Power crisis cost Harmony 800kg of gold

Harmony Gold Mining, the world's fifth and South Africa's third-largest gold producer, on Friday confirmed that it lost about 800kg (25720 ounces) of gold in the four days that its mines were shut due to a power shortage.

Harmony Gold Mining, the world's fifth and South Africa's third-largest gold producer, on Friday confirmed that it lost about 800kg (25720 ounces) of gold in the four days that its mines were shut due to a power shortage.

Graham Briggs, chief executive of Harmony, said the company expected production in the March quarter to be affected by the power restrictions - but he did not provide any indication of the amount of gold that might be lost.

"In the light of Eskom's electricity supply disruptions, and with mines operating only at 90percent of Harmony's previous power supply, the company's production for the March 2008 quarter could decrease," said Briggs.

However, he said that lost ounces would be offset by the return of its Elandsrand mine to full production during the quarter. - I-Net Bridge

X