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Tshepong Mine

Our operations

Tshepong

Tshepong is located in the Free State Province, near Welkom, about 248 kilometres from Johannesburg. Mining is conducted at a depth of 2 349 metres. The mine uses conventional undercut mining in the Basal Reef while the B Reef is exploited as a high grade secondary reef. Ore mined is processed at the Harmony One plant.

Performance FY16

In FY16, Tshepong was Harmony's largest contributor to gold production and production profit. Increased productivity and focus on mining efficiencies contributed to the improved performance in FY16. The continued build-up in production from the sub-66 decline is driving the improvement in grade.

Poor ground conditions affected progress of the sub-71 major capital project during FY16. A project team is in the process of compiling the feasibility study for the sub-75 decline extension project down to 77 level. A study is underway to investigate further synergies with the integration of the Tshepong and Phakisa mines and ways of optimising these synergies so as to improve the financial metrics of the combined operation, as Tshepong's infrastructure is under-utilised.

More detailed information on safety performance can be found in the Integrated annual report.

Key statistics

    FY16 FY15 FY14
Number of employees        
– Permanent   4 232 4 218 4 132
– Contractors   250 210 216
Total   4 482 4 428 4 348
Operational        
Volumes milled (000t) (metric) 1 088 992 947
  (000t) (imperial) 1 200 1 095 1 044
Gold produced (kg) 5 031 4 278 4 223
  (oz) 161 751 137 540 135 772
Gold sold (kg) 5 029 4 337 4 204
  (oz) 161 685 139 437 135 161
Grade (g/t) 4.62 4.31 4.46
  (oz/t) 0.135 0.126 0.130
Productivity (g/TEC) 100.52 86.05 84.33
Development results        
Total metres   12 077 13 053 12 762
Reef metres   1 745 1 822 2 209
Capital metres   0 0 79
Financial        
Revenue (Rm) 2 756 1 948 1 822
  (US$m) 190 170 176
Average gold price received (R/kg) 547 967 449 211 433 425
  (US$/oz) 1 176 1 221 1 302
Cash operating cost (Rm) 1 845 1 588 1 379
  (US$m) 127 139 133
Production profit/(loss) (Rm) 912 337 457
  (US$m) 63 29 44
Capital expenditure (Rm) 307 313 301
  (US$m) 21 27 29
Cash operating cost (R/kg) 366 767 371 149 326 498
  (US$/oz) 787 1 008 981
All-in sustaining cost (R/kg) 438 401 460 844 415 061
  (US$/oz) 940 1 252 1 247
Safety        
Number of fatalities   0 1 2
Lost-time injury frequency rate per million hours worked   6.40 5.72 8.33
Environmental        
Electricity consumption (GWh) 301 307 301
Water consumption – primary activities (ML) 1 230 1 110 1 090
greenhouse gas emissions (000t CO2e) 306 316 299
Intensity data per tonne treated        
– energy   0.27 0.31 0.32
– water   1.13 1.12 1.15
– greenhouse gas emissions   0.27 0.32 0.32
Number of reportable environmental incidents   0 0 1
Community        
Local economic development * (Rm) 7 33 30
Training and development (Rm) 37 33 24

* Included in the total for FY15 is an amount of R24 million that was capitalised as part of the hostel upgrades (FY16: R0 million)

Other salient features  
Status of operation Steady state operation: development continues.
Life of mine 19 years
Hoisting capacity (per month) 214 000 tonnes (235 892 tons)
Compliance and certification New order mining right – December 2007
ISO 14001
ISO 9001

Mineral reserves as at 30 June 2016

  Proved reserves Probable reserves Total mineral reserves
Reserves (metric) Tonnes
(Mt)
Grade
(g/t)
Gold
(000kg)
Tonnes
(Mt)
Grade
(g/t)
Gold
(000kg)
Tonnes
(Mt)
Grade
(g/t)
Gold
(000kg)
  17.1 5.49 94 3.5 4.39 16 20.7 5.30 110
Reserves (imperial)) Tonnes
(Mt)
Grade
(g/t)
Gold
(000kg)
Tonnes
(Mt)
Grade
(g/t)
Gold
(000kg)
Tonnes
(Mt)
Grade
(g/t)
Gold
(000kg)
  18.9 0.160 3.022 3.9 0.128 500 22.8 0.155 3 522

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Recent news

Harmony is a dynamic and ever-changing company and our story is continuously evolving. Visit the news and events section of this website to get the latest instalments to the Harmony story. Read more

Annual report

Integrated annual report 2016
Integrated annual report 2016

(HTML & PDFs)

Investor brief

Harmony Investor brief, Sep 2017
September 2017 -
Harmony Investor brief

(PDF - 6.5MB)