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Harmony Gold Mining Co Ltd 6-K, filed May 6, 2020

Harmony Gold Mining Co Ltd (HMY)

6-K 2020-05-06 For: 2020-05-06
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Added on April 12, 2026

About this 6-K

Harmony Gold Mining Co Ltd filed this 6-K on May 6, 2020.

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6­K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a­16 OR 15d­16 UNDER THE

SECURITIES EXCHANGE ACT OF 1934

For May 6, 2020

Harmony Gold Mining Company Limited

Randfontein Office Park

Corner Main Reef Road and Ward Avenue Randfontein, 1759

South Africa

(Address of principal executive offices)

*-­

(Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20­ F or Form 40­F.)

Form 20F ☒ Form 40F ☐

(Indicate by check mark whether the registrant by furnishing the information contained in this form is also thereby furnishing

the information to the Commission pursuant to Rule 12g3­2(b) under the Securities Exchange Act of 1934.)

Yes ☐ No ☒

Harmony Gold Mining Company Limited

("Harmony" or "Company")

Incorporated in the Republic of South Africa

Registration number 1950/038232/06

JSE share code: HAR NYSE share code: HMY

ISIN: ZAE000015228

OPERATIONAL UPDATE for the nine months ended 31 March 2020

OPERATING FREE CASH FLOW MARGIN MORE THAN DOUBLES

Johannesburg, South Africa. Wednesday, 6 May 2020. Harmony Gold Mining Company Limited ("Harmony" or "the Company") is pleased to report that its operating free cash flow margin for the nine months ended 31 March 2020 more than doubled to 13% from 6% for the nine months ended 31 March 2019.

This was due largely to a 21.6% increase in the average Rand gold price received for the period to R704 965/kg. Operating free cash flow increased by more than 100%, from R1.3 billion to R3.0 billion.

Total gold production was 8.5% lower at 30 814kg (or 990 691oz), affected by South Africa's COVID-19 national lockdown regulations, compliance with which resulted in six full days of operation lost at the company's nine South African underground mines at the end of the reporting period, and loadshedding by Eskom earlier in the quarter.

The average underground recovered grade was 3.6% lower at 5.40g/t, due primarily to the negative impact of Kusasalethu's previously reported geological challenges and seismicity. Quarter on quarter, however, Kusasalethu mined above the planned grade, reporting an increase of approximately 14% to 5.08g/t, reflecting the positive impact of ongoing remedial actions to address the afore-mentioned geological challenges and seismicity.

Harmony achieved a recovered grade of 5.68g/t for its underground operations for the March 2020 quarter. The grade performance at most of the South African operations was good with an overall increase of 0.37g/t or 7% quarter on quarter.

Production at Hidden Valley in the March quarter was impacted by a 14-day mill stoppage in January 2020, due to a fault in the mill's electronic management system, which has since been resolved.

For the nine months, Harmony's all-in sustaining unit costs were 14.5% higher at R622 458/kg (8.3% higher at US$1 298/oz) due to the lower production recorded.

Balance sheet and liquidity

In the nine months, the Company's net debt position increased by R697 million to R5.0 billion (decreased by US$26 million to US$280 million), increasing our net debt to EBITDA ratio from 0.7x at the end of December 2019 to only 0.8x at the end of March 2020.

At the end of the quarter, Harmony had combined cash balances of R1.65 billion (US$ 92 million). In addition, the Company drew down approximately R1.8 billion (US$100 million) on its existing loan facilities shortly after the March 2020 quarter end to ensure it has sufficient liquidity to see through the disruption caused by the COVID-19 lockdown period.

In terms of our bank covenants we have to comply with the following covenants:

  • Net debt to EBITDA must be below 2.5

  • EBITDA to net interest paid must be above 5

  • Tangible Net Worth ("TNW") to net debt must be above 4

Harmony believes the first two covenants will comfortably be complied with, as the benefit from the higher Rand gold price supports the Company's EBITDA significantly.

Given the volatility in the financial markets, Harmony is engaging with its lenders to relax the TNW covenant as a precautionary measure.

Responsible stewardship

The principles of sustainable development are embedded in our business strategy and decision-making. Responsible stewardship is our fourth pillar of our strategy and underpins our operating philosophy, which is profit with purpose and hinges on maintaining strong relationships by engaging and collaborating

with stakeholders.

