Page 1

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

______________________

FORM 6-K

REPORT OF A FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

For October 2008

Commission File Number 0-28800

______________________

DRDGOLD Limited

EBSCO House 4

299 Pendoring Avenue

Blackheath

Randburg, South Africa, 2195

(Address of principal executive offices)

______________________

Indicate by check mark whether the registrant files or will file annual reports under cover of Form
20-F or Form 40-F.

Form 20-F

Form 40-F

Indicate by check mark whether the registrant by furnishing the information contained in this Form
is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the
Securities Exchange Act of 1934.

Yes

If ''Yes'' is marked, indicate below the file number assigned to the registrant in connection with Rule
12g3-2(b): N/A

Attached to the Registrant Form 6-K filing for the month of October 2008, incorporated
by reference herein:

Exhibit

99.1 Release dated October 23, 2008 entitled “REPORT TO SHAREHOLDERS FOR THE
QUARTER ENDED 30 SEPTEMBER 2008”.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused
this report to be signed on its behalf by the undersigned, thereunto duly authorized.

DRDGOLD LIMITED

Date: October 23, 2008

By: /s/ Themba Gwebu

Name: Themba Gwebu

Title: Company Secretary

KEY FEATURES

• Headline earnings per share of 10.5 cents

• Acquisition of a further 15% interest in the Elsburg JV

• Commissioning of the first CIL circuit at ERGO’s plant on track to commence in December quarter

• Commissioning of Top Star dump on track to commence in December quarter

• Way Ahead Project production on track to commence in December quarter

REVIEW OF OPERATIONS

Quarter

Quarter

Group

Sep 2008

Jun 2008

Change

Sep 2007

Gold production

Continuing operations

70 861

71 211

–

89 157

2 204

2 215

–

2 773

Discontinued operations

–

10 033

–

311

Group

70 861

71 211

–

99 190

2 204

2 215

–

3 084

Cash operating costs

Continuing operations

US$ per oz

755

689

(10)

584

ZAR per kg

188 967

173 034

(9)

133 673

Discontinued operations

US$ per oz

–

1 017

ZAR per kg

–

233 707

Group

US$ per oz

755

689

(10)

628

ZAR per kg

188 967

173 034

(9)

143 761

Gold price received

US$ per oz

864

893

(3)

693

ZAR per kg

216 297

224 552

(4)

158 598

Capital expenditure

US$ million

9.1

20.0

5.1

ZAR million

70.2

149.8

36.5

Average exchange rate

ZAR:US$

7.79

7.82

–

7.12

REPORT TO SHAREHOLDERS FOR THE

FIRST QUARTER ENDED

30 September 2008

(Incorporated in the Republic of South Africa)
Registration No. 1895/000926/06
JSE share code: DRD • ISIN: ZAE 000058723
Issuer code: DUSM • NASDAQ trading symbol: DROO
(“DRDGOLD” or “the company”)

GROUP RESULTS

Gold production

Dec 07

Mar 08

Jun 08

Sep 08

60 000

65 000

70 000

75 000

80 000

Gold production

Cash operating margins US$/oz

Dec 07

Mar 08

Jun 08

Sep 08

500

600

700

800

900

1 000

US$/oz

Revenue
Cash operating cost

Cash operating margin R million

Dec 07

Mar 08

Jun 08

Sep 08

300

350

400

450

500

550

R million

Revenue Rm
Cash operating cost

STOCK

• SHAREHOLDER REPORT 2008 •

DRDGOLD LIMITED

Issued capital

376 577 088 ordinary no par value shares

5 000 000 cumulative preference shares

Total ordinary no par value shares issued and committed:

392 507 207

Stock traded

JSE

NASDAQ

Average volume for the quarter per day (’000)

956

1 787

% of issued stock traded (annualised)

124

Price

• High

R6.40

US$0.803

• Low

R3.37

US$0.396

• Close

R3.75

US$0.443

FORWARD-LOOKING STATEMENTS
Many factors could cause the actual results, performance or
achievements to be materially different from any future results,
performance or achievements that may be expressed or implied by
such forward-looking statements, including, among others, adverse
changes or uncertainties in general economic conditions in the markets
we serve, a drop in the gold price, a continuing strengthening of the
Rand against the Dollar, regulatory developments adverse to
DRDGOLD or difficulties in maintaining necessary licences or other
governmental approvals, changes in DRDGOLD’s competitive position,
changes in business strategy, any major disruption in production at key
facilities or adverse changes in foreign exchange rates and various
other factors.

