HMY

Right. Good morning and thank you for joining us for our half year results presentation. Seems like we've managed to just pack enough chairs into the venue, so thank you very much for showing up. I'm Beyers Nel, CEO, and I'm joined by our Financial Director, Boipelo Lekubo. We will cover our results, the Harmony story, and most importantly, our strategy and direction for the future. Please do take note of our safe harbor statement, and we encourage that you read the cautionary language in full. For complete details on our interim results, you could also refer to our results booklet and our website. Mining with purpose means we put people and safety first. We are building a resilient portfolio by investing continuously in our ore bodies and growing deliberately in copper to protect cash flows through the commodity cycle.

Gold underpins our stability and cash generation while copper provides durability and growth. Our strategy is aimed at building enduring long-term value. We are doing this through safe, profitable ounces, quality reserve conversion, and disciplined copper scale alongside our sizable gold portfolio. Our four strategic pillars, namely responsible stewardship, operational excellence, cash certainty, and capital allocation guide everything we do. Harmony is a geographically diversified producer with assets in South Africa, Papua New Guinea, and Australia. We have consistently de-delivered for over a decade and continue to upgrade our asset quality. The portfolio is underpinned by approximately 136 million ounces in mineral resources and about 37 million ounces of mineral reserves, providing scale, longevity, and optionality. Gold remains our core while copper is our strategic growth lever.

We plan to bring approximately 100,000 tons per annum of copper online from CSA and Eva within the next 3-5 years to address the Mponeng gap and smooth our cash flows. While not yet permitted, Wafi-Golpu is a generational asset that once in production could move Harmony towards first quartile cost production. Guided by long life asset optimization and disciplined capital allocation, we prioritize value over volume to build a more profitable and sustainable Harmony over the long term. We are not targeting a fixed copper to gold ratio. Our decisions are driven by fundamentals, economic value, and reserve strength. The chart on the right presents our current plans a decade from today. By financial year 35, approximately 40% of production may be copper from Eva, CSA, and Wafi-Golpu, complementing our South African gold base and enhancing resilience and also margins.

Long-term shareholder value is built through consistent delivery across six key performance areas that underpin safe, reliable, and profitable mining. Everything begins with safety. Our lost time injury frequency rate reached an all-time low of 4.23 and has remained below five for three consecutive quarters now. Operational fundamentals remain firmly intact despite some short-term headwinds. We produced 724,000 ounces of gold for the reporting period, impacted by an industry-wide cyanide shortage and lower plant recoveries in South Africa. Although underground recovered grades decreased by 11% to 5.7 grams per ton, our face grades mined are in line with our plans and plant recoveries have now also normalized. Hidden Valley's production was affected by a tectonic related mill motor failure and gold shipping delays which impacted the amount of gold sold during the period.

Group All-in sustaining cost rose to ZAR 1.18 million per kilogram or $2,115 per ounce on the back of lower volumes and much higher royalties paid. I'm confident that we will remain on track to meet full-year production, cost, and grade guidance. We are generating strong free cash flows, increasing our operating profit by 61%, while basic earnings increased by 24% to ZAR 15.63 per share. On the back of consistent strong operational and financial results, we have revised our dividend policy to reflect a higher base dividend and additional performance-related payout. This means shareholders could receive up to 50% of net free cash as a dividend. Our interim dividend has more than doubled to ZAR 3.4 billion, rewarding our shareholders alongside our growth aspirations.

Boipelo will unpack the changes to our dividend policy later in more detail. Gold and copper are both intrinsically important to us, and Harmony is well-positioned for growth. CSA is being integrated into our portfolio, and Eva Copper is advancing through development as we continue our sustained investment in our other brownfields assets. Turning to operational performance for the reporting period. Safety remains our foremost operating priority. We are deeply saddened by the loss of our colleague in the second quarter because any loss of life is unacceptable and reinforces the need for continued discipline and vigilance across our operations. We are systematically applying lessons learned and reinforcing safety across the organization. Our remuneration scorecard is now also linked to both leading and lagging safety indicators. We are making clear progress, delivering a loss of life-free first quarter with all major indicators improving year-on-year.

This reflects strong control compliance, effective management and supervisory routines, and life-saving behaviors at every operation on every single shift. Our diversified portfolio is delivering strong adjusted free cash flow margins. This mix supports operating leverage, funds growth, and underpins disciplined life of mine extensions. Hidden Valley and South African surface operation margins remain excellent at 48% and 42% respectively. Our South African high-grade underground mines are producing at a solid 37% margin, while margins at the South African optimized underground assets doubled to 22% in the period. Through our de-risked and higher quality portfolio, we are taking advantage of gold price tailwind. All-in sustaining cost margins have expanded year-on-year since financial year 2022, and we are rather at 38% in this reporting period.

Our South African high-grade surface assets at Hidden Valley operate at globally competitive all-in sustaining costs. The South African optimized underground assets remain higher on the cost curve. While this skews the overall portfolio, these mines are profitable, and we remain focused on optimizing cash flows on these mines for maximum net present value over the life of the mine. The cash we are generating today is enabling us to fund a future in both gold and copper. Now to our next growth chapter. Our first rand or dollar goes to safety and sustaining our operations. We then allocate organic projects and advance copper and gold scale only where risk-adjusted returns clear our hurdles. We continue preserving balance sheet strength for disciplined and consistent through the cycle dividends.

Every initiative competes on risk, margin, and cash conversion while we grow selectively, sequentially, and affordably, turning today's gold price tailwind into durable compounding value. Eva is a large greenfield copper-gold project in a tier one jurisdiction. Eva aligns with our strategy, lowers our risk profile with sustainability embedded in the planning. Capital intensity is affordable, and project metrics exceed our cost of capital, ensuring we create value. Based on an estimated copper resource of approximately 2 million tonnes, the asset has the potential for meaningful life of mine extension. A robust three-year feasibility program has significantly de-risked the project and delivered a high-confidence capital estimate. We have a clear roadmap with full construction now underway. Ramp-up to first production is expected before the end of the 2028 calendar year.

Eva is a project with low execution risk and delivers a long life mine with solid fundamentals. Average grades of 0.4% copper and 0.07 grams per tonne gold underpin the decision to scale processing capacity to 18 million tonnes per annum. The mine is planned to produce approximately 65,000 tonnes of copper per annum for the first 5 years, with average annual production of 60,000 tonnes over the life of the mine. Eva is a scalable mine and has the potential to be a significant producer in our portfolio. The mine plan consolidates six deposits and 10 open pits with a low strip ratio of 1.6, supporting solid margins. The mine life of at least 15 years is underpinned by sizable resources and reserves.

As stated previously, the total capital is spread over a 3-year period and is expected to come in at between $1.55 billion and $1.75 billion. This capital is spread over 3 years and is estimated 20/40/40 split. This equates to a competitive capital intensity of around $26,000-$29,000 per tonne of copper. C1 cash costs in the first 5 years are attractive and expected to be at approximately $2.07 per pound on base assumptions, while we maintain funding flexibility and protect leverage guardrails during construction. We will rather maintain financial flexibility and protect leverage guardrails during construction. If you would like to share more in this excitement, there's a two-minute video on the Eva project on our website and on social media released today. Moving to CSA.

This mine provides immediate copper with good life of mine extension potential. CSA is Australia's highest-grade copper mine with a reserve grade of above 3.4% and more than 12 years of reserve life. Integration is progressing well as we embed Harmony's governance, operating standards, and disciplined approach to capital and risk management. Since taking full ownership towards the end of October last year, we have done the following. We've welcomed the CSA employees and aligned the team to Harmony's culture and values. We've implemented a 7-day safety stoppage to upgrade secondary egress systems in the shafts. We are establishing the correct geotechnical sequence at the mine and prioritizing decline development and critical ventilation projects.

The development of the Upper Meran Mine has been paused, pending further drilling to improve ore body confidence. An upgrade of the shaft steelwork on two levels is currently underway, resulting in a one-month stoppage in quarter three. Roughly ZAR 300 million in costs have been removed since acquisition, mainly relating to corporate overheads and financing costs. As said previously, full optimization of this mine is expected to take us around 18-24 months. We expect copper production of 17,500-18,500 tons at a recovered grade of above 3.5% for financial year 2026. This despite the one-month planned stoppage in the shaft. In addition, we plan to spend ZAR 1.1 billion in capital at CSA in this financial year.

The C1 cash costs at CSA remain low and are expected to be between $2.65-$2.8 per pound. We continue to harmonize the CSA mine and will provide longer-term guidance in August of this year. The CSA ore body is exceptional, and recent exploration indicates material growth potential with significant high-grade intercepts already evidenced, as you can see at the bottom of the slide. We are planning an extensive underground and surface drilling program over 24 months to improve geological, geotechnical, and metallurgical understanding for mine design, long-term planning, and potential expansion. Harmony is positioning CSA for long-term value creation through safe, predictable production and unlocking potential regional synergies as our footprint in Australia grows. With that, allow me to hand over to Boipelo to take you through the financials. Thank you.

Morning, everyone, and thank you, Beyers. Harmony's fundamentals remain strong, with financials reflecting operational excellence and value-accretive growth. Please note the U.S. dollar figures provided in the annexures. The first half of the financial year 2026 benefited from a higher realized gold price, supported by continued operational discipline. Gold revenue, which includes gold hedges, increased by 20% to ZAR 44 billion. We hedge up to 30% of gold production over a rolling 36 months to protect margins and maintain flexibility during elevated capital cycles. Our hedging table is also available in the annexures. EBITDA rose 39% to ZAR 18 billion, and cash generated by operating activities increased by 36% to ZAR 14 billion. We have a strong balance sheet, and net debt to EBITDA is at 0.18x, well below our 1x threshold following the acquisition of MAC.

Operating profit increased by 61% to ZAR 16 billion, and net profit increased by 24% to ZAR 10 billion. The variance reflects transitional, non-cash, and acquisition-related items and higher current taxation. Key items include, firstly, a realized gold hedge loss of ZAR 4.5 billion, which is included in the revenue line above. Below the revenue line, we had a ZAR 1 billion silver derivative loss at Hidden Valley and a ZAR 700 million foreign exchange translation gain because of the stronger rand. There was also a positive ZAR 1.1 billion impairment reversal at our Tshepong North operation, which is in the operating profit line. Profit before tax was impacted by firstly ZAR 1.4 billion in once-off acquisition costs related to the MAC Copper acquisition, and the majority of which related to stamp duty payable in Australia.

A ZAR 900 million non-cash fair value adjustment for CSA silver and copper streams and ZAR 700 million in borrowing costs. Lastly, there was an 86% increase in current taxation, which reduced net profit by ZAR 3.6 billion. While these items affected earnings, they do reflect growth, profitability, investment, and onboarding of long-life value-accretive assets. Harmony's underlying fundamentals remain strong, and the increase in operating profit reflects the health of the core business. Our cost base is predictable, with more than 90% rand denominated. Total cash costs, excluding CSA, rose 10% to ZAR 22 billion in line with plan. Approximately 55% of group costs are labor-related and increased about 6% in line with the five-year wage agreement we have in place. Electricity and water represents 24% of our costs, and tariff escalations remain regulated.

