It is reported that Harmony Gold is backing off from the battle to ensure that ArcelorMittal South Africa pays its ZAR 692 million fine for charging excessive steel prices and takes remedial action to ensure it charges fair steel prices.

Mr Graham Briggs CEO of Harmony said that while ensuring that ArcelorMittal SA's appeal for the competition tribunal fine was unfinished business for the gold mining company, Harmony is likely to be less aggressive in its approach to the matter.

Mr Briggs said that "It is a competition issue. We actually do not have anything more to win out of the case. We are not going to be subsidized for the steel we use. What is to win out of it now?"

By the beginning of next month, ArcelorMittal SA would have on average increased its local steel prices by 70 percent this year. Mr Briggs said that he believed the argument that Harmony had previously made: that Arcelor charged excessive prices for its flat steel valid.

An industry analyst said that Arcelor was likely to make a huge effort to appeal the fine and any remedial action.

(Sourced from www.busrep.co.za)