Harmony Gold Mining Co. Ltd. · JSE:HAR
Harmony Gold Mining — Corporate Update (September 2009)
13 slides from Harmony Gold Mining's corporate update, Sep 3, 2009
Slide 1: Gold outlook
Gold outlook Presentation to the Free State Goldfields Chamber of Business Graham Briggs, CEO p 3 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
Slide 2: Strategy implementation and delivery
Strategy implementation and delivery 3 Strategy Refocusing Organic/Acquisition Strategy Organic Growth Strategy Revitalising Back-to-Basics Re-organising How does the Mathjabeng area feature ? Renewing Stabilisation Recovery Growth Phase Phase Phase Aug 07 Dec 07 Jun 09 Jun 2012 + 5 months 18 months
Slide 3: Delivery on promises
Delivery on promises What we said What we have delivered We are creating an outstanding company… Behaviour-based safety programmes • safety first Stakeholder buy-in • unhedged h d d Improved I d safety f t • focused management Executive management strengthened • responsible corporate citizen
Slide 4: Pro-actively addressing safety
Pro-actively addressing safety – Action plans and strategies in place: 1 1. Management leads by example 2. Improved communication 3. Strong visible awareness 4. Reward and recognise safety achievements 5 5. Involvement of all stakeholders 6. Brand safety for the company – continuous improvement to a
Slide 5: Gold price performance
Gold outlook 9 Gold price performance Gold price (US$/oz) Gold price (ZAR/oz) Source: Bloomberg 10
Slide 6: Harmony share price vs gold price; gold prices in selected currencies
Harmony share price vs gold price (US$/oz) HAR Gold Price (US$/oz) 220 200 180 160 140 120 16.5% 14.0% 100 80 21-Aug-08 2-Nov-08 14-Jan-09 28-Mar-09 9-Jun-09 21-Aug-09 Source: Bloomberg 11 Gold prices in selected currencies USD CAD EUR ZAR AUD 180 170 160 150 140 130 19.9% 120 18.3% 18.0% 110 15 8%
Slide 7: Gold price (ZAR/kg) vs US$/ZAR exchange rate; Supply and demand
Gold price (ZAR/kg) vs US$/ZAR exchange rate US$/ZAR exchange rate Gold price (ZAR/kg) 12.0 350,000 11.0 300,000 10.0 250,000 9.0 200,000 8.0 150,000 , 7.0 100,000 6.0 50,000 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Jan-09 Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09 Aug-09 Source: Bloomberg 13 Supply and de
Slide 8: Selected ETF holdings; Future gold price
Selected ETF holdings 1,400 1,200 1,000 tonnes 800 600 400 200 - 2003 2005 2006 2007 2008 2009 LSE GBS GBS ASX NYSE SPDR JSE New Gold NASDAQ Dubai Source: Bloomberg 15 Future gold price Why has gold not rocketed to $1000/oz? – Global financial uncertainty – Gold demand has fallen 9% y-o-y – Jeweller
Slide 9: Global Gold Production; Harmony's outlook
“Global Gold Production” by ZEAL'S Scott Wright One of the many reasons why gold is precious is its rarity. And when it is found, economically extracting it from the earth presents its challenges. There are two strategic reasons why production is down. First are the growing challenges that gold mine
Slide 10: Tomorrow's gold
Tomorrow’s gold 19 Production build-up #Other shafts: Production from Tshepong, Target, Masimong, Evander, Bambanani, Joel 20
Slide 11: Project pipeline: Pamodzi Gold Free State assets transaction
Project pipeline 21 Pamodzi Gold Free State assets transaction – Negotiations suspended – Purchase price: R405 million (US43.3m at R9.33/$) – 1.82 1 82 M Moz off reserves ((as d declared l db by PZG) – 18.6 Moz of resources – Price per reserve ounce: US$24/oz – Price per resource ounce: US$2.33/oz –
Slide 12: Rand Uranium
Rand Uranium – Independent – Partnership working well – 220 000 oz off gold ld pa – Cash cost of R185 000/kg – Underground ore resource being assessed for: • gold/uranium potential • joint cut-off – Uranium plant feasibility study completion by end off calendar l d 2009 • 450 000tpm • +2mlb uranium
Slide 13: Well-positioned
Well-positioned – Throughput, grade, ounces set to increase • from existing assets • from 5 new projects under way – Development achieved in line with plan – Several new projects under consideration – Continues to invest in growth projects, funded through cash flows – Restructuring for profitability
Harmony Gold Mining — Corporate Update (September 2009) on 6ix