Electricity increased by 14% year-on-year. South African royalties increased by 60% on the back of higher revenue and profitability. Importantly, though, inflation remains well under control. Some of the inventory movements are timing related and are expected to reverse in the third quarter. The higher all-in sustaining cost reflects these items and remains within guidance. As a rand cost producer, the strong rand has lifted reported U.S. dollar costs. Despite this, we remain below the mid-range of our all-in sustaining cost guidance. We remain highly leveraged to the gold price. Every ZAR 100,000 per kilogram increase adds roughly ZAR 1.5 billion to adjusted free cash flows at the operational level. While this environment provides optionality, we remain focused on those factors which are in our control to protect margins.

Harmony has significant headroom with around ZAR 15 billion, or call it $900 million, in cash and undrawn facilities. We're therefore in a strong position to fund our growth pipeline. We have the capacity, the flexibility, and importantly, the discipline to continue delivering on our strategy. The strength of our balance sheet has been recognized by the three key ratings agencies, where we hold a BB, Ba1, and a BB respectively in our inaugural public ratings. At current levels, and even after paying for the acquisition of the CSA mine, we expect to be back in a net cash position by financial year-end. We are actively assessing our capital structure to maintain an efficient balance sheet that is appropriately matched to both our funding needs and the strength of our cash flow generation.

Our updated guidance includes CSA and Eva Copper capital for this financial year only. For FY 2026, we expect Eva capital of around ZAR 5.6 billion and CSA capital of ZAR 1.1 billion, bringing total group capital to ZAR 18.5 billion. While the increase in total capital is meaningful, it is affordable and necessary to invest in CSA and build one of the largest, most significant new greenfield copper developments in Australia. We remain confident in our cash flows and our ability to fund all our major projects, and this underpins the revision of our dividend policy. After careful consideration of our capital requirements, capital structure through the cycle, macroeconomic conditions, and current strong cash flow generation, we are pleased to announce that we have revised our dividend policy to provide shareholders with enhanced upside participation.

Harmony has amended its dividend policy to allow for up to 50% of net free cash to be returned to shareholders subject to the discretion of the board and net debt to EBITDA levels. The revised policy now includes an improved base dividend, which has been increased from 20% to 30% of net free cash. I must state this is net free cash after all capital, including major capital. In addition, an upside dividend may be paid based on leverage levels. When leverage is equal to or above 0.5x and below 1x, only a base dividend of 30% of net free cash flow is payable. As leverage improves, the board may, at its sole discretion, consider an upside dividend of up to 20% of net free cash.

In line with our new dividend policy, we are pleased to announce an interim dividend of ZAR 5.30 or $0.32 per share for this reporting period, resulting in a rolling twelve-month dividend yield of 2.2%. It represents a total payout of 43% of net free cash and an increase of 23% over the previous dividend policy. The total dividend payout for this reporting period is a record ZAR 3.4 billion, or $204 million. Beyers Nel, thanks. Over to you.

Thank you, Boipelo. In conclusion, Harmony offers a compelling pathway to growth, resilient, scaled, and purpose-led. We reaffirm our annual gold production grade and cost guidance while gold CapEx guidance is reduced by ZAR 1 billion. As shared earlier by Boipelo, our total CapEx guidance for the financial year now includes Eva Copper and CSA. We have maintained our momentum alongside strict mining and capital discipline to create sustainable value. We will continue doing just that in the remainder of the financial year. Again, safety informs all we do. Strong financial performance is supported by quality ounces and a higher gold price, with recoveries having normalized in the third quarter. The upgraded dividend policy reflects confidence in our cash flows, and we are most pleased to reward our shareholders for their ongoing support. Our focus on fundamentals and effective capital allocation turns price cycles into long-term value by delivering consistently.

In closing, this slide summarizes the Harmony of today and tomorrow. We are intentionally transitioning into a significant global gold and copper producer. This journey is grounded in mining with purpose, ensuring that everything we do creates value for all our stakeholders wherever we operate. On top of our solid gold foundation, we are diversifying and enhancing our portfolio through our various copper assets. Anchored in our strategic pillars and a capital allocation framework designed for durable returns, we remain unwavering in our pursuit of zero harm, operational excellence, and long-term value creation. Thank you for choosing to be part of our compelling story. I'll now hand over to Jared to lead us in the questions.

Can you hear me? Thanks. Thanks, Beyers. Thanks, everyone. I just wanna get this table moved onto the stage, please.

We've got a plan. A stroke of genius. Always saving your love. For all the moments just like this. Oh, just like this. It never changed. I'm wondering why you stay. You're stronger than me. When something's gotta give.

All right. You're good. Well, it's wonderful to see a full house today and hands up in the air. Last time to be in gold. Thanks so much to everyone for joining us and at the JSE for hosting us today. It's our first time we've been here. We normally have it at the hotel next door, so nice change and thanks to everyone for joining. Where can we start? Questions. Doc.

Thank you. First of all, I'd like to thank Harmony for actually having a face-to-face presentation. They are not that common these days, and I really appreciate it. It's a different kettle of fish when you actually get to see people deliver the message. Thank you for that, and congratulations on your results.

Thank you.

Stuart de Silva from Element, by the way. Beyers Nel, you mentioned that you were impacted by the cyanide shortage. Perhaps you could just address whether that is ongoing or if that's a thing of the past. If it's not, how it's being resolved. You also mentioned lower recoverability was an issue in the year past. If you could just address those two issues, please.

Yeah, sure. Let me also just return the thank you. I mean, it's phenomenal to see a turnout like this at a results presentation. Thank you very much everyone for coming. The cyanide was a one-off. I mean, we're behind most of it now. It resulted in a force majeure that was issued by our sole liquid cyanide supplier in South Africa during the reporting period. You know, we're back to normal levels now. But we have realized that, you know, we probably have to manage our exposure to a single supplier of liquid cyanide a little bit better going forward. We've had some foresight. We were in the process of constructing a cyanide dissolution plant at Mine Waste Solutions, which is our biggest consumer of cyanide.

In fact, Mine Waste Solutions uses more cyanide than the whole of Harmony together. So we were in the process of building that at the time of the force majeure. We were not complete. We are complete there now. So that allows us to import briquettes and then to dissolve briquettes to create liquid cyanide. So we'll be looking at doing more of that just to mitigate the risk of, you know, potential future disruptions in cyanide supply. So yeah, I think, you know, it's normalized now, and you know, we are just making sure that we tweak our procurement strategy slightly to have a balance of both. On the recoveries, you know, what a gold plant, a metallurgical process, the metallurgists would tell you it's a creature of momentum, and it's wants consistency.

Grade, tons, flow, and then you get good, you know, recovery. When you inject volatility or variability into what comes into the plant, you know, you suffer on the recovery side. What we've got with the cyanide shortage is, you know, you keep the retention time a little bit longer, keep a little bit of the tons back in the process and, you know, unfortunately, then you don't have optimum recovery. That was the cyanide part of it. We also, during this period, had two of our high-grade underground reef plants, locking up gold. I mean, we're also happy to say that, you know, the recoveries have now normalized.

I think the most of it is behind us and in this period now we'll see, you know, what comes out of the plants.

Questions? Adrian.

Good morning. Adrian Hammond from SBG Securities. I'd like to discuss the dividend policy in more detail. What happens at leverage above 1x regarding the dividend? Does that account for M&A? If so, would you not then be prejudicing shareholders?

Above 1x, I mean, ultimately at the end of the day, it is at the discretion of the board. That is that guardrail of net debt to EBITDA being below 1x. I mean, at each reporting period it would be considered. What we have done now is just increase that base from the 20% to 30%, and that's if net debt to EBITDA is below, between 0.5x and 1x. Below 0.5x, it would be considered at the board's discretion up to that maximum of 50%, which we've stated.

Let's just speak hypothetically. Your forecasts certainly assume gold price is much lower than spot in terms of your leverage outlook. What is the scenario? Is there a scenario that Harmony pays in excess of 50%, let alone at higher gold prices, but even just where spot is today?

Sure. I'll take it. Thanks, Adrian. Adrian, we cannot sit here today and guide future dividends and, you know, what if and what we're going to do you know, into the future. You know, what we do at every interval, and it is a six-monthly interval, we engage where we are at that point in time. You know, what is our capital commitments? What is our, you know, free cash situation? What is our net debt to EBITDA? And at that point, you know, we make a determination, you know, what is the appropriate consideration in dividend. And I mean, there are, I can assure you, robust discussions with our board who apply their discretion, you know, on that at that point in time. I don't want us to get ahead of ourselves too much.

You know, I think our changed dividend policy signals strong intent, you know, on the part of Harmony to share, you know, some of the upside that we currently see in the business whilst we keep our balanced approach around capital allocation firm.

Mm-hmm.

I mean, we have digested and are busy digesting the CSA mine, which historically for Harmony, $1 billion check on the twenty-fourth of October. Remember the date, you know, the check went through the bank. Big move. We've got Eva Copper ahead of us, and it's important that we keep all of that in balance. You know, we'll see where we are in the next period and take it from there.

Lastly, if I may, do you see any synergies with TRD with your existing asset base and resource endowment?

I think our first priority is to return the resources and the reserves we have on surface into viable projects. I mean, that's where our focus is. To quote an example, we have got 5.7 million ounces in the Free State alone that we can bring to value for you know for shareholders. So we're actually studying that at the moment. I mean, we're looking at a Free State project and potentially also a West Wits project around Mponeng and related assets in that area. You know, our focus would be on bringing that from an organic perspective to value vis-à-vis you know being enticed into overpaying in these good times we are in. Any more questions? All right. Do we have any questions on the webcast? Yep. Can you please-

No, on the actual same one dial-in. I'm on the dial-in. Okay.

Hi, can you hear me on the webcast, on the dial-in?

Thank you. We have a telephone line question from Raj Ray of BMO. Please go ahead.

Yes. I think it's on speaker.

Thank you, Operator. Good morning, Bears and Boipelo Lekubo and team. A couple of questions, if I may. I mean, first up, good to see the new dividend policy with the base dividend upside. My question relates to CSA and the second one is Meran. I know, Beyers Nel, you said that you're gonna provide a long-term guidance, but if we may get some visibility on since you have got in, what according to you are the main constraints on the mining side? Because as I understand, that operation has been mine-constrained and it's been operating just shy of 1 million tons per annum, whereas you have a processing capacity of 1.4-1.7, if I'm not wrong.

What needs to be done in terms of increasing that capacity, the mine capacity to match the plant capacity? Secondly, with respect to Meran, as you commented that the development has been paused, can you give us any indication of when you might look to restart that? What happens to it? If I'm not wrong, the previous owner had signed an agreement, a tolling agreement with Polymetals. Is there a penalty with regards to that, given that you will not be restarting that?

Thank you, Raj. If I can start with the CSA, perhaps just sketch the strategic context around, you know, why that makes sense and why Harmony is uniquely placed to deliver value at the CSA. CSA is an underground copper mine. It's deep in Australian terms. It's 2,000 meters deep. Our skill set in South Africa, where we mine the deepest mines in the world, is ideally suited to add value to an underground mine that is technically constrained by underground mining things. Let's talk about the underground mining things that is the constraint. First and foremost, it's the ventilation circuit. The ventilation circuit is constrained. For our non-technical people here, I always say, when we were teenagers, you put a potato at the back of your dad's tailpipe of his car.

