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Environmental rehabilitation obligation and other provisions
 12 Months Ended
Dec. 31, 2024
Provision for decommissioning, restoration and rehabilitation costs [abstract]  
Environmental rehabilitation obligation and other provisions 30.  Environmental rehabilitation obligation and other provisions
Significant accounting judgements and estimates
Environmental rehabilitation obligation
The Group’s mining and exploration activities are subject to various laws and regulations governing the protection of the environment. The
Group recognises a provision for management’s best estimate for asset retirement and environmental obligations in the period in which
they are incurred. Actual costs incurred in future periods could differ materially from the estimates. Additionally, future changes to
environmental laws and regulations, life-of-mine estimates and discount rates could affect the carrying amounts of these provisions.
These provisions are calculated using the following assumptions:
Inflation rate
Discount rate
Discount period
2024
SA gold operations
7.0%
8.3% – 11.1%
1 – 25 years
SA PGM operations
7.0%
8.3% – 11.1%
1 – 45 years
US PGM operations
3.5%
4.8%
25 – 35 years
European operations
2.5%
2.3% – 3.0%
2 – 23 years
Australian operations
2.5%
3.9%
5 – 19 years
2023
SA gold operations
7.0%
8.9% – 12.3%
1 – 25 years
SA PGM operations
7.0%
8.9% – 12.3%
1 – 48 years
US PGM operations
3.5%
4.0%
31 – 46 years
European operations
2.1%
3.1%
23 years
Australian operations
2.8%
3.7%
40 months
2022
SA gold operations
6.5%
7.8% – 11.5%
1 – 22 years
SA PGM operations
6.5%
7.8% – 11.6%
1 – 49 years
US PGM operations
4.0%
4.0%
31 – 43 years
European operations
2.5%
3.3%
24 years
Onerous contract
The measurement of the onerous contract provision is subject to various inputs such as estimated revenue to be generated from the
contract, which is impacted by pricing and volume assumptions, as well as estimated costs to be incurred such as production costs, which
include overheads, labour and manufacturing input cost. Changes to these inputs could materially impact the cash flows  included in the
measurement of the onerous contract provision.
Accounting Policy
Provisions are recognised when the Group has a present obligation, legal or constructive, resulting from past events and it is probable that
an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the
amount of the obligation. Provisions are measured by discounting the expected future cash flows at a pre-tax rate that reflects current
market assessments of the time value of money and the risks specific to the liability. The unwinding of the discount is recognised as finance
cost.
Environmental rehabilitation obligation
Long-term environmental obligations are based on the Group’s environmental management plans, in compliance with applicable
environmental and regulatory requirements. The estimated costs of rehabilitation are reviewed annually and adjusted as appropriate for
changes in legislation, technology or other circumstances. Cost estimates are not reduced by the potential proceeds from the sale of
assets or from plant clean up at closure. Based on disturbances to date, the net present value of expected rehabilitation cost estimates is
recognised and provided for in full in the financial statements. The estimates are reviewed annually and are discounted using a risk-free
rate that is adjusted to reflect the current market assessments of the time value of money.
Annual changes in the provision consist of notional finance costs relating to the change in the present value of the provision and
inflationary increases in the provision estimate, as well as changes in estimated cost of rehabilitation, remediation and decommissioning.
Changes in estimates are capitalised or reversed against the related asset to the extent that it meets the definition of dismantling and
removing the item and restoring the site on which it is located. Costs that relate to an existing condition caused by past operations and do
not have a future economic benefit are recognised in profit or loss. If a decrease in the liability exceeds the carrying amount of the asset,
the excess is recognised immediately in profit or loss. The present value of environmental disturbances created are capitalised to mining
assets against an increase in the environmental rehabilitation obligation. Rehabilitation projects undertaken, included in the estimates, are
charged to the provision as incurred. The cost of ongoing current programmes to prevent and control environmental disturbances is
recognised in profit or loss as incurred. The unwinding of the discount due to the passage of time is recognised as finance cost, and the
capitalised cost is amortised over the remaining lives of the mines.
Onerous contract provision
Onerous contract provisions are measured at the present value of the lower of the expected cost of terminating the contract and the
expected net cost of continuing with the contract, which is determined based on the incremental cost of fulfilling the obligation under the
contract and an allocation of other cost directly related to fulfilling the contract. Before a provision is established, the Group recognises
any impairment loss on the assets associated with the contract.
Figures in million – SA rand
Notes
2024
2023
2022
Environmental rehabilitation obligation
30.1
11,805
11,355
8,435
Other provisions
30.2
444
1,982
117
Balance at end of the year
12,249
13,337
8,552
Current portion of environmental rehabilitation obligation and other provisions
(327)
(832)
—
Non-current portion of environmental rehabilitation obligation and other provisions
11,922
12,505
8,552
30.1  Environmental rehabilitation obligation
Figures in million - SA rand
Notes
2024
2023
2022
Balance at beginning of the year
11,355
8,435
8,146
Interest charge
5.2
966
758
611
Utilisation of environmental rehabilitation obligation1
(488)
(274)
(236)
Change in estimates charged to profit or loss2
433
(82)
(183)
Change in estimates capitalised2
204
(419)
(85)
Environmental rehabilitation obligation on acquisition of subsidiaries
—
3,576
97
Derecognition with deemed disposal of interest in joint operation
19
—
(818)
—
Liabilities associated with assets held for sale
(451)
—
—
Foreign currency translation
(214)
179
85
Balance at end of the year
11,805
11,355
8,435
Reconciliation of the non-current and current portion of the environmental
rehabilitation obligation:
Environmental rehabilitation obligation
11,805
11,355
8,435
Current portion of environmental rehabilitation obligation
—
—
—
Non-current portion of environmental rehabilitation obligation
11,805
11,355
8,435
1The cost of ongoing current programmes to prevent and control environmental disturbances, including reclamation activities, is charged to cost of sales as incurred
2Changes in estimates result from changes in reserves and corresponding changes in life-of-mine, changes in discount rates, changes in closure cost estimates and
changes in laws and regulations governing environmental matters
The Group’s mining operations are required by law to undertake rehabilitation works as part of their ongoing operations. The Group makes
contributions into environmental rehabilitation obligation funds (see note 21) and holds guarantees to fund the estimated costs.
