Harmony Gold Mining Co. Ltd. · JSE:HAR
Harmony Gold Mining — PNG Mining Seminar 2013
32 slides from Harmony Gold Mining's conference presentation, Dec 5, 2013
Slide 1: PNG Mining Seminar 2013
PNG Mining Seminar 2013 HARMONY GOLD (PNG) EXPLORATION LIMITED Mike Humphries Executive General Manager Exploration 5 December 2013 1 www.harmony.co.za w w w . h a r mw onwyw. c. hoa. zr m a ony.co.za
Slide 2: Disclosure and Competent Person Statement
Disclosure and Competent Person Statement 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 Act of 1934, as amended, t
Slide 3: PNG exploration
PNG exploration 1 Introduction and strategic focus 2 Exploration overview 3 Project reviews • Amanab • Tari 4 Conclusion www.harmony.co.za
Slide 4: Harmony Gold Mining Company Limited
Harmony Gold Mining Company Limited • Major gold producer − 1.14 Moz produced in FY13 − operations in South Africa and Papua New Guinea (PNG) • ~36,000 employees including contractors • Reserves and Resources1 − 51.5 Moz Gold Reserves − 147.7 Moz Gold Resources • Active in PNG − Morobe Mining Joint
Slide 5: Harmony Gold Exploration Limited (HGEL)
Harmony Gold Exploration Limited (HGEL) 5 Year objective • Two new gold ore body discoveries, +4 Moz, in the Morobe region • +4 Moz Resource growth outside of the Morobe region on Harmony 100% tenure Strategic focus • Committed to exploration in PNG • Development of a sound territorial base in PNG •
Slide 6: PNG exploration overview
PNG exploration overview www.harmony.co.za
Slide 7: Harmony's exploration in PNG
Harmony’s exploration in PNG • Exploring since 2003 • Well established teams, networks and systems for safe work Resource and Reserve growth2 • Resource growth: 12.8 Moz Au & 4.5 Mt Cu, (equates to 35.5 Moz Au equivalent (eqv)1) • Cost per equivalent resource ounce: US$ 6.80 • Reserve growth: 8.0 Mo
Slide 8: Harmony Gold (PNG) Exploration Limited (HGEL)
Harmony Gold (PNG) Exploration Limited (HGEL) • 45 employees - 90% PNG nationals • 31 permanent staff - 6 geologists • Operational hub at Mt Hagen • Flow-on work through various helicopter and drilling, geophysical, assay contractors 8 www.harmony.co.za
Slide 9: Safety
Safety • Over 2 years of Lost time injury free (1 052 days) • Training in systems awareness and embed foundation H & S tools − Job safety environment analysis utilisation for all work Emergency Release button − Emergency management systems and communication protocol − Hazard ID / risk assessment and
Slide 10: Communities and environment
Communities and environment Community affairs (CA) • Community projects included in exploration budget • Local labour/ employment • Established community affairs guideline for CA staff − community engagement and compensation agreements − village liaison officer model − managing expectations Imbinya
Slide 11: Maximize in-ground expenditure
Maximize in-ground expenditure • Productivity – Engagement model developed for regular structured interaction for community support – Proactive approach to safety to eliminate downtime associated with high risk incidents (e.g. new aviation standard, camp standard, security policy, vehicle management
Slide 12: Harmony PNG exploration - calendar year 2013
Harmony PNG exploration - calender year 2013 Amanab Project (Harmony 100%) Target: +4MOz Au in structural vein array • 232 km2 Lihir • Mineralisation model confirmed Mt Hagen Project (Harmony 100%) • Mapping and surface sampling (743 samples) • 917 km2 • Campaign fieldwork to develop drill targets •
Slide 13: Amanab Project
Amanab Project Harmony 100% www.harmony.co.za
Slide 14: Yup River fly camp
Yup River fly camp 14 www.harmony.co.za
Slide 15: Amanab - location and regional geology
Amanab - location and regional geology • EL1708: 232 km2 • Located in the Sandaun Province approximately 100 km south of Vanimo • Significant alluvial goldfield with no hardrock source • Targeting structurally hosted lode system 15 www.harmony.co.za
Slide 16: Amanab - gold sources
Amanab - gold sources 1. Quartz sulphide veins - Amanab Diorite and Ambunti Metamorphics BEDROCK 2. Basal conglomerates and coarse sands /grits - Senu Beds 3. Plio-Pleistocene River Terraces (Pebble rich lag deposits 10cm thick DISPERSION & c/o magnetite) REWORKING 4. Active river gravels (after Cus
Slide 17: Amanab - river terraces
Amanab - river terraces • Narrow terrace or bench deposits • Commonly preserved in point bars or as scattered remnants along active creek margins • Distinctive ~10cm quartz pebble rich horizons up to 10cm thick carrying accessory magnetite and gold • One of preferred targets of local informal miners
Slide 18: Amanab - active river system
Amanab - active river system • Shoe string river gravels (discontinuous) • Poorly sorted/unconsolidated gravel/sand • Meandering river system • Fragments local sources • Most easily accessible Au bearing unit in the Amanab area 18 www.harmony.co.za
Slide 19: Amanab – Yup East prospect
Amanab – Yup East prospect • Mesothermal lode vein system associated with Amanab diorite Au veins • Transported cover with alluvial gold over several square kilometers • High grade Au-Ag telluride mineralisation obtained from veins in creeks in the bedrock 34.8m @ 19.5 g/t Au 500m 19 www.harmony.co.