The engine can't get rid of the gases, so the engine dies. It doesn't run 'cause the engine can't get the gases to escape. A mine is the same thing. The mine needs to have a return that can draw the hot air through the mine. It's establishing additional returns on the return side of the mine that is the main constraint, Raj, at the moment. I mean, there was good progress made by the previous owners on that. There's a design. We are making sure from Harmony's skill set that we've got the right solution for the problem, firstly, and that, you know, the right solution is executed with, you know, the necessary urgency and vigilance. Secondly, from an infrastructure perspective is, you know, we're sorting out, you know, some of the things we are seeing.

We've had a short seven-day stoppage on fixing the second escape. Every mine must have a second escape, and there were some issues there which we fixed, but those are really short-term in nature. As we speak, we're in a thirty-day stoppage to fix the shaft, two levels in the shaft steelwork. I mean, these are things we do on a continuous basis, running all these underground mines and shafts we do. When beams and steelwork in the shaft is rusted and it's unsafe, I mean, one must stop and one must fix it immediately. That is the thing we do. Thirdly is flexibility. Harmony's mantra over the last decade at least was consistent, predictable production. Now, in order to get that, one must have first ore body knowledge.

Know where you're gonna mine and have confidence in the geology, the grade, and the recoverability of the ore that you mine. I'll come back to Meran on that point. Secondly, you have to have reliable and well-kept and maintained infrastructure to support the mining method. Thirdly, one must have the necessary flexibility. Now because this mine is constrained by ventilation, it doesn't have the requisite flexibility. You know, one can either bog the stopes or do the development or do the capital ventilation project. What you want to do is set the mine up with enough ventilation so that you can ventilate multiple activities to happen at the same time, create the necessary flexibility so that you can get consistent, predictable production. That's what we say from where we sit now. I mean, it is early days.

It's probably gonna take us 18-24 months in order to get through that process and set the mine up, for long-term value. On the Meran mine, or the Upper Meran, yes, we say it is paused. Back to the first point, when you want to drive consistent, predictable production, you have to have visibility and confidence on the ore body that you're going to mine. You know, what we've already seen early on was that we need more drilling, on the Upper Meran, just to make sure that the ore body confidence, both from a, you know, an ore body perspective, geological perspective, and a metallurgical perspective is high enough confidence that the Meran mine would come into the mine plan.

Where we sit today, I mean, we're confident that the Meran mine is still there. We're confident, Raj, that it will come in. It will probably just be later. But we will get to that when we've understood that a little bit better and once we've gotten, you know, some of these results back. Have I covered all your questions, Raj? Oh, maybe just on the capacity. Yes, the capacity of the processing plant is 1.8 million tons. I mean, the mine has been talking historically now or recently being, you know, targeting about 1 million ton run rate with a little bit of growth after that. There's ample capacity in the processing facility. That's not where the problem is. The problem is underground.

Just to reiterate, I mean, that is where Harmony is ideally suited to add value. I mean, we'll get ourselves in overalls, roll up our sleeves, you know, get underground and get going on, you know, the things that are constraining the mine.

That's great, Beyers. Just lastly on that Polymetals agreement, the tolling agreement for Zincora.

Yeah. Raj, I will have to ask the team to come back to you on that. I'm not aware of any penalties where I sit here, but let me just put a caveat to that. Let's just double-check that and confirm that with you, and I'll ask the team to reach out to you, Raj.

Okay, that's great. Thank you very much. That's it from me.

Thank you, Raj.

Any more on the line?

Thank you, sir. We have no further questions on the telephone lines.

All right. Great. Beyers, just a couple of questions. Oh, sorry, Bruce. Yeah.

Hi, Beyers Nel and Boipelo Lekubo. Good day. Bruce Williamson, Integral Asset Management. Just following up on CSA, just remind me what additional depth below 2,000 are you initially gonna target to mine down to? What sort of average virgin rock temperatures will you experience? And just technically, what are rock conditions expected to be like? Sort of easy to mine, limited support, et cetera.

Early to say, I mean, we've hardly got the keys, so very excited. You know, we've got this new mine, this new toy. A lot of the questions that you're asking me now, Bruce, are questions we're busy with. You know, when we come out with our year-end results, we will give more color on where we think. Initial targets are probably to look at an area of up to 500 meters below the current mine. You know, that is deep. But if you look at the bottom of that picture, I think there's a good visual on the screen now. You know, you can sort of see where that is.

Also to the sides of the ore body, the extension of the lobes to the left and the right and obviously into the screen and in front of the screen, there's also good opportunity there. The mine is hot. I've been underground there a few times. I mean, the ventilation constraint is real and, you know, that is the first and foremost priority to solve that. As I've said, we are busy using all the expertise we have in ventilating the deepest and the hottest mines in the world. We've got all the best brains in the business on making sure that we've got the right solution for the problem and that we're executing the right solution.

When we've got, you know, all the color on that, we will come back with more detail on that. It's early days.

Thanks, Beyers. Bruce, just there are some annexures in the back of the presentation, I think it's 56 and 57, which have the drill results, the samples that we've taken to give you some more information on that. Arnold?

Yes. Hi, Beyers. Arnold Van Graan from Nedbank. Two questions. The first one on CSA, in layman's terms, once you've fixed it, what will this be? Will it be comparable to your SA optimized or to a Mponeng?

Thanks, Arnold Van Graan. Tough, you know, from where we sit now, tough question to ask. If you look at the cash cost of that asset, I mean, it is a low cash cost. The margin of production, and that depends on the copper price and depends on the volume, and it depends on, you know, so many things. You know, the position we take at the moment, we are happy with what we bought and what we paid. I mean, we're really excited to bring the Harmony skill set to the asset to unlock value. I mean, we haven't found anything there yet post the due diligence and post taking the keys that, you know, concern us. You know, it might take longer and the ramp-up might be different to what was previously thought.

You know, we're confident that this mine's gonna be a great mine, you know, in the Harmony stable. It is a phenomenal piece of ore body. You know, we just brushed over that previous slide. If you look at the bottom of that previous slide, just look at the intercepts in terms of percentage copper. There are 30 meters at 6%, 32 meters at 8%, 37 meters at 3.7%, which is around the reserve grade, 10 meters at 6%, 14 meters at 6.5%. This is a phenomenal ore body. Now it all starts with, you know, the quality of the metal in the ground. That is a base case, you know, we're working with.

You know, we can't wait to bring these good copper grades to value and, you know, that is what Harmony would come and do.

Okay. The second one is on Golpu, Wafi-Golpu. I mean, there's been delays there. The question is, given the changes to your portfolio, you brought in a lot of optionality, a lot of interim production, how does that change your stance or positioning on Golpu? Maybe just talk us through the delays and then this morning you mentioned.

Mm

Some mediation that could move it forward, which I think was quite important. I'm assuming this puts you in a stronger position 'cause it's a great long-term asset, but-

Mm

You no longer have to close that near-term gap with Golpu.

Yeah, if I could maybe ask that we just get the life of mine graph on the slides, Jared, for the colleagues that can't see that because it's easiest to answer it there, if it's possible, or should I get it on from the clicker side? Arnold Van Graan, Wafi-Golpu is a generational asset. I mean, on a 100% basis, this is gonna produce 180,000 tons of copper and more than 200,000 ounces of gold as a byproduct on this asset. It is a phenomenal asset. It's a quality ore body. On this slide here is 35% of Wafi-Golpu in gold equivalent ounces, if I'm correct, gives you the relative size of 35% of that asset. Where we are today has not changed our focus on getting this mine up the value curve.

To get it up the value curve, the very next step is to permit the mine. Phenomenal ore body without a permit, and we, you know, we all understand permits and what was happening in the global mining space around permitting and the lead time to permitting, is a big thing. The very next step, there's full alignment between ourselves and our JV partners on getting this mine up the value curve is get it permitted. Hence the discussion we had this morning and I'll repeat it here for everybody's benefit. Where we are with the permitting, let me go there, is the mandating authority or body in Papua New Guinea that negotiate mining leases or mining contracts with Operators is what is called the SNT, State Negotiating Team.

That's the team that is mandated to negotiate mining rights on behalf of the government. We've been engaging the SNT for multiple years now to bring this mine into two things, the SML, Special Mining Lease, and the Mine Development Contract. That has gone to and fro. I mean, I don't have to explain to you. I mean, you've been part of those discussions for many a year. A recent development, as recent as the latter part of last year, November thereabout, the Prime Minister of Papua New Guinea appointed a what is called a PRT, Peer Review Team.

Mm.

The Peer Review Team's mandate is to look at why the negotiations around Wafi-Golpu has not yielded a favorable outcome. In other words, why is the mine not being built? We've been engaging with our JV partners, well, a lot since November with the PR team, and that process is nearing completion. We welcome that as a positive step in terms of I'm not always sure mediation is the right word, but it is an intervention, you know, that we view as very positive in terms of unlocking the discussions around getting the Mine Development Contract and the SML. Can't give you a definitive answer on that, but Arnold, that is where we are.

In terms of importance, I mean, this mine is very important to Harmony, simply because of the quality of the ore body. Harmony today is better positioned to build this mine than we probably ever have been.

Mm.

You know, it suits what we want to do ideally. Our base in Australia, our regional base in Australia from where we support the Papua New Guinea operation is getting stronger with CSA and Eva, and we believe we are, you know, well-positioned to play a key part in the mining industry going forward in Papua New Guinea.

All right, any more questions? All right, Beyers, Boipelo, I've got a couple here, but I'm gonna try and combine it into just one question to stop the repeating. Seems like more CSA questions than Wafi-Golpu questions in a while. Beyers, just on the CSA's production, just some indication. Obviously, you've spoken about the optimization process, but just the steady state that we can kind of expect from that mine. Just given what was in the press in the past, with the shutdowns that we're having this month, what's our thinking on the CSA production rate, once we've got through this optimized period?

Thank you, Jared. I mean, it's, as we said, you know, when we do come back to the market in August, we hope we'll have more color. I mean, the last thing we wanna do is call something that is not there. What we've got in front of us is the 17,500-18,500 tons for this financial year at higher than 3.5% copper at the stated costs. Look, you know, when you're skilled at underground mining and you do go to the mine and you visit the mine, you can not only see, you can also feel the constraint at the mine. I mean, it's obvious.

Clearly, you know, from an optimization perspective, if you can alleviate the constraint, you know, and bring the solutions to the ventilation, I mean, that's when the bottlenecks are going to move to other areas, and then you move those. It's a sequential process of de-bottlenecking, de-risking the mine. I think Harmony has been around for 75 years or so. This is what we do. You know, this is what we've consistently done when we acquired unwanted assets. Not to say CSA was an unwanted asset or undercapitalized assets or strategic exit assets. You know, that is the Harmony model. This will be, you know, a phenomenal mine going forward.

You know, first things first is get a good handle on the technical constraints, further develop the correct solutions for those, and execute those with discipline. As Raj indicated, I mean, the processing plant has got a 1.8 million ton throughput capacity. Not to say the underground mine would ever fill the processing plant, but I mean, there's a massive lever on the volume side to pull to ramp that up in volume to bring additional value to the mine. We're also experienced enough to know that these things on an underground mine don't happen overnight, and they do take time. You know, we've got a good handle on what needs to be done to deconstrain the mine, and the production flow will increase from there.