These risks include, without limitation, those described in the section
entitled “Risk Factors” included in our annual report for the fiscal year
ended 30 June 2007, which we filed with the United States Securities and
Exchange Commission on 14 December 2007 on Form 20-F. You should
not place undue reliance on these forward-looking statements, which
speak only as of the date thereof. We do not undertake any obligation
to publicly update or revise these forward-looking statements to
reflect events or circumstances after the date of this report or to the
occurrence of unanticipated events.

OVERVIEW
Dear shareholder

Safety, health and environment
With deep regret I must report the deaths of four employees in work-
related incidents during this quarter. This marks a serious and bitterly
disappointing reversal to our track record of two successive fatality-free
quarters.

At Blyvooruitzicht Gold Mining Company Limited (“Blyvoor”), rock drill
operators, Aron Maqoma and Velelo Mshuwywa died in rockfalls following
seismic events, the former on 16 August and the latter on 4 September.

At East Rand Proprietary Mines Limited (“ERPM”), timberman Pieter
Jonker and shaft assistant Fernando Vate were asphyxiated in a shaft
conveyance on 19 September while on their way to conduct routine
water level measurements underground at the mine’s South West
Vertical (“SWV”) shaft.

Performance in respect of the other key safety indicators was mixed.
ERPM and Crown Gold Recoveries (Pty) Limited (“Crown”) reported
improvements in their dressing station injury rates while Blyvoor
reported a 13% regression. ERPM and Blyvoor reported improvements
in their lost time injury frequency rates, but Crown’s performance
remained unchanged. Blyvoor reported a slight improvement in its
reportable injury frequency rate while ERPM and Crown both reported
substantial regressions.

An analysis of accident agencies, or causes, during the quarter showed
that the two largest were fires (22%) and non-seismicity related falls of
ground. These, and the other 28 agencies identified, are all under
investigation in order to identify and implement more stringent
preventative measures.

Preparations continued during the quarter for the roll-out of a
company-wide behaviour-based safety initiative during December 2008.
The first phase of internal consultant training has been completed
and the second phase is scheduled for completion by the end of
October 2008.

Occupational hygiene came under the spotlight during the quarter.
A company-level occupational hygiene post has been created and filled
internally and training of relevant personnel throughout the operations
will be conducted. On completion of a baseline risk assessment, the
company’s Code of Practice will be revised and implemented.

The company spent a total of R7.6 million on environmental issues
during the quarter – R1.3 million at Blyvoor, R0.8 million at ERPM and
R5.5 million at Crown. At Blyvoor the largest cost factors were slimes
clean-ups, rehabilitation and consultants’ fees; at ERPM the contribution
towards the operation’s environmental rehabilitation trust fund; and at
Crown, site rehabilitation and vegetation.

As discussed in the previous letter to shareholders with regard to the
Wonderfonteinspruit issue, the company continues as an active member
of the Mining Interest Group, interfacing with interested and affected
parties.

Corporate
On 6 October 2008 we announced the cessation of pumping from
ERPM’s SWV shaft, following the tragic events of 19 September 2008.We
stated at the time that we would investigate, over the following two
weeks, the effect of this withdrawal on the rest of ERPM’s operations.

We have established that the rising water level of the Central
Witwatersrand Basin will, within the next two to three weeks, start to
exert unsustainable pressure on the pumping capacity of ERPM’s sole
production shaft, Far East Vertical (“FEV”) shaft. Pumps from this shaft
displace water resulting from 2 100 tonnes of ice transported under-
ground from surface daily to cool the shaft’s underground workings
through a series of underground plugs into the Central Witwatersrand
Basin against an ever rising head.

Without being able to continue to supply ice to the underground
workings, we will be unable to maintain underground temperatures to
within regulated limits, and may have no other option for the time
being than to suspend drilling and blasting operations. We will have to
investigate what possibilities there may be to resume drilling and blasting
at a later stage but it would seem that the necessary upgrade to FEV
Shaft’s pumping capability could be both costly and lengthy.

