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Derivative Financial Instruments (Tables)
 12 Months Ended
Jun. 30, 2021
Financial Instruments [Abstract]  
Disclosure of Derivative Financial Assets and Open Position at the Reporting Date
The group has the following derivative financial instruments:
Figures in million (SA Rand)Rand gold hedging contracts
(a)		US$ gold hedging contracts
(b)		US$ silver contracts
(b)		Foreign exchange contracts
(c)		Rand gold derivative contracts
(a)		 
Total
At 30 June 2021
Derivative financial assets1 358 48 10 383 — 1 799 
Non-current279 40 9 — — 328 
Current1 079 8 1 383 — 1 471 
Derivative financial liabilities(41)(73)(98)— — (212)
Non-current— — (6)— — (6)
Current(41)(73)(92)— — (206)
Net derivative financial instruments1 317 (25)(88)383 — 1 587 
Unamortised day one net loss included above(18)(5)— — — (23)
Unrealised gains/(losses) included in other reserves, net of tax1 069 (18)— — — 1 051 
Movements for the year ended
30 June 2021
Realised losses included in revenue(2 023)(273)— — — (2 296)
Unrealised gains/(losses) on gold contracts recognised in other comprehensive income2 999 (7)— — — 2 992 
Gains/(losses) on derivatives— — (256)1 217 111 1 072 
Day one loss amortisation(42)(8)— — — (50)
Total gains/(losses) on derivatives(42)(8)(256)1 217 111 1 022 
Hedge effectiveness
Changes in the fair value of the hedging instrument used as the basis for recognising hedge ineffectiveness2 999 (7)— — — 2 992 
Changes in the fair value of the hedged item used as the basis for recognising hedge ineffectiveness(2 999)7 — — — (2 992)
19     DERIVATIVE FINANCIAL INSTRUMENTS continued
Figures in million (SA Rand)Rand gold hedging contracts
(a)		US$ gold hedging contracts
(b)		US$ silver
contracts
(b)		Foreign exchange contracts
(c)		Rand gold derivative contracts
(a)		Total
At 30 June 2020
Derivative financial assets19 8 11 30 — 68 
Non-current10 5 5 30 — 50 
Current9 3 6 — — 18 
Derivative financial liabilities(3 626)(356)(4)(760)(257)(5 003)
Non-current(717)(96)(1)(65)— (879)
Current(2 909)(260)(3)(695)(257)(4 124)
Net derivative financial instruments(3 607)(348)7 (730)(257)(4 935)
Unamortised day one net loss included above(18)(8)— — — (26)
Unrealised losses included in other reserves, net of tax(3 053)(342)— — — (3 395)
Movements for the year ended
30 June 2020
Realised losses included in revenue(1 263)(134)— — — (1 397)
Unrealised losses on gold contracts
recognised in other comprehensive income		(4 820)(391)— — — (5 211)
Gains/(losses) on derivatives— — 6 (1 235)(174)(1 403)
Unrealised losses reclassified to profit or loss as a result of discontinuance of hedge accounting(235)— — — — (235)
Day one loss amortisation(34)(6)— — — (40)
Total gains/(losses) on derivatives(269)(6)6 (1 235)(174)(1 678)
Hedge effectiveness
Changes in the fair value of the hedging instrument used as the basis for recognising hedge ineffectiveness(4 820)(391)— — — (5 211)
Changes in the fair value of the hedging instrument used as the basis for recognising hedge ineffectiveness4 820 391 — — — 5 211 

Figures in million (SA Rand)Rand gold hedging contracts
(a)		US$ gold hedging contracts
(b)		US$ silver
contracts
(b)		Foreign exchange contracts
(c)		Rand gold derivative contracts
(a)		Total
Movements for the year ended
30 June 2019
Realised gain included in revenue453 — — — — 453 
Unrealised gains/(losses) on gold contracts recognised in other comprehensive income(302)(49)— — — (351)
Gains/(losses) on derivatives— — 13 554 (51)516 
Day one loss amortisation(31)(1)— — — (32)
Total gains/(losses) on derivatives(31)(1)13 554 (51)484 
19     DERIVATIVE FINANCIAL INSTRUMENTS continued
Hedge accounting
Harmony has entered into gold forward sale derivative contracts to hedge the risk of lower gold prices. Cash flow hedge accounting is applied to the majority of these contracts, resulting in the effective portion of the unrealised gains and losses being recorded in other comprehensive income (other reserves - refer to note 25). Refer to note 39 for a summary of the risk management strategy applied and the balances relating to designated hedging instruments as at reporting date.

