Wrap Text
Operational update for the three months ended 30 September 2024
Harmony Gold Mining Company Limited
Incorporated in the Republic of South Africa
Registration number: 1950/038232/06
JSE share code: HAR
NYSE share code: HMY
ISIN: ZAE000015228
("Harmony" or "the Company")
OPERATIONAL UPDATE
for the three months ended 30 September 2024
("Q1FY25") vs 30 September 2023 ("Q1FY24")
OPERATIONAL EXCELLENCE AND HIGHER UNDERGROUND RECOVERED
GRADES ENSURE HARMONY DELIVERS ANOTHER SOLID QUARTER WITH
EXCEPTIONAL FREE CASH FLOW GENERATION
Johannesburg, South Africa. Monday, 11 November 2024. Harmony Gold Mining Company
Limited (Harmony or the Company) is pleased to report its operational update for the three months ended
30 September 2024 (Q1FY25).
KEY HIGHLIGHTS
(Q1FY25 vs Q1FY24)
- Proactive safety strategy resulted in a loss-of-life free quarter with 5 of our 9 underground mines
having achieved over 1 million loss-of-life free shifts each
- Harmony awarded gold in the Water Conservation Category at the Eco-Logic Awards on
30 October 2024 for refurbishing three municipal Wastewater Treatment Plants
- Steady quarterly group gold production, decreasing by only 1% to 13 131kg (422 172oz) from
13 223kg (425 130oz)(1)
- Mponeng production increased by 28% due to higher recovered grades and tonnes milled, generated
operating free cash flow of R1 842 million (US$103 million)
- Underground recovered grades remain high at 6.32g/t from 6.29g/t, mainly due to excellent recovered
grades at Mponeng and Moab Khotsong
- 14% increase in group all-in sustaining costs (AISC) to R963 310/kg (US$1 667/oz) from R841 436/kg
(US$1 404/oz) in line with FY25 guidance
- 21% increase in average gold price received to R1 360 974/kg (US$2 356/oz) from R1 127 208/kg
(US$1 881/oz)
- Group operating free cash flow(2), increased by 60% to R5 179 million (US$288 million) driven by
higher recovered grades and a higher average gold price received
- 23% increase in gold revenue to R18 125 million (US$1 009 million) from R14 781 million
(US$793 million)
- Strong, flexible balance sheet with net cash position increasing to R6.3 billion (US$362 million) and
liquidity of R15.7 billion (US$909 million) in cash and undrawn facilities
(1) Note: Q1FY24 was an exceptional quarter due to the outperformance from Mponeng and Hidden Valley
(2) Operating free cash flow = revenue - cash operating cost - capital expenditure - Franco-Nevada non-cash adjustment +- impact of run-of-mine
as per operating results
Unless otherwise indicated, all currency conversions for this reporting period are at the average exchange rate of R17.97/US$1
(Q1FY24: R18.64/US$1)
Please note that financial information has not been reviewed or audited by the Company's external auditors. Any pro-forma financial information
is the responsibility of the Board of Directors and is presented for illustration purposes only, and because of its nature, it may not fairly present the
Company's financial position
Harmony again delivered an exceptional first quarter through consistent operational excellence and higher
recovered grades at our South African high-grade underground operations. We are pleased to report a loss-of-
life free quarter, a significant achievement for underground gold mining in South Africa, demonstrating that a
safe mine is a profitable mine. Operating free cash flow generation remains strong with excellent operating free
Harmony Gold Mining Company Limited Operational Update for the three months ended 30 September 2024 cash
flow margins at our South African high-grade underground, South African surface and Hidden Valley operations.
The high average rand gold price received continues to boost free cash flow generation, further strengthening our
balance sheet this quarter. As a result, we are well-positioned to execute on our various life-of-mine extension
projects and take our transformational international copper-gold projects up the value curve.
We have a globally significant resource base with over 136 million ounces in Mineral Resources. This includes
copper and gold. While value-accretive acquisitions are a key part of our growth strategy, internal investment and
reserve conversion remains an affordable and effective way of creating value, especially at the current high gold
prices. Harmony continues to demonstrate the significant value inherent in our existing portfolio. We continue
investing in lower-risk, high-quality and high-margin ounces which will improve the overall profitability of our
portfolio over time.
Harmony has a long production profile and our existing project pipeline will enable us to remain a 1.4 million
ounce producer for well over 20 years. Through our various gold and copper projects, real all-in sustaining cost
(AISC) is expected to reduce in the medium to long term as the quality of our production mix improves and
copper is introduced. Projects such as Eva Copper in Australia and Wafi-Golpu in Papua New Guinea will be
transformational, moving Harmony significantly down the global cost curve.
Harmony has a strong safety and operational culture and we remain the partner of choice wherever we operate.