Harmony's response to the COVID-19 pandemic has further demonstrated the Company's commitment to involving all of its stakeholders in risk management and the application of environmental, social and governance practices ("ESG").

Harmony's own COVID-19 Standard Operating Procedure ("SOP") is aimed at ensuring a safe return to work for each of its employees and meeting the conditions contained in the amended lockdown regulations published in the South African Government Gazette on 16 April 2020 for the safe resumption of operations. It has been informed by guidelines provided by the Department of Mineral Resources and Energy ("DMRE"), the National Council for Infectious Diseases ("NCID"), and the World Health Organisation ("WHO"), and by discussions with our trade unions and the Minerals Council South Africa. We remain committed to protecting the health of our employees and ensuring a safe working environment.

In the nine months to date, the fatal injury frequency rate for the period remained constant at 0.08. We have, however, seen an improvement in the lost time injury frequency rates as they relate to falls of ground and seismicity. During the March 2020 quarter, Moab Khotsong recorded 2 million and Tshepong Operations 1 million fatality free shifts. These achievements took them 475 and 165 days respectively to achieve.

OPERATING RESULTS

Nine months ended March 2020 Nine months ended March 2019 % Variance March 2020 Quarter March 2019 Quarter % Variance
Gold produced kg 30 814 33 673 (8 ) 9 403 10 314 (9 )
oz 990 691 1 082 611 (8 ) 302 312 331 603 (9 )
Underground grade g/t 5.40 5.60 (4 ) 5.68 5.48 4
Gold price received R/kg 704 965 579 778 22 754 870 595 814 27
US$/oz 1 470 1 278 15 1 528 1 324 15
Cash operating costs R/kg 520 041 438 452 (19 ) 567 637 457 911 (24 )
US$/oz 1 085 966 (12 ) 1 149 1 017 (13 )
Total costs and capital R/kg 620 427 539 182 (15 ) 659 421 569 775 (16 )
US$/oz 1 294 1 188 (9 ) 1 335 1 266 (5 )
All-in sustaining costs R/kg 622 458 543 432 (15 ) 660 323 578 785 (14 )
US$/oz 1 298 1 198 (8 ) 1 336 1 286 (4 )
Production profit R million 5 946 4 813 24 1 836 1 428 29
US$ million 399 341 17 119 102 17
Exchange rate R/US$ 14.91 14.11 6 15.37 14.00 10

The operational update report has not been reviewed or audited by the company's external auditors. Detailed financial and operational results are provided on a six-monthly basis at the end of December and June.

Papua New Guinea ("PNG") – Wafi-Golpu

Discussions with the PNG Government on securing a special mining lease for the Wafi-Golpu project were delayed during 2019 by a national court stay order. The order was uplifted in February 2020, but the resumption of discussions has been constrained by the COVID-19 pandemic and ongoing uncertainties regarding the provisions and application to the project of proposed new PNG mining legislation.

The Prime Minister of PNG has notified Harmony of the Government's desire to progress permitting discussions on Wafi-Golpu as one of three priority projects in the country, and Harmony has indicated its willingness to do so. However, given the above constraints, it is difficult to estimate what the permitting timeline for the Wafi-Golpu project will be.

Acquisition of Mponeng and Mine Waste Solutions

On 12 February 2020, the Company announced that it had agreed to acquire AngloGold Ashanti's South African business, thereby consolidating Harmony's position as South Africa's primary gold producer.

The acquisition, which will see Mponeng and Mine Waste Solutions incorporated into the Harmony portfolio, enhances Harmony's near-term production by adding annual gold production of approximately 350 000oz per annum; increases Harmony's South African reserves by 8.27 million ounces (excluding Mponeng below infrastructure reserves) and improves Harmony's portfolio mix between surface and underground

operations.

A natural strategic fit with its existing asset base, the acquisition of Mponeng and Mine Waste Solutions represents a compelling opportunity to enhance Harmony's position as a robust cash-generative gold mining company, particularly at current gold price levels.

During April 2020, the Competition Commission approved the transaction. It is anticipated that the transaction will conclude in the coming months, subject to Section 11 approval from the Department of Minerals and Energy and other customary conditions precedent.

