OVERVIEW
Kalgold is a long-life, open-pit gold mine on the Kraaipan Greenstone Belt, 55km southwest of Mahikeng in North West province. Mining takes place from the A-zone pit, where activities are ramping up at the pillar between the pit and the Watertank pit. Mined ore is processed at the carbon-in-leach Kalgold plant.
AS AT 30 JUNE 2021
- Gold Resource: 2.50Moz
- Gold Reserve: 0.63Moz
- LoM: 12 years
FY21 OPERATING STATISTICS
PRODUCTION:
1 109kg
GRADE:
0.74g/t
WORKFORCE:
700
ALL-IN SUSTAINING COST
US$1 828/oz
OPERATING PERFORMANCE FY21
Gold production decreased 4% to 1109kg (35 655oz), due to a 2% drop in ore milled to 1.51 million tonnes and a 1% decrease in recovered grade to 0.74g/t. Despite lower production, the 16% higher average gold price received in FY21 boosted revenue 12% to R955 million. Cash operating costs increased 15% to R776 million due to increased annual wages and electricity tariffs. Capital expenditure rose over 100% to R208 million, mainly for capitalised stripping costs in FY21.
OUTLOOK FOR FY22
The key focus area in FY22 will be to optimise the pit design of the A-zone and Watertank pits to produce safe, profitable ounces. Feasibility studies are underway to potentially expand milling capacity – two options are being considered, one to expand monthly milling capacity by 300 000t, the other by 450 000t. Exploration drilling results outline an expanded, robust mineralised system that extends beyond current resource limits. Resource development drilling underway has outlined a mineralised zone of more than 2.1km of strike and extends to more than 300m below surface. The intersections show good continuity of geology and mineralisation, making this an exciting organic growth opportunity for Harmony.
ESG STATISTICS
