately approximately 2366 heciates Work the sinking of two 8,6 metre and the provision of the necessary covers an area services progressing favourably with a view torial comencing early in 1980 torial milling & . ae East Driefontein Gold Mining Company Lignited Year ended December *% capital Isstied capital 1976 19765 . . 2 . 1975 510 of 54 000 sliares R each milled cB. R54 540 000 - 1771000 R54 510 000 1461000 1461000 grams ton milled 20,4 R21,21 17.5 R18,55 Working profit Taxation and State's R82 000 a R64 408 000 share of profit R28 182 000 Dividends paid R40 883 000 R39 944 000 Elsburg Gold Mining Company Limited * December Year ended 31-1976 . 1976 Issued capital R000's . 203,000 stock units ti of RI each 203 1975 ROOD'S . 203 Kloof Gold Mining Company Limited Year ended June 30 1976 1976 ve 1975 Issued capital & of 30 240 000 shares F R1 each Tons milled Yick - grams Cost per ton milled R30 240 000 | 391.000 391.000 Peh2 R22,70 oe. R30240 000 13270007 12,2 R19,41 Working profit Taxation and State's R24 259 000 ... R32 000 ... of share share profit R5.021.000 R5.021.000 R12 693 000 - Dividends Dividends paid R14 213.000 213.000 RIG 632 0001 8 Mining West Driefontein Gold ended _ Year . June 1976 | Issued capital L a als wy Company 1976 Limited 1975 > -14 160 shares of s RI each R14 082 000 R14 082.000 Tons milled 2 646 000 707 000 Yield - grams Cost per ton milled Working profit - gold - uraniaunmd acid Taxation and State's aaa 21,5 RIS R152 628 000 587.000 587.000 . 23.9 R15.44 R15.44 R191 143.000 143.000 fi 15.000 : share ofprofit Dividends paid R92 678 000 R47 000 R122 868 000 R68 000 Zandpan Gold Mining Company Limited The company's company's main business is the holding of 19,6 per cent investment in Hartebeestfontein Gold Mining Company Limited the operating results which are published earlier in this section . 0. te a Year ended June 30 1976 0 Issued capital >. 020 285 shares of R1 each Dividends paid 1976 R000's 020 4.069 1975 ROOD'S 13.020 13.020 = 4655 RAND AND EVANDER Administered by me Anglo American Corporation Daggafontein Limited . During 1976 the outstanding affairs of the company were settled and on December 17 1976 the company ' was struck off the register by the Registrar of Companies on the grounds that it had ceased to carry on business and had no assets or liabilities East Daggafontein Mines Limited Year ended December 31 1976 : 1976 1975 Issued capital 730 000 shares of R1 each R3 730 000 R3 730000 Tons milled 1 208 000 G10 000 Yield grams Cost per ton milled Working loss State assistance = 1.80 R7,86 R2 000 849 000 1,77 R8,55 R1 438 000 R1 376 000 During 1976 the Department of Mines informed the company that with effect from January 1.197 1.1977 the mine would cease to be classified as an assisted mine in terms of the Gold Mines Assistance Act 1968. the to _ company was continuing incur losses all operations at the mine other than clean were terminated in Noveinber 1976 a . East Rand Gold and Uranium Company Limited Ergo Uranium Ergo is establishing a treatment plant in the Springs area for the purpose of recovering gold uranium and sulphur slimes on the Rand It is expected that the plant will come into operation during the first quarter of 1978 and that annual production will initially approximate 7000 kilograms of gold tons of uranium oxide and 000 tons of sulphuric acid of = which 460 000 tons will for sale to other consumers and the balance will be used by the company Initial capital expenditure allowing for escalation is expected be about R137 millincured ion which which includes certain expenditure expenditure to be incurred after production has commenced ; G The South African Land & Exploration Company Limited 31 1976 Year ended December 1976 PL" 1976 Issued capital 6 000 shares of 35 cents each Tons milled Yield grams Cost per ton milled Working loss 1975 profit . R23100007 R23100007 1061.000 1061.000 5,02 oy R18.03 | RU598.000 RU598.000 1975 a R1 155.000 993 000 : 5,17 R17.10 R1.736.000 5 State assistance Dividends paid 1976 R2 179 000 R83 000 1975 R990 000 Diamonds Diamonds Diamonds Although the company incurred a working loss State assistance and net sundry revenue enabled it to record a pre showed R915 000 however that for the year An assessment notwithstanding should the con- timation of State assistance inining should not conso time beyond the end of the year and the company ceased underground operations in December 1976 the mine is continuintgo recover gold from rock dump but it is not possible to forecast how long this operation can continue profitably Following a successful rights offer to members in October area 1976 company is engaged programme to investigate the in an exploration to the south and . south of the present mine workings workings a Administered by other mining finance houses a Winkelhaak Mines Limited Year ended September 30 1976 ~ Issued capital 12 000 shares of R1 each Tous milled Yield - grants Cost per milled Working profit Taxation and lease consideration Dividends paid 1976 R12 000 000 2015.000 2015.000 7,65 R11.25 R30 730 000 R20 544'000 R9 000 1975= R12 000 000 025 000 7.30 R9,44 R34 779 0001 R22 000 R12960 R12960 000 5 Administered outside the Corporation Anglo American Corporation Group De Beers Consolidated Mines Limited De Beers Financial details of De Beers may be found on page 72 this report Ey ES Principal interests at December 1976 all whollyowned subsidiaries unless otherwise indicated 1. De Beers Mines Consolidated Limited Kimberley Division operates the De Beers Dutalispan Bultfontein and Wesselton mines at Kimberley Finsch mine west of Kimberley and the Koffiefontein mine ^fin the Orange Free State 0 De Beers Consolidated Mines Limited Namaqua- land Division is currently mining alluvial deposits on cd the farms Annex Kleinzee and DreyeDreyerrs sDreyers 3. The Consolidated Diamond Mines of South West Proprietary Limited carries open alluvial mining operations along the southern portion of the oO . of South West Africa and is leading producer . gem diamonds 4. Premier Proprietary Transvaal Mining Company Diamond Limited operates Premier mine ai the 7 . Cullinan the Transvaal De Beers Lesotho Mining Company Proprietary Limited 75 per cent owned brought the Letseng Terai diamond mine Lesotho into production in the first quarter of 1977 6. De Beers Botswana Mining Company Proprietary Limited 50 per cent owned operates the Orapa mine comisoned and commissioned the Letlhak^ne mine ^fin Botswana into production the last quarter of 1976 7. De Beers Industrial Diamond Division Proprietary 4 p 76 i 4 2 ; ty ; . 1976 1975 Coal sales = tons 226 69.000 -- Net profit P539.000 R198 000 The pula was introduced as the currency of Botswana in August 1976 fi Natal Anthracite Colliery Limited Year ended June 30 1976 capital Issued capital 000 000 stock units of 1976 - . 1975 : 2735.0 0 a 50 cents each R2 000 000 000 Coal sales - tons 727 000 2735.000 2735.000 Consolidated profi after taxation R2 258 4 R1 693 000 Dividends paid > R1 000 R920 000 - Includes sales by the owned subsidiary Balgray Collieries Proprietary Limited Natal Coal Exploration Company Limited */:'** With the closure of the mine in October the company's business is confined to the receipt of royalty income from 1. The lease of its bituminous coal trade allocation to three other producing collieries in Natal area 2. The lease ofhis coal reserves in the Mooikrantz D to The Natal Cambrian Collieries Limited These reserves were expected to be exhausted during 1978 but it may now become possible to min~ some low volatile coal Limited is the outlet for the sale of De Beers drilling and boart and holds the De Beers group's patents relating to industrial diamonds It is in addition the management the company implementing diamond division and policy of the industrial the De Beers diamond research laboratory . 8. The Diamond Corporation Propriet^r^Limited 4 contracts with various producers who are not members of The Diamond Producers Association for the purchase their production The corporati^nlias built up large stocks financial resources which facilitate tlie holding of of diamonds thereby stabilising the trade 19. De Beers Industrial Corporation Limited 60,93 per and investment cent owned is an industrial finance and investment company whose main asset is direct and indirect linary interest of 39,18 per cent in the issued share capital of AECI Limited It also has a direct interest of 9.16 per cent in Mondi Paper Comp^nyLimited Selection 10. Through its per interest in Rand Selection + Corporation Limited De Beers has large interestsin gold and uranium diamond copper and other base metal Coal platinum insurance financial industrial and property companies Coal a Administered within the Anglo American Corporation | Group American Corporation Limited Amcoal given Financial details of the Amcoal group are 67 of this report : on page cae Group coal and coke sales comprise the following a 1976 1975 Tons Tons Escom 447 000 12 189 000 iscor : 2 209 000 2 389 000 Transvaal Coal Owners : Association TCOA Other 5 889 000 667 000 . 057 000 716 23 212 000 351 000 _ The principal companies companies in the group as follows all indicated wholly subsidiaries unless otherwise Coal mining and related activities Amalgamated Collieries of South Africa Limited Anglo Power Collieries Proprietary Limited Blesbok Colliery Limited . The Coronation Collieries Limited New Largo Culliery Limited South African Coal Springbok Colliery Limted Limited Witbank Estates Limited Limited - Springfield Collieries Transvaal Coal CorporationLimited V.E. Exploration and Finance Company Limited Vryheid Coronation Limited 65 per cent held Witbank Coal Holdings Limited & ; a Industrial Vereeniging Refractories Limited 51 per cent held Morupule Colliery Proprietary Limited The company operates a mine near Palapye in Botswana of The bulk the coal produced is sold to the Botswana Power Corporation Year ended December 1976 , . 1976 1975 Issued capital 100 shareosf Pleach Pleach P100 R100 = which had previously not formed part of the reserves reserves considered be mineable Accordingly it now probable that Mooikrantz will be mined for a limited further period than originally anticipated ; Year ended June 30 1976 1976 1975 Issued capital 5 000 000 shares of R000's ROOD'S : 50 cents each 500 500 Net profit Dividends paid 209 200 : 66 100 Swaziland Collieries Limited Swaziland The company operates a colliery at ' Mpaka Year ended March 1976 1976 1975 Issued capital we | 264 620 shares of pedt en E2 each 1975 225 500 . E2 529 000 Coal Net psraofliets 1975 tons 1975 loss; 119.000 119.000 . & E80 E451000 000 E203 000 All amounts expressed in Swaziland currency Vierfontein Colliery Limited Year ended June 1976 . Issued capital 000 shares of 1976 . '. 