Harmony CEO Peter Steenkamp
Harmony Gold Mining has repaid a further $100-million of the original $200-million bridge loan raised for the acquisition of its recently-acquired Moab Khotsong gold mine, in the North West.
“Harmony believes in having a robust and flexible balance sheet that supports its growth ambitions,” Harmony CEO Peter Steenkamp said on Tuesday.
He added that the gold miner has used the proceeds from the oversubscribed share placement announced on June 6 to repay $100-million of the bridge facility.
Production at Moab Khotsong in the last three and a half months supports the company’s view that the mine is a quality asset and that it will strengthen Harmony’s cash flows further.
The remaining $50-million of the bridge loan is expected to be repaid from operating cash flows, as well as the proceeds from the share placement to diversified miner African Rainbow Minerals, subject to shareholder approval.