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8th BLACKMAGiC Newsletter

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NOTE EDITOR’S

for the year ahead Two key focus areas this quarter are Performance Management and Training Our HR team has been guiding employees through the Performance Management process, helping us understand how individual contributions connect to broader business objectives. When approached correctly, performance management becomes more than a process it becomes a tool for growth, accountability, and success

At the same time, our Learning Management System (LMS) continues to support our journey towards becoming a true learning organisation. Through continuous development and skills enhancement, we are equipping ourselves to deliver the excellence our customers, stakeholders, and fellow employees expect from BLACKMAGiC June also marks an important milestone as the Group prepares for its ISO Audit While audits may sometimes feel daunting, they play a vital role in validating our commitment to quality, safety, environmental responsibility, and continuous improvement. More importantly, ISO compliance builds confidence among our customers, suppliers, and stakeholders by demonstrating that BLACKMAGiC operates according to internationally recognised best practices It is also an important contributor to our broader sustainability and ESG ambitions

Just as athletes prepare for competition long before they step onto the field, businesses must continuously assess and strengthen themselves to remain competitive and ready for opportunities. The upcoming audit gives us another opportunity to demonstrate the standards that define who we are

As we enter the winter season, we are also reminded of the importance of taking care of ourselves and one another Colder temperatures, shorter days, and changing weather conditions often bring health challenges. We encourage all members of the BLACKMAGiC family to prioritise their wellbeing during this period and take the necessary precautions to stay healthy and safe

The global economic environment continues to present challenges Ongoing tensions in the Middle East have contributed to uncertainty in energy markets, while interest rate movements and fuel price increases continue to place pressure on households and businesses alike These realities serve as a reminder for all of us to remain financially conscious and to navigate this period with prudence and discipline

As always, Marketing would like to thank every Business Unit, contributor, and employee who helped make this edition possible. Your stories, achievements, and milestones help bring our newsletter to life and showcase the people behind the magic

Payroll Perfection: BLACKMAGiC Achieves a Flawless SARS Compliance Result

A Seat at the Table: Advancing Transformation and Growth Across the Group

The BLACKMAGiC HR Department is proud to celebrate a significant compliance achievement following the successful completion of the Group's SARS EMP501 Reconciliation and IRP5 Submission process

The outcome was exceptional: a 100% compliant submission with zero audit findings and no outstanding payroll-related liabilities. This achievement reflects the Group's commitment to accuracy, accountability, and operational excellence in every aspect of the business

A special congratulations goes to Glenrose Nkuna, who led this complex process from start to finish. Through meticulous attention to detail, dedication, and professionalism, Glenrose ensured that every requirement was met and every deadline achieved, resulting in a flawless submission outcome

While payroll compliance often happens behind the scenes, it remains a critical function that safeguards the integrity of our business This achievement is a testament to the high standards that continue to define the BLACKMAGiC way of doing business

Congratulations to Glenrose and the HR team on this outstanding accomplishment

Transformation is not a destination it is a journey, and this initiative represents another meaningful step forward

"Employment Equity and Skills Development are not compliance exercises; they are investments in people, potential, and the future of our organisation "

Learning Beyond Our Roles: Toolbox Talks Continue to Build Business Knowledge

Farewell to a Builder of Foundations: Thank You, Kevin

The weekly Toolbox Talks continue to create valuable opportunities for Head Office employees to broaden their understanding of the BLACKMAGiC Group and the work taking place across our Business Units

These sessions are more than just business updates; they are helping employees connect the dots between departments, understand the Group's strategic direction, and gain greater insight into how each Business Unit contributes to our collective success

A special congratulations goes to Ayob Nubbe, who successfully answered the CEO's question during the latest Toolbox Talk and walked away with a branded BLACKMAGiC Group notebook Well done, Ayob!

As we continue building a culture of learning, engagement, and collaboration, the Toolbox Talks remain an important platform for sharing knowledge and bringing the BLACKMAGiC family closer together

future growth, innovation, and operational excellence.