US$200 million of the acquisition consideration is payable on the date of fulfilment of the last of the conditions precedent, which is expected to be in the coming months. Harmony is taking proactive steps by seeking authority from its shareholders to issue ordinary shares for cash (pursuant to a general authority to issue ordinary shares for cash and/or by way of a vendor consideration placing), for a maximum aggregate subscription consideration of up to $200 million. The subscription proceeds will be used by the Company to fund part of the consideration payable for the acquisition. In doing so, Harmony will stand to significantly benefit from balance sheet flexibility and optionality given the current uncertainty caused by the COVID-19 pandemic.

Notice to shareholders of the proposed Extraordinary General Meeting ("EGM") was given to shareholders today in a separate announcement. The EGM will be held entirely by electronic communication, on Thursday, 11 June 2020 at 11:00 (SAST) in order for shareholders to consider and, if deemed fit, pass, with or without modification, the resolutions set forth in the Notice of EGM (which forms part of the Circular posted today).

To ensure the transaction is concluded timeously, Harmony is also in the process of arranging a bridging finance facility in the event any delays or disruptions are experienced in the equity capital markets.

FY2020 guidance update

As of the date of this operating update, Harmony's South African operations had attained an estimated 50% return to operational capacity permitted in terms of the eased lockdown regulations pertaining to the mining sector announced by the South African Government on 16 April 2020. The return to and resumption of work are in strict compliance with our COVID-19 SOP and has progressed smoothly. Surface operations and Hidden Valley continued to operate during the lockdown period. During April 2020, we managed sales of approximately 1 tonne of gold in South Africa.

Due to the impact of COVID-19 and the continued uncertainty as to when our mines will be allowed to return to full production, we have decided to withdraw our annual production guidance of 1.4Moz for FY20 as previously provided. Harmony's gold production for the nine months ended 31 March 2020 was 30 814kg (or 990 681 ounces).

Hedging update

As previously announced, Harmony has restructured its hedge book and rolled forward some hedging transactions. The COVID-19 lockdown for the South African mines has resulted in reduced gold production during the June 2020 quarter and the restructure was done to better match the hedges to the gold production profile.

The US$ gold and US$ silver hedges were not restructured as they relate to the Hidden Valley mine which continued operating during this time.

HARMONY GOLD HEDGE POSITION AS AT 31 MARCH 2020

FY2020 FY2021 FY2022 TOTAL
Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
Rand Gold
Forward Contracts koz 96 80 78 77 71 60 42 14 518
R’000/kg 661 675 682 694 737 802 842 880 719
Dollar Gold
Forward Contracts koz 12 12 12 12 12 12 12 5 89
US$/oz 1 370 1 413 1 442 1 489 1 521 1 561 1 606 1 661 1 496
Total Gold koz 108 92 90 89 83 72 54 19 607
Currency Hedges
Rand Dollar
Zero Cost Collars $m 93 99 98 82 65 47 36 21 541
Floor R/$ 15.03 15.38 15.43 15.48 15.91 16.32 16.59 17.71 15.66
Cap R/$ 16.01 16.47 16.62 16.68 17.28 17.90 18.18 19.35 16.90
Forward Contracts $m 52 59 37 29 12 9 9 8 215
R/$ 15.57 15.92 15.88 16.20 16.93 18.18 18.41 18.71 16.16
Total Rand Dollar $m 145 158 135 111 77 56 45 29 756
Dollar Silver
Zero Cost Collars $m 360 360 340 300 270 230 90 10 1 960
Floor $/oz 17.16 17.47 17.87 18.01 18.17 18.21 17.86 18.40 17.77
Cap $/oz 18.57 18.92 19.37 19.50 19.70 19.75 19.44 20.15 19.26

Board approved hedging limits:

25% currency (R/US$) over a 24 month period; 20% gold over a 24 month period; 50% silver over a 24 month period.

Conclusion

There is much about the future that remains unknown, but we are grateful we mine a commodity from which people continue to derive confidence in times of turmoil. We will continue to mine with the safety and health of our employees uppermost, as productively and cost-effectively as the global recovery from the pandemic allows.

We have been and continue to be encouraged by the support we have received from all of our stakeholders for the cautious journey we have mapped – employees, trade unions, regulators, investors and communities – and know we will have to call on their further support, collectively and individually, to manage the uncertainties lying ahead.

