Edgar Filing: HARMONY GOLD MINING CO LTD

R/kg gold price

Description

Estimated return

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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 6-K

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO
RULE 13a-16 OR 15d-16 UNDER THE SECURITIES
EXCHANGE ACT OF 1934

For the Month of March 2003

Harmony Gold Mining Company Limited

Suite No. 1
Private Bag X1
Melrose Arch, 2076
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 40-F.)

Form 20-F X Form 40-F

(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 12g3-2(b) under the
Securities Exchange Act of 1934.)

Yes No X

This Report on Form 6-K is incorporated by reference into the registration statement on Form F-3 (file no. 333-13516) for Harmony Gold Mining Company Limited, filed on December 23, 2002, and into the prospectus that forms a part of that registration statement.

(HARMONY REVIEW)

This review includes certain information that is based on management’s reasonable expectations and assumptions. These “forward-looking statements” include, but are not limited to, statements regarding estimates, intentions and beliefs, as well as anticipated future production, mine life, market conditions and costs. While management has prepared this information using the best of their experience and judgment, and in all good faith, there are risks and uncertainties involved which could cause results to differ from projections.

Cautionary Note to US Investors – The United States Securities and Exchange Commission (the “SEC”) permits mining companies, in their filings with the SEC, to disclose only those mineral deposits that a company can economically and legally extract or produce. We may use certain terms in this quarterly review, such as “resources”, that the SEC guidelines strictly prohibit us from including in our filings with the SEC.

Key indicators

•		Successful listing on NYSE on 27 November 2002

•		Agreement on HIV/AIDS

•		Official launch of Doornkop South Reef Project on 22 January 2003

•		Cash operating profit of R763 million

•		Half year earnings per share of 509 cents, up 89% on corresponding period for last year

•		Interim dividend of 125 cents, up 67%

•		Strategic investments continue to deliver value

Financial highlights


	31 December 2002		30 September 2002

Cash operating profit
– Rand		763 million		950 million
– US$		79 million		91 million
Earnings
– Rand		457 million		426 million
– US$		48 million		41 million
Earnings per share
– SA cents per share		262		247
– US cents per share		27		24


	31 December 2002		30 September 2002

Gold produced
– kg		24 078		24 778
– oz		774 121		796 497
Cash costs
– R/kg		68 500		68 110
– $/oz		222		204

Chief executive’s review December 2002

“Concerns that a gold price of above US$350/oz would see producers returning to their bad habits of hedging has been shown to be unfounded. The low interest rate environment resulted in a low gold contango and not even the most prolific hedgers are prepared to continue to ignore the clearly expressed wishes of investors when the potential benefits of hedging are negligible. Exotic financial instruments are out of favour with investors and simple (“vanilla”) hedging is not worth the risk of further alienating investors who want exposure to a rising gold price. The record long positions held by speculators show that they expect the two year rising trend to continue.”

SAFETY REPORT

During the past quarter, six of our employees lost their lives in 6 separate incidents underground. Our deep felt sympathy and condolences go to their families, friends and colleagues.

Most indicators, i.e., Fall of Ground (FOG), Fatal Injury Frequency Rate (FIFR), Total Injury Accident Frequency Rate (TIAFR), Lost Time Injury Frequency Rate (LTIFR) show a declining trend.

Evander 8 shaft achieved 500 000 fatality free shifts on 9 October 2002.

The second quarter saw audits of all working areas at every Harmony shaft being completed. Reports from these audits will assist the shafts to draw up site specific safety plans and update baseline risk assessments. Our current policies and codes of practices were reviewed to ensure that these are applicable and relevant.

STRATEGIC OVERVIEW

6% Growth in earnings per share

The company reported a 6% increase in earnings per share, up from 247 cents to 262 cents quarter on quarter despite receiving 6% less in R/kg gold price. The board has approved an interim dividend of 125 cents up 67% on last year’s

Harmony review 2nd quarter 2003

interim dividend of 75 cents. In US Dollar terms the dividends could increase by 100% from 7 cents to 14 cents if the Rand is at R9,00 to the US Dollar.

To show the effect of the appreciation of the South African Rand, the first 6 months of the current financial year has been compared to the corresponding period in the previous financial year.

Earnings per share for the first six months of the financial year totals 509 cents, which is an increase of 89% over the 270 cents reported for the corresponding period in the previous financial year.


	6 months		6 months
	ending		ending
	31 Dec 2002		31 Dec 2001		% Variance

Gold produced Kgs		48 852		37 645		30
Gold produced oz		1 570 618		1 210 310		30
Yield g/t		3,50		3,75		(7	)
Cash operating costs R/Kg		68 302		63 473		(8	)
Cash operating costs US$/oz		213		213		0
Gold price R/Kg		103 362		81 199		27
Cash operating profit (R)		1 712 751		667 277		157
Earnings per share – cents		509		270		89
Dividends per share – cents		125		75		67
Assumptions
US$ Exchange rate		R10,00		R9,28		(8	)
Shares in issue	173,5 million		149,1 million			(16	)

In terms of growth in production and e.p.s. the company is well on track to improve on the previous year’s performance. We are confident that our planned 16% year on year growth in production, which will see the company produce in excess of 3,1 million ounces per annum, is achievable.

Cash operating profits quarter on quarter decreased by 20% from R950 million to R763 million.

The stronger Rand alone contributed R150 million to the R187 million drop in cash operating profits.

(CASH OPERATING PROFIT BAR CHART)

The performance of the operations is highlighted in the following table:


	Dec 2002		Sept 2002		% Variance

Production – kg		24 078		24 774		(3)
Production – oz		774 121		796 497		(3)
Revenue – R/kg		100 171		106 463		(6)
Revenue – US$/oz		324		319		2
Cash cost – R/kg		68 500		68 110		(1)
Cash cost – US$/oz		222		204		(9)
Exchange rate R/US$		9,61		10,39		8

The company achieved a US$102/oz or 31% cash operating profit margin with cash costs of US$222/oz. A profit margin of US$115/oz or 36%, was achieved during the September 2002 quarter.

Harmony review 2nd quarter 2003

Quarter on quarter, the gold price received in South African Rand terms decreased by 6% from R106 463/kg to R100 171/kg.

Grade from the underground operations decreased from 5,5 g/t to 5,2 g/t. The grade variances of the Free State (4,41 g/t to 4,28 g/t) and Randfontein (5,29 g/t to 5,06 g/t) are simply statistical deviations from the optimum mining grades at those operations. The most significant drop in grade (7,6 g/t – 7,0 g/t) occurred, as predicted, at Free Gold (50% JV with ARMGold). The inclusion of St Helena for the first time masks the planned grade reduction at Free Gold to its long-term sustainable grade of 7,2 g/t to 7,4 g/t. Grade underperformance at Evander and Elandsrand is receiving attention and is expected to be corrected in the medium term.

Cash operating costs decreased by 2% or R38 million from R1 687 million to R1 649 million quarter on quarter. In cost terms, the operations performed well, despite South African inflation reaching a recent high of 12%. Rand/tonne costs decreased by 4% from R244/tonne to R235/tonne. Despite the 3% decrease in overall production, 24 078 kgs compared to 24 774 kgs previously, R/kg costs remained flat at R68 500.

The effects of the appreciation of the South African Rand is clear with Dollar cash costs increasing from US$204/oz using a R10,39 exchange rate to US$222/oz at R9,61 to the Dollar.

Gold price and South African Rand performance

The increase in the US Dollar price of gold (2%) helped despite the fact that the 8% stronger rand has seen our price received drop to just over R100 000/kg.

The rising Dollar gold price is great news as it reflects interest from investors and speculators in gold as an alternative investment, hedging themselves against the current uncertainty in world markets. The current Dollar weakness is as always good for the gold price.

It is pleasing to see gold trading above US$350,00 per ounce as this shows there is solid support for gold at these levels and in the continued absence of significant hedging activities, we could see the gold price supported at these levels.

Concerns that a gold price of above US$350/oz would see producers returning to their bad habits of hedging has been shown to be unfounded. The low interest rate environment resulted in a low gold contango and not even the most prolific

hedgers are prepared to continue to ignore the clearly expressed wishes of investors when the potential benefits of hedging is negligible. Exotic financial instruments are out of favour with investors and simple (“vanilla”) hedging is not worth the risk of further alienating investors who want exposure to a rising gold price. The record long positions held by speculators show that they expect the two year rising trend to continue.

(SA RAND-US$ LINE GRAPH)

However, from a South African perspective, the benefits from the increase in the US Dollar gold price have been eroded by the strengthening of the SA Rand.

The South African Rand is well known for its volatility. During 2002 it was the strongest currency against the Dollar in the world. Although the Rand has strengthened to R8,50 to the Dollar, it is our view that it will tend to depreciate for the remainder of 2003.

Harmony is renowned for its cost control and we will continue to focus on working costs to retain the competitive advantage we built up during the time that the Rand price of gold was higher.

To buy or to build?

Harmony has been a phenomenal growth story over the past seven years. The initial two years was a period of survival, establishing the profitability of the

company and preparing for growth. Market conditions, i.e. the declining US Dollar gold price and shrinking profit margins of mainly the South African gold producers, positioned the company ideally for our strategy of growth through acquisitions. The cost of acquiring marginal operations when compared to the cost of developing greenfields projects was low and affordable to Harmony at the time.

With the 23 acquisitions that we have completed to date came a portfolio of probably the most prospective shallow to medium depth mining project areas remaining in South Africa, at no cost. The returns from these acquisitions have been spectacular.

