HAR - Harmony Gold Mining Company Ltd - Press release
Harmony Gold Mining Company Ltd
Incorporated in the Republic of South Africa
Registration number: 1950/038232/06
Share code: HAR
HIDDEN VALLEY MINE DENIES NUISANCE CLAIM OVER MINE SEDIMENT
Johannesburg, Thursday 6 January 2011. Please find attached a statement from
the Hidden Valley Joint Venture regarding the purported service of a writ upon
the Hidden Valley Joint Venturers.
Hidden Valley mine is in the Morobe province of Papua New Guinea. It is a
50:50 Joint Venture between Papua New Guinea subsidiaries of Harmony Gold
Mining Company Limited and Newcrest Mining Limited of Australia.
Hidden Valley Joint Venture denies nuisance claim brought by the Member for
The Hidden Valley Joint Venture denies allegations made against it in a writ
purportedly served upon the PNG Joint Venture companies late yesterday by the
legal advisor acting for the Member of Parliament for Bulolo and a number of
customary landowners living along the Watut River.
The Joint Venturers will vigorously defend the litigation should it proceed.
The writ alleges nuisance relating to mine-related sediment and seeks damages
and injunctive relief in relation to the Hidden Valley Mine operations.
The issue and purported service of the writ is contrary to the agreement
reached between the Member and the Joint Venture (jointly publicly announced
on 6 December) to establish an expert technical advisory panel as a vehicle
for constructive resolution of sediment related issues in a transparent and
The pending legal action now prejudices the ability of the Member and his
legal advisor to participate in this process.
The issue and purported service of the writ by the Member`s legal advisor
appears to be prompted by voluntary compensation payments being made by the
Joint Venture to communities along the Watut River. The payments were for
flood damage to crops and gardens, to which mine related sediment may have
contributed, along with natural events including land slips and major rain
These payments have been underway since November and are now almost complete.
The vast majority of eligible people have now received their payment. The
Member has been fully aware of the status of the payments throughout the
Additionally, in mid December the Joint Venture formally confirmed with the
Member and his legal advisor, that by accepting these compensation payments
landowners do not in any way infringe on their future rights to claim further
Importantly, at Hidden Valley Mine all tailings from the processing of ore are
stored permanently in an engineered Tailings Storage Facility. No tailings
are discharged from our site.
Hidden Valley Mine has a demonstrated track record of working with
communities. A range of effective environmental and community programs are in
place and ongoing. The Hidden Valley mine has a 2000-strong workforce, most
of whom are local people.
The Joint Venture remains committed to addressing issues with affected
communities in a constructive and expeditious manner.
General Manager Sustainability & External Relations
Tel. +675 7100 2406
Issued by Harmony Gold Mining Company Limited
For more details contact:
Investor Relations Officer
+27 (0)82 759 1775 (cell)
+27 11 411 2314 (office)
Randfontein Office Park
P O Box 2
South Africa 1760
T +27 11 411 2000
6 January 2011
J.P. Morgan Equities Limited
Date: 06/01/2011 08:54:01 Supplied by www.sharenet.co.za
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