Harmony will host a conference call to address questions as they relate to its operational performance for the nine months ended 31 March 2020.

Date: Wednesday, 6 May 2020

Time: 14:00 South African time (US EST: 08:00; UK 13:00; Sydney 22:00)

Conference call access:

Participants can register for the conference by navigating to: http://www.diamondpass.net/4099255

Please note that only registered participants will receive the dial-in details. These will be supplied upon registration.

OPERATING RESULTS - NINE MONTHS ON NINE MONTHS (RAND/METRIC)

South Africa Hidden<br><br>Valley TOTAL HARMONY
Underground production Surface production TOTAL SOUTH AFRICA
Nine months ended Tshepong operations Moab Khotsong Bambanani Joel Doornkop Target 1 Kusasalethu Masimong Unisel TOTAL UNDER-GROUND Phoenix Central<br><br>plant<br><br>reclamation Dumps Kalgold TOTAL SURFACE
Ore milled t'000 Mar-20 1,211 644 171 306 561 445 497 431 192 4,458 4,711 3,005 2,946 1,175 11,837 16,295 2,936 19,231
Mar-19 1,211 763 176 319 578 446 546 458 189 4,686 4,612 2,884 3,249 1,220 11,965 16,651 2,848 19,499
Yield g/tonne Mar-20 5.10 8.77 10.68 3.87 4.34 4.02 4.83 4.06 4.43 5.40 0.131 0.160 0.363 0.79 0.26 1.67 1.25 1.60
Mar-19 4.94 8.07 10.80 3.50 4.62 4.80 6.64 3.70 4.90 5.60 0.121 0.149 0.350 0.74 0.25 1.76 1.55 1.73
Gold produced kg Mar-20 6,180 5,646 1,827 1,185 2,435 1,789 2,400 1,751 851 24,064 618 480 1,068 924 3,090 27,154 3,660 30,814
Mar-19 5,985 6,156 1,901 1,115 2,673 2,143 3,628 1,694 926 26,221 557 429 1,136 904 3,026 29,247 4,426 33,673
Gold sold kg Mar-20 6,268 5,875 1,852 1,202 2,492 1,813 2,501 1,775 861 24,639 628 483 1,091 930 3,132 27,771 3,798 31,569
Mar-19 5,910 6,121 1,872 1,143 2,664 2,171 3,687 1,667 917 26,152 552 427 1,127 915 3,021 29,173 4,430 33,603
Gold price received R/kg Mar-20 708,239 711,606 709,628 707,239 714,900 672,331 710,827 676,132 676,473 703,969 685,495 710,725 715,927 709,814 707,208 704,334 709,583 704,965
Mar-19 585,776 565,171 586,755 587,488 589,464 586,967 586,219 586,893 585,347 581,691 568,899 587,417 580,913 587,439 581,614 581,683 567,230 579,778
Gold revenue (R'000) Mar-20 4,439,241 4,180,686 1,314,231 850,101 1,781,530 1,218,936 1,777,779 1,200,135 582,443 17,345,082 430,491 343,280 781,076 660,127 2,214,974 19,560,056 2,694,998 22,255,054
Mar-19 3,461,935 3,459,409 1,098,405 671,499 1,570,331 1,274,305 2,161,391 978,351 536,763 15,212,389 314,032 250,827 654,689 537,507 1,757,055 16,969,444 2,512,827 19,482,271
Cash operating cost (net of by-product credits) (R'000) Mar-20 3,314,981 2,529,544 809,489 778,436 1,319,027 1,155,162 2,008,493 984,765 462,693 13,362,590 274,416 172,891 545,883 544,369 1,537,559 14,900,149 1,124,400 16,024,549
Mar-19 2,991,577 2,368,840 734,150 715,004 1,204,495 1,122,001 1,764,188 914,899 427,880 12,243,034 254,070 163,417 517,656 508,942 1,444,085 13,687,119 1,076,867 14,763,986
