Reserves & resources

Snowden Mining Industry Consultants (Pty) Ltd (Snowden) has defined Mineral Resources and Reserves for the Springlake and Somkhele collieries in accordance with the South African Code for the Reporting of Mineral Resources and Mineral Reserves (the SAMREC code). These figures were prepared for the AIM listing document, dated 20 December 2006, except for Somkhele which was updated in June 2007.

Springlake Colliery

Springlake Colliery – Anthracite Resources

Resource classification	Gross in-situ tonnes (Mt)	Geological loss (%)	Mineable in-situ tonnes (Mt)
Measured	19.474	10	17.526
Indicated	8.225	20	17.526
Inferred	0.407	50	17.526
Total	28.106	14	17.526

Springlake Colliery – Bituminous Resources

Resource classification	Gross in-situ tonnes (Mt)	Geological loss (%)	Mineable in-situ tonnes (Mt)
Measured	2.758	10	2.482
Indicated	4.845	20	3.876
Inferred	3.434	50	1.717
Total	11.037	27	8.075

Springlake Colliery – Anthracite Reserves

Reserve classification	Mining Method	Mineable in Situ (Mt)	Extraction (%)	ROM (Mt)	Practical yield (%)	Sales tonnes (Mt)
Proved	Underground	14.519	49	7.178	67	4.809
	Opencast	3.133	95	2.977	67	1.994
Total Proved		17.652	58	10.155	67	6.803
Probable	Underground	5.374	49	2.609	67	1.748
	Opencast	1.206	71	0.852	67	0.571
Total Probable		6.580	53	3.461	67	2.319
Total Proved and Probable		24.232	56	13.616	67	9.122

Somkhele Colliery

Anthracite Resources for Somkhele Area 1, 2 and 3

Resource classification	Gross in-situ tonnes (Mt)	Geological loss (%)	Mineable in-situ tonnes (Mt)
Area 1 - Measured	10.911	10	9.820
Area 1 - Indicated	16.568	20	13.254
Area 1 - Inferred	8.596	50	4.298
Total - Area 1	36.075	27	27.372
Area 2 - Measured	2.667	10	2.400
Area 2 - Indicated	NIL	-	-
Area 2 - Inferred	NIL	-	-
Total - Area 2	2.667	10	2.400
Area 3 - Measured	NIL	-	-
Area 3 - Indicated	NIL	-	-
Area 3 - Inferred	42.847	50	21.424
Total - Area 3	42.847	50	21.424
TOTAL Areas 1, 2, 3	81.589		51.196

Anthracite Reserves for Somkhele Area 1 and 2

Reserve classification	Mining Method	Mineable in Situ (Mt)	Extraction (%)	ROM (Mt)	Practical yield (%)	Sales tonnes (Mt)
Area 1 Proved	Opencast	9.820	95	9.329	68.6	6.400
Area 1 Probable	Opencast	13.254	95	12.591	68.6	8.638
Total Area 1	Opencast	23.074	95	21.920	68.6	15.038
Area 2 - Proved	Opencast	2.400	95	2.280	68.6	1.564
Area 2 - Probable	Opencast	0	95	0		0
Total - Area 2	Opencast	2.400	95	2.280	68.6	1.564
Total Area 1, 2		25.474		24.200		16.602

SamQuarz

SamQuarz Revised Resource Statement – August 2006 updated by Snowden

Source	Non-SAMREC defined (Mt)
Quartzite	45.12
Chert	5.87

SamQuarz Revised Reserve Statement – August 2006 updated by Snowden

Source	Proved Reserve (Mt)	Probable Reserve (Mt)3
Quartzite1	10.14	34.98
Chert2	5.87

Notes:

1 Next nine years of mine production
2 Life of mine
3 Balance of life of mine

Mine Depletion to June 2007

Operation		Mineral	Reserve	Mining Method	End Reserve (000)
SamQuarz	30 June 2006	Quartzite	Proved & probable	Opencast	(*) 50,990
	Mined this year				(1,240)
	30 June 2007				49,750
Springlake	30 June 2006	Anthracite	Proved & probable	Opencast	(*) 3,828
	Mined this year				(628)
	30 June 2007				3,200
	30 June 2006	Anthracite	Proved & probable	Underground	(*) 9,787
	Mined this year				(413)
	30 June 2006				9,374
Somkhele	30 June 2006	Anthracite	Proved & probable	Opencast	(*) 24,200
	Mined this year				(**)(92)
	30 June 2007				24,108

The estimates presented in the table above are based on the SAMREC code but the estimated depletion of reserves due to mining operations from the dates of the previous competent persons’ reports have not been independently verified. The table above is stated exclusive of resources.

(*)	These estimates are extracted from the Independent Competent Person’s Report on the Material Properties of Petmin Limited, prepared by Snowden for inclusion in an admission document that accompanied Petmin’s application for a secondary listing on the AIM market of the London Stock Exchange. The date of the Snowden report was August 2006.
(**)	Somkhele started production on 1 June 2007. The production reported is for one month to 30 June 2007 and excludes middlings production from the opencast operation.