All aboard q4 2015 (lr) by AEL Mining Services

ALL ABOARD Fourth Quarter 2015 I Ethics Line: 0800 205 280

AEL's running club makes great strides at the Soweto Marathon

AEL supports Mandela Day AEL expands South American Operation

AEL Paying it Forward

Editor’s Note Dear Colleagues As we reflect on 2015, let us celebrate our successes! We have proven that as the AEL family we possess the tenacity and drive to rise above any circumstance and emerge victorious. It’s now time to focus our energy on achieving new triumphs in 2016.

Contents 3

AEL Paying it Forward: AEL supports Mandela Day 2015

AEL Knowledge Sharing: AECI at South African Chemical Institute (SACI)

Convention 5

AEL International: AEL expands South American Operations

AEL Energy: AEL’s running club makes great strides at the Soweto Marathon

AEL Safety: Advancing the “Safety First” philosophy at the PETN plant

AEL Movers and Shakers: Meet Ronald Huggins

AEL #didyouknow?

AEL Values: Our Bigger Values

AEL Quality: Quality E-Learning Platform

AEL Quality: Introducing Quality Champion, Ajith Jugdeo

AEL Family: Babies on Board

AEL Family: Wedded Bliss

AEL Family: Reaching New Heights

AEL Family: Message from the AECI CEO, Mark Dytor

Image sketched by AEL’s Mbuyiseni Thwala

Some of the highlights in this issue include snapshots of the past year at our AEL sites globally. In our AEL CSI section, we demonstrate that AEL is fully committed to assisting the communities in which we operate and conduct our business. You get a glimpse of our initiative in Tembisa during Mandela Day. The AEL Energy section turns the spotlight on AEL’s running club who participated in the recent Soweto Marathon and achieved outstanding results. Under our AEL International section, we celebrate our Latin American team who are expanding AEL’s footprint with a more targeted approach and ensuring greater engagement with existing and potential customers. Alois Kwenda shares insights from AEL’s recent presence at the Exposibram conference in Brazil. Safety remains one of our primary focus areas. In our AEL Safety section, we inspire our workforce with stories of exceptional Safety achievements. Read about the inspiring account of Tumelo Mashua who is making strides in the safety arena at the PETN plant. Finally, in our AEL Family section, we celebrate the birth of the newest members who have now joined the AEL clan. We also congratulate our elated newlyweds as they embark on their journey of love. We welcome your stories for the next issue in March 2016. Please e-mail eubulus.pillay@ aelms.com We trust that you will be inspired and invigorated to face 2016. Here’s to a productive and prosperous new year!

Eubulus Cover Image: AEL Running Club at the Soweto Marathon

Contact Details: Eubulus Pillay - All Aboard Editor I Tel: +27 11 606 0313 I Fax: +27 11 605 0000 I eubulus.pillay@aelms.com I www. aelminingservices.com

All Aboard © AEL Mining Services

Fourth Quarter 2015

AEL supports Mandela Day In support of the annual Mandela Day campaign, AEL donated books that address youth-related challenges to high schools in Tembisa. The books are targeted at Grade 8 and 9 learners, and aimed at highlighting issues facing today’s youth such as peer pressure. AEL believes the learning material will help equip learners with knowledge to confidently combat and overcome these challenges. In addition to Life Orientation skills provided in the content of the books, learners also have the opportunity to improve their English proficiency through the promotion of reading. A total of 600 books were donated to each school. The schools include Boitumelong, Ingqayizivele, Tembisa West and Phomolong Secondary Schools. The donation was well received by the principals and teaching staff who appreciate the valuable content of the books. AEL’s book drive campaign was supported by the Maths Centre which AEL sponsors to improve maths and science literacy in Tembisa high schools. AEL’s relationship with the Maths Centre has seen schools benefit from teacher development and learner support initiatives which constantly deliver outstanding results in learning outcomes. “Phomolong Secondary School would not be the reputable learning institution that it is if it were not for AEL’s unwavering support. We pride ourselves in delivering a 100% matric pass rate which sees a large number of our students pursuing Bachelor’s degrees at the University of Witwatersrand. This investment will enhance our work aimed at ensuring effective teaching and learning so as to improve the quality of education in our schools.” said the school’s principal, Mr Thoka. AEL representatives were led by Group Human Capital Business Partner, Thabo Nkoane who believes in corporate citizenship and that every day should be Mandela Day. The Maths Centre was represented by Confident Nkwazi and Shepherd Chigogo who are committed to improving the quality of maths and science literacy in disadvantaged communities.

