Community Development

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COMMUNITY DEVELOPMENT PROJECTS

The Company co-funded and assisted with a number of community development projects in 2009.

Altogether 8% of pretax profit was spent on community development.

Overview of the Mogalakwena Mine Motlhotlo community resettlement

In order for Mogalakwena Mine to secure land for mining infrastructure and to prevent safety and environmental impacts from affecting the community, Anglo Platinum was required to relocate the Ga-Sekhaolela and Ga-Puka communities (collectively known as Motlhotlo). The list below provides a summary overview of what the Motlhotlo resettlement project has entailed and what Anglo Platinum has provided for:

Extensive consultation with the affected communities over a prolonged period.
The resettlement initiated with 100% homeowner sign-off in the form of one-on-one agreements.
The development of bulk and reticulated infrastructure in the new village in line with the Department of Water Affairs and Forestry’s ‘Water supply design guidelines’, Eskom’s electrification standards and specifications, and the requirements of the municipal engineers. Infrastructure included bulk/raw water, water supply reticulation, sanitation and solid waste removal, roads and stormwater drains, the structural design of house foundations, electrical distribution and reticulation, and electrical services for buildings.
The replacement principle was based on a ‘like-for-like’ basis. As a minimum, however, in most instances the replacement or compensation was a substantial improvement..
Two asset audits were done in the old villages to determine accurately what assets the individual households had, one in May 2002 and the other in September 2002 (for a final verification).
The development of 956 new houses to a minimum standard specified in the Department of Housing’s ‘Guidelines for Human Settlement, Planning and Design’.
The development of other structures such as shops, schools and a clinic.
Compensation for loss of surface access to farmers.
The relocation of some 2,300 graves.
Financial compensation for immovable assets, eg fruit trees.
The payment of a R20,000 settling-in allowance per household following relocation.
A ‘land-for-land’ exchange and the donation of additional farms.
The development of 700 hectares of maize fields for use by the community.
A brick-making plant donated to the community.
It is agreed that the communities will be paid an amount of R5 million each upon Anglo Platinum being given a vacant occupation of the land. Thereafter R2 million will be paid per annum for five years. These trust accounts will be set up upon vacant occupation.
30% of the new workforce would come from the affected communities.
Throughout the project Anglo Platinum paid for expenses incurred by the community as a result of the resettlement, including the community’s legal adviser’s fees, and stipends to the trustees of the section 21 companies, the operational teams and the community liaison officers.
The amount budgeted for the project was R675 million in nominal terms, while the amount spent to date is closer to R770 million.
All construction on the new villages was completed in March 2009.

In late 2008 Anglo Platinum appointed ERM to conduct a review of the resettlement processes undertaken at Ga-Pila and Motlhotlo near the Mogalakwena Mine, formerly known as the Potgietersrust Platinum Mine. ERM used the International Finance Corporation’s Performance Standard 5: Land Acquisition and Involuntary Resettlement as the benchmark for this review.

The key objectives of the assessment were to review Anglo Platinum’s performance in the resettlement activities carried out to date against current best practice in order to identify key strengths and weaknesses (and associated lessons learnt), but also to lay the foundations for sustainable and informed actions moving forward by developing a set of practical recommendations to Anglo Platinum based on the review findings.

The findings of the review were based on extensive stakeholder testimony relating to their experience of the resettlement process. This involved interviewing a broad sample of interested and affected stakeholders over a six-month period (December to May). The resulting report, which is being finalised, is due to be publicly released in the first quarter of 2010.

SOCIAL CAPITAL

R245m		Social capital is any value added to the economic outputs of an organisation by human relationships, partnerships and co-operation. Social capital includes, for example, networks, communication channels, families, communities, businesses, trade unions, schools and voluntary organisations, and also cultural and social norms and values such as trust.
corporate social investment spend in 2009

R18.4m
of social spend on education in 2009

COMMUNITY DEVELOPMENT

R43%		Anglo Platinum continues to play a meaningful role in community development. Guided by the Mining Charter, its social and labour plans and its corporate citizenship principles, the Company invested R245 million in community development projects near its operations in 2009.
spend on infrastructural projects around our operations

Bridge and road construction sponsored by Anglo Platinum on the Sefikile community

Western Limb community development

The municipalities in the Western Limb face many social challenges, including thousands of households without access to potable water or sanitation. There are housing shortages and the prevalence of HIV/AIDS is high. Particularly in the Kotane Local Municipality, limited access to villages, the poor road network and low levels of skills are of great concern. A total of R87.1 million was spent in this area in 2009, in the community development projects described below.

Infrastructure

Infrastructural development projects involved the following activities:

Provision of infrastructure for the Seraleng housing project.
Designing and planning the
Paardekraal Community Centre, on which construction will commence in 2010.
Construction at Thlabane Primary School, which includes 26 new classrooms due to be completed in 2010.
Renovating Tsirologang Primary School in Boitekong. This includes the restoration of 36 classrooms and of the administrative building, as well as repairs to the electricity network.
Renovating Motladi Kgoadigoadi Primary School. This entails general restoration, building a computer laboratory and providing two additional computers for the school’s administration. The school has also been adopted by Anglo Platinum under its Learner Development Programme.
Building sports courts for Lefaragatlhe Primary School. This project was applied for by the school principal because of the shortage of sporting facilities and the performance of the learners in school competitions.
Constructing and renovating five classrooms at the Makuka Middle School and the Ofentse Middle School.
Constructing three classrooms at the Mafenya Middle School.
Constructing a multi-purpose centre in Mantserre.
Constructing the Robega and Sefikile Mantserre roads as well as the Sefikile Bridge.
Providing electricity to Machorora Village.
The construction of the Rasimone and Chaneng tribal offices.
Building the Mantserre tribal offices.
Supporting the Rooiberg Community water supply project. The project was identified through the Integrated Development Planning process and with the intention of supplying the Rooiberg community with potable water, and was co-funded by Anglo Platinum and the Thabazimbi Local Municipality.
Upgrading various other schools, including Modise, Phalane, Mantserre and Mmamodimakwana.