We have invested in improving our operational flexibility, infrastructure reliability and have a predictable and stable
cost structure. The quality of our portfolio also continues to improve and our projects remain well-sequenced
ensuring capital intensity remains affordable through the cycle. Through good financial discipline and applying a
balanced approach to our capital allocation framework, we aim to reward our shareholders alongside our growth
aspirations. Creating long-term value for our shareholders and stakeholders through operational consistency and
embedded sustainability is what we call Mining with Purpose.
Health and safety
The health and safety of our people is our main priority. The remarkable long-term improvement in our group
safety performance is evidence that our various programmes and initiatives are yielding the desired results. While
Harmony's long-term safety performance continues to improve, more needs to be done to ensure we achieve
our goal of zero loss of life and eliminate significant unwanted events. The group lost time injury frequency
rate (LTIFR) unfortunately regressed to 5.53 in Q1FY25 from 4.84 in Q1FY24 mainly due to an increase in lower
energy agencies such as 'slip and fall' and 'material handling'. We are working tirelessly to ensure all working
environments are safe at all times while embedding a culture of safety and living the Harmony values at work and
at home.
Some of the notable achievements this reporting period include:
- a loss-of-life free quarter for the group
- Hidden Valley has not had a loss-of-life since July 2015 (3 361 days)
- three of our South African underground operations (Masimong, Moab Khotsong and Joel) have achieved over
three million loss-of-life free shifts each
- two of our South African underground operations (Target 1, Kusasalethu), have each achieved over one million
loss-of-life free shifts
Responsible stewardship
Harmony was awarded gold in the Water Conservation Category at the Eco-Logic Awards on 30 October 2024
in Cape Town for refurbishing three municipal Wastewater Treatment Plants (WWTPs). The Eco-Logical Award
recognises organisations and individuals that positively contribute to a sustainable world.
We refurbished three WWTPs on behalf of the Matjhabeng, Matlosana and Merafong municipalities to increase
sewage treatment capacity by around by 30 million litres per day. We have invested more than R35 million in
refurbishing these WWTPs and all three projects were delivered on time, on budget with zero injuries.
This recognition demonstrates our commitment to Mining with Purpose as we continue giving back to our host
communities and creating shared value for all our stakeholders.
Production
Group gold production for the quarter remained largely flat year-on-year at 13 131kg (422 172oz) compared to
13 223kg (425 130oz) in Q1FY24.
- South Africa underground high-grade operations: production increased by 15% year-on-year to 4 872kg
(156 639oz) from 4 234kg (136 126oz) mainly due to the ongoing outperformance at Mponeng. Production
from Mponeng this quarter increased by 28% to 2 997kg (96 356oz) while production at Moab Khotsong
remained steady at 1 875kg (60 283oz). Uranium is a by-product from the gold extraction process at Moab
Khotsong. This quarter, uranium production decreased by 10% to 63 092kg (139 094lb) from 70 044kg
(154 420lb) in Q1FY24. Year-on-year, the average uranium price received increased by 39% to US$80.84/lb from
US$58.21/lb, resulting in uranium revenue of R199 million (US$11 million) for the quarter.
- South African underground optimised operations: production decreased by 10% to 4 887kg (157 121oz)
from 5 448kg (175 158oz) mainly as a result of lower grades and volumes at Tshepong North and Tshepong
South. A continuous drive for these mines remain footwall reduction, quality mining and mining mix from the
southern panels to improve the belt grade.We have seen a significant reef recovery benefit at Kusasalethu
since moving the ore processing to Mponeng plant in Q1FY22, with a cumulative benefit of 555kg (19 509oz)
or approximately 43kg (1 382oz) each quarter, to date. With an overall contribution of 37% towards total
production, these optimised assets play an important role in funding our growth strategy. It is therefore necessary
to continue investing sustaining capital at these operations to maintain the necessary flexibility.
- South African surface source operations: production remained steady at 2 168kg (69 703oz) from 2 185kg
(70 250oz). Mine Waste Solutions (MWS) is the largest contributor to our surface production, delivering a 1%
increase in production of 878kg (28 228oz) for the quarter compared to 872kg (28 035oz) in Q1FY24. All our
surface retreatment operations delivered higher production volumes year-on-year.
- International: Hidden Valley's production decreased by 11% which was in line with its plan as recovered
grades normalised after we mined through the high-grade Big Red lobe. We are progressing the Stage 7 East
and West cutbacks with Stage 8 stripping also underway. Silver production from Hidden Valley decreased by 5%
to 29 515kg (948 928oz) from 30 914kg (993 914oz) in Q1FY24. The average silver price received increased
by 19% to R16 823/kg (US$29.21/oz) from R14 157/kg (US$23.59/oz) in Q1FY24. As a result, we generated
R500 million (US$28 million) in silver revenue at Hidden Valley this quarter, an increase of 15% year-on-year.
Silver grades remain high as a result of isolated areas of very high-grade silver not previously identified in the
geological model.