We are currently in discussions with labour, surrounding mines and the
relevant government departments to consider these circumstances and
how to best manage the consequences.

During the quarter, we took forward our surface retreatment ambitions
with the announcement of our acquisition from Mintails South Africa
(Pty) Limited of a further 15% interest in the Elsburg Gold Mining Joint
Venture (“Elsburg JV”), taking to 65% our interest in this pivotal component
of the first phase of the Ergo Joint Venture (“Ergo JV”). We have, in
addition, a conditional option to acquire a further 11% in Elsburg JV.

DRDGOLD closing share price

Dec 07

Mar 08

Jun 08

Sep 08

• SHAREHOLDER REPORT 2008 •

DRDGOLD LIMITED

Construction of the first phase of Ergo has progressed extremely well.
Commissioning of the first carbon in leach circuit at the Brakpan plant
will begin during the December quarter, with production from the
Benoni Tailings Dam ramping up to 600 000 tonnes per month until April
next year, and then to 1.2 million tonnes per month from the Elburg
Tailings Complex thereafter.

Production
Total gold production for the quarter was virtually unchanged at 70 861
ounces, an 11% increase in production at Crown offsetting the impact of
production declines of 7% and 2% at Blyvoor and ERPM respectively.

At Blyvoor, lower production resulted mainly from the loss of 15 production
days due to Section 54 closures imposed by the Department of Minerals
and Energy and days of mourning called by the National Union of
Mineworkers. These followed the two fatalities detailed under Safety, Health
and Environment above.

At ERPM, lower surface gold production, a result of a decline in the
average surface yield, was the primary contributor to lower total gold
production.

Financial
Total revenue was 4% lower at R476.7 million, reflecting a 4% decline
in the average gold price received to R216 297/kg. After accounting for
cash operating costs, which were 9% higher at R416.5 million, operating
profit was 55% lower at R57.2 million. An impairment of R47.6 million
relating to the restructuring of ERPM’s underground operations was
recorded, income tax of R15.6 million paid and a net loss of R8.8 million
recorded compared with the previous quarter’s net profit of R44.5 million.

Looking ahead
A range of events in the quarter under review caused your company’s
board and senior management to engage in some serious introspection.
At a macro level, of course, the turmoil brewing in global economies for
months has bubbled to the surface. While this appears to have been
good for gold so far, time will tell whether jittery investors flock to the
metal as a safe haven with the same, or greater, alacrity as in the past.
The South African economy, relatively speaking, has borne up remarkably
well thus far to the global furore, but we are facing some political
uncertainty.

Our introspection, prompted by these events, indicated clearly to us that
this is no time for ‘heroics’ in a business such as ours; indeed, it is a time
for careful consideration of all of the dynamics – those which are in our
power to manage as well as those that are not – and to plan a rational
and economical course ahead that will deliver positive results and value-
add.

We envisage such a course for the next 12 months, which will have the
following three focus areas:
o risk management;
o cost control; and
o margin management.

We expect our actions in respect of ERPM, the Elsburg JV and the Ergo
JV to impact positively and quickly on costs and returns. Moving ahead,
we envisage further steps to achieve a lower-risk, lower-cost, better
return profile, gaining as much leverage as we can from our long-
established track record in surface retreatment.

John Sayers
Chief Executive Officer

23 October 2008

CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

• SHAREHOLDER REPORT 2008 •

DRDGOLD LIMITED

Quarter

Quarter

Sep 2008

Jun 2008

Sep 2007

Unaudited

Audited

Unaudited

Continuing operations
Gold and silver revenue

476.7

495.4

433.0

Net operating costs

(419.5)

(368.5)

(371.3)

Cash operating costs

(416.5)

(383.2)

(370.7)

Movement in gold in process

(3.0)

14.7

(0.6)

Operating profit

57.2

126.9

61.7

Depreciation

(17.0)

(11.0)

(19.7)

Movement in provision for environmental rehabilitation

(12.1)

(16.0)

(4.7)

Retrenchment costs

(0.9)

(5.1)

(1.1)

Gross profit from operating activities

27.2

94.8

36.2

Impairments

(47.6)

(63.9)

–

Administration expenses and general costs

(6.1)

