Harmony Gold Mining completes R18.4 billion acquisition of MAC Copper

Harmony Gold Mining Company, which has ended its 2025 year to June 30, with R11.1 billion in cash, said Friday it has completed the R18.4bn acquisition of MAC Copper, securing full ownership of the CSA mine and unlocking immediate copper production.

MAC Copper owns the high-grade CSA copper mine in New South Wales, Australia. Harmony is South Africa's largest gold producer and its chairman Patrice Motsepe said in the integrated report released Friday, that they expect copper will contribute around 40% of group production by the 2035 financial year, ensuring structural resilience through commodity cycles and aligning Harmony with global decarbonisation trends.

The MAC Copper transaction, first announced on May 25, 2025, was implemented Friday via a Jersey law Scheme of Arrangement. Harmony acquired 100% of MAC's securities at $12.25 per share, implying a total equity value of $1.01bn (about R18.4bn).

The transaction was funded using cash reserves and a $1.25bn bridge facility. MAC Copper had acquired CSA Mine in 2023 from Glencore for $1.1bn.

“The completion of this acquisition marks a significant milestone in our strategy to grow into a global gold and copper producer. CSA is a high-grade, long-life copper asset located in a Tier-1 jurisdiction. This asset will meaningfully enhance our business and support our long-term growth," said Harmony CEO Beyers Nel in a statement.

Harmony marked its strategic entry into copper with the acquisition of the Eva Copper Project in Australia in 2022, and the Wafi-Golpu joint venture project with Newmont Corporation in Papua New Guinea is considered a leading undeveloped gold and copper prospect.

“Our proven operating model – extending the life of mines through disciplined investment in our orebodies and our people – has consistently delivered long-term value for all stakeholders, making us the partner of choice wherever we operate,” said Nel.

Harmony's board said that over the next three months, Harmony will be embedding the CSA mine into the broader group, aligning its operations with the group’s planning and performance frameworks.

“This process is designed to unlock synergies, enhance operational efficiency, and position CSA to contribute meaningfully to Harmony's long-term value creation,” said Nel.

An update on operational performance and development milestones – including the ventilation project, upper Merrin mine development, and exploration activities through December 2025 – would be provided at Harmony's half-year results scheduled for late February or early March 2026.

Production guidance for the 2026 financial year would also then be updated to incorporate the CSA mine figures.

“Harmony's planning parameters for FY27 will be embedded into the CSA mine to develop its FY27 life-of-mine plan, in alignment with the planning approach used across our other operations. The CSA mine life-of-mine plan will be released alongside our FY26 results expected in August 2026,” said Nel.

MAC said in its annual report that in 2024, the CSA Copper Mine produced 161 405 kt of concentrate grading 3.9% copper, containing 41 128 kt of copper.

The estimated mineral reserves were to support operations until the end of 2036. “The CSA Copper Mine has a long history of resource renewal and exploration success, and there is reasonable geological evidence of continuity down dip,” MAC’s directors said in the annual report.

Harmony chairman Patrice Motsepe said the group ended the year with a net cash position of R11.1bn and liquidity of R20.9bn, providing the flexibility to fund growth, sustain competitive dividends, and maintain a robust and resilient balance sheet.

"This strong financial position will enable continued investment in our portfolio of high-quality, long-life gold and copper assets, ensuring enduring value creation for our shareholders and stakeholders," he said.

“The 2025 financial year marked another year of consistent delivery for Harmony. We met production guidance for the 10th consecutive year, delivered record free cash flows, and provided strong shareholder returns alongside our growth aspirations,” said Nel.

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