Harmony CEO Imposes Cost Cap at South African Mines on Gold Drop

Harmony Gold Mining Co. plans to cut costs at each of its South African mines to less than 400,000 rand ($37,000) a kilogram of bullion by increasing productivity and reducing spending on equipment and exploration.

South Africa’s third-biggest producer will reduce its costs per ounce by mining more higher-grade ore and cutting spending on future projects, Chief Executive Officer Graham Briggs said in an interview with Bloomberg TV Africa to be screened tomorrow. Harmony’s all-in sustaining costs dropped 14 percent to 404,694 rand per kilogram (2.2 pounds) in the three months ended Sept. 30.