(19.1)

(22.8)

Share-based payments

(1.1)

(5.9)

0.5

Care and maintenance costs

(2.8)

(7.6)

(2.5)

Financial liabilities measured at amortised cost

7.3

(88.5)

–

(Loss)/profit on sale of assets and investments

(1.6)

(0.9)

12.0

Finance income

32.9

35.1

(2.3)

Finance expenses and unwinding of provisions

(2.7)

4.0

(8.4)

Profit/(loss) before taxation

5.5

(52.0)

12.7

Income tax

(15.6)

3.8

–

Deferred tax

1.3

81.6

–

(Loss)/profit after taxation

(8.8)

33.4

12.7

Discontinued operations
Loss for the period from discontinued operations

–

(0.5)

(56.6)

Profit on sale of assets and investments

–

12.6

1 008.0

Impairment from discontinued operations

–

(1.0)

–

Net (loss)/profit for the period

(8.8)

44.5

964.1

Attributable to:

Ordinary shareholders of the company

3.1

40.2

757.1

Minority interest

(11.9)

4.3

207.0

(8.8)

44.5

964.1

Headline earnings/(loss) per share – cents
– From continuing operations

10.5

19.3

0.2

– From total operations

10.5

19.3

(11.7)

Basic earnings per share – cents
– From continuing operations

0.8

8.9

3.4

– From total operations

0.8

10.7

201.8

Diluted headline earnings/(loss) per share – cents

10.5

19.3

(11.7)

Diluted basic earnings per share – cents

0.8

10.7

201.8

Calculated on the weighted average ordinary shares issued of:

376 573 381

376 536 319

375 196 329

The condensed consolidated financial statements below are prepared in accordance with International Financial Reporting
Standards (“IFRS”).

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION

• SHAREHOLDER REPORT 2008 •

DRDGOLD LIMITED

As at

As at

30 Sep 2008

30 Jun 2008

30 Sep 2007

Unaudited

Audited

Unaudited

Assets
Property, plant and equipment

821.2

815.6

627.0

Non-current investments and other assets

65.3

65.3

59.8

Environmental rehabilitation trust funds

116.0

110.8

79.2

Deferred tax

82.8

81.6

–

Current assets

1 036.6

1 189.2

1 177.0

Inventories

67.4

62.9

58.2

Trade and other receivables

145.2

240.5

58.9

Cash and cash equivalents

809.0

846.1

425.4

Assets classified as held for sale

15.0

39.7

634.5

2 121.9

2 262.5

1 943.0

Equity and liabilities
Equity

1 240.7

1 305.5

1 251.8

Shareholders’ equity

1 191.4

1 244.3

1 073.8

Minority shareholders’ interest

49.3

61.2

178.0

Long-term liabilities

120.8

125.7

49.2

Post-retirement and other employee benefits

23.4

22.7

20.9

Provision for environmental rehabilitation

394.9

381.3

279.8

Current liabilities

342.1

427.3

341.3

Trade and other payables

270.3

387.4

250.8

Short-term liabilities

34.2

39.9

–

Dividends to ordinary shareholders

37.6

–

Liabilities classified as held for sale

–

90.5

2 121.9

2 262.5

1 943.0

• SHAREHOLDER REPORT 2008 •

DRDGOLD LIMITED

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

Quarter

Quarter

Sep 2008

Jun 2008

Sep 2007

Unaudited

Audited

Unaudited

Balance at the beginning of the period

1 305.5

1 248.6

143.5

Share capital issued

–

0.7

27.1

– for acquisition finance and cash

–

28.0

– for share options exercised

–

0.7

–

– for costs

–

( 0.9)

Increase/(decrease) in share-based payment reserve

1.1

5.9

(0.5)

Net profit attributable to ordinary shareholders

3.1

40.2

757.1

Net (loss)/profit attributable to minority shareholders

(11.9)

4.3

207.0

Dividends declared

(37.6)

–

Increase in minorities

–

5.2

–

Currency translation adjustments and other

(19.5)

0.6

117.6

Balance as at the end of the period

1 240.7

1 305.5

1 251.8

Reconciliation of headline earnings/(loss)
Net profit

3.1

40.2

757.1

Adjusted for:
– Impairments

47.6

63.9

–

– Impairment from discontinued operation

–

1.0

–

– Profit on sale of discontinued operations

–

(12.6)