Great. Thanks, Beyers Nel. Just got a question on. We've already answered the cyanide question, so apologies to anyone that's asking that question again. In terms of Hidden Valley tailings, I know we spoke about it earlier, Beyers Nel, but just some question in terms of the opportunity there for Hidden Valley extension and you know, sort of the constraints that you're facing there from a deposition side of things.

Yeah. Each mine, as you know, has got its own constraints. Hidden Valley is very different to CSA. Hidden Valley is tailings deposition constraints. So building terrestrial tailings dams in the mountainous areas of Papua New Guinea where you've got tectonic events and you've got 3.5 meters or so of rain is a technical challenge. So, you know, that is where the ore body is still there. You know, there's still legs in the ore body. So at the moment, in this year's guidance, we've guided an 18-month mine life extension, which is an incremental mine life extension, and we could do that by, you know, lifting the tailings dam that we've got a little bit and, you know, playing, you know, redirecting certain deposition strategies on lease area.

The next extension opportunity, which is in study at the moment, will be more a large-scale expansion program that would typically be building a new tailings dam, finding a new tailings solution. You know, probably think about where the gold, the plant is sitting in relation to the pits and things like that. That is in study. Hidden Valley has performed well, continues to perform well. I mean, one of our best-performing assets and, you know, it would be great for Harmony if the Hidden Valley Gold Mine can be extended. As soon as we've proven that, or if we prove that, I mean, we would disclose that to the market. It would be the next extension on Hidden Valley would be more of a large-scale recapitalization, building a new tailings dam type of effort.

Right. Thanks, Beyers Nel. Also just to try and bundle a few questions together, there's a couple coming through. Just in terms of the ventilation constraints and the things that we've mentioned, how much did we know that there were actually in the asset when we bought it? I mean, not like there are any surprises coming through now. What did we expect, when we actually bought CSA?

Thank you, Jared. Now, in the mine, I mean, we're very happy with what we bought, as I said. I mean, you know, the due diligence findings were basically proven, you know, in what we've got up to this point in time. I mean, I just wanna give again a little bit of color on the due diligence. I mean, I was out at the mine myself 3 times during the due diligence process. It was perceived to be a long due diligence process, but it was for the right reason. I mean, we needed to be sure what we've got there, we could actually wrap our heads around. No, we're comfortable. You know, as we go, we're opening up things here and there, small little things. I mean, the shelf steelwork and things like that.

I mean, show me an underground mine that doesn't have a rusted piece of steel. You know, when you've got a rusted piece of steel, you get an overall, you know, get the maintenance people, and you fix it, and you move on. These things are more one-off ongoing things that we'll continue to do. I mean, we know how to do it. We do it every day on all of our mines. In the mine, I mean, what we've got in due diligence is what we see on the ground.

Great. Thanks, Beyers Nel. I think just last question, for you, Boipelo. Just some questions coming through on CapEx. I know we have guided, but just the sustaining CapEx for Mac and also what are we expecting in terms of our capital levels for the next couple of years with CSA, Eva, and Wafi in the pipeline?

Yeah. We have included in our table, and I think Beyers Nel did touch on it, so did I. What we've guided for MAC is just for the second half of the financial year. We'll provide the further long-term guidance when we come back with our August release. Thanks. That helps a lot. I think it's probably just the one before.

Just give the mine, the actual CSA mine sustaining picture.

Yeah.

Well, the sustaining is about $400.

There we go.

Yeah.

The FY 2026 revised guidance, Beyers Nel's touched on it from a South African perspective that has come down about ZAR 1 billion. We've added CSA, as you can see, that's the 65. Okay, this is dollars. $65, and then we've got. Obviously, as I've said, we have not yet guided going forward for MAC. Eva, you are obviously aware what we did say it would be between $1.5 million-$1.75 million over the three years. You can look at it as a 20, 40.

Great. All right. For those questions that I haven't answered on the webcast Q&A, apologies. There are a couple of really long questions on renewables and things like that, which I won't touch on now. I will personally get back to you on those. Don't worry, I will answer them. To everyone that joined us, again, thank you very much for coming today.

Thank you.

Beyers, Boipelo, thanks for the presentation.

Thank you.

With that, we'll close things off. Thank you.

All right. Good morning, everybody, and thank you for joining us. I'm Beyers Nel, the CEO of Harmony. Today, we are presenting our financial year '25 results that unpack not only our operational and financial performance, but it also details how we are creating value for our shareholders and all our stakeholders. You'll also hear today from our Financial Director, Boipelo Lekubo, who will take you through the financial detail later on in the deck. Before we begin, please take note of our safe harbor statement. We encourage you to read the cautionary language in full. And with that, let's move to the heart of the equity story. FY '25 marks our 10th consecutive year of meeting production guidance. This level of consistency is rare in our sector and is underpinned by responsible stewardship, operational excellence, effective capital allocation and cash certainty. Harmony has delivered a steady performance over the past decade, contributing to investor confidence and long-term trust. Our growth story is built on consistent delivery, higher-quality ore bodies, disciplined cost management, record cash flows and a robust balance sheet. It also sets the stage for a future powered by quality gold and meaningful copper. Our success has been built by keeping safety, sustainability and operational excellence as nonnegotiables. Copper, of course, provides a catalyst to our investment case through MAC Copper, Eva Copper and Wafi-Golpu. This will further enhance the portfolio and improve our quality across commodity cycles. Our success is built on trust and collaboration, and we remain focused on the needs and interests of all our stakeholders. This commitment positions Harmony as a partner of choice where we operate. Harmony has once again delivered a stellar operating and financial set of results. Safety is our priority. And despite the devastating losses in the second half of the financial year, our LTIFR is trending lower. In fact, we have managed to achieve the lowest ever LTIFR in our history, evidence that the strategy is correct and that our safety culture is improving. We have generated record high cash flows with adjusted free cash flow reaching just over ZAR 11 billion at a 16% margin. Headline earnings per share rose by 25% (sic) [ 26% ] to ZAR 23.37 per share, and we will pay a record final dividend of ZAR 2.4 billion. We hit the upper end of production guidance at 46 tonnes of gold or about 1.48 million ounces and kept all-in sustaining costs in line with guidance at ZAR 1.05 million a kilogram or about USD 1,800 per ounce. Our underground recovered grade guidance continues to increase. And at 6.27 grams per tonne, we exceeded the upward revised grade guidance as well. This performance is not a once-off. It reflects rather the structurally improved quality of our portfolio and the consistency and resilience in our operating model. Harmony has, for the second consecutive year, delivered record-breaking cash flows. While we have certainly been assisted by a record gold price, the main driver of our performance has been a combination of adding high-grade assets and investing in life of mine extension projects. We have delivered an unmatched performance with a 54% growth in adjusted free cash flow. This alongside cash is certainty, but also provides us with strategic optionality. It derisks our capital program, supports a consistent dividend and positions us to fund our various projects and value-accretive acquisitions. At Harmony, everything begins with safety. We ensure that at all times, we take safety personally. While the first half of the financial year saw us deliver our best safety performance ever, the second half was simply unacceptable in the modern era of mining and the lessons learned have been taken on board and incorporated. Encouragingly, our LTIFR is trending in the right direction, and FY '25 reached a company all-time low of 5.39 per million hours worked. One of our biggest risks is full of ground, where LTIFR has decreased by 25% over 5 years, even as we mine some of the world's deepest, most technically demanding ore bodies. Our journey to zero harm continues, and it continues with urgency, with unity in Harmony and with unwavering resolve. In order to ensure we achieve our goal of zero harm, we have moved from lagging to leading indicators. We are seeing faster A- Hazard closure times, hard evidence that our system is working. High-risk work verification means that the all clear is earned, not assumed. And this is how we turn intent into outcomes and outcomes into culture. The message throughout Harmony is clear. A safe mine is a productive mine, and we will never trade safety for tonnes. Quality mining is imperative across all our operations. I believe we are consistently getting this right, which is evident in excellent grade control and stable, predictable production. Underground recovered grades increased to 6.27 grams per tonne, driven by a phenomenal performance at Mponeng and a solid performance at Moab Khotsong as well. Despite the impact of safety stoppages and inclement weather in the second half, we still met the upper end of our guidance. In line with plan, group production decreased by 5% to 46 tonnes or 1.48 rather million ounces. Quality over volume is yielding results, and we mine smarter ounces and boost our resilience. All-in sustaining cost increases remain controlled and in line with guidance, rising 17% to ZAR 1.05 million a kilogram or about USD 1,800 per ounce. This reflects lower planned production, mine inflation, higher sustaining capital and royalties on stronger revenue. Because we are a rand cost producer, the stronger rand resulted in higher U.S. dollar reported cost. Even so, our investment case in quality has moved us down the global cost curve. We have expanded group adjusted free cash flow margins eightfold over the past 4 years whilst investing to sustain and grow high-quality ounces. Harmony has maintained its predictable cash operating cost base. Over 90% of our operating costs are rand denominated. Total labor and electricity costs make up 72% of group costs. Wage inflation is predictable under our 5-year agreement and power tariffs are regulated. Royalties contribute about ZAR 41,000 a kilogram to cash operating costs on the back of improved revenues and profitability. As a result, total cash operating costs increased by 9%, and that is as planned. On a per unit basis, costs rose by 15% given lower production as discussed. Our planning cycle and disciplined procurement keep cost outcomes within parameters, supporting margin resilience. This slide is very familiar, but it perfectly illustrates how we have transformed Harmony into a company with sustained higher margins. Through our various acquisitions and capital projects, the portfolio is now doing exactly what we designed it to do. High- grade SA underground and surface operations generate significant free cash with margins of 44% and 36%, respectively. Hidden Valley continues to deliver with margins at an exceptional 48%. Our optimized SA underground assets mine for cash at lower but positive margin, helping fund our growth and enabling us to extend mine lives responsibly. This portfolio balance is the engine behind record cash flow generation. Our FY '25 results reflect more than just numbers. They show our purpose in action. Sustainability is not an add-on. It's embedded in our planning, how we mine and how we grow. Independent ratings confirm this progress with our inclusion in the FTSE4Good Index for the eighth consecutive year. The MSCI upgrading us to BB ahead of industry average. CDP scored as A- for water stewardship, and we conform with the SBTi for our global climate goals. These achievements reinforce our commitment to responsible mining and long-term value creation. Operational excellence is how we turn plans into results. The goal remains simple, safe, profitable production. We have built a quality portfolio that is resilient by design. We have divided our operations into 4 distinct quadrants, each with its own plan, risk profile and strategy. This ensures we deliver as guided and extract the absolute best from our assets. Together, these quadrants give us stability and the capacity to reinvest into even higher quality ounces. Let's look at the high-grade operations first. Mponeng once again delivered a phenomenal performance with an underground recovered grade of 11.27 grams per tonne. FY '25 production from our high-grade mines increased by 8% to 16.5 tonnes, while grade improved by 10% to 9.89 grams per tonne. All-in sustaining costs increased by 9% to close to ZAR 860,000 a kilogram. These assets generated ZAR 8.8 billion in adjusted free cash flow at an excellent 35% margin. We are extending the life of these mines to around 20 years each with disciplined high-return projects. Once these projects are complete, Moab Khotsong and Mponeng both with recovered grades of around 9 grams per tonne will each produce 200,000 to 250,000 ounces annually at steady state. Important to note is that we expect a dip in production at Moab Khotsong from 6 tonnes to 4 tonnes between 2027 and 2031. This gap arose largely as the Zaaiplaats feasibility study was only completed after Harmony acquired the asset. At both Moab and Mponeng, we experienced challenges in securing contractors to assist with our projects. At Moab, we've successfully mobilized our internal teams to keep the project moving and maintain momentum. At Mponeng, after the liquidation of the contractor, it took some time to renegotiate the commercial terms to ensure long-term value and execution certainty. We have adjusted project sequencing to maintain progress and to minimize disruption. These actions are already yielding positive momentum. Further, we are progressing the very exciting 100-megawatt renewable solar plant at Moab Khotsong, which will reduce our reliability on Eskom and mitigate higher tariffs and energy inflation. Hidden Valley delivered another strong performance. In line with the plan, production remained steady at 5.1 tonnes at a recovered grade of 1.35 grams per tonne. All-in sustaining costs increased by 7% to ZAR 868,000 a kilogram. Free cash flow margins remained exceptional at 48% with ZAR 3.8 billion generated in adjusted free cash flow. CapEx remains focused on capitalized stripping, necessary fleet replacement and tailing storage facility development to sustain production. FY '26 priorities include life of mine extension studies beyond 2030 and the dewatering cyclone project to optimize TFS (sic) [ TSF ] deposition. Our South African surface operations remain a quiet powerhouse of low-risk and high-margin cash. Despite the heavy rainfall, which reduced production by 13% to 7.9 tonnes, margins stayed solid at 36%. As a result, all-in sustaining costs increased higher than planned to ZAR 853,000 a kilogram. We invested ZAR 1.4 billion on the projects at Mine Waste Solutions, which include the Kareerand TSF extension and the Mispah pump station to sustain and grow output. The Mine Waste Solutions extension project is largely complete and is delivering 100,000 ounces annually. We are improving flexibility and the mining mix at Mine Waste Solutions as well. As a reminder, we have a further over 5.7 million ounces in resources in old tailings dam in the free state alone. Our optimized underground portfolio produced 16.5 tonnes at 4.58 grams per tonne. All-in sustaining costs increased by 26% to ZAR 1.4 million a kilogram due to lower volumes following necessary safety stoppages, while still delivering ZAR 2.3 billion in adjusted free cash flow. The role of these assets is clear, mine for cash safely and predictably with improved discipline and flexibility. The priority in FY '26 is the Target 1 turnaround, which is now showing green shoots in terms of higher volumes and grades coming through. Our FY '26 guidance reflects consistency and confidence in our planning. Our planning is, of course, aimed at ensuring that we have safe, sustainable operations with safety and long-term viability are nonnegotiable. Production guidance remains steady at 1.4 million to 1.5 million ounces, a level at which we have shown that our ore bodies can deliver safely. Underground recovered grades stay strong at above 5.8 grams per tonne and all-in sustaining costs are planned to rise to between ZAR 1.15 million and ZAR 1.22 million per kilogram driven mainly by mining inflation and higher sustaining capital. Total capital rises to ZAR 12.95 billion driven by fleet replacement at Hidden Valley mine and advancing the projects Moab Khotsong, Mponeng and Mine Waste Solutions as discussed. We expect to close the MAC Copper transaction in October, pending tomorrow's MAC Copper shareholder vote. Later this calendar year, a final investment decision on Eva Copper project is expected as well. These catalysts could positively affect our outlook, and we'll share any updates with our half year results in late February. A detailed breakdown of our capital, production, grade and life of mine for each of our operations is included in the annexes. We have a visible sequence growth pathway to ensure a more sustainable, profitable business, which delivers long-term value. While copper is a near-term catalyst and a structural hedge that enhances portfolio durability, gold remains at our core. Our growth plans remain balanced and affordable and designed not to strain the balance sheet or execution capacity. It is focused on value and transforming Harmony into a higher-quality global gold and copper producer. Our portfolio is changing, not just in size, but importantly, in quality. We remain a gold-first company and gold continues to anchor our strategy. As optimized ounces taper, higher-grade gold and copper equivalents step in. Copper serves as a strategic lever. It's worth noting that based on our current planning assumptions, every 100,000 tonnes of copper equates to around 400,000 ounces in gold equivalents. We are not aiming for a fixed copper gold ratio in Harmony, rather, capital goes where there is value. We base our decisions on solid fundamentals, economic value and the strength of our Reserves. As per our current plans, by FY '35, we estimate that around 40% of production will be copper from Eva, MAC Copper and Wafi-Golpu. These are high-quality assets that complement our South African gold base. Our high-grade, high-margin assets are globally competitive. The excellent margins are as a result of higher quality ounces and lower unit costs. The SA optimized portfolio sits on the high end of the cost curve, mainly due to Target 1. The other 3 quadrants in our portfolio all operate at an all-in sustaining cost below $1,500 per ounce and generate meaningful cash flow at strong margins. As higher cost ounces are mined out and copper comes in, we naturally become more profitable. In May this year, we announced the acquisition of 100% of MAC Copper, a high-grade, long-life copper asset in Australia. We have received all the regulatory approvals and are now awaiting the MAC Copper shareholder vote, which will take place tomorrow. The court sanction hearing is scheduled for the 9th of October. Provided all the support and approvals are received, we will assume operational control towards the end of October this year. This transaction will be funded with a bridge facility and supported by our strong balance sheet. The asset offers over 12 years of reserve life with a pathway to more than 40,000 tonnes of copper per annum with a low C1 cost after byproduct credits. Importantly, it adds around 2.8 million ounces of gold equivalents in Reserves and is immediately EBITDA accretive. The Eva Copper project continues to advance steadily with a feasibility update target for the release before the end of 2025. We continue to derisk the project to protect value and progress execution readiness. Eva is strategically aligned with our long-term objectives and checks all the right boxes. These include a solid production mix of 55,000 to 60,000 tonnes of copper and around 14,000 ounces of gold as a byproduct per annum, a 15-year life of mine offering sustained value, competitive cost positioning on the global copper curve and a competitive capital intensity, enhancing project attractiveness. Eva consolidates 6 deposits and 10 open pits into a single integrated operation, feeding an 18 million tonne per annum concentrator. This is supported by a strip ratio of 1.6x. The flow sheet is based on conventional crush, grind and flotation and Mineral Resources continue to increase as we derisk this project further. In FY '25, Eva Copper Resources grew by 31%, while gold resources increased by 12%. This means Eva now holds approximately 8.6 million ounces of gold and gold equivalents. Allow me now to hand over to Boipelo Lekubo, our Financial Director, to walk you through the numbers. Boipelo?