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Fourth Quarter 2015

AEL’s Group Human Capital Business Partner, Thabo Nkoane, (pictured above in blue shirt) engaging with learners and teachers

AEL Knowledge Sharing

AEL International

AECI at South African Chemical Institute (SACI) Convention

AECI participated inat the 42nd SACI Convention from

To set AECI apart, staff worked with the organisers to

the 30th November to the 4th of December 2015 at the

launch a competition for delegates to stand a chance

Southern Sun Elangeni Hotel in Durban.

to win AECI branded collateral. This was an exciting

AEL is growing its already established base in South America by going direct to customers with explosive products, on-site support and blasting optimisation. This is according to Alois Kwenda, AEL General Manager for Business Development for South America and West Central Africa, who says AEL’s business model in the region previously provided for the supply of products to customers through distributors.

opportunity to engage in further conversation and Two AECI postgraduate students, Busi Nzolo and

promote AECI’s value proposition.

Valeria Xaba, represented AECI in a compelling manner.

“We are now expanding by offering our full suite of products and technical expertise in South America directly to our customers to ensure quality throughout both the supply and application of explosives on site,” Kwenda says.

The SACI Convention is attended by industry thought leaders who bring a wealth of knowledge and

The conference was attended by 290 delegates that

innovations to share in the forums and discussions

visited the AECI stand were either Masters/PhD

held. AECI’s brand and value proposition were well

students, or research experts.

represented and effectively communicated.

AEL expands South American operations

Kwenda says the expansion in this region by AEL, has exceeded expectations since they started offering direct supply in June. “We have already participated in three tenders in the region and are conducting several demonstrations of electronic blasting systems with potential customers,” he says.

AECI staff shared information about AECI’s core businesses; availability of funds for research

Kwenda and his team recently exhibited as part of AECI at one of the largest mining trade fairs in Latin America, the International Mining Exhibition (EXPOSIBRAM) 2015, between 14 and 17 September 2015. The annual exhibition was held in Belo Horizonte, Brazil and received over 50 000 visitors.

purposes; instrumentation for chemical analysis; chemical products (both inputs and outputs) as well as geographic location of laboratory facilities. Delegates were interested in discovering new innovations to

“This was a great opportunity to meet with existing and potential customers and to be able to demonstrate to them that we are increasing our presence in Latin America and are prepared to do business with them,” Kwenda says.

use or integrate into their research. Other exhibitors included Microsep; Peak Scientific; and Perkin Elmer.

He adds that AEL aims to increase its supply of electronic blasting systems and bulk explosives to South American markets, particularly in Brazil and Chile, and that safety is the number one issue for these customers. He adds that AEL also aims to expand its on-site technical support in South America to help maintain the highest safety standards and optimise mining operations. AEL and AECI staff manning the AECI information desk

“Mining operations are looking for suppliers that not only deliver products but that can come up with solutions that increase their operational efficiency, which we can achieve through our suite of explosives, blast initiating systems and technical support through blast optimisation teams. We achieve this through detailed analysis of how our blasts can have an impact on each and every step of the mine to mill process to ensure mines get the very best out of their operations,” Kwenda concludes. AECI representatives with delegates at Exposibram 2015

All Aboard © AEL Mining Services

Fourth Quarter 2015

All Aboard © AEL Mining Services

Fourth Quarter 2015

AEL Energy

AEL Safety

Advancing the “Safety first” philosophy at the PETN plant

AEL’s Running Club makes great strides at the Soweto Marathon The AEL running club entered a contingent of eager

been part of this milestone event,” said running club

Club. For more information about the running club and

runners into the Old Mutual Soweto Marathon on

member and race participant, Ayanda Zici.

its activities, email Merinda.deJager@aelms.com.

the 1st of November 2015. The nationally acclaimed

All decked out in their AEL branded running kit, the

Soweto Marathon attracted over 21 000 runners this

team presented a bold, united front and successfully

The running club meets every Tuesday and Thursday

year surpassing last year’s numbers.

completed various legs of the marathon such as the

at 16h15 at Nobel Gate for a weekly 5km run. Put your

10km, 21km and 42km.

running shoes on and be part of the movement. Come

“The marathon is a qualifying race for the Comrades

along to run or walk at your own pace!

Marathon so it serves as a stepping stone to greater

If this account of the running club’s success has whet

achievements for the team. We are so proud to have

your appetite, we invite you to join the AEL Running

By Pitsi Nyaku

Q. Tell us about your background.

helps us keep the focus.

A. I am Tumelo Mashua, father of two.

Q. I’m sure your recent Safety Rep award

Currently, I am an Operator and Safety REP. at

has encouraged you to keep on with the

the PETN plant. I am in my 3rd year of study

good work. Tell us more about this.

towards a qualification in safety management. I have also completed SAMTRAC with NOSA.