Return on investments


	Acquisition cost		Cash operating profit
Project/Operation	(R’m)		(R’m)

Evander – June ‘98		415		1 190

Randfontein – Dec’ 00		750		1 590

Elandskraal – Mar’ 01		988		651

Free Gold (50%) – Dec ‘01		1 350		916

The rising gold price may mean that now is not the smartest time to be buying growth opportunities. At these prices excellent returns are available from internal or organic growth projects which your company today owns. A simple example will demonstrate my point.


	Doornkop South Reef	Free Gold Tshepong
	(74% JV)	(50% JV)

Project Status	Approved	Approved

Acquisition Cost	-$26m sold 26%) to BEE	Nil

Construction cost	$134m	$30m
Total capital	$108m	$30m
Ounces recoverable	3,75m oz	1,25m oz
Capital Cost/oz	$29/oz	$24/oz
Total Cash Cost @ R9,5/$	$190/oz	$160/oz

Total Cost	$219/oz	$184/oz
Gold Price	$350/oz	$350/oz

Profit Margin	$131/oz or 37%	$166/oz or 47%

(Exchange rate of US$1,00 = R9,50)

Projects that have been evaluated and will yield excellent returns under the current gold price environment are:

i.		Doornkop South Reef Project, Randfontein – approved

		The detailed project which was announced on 22 January 2003, will allow for significant production growth at Randfontein.

		The life of the project will be 20 years with gold production building up from approximately 9 000 ounces in the first year to 42 000 ounces in year four. After year four, gold production will increase rapidly to approximately 330 000 ounces per annum for 10 years, whereafter it will start declining. The estimated capital expenditure using July 2002 as a base, is R1 270 million with a maximum funding requirement of R500 million. Using a gold price of R95 000/kg the project has a NPV of R876 million (real discount rate of 7,5%) and IRR of 48%.

		At the full production level of 330 000 oz/annum, 2 798 employment opportunities will have been created.

		In line with an undertaking to ensure compliance with the Mineral and Petroleum Resources Development Bill, 26% of the project has been offered to Africa Vanguard Resources (Doornkop) (Pty) Limited for a consideration of R250 million.

		In terms of the sale agreement AVR acquires 26% of the Doornkop mineral rights with payment being R140 million in cash and R110 million in call options on 290 000 oz of gold. (The 290 000 oz of gold being equal to 16% of the gold produced at Doornkop during the first 10 years).

		The project will be managed as a joint venture in which Randfontein will fund all the project capital. The profits will be shared, 84% to Randfontein and 16% to AVR.

ii.		Tshepong North Decline Project at Free Gold

		The project involves the sinking of a decline, at a cost of approximately R280 million, from the bottom of the current shaft system. The project returns a robust NPV of R765 million (discount rate of 10%) and an IRR of 51%.

Harmony review 2nd quarter 2003

		An area comprising approximately 1 210 000 m at 1 300 cmg/t containing 39 tonnes of recoverable gold will be accessed.

		Production rates of 49 000 tonnes per month at an average grade of 8,8 g/t will add an additional 5 194 kgs (167 000 oz per annum) to the current production profile of the Tshepong North mine. The upgrading of the current infrastructure commences in March 2003 and the shaft will reach full production in July 2007.

		Some 980 employment opportunities will be created through this project.

iii.		Tshepong South Shaft at Free Gold – commissioning of new shaft infrastructure

		The project was started by AngloGold in October 1993 and sinking commenced during February 1994. The project was subsequently twice suspended, in August 1995 and again in mid-1999. The shaft has been completed to 120 metres from full design depth. The shaft was designed to hoist 80 000 tonnes of reef per month at a recovered grade of 7,24 g/t over a 19 year period, producing 106 tonnes of gold at an average of 6 843 kgs or 220 000 oz/annum.

		A proposal on the project will be presented to the Freegold board during the following quarter.

iv.		Joel North Shaft Project – getting to understand the orebody

		Joel mine has had a chequered history, not delivering the returns originally planned. Since the acquisition thereof by Freegold from AngloGold, the operations were immediately restructured for optimal profitability.

		Although underground tonnage decreased significantly, the ensuing profitability allowed the re-evaluation of the orebody available for mining.

		Although the process to re-evaluate the current Joel North Shaft project is at an early stage, we are slowly becoming comfortable with the orebody. Joel’s current results warrant a re-look at the viability of this orebody.

v.		Evander – growth projects being evaluated

		Much has been said about the Poplar and Roslpruit project areas which were included in the acquisition of Evander in 1998 at no cost.

The Poplar Project is a greenfields area, which contains 10,8 million ounces of gold. A feasibility study which evaluates the exploration of this perspective orebody, through a twin shaft system from surface to a depth of 1 200 metres below surface, is currently underway.

Strategic investments

In line with our growth strategy it has in the past, and definitely will in the future, become necessary for the company to make strategic investments in corporate entities. To date these activities have seen Harmony establish a sizeable international production base.

i.		Investment in Goldfields Limited of Australia

		The company’s acquisition of a 21% stake in Goldfields Limited of Australia at cost of R165 million, which was concluded in February 2000, is a good example of making good returns from strategic investments. The South African exchange rate and funding constraints at the time resulted in the cost of acquiring Goldfields Limited of Australia being too high for Harmony. The additional investment by Harmony of R60 million and subsequent corporate activity with Delta and Placer Dome has seen the value of our initial R225 million investment increasing to R855 million.

		The investment in Goldfields was a step in the phased approach in building a sizeable operational base in Australia.

		Subsequent corporate activity with New Hampton and Hill 50 has established the Australasian production base of the company to the current level of approximately 20% or 580 000 oz per annum.

ii.		Bendigo

		The 32% stake which the company acquired on 14 December 2001, at a cost of A$50 million, is currently valued at A$83 million.

		Initial sampling of the D3 and S3 orebodies has been completed. Bulk samples are currently being processed. Results to date confirm the existence of the robust but highly variable orebodies that were predicted in the original

Harmony review 2nd quarter 2003

		reports.The underground development is on schedule but the surface treatment has been unnecessarily delayed by bureaucratic environmental issues relating to tailings and water discharge which has since been overcome.

		Harmony has until 31 December 2003 to exercise an A$104 million option to take a + 50% control of the company and develop the mine.

iii.		The listing of Highland Gold Limited

		On 18 December 2002, Highland Gold Limited successfully listed on AIM (“Alternative Investment Market of London Stock Exchange plc”).

		Highland Gold is the owner of Mnogovershinoe (“MNV”), Russia’s fourth largest producing gold mine in 2001, as well as two development projects – Darasun and Novoshirokinskoye which together comprise four gold deposits.

		MNV estimated a production target of 175 000 oz for 2002 and has proven and probable reserves of 2,3 million ounces. Of the above 31% is for our account.

		Highland Gold believes that the abundance of natural resources and the recent positive developments in the Russian gold industry will provide an opportunity for the company to establish a portfolio of Russian gold projects.

		The acquisition of a 31% at US$18,9 million stake in Highland Gold on 29 September 2002 and subsequent investment of US$7,5 million allows for a promising entry point for Harmony into the re-emerging Russian gold sector. Our total investment of US$26,4 million is currently valued at approximately US$134 million.

iv.		Acquiring a 21% stake in High River Gold Mines Limited

		On 21 November the company completed the acquisition of 17 074 861 ordinary shares, or a 21% interest, of High River Gold. High River Gold (TSA:HRG) is a Toronto based company with gold interests in Russia, Canada and West Africa.

		The total purchase consideration amounted to R141 million (US$14,5 million) which represented a 16% discount on the weighted average share price for the 30 day trading period prior to the execution of the agreement. Following

		a significant rise in the High River share price our investment is now valued at approximately US$24 million.

		The principle assets of High River Gold are:

	•		a 53% equity interest in OJSC Buryatzoloto, the 5th largest gold producer Russia, with two operating mines producing approximately 150 000 oz year,

	•		a 100% interest in the Berezitovoye Project, which is a deposit amenable to low cost open-pit mining,

	•		a 50% interest and joint operatorship of the New Britannia gold mine situated in Manitoba Canada, producing approximately 110 000 oz per year, and

	•		an 80% interest in the Taparko gold project in Bukino Faso.

		Kalplats – metallurgical results feedback by end March 2003

		Our Kalplats project is progressing well with an amount of R8,5 million spent during the quarter. The programme to collect bulk samples will be completed by the end of January 2003 to fit in with the work schedule of the Mintek pilot plant. Results from the pilot plant flotation tests are expected by the end of the March quarter.

		Based on the outcome of these tests we will be taking a decision on the mining of the orebody and whether any further activities will be undertaken to enhance our understanding and valuation of the demarcated 5 orebodies.

		An agreement on HIV/AIDS – Harmony declares war on AIDS

		On 19 September 2002, Harmony, the National Union of Mineworkers (NUM) and the United Association of South Africa (UASA) entered into an historical agreement whereby the stakeholders will develop and maintain programmes to reverse the impact of HIV/AIDS.

		The objectives are:

•

reducing the number of infections among employees and consequently their families and communities,

Harmony review 2nd quarter 2003

	•		to ensure that the rights of employees living with HIV/AIDS are upheld and in compliance with existing legislation,

	•		to create a conducive environment in the workplace for dealing with the epidemic constructively, and

	•		to ensure that the parties remain committed to the health, safety and well being of employees in relation to HIV/AIDS by implementing HIV/AIDS programmes.

