Name of the Project
Harmony Gold renewable-energy projects.

Location
The first phase of the project will be located in Welkom, in the Free State, South Africa.

Project Owner/s
Harmony Gold Mining Company.

Project Description
As part of its decarbonisation strategy and journey towards carbon net zero, Harmony is accelerating the expansion and roll-out of numerous renewable-energy projects across South Africa.

Phase 1 comprises a 30 MW solar energy plant. The company will build three 10 MW plants at its Tshepong, Eland and Nyala operations.

The plants are expected to deliver 68 GWh to Harmony’s mining operations in the first 12 months, when fully operational, and mitigate 65 000 t of carbon dioxide equivalent yearly.

Phase 1 will be undertaken through a power purchase agreement (PPA).

In Phase 2, Harmony will build an additional 137 MW of renewable energy at various longer-life mines. This project is expected to deliver about R500-million a year in electricity savings when it reaches full production in the 2025 financial year.

In Phase 3, Harmony plans to add an additional 56 MW of renewable energy. It is at the planning stage and progressing as expected.

Potential Job Creation
Not stated.

Capital Expenditure
Phase 1 will be done through PPA and, thus, Harmony capital will not be used.

The roll-out of Phase 2 is expected to cost about R1.5-billion, and is linked to being net zero by 2045.

Planned Start/End Date
Phase 1 construction is expected to start in June 2022, with the first energy to be delivered into the grid in 2023.

Phase 2 is expected to reach full production in the 2025 financial year.

Phase 3 is planned for completion in the 2026 financial year.

Latest Developments
Harmony reported in its interim results in March this year that Phase 1 of the 30 MW renewable solar power project is expected to be commissioned before the end of 2023.

The company further reported that the feasibility studies had been completed for the 137 MW Phase 2 project, with construction expected to start in due course.

Harmony indicated that the first 100 MW will be on balance sheet and largely funded using a R1.5-billion green loan financed through a syndicate of local and foreign lenders, and is expected to be completed in September 2024. As with Phase 1, the remaining 37 MW will be delivered by an independent power producer.

Key Contracts, Suppliers and Consultants
Harmony, Energy Group and BBEnergy (Phase 1 construction).

Contact Details for Project Information
Harmony Gold Mining Company group communications manager Sihle Maake, tel +27 11 411 2312 or email sihle.maake@harmony.co.za
Harmony Gold Mining Company head of investor relations Jared Coetzer, tel +27 11 411 6073 or email jared.coetzer@harmony.co.za.