1975 - 50 cents each taxation Coal sales taxation Dividends paid R2 000 - = 1.361.000 1.361.000 000 000 409 000 R429 000 R330 2 R340 000 R300 000 Colliery Company Wankie Limited The company mines coal and produces coke in Rhodesia : Year ended August 31.1976 31.1976 1976 1975 Issued capital 4 A 25 333 488 shares of Q ae $ each - S25 333 S25 333 000 a oY > 1976 1975 Coal sales t^ns 955 000 17 772 000 Net profit S R10 384 000 R7 973 000 Dividends paid R4 018 000 R3 172 000 & Witbank Colliery Limited ; Through a owned subsidiary the company operates five collieries in the Witbank district of the * Transvaal we Year ended September 30 : Issued capital ' 1976 0 1976 1975 ne 6 288 280 ordinary . shares of R2 each Coal sales = tons Consolidated profit R12 000 6 068 000 R3 080 000 ~ 281 000 after taxationt " Dividends paid , R14 223 000 R354 000 ~ R4 832 000 + R354 000 : With effect from August 23 1976 4748 280 shares of R2 each were redesignated as ordinary shares : An amount of R131 000 1975 R3 000 has been deducied from consolidated profit after taxation in respect of non- recurring transactions * Other mining oe Administered within the Anglo American Corporation Group Middelplaats Manganese Limited Sales * ions ' Coal ions Coke- , - Tar litres Profit after taxation Dividends paid Investments Listed- . cost fe Market value Unlisted 1976 496 132 211 227 803 721 - 790 000 S 900 000 . . $ 080 000 S774 000 S294 000 1975 081 680 076 9.006 0422077.000 51 647-000 te - S1 204 000 S918 S294 000 Year ended December 31 . Isstied capital * ordinary shares 1950 000 of R1 each 5 per cent redeemable cumulative preference shares ~ 90 000 of R2 each Coal sales = tons Net profit Dividends ordinary 1976 ; 1976 950 000 oo : R180 000 873 000 R6 083 000 R682 |_| 1975 RI 950 000 . : R180 000 000 R2 000 R585 000 Formerly Headstone Investments Limited 1969 the company acquired the mineral rights of the remaining extent of the farm Middelplaats situated in the Sishen area of the northern Cape manganese belt Drilling on the property indicated reserves of mangan^se ore in excess million tons at grade of approxi- mately per manganese four per cent 3 Following the preparation of detailed feasibility report it has been decided to proceed with |; the development of manganese mine an estimated capital cost of approximately R47 million The deposit will be mined by underground mechanical methods and Other loans 53 192 000 S2-193.000 S2-193.000 All amounts are expressed in Rhodesian currency . Blinkpan Koolmyne Beperk it estimated that production will begin in 1979 - . ay e Zuinguin Natal Collieries Year ended June 30 1976 Issued capital 1400 shares of - NS 50 cents s January Coking coal sales tons Consolidated profit taxation after Dividends paid = Sales by the owned subsidiary 5000's Coal Mines Limited Limited * 1976 - . 000 R700 000 . 365.000 365.000 1975 - " R700 000 000 R43 000 R336 000 : R349 000 .R294 000 company Indumeni oe This company which is part of the General Mining and Finance Corporation Limited group operates two mines the Middelburg district of the Transvaal Blinkpan colliery which supplies coal to Escom's Komati power station and the recently established Haasfontein colliery which developed to supply portion of the coal export requirements arising from the contract between the TCOA and the Japanese steel mills During 1976 sales of Haasfontein coal contributed 379 tons towards total sales of 474 000 tons Production Haasfontein started on a limited scale in October with full production being attained in February 1976 . Rhodesian Nickel Corporation Limited The company owns the entire issued share capitals^fof) - Trojan Nickel Mine Limited Madziwa Mines Limited and Bindura Smelting and Refining Company Limited The subsidiaries mine and refine nickel and copper in the Shamva district Rhodesia Operations at the new Epoch mine at Filabusi commenced in 1976 and full production at the rated capacity was achieved in the last quarter of 1976 ended March 1976 . a 1976. 1975 Issued capital S000's . Administered outside the Anglo American Corporation Group ; 7 Apex Mines Limited The company operates a colliery the Witbank district _ of the Transvaal Trans Coal Corporation Limited The company operates a group of collieries in the Transvaal and Natal eo ended June 1976 Issued capital 1976 1975 42 300 000 shares of 50 cents each R21-150 R21 150 000 50 000 000 shares 50 cents each de Unsecured loans Equity earnings 5 : Dividends paid > 12.000 12.000 15 604 971 200 All are amounts expressed in Rhodesian currency 12.000 12.000 5.582 343 1680 - Swaziland Iron Ore Development Company Limited The company operates an iron ore mine at Ngwenya in 78 Ny * Swaziland and is supply of six currently fulfilling a contract for the million to long tons of the Japanese steel medium ore P000's A total of mills over the period to 1978 1,57 million dry long tons of supplied during 1976 : ore was Contractual sales are due to be 1978 when ore completed early in are mine in reserves expected to be depleted The is sound position to produce the tonnage but its ability to fulfil its commitcomnternacttuails dependent railage and epnotritrely upon the satisfactory operation of 1976 1975 Average proceeds per ton P000's . Copper Cobalt - Nickel & Net loss Pl 190 P7 807 262 P902 129 472 913 38517 38517 All amounts expressed in Botswa^-a 0 currency Year ended December 31.1976 . . 31.1976 Issued capital stock 10 101 739 shares of no par value . Total shareholders equity Investments in other companies s 1976 5000's K 1975 S000's . 71247 203.862 * 436 217318 facilities selling - Zinchem and Industrial Mineral Resources Proprietary Limited Zimro associated The company through its major subsidiaries Base and Industrial Minerals . G. & W. W. Industrial and ChemicaPlropSurpipeltiaersy Limited G. & Proprietary to flexible Limited and Hudson Mining Company Proprietary Limited is engaged in the marketing of a wide mining processing processing and number of industries range of industrial minerals to a paint rubber plasticinocilluding the foundry refractory includg drilling chemical ceramic 000's Inspiration glass agricultural and pharmaceutical industries number of It has a Company Consolidated country mining operations in various parts of the and its main processing processing plant is situated SWuapdpelviielslealGseormiston G. & W Industrial and Chemicaalt productin exports chrome sand to Its business operates a Europe and drying Holland from and bagging plant at Vlissingen in . Europe which i is distributed throughout Arizona Another subsidiary Zinchem Proprietary Limited produces zinc dust for the gdid mines and the industry and zinc oxide for paint paint ceramic pharmaceutical industries at its use in the rubber agricultural and chemical factory near Benoni " Cleveland Potash Limited "+ The company operates a potash mine an processing plant in the Cleveland area of north England Difficult mining conditions experienced Irregularities in the continue to be 3 retarded the build ofproduction potash seam have & taken provide more and steps have been methods . mining and treatment Year ended December 31 1976 . . 2 1976 1975 Issued capital a 000's ordinary shares 000 000 of El each 10 per cent redeemable partici pating preference shares 22 500 000 of ! each Share premium, . All amounts are expressed in United 7.000 7.000 22 500 s 123 Kingdom 7.000 2123 2123 currency ' Hudson Bay Mining and Smelting Co. Limited Hudbay Q oO o Gross revenue from sale of products less freight and . expenses - Net earnings after taxation before extraordinary items extraordinary 1976 Net loss after extraordinary items Dividends paid amounts are expressed in 41702 647 2819 279 279 8018 Canadian Canadian currency 133 634 9 7711 - 13918 ICC Copper ICC is an integrated American company principal line of American natural resources and sale of business is the production copper from its operations mines smelter which include acid plants in refinery the rod fabricating and sulphuric reserves of state It has substantial copper ore ICC also also smelts materials for other producers and bearing- : silver mine in Montana owns and operates a 31 Year ended December 31 1976 Issued common stock 1976 1975 Administered outside the Anglo American Corporation Group Botswana RST Limited eo oo Corporation The company of which the Anglo American interest of Group holds nearly 30 cent has an 85 per cent in Bamangwato Concessions Concessions Limited BCL a copper mining company operation conducting a nickel and The at Pikwe in Botswana goverrnemmeanitnoifnBgotpserwacnenat interest BCL is held by the The Selebi project is : being undertaken . phases The first was the in two construction of the mining and ancillary facilities at Pikwe the smelting and concen- trating facilities for the entire project and the shaft Selebi The facilities facilities for this phase are mining The second phase comprising the complete underground mine at development of the - during 1979 Selebi is expected to be completed of Good progress continues to be made in process problems all sections the resolving the this is reflected in the operations and the production of significant increase over 1975 in . high grade copper nickel matte Year ended December 31-1976 31-1976 Issued capital L . . 17979 17979 282 shares P2 each term loans - Mining assets and other capitalised expenditure Production of copper - tons revenue Total sales revenue m^/ite 1976 1975 P000's . . P000's - 959 227 295 35959 ., 203.196 204 182 928 32 506 041 16513 18 256 and Hudbay a Canadian company is a diversified oriented organisation with Canadian resource- operations investments in the fieladns dofinmtienrinantgioannadl mPertiaolrlutorgy fertilizers and chemicals and oil and gas 1970 > copper and Hudbay was primarily producer of Snow Lzaiknce parrienaciopfalMlyanfirtoomboare mined the Flin miles north of Winnipeg approximately 400 Over however Hudbay has diversified the past years and into other resources geographic areas the most important of which 1. ^ potash mine and refinery near are Saskatchewan which Rocanville Division In operates through Hudbay's Sylvite March 1977 Hudbay consented to transfer the mine and refinery complex to the Potash of Saskatchewan a province Corporation further details see page 30 organisation for : 2. A 51 cent interest in Terra Chemicals International Inc. which Chemicals fertilizers and feed ingredients matanPuofratctNueraels Icohweamiacnadl distributesUniteddistSribtuteas ttehsese and allied agricultural products in the . Indonesia 3. A 55 : Canadian per cent interest in Francana Oil & Gas Ltd. corporation production engaged in the exploration f^rand of crude oil and natural gas in Canada and the United States which turn has interest in Trend International a 57 cent corporation Limited a Colorado crude in engaged primarily in the production of Indonesia and in international exploration for oil and gas 4. 