Recovered grades
Average recovered grades at the South African underground operations remain high at 6.32g/t (Q1FY24: 6.29g/t).
This was mainly due to the excellent recovered grades at our South African high-grade operations which increased
by 11% to 9.90g/t from 8.89g/t in Q1FY24. Recovered grades at Mponeng remain exceptional at 10.70g/t with
volumes milled also increasing by 16% to 280 000 tonnes from 242 000 tonnes, driving the outperformance.
We have obtained good development grades at most of our underground operations this quarter, which were in
line with or higher than reserve grades.
The South African surface operations delivered a steady yield of 0.20g/t, unchanged year-on-year. We
remain focussed on blending the various surface sources to ensure optimised grade control per stream at our
various plants.
At Hidden Valley, recovered grades decreased by 30% to 1.24g/t from 1.76g/t as previously communicated and in
line with the mine plan. Total ore tonnes milled increased by 26% mainly due to an update of the geological model
showing higher tonnes but at a marginally lower gold grade and higher silver grade.
Costs
Costs remain under control with increases in line with our plans. Year-on-year increases were mainly due to the
annual inflationary increase in labour and winter tariffs on electricity. Royalty payments also increased by 47% to
R496 million (US$28 million) from R337 million (US$18 million) as a result of higher profitability. Quarterly, AISC
remained well below FY25 guidance.
- Cash operating costs in Q1FY25 increased by 14% to R812 811/kg (US$1 407/oz) from R711 999/kg
(US$1 188/oz) in Q1FY24
- All-in sustaining costs (AISC) increased by 14% to R963 310/kg (US$1 667/oz) from R841 436/kg (US$1 404/oz)
in Q1FY24
- All-in costs (AIC) increased by 14% to R1 026 004/kg (US$1 776/oz) from R900 505/kg (US$1 503/oz)
Average gold price received
The average rand gold price received this quarter increased by 21% to R1 360 974/kg from R1 127 208/kg in
Q1FY24. The strong rand/kg gold price continues to provide Harmony with a significant tailwind and good hedging
opportunities. We are also pleased that the final delivery into the streaming contract at MWS was made in October
(Q2FY25). This will have a meaningful impact on free cash flows generated at this operation going forward. The
average gold price received at MWS in Q1FY25 was R 1 081 756/kg, approximately 20% below the average gold
price received for the group as a result of the stream. The average gold price received at MWS will now be in line
with our other operations.
Capital expenditure
Total capital expenditure for the quarter increased by 17% year-on-year mainly due to the large capital projects
underway. These projects will improve the quality of our portfolio, extend the life-of-mine at our high-grade
operations and improve the group operating free cash flow margins. The Moab Khotsong and Mponeng life-
of-mine extension projects are progressing well with the procurement of additional trackless mobile machinery
underway. Our other mining project in South Africa is the Doornkop 207 and 212 level project which is also
progressing well.
On 22 October 2024, we celebrated the first tailings deposition on phase 1 of the Kareerand Tailings Storage
Facility extension project at MWS which was delivered on time and within budget. The bulk of the project capital
is expected to be deployed by the end of this financial year after which margins and free cash flows at MWS will
improve further.
Higher ongoing development capital at our underground mines as planned, also contributed towards the increase
in capital expenditure for the quarter.
Construction of our 100MW renewable energy solar photovoltaic plant at Moab Khotsong, will commence before
the end of the 2024 calendar year.
Operating free cash flow and gold revenue
Group operating free cash flow (the free cash flow generated after all capital expenditure), increased by 60% to
R5 179 million (US$288 million) from R3 236 million (US$174 million) year-on-year. Group operating free cash flow
margins increased to 29% in this reporting period from 22% in Q1FY24.
Gold revenue increased by 23% to R18 125 million (US$1 009 million) this quarter from R14 781 million
(US$793 million) in Q1FY24.
INTERNATIONAL PROJECTS
Eva Copper
We are in the final stages of the Feasibility Study update for the Eva Copper Mine Project (Eva or the Project)
in North West Queensland, Australia. Current study activities include finalising the mine design informed by an
extensive resource drilling programme, finalising process plant flowsheet and technical design informed by further
metallurgical test work.
Harmony completed 23 000 metres of drilling for the quarter, for a total in excess of 106 000 metres of drilling
since we acquired the Project in 2022. Exploration continues to grow the resource base of the project, underpinning
our confidence in Eva as an important and sustainable source of copper for the long-term.
Our current declared Mineral Resource for Eva Copper sits at 366 million tonnes (Mt) @ 0.4% copper (Cu) for
1 472 000 tonnes of copper and 196Mt @ 0.07g/t gold (Au) for 440 000 ounces of gold.
Based on study work to date, a larger copper concentrator than contemplated in the previous study (prior to
acquisition) is proposed, with milling throughput likely to be up to 18 million tonnes per annum. Based on that
throughput rate, we anticipate the average annual production of copper to be approximately 50 000 tonnes to
60 000 tonnes, at an AISC in the middle of the global industry cost curve, subject to feasibility study outcomes.
