Harmony Gold’s two recent transactions, which have loaded debt onto its balance sheet, promise to deliver a vastly different set of financial results when the two low-cost assets start contributing gold to the mining group. In its interim results for the six months to end-December, Harmony’s financial results showed the effect of an impairment of its Unisel mine, which the miner is likely to close in two years instead of the expected four, and flat production, sales, revenue and operating profit. Harmony reiterated it was on track for full-year production of 1.1-million ounces of gold for the year to end-June, the first step on its way to a target of 1.5-million ounces in a couple of years. Harmony is bringing its Hidden Valley mine in Papua New Guinea into commercial production in the coming months and nearing the conclusion of a $300m cash deal with AngloGold Ashanti to buy its Moab Khotsong and mothballed Great Noligwa mines in SA. Harmony said it had secured critically important...
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