49 per cent interest in Canadian Merrill Lid a Quebec corporation which engaged and gas production in Canada principally in oil and the 23 United States per cent interest in Inspiration Consolidated -- Copper Company which production primarily engaged in the a and . sale of copper from its Arizona properties Decalia During the year the company's interest in Wes.tern Petroleum Limited was sold for 36 349 000 292 184 shares of each > | of shares Number shares outstanding : Total shareholders . Py S3 000 ns 269 269 984 "5 53 000 3 269 809 -equity + Total term debi + Net earnings 1975 loss after tax and all costs Dividends paid on ' stock SI13 183,000 534 202 000 | 114 687 000 40 000 S126 000 000 S3 910 common SI 635 000 053 000 amounts are expressed in United States States currency Kiln Products Limited Africa TSohuethcoAmfrpiacna yLiwmhiitcehd is a member of the Gold Fields of Aukas mine near group operates a kiln the Berg = Grootfontein in South West Africa It produces zinzc inc oxides from zinc silicate silicate bearing residues purchased from cTohnecenStoruatthesWeasntd Company Limited which becamebecame owned subsidiary of Kiln Products a wholly- January 1976. The zinc with effect from South African zinc oxide production production is soldsold to Fields group refining company within the Gold Nchanga Consolidated Copper Mines Limited * The company operates a services division at copper mine mine and a centralised and Kitwe Chililabombwe and copper mines at Chingol^ on the Zambian Zambian Copperbelt A lead and zinc mine is in operation at Kabwe kilometres south of the -some- 200 government holds 50 Copperbelt The Zambian ordinary share capital peinr tcheent foof orf mNcohfanA ga's issued remaing shares Zambia Copper ordinary Investments Limited the remaining per cent the form of B holds shares a ordinary Eg i fs Reclaiming leached residue from vats at Inspiration ConsolidatedCopper's mine in Arizona The bucketexcavator removes material from which oxide copper has been leached with sulphuric acidacid This residue is then conveyed to the concentrator for recovery of sulphide copper by flotation a 2 eo 80 Issued capital A ordinary shares K2 each 64 373 152 ; - Bordinary Bordinary shales 61 K2 each five per cent redeemable redeemable * cumulative preference shares 207 828 ^ FK2 ^ FK2 each 5 cent redeemable c^"nudativepreference shaies -- 318 176 each Share premium and reserves Long loans Production of finished copper -tons Copper sales tons Average proceeds per ton Total sales revenue Net profit all metals = Dividends Dividends -- ordinary 1976 Kooo's 1975 Kood's 746 746 123.698 123.698 123698 123698 a 116 - 416 036 905 732 385 414 186 201 K768 327 320 864 636 192325 96.730 96.730 408 666 396 160 KI 087 479 58545 58545 17.000 expressed All aniounts are * in Zambian currency Approval to remit in their entirety amounts paidin dividend to resident shareholders has not yet been Roan Consolidated Mines Limited The company operates copper mines at Mufulira Luanshya Chibuluma and Chambishi on the Zambian Copperbelt at Kalengwain the Western Province of Zambia and ^ copper refinery at Ndola The Zambian government holds 51 per cent the company's issued ordinary share capital in the form of ordinary shares Zambia Copper Investments Limited folds 12,25 cent of the equity in the form of B cordinary shares Year ended June 1976 1976 1975 Issued Capital A ordinary slates of K4 each 15 460 684 KOOD'S 61 843 B ordinary shares 854 382 of K4 each 59417 59417 Share premium and reserves 147 664 Long liabilities Productiofninished copper - tops Copper sales - tons 72 19271 280 994 271431 Average proceeds per ton Total sales revenue revenue e Net loss 1975 profit Dividends Dividends paid yo K806 226 292 ~~ KODO'S ' KODO'S 61 843 50417 151617 151617 19271 284 288 561 | 289 1912 0269 745 32332 32332 6518 All amounts are expressed in Zambian currency in Approval toremit in their entirety amounts paidin respect this dividend dividend to resident shareholders has not yet been Rustenburg Platinum Boldings Limited RPH result of the rationalisation of the shareholdingsin Rustenburg Pl^/tinuani Mines Limited which took effect from September 1975 company became aacholly owned subsidiary of RPH A total of 77 740 625 shares were alloited by RPH to the relevant shargitolders of Potgietersrust Platinum Platinums ; Limited and Wateryal Rustenburg Platinum Mining Company Limited in terms of the rationalisation The name of t ie company av^s changed Union Platinum Mining Company Fimited The revenue of RPH consists almost entirely of dividends dividends from Rustenburg Platinum Mines Limited which operates three mines in the Transvaal . 5 : . . - . . . ; 2. Year ended August 31 1976 a > 1976 1975 a: Coe a a e wR : y 7 oo Issued capital R000's RODO'S Coot : : aan : . : Ooo . 123 440 625 sliares 10 cents each resrves Share premium and reserves Fixed loans ~ Mining ments assets at cost less recoup- : investments Unlisted investments : Equity earnings . Dividends paid : . Poets 4600 12.300 4600 000 231000 231000 = 600 |. 64 600 . 259 400 |: 240 400 100 8.000 8.000 900 12.300 200 | 6100 6100 : : -Shangani Corporation Limited " : # c : The is member of company which a the Johannesburg Consolidated Investment Coperates a Coperates a nickel nickel mine mine Bulawyo group BulawayoShangani kilometres kilometres kilometres north of of Company at Bulawayo in Limited group about 100 Rhodesia Rhodesia Mine Mine production currently running at 000 tons of ore monih is refined by the Bindura Smelting and Refining Company Limited Mining operations started in the first quarter of 1976 ca , S.A. Manganese Amcor Limited Samancor / 2 Samancor is engaged in the mining of manganese ore at . Ps So, a eo four mines the western Cape Province which ore is used for the production of manganese at Meyerton Transvaal The company involved chrome phosphate and dolomite and in the production of chrome and agricultural fertilizers Year ended December 1976 : : = 1976 1975 Issued Issued capital he wo rae R000's R000's ordinary shares= Ta Rog 27 688 600 of 20 cens each fully paid cens 177 80 of0 20 cents each cents paid . shares- 10 preferpernefcereence Share cent cumulative each premium Share premiumpremium and resrves reserves term Long liabilities liabilities defer ed liabilities and deferred : redeemable .5532 SS 4. : ; 7'000 450 : Arn . 3 000 102 667 a 3 taxation . 695 [16 6953." 949 74- 7- Investments a Book value Directors valuation Other een Equity earnings Dividends ordinary : 4377 7309 20987 20987 52613 137994 137994 4.377 5.489 7.522 37710 3 829 The Messina Transvaal Development Company Limited The mines copper in the northern Transvaal and Rhodesia and has interests in property niotor vehicle manufacturing earth moving equipittent and finance companies . Year ended September 30 1976 Issured capital 10991 660 Stock units of 50 cents each fully paid R5 000 shares of 50 1975 R5 425 000 => cents each on^'cent paid Share premium and R3000 R3000 2 reserves R101 000 Long loans Production of finished ' R75 992 000 ' R3.000 R3.000 . R87 208 000 R14 488 000 copper * Tons ; 49 204 Average * price per ton Equity earnings RI MO P.45-868 000 R852 R7 174 000 Dividends paid P.45-868 R4 946 000 R3 797 000 25, * Excludes exceptional profits profits of R323 050 1975 R281 000 Tsumeb Corporation Limited a ~ ompany The is engaged in the mining and treatment of copper lead zinc cadmium and silver at various =: mining locations in South West Africa Ry Year ended December 1976 1976 1975 Issued capital 000 000 shares of 50 cents each Distributable reserve | RODO's . e RO00's On : 2.000 Vi ~ | 26412 : 373 2 Long loan and a oe 8h deferred taxation Inventories and fixed 21 19738 19738 . 023 * assets Metal sales eek 515 ran ' % 718 . me 44 711 54 933 Net prolit 1975 loss : Production 40 og. 158 a ai tus f : Copper - tons Lead tons 8) By 19498 34 655 22.182 41757 0 Zinc 7 1770 we 1402 kiloCag dmium- krilaogmras ms S 117 878 352 - gragmras ms kilograms 35 080 940 37 505 930 Whitehorse Copper Mines Limited This company based in British Columbia operates a mine and Pa company's mill at income Whitehorse the Yukon The is largely derived from joint interst venture in which it has thirds interest which and produces copper gold and silver in concentrate form As result of recent transactions Hudson Bay Mining and Smelting Co. Limited has 41,2 per cent interest in the company and Anglo American Corporation of Canada Limited holds the remaining third interest in the joint venture ended December 1976 : . Issued capital 3386 shares Total shareholders of Total 102102 shareholders shares shares of no par shareholders equity equity shareholders Revenue Le 2, value value 50500000''ss 2 7227 o 7227 1150 2892 after Net income after extraordinary item 1975 558 Production 5000's - 227 1091049499 1491 - 750 05 Copper pounds 24.364 062 000 : Gold - ounces Silver - ounces 18.000 000 18.000 18.000 217000 217000 amounts are expressed in Canadian currency o oth of Oil and gas Administered outside the Anglo American Corporation Group Canadian Merrill Lid This a company Quebec corporation is involved in the _- exploration for and production of oil and gas in Canada and the United States 49 per cent of the equity is held by Hudson Bay Mining and Smelting C^Limited Year ended June 30 1976 capital 1 Ringe Issued stock 2013 920 shares no par value Total shareholders equity Gross operating revenue Net income after 1976 S000's 6 692 28 832 10 522 1975 5000's 692 449 4'656 extraordinary items 1.987 495 All amounts are expressed in Canadian currency - Production 1976 ~ Crude oil barrels : 1975 - total average - dailyaverage Natural total gas million cu ft = daily average 2. 225 000 616 i 9 500 Fy 26 181000 497 7070 194 reductions will not apply to acreage on which petroleum has been discovered Oil was initially discovered in the Indonesian concession in September 1972 and additional discoveries have resultedin thedelineation of six oil fields up to the end of 1976 a ? The joint venture operates under production sharing contract with Pertamina the Indonesian state oil agency In August 1976. Trend was obliged sign an agreement with Pertamina increasing the Indonesian government's share of profittso 85 percent reducing tax- concessions and calling for cash payments totalling approximately 36 million to be made to the government during 1976 and 1977 Trend also holds producing oil and gas properties in the United States and Canada and conducts an extensive prospecting progra^-^fi^fiimne these countries and abroad abroad ; Year ended December 31 1976 : Issued capital stock 147 838 common shares no par value Total shareholders equity Gross revenue Net income 1976 5000's 110 502 210 57 173 907 1975 S000's 110 502 123 881 571 289 All amounts are expressed in United States currency Production 1976 1975 Crude oil barrels . Indonesia + total - daily average North America 27 693 000 22 975 000 75 664 >> , 63.000 63.000 manufactures tungsten carbide percussion drilling tools and a majority holding in Aarwater Eiendoms Beperk a company engaged in rotary and percussion exploratory drilling The consolidated profit of the Boart group after taxation and minority shareholders interests was R16.19 million for the year compared with R15,21 million to December 1976 the previous year ~ Boart's major operating companies are a Boart Diamond Products Proprietary Limited Boart Drilling Proprietary Limited _ .Boart Hardnietals Proprietary Limited Boart Hardmetals Europe Limited Boart Hardmetals Canada Limited 2 Canadian Longyear Limited =~ Diacarb Limited Longyear Australia Proprietary Limited Longyear International BV Longyear Company U.S.A. Mindrill Limited Portadrill Ine The Ste ueering Company Limited Bruynzeel Plywoods Limited Bruply , 6 Bruply manufactures vencers plywood blockboard chipboard Veneered chipboard doors sawn timber aminated mouldings aminated beams wooden trusses modular furniture gumpoles The company became wholly- wholly- owned subsidiary of Anglo American Industrial poration Limited with effect fromJanuary Year ended December 31 1976 . { . oe ae cll Mey Francana Oil & Gas Lid The company is engaged in the exploration for and the production of crude oil and natural gas in Canada and has the United States International Limited 57 per cent ^finterestin Trend bey fe Year ended December 31 1976 1976 1975 . o Issued capital stock 7793 common shares of _ no par value Total shareholders equity Gross operating r^'venue a . Net earnings before item extraordinary item 1976 Net loss after extraordinary item _S000's + 5000's ee Lt 37 140 095 2, 066 5701 62 559 55 416 5 10125 2 689 989 10125 ee -18al 301000 ~ daily average cu Naturalgas million ft North America . 