As we gathered at Head Office to wish him well, we reflected on the impact he has made and the professionalism he consistently demonstrated throughout his journey with BLACKMAGiC

Kevin, thank you for your dedication, reliability, and the legacy you leave behind We wish you every success as you pursue greener pastures and new opportunities

Ayob Nubbe
Kevin Scrimgeour

Building Tomorrow: BLACKMAGiC Properties Lays the Foundation for Growth

Behind every successful business is a strong foundation At BLACKMAGiC Group, that foundation is increasingly being shaped by the vision and ambition of BLACKMAGiC Properties

Established to strategically manage, develop, and optimise the Group's property portfolio, BLACKMAGiC Properties is focused on transforming assets into purpose-driven spaces that create long-term value for the business. From infrastructure expansion and facility development to future investment opportunities, the Business Unit is helping to create the environments where growth can thrive

Across the Group, several exciting property developments are taking shape In the Northern Cape, plans are underway for the establishment of the highly anticipated ZEN Village Truck Stop, while infrastructure improvements continue to support operations and client engagement. In Pretoria, developments include the planned establishment of a Chrome Bonding Facility and the expansion of office and utility infrastructure.

The Vaal property is set to become home to the future BLACKMAGiC Group Training Academy, creating a dedicated space for learning, development, and operational excellence. Meanwhile, in Port Elizabeth, plans are progressing for significant warehouse expansion projects designed to increase storage capacity and support future business growth

Highlights

BLACKMAGiC Properties is not simply developing facilities; it is creating assets that will strengthen the Group's operational capabilities, enhance customer experiences, and support the long-term vision of the business As the Group continues to grow, so too does the importance of building spaces that reflect the BLACKMAGiC standard

Leadership in the Storm: Showing Up When It Matters Most

In May, Port Elizabeth experienced severe flooding and disruptive weather conditions that affected communities, roads, businesses, and daily operations across the region Heavy rainfall and widespread flooding resulted in school closures, travel disruptions, and operational challenges for many organisations across the Eastern Cape

Amid these challenging conditions, leadership was not demonstrated from a boardroom, but on the ground

Following the floods, Group CEO Mr Paul Phume visited the BML Port Elizabeth operations to engage directly with employees, assess the impact on operations, and show support for the teams who continued to navigate the difficult circumstances The visit served as a powerful reminder that leadership is not only about strategy and direction it is also about presence, empathy, and standing alongside your people when challenges arise

For the Port Elizabeth team, the visit was a meaningful demonstration of the BLACKMAGiC culture: a business built on people, relationships, and a shared commitment to overcoming obstacles together

As the Group continues to grow, moments like these remind us that strong leadership is not measured by the distance between executives and employees, but by their willingness to walk the journey together

Safety Starts Before the Incident: NC Hosts

First VFL of 2026

The Northern Cape team held its first Visible Felt Leadership (VFL) engagement of 2026 on 27 May, demonstrating management's commitment to strengthening and transforming the site's safety culture

Rather than waiting for incidents to occur before taking action, the NC leadership team is taking a proactive approach by engaging employees on critical safety matters as they arise These regular engagements are designed to encourage open communication, reinforce accountability, and embed the principle of Safety First into everyday operations

By creating opportunities for meaningful conversations around workplace safety, the team continues to build a culture where safety is not simply a requirement, but a shared responsibility embraced by every employee

Recognising Excellence: Shimane Jonas Earns the Blue Card

Outstanding performance deserves recognition, and this month's spotlight falls on Mr Shimane Jonas, one of the Northern Cape site's dedicated Multiskilled Operators

During the recent VFL engagement, Shimane was awarded a Blue Card in recognition of his exceptional commitment to safety and operational excellence His thorough execution of isolation and lockout procedures, diligent completion of pre-use inspections and risk assessments, and strong knowledge of MSHA requirements set an example for the entire team

Recognition programmes such as these help reinforce positive behaviours and celebrate employees who consistently uphold the standards that keep our operations safe and efficient

Congratulations, Shimane Thank you for leading by example and demonstrating what operational excellence looks like in practice

A Fresh Look for a Growing Operation

The Northern Cape site recently received a visual refresh with the installation of the first phase of new site signage

