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To: Lucretius who wrote (24916)	10/5/2000 2:39:03 PM
From: pater tenebrarum	Read Replies (1) \| Respond to of 436258

DURBAN DEEP comments on current state of hedge book: Thank you for your inquiry into the DRD hedge book. Durban Deep has sold forward around 1% of reserves and 7% of resources. Most of the book is sold forward in ZAR. The lowest price in USD terms is US$279.73, and the lowest ZAR price is R1 752.50. This hedge was put in place at the time of our Hartebeestfontein mine acquisition, because it is Comapany policy to protect and new acquisition and capital projects or renewals ( even though the due diligence will show that we can mine it profitably, during the restructuring period we are exposed to any price movements ) . With hind sight, we should have waited a month for the price to spike, but similarly, we might then not have been able to buy Harties for the price of R45 million. I am sure you have also looked at the different mines' performances, and noticed that Harties has made an operating profit of R164.4 million, despite the hedge that was entered into!! The hedgebook as at 30 June 2000 is on our website, www.durbans.com . Since the June quarter end we have restructured the book. The September results, including the hedgebook will be published on the website on 3 November 2000. Please forward us your postal address details so that we can add you to our address list, if you are not currently receiving quarterlies and annual reports. Kind regards Alet Beyers Group Financial Accountant Durban Roodepoort Deep, Limited