Name: Target 1 mine.

Location: Target 1 is located near Allanridge in the Free State, about 270 km south-west of Johannesburg.

Holding and Controlling Company: Harmony Gold Mining.

Brief Description: The mine comprises a single surface shaft system with a sub-shaft and a decline.

Brief History: Outcropping on the Target 1 property (originally Loraine property) is an inlier of the Ventersdorp conglomerate (the Bothaville Formation) and it was the similarity of these conglomerates to those of the Witwatersrand Sequence that focused interest in this area, and led to the discovery of the Free State goldfield.

In about 1890, prospecting on these conglomerates began by means of vertical and incline shaft at the outset.

The initial model for exploration north of the Loraine gold mine, which at the time was managed by Anglovaal, was proposed by chief geologist DW Boshoff in 1978.

The Target Exploration Company, a company formed by Anglovaal for the specific purpose of exploration, later acquired this area.

Options to mineral rights north of Target were acquired by Sun Mining and Prospecting Company. The feasibly studies were centred on Sun Concept Mine South (CMS).

In August 1998, the Lorraine mine closed down resulting in Lorraine 1 and 2 shafts being transferred to Target and later becoming the Target 1 and 2 shafts.

The formation of Avgold in 1996 was intended to further the gold mining and exploration interests of Anglovaal Mining.

The project started in 1999 with the underground and shaft system which was commissioned in 2000.  The metallurgical processing plant system was started in 2000 and commissioned the following year.

Harmony acquired Target in May 2004, when Avgold became a wholly-owned subsidiary of Harmony.

The mine officially opened in May 2002.

Products: Gold.

Geology/Mineralisation: The sediments of the Central Rand Group occur within an oval-shaped basin, which has a 160 km-long axis through the Welkom area and Johannesburg, and a short axis of about 80 km.

The Central Rand basin is superimposed on the West Rand Group or Lower Witwatersrand basin, which has a much larger aerial extent at the centre of the Kaapvaal Achaean craton.

A thrust fault system has resulted in the post-depositional folding of the strata into a synclinal shape. This “border feature” is the western limit of the graben structure, about 10 km wide, which contains many of the Welkom gold mines.

The eastern limit of this graben is the well-defined De Bron fault. The Target 1 gold prospect is a northward continuation of the Free State goldfield.

The full potential of the Basal reef, which has produced 85% of the gold from this area, has yet to be established in the Target area because initial drilling has focused on the shallower Elsburg and Kimberley reefs owing to time constraints.

Reserves: Total proven and probable reserves as at June 30, 2017, were estimated at 5.2-million tonnes grading 4.22 g/t gold.

Resources: Total measured, indicated and inferred mineral resources for Target 1 as at June 30, 2017, were estimated at 19.1-million tonnes grading 7.55 g/t gold.

Mining Method: The mine is a trackless bulk mining operation using conventional labour-intensive methods, and operates to a depth of about 2945 m.

From the outset, Avgold planned Target to be highly mechanised, using long-hole stoping where reef widths permitted, and either cut-and-fill or long-hole stoping in narrow reef areas.

Major Infrastructure and Equipment: Access to all three shafts is by well-maintained paved road. The area also has well-established rail links and an airfield.  The Target 1 operation includes a single underground mine constructed as an extension to the Loraine gold mine and uses 1 Shaft as access. The mine has decline systems off this shaft extending 5 km to 6 km to the mining areas about 2 300 m below surface.

In addition, 1 Shaft is used to transport men, material and rock between surface and the 203 level from where a single decline, equipped with a conveyor belt, connects to 255 level an estimated 2 050 m below surface. The decline splits at 255 level into a conveyor decline and a vehicle decline descending to the extent of development currently at 291 level 2 300m below surface.

Prospects: Target 1 manages its risks by focusing on trackless development to ensure timeous availability of massive stopes and to prevent excessive dilution from waste and backfill in the pillar areas, which could impact negatively on the delivered grade. Future success will depend on the availability of trackless mining equipment and performance regarding volumes and grade.

Contact: Harmony investor relations manager Lauren Fourie.
Contact Details:
Harmony
Cell +27 71 607 1498
Tel +27 71 607 1813
Email Lauren.Fourie@Harmony.co.za
Website https://www.harmony.co.za/our-business/our-operations/target