Harmony Gold Mining Co. Ltd. · JSE:HAR
Harmony Gold Mining — Q1 2010 Earnings Presentation
12 slides from Harmony Gold Mining's earnings presentation, Sep 30, 2009
Slide 1: Analyst presentation Q1 FY10
Analyst presentation Q1 FY10 Graham Briggs, CEO 30 September 2009 Private securities litigation reform act safe harbour statement This presentation contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and 21E of the Securities Exchange Ac
Slide 2: Agenda
Agenda 1. September quarter FY10 projections 2. R/kg gold price 3. The way forward 3 September quarter FY10 projections 4 2
Slide 3: Profit contribution and Q-on-Q production
Profit contribution 5 Q-on-Q production (kg) Jun 2009 Sep 2009 6 3
Slide 4: Q-on-Q performance and projections
Q-on-Q performance Underground operations Safety Tons milled Grade Gold production Tshepong Phakisa Doornkop Elandsrand Target Masimong Evander Bambanani Joel Virginia Surface operations Kalgold Phoenix O
Slide 5: Costs and capital expenditure
Costs – Cash operating cost increase due to: • wages • cat. 3-8 (miners, artisans, officials) average increase 9.23% • 5.2% increase in total cost • leave pay liability adjustment of R35 million • electricity • tariff increases result in electricity costs of R240 million • winter tariffs add an addi
Slide 6: Hidden Valley and President Steyn shafts
Hidden Valley – Hidden Valley commissioning – Production will ramp up to commercial levels in next quarter – Conveyor completion and commissioning in the December quarter 11 President Steyn shafts – Transaction supported by IDC and unions – Sanctioned by High Court – All agreements signed – Project
Slide 7: R/kg gold price
R/kg gold price 13 Gold price performance (price/oz) Source: Bloomberg 14 7
Slide 8: Gold price vs US$/ZAR and selected currencies
Gold price (ZAR/kg) vs. US$/ZAR exchange rate Source: Bloomberg 15 Gold prices in selected currencies USD CAD EUR ZAR AUD 150 140 130 120 18.2% 12.6% 12.3% 110 8.6% 4.0% 100 90 80 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09 Aug-09 Sep-09 Source: Bloomberg 16 8
Slide 9: The way forward: four-phase growth path
The way forward 17 Four-phase growth path Organic growth, creasing ounces developing the project pipeline Acquisition and strategic partnerships Inc Operational efficiency and productivity increases Optimise asset portfolio management and re-organisation June 2009 Years June 2015 18 9
Slide 10: The groundwork and the roadmap
The groundwork Harmony Gold Mining Company Limited SA underground Surface International Associates/ Equity holding Tshepong, Freddies 9# Kalgold Morobe JV (Hidden Valley, Wafi gold, Rand Uranium (40%) Phakisa Phoenix Golpu copper/gold Doornkop Steyn Plant and rock dump exploration) Elandsrand St Hel
Slide 11: Generating the reserves - key actions
Generating the reserves - key actions Safe production Development focus • Management leads by example – behavioral change • Clear development strategies formulated • Improved communication • Development rates achieved • Strong visible awareness • Knowledge of the ore body • R Reward d and d recognis
Slide 12: Questions
Questions www.harmony.co.za 23 12
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