Inventory movement (R'000) Mar-20 39,407 94,789 12,128 9,667 38,745 15,059 44,068 11,884 5,242 270,989 4,884 1,744 5,092 1,727 13,447 284,436 (109) 284,327
Mar-19 (48,186) (26,352) (20,503) 15,102 (10,269) 12,699 24,783 (17,570) (8,882) (79,178) (3,272) (219) (5,250) 2,544 (6,197) (85,375) (9,150) (94,525)
Operating costs (R'000) Mar-20 3,354,388 2,624,333 821,617 788,103 1,357,772 1,170,221 2,052,561 996,649 467,935 13,633,579 279,300 174,635 550,975 546,096 1,551,006 15,184,585 1,124,291 16,308,876
Mar-19 2,943,391 2,342,488 713,647 730,106 1,194,226 1,134,700 1,788,971 897,329 418,998 12,163,856 250,798 163,198 512,406 511,486 1,437,888 13,601,744 1,067,717 14,669,461
Production profit (R'000) Mar-20 1,084,853 1,556,353 492,614 61,998 423,758 48,715 (274,782) 203,486 114,508 3,711,503 151,191 168,645 230,101 114,031 663,968 4,375,471 1,570,707 5,946,178
Mar-19 518,544 1,116,921 384,758 (58,607) 376,105 139,605 372,420 81,022 117,765 3,048,533 63,234 87,629 142,283 26,021 319,167 3,367,700 1,445,110 4,812,810
Capital expenditure (R'000) Mar-20 842,486 456,406 42,011 134,700 236,849 282,625 170,902 20,384 6,071 2,192,434 3,210 5,272 1,359 46,023 55,864 2,248,298 845,000 3,093,298
Mar-19 830,211 418,618 46,917 134,225 216,360 227,527 238,760 80,086 30,226 2,222,930 3,495 4,664 6,435 41,391 55,985 2,278,915 1,112,982 3,391,897
Cash operating costs R/kg Mar-20 536,405 448,024 443,070 656,908 541,695 645,703 836,872 562,401 543,705 555,294 444,039 360,190 511,126 589,144 497,592 548,728 307,213 520,041
Mar-19 499,846 384,802 386,191 641,259 450,615 523,566 486,270 540,082 462,073 466,917 456,140 380,925 455,683 562,989 477,226 467,984 243,305 438,452
Cash operating costs R/tonne Mar-20 2,737 3,928 4,734 2,544 2,351 2,596 4,041 2,285 2,410 2,997 58 58 185 463 130 914 383 833
Mar-19 2,470 3,105 4,171 2,241 2,084 2,516 3,231 1,998 2,264 2,613 55 57 159 417 121 822 378 757
Cash operating cost<br><br>and Capital R/kg Mar-20 672,729 528,861 466,065 770,579 638,963 803,682 908,081 574,043 550,839 646,402 449,233 371,173 512,399 638,952 515,671 631,526 538,087 620,427
Mar-19 638,561 452,803 410,872 761,640 531,558 629,738 552,080 587,358 494,715 551,694 462,415 391,797 461,348 608,775 495,727 545,903 494,769 539,182
All-in sustaining cost R/kg Mar-20 674,655 523,449 484,252 767,403 631,683 786,269 914,614 592,811 569,317 647,461 449,857 369,068 506,264 652,848 517,322 632,406 549,724 622,458
Mar-19 629,215 458,121 424,890 740,118 531,049 623,679 567,756 604,363 506,850 554,392 460,676 390,770 460,374 622,681 499,750 547,994 513,391 543,432
Operating free cash flow margin^1^ % Mar-20 6 % 29 % 35 % (7 )% 13 % (18 )% (23 )% 16 % 20 % 10 % 36 % 48 % 30 % 11 % 28 % 12 % 21 % 13 %
Mar-19 (10 )% 19 % 29 % (26 )% 10 % (6 )% 7 % (2 )% 15 % 5 % 18 % 33 % 20 % (3 )% 15 % 6 % 10 % 6 %