Thank you, Beyers, and good morning to you all. Please note all U.S. dollar figures are in their [ measures ]. So FY '25 was another standout year. Net cash on the balance sheet surged by 285% to ZAR 11.1 billion, a clear sign of robust cash generation and operational excellence. As a result, headline earnings per share rose by 26% to ZAR 23.37. The main items which impacted earnings included the ZAR 3.5 billion increase in taxation and a swing of ZAR 500 million on ForEx and silver derivatives. Revenue grew by 20% to ZAR 74 billion from ZAR 61 billion on the back of operational consistency and the higher gold price received. Included in this figure is a ZAR 4.5 billion hedge loss relating to the realized effective portion of the hedge accounted gold derivatives. We continue to hedge up to 30% of our gold production over a rolling 36-month period to protect and lock in margins. This prudent strategy provides financial stability and flexibility during a phase of elevated capital investment. Our hedging table is available in the annexures. Net profit jumped 67% to ZAR 14.6 billion (sic) [ ZAR 15.6 billion ] from ZAR 8.7 billion, while EBITDA increased by 37% to ZAR 26 billion from ZAR 19 billion. Adjusted free cash flow increased by 54% to ZAR 11 billion from ZAR 7.3 billion in FY '24. And headroom has grown from ZAR 12.7 billion last year to ZAR 20.9 billion this past financial year. That is over USD 1.1 billion in available liquidity. This strength comes from our strong cash generation and efficient capital deployment. We are in an excellent position to fund our growth pipeline. It also positions us to act decisively on other potential strategic acquisitions while maintaining a conservative risk profile. We have the capacity, the flexibility and the discipline to continue delivering on our strategy. Harmony is well placed to fund the MAC Copper acquisition and Eva Copper build through a combination of existing cash and available facilities. Even after the MAC Copper acquisition, our leverage ratio peaks at just 0.4x net debt to EBITDA, well below our 1x internal threshold. At this stage, an equity raise is unlikely. Instead, we are pursuing a balanced mix of debt instruments to maintain balance sheet strength, optimize our capital structure and further lower our cost of capital. Harmony continues to strike a balance between delivering shareholder returns while investing in disciplined growth. Our balance sheet remains strong with low gearing and ample headroom. This gives us the agility to fund our CapEx cycle and take advantage of any opportunities. At the same time, we are rewarding shareholders. The dividend yield of 1.6% is supported by a 50% share price increase. We now have a market cap of approximately ZAR 180 billion or USD 10 billion. This is capital discipline in action, funding growth, maintaining flexibility and delivering returns. Our record total dividend payout of ZAR 2.4 billion demonstrates confidence in our cash generation and our balance sheet. We have declared a final dividend of ZAR 1.55 per share or USD 0.09 per share. This takes the total dividend per share in FY '25 to ZAR 3.82 or USD 0.21 per share. Returning cash today while building tomorrow is at the heart of our capital allocation strategy. Thank you. Over to you, Beyers.

Thank you, Boipelo. In conclusion, as we mark 75 years of Harmony, we do so with pride and our legacy and confidence in our future. We have a globally significant resource base of 136 million ounces in resources and 37 million ounces in Reserves in gold and gold equivalents. Our strategy of producing safe, profitable ounces is clear. We prioritize value over volume and invest in high-grade gold and copper and diversify geographically. This is aimed at protecting and growing shareholder value through responsible growth to the benefit of all our stakeholders. This is Harmony today, a gold mining specialist with a growing copper footprint, a company built on purpose and positioned for the future. We are not just mining ounces. We are discovering, developing and delivering metals that sustain the world and secure the next 75 years of success. Thank you for your trust and support as we continue to mine with purpose. Jared, over to you for any questions.

Thanks, everyone. Good to see so many familiar faces. Welcome. Do you have any questions?

Bruce Williamson, Integral Asset Management. Beyers, after your press release on Monday, I was listening to one of the fund managers on Channel 4 and 2, and being a bit critical saying that he doesn't like to see companies high grading when the gold price is high. And in particular, can you just look at Mponeng where you're going through the East and West blocks that are high grade. And I mean, you can -- stoping crews can only mine what's in front of them. You can't mine resources. Can you just take us through, I mean, how much longer will that grade stay above 11? And you alluded to coming down to 9 on average between the 2 mines, the big ones? Would it be a sudden fall? Or would you gradually bring that grade down?