847 total a 565 -daily -daily average > Oil and gas land holdings acres - total arca North America 1,5 2413 : = total area overseas 21 000 --347 Q 952- oom 525 1,4 2 000 20 101 000 si Industry and commerce Issued : ial Issued capital ordinary shares * 749 710 of 50 cents 2 a each fully paid 210 000 of 50 cents 1976 ROOO's . * 3375 : 1975 RG00's 091 foe cL ie | is. one cent paid * per cent cumulative preference shares- - 200 000 of R2 each 2 2 royale ee a 4 400 ! i j : Share premium ands an reserves . Loans tod 16 442 13.459 : - 298 : Equity carnings Dividends paid -preference .22 5 764 : 22 a | - = : aa All amounts are expressed t in Canadian currency elo Production North America only : barrels + Crude oil total 1976 : 996 00071085.000 ' 1975 00071085.000 00071085.000 - daily average Y Natural gas million cu . total 5 - daily average ~~ co Oil and gas land holdings ( Aim^'rica total area North total overseas ao: area overseas 729 at 3 505 9,6 2.973 3.325 9.1 000 10 9 248 000 2 862 20 101 000 A Trend Trend Exploration Limited . Trend a owned subsidiary of Trend International ir Limited engaged primarily the production of crude oil in Indonesia througha joint venture formed to explore for and develop hydrocarbon reserves in the Salawati Basin area of Irian Trend has a 27 per Administered within the Anglo American Corporation Group . Boart International Limited Boart a wholly subsidiary of Anglo American- Clay Products Limited The companyowns a factory near Bulawayo Rhodesia producing a wide range refractory and earthenware products March 1976 3 Year ended & 31 5 1976 . 1975 Corporation Industrial Limited is through its subsidiaries associates engagedin the manufacture and marketing of all types of diamond and tungsten carbide tipped drilling tools and in surface and drilling underground contract and the provision of certain ranges of mining equipment and mining services . to all major mining countries Boart has also established capital * Issued each 2 399 000 shares of | Share premium and reserves taxation Deferred % Fixed assets : . Equity earnings S000's 000's | 798 3725 390 i 798 323 mi 339 1.773 182 208 particularly itself as a supplier of a wide range of tungsten carbid^ and diamond products to industry in southern Africa and Australia Dividends paid i | 100 All amounts expressed in Rhodesian currency 100 During 1976 Boart purchased all outstanding i F , eC oF minority shareholdings the Longyear Company Computer Sciences Sigma Proprietary Limited ad cent interest and acts as of the joint venture operator In which holds a concession awarded October 1970 f^r a term of 30 years The concession which initially o* encompassed 1100 000 acres is subject to periodic of Gill through reduction and is currently 550 000 acres Such periodic Mindrill Limited August 1976. Poriadrill Inc. also + became wholly owned subsidiary Portadrill is major American manufacturer rotary blasthole andwaterwell drilling equipment Boart exploration acquired the assets and trade name Enterprises Inc. which This company in which the Anglo American Corporation Group has a 73 per cent shareholding offers a wide range of computer services Including batch and remote job processing and remote computing time through two equipped bureaux A systemis sharing Re 82 & 8 ie = development company's andsupport service is also provided The hardware marketing divisions have had significant success with their line of Datapoint mini computers as well as Comten Pertec and Varian Data product Machine products which also form'an integral part of the company's hardware range Consolidated Share Registrars Limited The company operates as share transfer secretaries principally to companies in the Anglo American Corporation and General Mining and American Finance Corporation Limited groups As at December 31 1976 the company acted as transfer secretaries to 77 companies Eastern : eo Eastern Transvaal Timber Company Proprietary . Limited The company which owns 15 000 hectares of landin the * Carolina Waterval Boven and Barberton districts of the Transvaal is engaged in timber growing operations Management of the company's plantations is under taken by S.A. Forest Investments Limited Highveld Steel and Vanadium Corporation Limited . Highveld owns and operates an iron Steel and vanadium complex ai Witbank in the Transvaal The full requirements of both the steelworks and the Vantra division are supplied the corporation's Mapochs mine at Roossenekal At the start of the 1976/77 financial year Highveld acquired a 65 per cent interest in Transalloys Proprietary Limited by issuing 3. 000 new shares shares to the vendors of 7 020 Transalloys Transalloys is producer of andexporter manganese alloys and an important supplier of Highveld's requirements of alloys The remaining 35 per cent interest in A.G. Transalloys is held by Philipp Brothers A.G. Switzerland of ey Year ended June 30 1976 1976 1975 Issued capital ' 58 186 030 shares of RI each Share premium and reserves R000'S 58 186 10 325 R000's 480 | 622 Long provision term loans and for deferred taxation taxation . Fixed assets Equity earnings Dividends paid 54 897 128 053 15 908 7363 764 108 612 843 75752 Hippo Valley Estates Limited _ The company produces sugar citrus and related producis ~ in Rhodesia Year ended March 31 1976 ots 1976 1975 Issued capital : 974 400 of shares 50 cents each 5000's > 7.987 5000's 6.655 Share premium and reserves Loans and deferred 069 18.434 taxation 025 12.540 Equity earnings ~ Dividends paid 781 302 All amounts are expressed in Rhodesian currency 313 2928 LTA Limited : The LTA group is one of the largest building and civil engineering groups in southern Africa Its operations building include commercial industrial and residential industrialised building systems steel fabrications activities engineering in all aspects contracting activities for the building and civil engineering engineering industries and trnkey projects Year Nine months ended March 31 ended March 31 1976 1975 Issued capital ordinary shares 309 840 of RI each ' fully paid 900 Reach R000's b 310 R000's ft Pe a 3 gems paid Executive Share Incentive Scheme 9 9 10 cent cumulative process of developing a major piggery and dairy herd herd as the nucleus ofa livestock section a a) . Scaw Metals Limited ae a The company is wholly subsidiary of Anjl American Industrial Corporation Limited The three major fields in which it operates are ferrous and none in the fe"rrous castings rolled steel products merchant bar- 7 range and grinding media for the mining and cement industries The cast ferrous products include sallid such as freight car wheels and logle earnings of the Scaw Metals group of companies for the year ended December 31. 1976 was R14,52 million compared with R12,87 million in 1975 The company has investiems in Highveld Steel and Vanadium Corporation Limited and W. S. Craster Private Limited convertible redeemable preference shares 51 966 of R1 each a . 52 10 546 Share premium and reserves Long and deferred 722 7482 7 o 2470 7035 earnings Dividends 4963 2.648 ordinary preference ' 280 268 701 791 During November 1975 preference shareholders holding 10493 10493 754 shares out of total of 10 545.720 exercised their right to convert those to ordinary shares resultingin the issue of 6 925 876 additional ordinary shares on December 5 1975 The remaining 51.966 10 percent percent cumulative redeemable preferencecomencig shares being redeemed over commencing on December * 10 years 4s Mondi Paper Company Limited share capital is held by Anglo American Industrial Corporation Limited the De Beers group and Johannesburg Limited | Consolidated Investment i i Company The company operates a paper mill at Merebank Durban comprising a groundwood inill three hight speed paper machines and a paper finishing department The third paper machine- came into production in November 1976 increasing Mondi'sMondi's capacity , from approxily 160 000 tons year to 260.000 tons wholly owned subsidiary South African Board * Mills Limited produces paperboard and felt base paper and operates a sugar mill Melvillein Natal It hold4s9 cent of the equity of Balamundi S.A. Proprietary Limited which utilises felt base papier for Conversion ^fintei floor coverings roofing felts anddampcourses The Mondi's equity earnings for the year to December 31 1976 amounted to R11,5 million previous year's earnings of R8,4 million are not comparable in that they do not include the results of South African Board Mills Limited* ince . RFF Limited Shaft Sinkers Proprietary Limited The Shaft Sinkers group is involved in shaft sinkling asociated tunnel construction underground excavation and associated concrete work for the mining and civil engineering industries Equity earnings for the year to - June 30 1976 R1,08 were million R669 000 Sigma Motor Corporation Proprietary Limited Sigma was formed in the second half of 1976 as a result of the merger of Chrysler South Africa Proprietary Limited and Illings Proprietary Limited and is held as to approximately 75 per cent by the Anglo American Corporation Group and the balance by Chrysler Corporation of the United States The company will market the Mazda Capella series the Mazda Luce ~ Chrysler Valiant and Mitsubishi Colt in addition to a wide variety of light commercial vehicles vehicles A number of new models will be introduced during 1977. The company will also operate Earth Moving and The Industrial Machinery division handling Komatsu Hitachi and Amiese The Mack Truck division will be expanded 1977 include certain undertakes . Mitsubishi and Chrysler products A subsidiary the financing of vehicle hire- purchase and leasing transactions te Soetvelde Farms Limited The company wasformedformed in 1969 to consolidate and develop the farming interests of the Anglo American Corporation and De Beers groups Its operations include the growing of maize wheat potatoes and other dryland crops and the breeding raising and fattening of cattle pigs and sheep over large areas of the Transvaal Orange subidary Free State northern Cape and Rhodesia Delishan Ranches Private Limited a wholly subsidiary has an extensive cattle ranching operation near Givelo Rhodesia Dawn catle Orchards Limited another wholly- vegetables in the owned subsidiary produces vegetables and tropical fruits tomatoes a under Irrigation range of Lowveld northern Transvaal Onits extensive estate the Groot Drakenstein Valley of the western Cape Province the conipany grows deciduous fruit for sale on the South African and export markets and canning in its own factory It also produces wine and table grapes A pure fruit juice concentrates filant was brought into operation during 1974 and a new winery was completed in February 1976 from which a range of estate wines marketed under the name Boschendal The company is in the S.A. Forest Forest Investments Limited The company is wholly owned subsidiary of Anglo American industrial Corporation Limited ~ The S.A. Forest Investments group is the largest integrated forestry and sawmilling operation in South Transvaal manufacture