(1 008.0)

– Loss/(profit) on sale of assets and investments

1.2

(9.2)

(12.0)

– Minority share of headline earnings adjustments

(12.4)

(10.5)

219.0

Headline earnings/(loss)

39.5

72.8

(43.9)

• SHAREHOLDER REPORT 2008 •

DRDGOLD LIMITED

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

Quarter

Quarter

Sep 2008

Jun 2008

Sep 2007

Unaudited

Reviewed

Unaudited

Net cash in/(out)flow from operations

25.3

238.1

(309.7)

Net cash (out)/inflow from investing activities

(46.4)

(150.5)

1 870.4

Net cash (out)/inflow from financing activities

(2.6)

26.0

(1 059.6)

(Decrease)/increase in cash and cash equivalents

(23.7)

113.6

501.1

Translation adjustment

(13.4)

1.0

258.5

Opening cash and cash equivalents

846.1

731.5

137.7

Closing cash and cash equivalents

809.0

846.1

897.3

Cash classified as assets held for sale included in the closing balance

–

471.9

Reconciliation of net cash in/(out)flow from operations
Profit/(loss) before tax

5.5

(52.0)

12.7

Net operating loss from discontinued operations

–

(0.5)

(56.6)

5.5

(52.5)

(43.9)

Adjusted for:
Movement in gold in process

3.0

(14.7)

0.6

Depreciation and impairments

64.6

74.9

19.7

Movement in provision for environmental rehabilitation

12.1

16.0

4.7

Share-based payments

1.1

5.9

(0.5)

(Profit)/loss on derivative financial instruments

(7.3)

88.5

–

Loss/(profit) on sale of assets and investments

1.6

0.9

(12.0)

Finance expenses and unwinding of provisions

(1.6)

(7.0)

3.9

Growth in Environmental Trust Funds

(3.5)

(2.5)

(1.8)

Other non-cash items

0.9

(20.4)

17.5

Taxation paid

–

(11.8)

(23.3)

Working capital changes

(51.1)

160.8

(274.6)

Net cash in/(out)flow from operations

25.3

238.1

(309.7)

South African operations

Quarter

Quarter

Blyvoor

Sep 2008

Jun 2008

Change

Sep 2007

Ore milled

Underground

t’000

154

174

(11)

194

Surface

t’000

884

980

(10)

856

Total

t’000

1 038

1 154

(10)

1 050

Yield

Underground

g/t

4.65

4.44

5.03

Surface

g/t

0.32

0.31

Total

g/t

0.96

0.93

1.18

Gold produced

Underground

23 020

24 852

(7)

31 347

716

773

(7)

975

Surface

9 034

9 709

(7)

8 488

281

302

(7)

264

Total

32 054

34 561

(7)

39 835

997

1 075

(7)

1 239

Cash operating costs

Underground

US$ per oz

934

816

(15)

667

ZAR per kg

233 929

204 344

(14)

152 673

ZAR per tonne

1 088

908

(20)

767

Surface

US$ per oz

451

379

(19)

406

ZAR per kg

112 836

94 927

(19)

92 992

ZAR per tonne

(24)

Total

US$ per oz

798

694

(15)

611

ZAR per kg

199 799

173 606

(15)

139 956

ZAR per tonne

192

162

(19)

165

Cash operating profit

US$ million

2.1

7.0

(70)

2.8

ZAR million

16.7

53.1

(69)

20.0

Capital expenditure (net)

US$ million

2.2

3.7

1.9

ZAR million

17.4

28.6

13.7

Total gold production was 7% lower at 32 054 oz, reflecting declines in both underground and surface gold production.

Underground gold production was 7% lower at 23 020 oz due to an 11% decline in underground throughput to 154 000 t. This was a
consequence of 15 production days lost due to Section 54 closures imposed by the Department of Minerals and Energy following two seismicity-related fatalities, and two days of mourning called by the National Union of Mineworkers.

Average underground yield improved by 5% to 4.65 g/t, reflecting the commissioning during the quarter of a new, R2.5 million, ore pass system
between 35 and 38 levels to split reef and waste.

