S&P rates Exxaro zaA-

Standard & Poor's said it assigned a zaA- long-term and zaA-2 short-term South Africa national scale ratings to Exxaro Resources Ltd.

The ratings reflect the company's fair business risk profile and intermediate financial risk profile, S&P said.

The ratings also consider its strong market position in the coal industry, where the company sells most of its output to South African electricity company Eskom Holdings SOC Ltd. under long-term agreements, the agency said.

Exxaro's minority stake in Sishen Iron Ore Co. provides some product diversification, S&P said.

Exxaro's exposure to country risk in South Africa constrains the South Africa national scale ratings, the agency added.

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