Thank you for the question, Bruce. Just Harmony is not high grading. Harmony is mining, particularly at Mponeng in a mining method, which we call the sequential grid mining method. It is actually a very rigid mining front, and it's designed to ensure that mining is done safe and that you don't trigger unnecessary geotechnical events or seismicity. So you're in the reformation. So mining out of sequence or trying to chase high grades would be unsafe to do and also responsible to do. So we -- what we have at Mponeng is we see overperformance on the planned reserve grade. Now how we need to think about Mponeng going forward is that we need to think about Mponeng as at the reserve grade. I mean that is the stated grade. Yes, we've seen positive delta or positive outperformance on the reserve grade. But I mean I can't go and adjust the reserve grade based on proven and techniques that we've always used to evaluate these ore bodies just because I'm for a period having higher grades. So where we're mining today, we still have good grade, and we'll continue to have good grades, but we need to think about it in line with the reserve grade. That's the important thing at those 2 assets. What we do, however, from a grade management point of view, Bruce, is we see grade as a -- grade improvement rather as a little bit of a hedge against cost inflation. So what we don't do is the inverse. We also don't drop our cutoff grades when gold prices are high. Because for those of you that understand the technical aspects is an ounce that you develop today, you only mine in 2 years from today. So if you have these good gold prices and you drop your cutoff grades, you develop into areas that are lower grades. By the time you get there and you have to mine those lower grades, the gold price is maybe different than it is today. So we're trying to keep cutoff grades constant and trying to maintain our grade. And if we then see these areas of overperformance, like in the case of Mponeng, it just gives us that extra little bit of lift against the pressures of cost inflation, of course, with good cost management and cost discipline and cost control.

[ Tulidi ] from [ Rotary ]. Just 1 quick question for me. Has the opportunity cost with regards to Wafi-Golpu, has the opportunity cost been analyzed, with regards to the delay that's there? Has it been taken into account over the years? I would presume that there were other opportunities available in the interim over the years. Has that been analyzed, the opportunity cost of the delay?

Yes. Thanks for the question. Great question. I think the opportunity cost on that asset, not only for shareholders and Harmony and managers and stakeholders, but also the Papua New Guinea people has been enormous, the delay in getting that project over the line. But if you look at the macroeconomic environment or the macro context and you look at a scramble for large-scale bulk copper mines at the top end of the ore bodies in the world, there's an absolute scramble and people are paying top dollar for big copper mines going forward. And Wafi-Golpu is one of those. It's a Tier 1 copper-gold bulk block cave mine. That is an exceptionally valuable thing. And the way we think about it, albeit frustrating, the -- getting through the mine development contract and the SML with the Papua New Guinea state negotiating team and the government with our JV partners, Newmont, we believe it is worth the wait. I mean that is a phenomenal ore body. So yes, our management team is working very hard, great alignment between ourselves and Newmont in terms of trying to get that mine development contract and special mining lease over the line. But we are still not there yet, unfortunately.

Arnold Van Graan from Nedbank. Two questions from my side, if I may. So the first one is on MAC Copper. How does that look under Harmony? And what I mean with that is, are there a lot of operational changes and CapEx changes that you see to get this on spec with the rest of your operations? And then the second question, I mean, you've showed us you still get a meaningful contribution from your optimized assets. But the margins remain fairly low. I think year-on-year, it's down, in fact, despite the changes in the gold price. So my question is, how much flexibility do you have there to maintain that margin and keep that positive should either the operating environment change or the pricing environment?

Thanks, Arnold. I'll start with MAC. So we haven't got the keys yet. The vote is tomorrow. The way we think about MAC is we will -- once we close the transaction or we're optimistic that we will do, that will be in October. We will spend in November and December, putting MAC through the detailed technical analysis planning process that we've been accustomed to at Harmony. We believe a lot of our operational consistency is as a result of the way we look at the technical aspects at the onset and the planning. So we'll do exactly that if we close in October. And we said that we will, in February, when we do our first half year results, we will update the market on the outlook for MAC Copper for the second half. So at the moment, I mean, there's nothing in the guidance for MAC. We'll spend the latter part of the year going through the planning process and guide in February what we think production would look like. As to some of the technical challenges at the mine, Yes, it's right up our alley. The mine is ventilation constrained and there is some flexibility challenges. There are, from what I've seen excellent plans in terms of mitigating those challenges that MAC Copper is working on. Those plans would actually have to be seen through. But Harmony would take our own view once we've gotten the keys. We -- what you -- when you look at an old mine, you would think that it's a dilapidated mine, it's tired. I've been out to the mine 3 times already. It's actually quite the contrary. The mine is in good nick. I mean credit to the current owners. They've spent significant amount of capital on -- they did a mill replacement there, ventilation infrastructure, refrigeration plants, winder upgrades and things. The mine is from a housekeeping point of view and quality infrastructure point of view in very good nick. So pretty much in Harmony where we say that old doesn't necessarily have to be dilapidated and tired. So we're excited to close the transaction and to get stuck in and to bring the Harmony philosophy and Harmony operating model to MAC. On the optimized assets, our optimized assets, albeit they are in the optimized assets quadrant, they are subject to the same flexibility planning tools we use, the Iceberg philosophy, we've spoken about on many occasions. So we manage the flexibility per mine, whether you're an optimized mine or Mponeng or a surface mine, the necessary flexibility is nonnegotiable for us. Hence, if you look at our sustaining CapEx we're spending, there's quite a lot of sustaining CapEx going into the ore reserve development at these mines. Again, what we don't do is we don't want to go and target areas that were previously closed off that could be unsafe or areas that are lower grade because of these good gold prices. But we keep on rolling these mines over. As long as we can find acceptable grade and safe areas to mine, we will continue to do that. I mean Masimong Mine is the one mine that's had a 2-year life of mine for the last 10 years. And that is how we roll these assets over. They do not, at the moment, attract significant amounts of major capital investment because of the lower margins and the lower grade, but sustaining CapEx definitely to roll them over. It's still a significant part of our production mix. I mean it's still big in our life. And like any other mine in the Harmony stable, I mean, important to us.

Any other questions? Do we have any questions on the Chorus Call?

Yes, sir. Question comes from René Hochreiter of NOAH Capital.

I see on your production profile that you've got on Slide #22. There's a bit of a gap between 2030 and 2035 production gap to keep you at 1.5 million ounces. Is that where you're planning to put MAC Copper to fill that gap? My second question is, could you give us a quick update on Target? I see your guidance for Target is nicely up compared to last year. And then thirdly, the sustainable grade that Bruce asked about, 6.27 grams a tonne that you're managing underground. It comes from Mponeng. Mponeng, I assume you're mining the VCR. The VCR is very channelized. And how long will it take before that 11.72 grams (sic) [ 11.27 grams ] a tonne will come down again to sort of the average of the ore body? Is it going to be like a year or 2 or shorter than that? That's all.

Thanks, René, for those questions. So I'll address the gap first. No, I mean, the gap is not where MAC will come in. MAC is already in the graph on that slide, CSA Copper, the dark gray in the middle there. But what is important to notice when you look at this grade is that's a production profile. It's not necessarily a value profit or EBITDA profile. I mean the quality of the ounces we'll be mining despite lower production in that period is vastly better because you see how the optimized assets basically taper down. And that is what results in that gap there. Of course, implied in that gap area there is this 6 tonnes to 4 tonnes on Moab Khotsong with the Zaaiplaats project being a little bit later. But on the slide now, you can see how the red, which is high-cost production, is actually tapering down. So it's a production profile and production is important, but certainly value is more important for us. The Target update, yes, the recapitalization is complete. The time for delivery is now. We're starting to see some green shoots there on the infrastructure starting to work. We did suffer a few delays in the second half of the year, which we reported on in this deck. It seems like we're over most of those now. But yes, so Target, we look forward to Target being better. I mean that was a standout mine on the negative. Because it went through the recapitalization, that mine was not positively contributing, and we certainly do look forward to get Target to contribute this year. As to the grade, that's a very difficult question. I try to answer, I can't predict for how long Mponeng will be at 11 grams per tonne, unfortunately, René. Long may it last is obviously good, but we need to think about Mponeng in line with the stated reserve grade. I mean that is what our geostatistical models deliver, and that is what we need to think about it. Yes, we're mining the VCR and why the grades are so good is we're mining 2 half levels on 123 and 126 in the high-grade pay shoot on the east and the west of the mine. So it was always known that we would be in these high-grade areas and mining would eventually mine out of the pay shoot, and that's when grades would be a little bit lower. But again, the grades are being broken and blasted there today are still very strong and still very, very, very good.

So if I put into my model about 9 grams a tonne in 2 years' time, would that be fair?

The reserve grade, René, is how we should think about the grade at Mponeng.

We have no further questions from the lines. Thank you.

Beyers, I think we're done. Thank you.

Thank you, everyone.

