The Department of Mineral Resources' (DMR) derelict and ownerless mines rehabilitation programme continued during this financial year and Mintek, together with the DMR team, reached agreement with local communities on the scope of a number of projects. For the mines rehabilitation project, 115 temporary jobs were created during the year, all within the Northern Cape Province. It is anticipated that next year a further 260 temporary jobs will be created within the Northern Cape and Limpopo Provinces. With these additional jobs and building on the experience of the concluded projects, the projects going forward are expected to be concluded by the end of the three-year contract period entered into between Mintek and the DMR. Energy Efficiency in an effort to reduce our energy footprint, Mintek joined the 49M campaign, the large-scale energy-saving campaign launched by Eskom. The campaign is designed to mobilise South Africans to reduce their power consumption and in so doing to reduce south africa's carbon footprint. The electricity utility, together with government, business and labour partners, launched the campaign, highlighting the savings role that can be played by the country's 49-million citizens in stimulating reduction in demand of power. In support of this campaign, effort and measures to achieve an improvement in organisational energy efficiency and savings are being made. In this regard, Mintek has saved 356 kW in energy during the year as a result of the energy saving lights installation. This figure far exceeds the targeted power savings of 200 kW for the year. In addition, power factor correction has been implemented but the savings due to it have not been realised as Bay 2 was not running. However, this is expected to change with the commissioning of the atomiser plant at Bay 2. R000 500,000 450,000 400,000 350,000 300,000 250,000 200,000 150,000 100,000 50,00 0 0 Total income (real) Total expenditure, (real) 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Year 8 CEO's report mintek annual report 2012 Income trends, 2001 - 2012 People Unfortunately, during the third quarter, members of the National Union of Mineworkers (NUM) went on a three-week long protected strike due to a dispute relating to adjustment of salaries for the period 2011/12. The dispute was declared following the stalled negotiations and arbitration at the Commission for Conciliation, Mediation and arbitration (CCMa). Members of the union accepted the original increase offered and signed the agreement with Mintek and then terminated the strike. A "no work no pay" rule was applied to the striking employees. the strike had adverse impacts on the outputs of the Minerals Processing, analytical services and, to a lesser extent, Hydrometallurgy divisions resulting in backlogs during December and into January. in recognition that organisational culture is one of the key factors and pillars that determine the success of a company, Mintek launched its values towards the end of the financial year. These values are expected to define a system of shared meaning or mindset that will distinguish Mintek from other organisations. These values will be incorporated into all Mintek's employees' performance contracts. Mintek is determined to develop its new graduate, engineers and scientists as part of its skills development objective. this intervention is in response to the dearth of skills in the mining and minerals processing industries. However, it has been noted that Mintek loses many graduates on average four years after their assumption of employment at the organisation. Mintek has therefore devised a strategy to deal with these challenges, which include the Graduate Development Programme whilst continuing with interventions at high school level which encourage scholars to do Mathematics and Science.

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