		Activities which have been identified to assist in achieving these objectives are; focussing on prevention, ongoing counselling, appointment of a Group HIV/AIDS Co-ordinator, adequate medical care and access to medical facilities. Progress will be monitored, evaluated, reviewed and adjusted accordingly.

		Social Plan

		Much has been said about the Social Plan which forms part of the Mineral and Petroleum Resources Development Bill.

		The Social Plan, which emphasises the tripartite relationship between government, the company and the respective unions, calls for stakeholders to be proactive in devising strategies to deal with:

	•		skills development of current employees,

	•		retraining of employees to be retrenched, and

	•		the redeployment of employees to their communities in a way through which social upliftment is achieved.

		Harmony, which focuses on all matters of sustainable development, sees this as an opportunity to contribute to the alleviation of the social and economic impact on individuals and the economies of the regions in which we operate.

		In addition, the company will participate in:

	•		re-aligning procurement activities to allow for broader participation for new entrants, and

	•		the promotion and support of economic activities in mining communities that will ensure sustainability of those regional economies beyond mine closure.

Expanding our beneficiation activities

i.		Musuku to deliver value downstream

		On 11 December 2002 the company announced that it had entered into an agreement with Mintek, the leader in minerals and metals technology in South Africa, to create Musuku Beneficiation Systems. Musuku means gold in the Venda language.

		Musuku combines the business management systems and practices that have been established at the Harmony refinery and the specialised refining technologies from Mintek, thereby potentially integrating value-adding processes into the company and the gold industry.

		This relationship is expected to unlock significant value in the value chain of the precious metals industry and help South Africa and the company to gain a significant position in the downstream value-adding industries such as jewellery manufacturing and industrial applications for precious metals.

ii.		The Lord of the Rings Project – spreading the benefits

		The company was successful in acquiring the rights to distribute various gold products associated with the “Lord of the Rings” trilogy in the United States, Canada and South Africa.

		The products have been extremely popular with sales increasing as market awareness of the product range has increased.

		Benefits from our involvement have been extended to our communities in the Free State region with both the Virginia Jewellery School and Emthuthwini, a local jewellery manufacturer, supplying Harmony with finished products for international distribution. Employment opportunities have been created and significant skills transfer is taking place. This success has enhanced our initiative of establishing a jewellery manufacturing hub, focussing on the international market, in the Free State goldfields.

Harmony review 2nd quarter 2003

QUARTERLY OPERATIONAL REVIEW

A quarter on quarter cash operating profit analysis of the various operations is as follows:

Total cash operation profit (R’million)


Operations	Dec 2002		Sept 2002		Variance R'm

Free State		117		190		(73	)

Evander		88		101		(13	)

Randfontein		180		200		(20	)

Elandskraal		70		105		(35	)

Kalgold		17		25		(8	)

Australian Operations		92		100		(8	)

Sub-total		564		721		(157	)

Free Gold (50%)		199		229		(30	)

Total		763		950		(187	)

Free State Operations – leveraged to the gold price

The Free State operations reported a 39% decrease in cash operating profits from R190,0 million to R116,5 million. Underground tonnage milled decreased from 1 105 000 tonnes to 1 053 000 tonnes. The lower tonnage at a lower underground recovery grade of 4,28 g/t compared to the 4,41 g/t reported previously resulted in a 7% net decrease in overall gold recovered, down from 5 104 kgs to 4 740 kgs.

In line with the lower tonnage working costs decreased by 3% with expenditure of R375,6 million compared to R388,5 million for the September 2002 quarter. Whilst underground unit costs in Rand terms were similar the lower grade resulted in cost/kg increasing by 3% to R78 708/kg.

Evander Operations – great team effort achieves further improvements

Evander continued with its operational recovery following the adverse effects of the seismic event in the second half of 2002. Cash operating profits decreased by 14% from R101,2 million to R87,5 million, the main contributing factor being the lower gold price and a lower recovery grade.

Underground tonnages increased by 10% from 477 000 tonnes to 526 000 tonnes. The benefit from the increased tonnage was negated by a lower recovery grade of 5,33 g/t compared to 5,74 g/t for the previous period. The net result being a 3% increase in gold production. Actual working costs increased by only 3% from R190,4 million to R196,8 million.

When measured in R/kg terms, working costs increased marginally from R68 857/kg to R69 360/kg and in R/tonne terms decreased by 8% from R374/tonne to R345/tonne.

Randfontein Operations – a good quarter

Despite slightly lower grades, an increase in volumes resulted in Randfontein continuing with its excellent operational performance, returning a cash operating profit of R179,7 million, down 10% from the R199,7 million reported for the September 2002 quarter.

Underground tonnage milled increased from 758 000 tonnes to 768 000 tonnes. At a lower recovery grade of 5,06 g/t compared to the 5,29 g/t reported previously, the operations reported lower underground gold recovery at 3% or 3 887 kgs.

Excellent cost control resulted in working costs decreasing by 8%, from R260,2 million to R240,6 million. When measured in R/kg terms, working costs decreased by 4% from R59 583/kg to R57 350/kg.

In R/tonne terms, working costs decreased by 8% from R312/tonne to R286/tonne.

Capital expenditure following the announcement of the Doornkop South Reef Project is expected to increase from R6 million in the December 2002 quarter to R31 million for the March 2003 quarter.

Elandskraal Operations – recovery underway

The Elandskraal operations after experiencing a tough September quarter is showing the signs that recovery is underway and more improvements can be expected. Although operating profits of R70 million were 33% lower compared to R104,8 million achieved during the September 2002 quarter, the adverse variance can mainly be attributed to gold price weakness and below average grades.

Underground tonnage was 5% higher at 479 000 compared to 458 000 tonnes reported previously. Despite the increased volumes, working costs were lower at R234,0 million.

Harmony review 2nd quarter 2003

Underground recovery grades were still low at 6,00 g/t, gold produced being 4% lower at 2 876 kgs compared to the 2 998 kgs for the September 2002 quarter.

The higher tonnage at no increase in costs favourably impacted on working costs in R/tonne terms with these costs being 5% lower at R468/tonne. When measured in R/kg terms, working costs increased by 4% from R75 076/kg to R77 890/kg due to the lower grade.

The R1,4bn Shaft Deepening Project or “new Elandsrand mine project” is progressing very well. An amount of R396 million remains as expenditure over a period of 4 years. Activities are mainly limited to the development of the four haulages to the higher grade pay shoot. It is planned to recover 152,8 tonnes (4,9 million ounces) of gold over the project lifetime of 18 years.

Scheduling to access the pay shoot is as follows:-


102 Level on reef	–	May 2002
102 Level ledging for mining commences	–	May 2003
105 Level on reef	–	December 2003
105 Level ledging for mining commences	–	December 2004
109 Level on reef	–	June 2005
109 Level ledging for mining commences	–	June 2006
113 Level on reef	–	June 2007
113 Level ledging for mining commences	–	June 2008

Free Gold Operations – good performance, excellent growth opportunities

The Free Gold Joint Venture operations reported a 13% decrease in cash operating profit with Harmony’s 50%, down from R229,1 million to R199,1 million. The strong rand resulted in a negative variance of R23 million.

The Free Gold Joint Venture took control of the St Helena assets on 29 October 2002. In terms of the agreement concluded on 24 May 2002, the venture acquired these assets for a gross sale consideration of R120 million. In addition, a royalty of 1% would be payable for a period of 48 months from the effective date.

St Helena was included for the first time and added 100 000 tonnes and 463 kilograms at a cost of some R46,5 m to the Free Gold results.
(Of this, 50% is included in our Free Gold results). It is expected that 3 to 6 months

will be required to stabilise and restructure the St Helena operations, but higher volumes and grades should see it starting to contribute significantly to Free Gold’s results.

Excluding St Helena, Free Gold had a good, steady quarter. On a 50% attributable basis underground volume was up 25 000 tonnes or 4,7% to 565 000 tonnes. As expected the comparable grade was reduced from 7,62 g/t to a more sustainable 7,25 g/t (-4,8%). Despite higher volumes cost increases were contained to only R7,3 million (3,3%).

The March quarter will be slightly affected by the Christmas break, but on the positive side we should see the implementation of continuous operations on all the Free Gold shafts.

Tonnages from surface were again lower in volume, but a 17% increase in recovery grade resulted in a higher net recovery of 300 kgs.

Significant operational improvements have been made at Free Gold since acquisition thereof in December 2001. At Bambanani mine no underground fires have been reported over the past 12 months. By optimising the ventilation reticulation, more productive working environments have been created.

Joel mine experienced no reportable injuries for the past 7 consecutive months. In order to firm up on our understanding of the Joel orebody, increased development charges to the extent of R40,00/tonne have been incurred. This approach is similar to our actions undertaken at all our operations.

Tshepong mine continues to make excellent operational improvements, with its latest success being the achievement of a record 39 000 m² in December 2002. Other measurements reflected this achievement with 24,4 m²/stope man, 11,4 m²/total employee costed and 5,4/m development man being reported.

In respect of surface operations cost savings of R20 million per quarter were made by optimising current plant infrastructure.

Hospital treatment cost, both in actual and in unit cost terms, have been reduced by more than half since acquisition.

The Free Gold operations are now well balanced in terms of operational efficiency and optimisation of the orebody. The successes achieved at Free Gold in respect of mining to the average grade of the orebody and with the benefit of a lower

Harmony review 2nd quarter 2003

working cost structure have positioned these operations for further production growth. A number of projects are currently being evaluated and announcements will be made in due course.