While signage may seem like a small detail, clear and professional visual communication plays an important role in creating a safer, more organised, and welcoming working environment The updated signage enhances site visibility while reinforcing the BLACKMAGiC brand across the operation

A special thank you goes to the Marketing Team for helping bring the project to life and giving the site a fresh new look that reflects the professionalism and pride of the Northern Cape team

Powering Possibilities: BMT Showcases Innovation at Valterra Platinum Mines

BLACKMAGiC Tech recently took part in an engineering engagement at Valterra Platinum Mines, where the team had the opportunity to showcase its battery technology solutions to industry professionals and key stakeholders

Leading the presentation were Craig and Irvine, who delivered an insightful overview of BMT's capabilities, followed by a live battery demonstration that highlighted the performance, reliability, and practical application of the technology The presentation generated strong interest from attendees, with clients expressing positive feedback and genuine enthusiasm about the solutions on display.

Events such as these provide valuable opportunities to strengthen relationships, demonstrate technical expertise, and position BLACKMAGiC Tech as a trusted partner in the energy and engineering space

The successful engagement reflects the growing reputation of BMT and the team's commitment to delivering innovative solutions that meet the evolving needs of industry "Innovation comes to life when expertise meets opportunity Every demonstration is a chance to show what BLACKMAGiC Tech is capable of achieving "

Grant and Craig working their magic

Strengthening

Operations While Preparing for a New Chapter

ZEN Freight continues to focus on operational excellence, compliance, and employee engagement while adapting to important organizational changes. This period saw positive progress across fleet compliance, training, and operational performance, alongside key lessons that will help drive improvement in the months ahead

Toolbox Talks Successfully Introduced at Daimler

As part of our commitment to safety, communication, and operational awareness, Toolbox Talks have officially been introduced at Daimler These sessions provide employees with regular opportunities to discuss safety matters, operational challenges, and best practices, fostering a stronger culture of accountability and teamwork

Company Name Transition

Following guidance from the Companies and Intellectual Property Commission (CIPC), the business will be reverting to its original registered name, ZEN Holdings

This transition is necessary due to naming rights associated with the ZEN Freight name A formal communication outlining the process, timelines, and implications of the change will be distributed to all employees and stakeholders in due course

Challenges & Key Learnings

While important progress was achieved, several challenges highlighted areas requiring continued focus:

Non-compliant CMA audit findings resulted in subcontractors being blocked

Production oversights experienced across both Long Haul and Short Haul operations

Increase in incident rates within Short Haul operations

Higher number of breakdowns within the company-owned fleet

Significant decline in tonnage volumes from the primary client, South32

These challenges reinforce the need for stronger compliance controls, proactive fleet maintenance, and enhanced operational planning.

Highlights & Achievements

Significant decrease in non-compliant trucks arriving on site at South32

Successful implementation of RTMS and training of subcontractors

Passed the South32 maintenance audit

Effective budget implementation and management

Consecutive successful loading of trains and vessels

Infrastructure & Branding Update

Work continues on establishing and strengthening the ZEN presence at the new Kuruman office Branding initiatives are currently underway to ensure the facility reflects the professionalism, identity, and values of the business while creating a welcoming environment for employees, clients, and stakeholders

Prepared to Protect: LPSG Conducts Lockdown Drill at Head Office

Safety remains a top priority across the BLACKMAGiC Group In partnership with Legacy Private Security Group (LPSG), a lockdown drill was recently conducted to ensure employees are prepared in the event of a high-risk security threat, such as an armed intruder or firearm-related incident

The exercise provided employees with practical guidance on how to respond during a lockdown situation, reinforcing the importance of remaining calm, following security instructions, and prioritising personal safety at all times

Regular drills and awareness initiatives such as these play a critical role in strengthening our emergency preparedness and ensuring that employees know how to respond should a real-life incident occur

By preparing today, we help create a safer and more resilient workplace for everyone

"Safety is not about expecting the worst; it's about being prepared for the unexpected "

THE EMERGENCY DRILL AT HQ

WHAT TO REMEMBER THIS MONTH

Introducing Our New Business Unit Under BMP

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