JOHANNESBURG (Reuters) – Harmony Gold, South Africa‘s third largest gold producer, said its second quarter earnings were higher despite a 9 percent fall in output after post-strike violence at one of its biggest South African mines forced it to halt the operation.
Headline earnings were 28 percent higher at 158 cents per share for the three months October to December, which beat the Reuters consensus of 102 cents.
The main measure of profit in South Africa, headline earnings strip out certain one-time items.
An interim dividend of 50 cents per share has been declared.
Production in the second quarter was 291,734 ounces after it lost 25,000 ounces to an illegal strike at its Kusasalethu operations near Carletonville.
Despite relying on South Africa for more than 95 percent of its output, the impact on Harmony from violent wildcat strikes that crippled operations at other South African gold and platinum producers was limited to one operation.
A burst of post-strike violence and intimidation spurred by inter-union rivalry at Kusasalethu prompted the company to say it would mothball the mine, which could lead to the sacking of 6,000 employees.
After discussions with trade unions and the government earlier this month, Harmony said it was one step closer to re-opening the mine.
“I am positive about the re-opening of Kusasalethu. In six weeks we could start to produce some ore with full production closer to the end of the quarter,” said chief executive Graham Briggs.
The unions and Harmony have until March 7 to decide on the future of the mine, which has historically contributed about 14 percent to the company’s annual output of roughly 1.3 million ounces.
Harmony’s shares have lost 38 percent of their value in the last year, compared with a 27 percent drop in the JSE’s Gold Mining Index.
Weather News Headlines – Yahoo! News
Title Post: S.Africa’s Harmony Gold earnings weather strike storm
Url Post: http://www.news.fluser.com/s-africas-harmony-gold-earnings-weather-strike-storm/
Link To Post : S.Africa’s Harmony Gold earnings weather strike storm
Rating:
100%
based on 99998 ratings.
5 user reviews.
Author:
Thanks for visiting the blog, If any criticism and suggestions please leave a comment
S.Africa’s Harmony Gold earnings weather strike storm
This article
S.Africa’s Harmony Gold earnings weather strike storm
can be opened in url
http://ray76.blogspot.com/2013/02/safricas-harmony-gold-earnings-weather.html
S.Africa’s Harmony Gold earnings weather strike storm
Rating: 100% based on 99998 ratings. 5 user reviews.
Author: Ray76 News
Thanks for visiting the blog, If any criticism and suggestions please leave a comment
