Harmony Gold Mining Co. Ltd. · JSE:HAR
Harmony Gold Mining — Hard Assets Conference 2008
22 slides from Harmony Gold Mining's conference presentation, May 12, 2008
Slide 1: Gold and uranium surface projects
Gold and uranium surface projects Hard H d Assets A t CConference f – New N Y Yorkk Ian Crowe, General Manager - Projects 1 12 – 13 May 2008
Slide 2: Private Securities litigation reform act safe harbour 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, that are intended to be covered by the safe
Slide 3: A leading gold mining company
A leading gold mining company p y – Founded in 1950 – Independent from Randgold in 1997 – 5th largest producer in the world – Primary listing – JSE (share code: HAR) – Other listings – LSE (share code: HRM) – NYSE & Nasdaq (share code: HMY) – Euronext Paris (HG), Brussels (HMY), OTC Berlin – Highly
Slide 4: A US$5bn market cap company
A US$5bn market cap company p y Harmony Gold Mining Co 60000 Market Capitalisation 1 January 1998 - 30 Apr 2008 50000 40000 30000 20000 10000 0 Jan-98 Mar-99 May-00 Jul-01 Sep-02 Nov-03 Jan-05 Mar-06 May-07 Apr-08 Market capitalisation US$4.9bn at 30 April 2008 (share price 12.00 US cents) 4
Slide 5: Company structure
Company structure Harmony Gold Mining Company Limited SA underground Surface International Associates/ Equity holding Tshepong Kalgold, Hidden Valley (50%) Phakisa Doornkop, Phakisa, Doornkop Phoenix Wafi/Golpu Pamodzi P d i Gold G ld (32%) Elandsrand, St Helena Exploration Dioro Exploration (12%) T
Slide 6: Location of operations
Location of operations WORLDWIDE OPERATIONS PAPUA NEW GUINEA ae Tr e JyfPesmonee y Papua New Ogecen www.harmony.co.za
Slide 7: Free State operations location
Free State operations location 7
Slide 8: Surface Projects
Surface Projects Free State – Saints - surface re-treatment of 1Mt/m of tailings (gold) – Project Phoenix phase 2 – doubling of tailings re-treatment re treatment (to 1Mt/m) – Project Tshepong, Phakisa, Masimong (TPM) uranium 8
Slide 9: Project Saints
Project Saints 9
Slide 10: Project Saints Overview
Project Saints Overview – Saints proposal 1Mt per month – One billion tonnes of surface source in Free State – Simple, proven, low risk technology – Phoenix project has proved the concept at 500kt/m – Water available for extra 1Mt per month – Tailings g deposition p site identified – Saints plant av
Slide 11: Project Saints Leach plant
Project Saints Leach plant 11
Slide 12: 20-Year capital expenditure
20-Year capital expenditure Capital Expenditure Schedule 500,000 400,000 300,000 R '000 200,000 100,000 - Year Year Year Year Year Year Year Year Year Year Year Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 10 11 12 13 14 15 16 17 18 19 20 Capital 439, - - 46,4 14,4 - 25,2 252, - -
Slide 13: Project Saints conclusion
Project Saints conclusion – Feasibility study has been completed – Will take 9 months to bring into production – Power requirement is 9.5 MW – Source of power has still to be confirmed – Permitting of deposition site is due in July 2008 – R500 million (US$70m) capex required (seven year life) – Seve
Slide 14: Phoenix Phase 2
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Slide 15: Phoenix Phase 2
Phoenix Phase 2 – 250 000 t/m additional slime from Phoenix – 250 000 t/m slime from Central – Average head grade of 0.30g Au/tonne – Average recovery of 47% – Monthly additional gold recovered – 71kg (2 280oz) – R136 million capex (US$19m) – Ten months to first production – NPV (@ 10%)) of R699 mil
Slide 16: Phoenix Phase 2 status
Phoenix Phase 2 status – Pre-feasibility y is being g completed p – Feasibility will take approx three months to complete – Will take 10 months to bring into production – Permitting of deposition site (Merriespruit) could delay start – Low risk, risk proven technology – Steady income stream – Simila
Slide 17: Free State uranium potential from current risings
Free State uranium potential from current risings 15 April 2008 17
Slide 18: Grade and tonnage profile
Grade and tonnage profile Current available Uranium data Shaft U r a n i u m t/m g/t kg Lb Tshepong 130,000 145 18,850 41,500 Phakisa 83,000 145 12,035 26,500 Masimong 84,000 187 15,708 34,500 Total/average 297,00 157 46,593 102,500 Streaming of processing plant – Tonnage profile of 280 000t and ave
Slide 19: Free State potential
Free State potential Requirements: – Uranium potential from Phakisa, Tshepong and Masimong – Tshepong average tonnage profile of 130 kt per month over 16 years – Phakisa average tonnage profile of 83 kt per month over 22 years – Masimong average tonnage profile of 84 kt per month over 14 years Tonna
Slide 20: Financials
Financials USD / Pound 50 60 70 80 90 100 NPV (23) 228 479 730 981 1,232 (Rm) IRR 6.8% 13.7% 19.6% 24.9% 29.9% 34.5% Payback 108 88 73 64 57 53 (Months) WACC – 7.5% R7.46 : 1USD Before tax Outstanding: – Results of leach concentrate extraction Please note that the figures used are IVP numbers 20
Slide 21: Projects Prospects
Projects Prospects – Project Saints implementation pending – Phoenix phase 2 pre-feasibility complete – Phoenix and Saints combined will add 200kg (6,500oz) of gold per month to Harmony’s production profile – TPM uranium scoping study due end May 2008 – TPM could produce 50 000 lbs of uranium per mo
Slide 22: Booth No. 715
Booth No. 715 Presentation available on our Website y www.harmony.co.za 22