A. Of course, everyone appreciates being recognised for their efforts. But it’s all

o l e m Tu

a u h s Ma

The PETN plant is one of AEL’s longest serving plants and has been producing PETN to DETS, Pentolite and ISAP over the years. With this huge responsibility comes many challenges. Top priority at the plant is safety. All Aboard chatted to SHE Rep Tumelo Mashua, an employee who is determined to take the PETN plant to the pinnacle of success.

Q. What sparked your interest into the SHE

thanks to everyone who participates 24/7 to

field?

ensure safe working practices.

A. It all started with my first induction when

Q. Finally, what’s on your cards for the next

I joined the company. I was intrigued by the

5 years?

work environment I was getting myself into. I always wondered how a global company could

A. My immediate goal is to become a safety

stil maintain a world class safety standard with

officer when I complete my studies and

little or no recordable injuries over such a long

hopefully a safety manager in the not-so-

period of existence. From then on I wanted to

distant future.

know more about SHE management. Thank you to Tumelo for championing Q. How is the safety team ensuring that safety

safety The AEL Way.

awareness is the primary focus? There we have it, it is evident that the spirit A. Going back to basics was the first step. Goal

of “safety first” resonates within the PETN

alignment with regards to safety was conducted

safety team. They are ambassadors who are

and the team shared a vision of never

striving for excellence as it is embodied in

subjecting anyone to any harm. This coupled

the AEL policies. We wish them all the best.

with active engagement with management

ABOUT THE AUTHOR - Pitsi Nyaku Pitsi Nyaku was born in Tembisa 25 years ago. He matriculated in 2008 and joined AEL in 2009 as a Cord Operator. He was handed scope of authority as an acting Team Manager in 2011 after going through the AEL development structures in Quality, basic HR management and SAP. He moved to the PETN plant in 2013 as a PETN operator and SHE Rep. He is currently a Team Leader at the PETN plant. Pitsi is a third year Bsc Chemistry student at UNISA and has a passion for writing.

All Aboard © AEL Mining Services

Fourth Quarter 2015

All Aboard © AEL Mining Services

Fourth Quarter 2015

AEL Movers and Shakers

AEL EXCELLENCE

Meet Ronald Huggins All Aboard had the pleasure of chatting to avid collector, Ronald “Ronnie” Huggins, ISAP Automated Assembly and Extrusion Plant Manager who has had an amazing career journey at AEL for almost 20 years. Let’s learn more about the man and his mission!

All Aboard (AA): Give us a brief background of your career path? Ronald Huggins (Ronnie): I started with the company as an apprentice in Feb 1996 and qualified in the field of Instrumentation in 1998. I worked as an E&I artisan for about six years and was then promoted to an E&I learner technician. Once I completed my electrical diploma through correspondence, I was promoted to E&I technician in 2005. In 2008 I was appointed as the E&I engineer for ISAP section as well as being responsible for the management and control of all the plant control systems for AEL. In 2011 I was appointed as a section engineer in ISAP focusing mainly on the Auto Assembly, Extrusion and Spray drying operations. From 2006 to 2012 I also managed the Radiation Protection Officer Portfolio for AEL. In January 2013 I was asked to take over as production manager for the Automated Assembly and Extrusion plants in ISAP where I am currently. AA: How long have you been in the employ of the AEL Mining Services? Ronnie: I have been with the company for 19 years now and am looking forward to celebrating my 20 year work anniversary in February 2016. AA: What does your portfolio entail? What are your key responsibilities? Ronnie: I am responsible for the management of the Automated Assembly and Shocktube Extrusion plants. The Automated Assembly plant is responsible for the production of 2.0m and 2.5m Shocktube assembly units for sale in the underground market. The Shocktube Extrusion plant is responsible for the production and supply for Shocktube for all of the Shocktube initiating units produced by AEL. I have eight direct reports and am responsible for a team of 97 committed and

engaged employees. AA: What is your modus operandi? Ronnie: Treat people with respect and dignity, empower them to reach their full potential in what they do, and create the environment for them to do so. I need to constantly strive to find new ways to improve and to move forward. Today’s best must be tomorrow’s average. AA: What major projects are you currently engaged in? Ronnie: My current focus for Automated Assembly is to create more flexibility on the Modular machines. Currently the Modular machines are restricted to 2.0 and 2.5 metre product. A project is in progress to change the design of the machines to be able to manufacture longer length products as well whilst maintaining the current machine efficiency. In the Extrusion plant my current focus is in reducing process waste and reducing the memory retention of the Shocktube that creates various issues on our downstream process. AA: What are we doing to stay relevant and on the cutting edge? Ronnie: I enjoy challenges, so I constantly seek ways to do things more efficiently. I like to keep up to date with current events and new technology, particularly those that can affect our business both in a positive and a negative way. I am generally not one to follow the rat race but rather the one leading the rat race and being ahead of the curve.