Given its scale, the Project will be a significant consumer of electricity, and we continue to assess options for
long-term low-emission power supply, including through the introduction of renewable power generation on site.
Subject to timing and cost, the Queensland Government's CopperString 2032 transmission line project, connecting
the North West Minerals Province in Queensland to the national electricity market, provides potential access to grid
power for the Project.
As previously reported, the Queensland Government declared Eva a 'Prescribed Project' given its strategic,
economic and social significance to the region. This declaration has supported timely decision-making by relevant
authorities on proposed amendments to the Project's Environmental Authority (EA), with a number of amendments
approved to date. We are working closely with the Queensland Government on preparations to secure the final
amendment required for the Project which will align the EA with the Feasibility Study once it is finalised.
The Queensland Government's A$20.7 million grant (announced 30 July 2024), which is subject to a number of
conditions including the Company reaching a positive Final Investment Decision (FID) by January 2026, has helped
accelerate the development of the Project.
This has comprised specific preparatory works at site as part of a broader programme of activities, including
upgrades to site access roads and highway intersection, pioneer camp pad preparation and construction of laydown
areas, all of which are progressing well.
Wafi-Golpu
Negotiations continue between Harmony, our joint venture partner Newmont Corporation and the Papua New
Guinea Government regarding the terms of a Mining Development Contract (which is required for a Special Mining
Lease). Harmony remains committed to permitting this Tier 1 copper-gold asset.
BALANCE SHEET AND HEDGING
The Company's balance sheet remains robust and flexible with net cash increasing to R6.3 billion (US$362 million)
from R2.9 billion (US$158 million) at the end of the 2024 financial year. We have excellent liquidity with cash and
undrawn facilities of R15.7 billion (US$910 million).
The gold hedge book has been maintained and the prerequisite minimum margins have been locked in, in line with
our hedging policy. The average forward rand gold price on the hedge book is at R1 416 000/kg on a net position
of 578 000oz at the end of the first quarter. The majority of our production remains unhedged and exposed to spot
gold prices.
ANNUAL PRODUCTION, COST AND GRADE GUIDANCE
While we are only one quarter into FY25, we are confident of achieving our annual guidance of:
- 1 400 000 to 1 500 000oz in total production
- overall AISC of between R1 020 000/kg - R1 100 000/kg
- underground grade of above 5.80g/t
CONCLUSION
As we head towards the end of the calendar year, we will maintain good momentum across our operations
through our proactive safety culture, high-quality mining practices, and excellent project execution. Through
ongoing investment in our people and our orebodies, we have, and will continue to demonstrate sustainable and
meaningful value-creation for our shareholders and stakeholders.
Peter Steenkamp
Chief executive officer
COMPARATIVE OPERATIONAL METRICS FOR Q1FY25 VS Q4FY24 AND Q1FY24
Q-on-q Y-on-y
Unit Q1FY25 Q4FY24 (%) Q1FY24 (%)
Average gold price received R/kg 1 360 974 1 321 838 3 1 127 208 21
$/oz 2 356 2 215 6 1 881 25
Underground yield g/t 6.32 5.99 6 6.29 0
Gold produced total kg 13 131 11 801 11 13 223 (1)
oz 422 172 379 410 11 425 130 (1)
South African optimised underground(1) kg 4 887 4 485 9 5 448 (10)
