New “significant” copper-gold drill results for Harmony Gold

Harmony Gold Mining Company has announced “new significant copper-gold drill results” at its Kili Teke prospect in Hela, Papua New Guinea.

The results are more promising than those announced in November, when it estimated 128m tonnes at 0.4% copper and 0.3 grams per tonne (g/t).

Since then, drilling has focused on possibly expanding the deposit of two main areas of higher-grade quartz stockwork related mineralisation. After drilling 10 holes/6,820m), Harmony has found new zones which in most cases indicate over 0.5% copper around 0.4 g/t gold.

Harmony chief executive officer Peter Steenkamp said it was “a rare phenomenon, in this day and age, to drill a 584 meter borehole and achieve grades averaging over 0.5% copper and 0.35 grams per tonne gold from surface.

“Massive sulphide lodes averaging 13% copper and 11.4 grams per tonne gold are even rarer – which is what we are seeing from our Kili Teke drill results.”

“The latest drilling results support our belief that Kili Teke has the potential to develop into a major new porphyry copper-gold system”, and that the development of a portfolio of copper-gold assets in Papua New Guinea – “replacing ounces at a discovery cost of less than $10 per gold equivalent ounce – creates excellent long term value for our shareholders.”

Apart from exploration, Harmony has a 50% interest in the Morobe Mining Joint Ventures (including open-pit gold and silver mine Hidden Valley and the Golpu project.

Harmony said a revised mineral resource estimate with the latest drill results is planned for the September 2016 quarter.

1 COMMENT

  1. Hidden Valley is the single biggest disaster that has befallen Harmony in 20 years, with management clearly incapable of turning it around.

    Now they want shareholders to get excited about greenfields projects in the same country with lower $/t values and higher capex.

    It’s easy : make Hidden Valley work or get the hell out of there.

    What does the Harmony Board not get about this basic perspective?

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