HARMONY Gold, the world’s fifth-largest gold miner, recently announced a loss in its fourth quarter. This would ordinarily be unremarkable, except that it coincides with a record gold price.

Gold is now twice as valuable in dollar terms as it was at its previous high point in the mid-1980s. If Harmony can’t eke out a profit at these prices, can it ever? Does SA in fact still have a gold industry?

These figures serve to confirm the parlous state of the local gold industry. An ABN Amro report comparing gold revenues around the world in the first quarter of this year makes depressing reading. Internationally, the report says, "gold miners have never had it so good". Even though costs have generally increased, producer margins have "widened significantly". "