oz 157 121 144 197 9 175 158 (10)
South African high grade underground(2) kg 4 872 3 986 22 4 234 15
oz 156 639 128 152 22 136 126 15
South African surface(3) kg 2 168 2 280 (5) 2 185 (1)
oz 69 703 73 303 (5) 70 250 (1)
International (Hidden Valley) kg 1 204 1 050 15 1 356 (11)
oz 38 709 33 758 15 43 596 (11)
Total cash costs R/kg 812 811 793 228 (2) 711 999 (14)
$/oz 1 407 1 329 (6) 1 188 (18)
Group AISC R/kg 963 310 973 120 1 841 436 (14)
US$/oz 1 667 1 631 (2) 1 404 (19)
Group AIC R/kg 1 026 004 1 050 820 2 900 505 (14)
US$/oz 1 776 1 761 (1) 1 503 (18)
Average exchange rate R/US$ 17.97 18.56 (3) 18.64 (4)
(1) Tshepong South, Tshepong North, Target 1, Joel, Masimong, Doornkop and Kusasalethu
(2) Mponeng and Moab Khotsong
(3) Mine Waste Solutions, Phoenix, Central Plant, Savuka Tailings, Dumps and Kalgold
HEDGE POSITION AS AT 30 SEPTEMBER 2024
FY2025 FY2026 FY2027 FY2028
H1 H2 H1 H2 H1 H2 H1 H2 Total
Rand gold
Forward contracts koz 96 188 152 86 32 18 6 — 578
R'000/kg 1 273 1 365 1 389 1 553 1 661 1 726 1 758 — 1 416
Dollar gold
Forward contracts koz 11 22 19 12 6 4 1 — 75
$/oz 2 186 2 210 2 264 2 508 2 631 2 700 2 760 — 2 335
Rand Gold koz 12 22 12 38 52 48 6 — 190
Floor R'000/
Collars kg 1 358 1 412 1 486 1 532 1 576 1 622 1 698 — 1 544
Cap R'000/kg 1 535 1 591 1 695 1 729 1 785 1 831 1 907 — 1 745
Dollar Gold koz 1 4 7 7 8 7 1 — 35
Collars Floor US$/oz 2 270 2 340 2 395 2 448 2 500 2 536 2 576 — 2 453
Cap US$/oz 2 520 2 615 2 667 2 721 2 788 2 818 2 876 — 2 732
Total Gold koz 120 236 190 143 98 77 14 — 878
Currency Hedges
Rand Dollar
Zero Cost Collars $m 88 156 60 22 — — — — 326
Floor R/$ 18.69 19.22 19.05 19.41 — — — — 19.06
Cap R/$ 20.70 21.24 21.05 21.41 — — — — 21.07
Forward Contracts $m 36 67 36 9 — — — — 148
R/$ 19.67 20.05 20.12 20.40 — — — — 19.97
Total Rand Dollar $m 124 223 96 31 — — — — 474
Dollar Silver
Zero Cost Collars koz 330 660 660 650 180 — — — 2 480
Floor $/oz 25.70 27.05 28.28 30.09 31.47 — — — 28.32
Cap $/oz 28.54 29.91 31.38 33.44 35.19 — — — 31.43
OPERATING RESULTS - QUARTER ON QUARTER (RAND/METRIC)
SOUTH AFRICA
UNDERGROUND PRODUCTION
Three TOTAL
months Moab Tshepong Tshepong UNDER-
ended Khotsong Mponeng North South Doornkop Joel Target 1 Kusasalethu Masimong GROUND
Ore milled/tailings t'000 Sep-24 212 280 190 119 200 122 135 159 127 1 544
processed Jun-24 193 232 179 121 181 107 119 160 122 1 414
Yield g/tonne Sep-24 8.84 10.70 4.19 5.74 4.33 4.64 3.48 6.51 3.71 6.32
Jun-24 8.16 10.39 3.99 5.69 3.88 3.96 3.82 6.65 3.57 5.99
Gold produced kg Sep-24 1 875 2 997 796 683 866 566 470 1 035 471 9 759
Jun-24 1 575 2 411 715 689 702 424 455 1 064 436 8 471
Gold sold kg Sep-24 1 903 3 003 819 702 870 583 473 1 037 485 9 875
Jun-24 1 684 2 435 737 711 708 437 465 1 075 450 8 702
Gold price received R/kg Sep-24 1 379 318 1 380 777 1 382 339 1 381 254 1 375 347 1 380 823 1 377 404 1 379 443 1 380 126 1 379 850
Jun-24 1 341 494 1 341 647 1 341 501 1 340 105 1 341 417 1 340 741 1 345 684 1 341 813 1 340 089 1 341 571
Gold revenue(1) R'000 Sep-24 2 624 843 4 146 474 1 132 136 969 640 1 196 552 805 020 651 512 1 430 482 669 361 13 626 020
Jun-24 2 259 076 3 266 911 988 686 952 815 949 723 585 904 625 743 1 442 449 603 040 11 674 347
Cash operating cost R'000 Sep-24 1 419 744 1 910 298 832 078 780 530 807 067 515 000 673 700 1 073 953 548 893 8 561 263
(net of by-product credits) Jun-24 1 028 882 1 605 612 724 961 675 633 738 892 430 332 599 275 996 858 476 463 7 276 908
Inventory movement R'000 Sep-24 (16 132) (4 753) 11 916 17 209 (23 214) 679 (10 970) 15 970 8 262 (1 033)