While average surface yield was 3% higher at 0.32 g/t, surface throughput was 10% lower at 884 000 t. This resulted in a 7% decline in surface
gold production to 9 034 oz. During the quarter, higher volumes of lower grade No 4 Dam material were recovered and treated.

Total cash operating costs rose by 15% to R199 799/kg or $798/oz, reflecting the impact of power utility supplier Eskom’s 20% tariff
increase and higher winter power tariffs, as well as lower gold production. Underground cash operating costs were 14% higher at R233 929/kg ($934/oz) and surface cash operating costs 19% higher at R112 836/kg or $451/oz.

Cash operating profit was 69% lower at R16.7 million, reflecting lower production higher cash operating costs, and a lower gold price received.

Capital expenditure was 39% lower at R17.4 million, reflecting completion of the new ore pass system, a new surface compressed air pipe line to
improve the mine’s underground compressed air network and 75% of all construction work on the Way Ahead Project (“WAP”) at No 5 Shaft.

Mining from the WAP began during the first week of October and production is expected to rise to 3 100 oz in the fourth quarter of 2009.
Development of the 15/29 Incline Project continues on schedule with first production planned towards the end of the fourth quarter of 2009.

• SHAREHOLDER REPORT 2008 •

DRDGOLD LIMITED

KEY OPERATING AND FINANCIAL RESULTS (UNAUDITED)

Cash operating margin $/oz

Revenue
Cash operating costs

Dec 07

Mar 07

Jun 08

Sep 08

500

600

700

800

900

1 000

$/oz

Cash operating margin R million

Revenue Rm
Cash operating costs Rm

Dec 07

Mar 08

Jun 08

Sep 08

100

150

200

250

300

R million

Production oz

Dec 07

Mar 08

Jun 08

Sep 08

25 000

30 000

35 000

40 000

45 000

Gold production

• SHAREHOLDER REPORT 2008 •

DRDGOLD LIMITED

Quarter

Quarter

Crown

Sep 2008

Jun 2008

Change

Sep 2007

Ore milled

t’000

2 066

2 031

2 147

Yield

g/t

0.36

0.33

0.35

Gold produced

23 985

21 573

24 371

746

671

758

Cash operating costs

US$ per oz

544

529

(3)

515

ZAR per kg

136 075

133 159

(2)

117 825

ZAR per tonne

(11)

Cash operating profit

US$ million

7.7

8.0

(4)

4.1

ZAR million

60.0

61.4

(2)

29.3

Capital expenditure (net)

US$ million

1.6

4.9

0.2

ZAR million

12.2

35.9

1.5

Gold production increased by 11% to 23 985 oz, reflecting a 2% increase in throughput to 2 066 000 t and a 9% increase in the average yield to 0.36 g/t, the latter due to the recovery of higher grade material from the Mennells site and of higher grade remnants from the CMR and Robertson Deep sites. Cash operating costs were 2% higher at R136 075/kg. Cash operating profit was 2% lower at R60.0 million, a consequence of higher cash operating costs and a lower gold price received.

Capital expenditure was 66% lower at R12.2 million, reflecting disbursement of the bulk of the costs of preparing the Top Star dump, south of
Johannesburg Central Business District, for mining.

In August, the Department of Minerals and Energy granted the company a licence to mine the Top Star dump and construction of the required
infrastructure is approximately 90% complete. Commissioning is expected to begin early in November and the rate of recovery to have reached
100 000 tpm by the end of November, half of the planned full recovery rate.

Quarter

Quarter

ERPM

Sep 2008

Jun 2008

Change

Sep 2007

Ore milled

Underground

t’000

(6)

Surface

t’000

379

358

506

Total

t’000

443

426

591

Yield

Underground

g/t

5.30

5.00

6.47

Surface

g/t

0.32

0.36

(11)

0.45

Total

g/t

1.04

1.10

(5)

1.31

Gold produced

Underground

10 899

10 930

–

17 684

339

340

–

550

Surface

3 923

4 147

(5)

7 267

122

129

(5)

226

Total

14 822

15 077

(2)

24 951

461

469

(2)

776

Cash operating costs

Underground

US$ per oz

1 062

966

(10)

647

ZAR per kg

265 794

243 865

(9)