and Africa with extensive timber plantations in the eastern Transvaal and It through subsidiaries , sawmills houses and glue laminated holds 4 ae ' - The company holds through Forest Industries and Veneers Limited approximately 95 per cent of the equity of Peak Timbers Limited which owns timber plantations in and operates a sawmill Swaziland Administered outside the American Corporation Pa . Anglo American Corporation Group 2, AECI Limited manufacture chemical industrial chemical market an important range of products They also provide expert service the uses of the chemicals application on industrial and their to particular industrial problems The products cover a wide range range of industrial activity activity including inter alia we : , Led Tanning The Natal Extract Company Limited The company owns or controls 72 000 hectares of forest accessories wide agricultural agricultural heavy chemicals land in the eastern Transvaal and Natal 1975 and Year 000 hectares whichis mainly to wattle with The company produces a wide industrial and agricultural animal feedstuffs His main explosives mining heavy and use vinyl products and factories are situated at dispersafts for the control of oil slicks laundry and dry cleaning chemicals for the paper industry detergents and extreme pressure lubricants . Year ended JuneJune 30 1976 planted smaller areas under pine gum ss ugar ugar and * Modderfontein Sasolburg Somerset West and Umbogin- 1976 1975 poplar R000's phormium The principal operation is the production of company manufactures tanning extract from wattle bark and three factories are 045 operated for this purpose products produced in 1976 each included approximately 277 000 tons of timber 49 000 tons of wattle bark and 116 000 tons of sugar cane earnings 902 8 Dividends Vereeniging Refractories Limited VRL Coalplex y refractory . Consolidated Limited a VRL manufactures a wide variety of bricks and materials building bricks and Stalton stressed beams Metallurgical Industries aa ot and linels The Main Works is situated at Vereeniging : with SpriSnprg ins gs and Houtkop nicar Vereeniging at Consolidated Refractories are used in higli temperature processes and VRL's products play an important part in the . twini A subsidiary phosphatic fertilizer and industrial chemicals in Rhodesia The construction programme for the company's coal- chemical complex for the production of polyvinyl chloride and a range of chemical at Sasolburg which is being undertaken as a joint venturewith Sentrachem Limited is on schedule The project known as iis s expected to come into operation .- Issued Issued capital capital 067 of RI 3 Share shares shares shares each premium atid reserves Loansaanndd convertible convertible notes Dividends paid R000's : 3067 3.701 7 .2 03 1.045 506 RO0R0O0'0'ss 3.067 3.067 208 2.767 2.767 &. 422 latein 1977 ~ During August 1976 R82,9 million was raised by means of a rights issue of ordinary shares This represented the final instalmentin a scheme of financing ' | CMI GMI is part the Johannesburg Invesi- totalling R250 milli^narranged parily to finance AECI's ment Company Limited group was incorporated in share of Coalplex and partly to achieve a better balance 1975 principally to produce and market charge chrome cement copper alloy and a number of other industries where heat is utilised Although not a major Proprietary exporter VRL has taken steps to extend its foreign markets 2 Marico Mineral Company Limited a owned subsidiary operates quarries and mines throughout the Republic of South Africa and supplies a large proportion of VRL's bulk raw material require- ments During the year the companydisposed of 26 per the financing between long and short term in Year ended December 1976 1976 : Issued capital x - ordinary shares 137 400 360 of each 54 cent cumulative vy preference share 3 000 000 RO00's . 400 we ; group 1975 ROOD's fe 136 The company is erecting a plant at Lydenburg the eastern Transvaal which have the capacity to aproduce 120000 tons charge chrome a year of Productionis scheduled to during the first half 2 1977. The total capital cost of the * will be million project approximately R50 Cullinan Holdings Limited cent of its interest in Refractory Minerals Private Limited a company occupiedin the mining of magnesite near Gatooma Rhodesia VRL still owns 74 per cent of the issued share capital and will continue to manage and of administer this company Mopani Magnesite Magnesit~ Proprietary Limited and Pande Magnesite Private .. Limited jointly owned with Cullinan Minerals Limited northern valuation ceramic mine magnesite in the Transvaal atid Rhodesia of R2 each Reserves Long loans Book value fixed assets Unlisted investments )- Book value Directors Equity earnings 60002 =169 1 358 6.000 121 600 989 462 279 60 052 63 000 32 388 34 827 4347.000 29 183 Cullinan is an investment company conducting a range > of diversified activities through various subsidiary and associated companies These activities include the manufacture and marketing of refractories industrial porcelain products building bricks and brick panels the mining and marketing of minerals used mainly by the refractory and other heavy clay and and property development industries : respectively ordinary VRL's roof tile interests have been reorganised and . Dividends paid 1931 15 685 Year ended June 30 1976 . Fa 1976 1975 group this now operates throughout the country under AECI's major investments include ; : the name of Coverland Coverland Roof Tiles investments ROOD'S R000's . operates country wet . Issued Limited in which 33,33 per cent of the . bets capital Proprietary equity indirectly held operates manufacturing : Duropenta Holdings Proprietary Limited ordinary shares ~ 8019 8019 983 of of manufctrig Prolux branches in Cape Town Bloemfontein Vereeniging Paint Holdings Proprietary Limited 50 cents each 010 4010 : 0s 2 Benoni Port Elizabeth and Durban while Covercapes Rand Carbide Limited 54 cent cumulative preference 1.000 17000 Spinners premium ~~ Roofing Proprietary Limited and Covervaal Roofing ' South African Nylon Proprietary shares 500 000 of R2 each 1.000 17000 pos Proprietary Limited offer tiling service in the western Limited Sharepremium reserves 11.515 9.758 9.758 a Proprietary Cape Transvaal respectively Triomf Fertiliser Limited term and deferred liabilities 11.812 162 664 Vitro Clay Pipes Limited in which 50 percent share ve ; wl Fs : ee fe value asets assets 15.504 13 > -- in companies directly held produces vitrifiedsewer pipesand are African Products Limited associated : Investments and 2221 fittings at its Houtkop plant ngar Vereeniging loans : > . 1863 1551 ~ F ended December 1976 > The company produces maize starches cornflour Equity earnings 760 1940 ; starches Dividends ordinary .962 ! - > 1976 1975 dextrins dextrose glucose and other maize based paid 1042 . ; : R0 's : products at GermistonTransvaal and owns Maize * 2 . : - . R000's R000's Products Limited of Meyerton Transvaal and Glucose Dorman os go Issued capital Corporation . . _ and Starch Products Limited of Bellville Cape Province Long Vanderbijl . ordinary shares - 5 000 000 of : 0 cents each 2.500 2.500 Year ended September 30 1976 Dorbyl ~ Limited 5 per cent cumulative . 5 . a redeemable preference shares 500 000 of each 1000 1.000 Issued capital ; 1976 ROOO'S 1975 RODO'S engineering Dorbyl a steel fabricating and group created the amalgamation ofDorman Long Africa Linuited and Vanderbijl Engineering Corporation Corporation Limited is the i engineering Distributable reserves \ defered yo Long and deferred . 8 a . liabilities Share . : . Book value of fixed assets Proprietary a ee 7 @ ce Investments and loans Equity earnings wate Dividends paid - ordinary Chemical R11,3 million the earnings Septtheember " 19,100 19,100 290 22 164 4 uf 11.925 270 c= : 1.500 2 17,752 - 3175 136 831 821 1.500 13.677 100 ordinary shares of R1 each - premium and reserves terin loans and deferred Equity carlings Dividends paid a 3.677 9.775 1588 26110 1324 The Chemical Limited Holdings Limited companies in the Chemical aout : Hollings 3.668 3.668 8481 1608 2436 1247 : . nA group foremost heavy group in South Africa year D^rbylwhich is 56,5 per cent held subsidiary of International Pipe and Steel Investments South Africa Limited increased its capital by making a rights issue to members coupled with debenture issue The amount of approximately R13 required million so raised was broaden the group's capital base Equity earnings of the Dorbyl group were R11,3 million year 30 1976 1975 R8,3 - ra 85 i Sag, 4 Fed Engelhard Minerals & Chemicals Corporation the operations of Engelhard Minerals > Chemicals Corporation embrace the marketing of otes miner~ ls metals timing and processing of non meta minerals and the refining procesing processing and fabricating of precious metals Year ended December 31 1976 1976 1075 Soap's 5000'S > Issued capital steck common shares of each 31-5957947 31-5957947 31-5957947 31 596 30 6948 cumulative convertible convertible SCHIEN 99 562 0 54.25 assigned valute Sex 30 Total Shareholders equity Long term liabilities Net earnings Net earnings per common share prittat - tully diluted 6840338 6840338 103.991 103.991 8665 N27 500 200 Phrase 11476 11476 tt Dividends Dividends paid - comition games redeemed on Freight Services Holdings Limited Formaly Aero Marene freight Holdings " Foldi group operates in South Africa Lurope the United of Kingdom The United States America and Australia Its include Clearing forwarding buying stevedoring ships agency and the servicing servicing and compreliensive travel Baddition the groupy has controlling Container Depots droptictany handle the filk of the than till which vomainer maltic in the Republic Anglo American Industrial an interest of bd percent percent in Coporation Limted Limited holds the compariy Gallo Africa Limited The company and its associated companies are engaged engaged in the machine and distiliation of grammophene records and distribution of tapes television music television sets ' publishing consume and the electionic electionic products visual equipment and other related activities activities Year ended June's June's 1976 0-2, 1978 1976 Roode Rood's ' issmed capital ordinan shates 1615000 1615000 of cents cacia ully paid . Tors his each ponly poid six per cent cannulative cannulative pieleience pieleience shar~ s 350.000 cach Feserves Shate premam premam and Feserves jonefer jonefer loans and deleted deleted buss 7 500 hTS> bas . $ 100 na enti Ted assets plisted my estfients Book cahie HASNT 2 O Hall Longmore & Company Proprietary Limited - The company and its owned subsidiary Hall company Longmore Contractors Proprietary Limited are a engaged in the manufacture and distribution of steel pipes pipe fittings and other heavy steel products and in the construction of pipelines Two other subsidiaries manufacture and distribute drilling equipment and pneumatic tools .. Industex Proprietary Limited e Limted The company operates cotton and synthetic fibre 9 spinning plants in Port Elizabeth Rayon nylop and other types of fabrics are woven for the rubber as well as other industrial textiles such as filter ifnabdruisctrAy redemable owned subsidiary at Uitenhage operates a dyeing and weaving plant manufactures yarn a wide range of towelling products ~ R1 Clark and Company Limited : and its The company subsidiaries are in the wholesale principally distribution of equipment in the heating air conditioning refrigeration and paper fields The group also manufactures pressure vessels and heating batteries * McCarthy Group Limited The group is the and elctronics South Africa the largest and comprises retail motor organisation in various companies each and marketing particular vehicle franchises for : specified - areas The group has extensive property interests which in of its the main are leased to certain trading and admini- strative divisions It also operates a computer bureau * company and has subsidiary companies which under- contrl take motor insurance broking and the financing of vehicle purchase leasing transactions o of Year ended June 30 1976. a ; ae Re Issued capital : ordinary shares - 16 987415 | 50 cents each per cumulative LS preference shares - 150 000 of R2 each . premium Share premium and reserves Long liabilities 0 CRI Equity earnings . 