Jun-24 127 056 44 818 28 558 20 096 (6 755) 7 082 10 457 21 822 9 465 262 599
Operating costs R'000 Sep-24 1 403 612 1 905 545 843 994 797 739 783 853 515 679 662 730 1 089 923 557 155 8 560 230
Jun-24 1 155 938 1 650 430 753 519 695 729 732 137 437 414 609 732 1 018 680 485 928 7 539 507
Production profit/(loss) R'000 Sep-24 1 221 231 2 240 929 288 142 171 901 412 699 289 341 (11 218) 340 559 112 206 5 065 790
Jun-24 1 103 138 1 616 481 235 167 257 086 217 586 148 490 16 011 423 769 117 112 4 134 840
Capital expenditure R'000 Sep-24 318 188 394 300 150 987 133 309 173 445 75 234 125 675 76 966 13 745 1 461 849
Jun-24 364 985 268 757 170 536 142 885 191 125 86 775 163 503 62 193 16 989 1 467 748
Cash operating costs R/kg Sep-24 757 197 637 403 1 045 324 1 142 796 931 948 909 894 1 433 404 1 037 636 1 165 378 877 268
Jun-24 653 258 665 953 1 013 931 980 599 1 052 553 1 014 934 1 317 088 936 897 1 092 805 859 038
Cash operating costs R/tonne Sep-24 6 697 6 822 4 379 6 559 4 035 4 221 4 990 6 754 4 322 5 545
Jun-24 5 331 6 921 4 050 5 584 4 082 4 022 5 036 6 230 3 905 5 146
Cash operating cost R/kg Sep-24 926 897 768 968 1 235 006 1 337 978 1 132 231 1 042 816 1 700 798 1 111 999 1 194 561 1 027 063
and Capital Jun-24 884 995 777 424 1 252 443 1 187 980 1 324 811 1 219 592 1 676 435 995 349 1 131 771 1 032 305
All-in sustaining cost R/kg Sep-24 822 716 752 470 1 224 995 1 320 009 1 080 758 1 062 826 1 739 078 1 173 334 1 254 207 1 008 883
Jun-24 790 389 789 288 1 281 507 1 183 551 1 234 224 1 233 818 1 724 740 1 036 032 1 119 703 1 019 481
Operating free cash flow % Sep-24 34% 44% 13% 6% 18% 27% (23)% 20% 16% 26%
margin(2) Jun-24 38% 43% 9% 14% 2% 12% (22)% 27% 18% 25%
OPERATING RESULTS - QUARTER ON QUARTER (RAND/METRIC) continued
SOUTH AFRICA
SURFACE PRODUCTION
Three Mine Central TOTAL
months Waste Plant Savuka TOTAL SOUTH Hidden TOTAL
ended Solutions Phoenix Reclamation Tailings Dumps Kalgold SURFACE AFRICA Valley HARMONY
Ore milled/tailings t'000 Sep-24 5 964 1 582 1 017 992 923 373 10 851 12 395 971 13 366
processed Jun-24 5 848 1 514 988 1 013 1 093 352 10 808 12 222 911 13 133
Yield g/tonne Sep-24 0.147 0.154 0.155 0.161 0.432 0.88 0.20 0.96 1.24 0.98
Jun-24 0.161 0.172 0.150 0.151 0.404 0.95 0.21 0.88 1.15 0.90
Gold produced kg Sep-24 878 243 158 160 399 330 2 168 11 927 1 204 13 131
Jun-24 942 261 148 153 442 334 2 280 10 751 1 050 11 801
Gold sold kg Sep-24 886 248 159 152 398 325 2 168 12 043 1 222 13 265
Jun-24 963 266 141 163 448 342 2 323 11 025 927 11 952
Gold price received R/kg Sep-24 1 081 756 1 432 484 1 377 377 1 374 414 1 377 485 1 377 102 1 262 640 1 358 750 1 382 893 1 360 974
Jun-24 1 074 881 1 396 771 1 339 830 1 344 417 1 340 004 1 342 012 1 237 192 1 319 578 1 348 723 1 321 838
Gold revenue(1) R'000 Sep-24 1 030 206 355 256 219 003 208 911 548 239 447 558 2 809 173 16 435 193 1 689 895 18 125 088
Jun-24 1 108 521 371 541 188 916 219 140 600 322 458 968 2 947 408 14 621 755 1 250 266 15 872 021
Cash operating cost R'000 Sep-24 566 419 152 823 106 714 104 858 359 539 272 773 1 563 126 10 124 389 548 638 10 673 027
(net of by-product Jun-24 524 572 138 868 91 441 90 056 368 416 281 210 1 494 563 8 771 471 589 411 9 360 882
credits)
Inventory movement R'000 Sep-24 (4 590) 646 (498) (5 222) (2 042) (1 845) (13 551) (14 584) 43 903 29 319
Jun-24 2 890 6 208 (4 580) 5 632 (3 730) 5 097 11 517 274 116 (132 386) 141 730
Operating costs R'000 Sep-24 561 829 153 469 106 216 99 636 357 497 270 928 1 549 575 10 109 805 592 541 10 702 346
Jun-24 527 462 145 076 86 861 95 688 364 686 286 307 1 506 080 9 045 587 457 025 9 502 612
