Company announcements

Harmony- a partner in developing PNG

August 29, 2019

---

Johannesburg, Thursday, 29 August 2019. At a business breakfast hosted by the Lae Chamber of Commerce yesterday, Harmony Gold Mining Company Limited (‘Harmony’ and/or ‘the company’) provided a wide-ranging overview of its activities in Papua New Guinea (“PNG”).

The Harmony team, led by Harmony’s Southeast Asia chief executive officer, Johannes van Heerden, affirmed Harmony’s ongoing commitment to mining in Papua New Guinea. Mr van Heerden highlighted Harmony’s achievements since its entry into the country almost 16 years ago, which included the permitting, construction and operation of the Hidden Valley mine and the advancement of the Wafi-Golpu project from exploration to its present permitting phase.

Harmony emphasised the importance of safety in its operations and noted that the Hidden Valley mine currently operates at a leading industry total recordable injury frequency rate of 0.69 (per million hours worked).

Harmony is an established partner in the development of PNG, and estimates that it has contributed approximately K2.9 billion to the Morobe Province over the past 16 years, through its investment in the Hidden Valley mine, Wafi-Golpu project and exploration within the Province.

“Harmony is a significant contributor to the Morobe Kundu Vision 2048, both financially and through its tangible contributions to the community”, said Charles de Villiers, Harmony’s executive general manager responsible for operations. “With its anticipated 28-year operational mine life, the Wafi-Golpu project will contribute towards the achievement of the goals of the Kundu Vision well into the future.”

As regards Harmony’s contribution to the economy of Papua New Guinea as a whole, Harmony estimates that its Hidden Valley mine alone has directly and indirectly contributed over K 5 billion to the regional and national economy over the last 10 years, including K 489 million in royalties and direct paid taxes and various socio-economic development projects and programmes. Currently, over 100 local farmers are being trained in coffee husbandry and farm management and three coffee nurseries have been constructed, with the first harvest taken to market in July 2019.

The development of the Wafi-Golpu project is a key future economic driver for the Morobe Province and PNG.

“As an active explorer in the Morobe Province since 2004, Harmony has invested approximately K 1 billion in exploration and studies over time”, said Mike Humphries, Harmony’s executive general manager responsible for exploration. Mr Humphries highlighted the lengthy timelines involved from discovery to development to generating returns from production and added that “a stable, predictable regulatory regime is key in managing investment decisions and risk”.

Harmony is evaluating a range of organic growth prospects in South Africa and Papua New Guinea. “As an established, long-term partner in the Morobe Province and PNG, Harmony understands the importance of balancing stakeholder requirements. We are confident that our South African and PNG track record and experience will enable us to deliver our growth objectives, working with all stakeholders for mutual benefit”, Mr van Heerden concluded.

For more details contact:

Marian van der Walt
Executive: Investor Relations
+27(0)82 888 1242 (mobile)

Max Manoeli
Manager: Investor Relations
+27(0)82 759 1775 (mobile)

Sponsor:
J.P. Morgan Equities South Africa Proprietary Limited

Harmony Gold Mining Company Limited (Harmony), a world-class gold mining and exploration company, has operations and assets in South Africa and Papua New Guinea (PNG). Harmony, which has more than 60 years’ experience in the industry, is the third largest gold producer in South Africa. Our assets include one open pit mine and several exploration tenements in PNG, as well as 9 underground mines and 1 open pit operation and several surface sources in South Africa. In addition, we own 50% of the significant Golpu project in a joint venture in PNG.

The company’s primary stock exchange listing is on the JSE with a secondary listing on the New York Stock Exchange. The bulk of our shareholders are in South Africa and the United States. Additional information on the company is available on the corporate website, www.harmony.co.za.