Good morning, everybody. My name is Beyers Nel, and it is a privilege for me to present my first set of results to you in my capacity as CEO. I'm joined today by our Financial Director, Boipelo Lekubo in presenting the operational and financial results for the half year ended 31 December, 2024. Please take note of our safe harbor statement. Harmony delivered a stellar set of interim results. Our underground recovered grades increased to 6.4 grams per tonne ahead of our full year guidance. Group production was about 25,000 kilograms or 800,000 ounces for the first half also ahead of guidance. Our all-in sustaining cost remains well controlled and on track to beat guidance too. In rand terms, all-in sustaining costs was about ZAR 972,000 a kilogram or just under US$1,690 per ounce. All-in costs for the reporting period, which includes our major capital was just over ZAR 1 million per kilogram, or US$1,810 per ounce. And it's because of our relatively low capital intensity that this is not much higher than the all-in sustaining costs. We generated record interim operating free cash flows of ZAR 10.4 billion, or US$579 million. The operating free cash flow margin has expanded to 29% as a result of our investment in quality ounces, and of course, the high gold price we received. Our headline earnings per share has grown by 33% to ZAR 12.70 per share, or US$0.71 per share and we are delighted to announce a record interim dividend payout of ZAR 1.4 billion for the half year. As South Africa's largest gold producer our goal is to produce safe profitable ounces and improving our margins by delivering on our four strategic pillars. Responsible stewardship is at the heart of our actions and is core to our decisions. Operational excellence inspires us to do better and be better every day. Cash certainty is not only important to our shareholders and stakeholders, but also to us. As such, we manage our costs and focus on improving our efficiencies. For capital allocation to be effective, we take into account human, social, resource and financial capital amongst others. Our decisions are made for the long-term benefit of all our stakeholders. To maximize value, we have grouped our assets into four quadrants, each with its own risk profile and specific role in contributing towards our growth strategy. These quadrants are: firstly, our South African high-grade underground assets, our high-margin, low-risk South African surface and tailings retreatment operations, our international copper-gold portfolio, and our South African underground optimized assets. With our specialized mining skills and unique operating model, we believe we are well positioned to unlock further value in our gold and copper assets going forward. At Harmony, everything begins with safety. We are embedding a proactive safety culture focused on leading indicators, as we continue on our journey to zero harm. Recent events remind us, we must do more, with urgency, with unity, and with unwavering resolve to achieve this objective. We are resolute in our determination to ensure that every Harmonite returns home safely every day. We are intentional about safety and take personal ownership to ensure that our workplaces are safe. The necessary systemic changes have been implemented throughout the company, and we continue to develop safety leadership through our humanistic culture transformation program called Thibakotsi. We're also conducting regular executive visible felt leadership initiatives, to reinforce the importance of safety. Fostering a safe culture, remains an ongoing journey for us. We are encouraged by the long-term improvement in our lost time injury frequency rate to 5.52 and a loss of life injury frequency rate of 0.02 in this half. This reinforces our belief that 0 loss of life is indeed possible. Moving to the operational highlights. Solid mining discipline has resulted in excellent grade control and consistent predictable production. Recovered grades at our South African underground operations increased to 6.4 grams a tonne. This performance has been driven primarily by our high-grade mines in Mponeng and Moab Khotsong. With good momentum and consistent delivery at most of our mines, we are pleased that the total production remains on track to meet the upper end of our full year guidance. Cash operating costs are predominantly rand-based and remain well managed. The majority of our costs comprise labor and electricity in South Africa. And a five-year wage deal was signed with our unions last year, while baseload energy supply from Eskom is regulated. As a result, our cost increases are largely fixed and predictable. Total cash operating costs in rand terms increased by 9% in the first half. This increase was in line with plan and mainly due to annual inflationary increases. The unit cost cash operating cost per kilogram increased by 14% to about ZAR 814,000 a kilogram or about USD 1,400 per ounce, due to inflation, planned lower production at Hidden Valley and lower production at the South African optimized assets. Royalties increased by 46% due to the higher gold prices which have improved revenue and also profitability. All-in sustaining costs remained under control and we are on track to meet full year guidance. This is mainly due to our embedded cost controls, high recovered grades and byproduct credits we received from uranium and silver production. Our all-in sustaining cost for the first half of the financial year was just over ZAR 970,000 a kilogram or about $1,690 per ounce. Our investment in quality ounces has moved us down the global cost curve. So Harmony is a transformed company delivering consistently higher margins. This is a result of disciplined capital allocation and sound cost controls. The Harmony portfolio has changed significantly having derisked and is delivering improved profitability. Our operating free cash flow margins at Hidden Valley have remained exceptional at 50% and this mine contributed 17% towards group operating free cash flow. Margins at the South African high-grade operations increased to 40% with these two operations now contributing half of group free cash flow generation. The South African surface operations continue to perform well with margins doubling to 34% year-on-year. The margins at our South African optimized portfolio remained flat at 11%. These mines continue to make a valuable contribution to our free cash flow and play a vital role in funding our growth aspirations. We at Harmony are on an exciting growth path and have clearly mapped how we will achieve our plans. Maintaining a disciplined and responsible approach to capital allocation is critical in creating long-term value. Not only does this drive growth, but it increases shareholder and stakeholder confidence. We have a balanced capital allocation framework focusing on five core areas to ensure alignment with our values and our goals. We will always prioritize safety as we work towards zero harm. This goes hand-in-hand with productivity enhancements and is in line with our belief that a safe mine is a profitable mine not the other way around. We have built a strong balance sheet which is in a net cash position and our major capital is directed towards derisking our portfolio by investing in our higher-grade surface and international assets, all aimed at increasing the quality of our ounces and improving our margins. This is evident in our expansion projects at Mponeng Moab Khotsong, our South African surface retreatment operations and Eva Copper. Value-accretive M&A is intrinsic to our strategy and we are actively pursuing opportunities to improve the quality of our portfolio further. We are in a position to pay a consistent dividend in line with our dividend policy, ensuring that we reward our shareholders alongside achieving our growth aspirations. Our approach to capital allocation is reaping the necessary rewards and we intend maintaining this disciplined approach. Our aim is to improve the quality and profitability of our portfolio over time, ensuring higher quality reserve conversions with improved free cash flow generation. This production profile illustrates the evolution of our production mix from where we are today to where we are planning to be in the future. As we mine out our optimized assets represented by the red section, the quality of our ounces improves. The introduction of near-term copper through our international projects will drive margins higher over time. These charts illustrate how the production changes -- production mix rather changes and how Harmony will become an even more profitable derisked and diversified company over time. Harmony has taken the strategic and deliberate decision to invest only in gold and copper. These complementary metals offer countercyclical diversification and provide a natural hedge against volatility. The combination offers a strategic balance between safe haven investment in gold and global demand for copper. They also offer synergies in production, particularly in geological proximity and copper-gold porphyries, like Wafi-Golpu. Both these metals have solid fundamentals driving demand and growth, which tie in well with our project pipeline. By focusing on these two metals, we are creating a focused, efficient and more profitable harmony with exciting long-term growth prospects. As we mine out the optimized assets and bring on quality replacement and growth ounces, we expect the contribution from these marginal assets to decrease to around 9% of production over time. In turn, our international gold-copper, the South African surface source operations will represent a far larger portion of production offering a lower-risk asset portfolio. This clearly illustrates how we have reengineered the company. To ensure we achieve this plan, we are allocating the bulk of our major capital towards these projects that will result in margin expansion. For this financial year, we are investing over ZAR2 billion at our high-grade projects, Moab Khotsong and Mponeng. We have over ZAR1 billion earmarked for our high-grade or high-margin surface operation projects, mainly at Mine Waste Solutions. The Hidden Valley mine has been allocated close to ZAR600 million and studies are underway to determine if we can extend the life further by expanding existing tailings storage facilities. This demonstrates our clear intention to improve the quality of our portfolio whilst paying dividends at the same time. The acquisitions of Mponeng, Moab Khotsong and Mine Waste Solutions were transformational for Harmony. This is evident in our overall improved results. We are, therefore, investing in these transformative assets to ensure they continue creating value for years to come. Phase 1 of Kareerand tailings storage facility expansion at Mine Waste Solutions was delivered on time and on budget. Phase 2 is currently underway and we expect to have it completed before the end of calendar year 2025. Mine Waste Solutions' steady-state production is over 100,000 ounces over its life per annum. The projects at Moab Khotsong and Mponeng are progressing well and will extend the lives of these mines to at least 20 years. These projects have added a combined 5.2 million ounces of gold reserves and will ensure steady-state production at Moab Khotsong of over 200,000 ounces and at Mponeng of over 250,000 ounces per year. Both mines will deliver an average recovered grade of about nine grams per tonne. These projects demonstrate our commitment to gold mining in South Africa ensuring that they continue delivering excellent margins at a low all-in sustaining cost for years to come. The feasibility study update at Eva Copper is progressing well. We have completed the technical aspects and are awaiting the final permitting amendments. Eva Copper is now expected to produce between 55,000 and 60,000 tonnes of copper per annum and 14,000 ounces of gold as a byproduct over its 15-year life of mine. Conceptually this translates to a mine of a similar size to some of our high-grade underground assets. The all-in sustaining cost is anticipated to be in the middle of the global industry cost curve and we are targeting first copper in 2029 calendar year subject to the completion of the study and Board approval. At Wafi-Golpu, negotiations of the special mining lease are ongoing. Our comprehensive project pipeline is well-sequenced and manageable. Our timing is deliberate and ensures project capital remains affordable and does not put pressure on the balance sheet or on our capacity to deliver successfully. These projects are catalysts to meaningfully sustain production and expand our margins while driving costs down. We have a clear strategy and a clearly mapped pathway to becoming a global leader in gold and copper mining, producing higher quality ounces and delivering higher shareholder returns. Allow me to hand over to my colleague and Financial Director, Boipelo Lekubo to discuss the financials. Over to you Boipelo.

Thank you, Beyers, and good morning to everyone. Please note that we report in rand and select US dollar figures are included in the annexures. Harmony delivered an exceptional financial performance and outstanding earnings growth during this interim reporting period. This was on the back of operational consistency and a higher average gold price received. Group revenue increased by 18% to ZAR37 billion, mainly due to the 23% increase in the rand gold price. Net profit increased by 33% to ZAR7.9 billion, while the rolling 12-month EBITDA increased by 28% to over ZAR22 billion. The strong operating free cash flows we continue to generate resulted in our balance sheet shifting further into a net cash position of ZAR7.3 billion. Headline earnings per share increased by 33% to ZAR12.70. Harmony's investment in quality ounces has resulted in record operating free cash flow generation in this interim period. We've also delivered an impressive threefold expansion in margins since FY 2022. Total operating free cash flow for the group increased by 46% to ZAR10.4 billion or US$579 million in the first half of this financial year, while the gold price has been a significant tailwind, our ability to deliver to plan alongside the transformation of our portfolio has enabled us to deliver yet another strong financial performance. High operating margins have boosted our balance sheet and we're well positioned as we head into the second half of this financial year. This is evidenced in our ability to produce to plan and the average of the higher gold price we received rather. Gold prices have further increased to around ZAR1.7 million a kilogram compared to the average of ZAR1.4 million per kilogram we received during this reporting period. Our planned FY 2025 total capital intensity remains affordable at around ZAR225,000 a kilogram or $415 an ounce. We continue to protect and lock in margins through an effective hedging program. We typically hedge between 10% and 30% of production over 36 months as per our 30, 2010 program limits. So please refer to our hedging table in the annexures for more information on that. Our net cash position has increased significantly to ZAR7.3 billion over the past 30 months. EBITDA growth has been excellent and our 12-month rolling EBITDA is currently at ZAR22 billion. Given our comprehensive project pipeline, which includes the highly anticipated Eva Copper project in Australia, we are strengthening our balance sheet. We have almost ZAR18 billion or US$1 billion in headroom, made up of cash and undrawn facilities. We remain flexible and agile should we need to deploy capital. As it relates to the project that Beyers referred to earlier, we've been able to comfortably fund the various capital demands within the company. As it stands we're able to fund Eva from our own cash flows and available facilities. Our balanced capital allocation framework, solid cash flows and balance sheet strength have once again allowed us to pay a dividend. Our dividend policy ensures we're able to reward our shareholders alongside achieving our growth aspirations. We are pleased to declare a record interim dividend of ZAR2.27 or US$0.12 per share. We continue delivering geared year-on-year dividend increases. Total cash returned to shareholders in the first half of FY 2025 is ZAR1.4 billion while we've returned over ZAR4 billion to shareholders since FY 2021. This demonstrates confidence in our plans and our cash flows. Allow me to hand back to Beyers to conclude. Thank you.

Thank you, Boipelo. Harmony has a derisked and diversified asset portfolio offering near-term copper optionality. We are South Africa's largest gold producer and have close to 75 years of specialized gold mining experience in South Africa. We have been operating in Papua New Guinea for over two decades with a presence in Australia over the same time. We delivered a strong first half performance and reiterate our full year guidance. Harmony continues to generate stellar cash flows and our balance sheet is robust, flexible and in a significant net cash position. The gold price has continued to rally, further enhancing our strong financial position. We however remain disciplined and responsible with our capital allocation and we will not deviate from our risk-based approach to decision-making. Having a balanced approach to capital allocation will enable us to deliver on our growth aspirations and ensures we continue to create real, long-term value for our shareholders and our stakeholders. This to us is mining with purpose. Before we take questions, I would like to thank each Harmonite for their dedication and commitment towards ensuring we consistently achieve our goals safely. I would like to thank our Board, shareholders and stakeholders for their continued support. I thank you. Jared, we'll now take questions from the audience.

Sure. All right. Arnold, we'll start with you.

Yes. Good morning, everyone. Arnold Van Graan from Nedbank. Beyers, again congrats on a stellar set of results. And this sort of adds on to the question and where I'm going with it. So you've been part of the Harmony journey and you showed the progress over time, where you've transformed the company and doing very, very well. So my question is what change do you bring to the CEO role, looking at the base, looking at what you have, what do you change? What will change from a strategic perspective and I guess the way the company is run and operated? Thank you.