^1^Excludes run of mine costs for Kalgold (Mar-20:R0.982m, Mar-19:-R0.760m) and Hidden Valley (Mar-20:-R167.966m, Mar-19:-R70.590m).

OPERATING RESULTS - NINE MONTHS ON NINE MONTHS (US$/IMPERIAL)

South Africa Hidden<br><br>Valley TOTAL HARMONY
Underground production Surface production TOTAL SOUTH AFRICA
Nine months ended Tshepong operations Moab Khotsong Bambanani Joel Doornkop Target 1 Kusasalethu Masimong Unisel TOTAL UNDER-GROUND Phoenix Central<br><br>plant<br><br>reclamation Dumps Kalgold TOTAL SURFACE
Ore milled t'000 Mar-20 1,335 710 189 337 618 490 548 475 212 4,914 5,194 3,314 3,249 1,296 13,053 17,967 3,237 21,204
Mar-19 1,335 841 194 352 637 493 601 505 209 5,167 5,085 3,180 3,582 1,345 13,192 18,359 3,140 21,499
Yield oz/ton Mar-20 0.15 0.26 0.31 0.11 0.13 0.12 0.14 0.12 0.13 0.16 0.004 0.005 0.011 0.02 0.01 0.05 0.04 0.05
Mar-19 0.14 0.24 0.32 0.10 0.14 0.14 0.19 0.11 0.14 0.16 0.004 0.004 0.010 0.02 0.01 0.05 0.05 0.05
Gold produced oz Mar-20 198,691 181,523 58,739 38,099 78,287 57,517 77,161 56,296 27,361 773,674 19,869 15,432 34,337 29,707 99,345 873,019 117,672 990,691
Mar-19 192,423 197,920 61,119 35,847 85,939 68,899 116,643 54,464 29,771 843,025 17,908 13,792 36,523 29,064 97,287 940,312 142,299 1,082,611
Gold sold oz Mar-20 201,520 188,885 59,543 38,645 80,119 58,289 80,409 57,067 27,682 792,159 20,190 15,528 35,077 29,901 100,696 892,855 122,108 1,014,963
Mar-19 190,011 196,795 60,186 36,748 85,649 69,799 118,539 53,595 29,483 840,805 17,747 13,728 36,233 29,417 97,125 937,930 142,427 1,080,357
Gold price received $/oz Mar-20 1,477 1,484 1,480 1,475 1,491 1,402 1,483 1,410 1,411 1,468 1,430 1,482 1,493 1,480 1,475 1,469 1,480 1,470
Mar-19 1,291 1,246 1,293 1,295 1,299 1,294 1,292 1,293 1,290 1,282 1,254 1,295 1,280 1,295 1,282 1,282 1,250 1,278
Gold revenue ($'000) Mar-20 297,688 280,350 88,130 57,006 119,466 81,740 119,215 80,479 39,058 1,163,132 28,868 23,020 52,378 44,267 148,533 1,311,665 180,722 1,492,387
Mar-19 245,305 245,126 77,830 47,581 111,270 90,294 153,151 69,324 38,034 1,077,914 22,252 17,773 46,390 38,086 124,501 1,202,415 178,053 1,380,468
Cash operating cost (net of by-product credits) ($'000) Mar-20 222,297 169,627 54,283 52,201 88,452 77,463 134,686 66,037 31,027 896,073 18,402 11,594 36,606 36,504 103,106 999,179 75,400 1,074,579
Mar-19 211,976 167,850 52,020 50,664 85,348 79,502 125,006 64,828 30,319 867,513 18,003 11,579 36,680 36,062 102,324 969,837 76,304 1,046,142
Inventory movement ($'000) Mar-20 2,643 6,356 813 648 2,598 1,010 2,955 797 352 18,172 328 117 341 116 902 19,074 (7) 19,067
Mar-19 (3,414) (1,867) (1,453) 1,070 (728) 900 1,756 (1,245) (629) (5,610) (232) (16) (372) 180 (439) (6,049) (648) (6,698)
Operating costs ($'000) Mar-20 224,940 175,983 55,096 52,849 91,050 78,473 137,641 66,834 31,379 914,245 18,730 11,711 36,947 36,620 104,008 1,018,253 75,393 1,093,646
Mar-19 208,562 165,983 50,567 51,734 84,620 80,402 126,762 63,583 29,689 861,902 17,771 11,564 36,308 36,243 101,885 963,788 75,656 1,039,444
Production profit ($'000) Mar-20 72,748 104,367 33,034 4,157 28,416 3,267 (18,426) 13,645 7,679 248,887 10,138 11,309 15,431 7,647 44,525 293,412 105,329 398,741
Mar-19 36,743 79,142 27,263 (4,153) 26,650 9,892 26,389 5,741 8,345 216,012 4,481 6,209 10,082 1,844 22,615 238,627 102,397 341,024
Capital expenditure ($'000) Mar-20 56,496 30,606 2,817 9,033 15,883 18,952 11,460 1,367 407 147,021 215 354 91 3,086 3,746 150,767 56,664 207,431
Mar-19 58,827 29,662 3,324 9,511 15,331 16,122 16,918 5,675 2,142 157,512 248 330 456 2,933 3,967 161,479 78,863 240,342
Cash operating costs $/oz Mar-20 1,119 934 924 1,370 1,130 1,347 1,746 1,173 1,134 1,158 926 751 1,066 1,229 1,038 1,145 641 1,085
Mar-19 1,102 848 851 1,413 993 1,154 1,072 1,190 1,018 1,029 1,005 840 1,004 1,241 1,052 1,031 536 966
Cash operating costs $/t Mar-20 167 239 287 155 143 158 246 139 146 182 4 3 11 28 8 56 23 51
Mar-19 159 200 268 144 134 161 208 128 145 168 4 4 10 27 8 53 24 49
Cash operating cost<br><br>and Capital $/oz Mar-20 1,403 1,103 972 1,607 1,333 1,676 1,894 1,197 1,149 1,348 937 774 1,069 1,333 1,076 1,317 1,122 1,294
Mar-19 1,407 998 906 1,679 1,172 1,388 1,217 1,294 1,090 1,216 1,019 864 1,017 1,342 1,093 1,203 1,090 1,188
All-in sustaining cost $/oz Mar-20 1,407 1,092 1,010 1,601 1,318 1,640 1,908 1,236 1,187 1,350 938 770 1,056 1,362 1,079 1,319 1,147 1,298
Mar-19 1,387 1,010 936 1,631 1,170 1,375 1,251 1,332 1,117 1,222 1,015 861 1,015 1,372 1,101 1,208 1,131 1,198
Operating free cash flow margin^1^ % Mar-20 6 % 29 % 35 % (7 )% 13 % (18 )% (23 )% 16 % 20 % 10 % 36 % 48 % 30 % 11 % 28 % 12 % 21 % 13 %
Mar-19 (10 )% 19 % 29 % (26 )% 10 % (6 )% 7 % (2 )% 15 % 5 % 18 % 33 % 20 % (3 )% 15 % 6 % 10 % 6 %