Hedge effectiveness is determined at the inception of the hedge relationship and through periodic prospective effectiveness assessments. The group enters into gold forward contracts that have similar terms as the hedged item, such as notional amount, maturity date and reference gold spot price thereby ensuring that an economic relationship exists between the hedging instrument and the hedged item and resulting in a hedge ratio of 1:1. Potential sources of hedge ineffectiveness include counterparty and own credit risk, day one gains and losses, a mismatch in the timing of the derivative and underlying gold sale maturities, location differential and the refining margin. Hedge ineffectiveness is measured by comparing the change in the expected cash flows from a forward sale contract versus the sale of an equivalent quantity of gold in the open market. Ineffectiveness results when the changes in the fair values in the hedging instruments exceed the fair value changes in the hedged item. A negligible amount of hedge ineffectiveness was experienced in the years presented.

The gains and losses from derivative contracts to which hedge accounting is not applied is included in gains/(losses) on derivatives in profit or loss.

(a)Rand gold contracts
All Rand gold forward contracts entered into after 1 October 2020 were apportioned to the South African operations which included Mponeng and Mine Waste Solutions operation.

Discontinuance of hedge accounting

As a result of the original 21-day lockdown announced in South Africa, effective 27 March 2020, aimed to slow the spread of Covid-19, Harmony placed all deep-level underground mines in South Africa on care and maintenance. As a result, a significant volume of the underlying exposure that was originally intended to be hedged was delayed.

A total of 63 400 ounces of gold forwards were originally set to mature in the months of April and May 2020. After assessing forecasts of gold production at 1 April 2020, the hedged items, being the sales of gold, relating to 30 500 ounces of gold forwards were assessed to no longer be probable. The hedged items relating to the remaining balance of gold forwards were still considered to be highly probable.

Due to the fact that the occurrence of the forecast transactions/hedged items were no longer considered probable, there was no longer an effective hedging relationship and therefore hedge accounting for these hedges was discontinued. Unrealised losses relating to the hedges amounting to R48 million and R187 million of restructured contracts discussed below, previously recognised in other comprehensive income, were immediately reclassified to profit or loss as gains/losses on derivatives.

Restructuring of contracts

In response to the gold forwards’ hedged items no longer being probable and in order to better match the cash flows relating to the underlying exposure, certain of the Rand gold forwards with maturities between 15 April 2020 and 31 May 2020 were effectively extended to mature between the periods July 2020 and March 2021.

The restructured gold forwards retained the pricing of the original forwards. They were not designated as hedging instruments as the difference in the costing structure would have required a different effectiveness assessment than currently used by management. Unrealised losses relating to the hedges amounting to R187 million, previously recognised in other comprehensive income, were immediately reclassified to profit or loss as gains/losses on derivatives. All subsequent gains and losses on the restructured hedges were recognised in profit or loss.

As at 30 June 2021, all the restructured gold forwards had matured.

(b)US$ commodity contracts
Harmony maintains a derivative programme for Hidden Valley by entering into commodity derivative contracts. The contracts comprise US$ gold forward sale contracts as well as silver zero cost collars which establish a minimum (floor) and maximum (cap) silver sales price. Hedge accounting is applied to all US$ gold forward sale contracts entered into from 1 January 2019 and these are shown separately from the silver zero cost collars that are not hedge accounted.

(c)Foreign exchange contracts
Harmony maintains a foreign exchange derivative programme in the form of zero cost collars, which sets a floor and cap Rand/US$ exchange rate at which to convert US dollars to Rands, and foreign exchange forward contracts. Hedge accounting is not applied to these contracts.
19     DERIVATIVE FINANCIAL INSTRUMENTS continued
The following table shows the open position at the reporting date:
20222023TOTAL
Q1 Q2Q3 Q4 Q1 Q2Q3 Q4
Foreign exchange contracts
Zero cost collars
US$m47 42 27 — — — — — 116 
Average Floor – R/US$16.32 16.93 17.99 — — — — — 16.93 
Average Cap – R/US$17.90 18.54 19.65 — — — — — 18.54 
Forward contracts
US$m9 9 8 — — — — — 26 
Average Forward rate – R/US$18.18 18.41 18.71 — — — — — 18.43 
R/gold
'000 oz – cash flow hedge79 72 63 52 38 5 — — 309 
Average R'000/kg863 933 1 022 1 070 1 084 1 025 — — 976 
US$/gold
'000 oz – cash flow hedge12 12 11 11 9 9 7 2 73 
Average US$/oz1 561 1 606 1 723 1 799 1 911 1 867 1 826 1 861 1 743 
Total gold
'000 oz91 84 74 63 47 14 7 2 382 
US$/silver
'000 oz365 335 315 285 285 270 155 45 2 055 
Average Floor - US$/oz18.61 19.52 20.05 20.43 24.39 25.97 25.98 26.30 21.72 
Average Cap - US$/oz20.26 21.35 22.05 22.49 27.02 29.00 29.24 29.52 23.99