Yes. Thanks, Arnold, tough question. I think the job of any manager, any CEO is to create value for shareholders. So we as a management team have had a breakaway. We've got a scheduled Board bosberaad, where we will map a clear pathway around what we see in the future. I am extremely excited about the future that Harmony holds, given the ore bodies we already own. If you think of Harmony today and Harmony in 10 years from today with the ore bodies we already own, if we bring those ore bodies to fruition and we build those mines as we alluded to Harmony is going to be an even better company in my view than it is today. So yes, Harmony is on a high. I've been part of the journey. We've got a phenomenal management team. I think this team have got a can-do attitude Arnold, and the team has got resilience in the sense that we want to take the company even further from here. I guess it is a question. If it isn’t broken, don't try and fix it. So we will be responsible and balanced in the way that we take our decisions forward. We've seen the value that that brought with re-rating the Harmony stock over the last few years around what we have been doing. But we as managers are not just here to maintain the status quo, we need to make sure we add value to our stakeholders and our shareholders.

Questions? Do we have any questions on the line from Chorus Call perhaps?

Yes. We have questions on the line. The first question we have is from Adrian Hammond of SBG. Please go ahead.

Thank you, operator and good morning, Beyers. I'd like to ask you about shareholder returns. So your dividend policy is quite clear. But as you ramp-up the CapEx for Eva certainly we'll detract from dividends. But I see within six months' time you should have enough cash to fully fund Eva. So how do you think about returning value to shareholders if your dividend policy isn't really aligned? Thanks.

Thanks, Adrian. We see value to shareholders as a combination of dividends and also share price appreciation. And, yes, indeed we are gating Eva Copper through our Board later this year. That is a key catalyst for us in terms of taking stock of where we are with the position we are on the balance sheet. So it's early to comment now. That pathway we have in terms of the Eva project lying ahead I think we just want to get through that and then take it from there. Our operations continue to have good momentum and that will stand us in good stead going forward.

Okay. So perhaps special dividends down the line?

It's too early to comment on that. We've got a stated dividend policy Adrian that talk about 20% of net free cash. And we've got Eva Copper coming up and we first want to get that done.

Understood. If I can just follow on then with the profile you gave us. One of your slides certainly talks to a bit of a gap coming through. How should we think about opportunities to fill that gap in terms of M&A? Are you going to pursue assets that are in operation? And we have seen some news flow with Harmony mentioned pursuing certain assets in Australia. So perhaps if you can just give us some understanding of what opportunities you're looking at there? Thanks.

Indeed, Adrian. Firstly I mean what we show on the screen is production. That's not necessarily profit or value or earnings. I mean you did notice that the quality of the assets improve as we get into the valley that we've got in the production profile there. So we're under no severe pressure to do anything at any given time. I mean the quality of the ounces that remain as the optimized assets mine out will ensure that there's a healthy contribution in terms of the profitability of the company. We continue to look at M&A. It is something that we keep an active brief on. I mean at the moment gold prices are at record high and it's important that we find value. And if we don't find value we don't do anything. So we intend to keep that disciplined capital allocation. I think we saw how good it was for Harmony in the last few years and that's the approach we want to intend to keep going forward Adrian.

Thanks, Beyers. And, yes, well done again on a very set numbers.

Thanks, Adrian.

Any other questions online?

Yes. We have a question from René Hochreiter of NOAH Capital. Please go ahead.

Hello, again Beyers and team. Just following on that value of that dip in production that Adrian was talking about just now. There's two ways of possibly filling it improving the asset quality of your company. How far beyond 6.4 grams a tonne of recovered grades underground, could you push your grades? And secondly would it be at all possible to move Wafi-Golpu forward by about four or five years to fill that gap?

Thank you, René. René pushing harder than 6.4 grams a tonne would affect the sustainability of these quality ore bodies. And given our capital allocation decisions on these ore bodies, we are in it for the long-term. We want to create maximum value over the life of mine. And to do that one needs to mine to the average grade of the ore body. And in particular at Mponeng, you don't have that much flexibility. You mine the sequential grid mining method to maintain your mining fronts and keep the seismicity ahead of the faces. So high grading an ore body like Mponeng would have a value destruction in the longer term. So we won't be doing that. We like to mine and optimize the ore body to the average reserve grade. Your second question, apologies, René, could you just repeat that?

It's Wafi-Golpu. I know we've been working for it for a long time. But is it in any way possible to push it forward by five years or bring it forward by five years?

Yeah, René, we wish we could. I mean, that's a phenomenal ore body. It is in the process of concluding the permitting of that asset. And just briefly for the audience, what you have is from the day that you actually have the permit in your hand, you've got a maximum of 30 months for FID. So that 30 months is then used to update the feasibility study sort out your funding options. And that is the three partners remembering that this is ourselves, Newmont and PNG as a state through Kumul and the landowner participation. So yes the key date is that permit. From the permit the maximum of 30 and then into construction. So yes we're very excited about that asset René. It's a quality Tier 1 copper-gold block cave mine. So the quicker we can bring that to value for our shareholders the better.

Thanks very much. Thanks, Beyers.

Any more questions?

We have no other questions on the conference call.

Thanks, Beyers. I think mine is more into the structural review of the Executive Committee. And I mean, it's a role that you've previously held of the group COO. And one would check that, because I don't see that on the structure does then suggest that that responsibility then gets delegated to the various units or areas or whatever division. And does it also mean that that was a transitional role so that we can be able to ensure that there's a balance in the organization?

Felix, thanks for the question. How we respond to that is structure always follows strategy. So it's important for us as an executive team and a management team to clearly embed what we want to do on the strategy and then find the optimum structure to fulfill that strategy. As to the team, we have got a phenomenal and world-class management team in Harmony. We are proud of who we got. If you look at our photos we are proud of the diversity, we have the gender diversity race diversity as well as diversity of thought and intellect. So this team is a phenomenal team. I mean, the results that this business came up with over the last few years is testimony of not one single person or a CEO or anything like that it's a collective effort from a whole team. We have announced a Deputy CEO, with the CEO announcement. So the Group Chief Operating role for now, I don't necessarily see that we would need something like that. I mean, Floyd Masemula is the Deputy CEO in charge of the South African business. And depending on how the business grows from here, we will reevaluate that. But it's important that one takes structured decisions after you have clearly defined where the business is going.

Are there any more questions online?

We have a question on the conference call.

Okay. Go ahead.

Question is from Felicity Robson of Bank of America. Please go ahead.

Thank you for taking my question. Grades at Hidden Valley have seen a step down this year compared to last. How can we think of grades for the rest of the year and going into 2026?

Thanks Felicity. Yes, as guided, in the previous period, we mined a high-grade part of the ore body called Big Red. We did guide that we will mine through that area and that grades would normalize to the stated grades and the guided grades. So, the grade drop at Hidden Valley was anticipated and guided. So, going forward I mean we've got the guided grade that is out there for Hidden Valley. So, that's a good benchmark to work from Felicity. And then there's obviously also the reserve grade which is also part of the deck and the annexures.

Okay. Thank you.

Arnold?

Yes Beyers a question on Eva. Eva is very important for Harmony. So, executing that on time within budget will be transformative. But it is different, right? It's a different jurisdiction. You're very good miners. You've done a lot of projects in South Africa but I still get a sense this is a different type of mine in a different jurisdiction. So, just give us some comfort around the execution and how you see that and how you see that risk and how you're going to manage that to make sure that in a year from now two years from now we're sitting here, Eva has delivered as planned and that there's no major hiccups. Look it's mining and it's a project. There are those things. But I guess this must be high on your agenda or things that you absolutely have to execute spot on? Thank you.

Spot on Arnold. I mean it is a greenfield project in a well not so new jurisdiction. People forget that we've had a presence in Australia for 20 years already and we included in today's presentation from where we support the PNG operations. So, we've got some fantastic human capital sitting idling in Brisbane, supporting one mine in Papua New Guinea. And what one must also maybe keep in mind is a lot of the resources that were involved in the Wafi-Golpu work, I'm talking about a few years ago when there was momentum in terms of the study and the project work has been allocated to the Eva project study work. So, we've got phenomenal human resources in the Brisbane office. These guys are ready to go. I mean they can't wait to build this mine. But you are quite right, I mean we haven't built a big greenfield mine for some time in Harmony. So, it is a different animal. It's a different thing. We are trying to derisk the project as much as we can in the planning side, on the input side, similar to what we did when we overhauled the production process, eight or nine years ago Arnold and to capacitate that properly. So, a lot of work is going in to professionalize our PMO capability our project management office capability. And we as a management team have realized that we've got a little bit of catch-up to play in that space and that work is happening now. So, at the time we get to gate it through the Board, we'll be ready to launch on executing that project. It is a fairly short-term build probably about three years. So, it will be fairly capital-intensive, albeit, we're comfortable that our position we are in can fill the capital, but it's probably a three-year capital spend. Pretty vanilla in the sense that it's an open cast mine with a standard flow sheet plant. So it's not something that's on the leading edge of technology that hasn't been done ever before in the world. So it's a proven flow sheet, proven technology and we're comfortable that with the work we are doing now we could give ourselves a good chance to get that right, Arnold. But yes, it is. I mean, a key KPI of this management team will be executing projects and executing projects well going forward, and particularly Eva Copper is the first one. Wafi-Golpu, the big prize later.

Thank you. That's it for me.

Beyers I've just got a question which has come through online from Wilhelm Hertzog at Rozendal Partners. I just wanted to ask in terms of the special mining lease for Wafi-Golpu it's been almost two years since the MOU was signed the framework MOU. Just want to touch on what are the remaining sticking points? So what is actually holding up the process?

Yes. Thank you for the question. It's been much longer than two years coming. But how one should think about this? If you look at permitting of greenfield projects in many jurisdictions globally today you look at 15 to 18 years. I mean, that is how long it takes to bring a big new mine into production. So, Wafi-Golpu, I wouldn't say is that much different if you look at it relative to that. Yes, it is frustrating. Yes, we would have wanted to be further down the track. What is holding up the process is getting the -- remember the state have got an option to exercise up to 30% equity in the project. And it's about splitting the pie in an equitable manner between the parties the two JV parties and the state. The state's portion being 20% Kumul, the state-owned mining company and 10% the landowners. We are saying it is worth the wait. I mean, it's a phenomenal asset. It is also a mining lease in Papua New Guinea has got 40-year tenure. And in the 40 years PNG has showed that they do not deviate from the conditions as set out in that permit. So it's a 40-year marriage. You can think of it as getting the prenup right in terms of making sure that this relationship between the three parties can bring this mine as good as it could be into fruition for the benefit of not only our shareholders, but obviously our shareholders and all the stakeholders. I mean, I think that mine would bring meaningful economic change to a country like PNG. So, all I would say is aligned. Ourselves and our JV partners are fully aligned in terms of progressing the permitting process and it's just getting through the bureaucracy of actually getting everybody over the line.

Thank you. Do we have any more questions from the audience? Online anything?

We have no questions on the conference call.

All right. Great. I think we can conclude there. So, thank you very much for all who joined today. It's been a pleasure. And thank you Beyers and Boipelo for presenting today. If you do have any further questions, please reach out to the Harmony Investor Relations team, and we will help you out. Thank you very much. Have a good day.