^1^Excludes run of mine costs for Kalgold (Mar-20:US$0.054m, Mar-19:-US$0.056m) and Hidden Valley (Mar-20:-US$11.477m, Mar-19:-US$5.002m).

DIRECTORATE AND ADMINISTRATION

HARMONY GOLD MINING COMPANY LIMITED

Harmony Gold Mining Company Limited was incorporated and registered

as a public company in South Africa on 25 August 1950

Registration number: 1950/038232/06

CORPORATE OFFICE

Randfontein Office Park

PO Box 2

Randfontein 1760

South Africa

Corner Main Reef Road and Ward Avenue

Randfontein, 1759

South Africa

Telephone: +27 11 411 2000

Website: www.harmony.co.za

DIRECTORS

PT Motsepe* (chairman)

JM Motloba* (deputy chairman)

M Msimang*^ (lead independent director)

PW Steenkamp (chief executive officer)

B Lekubo (financial director)

F Abbott (executive director)

HE Mashego (executive director)

JA Chissano*#^

FFT De Buck*^

KV Dicks*^

Dr DSS Lushaba*^

HG Motau*^

KT Nondumo*^

VP Pillay*^

GR Sibiya*^

MV Sisulu*^

JL Wetton*^

AJ Wilkens*

* Non-executive

^ Independent

Mozambican

INVESTOR RELATIONS

E-mail: HarmonyIR@harmony.co.za

Telephone: +27 11 411 2314

Website: www.harmony.co.za

ACTING COMPANY SECRETARIAT

Shela Mohatla

Randfontein Office Park

Corner Main Reef Road and Ward Avenue

Randfontein, 1759

South Africa

(PO Box 2, Randfontein 1760, South Africa)

E-mail: companysecretariat@harmony.co.za

TRANSFER SECRETARIES

Link Market Services South Africa (Proprietary) Limited

(Registration number 2000/007239/07)