Slide 20: Amanab - mineralised shear zones in bedrock
Amanab - mineralised shear zones in bedrock • Widespread Au in isolated bedrock veins • Work program to differentiate major structures from small scale 3rd and 4th order • Main vein with mineralised breccia 3m @ 12.7 g/t in hanging wall. • Footwall potential not yet tested 13.6 19.1 g/t Au NSR* NSR*
Slide 21: Amanab – mineralisation style
Amanab – mineralisation style Thin section - photomicrograph Hand specimen / Outcrop Pyrite 0.3mm Native gold grain formed in association with larger Galena inclusion Native Au inclusions (2 x 60 microns) Orogenic gold • Syn-post mineralisation deformation 0.3mm • Massive quartz dominated veins with
Slide 22: Amanab – forward program
Amanab – forward program • Three profiles / trenches planned roughly 200m apart • Mapping and geochemical sampling to differentiate - pathfinder element responses over outcrop and over strike extensions under ? cover Main vein exposed in bedrock - major structural controls in by river channel the be
Slide 23: Tari Project
Tari Project Harmony 100% www.harmony.co.za
Slide 24: Tari Project tenure
Tari Project tenure Kili Teke • Porphyry Cu-Au system with related skarn EL1786 Mt Mula • Significant high tenor geochemical footprint with Kopiago limited drilling • Distal skarn and • Encouraging intercepts including : KT-003 134m multiphase intrusive @ 0.28% Cu and 0.37 g/t Au from 35m complex •
Slide 25: Dogoma
Dogoma • Located in on interpreted extension of the Porgera transfer, approx 50 km Lake Kopiago southwest of Porgera and Mt Kare • Accessible by road ELA2310 • Gold panned from creeks over an EL1785 area encompassing 1000m x 500m; EL1786 alluvials reported over a broader area • Initially documented
Slide 26: Dogoma prospect summary
Dogoma prospect summary • Field reconnaissance (October 2013) − Accurately located alluvial workings in relation to magnetic target and geology − Follow-up planned for hardrock source associated with structural-magnetic target − Northwest striking thrusts apparently terminated on the SW extension of
Slide 27: ELA2310: Kili Teke prospect
ELA2310: Kili Teke prospect Located approximately 40km east of Kili Teke prospect Lake Kopiago, 80km west of Porgera Lake Kopiago 1987: Regional drainage obtained float from lower Logaiyu River ELA2310 assaying up to 7.5g/t; EL1785 EL1786 2007: European Union sponsored aeromag survey 2009 – 2011: Al
Slide 28: Kili Teke prospect summary
Kili Teke prospect summary • Porphyry & skarn mineralisation with footprint over several square kilometres • Surface Results: Rock chips up to 35% Cu, 60g/t Au & 238g/t Ag, Channel ~10m @ 0.45% Cu & 0.29g/t Au • IP Geophysics: large chargeability anomaly to 300m depth • Drilling: 3 holes with encour
Slide 29: Kili Teke drill core
Kili Teke drill core KT003: 133.9m, biotite altered porphyry with quartz vein stockwork containing disseminated pyrite and chalcopyrite KT003: 53.5m, sericite altered diorite porphyry with quartz pyrite covellite veins 29 www.harmony.co.za
Slide 30: Conclusion
Conclusion www.harmony.co.za
Slide 31: Conclusion
Conclusion PNG currently has a supportive and competitive mining regulatory regime that promotes exploration and resource development PNG is a hugely prospective terrain for gold and-copper gold deposits Harmony’s exploration expenditure in PNG has been a good investment − Returned over 35.5 m
Slide 32: Contact us
Contact us: HarmonyIR@harmony.co.za Henrika Basterfield Investor Relations Manager Tel: +27 (0)11 411 2314 Mobile: +27 (0)82 759 1775 Email: henrika@harmony.co.za Marian van der Walt Executive: Corporate and Investor Relations Tel: +27 (0)11 411 2037 Mobile: +27 (0)82 888 1242 Email: marian@harmony.
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