JOINT ANNOUNCEMENT by Release Date: 11/12/2002 13:08:07 Code(s): HAR
JOINT ANNOUNCEMENT by
Harmony Gold Mining Co. Ltd. and MINTEK - Harmony and Mintek join forces to
create Musuku Beneficiation Systems
ISIN No.: ZAE000015228
JSE : HAR
NYSE : HMY
HARMONY AND MINTEK JOIN FORCES TO CREATE MUSUKU BENEFICIATION SYSTEMS
Johannesburg - 11 December 2002 - Harmony Gold Mining
Company Limited ("Harmony") (NYSE: HMY), the fifth largest gold producer in the
world, and Mintek, the leader in minerals and metals technology in South Africa,
today announced that the
parties had signed a Memorandum of Understanding to create Musuku Beneficiation
Systems, an integrated manufacturing and technology group focussing on the
beneficiation of precious metals.
Musuku, meaning gold in Venda, will introduce, through a combination of
specialised refining technologies and standardised business management
practices, a major paradigm shift in the way precious metals are processed by
primary precious metals producers. It will provide the management, operational
and technical services necessary to profitably integrate value-adding processes
into the gold mining industry.
This approach will not only be applied to South Africa, but also to other
countries where precious metals play a significant role in their economies, and
where the use of their developed technologies can be deployed.
This is expected to unlock significant value in the value chain of the precious
metals industry and help South Africa gain a dominant position in the downstream
value-adding industries such as jewellery manufacture and industrial
applications for precious metals.
In support of the recently announced Mining Charter, this new venture for the
first time represents a significant opportunity for the participation of a Black
Economic Empowerment company in the beneficiation of precious metals in South
Africa. "Through the Musuku initiative, it is anticipated that the operational
expertise of the two companies, in the area of beneficiation of precious metals,
will be leveraged to create a globally competitive value adding business," said
Paul Jordan, President and Chief Executive Officer of Mintek.
Harmony, the only producer to refine and market its own gold, recently upgraded
its refinery in the Virginia to produce in excess of 100 tons of refined gold
per annum. A large range of
value-added products are currently produced for the local and export markets.
"The creation of this business venture is the next logical step in extending the
competitive advantage we have established over the past few years, to a larger
market," commented Ferdi Dippenaar, Harmony`s Marketing Director. "Our company
has embarked on and supported a range of beneficiation projects which have
resulted in benefits to all our stakeholders, i.e. our shareholders, the local
communities in which we operate, and the local jewellery manufacturing
companies. In addition these activities are creating employment opportunities in
the Free State goldfields, an area which has a high level of poverty, and has an
economy that needs to be regenerated following the downscaling of the mining
activities in the region," he concluded.
Date: 11/12/2002 01:08:00 PM Supplied by www.sharenet.co.za
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