Impala Platinum : Implats Annual Financial Statements - FY2022

Audited Annual Financial Statements 2022

Supplement to the Annual Integrated Report 30 June 2022

Creating a better future

Annual integrated report

• Report explains to providers of financial capital how Implats creates, preserves or erodes value over time.

ESG report

• Detail on material economic, social and environmental performance
• GRI G4 core compliance
• Internal reporting guidelines in line with the UN Global Compacts
• Independent assurance report.

Remuneration report

• Basis of preparation
• Background statement
• Remuneration philosophy and policy
• Implementation report.

Contents

Mineral Resource and Mineral Reserve Statement

• Provides updated estimates and reconciliation of Mineral Resources and Mineral Reserves
• Conforms to the South African Code for Reporting of Exploration Results, Mineral Resources and Mineral Reserves (SAMREC) (2016)
• Conforms to Section 12.13 of the JSE Listings Requirements
• Competent Persons sign-off.

Notice to shareholders

• Notice and proxy.

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Information available on our

website www.implats.co.za

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Financial statement assurance 2 - 17

Report of the audit and risk committee	2
Directors' responsibility statement	8
Chief executive officer and chief financial officer
responsibility statement	8
Certificate by Company secretary	9
Independent auditor's report	10
Directors' report	13

Consolidated financial statements 18 - 105

General information	18
Consolidated statement of profit or loss and
other comprehensive income	22
Consolidated statement of financial position	23
Consolidated statement of changes in equity	24
Consolidated statement of cash flows	26
Notes to the consolidated financial statements	27
Annexures to the consolidated financial
statements	95

Implats Audited Annual Financial Statements 2022

Company financial statements 106 - 122

Company statement of profit or loss and other
comprehensive income	106
Company statement of financial position	107
Company statement of changes in equity	108
Company statement of cash flows	109
Notes to the Company financial statements	110

Additional information

Contact details and administration

IBC

Financial statement	Consolidated financial	Company financial	Additional
assurance	statements	statements	information

Welcome to our 2022 annual financial statements

Impala Platinum Holdings Limited (Implats) is a leading producer of platinum and associated Platinum Group Metals (PGMs).

Our vision	Our
To be the most valued	purpose
and responsible metals producer,	To create a
creating a better future for our
stakeholders	better future

Our values

RESPECT	CARE	DELIVER
We believe in	We set each other up	We play our
ourselves	for success	A-game everyday
We work together	We care for the	We go the extra
as a team	environment	mile
We take ownership	We work safely	We learn, adapt
of our responsibilities	and smartly	and grow
We are accountable	We make a positive	We create a
for our actions	contribution to society	better future

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1

This report contains the consolidated financial statements and the separate annual financial statements of Impala Platinum Holdings Limited for the year ended 30 June 2022.

These annual financial statements

were prepared according to International Financial Reporting Standards (IFRS) of the International Accounting Standards Board (IASB), the SAICA Financial Reporting Guides as issued by the Accounting Practices Committee and Financial Reporting Pronouncements as issued by the Financial Reporting Standards Council, the requirements of the South African Companies Act, Act 71 of 2008, the Listings Requirements of the JSE Limited and A2X Markets, as well as the recommendations of King IVTM*.

• Copyrights and trademarks are owned by the Institute of Directors in South Africa NPC and all rights are reserved.

Implats is structured around six mining operations and Impala Refining Services,

a toll refining business.

The mining operations are located on the Bushveld Complex in South Africa, the Great Dyke in Zimbabwe - the two most significant

AP

Accounting policies

The specific principles, bases, conventions, rules and practices applied by the Company for preparing and presenting financial statements.

EJ

Estimates and judgements

The complex or subjective judgements that have the most significant effect on amounts recognised and assumptions and other sources of estimation uncertainty where there is a significant risk of material adjustment to the carrying amounts of assets or liabilities with the next reporting period.

PGM-bearing ore bodies in the world - and the Canadian Shield, a prominent layered igneous complex domain for PGMs.

Implats has its primary listing on the

JSE Limited (JSE) and a secondary listing on A2X Markets in South Africa, as well as a level 1 American Depositary Receipt programme in the United States of America.

We welcome your feedback to ensure we cover all aspects

Go to www.implats.co.za or email [e-mail] to provide us with your feedback.

Implats Audited Annual Financial Statements 2022

2

Report of the audit and risk committee

The Implats audit and risk committee (the committee) is pleased to present its report for the financial year ended 30 June 2022, as required by section 94 of the Companies Act, 71 of 2008 (Companies Act), the King Code of Governance for South Africa (King IV), and the JSE Listings Requirements. This report aims to provide details on how the committee satisfied its statutory and board-delegated duties during the period under review, as well as on some of the significant matters that arose and how they were addressed to ensure the integrity of the Group's financial reporting.