My personal challenge is that as being a strong leader of my own team I also need to learn to be a better team player in my manger’s team. AA: What is your vision/ goal for the future within AEL? Ronnie: My vision for the future is to continue to grow and equip my team so that they are ready for future progression within the business when the opportunity arises. From a plant perspective my goal is to progress the production output of the Automated Assembly plant from 3 million quality assemblies per month to 3.5 million assemblies per month and to reduce the current process waster in the Extrusion plant to below 3% per month. On a personal level I was privileged to have been selected to attend the MMDP course in 2015 which I thoroughly enjoyed. This has sparked a new interest in developing my business skills further, so if all goes according to plan I will be starting with an MBA in 2017. AA: Tell us something interesting about yourself? Ronnie: I am cursed with the collectors bug. I like to collect many different things but the more notable collections that I have are a stamp collection currently valued at around R 600K. I have an action figure collection currently valued at R 420K and a die-cast model car and motorcycle collection currently valued at around R 350K. AA: What are your hobbies? Ronnie: My interests are 4x4ing and overlanding, camping, fly-fishing and spending time in my home gym.

AA: Do you see yourself as a leader or a team player? Ronnie: I see myself as a leader. I like to inspire people and encourage them to achieve their full potential. A leader is only as strong as the team that supports him.

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Fourth Quarter 2015

AEL #didyouknow? Did you know 14 years ago, AEL achieved the first single blast using 1 500 electronic detonators at Damang Gold Mine in Ghana using the AELdeveloped programmable Smartdet® system? Find out more about our innovative history by visiting www.aelminingservices.com/about/our-history

Did you know South Africa was the third largest exporter of iron ore and concentrates in 2014, behind Brazil and Australia in second and first respectively?

Did you know almost nine years ago, AEL Zambia Plc listed on the Lusaka Stock Exchange? Today, the company employs 280 employees and indirectly provides work for a further 100 people, such as security officers, and sub-contractors.

Did you know that a US company is planning to mine asteroids for the precious materials they contain? How long do you think it will be before we're mining in space? Read more about this on www.digitaltrends.com/cool-tech/how-planetary-resources-selectsasteroid-mining-targets/

Have you seen the review of our Vertical Drop Infrastructure and InstaStem on Engineering and Mining Journal? Check out www.e-mj.com/features/5483-patterns-of-success.html#.VmbbLNIrLIX

In a move to improve safety in mining in South Africa, the Council for Scientific and Industrial Research has invented a robot monitor the safety of mines after blasting. To read more about this technological breakthrough visit www.mediaclubsouthafrica.com/economy/4143-infographic-miningrobot-can-save-lives

Fourth Quarter 2015

AEL Quality

Quality E-Learning Platform In the past, employees needing to undergo training in Quality had to travel to Modderfontein. This proved to be very difficult, especially for our operations abroad. Moving forward, Global Quality will introduce the E-Learning Platform. This will cater for all nonspecialised training requirements, it will launch in conjunction with the LMS Platform. These are a huge aid in keeping AEL Mining Services compliant to international training requirements. Aside from the obvious benefits of cost saving through decreased travel and material costs there are a number of other advantages and these include: • No employee or service provider is needed to facilitate the training • Training is not bound by geography or time availability • Standardised and consistent delivery of content • Training can be accessed anytime, anywhere How E-learning supports the Organization’s Goals 1. Reduced training costs Producing learning content is time consuming whether it’s online or not. With E-learning, each time the course is accessed the return on investment improves because you are dividing the fixed production costs by number of uses. And as mentioned above, these are savings through decreased travel, reduced material, and this hopefully results in improved (and more efficient) performance. 2. Increased productivity and flexibility Because E-learning is not bound by geography or time, you can control training’s impact on production by

Introducing Quality Champion: Ajith Jugdeo

by Annuscha Pohl

training people during down times. In addition, with the current economy, you’re asking people to do more with less. So E-learning is a great way to give them the tools and skills needed to enhance their performance. 3. Standardization You may have a great facilitator, but that’s no guarantee that the courses are presented the same across all sessions. E-learning allows you to create a standardized process and consistency allowing for content to be delivered consistently every time it goes out. It also compresses delivery time. How E-learning supports the Employee Development 1. Real-time access Live learning events require that those who participate align their schedules to a training calendar. E-learning eliminates this because the course can be accessed anytime, anywhere where only deadlines need to be met. 2. Freedom to fail No one likes to fail in a classroom full of other people. E-learning lets you fail without fear. This encourages exploration and testing of ideas. With the right feedback a great learning environment is created. Worst case, a learner can always start over. Something you can’t always do in class.

