Harmony Gold Mining Company Limited - Press release
ISIN No.: ZAE000015228
HARMONY AGGRESIVELY RESTRUCTURES AUSTRALIAN HEDGE BOOKS
Johannesburg, 29 January 2004
Harmony Gold Mining Company Limited (NYSE: HMY JSE: HAR) today announced that it
had further restructured the Australian hedge books which the company inherited
with the acquisition of New Hampton and Hill 50. A total of 365 000 ounces,
being a combination of forward sales and call contracts, have been closed out.
"The restructuring of the Australian hedge books is a continuation of Harmony"s
strategy of being unhedged. With the acquisition of these two companies, we
inherited hedge books consisting of forward sales and call contracts in excess
of 2 million ounces. Following the latest restructuring only 495 000 ounces
remain hedged," commented Bernard Swanepoel, Chief Executive.
Ounces produced by the Australian Operations for the 18-month period January
2004 to June 2005, will now be exposed to the current spot price of gold.
Delivery of the remaining hedged ounces is scheduled over the period July 2005
to June 2009.
The restructuring of the hedge books at a net cost of R80 million (US$11,3
million) has been financed from existing cash resources.
"Harmony continues to generate good cash operating profits and using these
proceeds to close out inherited hedged ounces makes good business sense. We will
continue with the restructuring of the remaining hedged ounces of New Hampton
and Hill 50, as and when market conditions allow," concluded Bernard.
Issued by Harmony Gold Mining Company limited
29 January 2004
For more details contact:
On +27(0)83 303 9922
on +27(0)82 807 3684
Investor Relations Officer
Tel +27 11 684 0146
Mobile +27(0)83 380 6614
Date: 29/01/2004 12:45:04 PM Supplied by www.sharenet.co.za
Produced by the JSE SENS Department