Harmony Gold posts smaller quarterly loss

South Africa’s entire gold industry is being squeezed by falling prices and production, and rising costs.

Harmony Gold's Kusasalethu mine. Picture: Harmony Gold.

JOHANNESBURG - South African bullion producer Harmony Gold said on Thursday it had narrowed its quarterly loss as the company benefited from restructuring and optimising efforts resulting in higher production.

Harmony said headline loss per share for the three months to end-September totalled 120 cents from a loss of 725 cents in the previous quarter.

Gold production rose 10 percent to 281,385 ounces from 256,465 ounces in the previous quarter.

"We saw quite a nice turnaround and we will continue that in this quarter," Chief Executive Graham Briggs said in a conference call.

South Africa's entire gold industry is being squeezed by falling prices and production, and rising costs.

Harmony said it expected the gold price to remain flat in the medium term but expected a long term recovery due to gold being used as an investment tool and store of value.