1976 - R000's : . 494 494 300 918 11 543 863 1975 R000's * . 8 209 oa 2. 300 150 > 6952 3.676 3.676 Romatex Limited Romatex is the holding company arising out of the merger of the Feltex and Ropes and Mattings groups in October 1975. Its interests cover the manufacture of large range of floor coverings coverings and carpet components jule and plastic materials for the packaging and textile industries ropes and cordage knitting yarns components for the motor industry men's and women's wear fabrics for the clothing industry cottonwool footwear and a variety of other product lines oh Perlod ended March 1976 . 7 - 1976 1975 nt Issued capital R000's a R000's ordinary shares - 23.499 353 > Reacht Reacht 2. 5.4 cent redeemable : cumulative preference shares . 000 000 R1 each six cent redeemabl^' 23.499 100 1000 .7022 1.000 cumulative preference shares = 500 000 of R1 each Share premium and reserves Long liabilities and deferred = 500 45 068 750 14 226 | taxation 16 832 7370 . Investments and loans a Equity earnings Dividends paid - ordinary 56888 56888 207 8034 2 820 22 540 2 228 2 837 280 The results incorporate activities of the former Ropes and Mattings group for nine months from July 1 1975 and those of the former Feltex group for twelve months from April l 1975. The 1975 comparative figures relate to the former Ropes and Mattings group only 2 Excludes 2 679 500 shares held by a subsidiary Stewarts & Lloyds of South Africa Limited The company is a 52,5 cent held subsidiary of International Pipe and Steel Investments Investments South Africa Proprietary Limited The business of the Stewarts Lloyds group which comprises 27 operating companies with a total volume of more than R200 consists of the manufacture and distribution million of and seamless steel tube welded rectangular hollow sections tubular steel structu^fles pipe fittings and joints plastic and Bundyweld tubes centrifugal copper ' diesel engines irrigation equipment pumps valves malleable and iron castings and mild and alloy steels grey Year ended September 1976 : - by Hudson Bay Mining and Smelting Co. Limited Year ended December 31 1976 1976 1975 Issued capital stock ' S000's 5000's common shares - 5 298 936 of $ each preferred shares - 169 377 of 299 297 100 each Total shareholders equity Gross revenue earnings Dividends paid - common All amounts are expressed 16938 16.968 778 103 650 992 110652 shares 11994 3974 564 3178 in United States currency The Tongaat Group Limited The company was formed the beginning of century and was specifically involved in the production of until 1965 when it diversified its operationssugIatrs activities now include sugar cane agriculture and milling maize niilling the production and distribution of building materials textiles animal feeds bakery and confectionery products mushrooms and canned food eggs andenginering pullets property and ^'l^'ctricaland electronic engineering The group consists following of the following divisions Sugar Tongaat Sugar Limited Building materials Coronation Industrials Limited Property electrical engineering electronics Investments Limited United Electronics Proprietary Limited Tongaal Holdings Foods and Proprietary Limited feeds feeds Moreland Limited Limited Tongaat Foods Poultry and Feeds Proprietary Textiles David _ Whitehead and Sons S.A. Limited The group's investments include a 24,5 cent Interest it and 50 per per cent contrHuo lenl ts Corporation Limited per cent interest in Hypack Products- Proprietary Limited a Industries Limited and Safiot Liniited 14 per cent interest an eight per cent . in Gypsum interest in Year ended March 1976 4 v oS 2 Issued capital Ordinary shares -5 16301 195 RI cach fully paid five 377 000 of each five ~ 1976 RODO'S 1975 R000's . A : 301 16 235 3 Dividends paid- paid- ordinary 444 358 ordinary R000's shares- Middelburg Steel and Alloys Proprietary Limited MSA 5 MSA owns Cross which is part of the Barlow Rand Limited group the entire issued sliare capital of The Southern Steel Company Proprietary Limited Southern Cross and its subsidiaries manufacture and market stainless steel chrome and other alloys A new R13 million electric are furnace was commissioned Septmber ' during 1976. Equity earnings for the year ended September million 1976 were R9,0 million = 1975 R5,8 B earnings O.K.K. Foods Limited we This company in which the Anglo American Industrial Chemicals Corporation Limited group has a 50 per cent interest is engaged the cold storage and marketing of meat and thes dairy produce the western Transvaal Orange Free State western Cape Province . . x) Issued capital : : o shares - 510 of 50 cents cach cumulative six cent first cumulative preference shares.- shares.- 300 000 of R2 each Share premium ne > 2. and reserves Long borrowings Fixed assets Unlisted investments at book value : + . Equity earnings Dividends paid - ordinary 1976 R000's i 1975 11.255 > 255 : 600 62 500 581 993 a 99 10 122 3827 600 oo 8 152 28 204 * 211 ~ .99 12362 3827 Terra International Inc. ~ The company which is based in Iowa in the United States manufactures nitrogen fertilizers and nitrogen feed ingredients and is a distributor of these and allied agricultural products Terra is 51 per cent owned CRI cents paid redeemable so: 19 6 cent redeemable g ites cumulative preference shares- 1815 000 of Reach Reach shares- Share premiums and reserves Long loans x Book value of fixed assets Investments at valuation AssAoclatesd soclated companies Listed 20 aeery Market value Unlisted 5 Directors valuation Equity - Dividends paid - ordinary 3263 849 The company exercises joint control of Huletts Corporation Limited with G. Smith Investments Limited through S. T. Proprietary Limited The Union Steel Corporation of South Africa Limited Usco Usco owns steel works af Vereeniging where it produces 87 idea ca . Oy > ; : : . 4 : Pan i = : . a os : a and rolled drawn forged cast steel products as well as and aluminium conductors and wire Its wholly- coowpnpeedr subsidiary Veldmaster Proprietary Limited engaging manufactures agricultural discs and other earth engaging : parts Usco's wholly subsidiary Usco Aluminium aluminium Proprietary Limited Richards aluminium wire wire and conductor conductor plant plant at Richards an Bay Year ended December 1976 . - Issued capital ordinary shares - 29 010 000 of 50 cents each . 1976 ROOO'S : 1975 . ROOD'S 14.505 14.505 14.505 preferem A of R2 each preferent B of R2 each shares shares - . 125 000 125 000 Distributable reserves Long loans and deferred taxation Equity Dividends earnings ordinary paid - ordinary 250 250 2 : 250 477 00 000 5585 5585 1.596 250 : .250 20471 27 6243 6243 1.596 iinterest Anglo American Properties Limited Amaprop Financial details of Amaprop may found on page 69 of this report The company's major interests in completed property developments are as Tollows 0 Percentage Percentage 2 ot Amcor House Johannesburg Brickhill Road Parkade Durban > Cabana Beach Umhlanga Rocks . Carlton Centre Johannesburg 100 100 100 30 Devonshire Hotel and Devonshire : . Johannesburg Durban Bay House Durban House : 100 .54 100 Edura Johannesburg- a 100 Finsbury township Randfontein 7 55 La Lucia township Natal township Durban . .50 Prospecton Industrial township 50 Marina da Gama Muizenberg Muckleneuk and Welgelegen Pretoria 100 Provincial House and Durdoc Centre Durban 51 . . = 100 Transvaal House Pretoria Umhlanga Beach Mews Umhlanga Rocks 100 100 320 West Street Durban ships in the Welkom Welkom and Allanridge areas of the Orange o : Free State OFSLE has interests cent Dewhurst Fresh Foods in O.K.K. Foods Limited 50 per Foods Limited 25 per cent and * Soetvelde Farins Limited 18 per cent 2 Limited Sorec . . investment company with Sorec is a property mainly in prime shop and office developments shopping complexes and residential and property in southern Africa 15 months ended September 30 1976 capital - Issued capital ordinary shares - 938 695 each RI ordinary deferred D shares.2 560 RI each liarepremium and reserves Loans ROOO'S 21939 558 819 56 860 60 464 interests suburban township Year erided June 30 1975 R000's * 21802 21802 , 558 41738 940 55615 Tiger Oats and National Milling Company Carlton Centre Limited Fixed assets Unlisted investments 68 908 1976 63911 040 Limited | : & owns the Carlton Centre a mixed Equity earnings 1426 640 Tiger Oats is an investment holding company with associated companies operating in The company the centre of Johannesburg The Centre disevoenleopomfetnhte largest commercial building developments Dividends paid On July 1975 136 976 ord ary into ordinary shares deferred C shares RI the subsidiary and food feed and fishing industries various branches of the of in the world and comprises a storey office tower each were converted completed buildings ate as Its main activities are the milling and marketing international Carlton Hotel two Sorec's major interests in completed world maize wheat oats and barley edible oil extraction the Storey stores approximately retail retail shops and follows = Percentage manufacture of margarine and variety of grocery and in department restaurants an international 2000 cars sized ice rink and covered The Carlton Hotel in = interest 100 products animal feed and Opceet afnoaod gprrooduupctioofn lishing parking facilities for 89 cent interest is Life Centre Cape 100 addition through the which the company has an per Life Centre Krugersdorp companies pelagic fishing and the processing of canned managed by Western International Hotels of Seattle Seattle Life Centre Port Elizabeth 100 : fish fish meal fish oil and rock lobster Unaudited equity During 1976 the Hotel was granted international status Life Centre Pretoria earnings for the year ended December 1976 were by the Liquor Board R18.83 million 1975 R15,49 million Year ended June 30 1976 1976 1975 Checkers store Benoni y : = Cariage R000's R000's Civic Towers House Johannesburg Carriage Union and Wagon Company .s Coca factory Durban ve Proprietary Limited Issued capital 28 366 667 shares 7. og Damelin Centre Johannesburg of ordinary The company is thaendbieglgeecsttricsilnogcleomsotuipvpeslitoertheraSioluwtahy 50 cents eacli : . 