Production profit/(loss) R'000 Sep-24 468 377 201 787 112 787 109 275 190 742 176 630 1 259 598 6 325 388 1 097 354 7 422 742
Jun-24 581 059 226 465 102 055 123 452 235 636 172 661 1 441 328 5 576 168 793 241 6 369 409
Capital expenditure R'000 Sep-24 284 589 969 486 11 398 81 55 034 352 557 1 814 406 376 521 2 190 927
Jun-24 365 533 6 330 5 965 7 829 1 167 69 009 455 833 1 923 581 576 465 2 500 046
Cash operating costs R/kg Sep-24 645 124 628 901 675 405 655 363 901 100 826 585 720 999 848 863 455 679 812 811
Jun-24 556 870 532 061 617 845 588 601 833 520 841 946 655 510 815 875 561 344 793 228
Cash operating costs R/tonne Sep-24 95 97 105 106 390 731 144 817 565 799
Jun-24 90 92 93 89 337 799 138 718 647 713
Cash operating cost R/kg Sep-24 969 257 632 889 678 481 726 600 901 303 993 355 883 618 1 000 989 768 404 979 663
and Capital Jun-24 944 910 556 314 658 149 639 771 836 161 1 048 560 855 437 994 796 1 110 358 1 005 078
All-in sustaining cost R/kg Sep-24 705 609 632 623 676 400 730 487 898 437 1 046 345 783 340 967 876 918 309 963 310
Jun-24 629 424 576 587 663 391 635 074 816 636 1 064 898 726 048 957 294 1 161 342 973 120
Operating free cash flow % Sep-24 11% 57% 51% 44% 34% 23% 29% 27% 46% 29%
margin(2) Jun-24 14% 61% 48% 55% 38% 24% 32% 27% 9% 25%
(1) Includes a non-cash consideration to Franco-Nevada (Sep-24:R 71.770m, Jun-24:R 73.411m) under Mine Waste Solutions, excluded from the gold price calculation.
(2) Excludes run of mine costs for Kalgold (Sep-24 : -R16.028m, Jun-24 : R2.386m) and Hidden Valley (Sep-24 : R5.860m, Jun-24 : R29.030m).
DIRECTORATE AND ADMINISTRATION
HARMONY GOLD MINING COMPANY LIMITED
Harmony Gold Mining Company Limited was
incorporated and registered as a public company in
South Africa on 25 August 1950
Registration number: 1950/038232/06
CORPORATE OFFICE
Randfontein Office Park
PO Box 2, Randfontein, 1760, South Africa
Corner Main Reef Road and Ward Avenue
Randfontein, 1759, South Africa
Telephone: +27 11 411 2000
Website: http://www.harmony.co.za
DIRECTORS
Dr PT Motsepe* (chairman), KT Nondumo*^ (deputy
chairman), Dr M Msimang*^ (lead independent
director), PW Steenkamp (chief executive officer),
BP Lekubo (financial director), Dr HE Mashego
(executive director)
B Nqwababa*^, VP Pillay*^, MJ Prinsloo*^,
GR Sibiya*^, PL Turner*^, JL Wetton*^
* Non-executive
^ Independent
COMPANY SECRETARY
SS Mohatla
E-mail queries: companysecretariat@harmony.co.za
Telephone: +27 11 411 2359
INVESTOR RELATIONS
E-mail: HarmonyIR@harmony.co.za
Telephone: +27 11 411 6073 or +27 82 746 4120
TRANSFER SECRETARIES
JSE Investor Services (Proprietary) Limited
(Registration number 2000/007239/07)
19 Ameshoff Street, 13th Floor, Hollard House,
Braamfontein
PO Box 4844, Johannesburg, 2000, South Africa
E-mail: info@jseinvestorservices.co.za
Telephone: +27 86 154 6572
Fax: +27 86 674 4381
AMERICAN DEPOSITARY RECEIPTS
American Depositary Receipts
Deutsche Bank Trust Company Americas
c/o Equiniti Trust Company LLC, Peck Slip Station,
PO Box 2050, New York, NY10271-2050
Email: db@astfinancial.com
Toll free (within US): (886) 249 2593
Int: +1 718 921 8137
Fax: +1 718 921 8334
SPONSOR
J.P. Morgan Equities South Africa Proprietary Limited
1 Fricker Road, corner Hurlingham Road, Illovo,
Johannesburg, 2196
Private Bag X9936, Sandton, 2146
Telephone: +27 11 507 0300
Fax: +27 11 507 0503
TRADING SYMBOLS
ISIN: ZAE000015228
HARMONY'S ANNUAL REPORTS
Harmony's Integrated Report, and its report suite filed on a Form 20F with the United States' Securities
and Exchange Commission for the financial year ended 30 June 2024, are available on our website
(http://www.harmony.co.za/invest).
