Harmony Gold Mining Co. Ltd. · JSE:HAR

Harmony Gold Mining — Corporate Update (2005)

10 slides from Harmony Gold Mining's corporate update, 2005

  1. Slide 1: Strategy for Wafi and Golpu

    Strategy for Wafi and Golpu Graham Briggs

  2. Slide 2: New Mines: Golpu is on the Map

    New Mines: Golpu is on the Map Commissioning / Completed Construction Feasibility / Pre Feasibility Voisey Bay (Can) 42kt (Con) 2006 Montcalm (Can) 4kt (Con) 2005 Khanong (Laos) Duck Pond (Can) Lisbon Valley (US) 60kt (SXEW) 2005 17kt (Con) 2007 25kt (SXEW) 2005 Miduk & Sungun (Iran) Rapu Rapu (Phil

  3. Slide 3: Capacity increases at existing mines

    Capacity increases at existing mines Restart of existing mine Expansion of existing mine Mt Polley (Can) 45kt (Con) 2005­07 Cayeli (Turkey) 13kt (Con) 2005­07 Gibraltar (Can) Myanmar (Burma) Chino/Cobre (USA) 25kt (Con) 2004­06 18kt (SXEW) 2005­07 38kt (Con) 2004­05 Robinson (USA) 53kt (Con) 2004­06

  4. Slide 4: Developing a copper strategy: where to from here?

    Developing a copper strategy: where to from here? Considerations: No Is copper market ­ Demand outlook fundamentally attractive? ­ Supply dynamics ­ Price outlook Yes ­ Value chain analysis ­ Expected margins etc. Considerations: ­ Harmony skills Accept limited No Sell Golpu ­ Cash flow diversificat

  5. Slide 5: Golpu overview

    Golpu overview World Copper Mine Total Costs 140 Cash Cost 140 Royalties 120 Depreciation 120 100 100 Golpu(per model) USc/lb 80 80 • A major investment will be required, US$300 – 700 million depending on the chosen scale 60 60 40 40 • The project likely to be integrated with Wafi development and op

  6. Slide 6: Introducing a partner to maximise value to Harmony

    Introducing a partner ; to maximise value to Harmony A c c e p t lim ite d E st. C o sts C o m p le te d F o re c a st C om m ent D iv e rsific a tio n ? (U S $ M M ) by coppe r p ric e Y es U S c /lb N /A Ju ly ‘0 5 1 4 0 ­1 3 0 S tro n g c o p p e r p ric e lik e ly to No P ro c e e d w ith G o lp

  7. Slide 7: Copper industry and market conclusions

    Copper industry and market conclusions • Copper is modern and relevant with intensity of use continuing to increase • Demand growth has accelerated to >3.5% p.a. (vs 2% long term) mainly as a result of China’s industrialisation • Supply is struggling to keep pace given: Ø Paucity of current projects

  8. Slide 8: Seeking a partner for Golpu - considerations

    Seeking a partner for Golpu ­ considerations Similar considerations apply to a buyer or a joint venture partner: • Interest will be heightened during periods of strong copper price • Site co­operation will be required even if no interest in Golpu is retained by Harmony Ø Potential synergies likely t

  9. Slide 9: Wafi Au - Golpu Cu - How to optimise?

    Wafi Au – Golpu Cu – How to optimise? Wafi – Optimisation Challenge Golpu – Simpler Decision Large resource with significant potential, Clean copper / gold ore at depth however; – Transition and high arsenic zones – High proportion of primary ore best mined and treated separately (if – Primary ore i

  10. Slide 10: Harmony is firmly focused on Gold. Questions?

    Harmony is firmly focused on Gold PNG has abundant mineral opportunities. Questions ?

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