184 139 14.184 14.139 ~ Field North Johannesburg Gardens Centre Cape Town + sale to Share preinium stock Railways and produces rolling Loan capital in Grand Central Port Elizabeth Highpoint Hillbrow Joliatinesburg authorities and private operators Union Carriage also supplies industrial 8 per cent first mortgage ' debentures 1979/96 : Highrise Johannesburg Boa convertible diesel electric diesel hydraulic locomotives During with other suppliers to the : . fully paidas : cent second mortgage 34.000 34.000 : 34.000 His Majesty's Johannesburg Kine Centre Johannesburg Loa the past year in common South African Railways the company was requested to 7 per debentures 1977/2001 a & Life Centre Johannesburg cut back on deliveries to the Railways This had no effect fully paid 10.000 10.000 10000 Lloyds Building Johannesburg on the company's profits for the financial year ended Unsecured loans 14.130 15-541 Opera Plaza Pretoria : June 1976 but will appreciably affect the current * ; profit 6373 109 Sandton City Sandton Operating financial year's income > a Equity carnings 1975 loss .782 212 Cenite Cape Town losse Through a Subsidiary Unionmod Buildings Accumulated 7079 786 Shell House Cape Town | Proprietary Limited the company has diversified into modular buildings fi Sunnypark Pretoria ot Total Centre Johannesburg the manufacture of factory Kenilworth Centre Proprietary Limited U.D.C. House Salisbury southern 9g The company operates a regional shopping centie Wesbank House Johannesburg formerly complex & we complex on 8,9 hectare sire in the southern suburbs of Schlesinger Centre 2 Cape Town The centre contains approximately 100 rm Property shops and small amount of office space : Administered within the Anglo American Corporation Group : > Anglo American O.F.S. Housing Company : o . Limited The company provides housing the Orange Free State of asso~ iatedcompanies At December 31 for employees 1976 the of stands houses flats and fostels owned cost by the company amounted R28.15 million Company * Orange Free State Land and Estate Company ot Proprietary Limited OFSLE . OFSLE which is wholly subsidiary of Anglo American Industrial Corporation Limited owns 11 200 hectares of land in the Orange Fice State westeni Transvaal well as ilie fighis to proportion of claim licences and mining lease rentals over an area 19 000 hectares hectares The company owns approximately areas and is mumber of uading sites the same participating in the development residential town- Administered outside the Group Anglo American Corporation Group ie : Main Place Holdings Limited 3 Main Place Is the holding company of 1h5ecotarwesnofeladnd subsidiary companies which own 4,8 to the financial district of Johannesburg aTdhjeacleanntd is being held for developinent the potential for which is regularly reviewed a yet g Ay Q o a Insurance banking and - general investment . Administered within the The principal activity of the company which is whollyowned subsidiary of Rand Selection Corporation Limited is the provision of instalment instalment credit facilities and medium finance A subsidiary subsidiary company First Consolidated Leasing Corporation Limited specialises in The leasing of movable assets comprehensive banking service through more than 900 offices throughout South Africa and South West Africa Year ended September 30 1976 a Issued capital 1976 ROOO'S . 1975 RO00's Anglo American Corporation Group African Eagle Life Assurance Society Limited The company is one ofthe largest life asurance in South Africa and is a leading underwriter underwriter of pension plans and industrial life business group It offers a conj- prehensive flexible range of life assurance producis including conventional profit policies and property linked and equity linked plans Subsidiary life companies Guarantee Like Company Assurance Company Limited Southampton Company Assurance of Rhodesia Limited Life Guarantee concentrates on providing sophisticated services in the field of life assurance and pension requirements for senior executives professional men and employed ; Mainstraat Beleggings 1965 Eiendoms Beperk Mainstraat was formed by Anglo American Corporation and the Federale Mynbou Mining group for the purpose of investing investing principally in the fields of Cariage engineering and heavy industry The company has interests in Highveld Steel and Vanadium Corporation Limited Hall Longmore and Company Proprietary Limited International Pipe and Steel Investments South Africa Proprietary Limited Stewarts & Lloyds of South Africa Limited Union Carriage and Wagon Company Proprietary Limited and Unionmod Buildings Proprietary Limited New Central Witwatersrand Areas Limited NCW = people The company deals exclusively exclusively through brokers and does not gaintain an agency force It offers wide range of life assurance products including including those linked to managed property equity fixed interest and cash port- folios A owned subsidiary Guarantee Life Properties Proprietary Limited deals in investment and development propeny ' NCW is an investment company = American Corporation Its main finance and mining companies Year ended June 30 1976 administered by Anglointerests are in mining : Issued capital 1976 RO00's : 1975 RO00's - African Gold and Base Metal Holdings Limited The company holds mineral rights over a number of farius in South Africa It also has a major interest in The Afrikander Lease Limited and through its wholly subsidiary Pintail Investments Limited , it has an interes in Rustenburg Platinum Holdings Limited . 1766 396 Shares of 50 cents each Distributable reserves Listed investments At cost Marker value Equityearnings Dividends paid 833 791 " 1675 798 303 300 833 789 671 6.759 343 335 234 011 ordinary shares of R1 each Share premium and reserves Total assets Equity earnings Dividends paid 234 962 875 28 7601 20114 234 388 3 072 28 140 7.643 Barlow Rand Limited A mining and industrial financial and investment investment company which heads throughout number of subsidiary a group comprising comprising and administered a large associate companies operating throughout southern Africa Africa the United Kingdom and the continent of Europe interests The principal and activities of the group include primary and secondary manufacturing mining distribution and exploration property investment and the range distribution and merchandising merchandising of a diverse range of in the -products to all sectors various economies it serves Year ended September 30 1976 1976 19757 Assted capital R000's R000's a ordinary shares- shares- 101 325 506 of 10 cents each '! Jully Q. 4 272 500 of 10 cents 132 | 9.856 9.856 one cent paid " 43 43 six per cent cumulative preference share 375 000 of R2 each Share premium reserves Long liabilities and Poy 750 150 750 772 Anglo American Rhodesian Development Corporation Limited divisionsThe company's main source of income is the leasing to the Rhodesia Railways under term agreements of rolling stock originally purchased for 15,5 million In- addition it administers as independently operating divisions the Mazoe Citrus estates near Salisbury and -substantial forestry estates in the 0 Eastern Highlands Baffinland fron Mines Limited This company based in Ontario owns properties on Baffin Island North West Territories containing approximately 123,5 million tons of iron ore with an average grade if 68.13 percent On account of its remoteness and the transportation problems involved this deposit cannot be developed at present but the properties are kept good standing standing and the economics of future development are reviewed from time to time American Corporation of Canada Limited and Hudson Bay Mining and Sinelting Co. Limited have interests of 27 per cent 18,6 cent respectively in the company n Tanganyika Concessions Limited The company which is incorporated in the United King- dom is holding company with its principal interests in Union Mini^re S.A. mining and exploration company company operating in various parts of the world and the Benguela Benguela Railway Company Company which owns the railway service linkinintergests Angola Za^flreand Zambia Other signi ficant interests include 47 per cent of Elbar Industrial Limited which which deals mainly in the manufacture and distribution of agricultural machinery machinery and 50 per cent of Tanks Oil and Gas which is involved in exploration for oil and gas in the North Sea Western Ultra Deep Levels Limited A The company is the holder of mineral rights over an area of 11 607 hectares comprising comprising portions farms in the Potchefstroom district of the Transvaal Of these rights 104 hectares included in the mining lease area the new Elandsrand Gold Mining Company Limited The company sliares in East East Driefontein Gold Mining Company Limited Westem Deep Levels Limited and Elandsrand Gold Mining Company Limited deferred taxation Book value of fixed assets Investments 0: Listed- Listed- value Market value Unlisted . Book value including amounts owing Directors valuation 2 Equity earnings Dividends paid + ordinary 616 273 : 260.503 944 897 894 047 92451 734 11-282 818 329 064 972 6381 22 667 British Rhodesian Discount House Limited 312 company >. The is a registered discoum house incorpo rated in Rhodesia Rhodesia Profit after tax the year ended August 31 1976 was 312 000 1975 RS248 000 C. T. Bowring and Associates Associates Holdings South Africa Limited ' e Through various subsidiaries and associated companies The company conducts insurance insurance broking operations in the Republic of South Africa Africa Africa South West Africa and Cape Verde Proprietary Limited The company which is incorporated in Swaziland Swaziland owns - the freehold of and residual mineral riglits over over property at Viljoenskroon in the Orange Free State The freehold is leased for grazing purposes Administered outside the First Consolidated Holdings Proprietar^ Limited ;; Corporation Formerly Premier Finance Corporation Proprietary Limited Limited Anglo American Corporation Group > Barclays National Bank Limited Barclays is registered commercial bank providing a Swaziland . Year ended December 31.1976 Issued capital 3 ordinary shares R each 50 000 of = A class cumulative preference shares shares - of cach class B cuinulative preference shares - 2 RI each 1976 ROOO'S " 1975 R000's 50 R2 ... ...  x o on : : a 8 Yi 2 Me a %, a pk a . 5 a * Share premium and reserves Equity earnings Dividends paid - ordinary ' preference 1976 1975 13 R000's R000's = 388 300 878 0538 8 , 790 .484 226 226 mutual fund investment participation mortgage bond facilities investment andmortgmae ortgage F and insurance and assurance services The range of financial services offered by the group has been further extended by the acquisition of the City Credit group including a factoring company and by the establishment of Standard Bank Import and Export Finance Company Limited asza vehicle for financing Gold Fields of South Africa Limited 2 imports and exports to and from South Africa * A mining finance and exploration company with Year ended March 31 1976 in substantial holdings gold and uranium mining a - o 1976 | 1975 R000's miferal and companies base panies industrial property com- Year ended June 1976 , Issued capital ordinary shares - 45 028 989 of R1 each Pa 029 291 . 