Australian Operations – aggressively delivering into inherited hedgebooks

The effect of significant movements in the gold price, the A$:US$ exchange rate and the R:US$ exchange rate during the quarter makes the financial results for the December quarter for the Australian operations not comparable with the September results.

Gold production at 4 021 kgs was 8% below that of September 2002 and the gold price received was 5% lower at R96 525/kg. Total costs however decreased by 14% resulting in a net cash operating profit of R92,3 million, a decrease of 8% on the previous quarter.

Harmony, being unhedged by choice, has in place a policy to reduce the hedge books we inherited from both New Hampton and Hill 50 as soon as possible. The best way for us to achieve this is to aggressively deliver into these hedges. Our operations saw very little benefit from the improvement in the Australian spot gold price in the quarter as more than 85% of our production was delivered into our hedging contracts. We intend to continue to deliver into the outstanding hedge positions.

In the last quarter, a total of 537 500 oz of lease rate swaps were fixed or closed out because of favourable market movements. Total outstanding lease rate swap commitments now stand at 1,4 million oz and this number will reduce as these swaps amortise, or if market conditions permitting they will be closed out. The close-outs were completed at zero cost.

The quarter’s operational results can be summarised as follows:

•		a generally steady performance from our large range of open pit operations across the 3 sites.

•		underground operations at Big Bell, Mount Marion (South Kal) and Star (Mt Magnet) generally produced well, but the good production and grades that were achieved from the Hill 50 mine in the September quarter did not follow through into December.

Progress with development initiatives can be summarised as follows:

•		Mt Magnet – as we will achieve a better financial result by continuing with our existing truck haulage strategy a decision was taken not to proceed with the A$21 million (R110 million) shaft at Hill 50. This will be possible by upgrading the equipment over a period of 8 months to incorporate new “Road Train” technology.

		Excellent exploration results have significantly improved both the tonnage and grade potential of the Water Tank Hill area next to the town of Mount Magnet. This area will in due course yield 3 open pits and a profitable underground operation from the reserve of 150 000 oz delineated to date. Development in this area is currently constrained by delays in moving some of the town’s infrastructure.

•		South Kal – the first ore production has started from the new Lake Cowan complex to the south of our South Kal operations. Initial feasibility studies of a “super pit” concept at Hampton Boulder shows a marginal four year project which could become more exciting if current gold prices prevail. The feasibility studies should be completed during this quarter.

Capital Expenditure


	Actual		Forecast
	December 2002		March 2003

Free State		34		31
Evander		27		34
Randfontein		2		31
Elandskraal		41		34
Kalgold		6		4
Free Gold (50%)		12		10
Australian Operations		58		60

Total		180		204

Harmony review 2nd quarter 2003

Notice of interim dividend

A dividend No.76 of 125 cents per ordinary share, being the interim dividend for the six month period ended 31 December 2002, has been declared payable on 3 March 2003 to those shareholders recorded in the books of the company at the close of business on 28 February 2003.

The dividend is declared in the currency of the Republic of South Africa. Payment will be made on 3 March 2003.

Any change in address or dividend instruction to apply to this dividend must be received by the company’s transfer secretaries or registrar not later than 21 February 2003.

No dematerialisation or rematerialisation of share certificates may occur between 24 February 2003 and 28 February 2003, both dates inclusive, nor may any transfers between registers take place during this period.

This announcement will be mailed to all shareholders recorded in the register on or about 31 January 2003.


Last date to trade ordinary shares cum dividend		21 February 2003
Ordinary shares trade ex dividend		24 February 2003
Record date		28 February 2003
Payment date		3 March 2003

By order of the board


A le Roux		Virginia
Acting company secretary		24 January 2003

Operating and Financial Results (Rand/Metric)


		Free		Free						Rand-		Rand-		Elands-		Elands-				Free		Free		Australian
		State		State		Evander		Evander		fontein		fontein		kraal		kraal		Kalgold		Gold		Gold		Operations
		U/g		Surface		U/g		Surface		U/g		Surface		U/g		Surface		Opencast		U/g		Surface		Total		Total

Ore milled	Dec-02		1 053		332		526		44		768		498		479		248		267		615		509		1 676		7 015
- t’000	Sep-02		1 105		220		477		32		758		460		458		231		252		540		557		1 836		6 926

Gold	Dec-02		4 507		233		2 804		33		3 887		308		2 876		161		617		4 331		300		4 021		24 078
produced - kg	Sep-02		4 872		232		2 739		26		4 010		357		2 998		180		581		4 113		281		4 385		24 774

Yield - g/t	Dec-02		4,28		0,70		5,33		0,75		5,06		0,62		6,00		0,65		2,31		7,04		0,59		2,40		3,43
	Sep-02		4,41		1,05		5,74		0,81		5,29		0,78		6,55		0,78		2,31		7,62		0,50		2,39		3,58

Cash operating	Dec-02		78 708		89 742		69 289		75 394		56 562		67 295		77 890		61 963		71 580		56 498		58 930		73 565		68 500
costs - R/kg	Sep-02		76 504		67 772		68 714		83 962		58 945		66 739		75 076		57 583		62 800		51 920		71 544		78 162		68 110

Cash operating costs	Dec-02		337		63		369		57		286		42		468		40		165		398		35		176		235
- R/tonne	Sep-02		337		71		395		68		312		52		491		45		145		395		36		187		244

Working revenue	Dec-02		468 760		23 430		280 987		3 280		389 511		30 810		288 207		16 026		61 365		431 632		29 785		388 129		2 411 922
(R’000)	Sep-02		553 968		24 505		288 766		2 767		422 508		37 345		321 278		18 981		61 472		433 181		29 600		443 148		2 637 519

Cash operating	Dec-02		354 738		20 910		194 285		2 488		219 855		20 727		224 013		9 976		44 165		244 692		17 679		295 804		1 649 332
costs (R’000)	Sep-02		372 728		15 723		188 207		2 183		236 371		23 826		225 078		10 365		36 487		213 545		20 104		342 741		1 687 358

Cash operating	Dec-02		114 022		2 520		86 702		792		169 656		10 083		64 194		6 050		17 200		186 940		12 106		92 325		762 590
profit (R’000)	Sep-02		181 240		8 782		100 559		584		186 137		13 519		96 200		8 616		24 985		219 636		9 496		100 407		950 161

Prepared in accordance with International Accounting Standards.

Total Operations – financial results (Rand/Metric)


6 Months			6 Months				Quarter			Quarter
ended			ended				ended			ended
31 Dec			31 Dec				31 Dec			30 Sept
2001			2002				2002			2002

	10 034			13 941		Ore milled – t’000		7 015			6 926
	37 465			48 852		Gold produced – kg		24 078			24 774
	81 199			103 362		Gold price received – R / kg		100 171			106 463
	63 473			68 302		Cash operating costs – R / kg		68 500			68 110


R million			R million				R million			R million

	3 057			5 049		Gold sales		2 412			2 638
	2 390			3 337		Cash operating costs		1 649			1 687

	667			1 713		Cash operating profit		763			950
	(105	)		(271	)	Amortisation		(121	)		(150	)
	(137	)		77		Mark-to-market of financial instruments		12			65
	—			(21	)	Rehabilitation cost provision		(11	)		(10	)
	(24	)		(27	)	Employment termination costs		(15	)		(12	)
	16			101		Other income – net		53			48
	(79	)		(119	)	Interest paid		(60	)		(59	)
	(28	)		(58	)	Corporate marketing and new business expenditure		(30	)		(28	)
	(23	)		(57	)	Exploration expenditure		(27	)		(30	)
	—			469		Profit on sale of Aurion Gold shares		–			469
	246			(506	)	Mark-to-market of listed investments		105			(611	)

	533			1 301		Profit before taxation		669			632

						South African normal taxation
	(103	)		(245	)	– Current tax		(87	)		(158	)
	(29	)		(173	)	– Deferred tax		(125	)		(48	)

	401			883		Net earnings		457			426


						Adjustments:
	(12	)		(16	)	– Profit on sale of property, plant and equipment		(11	)		(5	)

	389			867		Headline earnings		445			422


						Earnings per share – cents *
	270.0			508.8		– Basic earnings		261.8			247.0
	263.0			499.5		– Headline earnings		255.2			244.2
	267.3			500.3		– Fully diluted earnings **		257.4			242.7
	75.0			125.0		Dividends per share – (cents)		–			–

Prepared in accordance with International Accounting Standards.

*		Calculated on weighted number of shares in issue at quarter end December 2002: 174,4 million (September 2002: 172,6 million). Calculated on weighted number of shares in issue at 6 months ended December 2002 (173,5 million). (December 2001: 149,1 million)

**		Calculated on weighted average number of diluted shares in issue at quarter ended December 2002: 177,4 million (September 2002: 175,6 million). Calculated on weighted number of diluted shares in issue at 6 months ended December 2002 (December 2001: 150,0 million)

Abridged balance sheet (Rand)

31 December

30 September

31 December

2002

2001

R million

Employment of capital

Mining assets after amortisation

8 945

9 434

5 868

Investments

1 409

1 133

694

Net current (liabilities) (excluding cash)

(431

)

(599

)

(447

)

Short-term investments

- Aurion Gold

–

489

- Placer Dome

723

746

–

Cash

1 439

1 626

1 213

Total assets

12 085

12 340

7 817

Capital employed

Shareholders’ equity

7 863

7 848

4 929

Loans

2 009

2 095

1 338

Long-term provisions

697

725

475

Unrealised hedging loss

736

854

664

Deferred tax

779

819

411

Total equity and liabilities

12 085

12 340

7 817

Basis of Accounting

The unaudited results for the quarter and 6 months ended have been prepared on the International Accounting Standards basis. The accounting policies are consistent with those applied in the previous financial year.