4. Personalized learning Look out the window at your parking lot and you’ll see a dozen or more different cars. They all do the same thing, yet we have personal opinions about what we want to drive. The same is true for learning. Learners want control. E-learning allows you to offer control to the learners in a way that classroom learning doesn’t.

What is your role at AEL?

I am presently employed as the Quality Coordinator (Quality Champion) of the FMS Workshop and responsible for maintaining and continually improving the Quality Management System as

The Quality E-Learning Training Modules

required by Group Quality.

Global Quality will have the following training modules available on the LMS system:

What do you value about working at AEL?

• Basic navigation training on how to use the E-learning modules • Quality Induction • Quality Awareness • QMS Requirements • Document Control System (with sub-units) • Control Tools and Systems (with sub-units) • Measurement Equipment (with sub-units) • Centralised Calibration System • Timing Training • Supplier Quality

I value the work ethic and support I receive from my colleagues. The great team work which inspires me to achieve greater heights as there is always a challenge placed in our path to do better and be better at what we do.

How is Quality important to you?

Quality is of utmost importance to me because I believe that the quality of work produced by a

h t i j A

3. Improved retention The combination of multimedia and instructional design can produce a very rich learning experience that is repeatable. Throw in some good practice activities with feedback and you have a learning environment that’s going to help your employees retain the course content which will produce results.

o e d g Ju

person reflects their values, attitude and pride they take in their responsibilities.

Who is your role model in life and why?

My dad, because of the simple and humble life he lived.

When not working what do you do for fun or to unwind?

When I am not at work I try to spend as much time as possible with my family, Otherwise any other spare time is spent playing soccer with my son.

Fourth Quarter 2015

AEL Family

AEL FAMILY

Babies on Board We take pleasure in announcing the latest additions to the AEL Family. We wish the parents the best of luck with the late night feeds and early morning lullabies.

NEWSLETTER FROM THE OFFICE OF THE CHIEF EXECUTIVE | DECEMBER 2015

Dear Colleagues

Introducing Vernon Proudfoot’s handsome son, Liam born on 21 October 2015

The end of the year is around the corner and distribution of the quarter four issue of “Our World” magazine commenced on 4 December. Please look out for it. It covers a number of important issues, including the launch of our BIGGER and better values, as well as acquisitions, disposals and safety. Take time to read it and feedback accordingly. The next issue will be released at the end of March/beginning of April.

Meet Hlonolofatso, beautiful daughter of Trudy Modiba who made her appearance on 8 September 2015

Since many people go on leave during the December/January school holidays, particularly in Australia, South Africa and the rest of Africa, I would like to wish you a very happy festive season and all the best for the new year. Recharge your batteries and come back refreshed and ready for more. It certainly looks like 2016 is going to be an equally challenging and demanding 12 months! We are not even in the new year yet and diaries are filling up fast.

Reaching New Heights The Commercial Team, (front row L to R) Francois van Niekerk, Vivi Majova, Johan Barnard, Angelique Cronje (back row from L to R) Sean Slabbert, Trevor Roberts and Denvor Govender, braved the Go-Ape climbing obstacle course as part of their

As soon as we come back in January, the Group strategy session will take place at Sun City, followed by Mining Indaba in Cape Town, where AECI Mining Solutions is one of the main sponsors. The annual financial results for the year ending 31 December will be released on 23 February, and the Group’s top performers will be recognised at the Annual Awards luncheon and Sales Day events shortly thereafter.

Wedded Bliss

The implementation of a new Performance Management System will also commence in January. A significant amount of effort and time have gone into its design and planning and I am looking forward to seeing how our businesses and people embrace the principles of recognition and reward moving forward.

Congratulations to our latest newlyweds, the dashing Simon Tose, Global Mining Optimisation Manager and his beautiful bride Sanet who tied the knot on 15 November 2015. Here’s to a blessed union showered with an abundance of happiness!

In the event that you are travelling during the holidays, please take care and come home safely. Thank you for your commitment and support this year. I look forward to working with you in 2016. Kind regards

Mark Dytor

team building initiative. Fearless leader Trevor Roberts, Executive Commercial, led by example and ensured that all team members completed the course.

Fourth Quarter 2015

A 2000-ton blast just happened here.