4 2 Issued capital 1976 R000's & 1975 R000's 6 per cent first cumulative preference shares - 8 000 000 of R1 each . D 000 000 16 298 477 ordinary shares of 25 cents each Share premium and reserves 075 142 787 A .4.074 138 362 , 6 per cent redeemable second cumulative preference shares 000 000 of RI eacht 10 000 F 10.000 Investments + . Listed a Shage premium and distributable reserves 103 033 569 Book value at Market value Unlisted - Book value Directors valuation Equity earnings Dividends paid _ 531 > '448 ~* 102 036 735.689 735.689 ve 5318 900 29 694 -25 262 7961 = 26 463 100 | 36.649 Total assets 3910 261 622 Equity earnings Dividends paid ordinary 927 10 131 c16 135 7474 7 692 308 ordinary shares were issued at 260 cents eachin a terms of righusissue on August 1976 : The second cumulative preference shares were redeemed at par en June 30 1976 G > Kaffrarian Metal Holdings Proprietary Limited The equity of this company is held in equal shares by Anglo American Corporation and International Nickel Proprietary S.A. part of the Transvaal Limited It holds mineral rights over farm Uitkomst in the Carolina district district of the Minsearch Surveys Limited This company in which Anglo American Corporation of Canada Limited and its associates have a 70 per cent interest is a joint venture between Ilie Group- and Barringer Research Limited It was formed in 1974 to undertake exploitation of Barringer's Ainrate airborne geochemical survey system Prospecting Ventures Limited This company which is registered in Rhodesia carries behalf of out prospecting operations in that country on associated companies Swakop Exploration Proprietary Limited The company holds a prospecting grant_over grant_over 28000 28000 hectares of land in South West Africa where prospecting for source material is being carried out Hollardstraat Beleggings Eiendoms Beperk This investiment company which is a subsidiary of Federale Mynbou Beperk was formed in 1963 by Anglo American Corporation and Federale Mynbou Beperk It has a substantial shareholding in General Miningand Finance Corporation Limited ) ~ The Discount House of South Africa Limited _ As a registered discount house the company negotiates call loans from financial institutions and mining houses for subsequent investment in a range of domestic short- term in the making securities and contributes to securities in which it invests active markets 2 : * Equity earnings for the year ended December 31 1976 International Pipe and Steel Investments South Africa Proprietary Limited IPSA ~ IPSA the holding company for two subsidiaries Dorman Long Vanderbijl Corporation Limited Dorbyl * in which has a 56,5 per cent interest and Stewarts & a Lloyds of South Africa Limitedin which has 52.5 per cent interest Details of Dorbyl and Stewarts & Lloyds appear on pages 85 and 87 respectively of this report ., were R1,36 million compared with R1,25 million the previouspreviousyear ws. Prospecting Nedbank and Syfrets Holdings Limiteda 7 The company is a holding company operating through a whole number of subsidiaries which cover the whole of banking and financial services spectrum | Year ended September 30 1976 . . 1976 1975 ft ~ 7 . se = Issued capitali RI 85 860 005 shares fully paid eacli 417 022 shareosfR1 each partly paid Share premium reserves Total assets R000's R000's 85.860 85 860 . 85 232 2 546 632 737 441 2.273 007 Equity earnings 2). Dividends paid 28.355 -144-167 -144-167 230 312 Administered within the Anglo American Corporation Group Anglo American Prospecting Company Limited The company whichis subsidiary of Anglo American Corporation is engaged in the financing of prospecting Africa Ventures in vari^nisc^imtriesoutside South A Anglo American Prospecting Company South Limited ; The company is a subsidiary of Anglo American Corporation In 1975 entered into an agreement with Aquitaine S.W.A. Canso Oil and Gas Inc. the purpose of prospecting for oil off the west coast of South Africa . Standard Bank Investment Corporation Limited Stanbic Through a number of wholly services subsidiaries Stanbic offers wide range of financial services in the fields of commercial and merchant banking hire- purchase leasing and . discounting facilities vu Anglo American Prospecting Services . Proprietary Limited The engaged Corporation is which in prospecting Behalf of associated and ,, companies and other . Service Administered within the = Anglo American Corporation Group ;, _ Anmercosa Computer Services Limited | The company provides a bureau and software ;, development support service from its offices located in Welkom The gold mines of the Anglo American Corporation Group are the major beneficiaries of these suport Group services In Johannesburg computer consultancy services and support are provided to Group users Anglo American Corporation Botswana . - Services Proprietary Limited Botswan poe The company is responsible for the administration of the Anglo American Corporation and De Beers group companies domiciled in Botswana and operates House an office buildingin Gaborone owned Botsalano by an associated company West End Property Company Proprietary Proprietary Limited Oa Property Anglo American Services wd owned Proprietary Limited = Beg aE The company a wholly | subsidiary of Rand Corporation Selection Corporation Limited provides , technical management and administrative services to property companies within the Anglo American Group Bs Mine Services O.F.S. Proprietary Limited The company supplies stores and materials to certain Transval Anglo American Corporation Group gold mining companies in the Orange Free State the Transvaal ad .90 we . o 2 = 1 a Statutory and other information 4 yf * oS te a ' ) 4 passed a Special resolutions by subsidiary companies o : Nonbene Option to : ANGLO AMERICAN INTERNATIONAL Directors N. Clarke Beneficial - ficial * 10 acquire SERVICES LIMITED de = 23.2.77 Change of company's name from H. K. Davies Dr Beer 15.000 30.000 1000 100 7.000 4.000 Marland Company Limited . +2 . 828 ANGLO AMERICAN LIMITED PROSPECTING COMPANY DA.. Etheredge Cancellation of share premium account and '= 13.10.76 reduction of issued capital to R223 956 B. Dyer Etheredge Etheredge C. n 15.000 1000 30.000 100 30.000 30000 30000 100 7.000 8.000 10.000 _ ANGLO ANGLO AMERICAN PROSPECTINPROG SPECTING COMPANY COMPANY a 13.10.76 Cancellation of share premium account and r^'ductionof issued capital to R13 290 J. E. P. Gush W. Hefer B. Hoffe 30000 1000 9000 000 100 - 9000 .700 000 1000 6.500 15.000 1000 500 ANGLOSWAZI INVESTMENTS LIMITED 17.12.76 Elimination of share premium account of R4 305 000by the repayment to members of R134,53125 R134,53125 each in cashin respect respect of share a ANSELD CANADA LIMITED Hofmeyr M. J. A. Hofmeyr Howard F.J. A. A. Howard J. Johnson A. Jolinstone 30000 15.000 15.000 000 15.000 2.000 1000 ~ 10 0 1000 2000 : .100 _ 100 3.000 000 Reduction =. 22.11.76 remreamaiiningning by the capitalto of issued redemption of the remaing redemption cumulative 297 seven per cent non 19.492 493 outstanding cumulative redeemable preference shares of 1,00 each= ANTERRA ANTERRA MINERALS PROPRIETARY LIMITED 22.6.76 of quorum Amendment to AssociAa ssotciiato ionn clauses relating to borrowing powers quorum of ~ at general meetings appointment ^ managing director RHODESIA 4 CONSOLIDATED CONSOLIDATEDCONSOLIDATED MINES HOLDINGS CONSOLIDATED 6.5.76 Amendment to Articles of Association to ; ' : allow profits or losses on the realisation of | to be treated as part of the investments ordinary trading profits of the company ' Los RHOCHAR HOLDINGS W. King O. P. Koevart G. Langton DD..E. Maciver LMaecyidveern L. P. Mackenzie a A. McKerron 6 D. M. Melville D. Nicholson M. O'Dowd = = Oppenheimer H. Oppenheimer ey N. Oppenheimer {7 Oppenheimer = 15.000 15.000 15.000 000 100 - 100 5.000 5.000 100 15 15 000 15.000 15.000 500 15.000 15 000 30.000 15.000 13 342 912 includes registered 342 912 includes .; 100 100 7 100 100 1000 a _ ; " 7.00 7.007.0000 ~* 000 6.000 000 500 _ : of 27.9.76 i Amendment to Articles Association to shares permit the use of no par value of 3 Sir Philip Openheimer Sir Philip Oppenheimer 100 registered registered 200 000 ~ a different classes in reconstruction the of company'scapital of ii Reconstruction share of + - na W.PPaaiinn SG SG W. Relly Sir Albert Robinson capital company : TAYBARD INVESTMENTS LIMITED Association to Articles Stephenson 6.4.766.4.76 Amendment of Amendment borrowing eae borrowing powers in Articles + cao S. Spiro W. - LG Stopford SackvilSackvlillee J. Ogilvie ThompsonThompson GH Waddell Soe 23.3.77 Adoption of Association : new Articles of Association a 4 +5649 ~ 100 000 1000 1000 1000 000 1.000 15000100 15000100 15000100 15000100 1000' 000 13 912 1000 includes 18.000 18.000 10.000 10.000 9.000 ~ 000 _ om ae a S og Shareholdings : b Shareholdings The Interests of the present directors and alternate directorsin the shares of the Corporation at December directors 311976 311976 appearing the register of the interests of the in the shares of the Corporation are set out between below There have been no changes date and March 25 1977 that Nonbene Option Option to at Be V. Webber A. Wilson W. Wilson 100 registered 15.000 15.000 15.000 15.000 = 000 300 7 ==... 000 41060- 000 10 41060- 000 ; * : Corporation of the The not aware the directors family interests extent if any of * Indirect under held Indirect a share incentive scheme a Indirect = we F : ae 6 ces i = :is & 2 2 pe: Directors Sir Keith Acutt 'Dr M. M. Ammore G.Boustred - Beneficial ficial + 15.000 15.000 600 100 30.000 30.000 100 -15.000 .- = acquire - 6.000 -- 9.000 = a S 1000 a ws 2 ah " 2 . : . \\ us a 7 . : 2 hy nHi is 8 s aa . * . * % * a Og a 2 . . : Be o AN nk HEAD OFFICE 44 Main StreetJohannesburg 2001 Marshalltown 2 P.O. Box 61587 Marshalltown 2107 Managing Secretary T. Goldfinch OFFICES Australia Limited ; Australian Anglo American American Limited Fy it : 500 Collins Street Melbourne . Sole Secretary K.J.K.J. G. Bermuda BY > Anglo American Investment Trust Bermuda Limited Belvedere Building Pitts Road Pembroke Bay Ellis D. 2, Secretary F. i Botswana CorporationGaborone Anglo American Botsalano House The Mall Secretary H. Rose Botswana Services Proprietary . | Brazil : - American Corporation do Brasil Limitada Araujo Porto Alegre ZC00 de 36-2000036-20000 Janeiro R.J. Limited _ Secretary R. N. Lima Canada > Anglo American P.O. Box 28 Corporation of Canada Limited TorontoDominion Centre TorontoM5K IB8 Secretary France France , ~ C. C. K. Taylor Q.C. Charter France S.A 9 Rue de Vienne Paris 8e Secretary R. RobertsonRobertson Luxembourg 7 Anglux Limited S.A. 50 Route D'EschBP 459 ~ Secretary D. Paton Portugal Corporation Portugal Anglo American de 244 Avenida Da Liberdade Lisbon S.A.R.L. & Secretary A. Vieira De Castro Rhodesia 70 Jameson AvenueCentrCalentral Salisbury C.4 Managing Secretary Rhodesia G.T G.T Bain United Kingdom England 1AJ 40 Holborn Viaduct London ECIP Secretary London D. Booth Zambia Anglo American Corporation CentraAfrica Limited 74 Independence Avenue Lusaka Secretary J. M. Casey SHARE TRANSFER SECRETARIES Consolidated Share Registrars Limited 62 Marshall Street Johannesburg 2001 P.O. Box 61051 Marshalltown 2107 Charter Consolidated Limited P.O. Box 102 Charter House Park Street Ashford Kent TN24 8EQ England 92 2 oe of _ Members of the Corporation who wish to receive copies of the annual reports and accounts of quoted companies associated with the Corporation -obtain them upon application to the Managing Secretary may the Secretary London Secretary of the Corporation Changes address should be notified to the Corporation's Corporation's transfer secretaries Printed by Honors Printers Johannesbung