Function and responsibilities

The committee's main objective is to assist the board in fulfilling its oversight responsibilities and has terms of reference in place which regulate both its statutory duties and those duties delegated to it by the board. The terms of reference were reviewed and updated in November 2021. The scope of the committee extends to all activities of Implats and its subsidiaries. The committee is focused on ensuring the integrity of the Company's financial statements and the robustness of the Group's systems of internal control and financial and regulatory risk management, as well as its compliance with policies, plans, procedures, laws and regulations. Additionally, the committee monitors the internal and external assurance services to ensure an effective control environment and to confirm that the assurance provided supports the integrity of information produced and reported by the Company. The committee is also responsible for IT governance.

Composition and meeting

The committee comprises four members who are all independent non-executive directors and who have been appointed by the board and approved by the shareholders at the annual general meeting on 13 October 2021. The committee held a total of four scheduled meetings during the year.

Members1	Attendance	Appointed
Ms D Earp BCom, BAcc, CA(SA) (Chairperson)	4/4	1	August 2018
Mr PW Davey BSc (Hons) Mining Engineering, MBA	4/4	18 February 2016
Mr R Havenstein BSc and MSc Chemical Engineering, BCom	4/4	1	January 2021
Mr PE Speckmann BCompt (Hons), CA(SA)	4/4	1	August 2018

1  Refer annexure C for the aggregate remuneration of the committee members. Information on the board composition and profiles, including experience and diversity, is disclosed in the annual integrated report which can be accessed at (www.implats.co.za).

The Group chief executive officer (CEO), the chief financial officer (CFO), the chief audit executive (CAE), the executive heads representing Group financial reporting, Group management accounting, risk, insurance and compliance, legal services, the chief information officer, the external auditors as well as other members of management are standing invitees to all the committee meetings. At every scheduled quarterly meeting, the committee meets separately in closed sessions with internal auditors, external auditors and management. The committee chairperson also meets separately with external and internal auditors between committee meetings.

Committee evaluation process

The board and its committees undergo effectiveness evaluations every two years on an alternating schedule. The latest results of the evaluations indicated that the committees remain effective. The recommendations and key focus areas have been included in the annual work plans.

Implats Audited Annual Financial Statements 2022

Financial statement	Consolidated financial	Company financial	Additional	3
assurance	statements	statements	information

Report of the audit and risk committee

Mandate of the committee - discharge of duties

The committee has discharged all its responsibilities as required by the Companies Act, King IV, the JSE Listings Requirements and the board-approved terms of reference, including but not limited to the following:

External reporting		Governance

• Reviewing accounting policies and key accounting judgements and estimates
• Reviewing the impairment and reversal of impairment assessments
• Reviewing tax provisions and contingencies including uncertain tax matters
• Monitoring the reporting processes and the preparation of fairly presented financial statements in compliance with the applicable legal and regulatory requirements and accounting standards
• Monitoring the activities of internal auditors, ensuring independence of the function and recommending the internal audit charter for board approval
• Recommending the annual integrated report and the supplementary reports for board approval
• Reviewing and recommending publicly disclosed financial information for approval by the board and where appropriate quarterly production reports and trading updates to shareholders
• Considering the impacts of the JSE Proactive Monitoring Panel activities reports on the Group financial statements.

• Considering the solvency and liquidity tests undertaken for specific transactions and distributions and making recommendations to the board in this regard
• Making recommendations regarding dividend declarations in line with the Group capital allocation framework, balance sheet and liquidity policy and the dividend policy
• Performing duties that are attributed to it by the Companies Act, the Johannesburg Stock Exchange (JSE) and King IV Code
• Reviewing and approving the Group tax policy and the treasury policy
• Reviewing and approving the IT governance framework and IT strategy
• Reviewing and approving the compliance framework
• Reviewing the expertise, experience and performance of the CAE, CFO and the finance function.

External auditors		Internal control and risk management

• Monitoring closely the activities of the external auditors, their independence, approval of audit fees and ensuring that the scope of their non-audit services provided do not impair their independence
• Recommending the appointment of external auditors for shareholder approval and overseeing any change of the lead partner. Prior to making its nomination, the committee requested and considered all information required in terms of section 22.15(h) of the JSE Listings Requirements in assessing the auditor and the designated auditor's suitability for appointment.

• Quarterly review and monitoring of the effectiveness and implementation of the Group risk management framework and internal control mechanisms
• Approving the terms of reference of the internal audit function and assessing its effectiveness
• Approving the internal audit plan and reviewing regular reports from the Group risk management and internal audit functions and external auditors on the adequacy and effectiveness of the internal control system
• Ensuring the integrity of financial information issued to stakeholders through robust internal controls and risk management processes
• Considering the activities of material subsidiaries and non- controlled operations through review of reports and minutes of the respective audit and risk committees
• Overseeing cooperation between internal and external auditors in line with the Group's combined assurance model
• Oversight and monitoring of legal and compliance-related matters
• Monitoring the effectiveness of the information technology (IT) function
• Confirmation of adequacy of insurance cover and placement.

Implats Audited Annual Financial Statements 2022