148 145

ZAR per tonne

1 408

1 219

(16)

955

Surface

US$ per oz

840

750

(12)

512

ZAR per kg

210 385

189 000

(11)

117 159

ZAR per tonne

–

Total

US$ per oz

1 003

907

(11)

608

ZAR per kg

251 130

228 774

(10)

139 121

ZAR per tonne

261

252

(4)

183

Cash operating (loss)/profit

US$ million

(2.1)

(0.4)

(425)

1.8

ZAR million

(16.5)

(2.3)

(617)

13.0

Capital expenditure (net)

US$ million

0.6

1.2

0.9

ZAR million

4.3

9.1

6.2

Production oz

Dec 07

Mar 08

Jun 08

Sep 08

18 000

20 000

22 000

24 000

Gold production

Cash operating margin $/oz

Revenue
Cash operating costs

Dec 07

Mar 08

Jun 08

Sep 08

400

500

600

700

800

900

1 000

$/oz

Cash operating margin R million

Revenue Rm
Cash operating costs Rm

Dec 07

Mar 08

Jun 08

Sep 08

100

125

150

175

200

R million

• SHAREHOLDER REPORT 2008 •

DRDGOLD LIMITED

KEY OPERATING AND FINANCIAL RESULTS (UNAUDITED)

The previously reported restructuring of ERPM’s underground operations to reverse a worsening pattern of unprofitable mining was complete

Total gold production was 2% lower at 14 822 oz, reflecting lower surface gold production.

Underground gold production was virtually unchanged at 10 899 oz. Although underground throughput was 6% lower due to the residual impact of the previous quarter’s restructuring, the average underground yield improved by 6% to 5.30 g/t, reflecting the elimination of the unprofitable 73 and 74 longwalls.

While surface throughput increased by 6% to 379 000 t, the average surface yield declined by 11% to 0.32 g/t, reflecting the recovery of lower grade material from the Cason dump’s southern face. Consequently, surface gold production was 5% lower at 3 923 oz.

Total cash operating costs increased by 10% to R251 130/kg, a consequence of lower production, as well as power utility Eskom’s 20% tariff increase and higher winter tariffs. Underground cash operating costs were 9% higher at R265 794/kg and surface cash operating costs 11% higher at R210 385/kg.

The cash operating loss for the quarter increased to R16.5 million from R2.3 million, reflecting lower production, higher cash operating costs and a lower gold price received.

Capital expenditure was 53% lower at R4.3 million.

Exploration and prospecting
ERPM
ERPM mining lease area
During the quarter drilling was confined to cover (71 East 2) and structure (73 West X/C N). Currently a hole is being drilled at 70 E FW drive to determine the parting between the Composite Reef and the Jeppestown Shales footwall. The core will be used to determine the rock strengths of the shale horizon, which is in closer proximity to the mining horizon than initially thought.

Extension 1
A geological report to accompany the Turgis Consulting’s decline feasibility study is in the process of being finalised. A revised structure plan for Extension 1 has been produced, utilising geophysical information and historical Sallies data. An unconformity between the Jeppestown Shales and the Composite Reef has been identified which results in a narrowing of their middling towards the east and north.

Extension 2
An agreement has been drawn up between DRDGOLD and AngloGold Ashanti Limited (“AngloGold”) where a data exchange will take place between the two companies. AngloGold will provide access to the Sallies exploration borehole core and copies of the logging and reports in exchange for sampling data and reports from Blyvoor.

Blyvoor
For the quarter three prospect holes intersected the Carbon Leader Reef in the following areas 38 31 fault block, 35 32 X/C N and 38 34, assaying at 219 cmgt, 894 cmgt and 642 cmgt respectively. Main Reef was intersected in two holes 38 34 (522 cmgt) and 38 33 X/C N (awaiting assay). Cover drilling in 38 21 FW Dr W in the South West block, intersected methane.

The assay results of phase 2 of the drilling of Blyvoor No 7 slimes dam were received and averaged 0.247 g/t.The average grade of the phase 1 and 2 drilling equates to 0.279 g/t. The recovery percentages of the remainder of the operations slimes dams are in the process of being determined to develop a strategy for the surface operations going forward.

