Harmony remains on track to exceed the full-year production guidance
Johannesburg Harmony Gold Mining Company has announced that total gold production for the six months ended 31 December 2024 (“H1FY25”) was between 790 000 ounces (24 570kg) and 805 000 ounces (25 000kg). The South African underground recovered grades are expected to be higher than the guided 5.80g/t, driven mainly by an exceptional performance from Mponeng.
All-in-sustaining costs (“AISC”) for H1FY25 will be between R960 000/kg to R985 000/kg.
The Company remains on track to exceed the full-year production guidance of between 1 400 000 to 1 500 000 ounces for FY25. We are confident that full-year AISC will remain within the guided range of between R1 020 000/kg and R1 100 000/kg for FY25.
This is a function of the planned lower production, inflationary increases, and higher sustaining capital. As guided, total production for H1FY25 in comparison to half-year production in financial year 2024 was down slightly, mainly due to the planned lower production from the South African underground optimised portfolio and Hidden Valley (which benefitted from the high-grade ‘Big-Red’ in the previous reporting period).
Our balance sheet has continued to strengthen, with a significant increase in our net cash position from what was reported on in November 2024. Harmony remains well positioned to fund our various approved capital projects.
All of its underground operations (except Target 1, which is still in a turnaround process after being recapitalised) generated meaningful positive operating free cash flows. The South African surface-source operations and Hidden Valley Mine in Papua New Guinea also performed well and contributed meaningfully towards the strong operating free cash flows in H1FY25.
Production-, cost- and grade guidance for the financial year 2025 remain unchanged.
“The first half of this financial year has been one that has yet again shown that consistently and sustainably delivering safe, profitable ounces and generating improved operating free cash flows remain core to what Harmony does. Striving for excellence in all we do will enable us to meet all of our strategic objectives”, said new chief executive officer (“CEO”), Beyers Nel.