FORWARD-LOOKING STATEMENTS
This booklet contains forward-looking statements within the meaning of the safe harbour provided by Section 21E of the Exchange
Act and Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), with respect to our financial condition, results
of operations, business strategies, operating efficiencies, competitive positions, growth opportunities for existing services, plans and
objectives of management, markets for stock and other matters. These forward-looking statements, including, among others, those
relating to our future business prospects, revenues, and the potential benefit of acquisitions (including statements regarding growth
and cost savings) wherever they may occur in this booklet, are necessarily estimates reflecting the best judgment of our senior
management and involve a number of risks and uncertainties that could cause actual results to differ materially from those suggested
by the forward-looking statements. As a consequence, these forward-looking statements should be considered in light of various
important factors, including those set forth in our integrated annual report. By their nature, forward-looking statements involve risk
and uncertainty because they relate to future events and circumstances and should be considered in light of various important factors,
including those set forth in this disclaimer. Readers are cautioned not to place undue reliance on such statements. Important factors
that could cause actual results to differ materially from estimates or projections contained in the forward-looking statements include,
without limitation: overall economic and business conditions in South Africa, Papua New Guinea, Australia and elsewhere; the impact
from, and measures taken to address, Covid-19 and other contagious diseases, such as HIV and tuberculosis; high and rising inflation,
supply chain issues, volatile commodity costs and other inflationary pressures exacerbated by the geopolitical risks; estimates of future
earnings, and the sensitivity of earnings to gold and other metals prices; estimates of future gold and other metals production and
sales; estimates of future cash costs; estimates of future cash flows, and the sensitivity of cash flows to gold and other metals prices;
estimates of provision for silicosis settlement; increasing regulation of environmental and sustainability matters such as greenhouse
gas emission and climate change, and the impact of climate change on our operations; estimates of future tax liabilities under the
Carbon Tax Act (South Africa); statements regarding future debt repayments; estimates of future capital expenditures; the success of
our business strategy, exploration and development activities and other initiatives; future financial position, plans, strategies, objectives,
capital expenditures, projected costs and anticipated cost savings and financing plans; estimates of reserves statements regarding future
exploration results and the replacement of reserves; the ability to achieve anticipated efficiencies and other cost savings in connection
with past and future acquisitions, as well as at existing operations; fluctuations in the market price of gold and other metals; the
occurrence of hazards associated with underground and surface gold mining; the occurrence of labour disruptions related to industrial
action or health and safety incidents; power cost increases as well as power stoppages, fluctuations and usage constraints; ageing
infrastructure, unplanned breakdowns and stoppages that may delay production, increase costs and industrial accidents; supply chain
shortages and increases in the prices of production imports and the availability, terms and deployment of capital; our ability to hire
and retain senior management, sufficiently technically-skilled employees, as well as our ability to achieve sufficient representation of
historically disadvantaged persons in management positions or sufficient gender diversity in management positions or at Board level;
our ability to comply with requirements that we operate in a sustainable manner and provide benefits to affected communities; potential
liabilities related to occupational health diseases; changes in government regulation and the political environment, particularly tax and
royalties, mining rights, health, safety, environmental regulation and business ownership including any interpretation thereof; court
decisions affecting the mining industry, including, without limitation, regarding the interpretation of mining rights; our ability to protect
our information technology and communication systems and the personal data we retain; risks related to the failure of internal controls;
our ability to meet our environmental, social and corporate governance targets; the outcome of pending or future litigation or regulatory
proceedings; fluctuations in exchange rates and currency devaluations and other macroeconomic monetary policies, as well as the
impact of South African exchange control regulations; the adequacy of the Group's insurance coverage; any further downgrade of South
Africa's credit rating and socio-economic or political instability in South Africa, Papua New Guinea, Australia and other countries in
which we operate; changes in technical and economic assumptions underlying our mineral reserves estimates; geotechnical challenges
due to the ageing of certain mines and a trend toward mining deeper pits and more complex, often deeper underground, deposits;
and actual or alleged breach or breaches in governance processes, fraud, bribery or corruption at our operations that leads to censure,
penalties or negative reputational impacts.
The foregoing factors and others described under "Risk Factors" in our Integrated Annual Report (http://www.har.co.za) and our Form 20-F
should not be construed as exhaustive. We undertake no obligation to update publicly or release any revisions to these forward-looking
statements to reflect events or circumstances after the date of this annual report or to reflect the occurrence of unanticipated events,
except as required by law. All subsequent written or oral forward-looking statements attributable to Harmony or any person acting on
its behalf are qualified by the cautionary statements herein. Any forward-looking statements contained in these financial results have
not been reviewed or reported on by Harmony's external auditors.
Competent Person's statement
The information in this booklet that relates to Mineral Resources or Ore Reserves has been extracted from our Reserves and Resources
statement published as at 30 June 2024. Harmony confirms that it is not aware of any new information or data that materially affects
the information included in the statement, in the case of Mineral Resources or Mineral Reserves, that all material assumptions and
technical parameters underpinning the estimates in the original release continue to apply and have not materially changed. Harmony
confirms that the form and context in which the competent person's findings are presented have not been materially modified from the
original release.
Johannesburg
11 November 2024
Date: 11-11-2024 02:31:00
Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
Sharenet Sites 