The Group's environmental rehabilitation obligation is sensitive to changes in certain assumptions applied in the calculation of the balance
of the obligation at 31 December 2024. The table below illustrates the impact of certain changes to the assumptions on the balance of the
obligation at 31 December 2024, holding all other assumptions constant:
Key assumption
Change to key assumption
Impact on the environmental rehabilitation obligation (SA rand millions)
Discount rate
1%
R987 million
Inflation rate
1%
R1,238 million
Discount period
1 year
R311 million
30.2  Other provisions
Figures in million - SA rand
Notes
2024
2023
2022
Balance at beginning of the year
1,982
117
117
Onerous contract provision recognised1
8.1
200
1,865
—
Finance expense
58
—
—
Change in onerous contract provision recognised through profit or loss2
8.2
(1,017)
—
—
Payments made - cash3
(665)
—
—
Foreign currency translation
(114)
—
—
Balance at end of the year
444
1,982
117
Other provisions consists of:
Onerous contract provisions4
327
1,865
—
Other
117
117
117
Other provisions
444
1,982
117
Reconciliation of the non-current and current portion of other provisions:
Other provisions
444
1,982
117
Current portion of other provisions5
(327)
(832)
—
Non-current portion of other provisions
117
1,150
117
1This is an onerous supply contract provision relating to the raw material used in the Sandouville nickel refinery's production process, which is purchased under a single
supply contract previously  maturing on 31 December 2027. Due to sustained losses incurred at the operation, the Group assessed whether the supply contract is onerous
at 31 December 2023. Consequently, the Group determined whether the unavoidable costs of meeting the obligations under the contract exceed the economic
benefits expected to be received under it. The unavoidable costs under a contract reflect the least net cost of exiting from the contract, which is the lower of the cost of
fulfilling it and any compensation or penalties arising from failure to fulfil it. Based on this assessment, the Group recognised an onerous contract provision amounting to
R1,865 million, which represents the present value at 31 December 2023 of the penalty payable on early exiting the supply contract and the unavoidable losses to be
incurred in meeting Sandouville's obligations under the contract during the notice period. Before the separate provision for the onerous contract was established, the
Group recognised an impairment loss on assets, partially dedicated to the contract (see note 10). The onerous contract provision was calculated based on an
expectation of terminating the contract in line with the required notice period and discounted at a pre-tax rate of 5.75%, reflecting the risks specific to the provision.
During 2024, the Group agreed with the supplier to terminate this supply contract with final delivery made in January 2025. During the year, additional provisions were
raised for onerous contracts amounting to R200 million in respect of the Sandouville nickel refinery's production process
2The provision, included in Sandouville segment, decreased due to the realisation of onerous contract losses provided for at 31 December 2023
3The payment was made in respect of a penalty resulting from early exiting the supply contract
4Included in the balance is the onerous contract provision relating to the raw material used in the Sandouville nickel refinery's production amounting to R121 million and
the balance relates to additional provisions raised for onerous contracts in respect of the Sandouville nickel refinery's production process
5The current portion at 31 December 2024 and 31 December 2023 relates to the onerous contract provisions
Post closure water management liability
The Sibanye-Stillwater SA Region continues to monitor the potential risk of long-term acid and non-acidic mine impacted water and other
groundwater pollution challenges also experienced by peer mining groups operating in similar geological settings. Acid mine drainage
(AMD) specifically relates to the acidification and contamination of naturally occurring water resources by pyrite-bearing rock/ore
contained in underground mines, rock dumps, tailings facilities and pits on surface. The  SA Region  has made significant progress in reliably
determining the financial impact that AMD and groundwater pollution may have on the Group. The quantification of any post-closure
latent environmental impacts is deemed to become a requirement once the proposed amended Financial Provisioning Regulations comes
into effect (this date is yet to be announced). All water-related risks, whether operational or post-closure, are dealt with as part of our
enterprise risk management framework.
As at 31 December 2024, closure liability assessments make financial provision of  R3,536 million (undiscounted) for what it specifically
termed “Post Closure Aspects”. This includes but is not limited to amongst others, post-closure water management aspects such as initial
and post-decant surface and groundwater monitoring, wetlands, biomonitoring and aquatics monitoring and care-and-maintenance
monitoring. This value includes a revised post closure water treatment scenario for the Marikana operations. During the operational life-of-
mine, pre-closure, the Group aims at investigating and implementing practical, sustainable and cost-effective solutions that, where
possible, reduces post-closure impacts as effectively as possible, whilst also promoting the establishment and implementation of self-
sustaining ecosystems and processes, respectively, that would require very limited or no ongoing active management by the operation, in
a post-closure scenario. This is directly aligned to the Group’s long-term vision of full water stewardship maturity by 2033.