Crown and Ergo
Exploration activity continues to be confined to the ERGO JV, with in excess of 10 300 m of augering having been conducted for exploration and metallurgical test work to date.

During the quarter, drilling was completed at the Brakpan,Van Dyk and Grootvlei complexes. Exploration is currently in progress at Marievale, the final complex to be explored in the initial exploration programme. Additional drilling, in the form of cased holes, is scheduled in areas where conventional drilling was not possible.

The outstanding assay results for Homestead and Rooikraal were received during the quarter. In addition, partial assay results were returned for Brakpan and Van Dyk. The Homestead and Rooikraal results are similar to those obtained for the other current Crown deposition complexes and are in line with initial estimates, with the exception of lower uranium values. Similarly the initial Brakpan results indicate a lower uranium grade than anticipated, whilst Van Dyk’s initial assays show a close correlation with the initial estimate.The lower uranium grade reported for the larger complexes may be as a result of the drilling pattern (ie close proximity to the sides), which requires verification.

All relevant technical information pertaining to the complexes is forwarded to Coffey Mining (formerly RSG Global), for the generation of Competent Person’s Reports (“CPRs”). During the quarter a SAMREC-compliant gold, uranium and sulphur resource for the Elsburg JV was declared.

A draft CPR pertaining to the ERGO phase 1 gold reserve (Elsburg and Benoni) has also been received and is currently under review.The final CPR for the GMTS, Homestead and Mooifontein complexes has been delayed due to survey problems associated with the insertion of historical boreholes into the geological model.The report is expected to be finalised during October.

Production oz

Gold production

Dec 07

Mar 08

Jun 08

Sep 08

13 000

15 000

17 000

19 000

21 000

23 000

Cash operating margin $/oz

Revenue
Cash operating costs

Dec 07

Mar 08

Jun 08

Sep 08

550

600

650

700

750

800

850

900

950

1 000

1 050

1 100

1 150

1 200

$/oz

Cash operating margin Rmillion

Revenue Rm
Cash operating costs Rm

Dec 07

Mar 08

Jun 08

Sep 08

100

110

120

130

140

150

R million

• SHAREHOLDER REPORT 2008 •

DRDGOLD LIMITED

Discontinued operations – Emperor Mines Limited

Quarter

Quarter

Tolukuma

Sep 2008

Jun 2008

Change

Sep 2007

Ore milled

t’000

–

Yield

g/t

–

6.91

Gold produced

–

10 033

–

311

Cash operating costs

US$ per oz

–

1 017

ZAR per kg

–

233 707

ZAR per tonne

–

1 615

Cash operating loss

US$ million

–

(0.9)

ZAR million

–

(6.5)

Capital expenditure (net)

US$ million

–

2.1

ZAR million

–

15.0

Continuing Operations

Total Mine

R000 unless otherwise stated

Crown

ERPM

Blyvoor

Operations

Total cash costs

109 130

121 793

212 802

443 725

Movement in gold in process

1 243

1 991

(6 245)

(3 011)

Less: Production taxes, rehabilitation and other

5 111

3 035

3 162

11 308

Less: Retrenchment costs

–

858

–

858

Less: Corporate and general administration costs

3 750

4 120

4 195

12 065

Cash operating costs

101 512

115 771

199 200

416 483

Gold produced – kgs

746

461

997

2 204

Total cash operating costs – R/kg

136 075

251 130

199 799

188 967

Total cash operating costs – US$/oz

544

1 003

798

755

CASH OPERATING COSTS RECONCILIATION

DIRECTORS

(*British) (**Australian) (***American)

Executives:

JWC Sayers (Chief Executive Officer)

DJ Pretorius (Chief Executive Officer Designate)

CC Barnes (Chief Financial Officer)

Non-executive:

J Turk***

Company Secretary:

TJ Gwebu

Independent non-executives:

GC Campbell* (Non-Executive Chairman)

D Blackmur** (Senior Non-Executive Director)

RP Hume

EA Jeneker

For further information, contact John Sayers at:

Tel: (+27-11) 219-8700

Fax: (+27-11) 476-2637

website: http://www.drdgold.com

Ebsco House 4299 Pendoring Avenue, Blackheath

Randburg, South Africa

PO Box 390, Maraisburg, 1700, South Africa