Issued share capital: 174,6 million ordinary shares of 50 cents each. September 2002: (174,4 million) (December 2001: 149,1 million)

Harmony review 2nd quarter 2003

Operating and financial results (US$/Imperial)


		Free		Free						Rand-		Rand-		Elands-		Elands-		Kalgold		Free		Free		Australian
		State		State		Evander		Evander		fontein		fontein		kraal		kraal		Open-		Gold		Gold		Operations
		U/g		Surface		U/g		Surface		U/g		Surface		U/g		Surface		cast		U/g		Surface		Total		Total

Ore milled	Dec-02		1 161		366		580		49		847		549		528		273		294		678		561		1 848		7 734
– t’000	Sep-02		1 219		243		526		35		836		507		505		255		278		595		614		2 025		7 638

Gold produced	Dec-02		144 903		7 491		90 150		1 061		124 969		9 902		92 465		5 176		19 837		139 244		9 645		129 278		774 121
– oz	Sep-02		156 638		7 459		88 060		836		128 924		11 478		96 387		5 787		18 679		132 235		9 034		140 980		796 497

Yield	Dec-02		0,125		0,020		0,155		0,022		0,148		0,018		0,175		0,019		0,067		0,205		0,017		0,070		0,100
– oz/ton	Sep-02		0,128		0,031		0,167		0,024		0,154		0,023		0,191		0,023		0,067		0,222		0,015		0,070		0,104

Cash operating	Dec-02		255		290		224		244		183		218		252		201		232		183		191		238		222
costs – $/oz	Sep-02		229		203		206		251		176		200		225		172		188		155		214		234		204

Cash operating	Dec-02		32		6		35		5		27		4		44		4		16		38		3		17		22
costs – $/t	Sep-02		29		6		34		6		27		5		43		4		13		35		3		16		21

Working revenue	Dec-02		48 778		2 438		29 239		341		40 532		3 206		29 990		1 668		6 386		44 915		3 099		40 388		250 980
($’000)	Sep-02		53 317		2 359		27 793		266		40 665		3 594		30 922		1 827		5 916		41 692		2 849		42 651		253 851

Cash operating	Dec-02		36 913		2 176		20 217		259		22 878		2 157		23 310		1 038		4 596		25 462		1 840		30 781		171 627
costs ($’000)	Sep-02		35 874		1 513		18 114		210		22 750		2 293		21 663		998		3 512		20 553		1 935		32 988		162 403

Cash operating	Dec-02		11 865		262		9 022		82		17 654		1 049		6 680		630		1 790		19 453		1 259		9 607		79 353
profit ($’000)	Sep-02		17 443		846		9 679		56		17 915		1 301		9 259		829		2 404		21 139		914		9 663		91 448

Prepared in accordance with International Accounting Standards.

Total Operations – financial results (US$/Imperial)


6 months			6 months				Quarter			Quarter
ended			ended				ended			ended
31 Dec			31 Dec				31 Dec			30 Sept
2001			2002				2002			2002

	11 064			15 372		Ore milled – t’000		7 734			7 638
	1 210 310			1 570 618		Gold produced – oz		774 121			796 497
	274			321		Gold price received – $ / oz		324			319
	213			213		Cash operating costs – $ / oz		222			204


$million			$million				$million			$million
	329			505		Gold sales		251			254
	257			334		Cash operating costs		172			162

	72			171		Cash operating profit		79			91

	(11	)		(27	)	Amortisation		(13	)		(14	)
	(15	)		8		Mark-to-market of financial instruments		1			6
	–			(2	)	Rehabilitation cost provision		(1	)		(1	)
	(3	)		(3	)	Employment termination costs		(2	)		(1	)
	2			10		Other income – net		6			5
	(9	)		(12	)	Interest paid		(6	)		(6	)
						Corporate, marketing and
	(3	)		(6	)	new business expenditure		(3	)		(3	)
	(3	)		(6	)	Exploration expenditure		(3	)		(3	)
	–			45		Profit on sale of Aurion Gold shares		–			45
	27			(48	)	Mark-to-market of listed investments		11			(59	)

	57			130		Profit before taxation		69			61
				–		South African normal taxation
	(11	)		(24	)	– Current tax		(9	)		(15	)
	(3	)		(18	)	– Deferred tax		(13	)		(5	)

	43			89		Net earnings		48			41

						Adjustments:
	(1	)		(2	)	– Profit on sale of property, plant and equipment		(1	)		(1	)

	42			87		Headline earnings		46			41


						Earnings per share – cents *
	28.0			52.9		– Earnings		27.2			23.8
	27.0			52.0		– Headline earnings		26.6			23.5
	26.6			52.1		– Fully diluted earnings **		26.8			23.4
	7.0			13.0		Dividends per share – (cents)		–			–

Prepared in accordance with International Accounting Standards.

Currency conversion rates average for the quarter: December 2002: US$1 = R9,61 (September 2002: US$1 = R10,39). Currency conversion rates average for 6 months: December 2002: US$1 = R10,00 (December 2001: US$1 = R10,05).

*		Calculated on weighted number of shares in issue at quarter ended December 2002: 174,4 million (September 2002: 172,6 million) Calculated on weighted number of shares in issue for 6 months ended December 2002: 173,5 million. (December 2001: 149,1 million)

**		Calculated on weighted average number of diluted shares in issue at quarter ended December 2002: 177,4 million (September 2002: 175,6 million). Calculated on average number of diluted shares in issue for 6 months ended December 2002: 176,5 million (December 2001: 150,0 million).

Harmony review 2nd quarter 2003

Abridged balance sheet (US$)


	At			At			At
	31 December			30 September			31 December
	2002			2002			2001
	US$ million			US$ million			US$ million

Employment of capital
Mining assets after amortisation		1 046			898			471
Investments		165			108			56
Net current (liabilities)/assets (excluding cash)		(50	)		(57	)		(36	)
Short-term investments – Aurion Gold		–			–			39
– Placer Dome		85			71			–
Cash		168			155			97

Total assets		1 414			1 174			628

Capital Employed
Shareholders’ equity		920			747			396
Loans		235			199			107
Long-term provisions		82			69			38
Unrealised hedging loss		86			81			53
Deferred tax		91			78			33

Total equity and liabilities		1 414			1 174			628

Prepared in accordance with International Accounting Standards.

Issued share capital: 174,6 million ordinary shares of 50 cents each. (September 2002: 174,4 million) (December 2001: 149,1 million)

Currency converted at closing rate: December 2002: US$1 = R8,55 (September 2002: US$1 = R10,51) (December 2001: US$1 = R12,45)

Condensed statement of changes in shareholders’ equity (Unaudited)


	At			At			At			At
	31 Dec			31 Dec			31 Dec			31 Dec
	2002			2001			2002			2001
	R million			R million			US$ million			US$ million

Balance as at the beginning of the financial year		7 963			4 594			931			369
Currency translation adjustment and other		(454	)		(116	)		(53	)		(9	)
Issue of share capital		213			157			25			13
Net earnings		883			401			103			32
Dividends paid		(741	)		(112	)		(87	)		(9	)

Balance as at the end of December		7 863			4 924			920			396

Prepared in accordance with International Accounting Standards.

Harmony review 2nd quarter 2003

Abridged cashflow statements (unaudited)


6 Months			6 Months				6 Months			6 Months
ended			ended				ended			ended
31 Dec			31 Dec				31 Dec			31 Dec
2001			2002				2002			2001
US $ million			US $ million				R million			R million

	57			125		Cash flow from operating activites		1 252			525
	(47	)		(26	)	Cash utilised in investing activities		(618	)		(432	)
	(4	)		(64	)	Cash utilised in financing activities		(635	)		(38	)
	(53	)		30		Translation adjustment		–			–

						(Decrease)/Increase in cash and
	(47	)		30		equivalents		(2	)		55
	144			139		Opening cash and equivalents		1 441			1 159

	97			168		Closing cash and equivalents		1 439			1 213

Prepared in accordance with International Accounting Standards.

Operating activities translated at average rates of: December 2002: US$1 = R10,00 (December 2001: US$1 = R9,28).

Closing balance translated at closing rates of: December 2002 US$1 = R8,55 (December 2001: US$1 = R12,45).

Group’s commodity, currency, interest and lease rate contracts at 31 December 2002


Normal sale contracts		Maturity schedule for the years
AUS Dollar (A$) Gold		2003		2004		2005		2006		2007		2008		2009		Total

Forward sales agreements
	Ounces*1		230 000		229 000		225 000		145 500		147 000		100 000		100 000		1 176 500
	A$/ounce		519		522		523		525		515		518		518		520
Variable price sales contracts with (“caps”)*2
	Ounces		67 425		175 500		130 000		40 ,000		–		–		–		412 925
	A$/ounce		566		544		512		552		–		–		–		538
Variable price sales contracts with (“floors”)*3
	Ounces		19 250		–		–		–		–		–		–		19 250
	A$/ounce		500		–		–		–		–		–		–		500

Total			316 675		404 500		355 000		185 500		147 000		100 000		100 000		1 608 675

*	1	The Group must deliver into these agreements at the prices indicated.