Poverty alleviation and capacity building

Projects under this category included the following:

Undertaking a community skills audit.
Training in excess of 600 community members in portable skills as part of the Bokamoso programme; and training 50 learners at the business advisory centre.
Planning for the Paardekraal Piggery Cooperative. Land has been secured and the required infrastructure will be built in 2010. Individual community members who currently run their own small piggeries will have access to the cooperative and will be linked to the Piggery Association of South Africa.

Education

Involvement in the education-related programmes included the following:

Provision of educational toys and outdoor playing equipment for the children via our early childhood development (ECD) initiative.
Maths and science support at primary school level. This means supporting educators and learners via a service provider who assists with the planning of a learning programme, work schedules, lesson plans and assessment classes. Maths and science Saturday and holiday programmes also support best performers in certain communities.
A one-year programme for learners from our host communities, to improve their matric results in maths, science and technology.
Providing library books to Charora School.
Supplying 37 computers to the Charora, Bafokeng and Mafenya schools.
Supporting the Thuto Thebe Education Trust, which provides maths and science support to learners as well as small bursaries for skills training for community members.

Health

Anglo Platinum’s involvement in the health of communities living on the Western Limb included the following:

Supporting the Lifeline mobile clinic that provides healthcare services to people living in the informal settlements around the mine in Rustenburg. Anglo Platinum funds the nurse’s salary, the operational and administrative costs, and the transport costs of volunteers working on the mobile unit. The mobile unit goes to 12 sites per day.
Supporting Vision for the Nation in order to provide home-based care to community members. Funding is used to pay caregivers, take patients to clinics, and to provide immunity boosters and food parcels to those infected with HIV.
Donating a mobile eye clinic to the Department of Health and providing funds annually to support its running.
Supporting Sivukile HIV/AIDS.
Supporting the Tshupe Hospice.

Corporate social investment, R million
	SED programmes			Percentage
	2009	2008	2007	2009	2008	2007
Health	6.7	6.0	6.6	2.7	3.4	5
Education and youth projects	18.4	34.7	17.1	7.5	19.7	13.6
Environment	0.04			0.2
General community development (including infrastructural projects)	105	69.4	53.8	42.7	39.4	43
Arts, culture and heritage	—	40.7	0.5	—	23.2	0.4
Housing	—			—
Other	100.1			40.8
Chairman’s Fund contribution	15	25.0	48.0	6.1	14.3	38
Total	245.2	175.8	126.0	100	100	100

Eastern Limb community development

The social challenges faced by the municipality in the Eastern Limb relate mostly to water supply to schools and water quality. The lack of water for human consumption has led to the closure of many farms and mines. There is also a shortage of land owing to an increase in population and livestock numbers. Particularly in the local municipality, the focus is not only on basic infrastructure but also on transport and access to existing facilities. A total of R65.1 million was spent in this area in 2009, in the community development projects described below.

Infrastructure

Anglo Platinum’s involvement in infrastructural development projects in the region entailed the following:

Constructing the GaMadiba and GaMoboela clinics. Construction is complete and both clinics await opening by the Minister of Health.
Two clinics built by Anglo Platinum in the Mokopane area in 2009.
The construction of classes, accommodation and kitchen facilities at the Centre of Hope for disabled children and the provision of equipment for the centre.
Partnering with the Fetakgomo Local Municipality and Eskom to construct the Atok community centre.
The Sefateng water project to provide water for domestic and agricultural purposes in a 46-kilometre pipeline.
The Rapholo Bridge in Sefateng.
A unity centre to accommodate local government departments.

Education

Our participation on the educational front included the following:

The provision of educational toys and outdoor playing equipment for the children via ECD.
Maths and science support at primary school level. This entailed supporting educators and learners via a service provider who assists with the planning of a learning programme, work schedules, lesson plans and assessment classes.
Maths and science Saturday and holiday programmes for best performers in the communities, to improve their skills and give them an even better chance to perform in these areas.
A one-year programme for learners from our host communities, to improve their matric results in maths, science and technology.
The provision of water and sanitation facilities at local schools and ECD centres.
A mobile science centre in Limpopo.
A sports court for Siloe School for the Blind.

Poverty alleviation and capacity building

Projects under this category in the Eastern Limb were as follows:

The Groenfontein Community Farm project.
The construction of Mahlasedi Bakery.
The community portable skills project.
The Mashabela water project to supply water to the community.
The Tekanang Secondary School Sports Court.
The construction of a science laboratory at Ntwampe High School.
The Twickenham Soccer League.
The intervention through Micro-Finance for AIDS and Gender Equity (IMAGE) project.
The Reboile Farm Trust. The trust has secured support from the Limpopo Department of Agriculture regarding the technical support required by the farm to take the process forward.
The Ithuteng Community project. This is a community brick-making project employing 15 people.
The Maratepolo Poultry project.
The Fanang Diatla Self-Help project.
The Strydkraal Farming project.