a day ago
Harmony on track to meet production guidance
Harmony Gold, SA's biggest gold producer by volume, said it remains on track to deliver its production and cost guidance as the gold price continues to add shine to its performance.
Harmony, which paid a record R1.4bn dividend in the six months ended December 2024, said it expects to meet the 2025 financial year guidance of between 1.4m ounces and 1.5m ounces 'comfortably' between the guided range of R1.02m/kg to R1.1m/kg.
CEO Beyers Nel said underground recovered grades will be higher than the guided 6g/t while total capital expenditure for the year will be slightly below the guided R10.8bn.
'We have a firm grip on our costs, which are predominantly rand based and comprise mainly labour, consumables and electricity. We continue to benefit from the high rand per kilogram gold price and maintain a high level of certainty and predictability as it relates to our planning parameters,' Nel said.
Harmony, which operates some of SA's deep level gold mines, also has operations in Papua New Guinea and Australia.
The company has been on an acquisition path and last month announced the potential $1.03bn (R18.6bn) acquisition of MAC Copper in New South Wales, Australia, which is expected to produce more than 40 000 tonnes of copper annually and contribute immediately towards increasing free cash flow generation.
'Over the past three years, Harmony has transformed into a geographically diversified specialist mining company with a compelling gold and copper story. We continue creating meaningful value for our stakeholders through safe, profitable ounces and improving margins by delivering on our strategic objectives,' Nel said.
He said Harmony will continue to allocate most of its project capital to its higher-grade, higher-quality, and lower-risk assets.
'This includes the extension projects at Hidden Valley, Moab Khotsong and Mponeng. We are also finalising the Eva Copper project's feasibility study and will provide an update on the outcome thereof when we release our year-end results in August 2025,' he said.
The company is scheduled to release its 2025 financial results on August 28.