*	2	The Group must deliver its production into these agreements subject to the capped price indicated in the table above.

*	3	The Group must deliver its production into these agreements subject to the floor price indicated in the table above.

These contracts are treated as normal purchase, normal sale contracts. The mark-to-market of these contracts was a negative R975 million (US$113 million) as at 31 December 2002, based on the independent valuations. The value was based on a gold price of US$347 (A$615) per ounce, exchange rates of US$/R8,60 and A$/US$0,56 and prevailing market interest rates at the time.

Interest rate swap
The Group has interest rate swap agreements to convert R600 million of its R1,2 billion fixed rate bond to variable rate debt. The interest rate swap runs over the term of the bond, interest is received at a fixed rate of 13% and the company pays a floating rate based on JIBAR plus a spread ranging from 1,8% to 2,2%.

The mark-to-market value of the transaction making up the positions was a negative R2 million (US$0,2 million) as at 31 December 2002, the value was based on an exchange rates of US$/R8,60 and the prevailing interest rates and volatilities at the time.

Gold lease rates
The Group holds certain gold lease rate swaps, of which the mark-to-market of these contracts was a negative R40 million (US$5 million) as at 31 December 2002, based on valuations provided by independent treasury and risk management experts. During the quarter 537 500 oz of lease rate swaps were fixed or closed. The total outstanding lease rate swap commitments are 1.4 million oz.


/s/ZB Swanepoel

ZB Swanepoel Chief executive		Virginia 24 January 2003

Harmony review 2nd quarter 2003

Development results (Metric) December 2002


					Channel		Channel
	Reef		Sampled		width		value		Gold
	meters		meters		(cm's)		(g/t)		(cmg/t)

Randfontein
VCR Reef		1 181		1 152		76		26,53		2 011
UE1A		3 630		3 280		106		10,07		1 063
E8 Reef		314		313,6		107		6,05		647
Kimberley Reef		1 077		675		244		5,76		1 408
South Reef		139		87		55		38,40		2 112
All Reefs		6 201		5 421		117		11,01		1 283

Free State
Basal		2 381		1 770		88		10,34		910
Leader		1 062		884		176		5,40		950
A Reef		733		600		163		2,85		464
Middle		342		274		235		3,28		770
B Reef		661		645		66		19,09		1 260
All Reefs		5 180		4 173		124		7,27		899

EVANDER
Kimberley Reef		2 339		2 256		67		17,96		1 203

Elandskraal
VCR Reef		871		506		103		9,57		987

Free Gold (50%)
Basal		2 511		2 112		75		23,52		1 764
Leader		17		–
All Reefs		2 528		2 112		75		23,52		1 764

Development results (Imperial)


					Channel		Channel
	Reef		Sampled		width		value		Gold
	feet		feet		(inches)		(oz/t)		(in.ozt)

Randfontein
VCR Reef		3 875		3 780		30		0,770		23
UE1A		11 908		10 761		42		0,286		12
E8 Reef		1 029		1 029		42		0,167		7
Kimberley Reef		3 533		2 215		96		0,167		16
South Reef		456		285		22		1,091		24
All Reefs		20 345		17 784		46		0,326		15

Free State
Basal		7 811		5 807		35		0,299		10
Leader		3 484		2 900		69		0,158		11
A Reef		2 406		1 969		64		0,083		5
Middle		1 123		899		93		0,095		9
B Reef		2 170		2 116		26		0,557		14
All Reefs		16 994		13 691		49		0,211		10

Evander
Kimberley Reef		7 674		7 402		26		0,531		14

Elandskraal
VCR Reef		2 858		1 660		41		0,276		11

Free Gold (50%)
Basal		8 238		6 929		30		00,675		20
Leader		56		–		–		–		–
All Reefs		8 293		6 929		30		00,675		20

Investor relations

Business address

Harmony Gold Mining
Company Limited
Suite No. 1
Private Bag X1
Melrose Arch, 2076
Telephone: +27 (11) 684 0140
Telefax: +27 (11) 684 0188
E-mail: corporate@harmony.co.za

Investor relations contacts

Corné Bobbert
Telephone: +27 (11) 684 0146
Telefax: +27 (11) 684 0188
E-mail: cbobbert@harmony.co.za

Ferdi Dippenaar
Telephone: +27 (11) 684 0147
Telefax: +27 (11) 684 0188
E-mail: fdippenaar@harmony.co.za

Share transfer secretaries

Ultra Registrars (Pty) Ltd
Contact: Polly Pollard
Telephone: +27 (11) 832 2652
Telefax: +27 (11) 834 4398
E-mail: ultra@ultrareg.co.za
11 Diagonal Street
Johannesburg 2001
(PO Box 4844, Johannesburg, 2000)

United States ADR Depositary

The Bank of New York
Telephone: +1888-BNY ADRS
Telefax: +1 (212) 815 3050
Shareholder Relations Department
101 Barclay Street
22nd Floor, New York, NY 10286
United States of America

United Kingdom Registrars

Capita IRG Plc
Contact: Melvyn Leigh
Telephone: +44 (208) 639 1001
Telefax: +44 (208) 478 2876
E-mail: mleigh@capitaregistrars.com
Balfour House
390-398 High Road, Ilford
Essex IG1 1NQ, United Kingdom

Directors

A R Fleming*† (Chairman),
Z B Swanepoel (Chief executive),
F Abbott, F Dippenaar,
T S A Grobicki, T A Mokhobo*,
M F Pleming*, Lord Renwick of Clifton KCMG*†,
J G Smithies*, S Lushaba*, N Fakude*

*Non executive directors †British

Trading Symbols

Ordinary Shares


JSE Securities Exchange		HAR
NYSE		HMY
London Stock Exchange		HRM
Euronext Paris		HG
Euronext Brussels		HMY
Berlin Stock Exchange		HAM1

Warrants

JSE Securities Exchange		HARW
NYSE		HMYWS

Options

Chicago Board Options Exchange		QHG

ISIN

ZAE000015228

Registration number

1950/038232/06

Harmony review 2nd quarter 2003

(DOORNKOP COVER PAGE)

COMPANY HIGHLIGHTS

•		Delivery of future production growth at Randfontein with excellent financial returns

•		26% Participation by Africa Vanguard Resources (Doornkop) (Pty) Ltd (AVR), a Black Economic Empowerment company

•		Creation of 2 798 employment opportunities (41 970 man years)

FINANCIAL HIGHLIGHTS

•		Capital Expenditure of R1,27 billion (Base Dec 2002)

•		20 Year life with maximum of 330 000 oz/annum for a period of 12 years

•		NPV of R876 million using a real discount rate of 7,5%

•		IRR of 48% (after tax) for Harmony

•		Maximum funding requirement of R500 million or R360 million after the AVR payment

KEY TECHNICAL INDICATORS

•		Definitive feasibility study completed – August 2002

•		Project to extract 18,3 m tons @ 6,36 g/t – 3,8 moz of gold

•		Main shaft to be deepened from 1 340 m to 2 032 m

•		Increased reef hoisting capacity from 90 000 reef tpm to 135 000 reef tpm

•		Reef tonnage build up from 45 000 tpm – 135 000 tpm after 6 years

Project Background

	1.1		Location

			The Doornkop Shaft complex is located south of Krugersdorp, on the north-west rim of the Witwatersrand Basin. The property lies between The Cooke 1 Shaft and Durban Roodepoort Deep Mines.

	1.2		Current situation

			The Kimberley Reef is mined on the upper levels with the South Reef, on the lower levels, the target of the proposed deepening project.

			Limited trial mining of the South Reef has been done from the sub-vertical ventilation shaft on 192 level at a depth of 1 734 m below surface.

	1.3		Pre-Harmony History

			Exploration in the Doornkop area commenced in the early 1930s. Of eighteen boreholes drilled over the area, a total of thirteen boreholes provide useful information. In addition three intersections from the Kimberley Reef workings, and three from the adjoining Durban Roodepoort Deep area were obtained. Evaluation from all these intersections showed the South Reef to contain economic concentrations of gold.

			During August 1983 the sod turning ceremony took place and the sinking of the Doornkop Main Shaft and the Ventilation Shaft commenced. The plan at the time was to mine both the Kimberley Reef and the South Reef. A decision was later taken to initially target the shallower Kimberley Reef only and to defer the deeper section of the Main Shaft that would have given access to the South Reef.

			During 1989 the planned production rates from the Kimberley Reefs were achieved. The anticipated grades were not, however, achieved and adverse geological structures were encountered. Difficulties were encountered associated with the mechanised mining methods used.

			During October 1991 the go-ahead was given for the South Reef Project which required that a prospect shaft (the Sub-vertical Ventilation Shaft) be sunk to intersect the South Reef. The South Reef was intersected in October 1993, with prospect development carried out in four directions off the shaft barrel including some 450 m of on-reef development. All work on the South Reef project was again stopped in 1995.

			The project was given yet another go-ahead and the deepening of the Main Shaft recommenced in November 1996. All mining of the Kimberley Reef had to be stopped and the shaft was dedicated to solid bottom sinking. Some infrastructure development was carried out on the 5 levels from 192 Level to 212 Level from the Sub-vertical Ventilation Shaft.

