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HARMONY GOLD MINING COMPANY LIMITED - FY19 Operational Update

Release Date: 25/07/2019 08:00:00      Code(s): HAR       PDF(s):  
FY19 Operational Update

Harmony Gold Mining Company Limited
Registration number 1950/038232/06
Incorporated in the Republic of South Africa
ISIN: ZAE000015228
JSE share code: HAR
(“Harmony” and/or “the Company”)

FY19 OPERATIONAL UPDATE

Johannesburg. Thursday, 25 July 2019. Harmony Gold Mining Company Limited (“Harmony”
or the “Company”) is pleased to announce that annual gold production of 1.44 million
ounces was in line with its financial year 2019 (“FY19”) guidance.

“Harmony’s FY19 operating performance was boosted by the inclusion of a full financial
year of production from both Moab Khotsong and Hidden Valley. We are committed to
increasing margins, which is achieved by mining safely and delivering increased
profitable production”, said Peter Steenkamp, chief executive officer of Harmony.

Year on year, Harmony delivered a 17% increase in gold production of 1.44 million
ounces, in line with its FY19 guidance of 1.45 million ounces. Underground recovered
grade was 2% higher at 5.59g/t in FY19 (FY18: 5.48g/t), the seventh consecutive year
of achieving an increase in underground recovered grade.

All-in sustaining unit cost (“AISC”) is expected to be higher than the guided
R540 000/kg, at between R550 000/kg and R555 000/kg – a year-on-year increase of about
8%. The increase in AISC is mainly due to inflationary increases and lower production
at the Tshepong Operations (as previously reported). In US$ terms, AISC is expected to
be about 2% lower at between US$1 210/oz and US$1 220/oz.

Harmony recorded a gold price received of approximately R586 000/kg or US$1 286/oz
(including the Rand gold hedge) in FY19.

Detailed annual operating and financial results for the year ended 30 June 2019 will
be announced on Tuesday 20 August 2019.

Wafi-Golpu permitting update

Recent developments in Papua New Guinea (“PNG”) have resulted in a delay to permitting
of the Wafi-Golpu Project. These developments include the period culminating in the
PNG Parliament’s election of a new Prime Minister, as well as the delay associated
with legal proceedings between the National Government and the Morobe Provincial
Government regarding the internal distribution of PNG’s economic interests in the
project.

The permitting delays compelled the Wafi-Golpu Joint Venture (“WGJV") to defer and
revise the planned work program it had planned to commence this calendar year.

General operation of the site, community programs, environmental monitoring and
engineering activity all continue, although at a reduced scale in an attempt to
mitigate the costs of the permitting delay.

The PNG Government continues to signal its support for the project and the WGJV is
well placed to resume discussions with the PNG Government given the constructive
progress already made on the various agreements required for completion of the
permitting process and the grant of a Special Mining Lease. It is difficult to
estimate the duration of this delay and the market will be advised when discussions
recommence.

ends.
For more details contact:

Lauren Fourie
Investor Relations Manager
+27(0)71 607 1498 (mobile)

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

Johannesburg, South Africa
25 July 2019

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

Date: 25/07/2019 08:00:00
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