It has been reported that both Harmony and Sibanye Gold submitted proposals for Ashanti’s Mponeng mine in South Gauteng, considered the world’s deepest mine.

Harmony Gold's Chief Financial Officer (CFO), Boipelo Lekubo, responded cautiously on the possible $500 million deal, first listing Harmony’s current list of priorities which include repaying their debt, before declining to comment further.

The company’s financials released on Tuesday 11 February 2020, reveal the company has returned to profit, with revenue going up by 12% in the six months ending on 31 December 2019, mainly due to a higher gold price. Lekubo says the average gold price increased by 19%.

“We’re very satisfied with our performance in the first half of the financial year. We continue to have good momentum at our operations, obviously with the exception of Kusasalethu. Our production was down 8% for the comparative reporting periods, but steady for the six months if you look at December 2019 as compared to June 2019”.

The Harmony Gold CFO says they’ll continue exploring acquisition opportunities, not only in South Africa but in the rest of Africa as well, only if those opportunities support their ongoing strategy of “increasing their margins” through safe mining.

Due to its depth, the Mponeng mine is being viewed as somewhat of a risk, requiring a great deal of investment to extend its lifespan.

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