Locality Plan

(LOCALITY PLAN GRAPHIC)

			In anticipation of corporate restructuring at JCI level, the deepening project was stopped in May 1999. At this time the Sub-vertical Shaft sinking was complete and the deepening of the Main Shaft stopped at 1 340 m below surface. Mechanical mining of the Kimberley Reef was resumed.

			Over the years the South Reef was successfully and extensively mined on Randfontein Estates Mines and to a limited extent on the Durban Roodepoort Deep Mines.

	1.4		History post Harmony takeover

			Harmony acquired Doornkop when they took control of Randfontein in early 2000. Harmony carried on mining the Kimberley Reef but changed back to conventional mining methods at a reduced tonnage.

			Over the last two years, ledging and limited stoping of the South Reef has taken place from 192 level. This has allowed for sampling and mapping of the faces to confirm the presence of a central pay shoot, adding value to the geological model.

			Harmony carried out a preliminary study on the South Reef in the period from September 2000 to January 2001. A feasibility study to take the project to a definitive level was then completed in August 2002, indicating a robust project with low technical risks and excellent returns.

2.		Project Description

		The project is essentially a shaft deepening project and will allow access to the South Reef.

	2.1		Geology

			The South Reef lies between 1 650 and 2 000 metres below surface and at 900 metres below the Kimberley Reef dipping at 10 degrees to the southeast. It is a very thin seam, typically 1 to 10 cm thick.

Reef Section

(REEF SECTION GRAPHIC)

The reef plane is broken into a number of large blocks by a series of faults associated with the Witpoortjie Horst. The project area is bounded to the northwest by the Roodepoort Fault. A number of other faults including the Saxon Fault, constitutes conspicuous structural breaks. A second major fault, the Doornkop Fault, trends in an east-west direction and occurs towards the southern portion of the project area. Within the major structural blocks, the reef plane is relatively uncomplicated with minor throw faults.

A prominent intrusive, the “Black Duck Dyke”, is known to cut across Doornkop. This carries substantial water and is associated with bad ground conditions. The dyke has been successfully negotiated in past mining activities.

Metallurgical test work reveals that about 70% of the gold mineralisation are in the form of free gold. This can be successfully addressed in the design of the recovery plant. The reef is also carbonaceous and friable in nature.

A conservative 80% was used as a mine call factor. Correct blast fragmentation, good blast containment and effective sweeping (clean mining) should make an improvement on the mine call factor achievable.

Facies Types

(FACIES TYPES GRAPHIC)

	2.2		Project Scope

			The main shaft is currently at a depth of 1 340 m below surface and the sub-vertical ventilation shaft at a depth of 1 953 m below surface. To access the South Reef the main shaft will be deepened to a depth of 2 032 m and the spillage incline shaft extended to a depth of 2 082 m from surface.

Shaft capacities:

Sub-Vertical

Shaft

Main

Ventilation

Current depth

1 340 m

867 m

1 948 m

Planned depth

2 032 m

Completed

Current hoisting capacity

90 ktpm

Nil

11 ktpm

Planned hoisting capacity

135 ktpm

Nil

22 ktpm

Diameter

8 m

6,5 m

6 m

Shaft Section

(SHAFT SECTION GRAPHIC)

			The project will be completed in the following phases:

			Project phases

			Phase 1: Enable production of 45 000 tpm from South Reef

	•		Increase hoisting capacity of the sub-vertical ventilation shaft to 1 000 tpa

	•		Opening of second outlets

	•		Completion of main shaft sinking and equipping

	•		Phase 1 primary and secondary development

			Duration 43 months – July 2006

			Phase 2: Enable production of 135 000 from South Reef

	•		Phase 2 primary and secondary development

	•		Installation of additional compressor

			Duration 27 months – October 2008

			Phase 3: Mining below 212 Level

	•		Incline Shaft below 212 Level

	•		Phase 3 primary and secondary development (217 and 222 Levels)

	2.3		Production Build-up

			The project will allow mining for 20 years with gold production of 272 kg (8 745 ounces) in year one, building up to 1 302 kg (41 859 ounces) in year four. After year four gold production will build up rapidly to 10 362 kg

			(333 132 ounces) where it will remain up to year fourteen when gold

			production will start declining to the end of the project. It is estimated that 3,75 million ounces (116,7 tons) of gold will be recovered from this reserve.

3.		Capital Expenditure

		For the supply of plant and equipment, formal enquiries were issued for the bulk of the projects requirements. For the shaft sinking, development, raiseboring, support and all construction work underground (including civil, mechanical, structural, electrical and instrumentation) a single sinking/construction enquiry was formally issued.

		The tendered prices have been carried forward into the Capital estimates. The capital costs are all in July 2002 money terms, with no provision for escalation. Over 75% of the total estimated capital cost is based on tendered prices with the balance of the costs being estimated, so giving an overall accuracy on the estimates of 10%.


Estimated Capital Expenditure for South Reef Project – in Phases

(R million)
July 2002 Cash Base	Equipment		Construction		Total

Phase 1 – 45 000 tpm		413		322		736
Phase 2 – 135 000 tpm		260		165		426
Phase 3 – 217 and 222 levels		20		89		108

Total		693		576		1 270

4.		Mining Production

		The existing levels from the sub-vertical vent shaft will be used to access the South Reef. These levels are spaced at 50 m intervals. Rock transfer passes and level development was stopped at various stages for each level and can easily be restarted for the project.

		The mineralised portion is a narrow band, which will probably be carried in the middle of the face. There do not appear to be weak zones of rock in the vicinity of the reef itself or of the footwall development and no major rock engineering problems are foreseen.

		The design of the mine is based on conventional mining methods, proven technology and blasting techniques that will result on an average stoping width of 120 cm and a tramming width of 130 cm.

		Stoping outputs, development rates and valuation factors are within industry norms.

		Initial development will be done using the existing sub-ventilation shaft. By carefully selecting the development targets it is possible to ensure an immediate production rate of 45 000 t/month of reef, on commissioning of the deepened main shaft. There will be a rapid build up of production to 135 000 t/month six years after the start of the project.

Tonnage Profile from South Reef Project

(TONNAGE PROFILE BAR GRAPH)

Recovered Gold Production Profile for South Reef Project

(RECOVERED GOLD BAR GRAPH)

5.		Working Costs

		Working costs for the South Reef Project have generally been planned from a ‘zero cost’ base. Costs have been estimated at three levels, 45 000, 90 000 and 135 000 reef tons per month, as follows:

		Mine Operating Cost (R/ton milled)


Production Level	45 000 tpm		90 000 tpm		135 000 tpm

Labour		179		155		148
Stores		86		86		86
Electric Power		42		31		28
RWB		1		1		2
Contractors		4		3		3
Metallurgy		15		14		13
Other Costs		2		2		2

Total on-mine costs		330		293		281

Randfontein Overheads		30		30		30

Total Working Costs		360		323		311

Economic Valuation

	6.1		Assumptions used

			The following assumptions were used in calculating the valuations:


Gold Price		R95 000/kg
Tax Base		Randfontein Estates
Tax Rate		46%
Total Labour		2 798 employees

	6.2		Valuation (R million)

			The valuation is after tax in real terms, using Randfontein as tax base:


Gold price	95 000		100 000

NPV 7.5%	876		1 032
IRR	48	%

	6.3		Cash flow

			The project becomes cash positive in year 7 (2008) or in year 6 if we bring the R140 m AVR payment into account. Maximum cumulative funding requirement amounts to R500 million. No external funding will be required to fund cash outflows, which will be required over a five-year period. Funds will be available from current Randfontein working profits. Randfontein tax base will be used.

			Total capital requirement: R1,271 million – Maximum funding R500 million.

			Cumulative Cash Flow Over Project Life

(CUMULATIVE CAS FLOW BAR GRAPH)

	6.4		Sensitivity analyses

			A sensitivity analysis of plus 5%, plus 10%, minus 5% and minus 10% was conducted on revenue (gold price and grade), working cost and capital expenditure.

			The analysis indicates that the project is marginally sensitive to capital expenditure, with the sensitivity to revenue (gold price and grade) and working costs more pronounced. Even at a 10% variance of one of the parameters from the base case, the project still shows a post-tax NPV (7,5%) of R409 m, indicating the robustness of the project.

			Sensitivity to changes in main parameters for NPV of 7,5% (R million)


	– 10%		– 5%		Base		5%		10%

Revenue
(Gold price and grade)		589		782		876		1 015		162
Working Cost		1 023		949		876		802		728
CAPEX		927		909		876		850		824

Sensitivity Analysis for South Reef Project

(SENSITIVITY ANALYSIS LINE GRAPH)

Sensitivity of IRR with respect to gold price

Black Economic Empowerment

	7.1		Sale of 26% of Mineral Rights

			Randfontein sells 26% of the mineral rights to African Vanguard Resources (AVR) for R250 million. The amount will be paid as follows:

	•		R140 million in cash, and

	•		R110 million in call options on 290 000 oz of gold (the 290 000 oz of gold is equal to 16% of the gold produced by the operations during the first 10 years)

	7.2		Joint Venture Arrangement

			Randfontein and AVR will manage the project as a joint venture. Randfontein will fund all the project capital and the profit share will be Randfontein 84% and AVR 16%

Key Milestone Dates


Key Milestone Dates

Phase 1: (45 000 tpm)
Project start date		22 Jan 2003
Increasing hoisting capacity of the Sub-vertical Ventilation Shaft to 1000 tpd		21 Apr 2003
Opening a second outlet via the 132 Level raisebore hole		29 Nov 2003
Opening a second outlet via No.1 Shaft		7 Jul 2004
Completion of Main Shaft sinking and equipping		1 May 2006
Start of Phase 1 primary development		1 Dec 2003
Completion of Phase 1 primary development		14 Jan 2005
Completion of Phase 1 secondary development		27 Jul 2006
Phase 1 project duration		43 months
Phase 2: (135 000 tpm)
Project start date (assumed)		28 Aug 2006
Completion of phase 2 primary development		20 Oct 2007
Completion of Phase 2 secondary development		14 Oct 2008
Clear site		24 Oct 2008

9.		Current Infrastructure

		The Doornkop shaft complex consists of two surface shafts with one Sub-vertical ventilation shaft (originally used as a prospect shaft to access the South Reef). The second outlet to surface is on 106 Level to Cooke No.1 Shaft.

