HAR - Harmony - Investigation Into The Feasibility Of Re-Mining Certain Release Date: 28/01/2008 17:29:01 Code(s): HAR
HAR - Harmony - Investigation Into The Feasibility Of Re-Mining Certain
Tailings Dams In The Welkom Area
Harmony Gold Mining Company Ltd
Incorporated in the Republic of South Africa
Registration number: 1950/038232/06
JSE share code: HAR
INVESTIGATION INTO THE FEASIBILITY OF RE-MINING CERTAIN TAILINGS DAMS IN THE
Harmony Gold Mining Company Limited (Harmony) is investigating the feasibility
of re-mining some of its old tailings dams at its operations in the Welkom area.
The objectives of the project are to re-mine old tailings dams, re-process the
tailings to extract gold and consolidate the residue tailings from the
processing plant onto three tailings facilities.
Nine historic tailings dams in the Welkom area are being considered as part of
this project. The proposed operations in Welkom will process about 240Mt of
tailings from these existing tailings dams. The project consists broadly of the
* Re-mining the nine existing tailings facilities
* Pipelines to supply water to the re-mining areas, and to transport the
slurry to the processing plant
* Gold to be removed from the slurry at the existing St Helena processing
* Pipelines to supply water to the processing plant and to transport tailings
residue from the processing plant to three tailings deposition facilities.
Graham Briggs, Chief Executive Officer says, "The re-mining of tailings presents
an ideal opportunity to consolidate tailings facilities spread across the region
into three tailings facilities. This will allow for better management of the
facilities and the implementation of stricter control on environmental
management, which earlier facilities may not have taken into account during
The reprocessing of tailings is focused on gold extraction. The potential
extraction of uranium is still being assessed.
Gold may be reclaimed from the slurry at the existing St Helena processing
plant, situated south-west of Welkom. The plant was mothballed almost three
years ago and could be brought into production again. It may be expanded to
allow for the treatment of the required volumes of slurry.
Several regulatory processes are being conducted, including an Environmental
Impact assessment. The purpose of the EIA is to evaluate potential negative and
positive environmental and social impacts.
Should the Harmony re-mining project be approved by the authorities, it is
expected that construction at these operations will commence towards the end of
2008. It is anticipated that about 130 temporary job opportunities will be
created during the construction phase. Furthermore, about 150 permanent jobs are
expected to be created by the project over a 20- year period. This is subject to
the outcome of the engineering studies.
Three significant benefits that will flow from the proposed project include
addressing environmental concerns related to the existing nine tailings
dams; consolidating tailings using current best practice and significantly
reducing current environmental impacts; and the economic benefit of gold
Harmony`s successful and profitable tailings project near Virginia, the R41
million Phoenix project, was upgraded to process 500 000 tonnes per month.
It is anticipated that the St Helena plant would be a profitable business;
capital and working cost estimates are yet to be finalised.
Harmony welcomes stakeholders` participation in the EIA process to identify
issues of concern and suggestions for enhanced benefits.
Issued by Harmony Gold Mining Company Limited
28 January 2008
For more details contact:
Chief Executive Officer
on +27(0)11 411 2012
+27 (0)83 265 0274
General Manager, Investor Relations
on +27 11 411 2314 or
+27 (0)82 654 9241
Merrill Lynch South Africa (Proprietary) Limited
Date: 28/01/2008 17:29:01 Supplied by www.sharenet.co.za
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