Name of the Project
Mogale Tailings Retreatment (MTR) – Soweto cluster expansion.

Location
The Soweto cluster tailings storage facilities (TSFs) are located within the West Rand goldfield, adjacent to Pan African Resources’ MTR complex, in Gauteng, South Africa.

Project Owner/s
Gold miner Pan African Resources.

Project Description
The proposed project is a tailings retreatment development aimed at processing historical tailings from the Soweto cluster TSFs, which were acquired by Pan African Resources in 2021 as part of the Mintails SA transaction. A feasibility study completed in November 2025 proposes two strategic development options for the processing of the Soweto TSFs, which contain mineral reserves of about 108-million tonnes at an average grade of 0.28 g/t gold, for contained gold of about 980 000 oz. The first option proposes the development of a one-million-tonne-a-month, standalone carbon-in-leach processing plant, which has been assessed to definitive feasibility study (DFS) level.

The second option considers the addition of a 600 000-t-a-month expansion circuit to the existing MTR operation, with this option assessed to prefeasibility study (PFS) level. 

The 600 000-t-a-month integrated Soweto Tailings Retreatment (STR) circuit at MTR has been selected as the preferred development option, owing to its significantly lower upfront capital requirement, shorter construction period, reduced permitting complexity and superior financial returns. 

The selected option also benefits from operational synergies with the existing MTR processing plant and infrastructure. Under the preferred option, tailings will be reclaimed from the Soweto TSFs and pumped to the MTR complex, where a new 600 000-t-a-month module would be partly integrated into the existing operation. 

The project is expected to deliver average gold production of about 30 000 oz/y to 35 000 oz/y over an estimated operating life of about 15 years at an all-in sustaining cost of between $1 000/oz and $1 200/oz. 

The project will increase total gold production from the MTR complex to nearly 100 000 oz/y, while accelerating the remining and rehabilitation of the Soweto TSFs.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Using a base-case gold price of $2 800/oz, the preferred option delivers an after-tax net present value of about $129.7-million at a real ungeared internal rate of return of 29.4%. Payback is estimated at about three years from commissioning.

Capital Expenditure
Capital expenditure for the preferred option is estimated at $160-million, including remining infrastructure, overland pumping infrastructure and expanded TSFs.

Planned Start/End Date
Subject to completion of a DFS and final board approval, construction is expected to start in the second half of 2026, with an expected construction period of about 24 months.

Latest Developments
A DFS for the selected option is expected to be completed by June 2026, following which a final investment decision will be considered.

Key Contracts, Suppliers and Consultants
Not stated.

Contact Details for Project Information
Pan African Resources, tel +27 11 243 2900 or email info@paf.co.za.