	9.1		Main Shaft

			The Doornkop Main Shaft is a man and rock hoisting shaft, 8,0 m in diameter with six winding compartments. Transfer Level (132 Level) is 1 128 m below collar with shaft bottom being at 1 340 m below collar. The shaft is equipped with two winders, one man winder and a dual purpose winder – each is a 4,88 m diameter by 1,83 m wide double drum unit.

			This shaft complex currently has a hoisting capacity of approximately 120 000 tons per month of reef and waste from 132 Level.

			These winders are suitable for the production of up to 90 000 reef tons per month from the South Reef, but to increase to the planned 135 000 tons, a replacement rock winder will have to be installed.

	9.2		Ventilation Shaft

			The upcast ventilation shaft has two surface fans. The ventilation shaft is 6,5 m diameter and extends from surface to 106 Level (867 m below surface). There is no winding capacity available on this shaft.

	9.3		Sub-Vertical Ventilation Shaft

			The Sub-vertical Ventilation Shaft has an existing kibble winder and stage winder on 96 Level with main bank access on 106 Level. This is a single outlet for the working environment below 132 Level and thus there is a restriction on the number of men who can work there. The shaft bottom is at 212 Level (1 948 m below collar). The stage ropes are used as kibble guides. This shaft is to be upgraded for the development phase to enable up to 1 000 tons per day to be hoisted.

10.

Impact of the Project on Infrastructure

	10.1		Main Shaft

			The shaft deepening will be effected by means of sliping into a hole raisebored between levels rather than by solid bottom sinking. This sinking method has been recommended for the following reasons:

	•		Industry safety records indicated that this method of sinking shafts is vastly superior to solid bottom sinking methods.

	•		Overall advance rates will be compatible with those obtainable in solid bottom sinking using the small kibbles dictated by the size of winding compartments;

	•		More time can be made available in the Main Shaft for supporting construction and mining operations off the Sub-vertical Ventilation Shaft;

	•		Production from the Kimberley Reef may be continued throughout the deepening process;

	•		The access via the Sub-vertical Ventilation Shaft will be used to allow for all the capital development and construction to be completed concurrently with the deepening of the Main Shaft.

		The Main Shaft will be sliped, lined and equipped. Once the shaft has been equipped past a level, permanent winding for men and material to the levels above this will be possible, allowing the Sub-vertical Ventilation Shaft to be used mainly for waste rock hoisting. As a result waste rock hoisted will increase from about 1 000 tpd to about 2 000 tpd. During the above activities, the spare hoisting capacity would be used to maximise the amount of level development that is done during the shaft-deepening phase.

	10.2		Increasing the Hoisting Capacity in the Sub-vertical Ventilation Shaft

			It is proposed to de-bottleneck the hoisting capacity of the existing winder in the Sub-vertical Ventilation Shaft. This would be achieved by:

•

Modifying the stage so that it can be lowered to the bottom of the shaft and the stage ropes may be used as guide ropes for the new skips. The stage would also have a deck for the transport of large machines and heavy material between levels;

	•		Installing a modular temporary skip loading arrangement on 212 Level station;

	•		Modifying the headgear arrangements to allow the new skips to tip into the existing tipping arrangements.

			Based on the specified assumptions, this should allow the waste hoisting capacity of the Sub-vertical Ventilation Shaft to be increased. The skips would also have a fixed small single deck for transport of men and material.

	10.3		Pumping Arrangements

			Temporary pumping arrangements would be installed in the early stages of the project. This would comprise modular settlers, clear water and mud pumping arrangements on 192 Level, with the existing dirty water stage pumping arrangements on the lower levels being used.

			The construction of the permanent pumping arrangements would require the raiseboring, sliping and supporting of the two vertical dams, the installation of the two settlers, the installation of permanent clear water and mud pumping arrangements and the installation of permanent dirty water pumping arrangements.

			A dirty water surge dam would be raisebored, sliped and equipped.

	10.4		Service Water Arrangements

			Temporary service water arrangements would be installed in the Sub-vertical Ventilation Shaft in the early stages of the project.

			For the permanent service water arrangements, a surge dam would be constructed in an existing excavation. The service water feed down the shaft, complete with pressure reducing valves would be installed either concurrently with equipping or after completion of the shaft. The permanent service water pipes on the levels would be equipped concurrently with the development.

	10.5		Electrical Power Supply

			The surface sub-station would have to be extended and the supply from the consumer sub-station upgraded.

			Shaft cables would be installed down the Sub-vertical Ventilation Shaft during the early stages of the project. These temporary cables would be sufficient to handle power requirements for initial pumping, ventilation, raiseboring, construction activities, development and ledging, so reducing the criticality of the permanent cables down Main Shaft. The permanent sub-stations would be equipped as and when required on the levels.

	10.6		Reef and Waste Rock Handling Arrangements

			The reef and waste passes from have already been raisebored and have been partially equipped. The completion of these arrangements would be done early in the project to facilitate the handling of raiseborer chips, sliping waste and development waste.

	10.7		Rock Winder

			The supply, installation and commissioning of the third permanent winder is required for use when Main Shaft is commissioned to final depth. Once installed it will be of significant value during the project phase if operated as a temporary Single Drum Service Winder with a small conveyance in the South Skip compartment. Since this winder must have a unique configuration to give the required wide drum centres and is capable of handling loads larger than the standard winder design; there will be minimal chances of purchasing a second-hand unit. This new winder has been specified to have specially reinforced drums, stronger brakes and upgraded power to satisfy the duty requirements.

	10.8		Compressed Air Arrangements

			The installed compressors should be sufficient for the Phase 1 requirements of 45 000 tpm (reef). A third 300 drill machine would be required for Phase 2, i.e. 135 000 tpm (ore).

	10.9		Gold Plant

			The Gold Plant has a nominal capacity of 225 000 tons per month at a design grade of about 3,5 g/t. The South Reef Project will deliver reef at a grade of between 6 and 7 g/t to the plant. The plant has been a low-grade plant, and the introduction of relatively high-grade reef has necessitated the inclusion of gravity recovery to reduce the impacts upon the leaching and gold recovery circuits. In addition, the South Reef contains a considerable proportion of gravity recoverable gold, which complements the changes in the plant.

			The plant is in good condition and it should be able to operate for the required life of the underground mine recovering the Doornkop South Reef.

INVESTOR RELATIONS

Business address

Harmony Gold Mining Company Limited
Suite No. 1
Private Bag X1
Melrose Arch, 2076
Telephone: +27 (11) 684 0140
Telefax: +27 (11) 684 0188
E-mail: corporate@harmony.co.za

Investor relations contacts

Corné Bobbert
Telephone: +27 (11) 684 0146
Telefax: +27 (11) 684 0188
E-mail: cbobbert@harmony.co.za

Ferdi Dippenaar
Telephone: +27 (11) 684 0147
Telefax: +27 (11) 684 0188
E-mail: fdippenaar@harmony.co.za

Share transfer secretaries

Ultra Registrars (Pty) Ltd
Contact: Polly Pollard
Telephone: +27 (11) 832 2652
Telefax: +27 (11) 834 4398
E-mail: ultra@registrars.co.za
11 Diagonal Street
Johannesburg 2001
(PO Box 4844, Johannesburg, 2000)

United States ADR Depositary

The Bank of New York
Telephone: +1888-BNY ADRS
Telefax: +1 (212) 815 3050
Shareholder Relations Department
101 Barclay Street
22nd Floor, New York, NY 10286
United States of America

United Kingdom Registrars

Capita IRG Plc
Contact: Melvyn Leigh
Telephone: +44 (208) 639 1001
Telefax: +44 (208) 478 2876
E-mail: mleigh@capita-irg.com
Balfour House
390-398 High Road, Ilford
Essex IG1 1NQ, United Kingdom

Directors

*Non executive directors †British

Trading Symbols


Ordinary Shares
JSE Securities Exchange		HAR
New York Stock Exchange		HMY
London Stock Exchange		HRM
Euronext Paris		HG
Euronext Brussels		HMY
Berlin Stock Exchange		HAM1
Warrants
JSE Securities Exchange		HARW
New York Stock Exchange		HMYWS
Options
Chicago Board Options Exchange		QHG

ISIN

ZAE000015228

Registration number

1950/038232/06

Harmony’s 2002 Annual Report is
available on our website at
www.harmony.co.za
For a hard copy please contact
Corné Bobbert on
tel +27 11 684-0146 or e-mail
cbobbert@harmony.co.za.

FCB Jon$$ons

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.


Dated: March 4, 2003

	Harmony Gold Mining Company Limited

	By:	/s/ Frank Abbott

		Name: Frank Abbott
		Title: Chief Financial Officer