13th Floor, Rennie House,

Ameshoff Street, Braamfontein

PO Box 4844

Johannesburg, 2000

South Africa

Telephone: 0861 546 572

E-mail: info@linkmarketservices.co.za

Fax: +27 86 674 4381

ADR* DEPOSITARY

Deutsche Bank Trust Company Americas

c/o American Stock Transfer and Trust Company

Operations Centre, 6201 15th Avenue

Brooklyn, NY11219

E-mail queries: db@astfinancial.com

Toll free (within US): +1-886-249-2593

Int: +1 718 921 8137

Fax: +1 718 921 8334

*ADR: American Depositary Receipts

SPONSOR

JP Morgan Equities South Africa (Pty) Ltd

1 Fricker Road, corner Hurlingham Road, Illovo,

Johannesburg, 2196

Private Bag X9936, Sandton, 2146

Telephone: +27 11 507 0300

Fax: +27 11 507 0503

TRADING SYMBOLS

JSE Limited: HAR

New York Stock Exchange, Inc.: HMY

ISIN: ZAE 000015228

FORWARD LOOKING STATEMENTS

This report contains forward-looking statements within the meaning of the safe harbour provided by Section 21E of the Exchange Act and Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), with respect to our financial condition, results of operations, business strategies, operating efficiencies, competitive positions, growth opportunities for existing services, plans and objectives of management, markets for stock and other matters.

These forward-looking statements, including, among others, those relating to our future business prospects, revenues, and the potential benefit of acquisitions (including statements regarding growth and cost savings) wherever they may occur in this report and the exhibits, are necessarily estimates reflecting the best judgment of our senior management and involve a number of risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements. As a consequence, these forward looking statements should be considered in light of various important factors, including those set forth in this report. Important factors that could cause actual results to differ materially from estimates or projections contained in the forward-looking statements include, without limitation: overall economic and business conditions in South Africa, Papua New Guinea, Australia and elsewhere; estimates of future earnings, and the sensitivity of earnings to gold and other metals prices; estimates of future gold and other metals production and sales; estimates of future cash costs; estimates of future cash flows, and the sensitivity of cash flows to gold and other metals prices; estimates of provision for silicosis settlement; statements regarding future debt repayments; estimates of future capital expenditures; the success of our business strategy, exploration and development activities and other initiatives; future financial position, plans, strategies, objectives, capital expenditures, projected costs and anticipated cost savings and financing plans; estimates of reserves statements regarding future exploration results and the replacement of reserves; the ability to achieve anticipated efficiencies and other cost savings in connection with past and future acquisitions, as well as at existing operations; fluctuations in the market price of gold; the occurrence of hazards associated with underground and surface gold mining; the occurrence of labour disruptions related to industrial action or health and safety incidents; power cost increases as well as power stoppages, fluctuations and usage constraints; supply chain shortages and increases in the prices of production imports and the availability, terms and deployment of capital; our ability to hire and retain senior management, sufficiently technically-skilled employees, as well as our ability to achieve sufficient representation of historically disadvantaged HDSAs in management positions; our ability to comply with requirements that we operate in a sustainable manner and provide benefits to affected communities; potential liabilities related to occupational health diseases; changes in government regulation and the political environment, particularly tax and royalties, mining rights, health and safety, environmental regulation and business ownership including any interpretation thereof; court decisions affecting the South African mining industry, including, without limitation, regarding the interpretation of mining rights; our ability to protect our information technology and communication systems and the personal data we retain; risks related to the failure of internal controls; the outcome of pending or future litigation or regulatory proceedings; fluctuations in exchange rates any further downgrade of South Africa's credit rating; and currency devaluations and other macroeconomic monetary policies; the adequacy of the Group's insurance coverage; and socio-economic or political instability in South Africa, Papua New Guinea, Australia and other countries in which we operate.

For a more detailed discussion of such risks and other factors (such as availability of credit or other sources of financing), see the Company's latest Integrated Annual Report and Form 20-F which is on file with the Securities and Exchange Commission, as well as the Company's other Securities and Exchange Commission filings. The Company undertakes no obligation to update publicly or release any revisions to these forward looking statements to reflect events or circumstances after the date of this report or to reflect the occurrence of unanticipated events, except as required by law. The foregoing factors and others described under "Risk Factors" should not be construed as exhaustive.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on

its behalf by the undersigned, thereunto duly authorized.

Harmony Gold Mining Company Limited
Date: May 6, 2020 By: /s/ Boipelo Lekubo
Name: Boipelo Lekubo
Title: Financial Director
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