UPDATE 2-ArcelorMittal SAfrica unit wins appeal over fine

* Case followed complaints about "excessive" prices

* Matter unresolved, referred back to Tribunal

(Recasts with judge's, Arcelormittal's quotes, analyst)

By Wendell Roelf

CAPE TOWN, May 29 (Reuters) - The South African unit of the world's largest steel maker, ArcelorMittal SA (ISPA.AS), won its appeal against a record fine but the case was unresolved after it was sent back to a tribunal for further examination.

The Competition Appeal Court said a complaint about overpricing brought by two gold mining companies had been wrongly handled by the country's Competition Tribunal.

Analysts said although unresolved, Fridays's outcome was positive for the the steel maker.

"I don't think we should assume the investigation has been completely squashed because there's further argument that needs to take place. But you can take it as a good first step for Arcelor," said BOE Private Clients resource analyst Mark Rule.

The Competition Appeal Court overturned the 691.8 million rand ($86.8 million) fine imposed on ArcelorMittal SA (ACLJ.J) in September 2007 for charging excessively for flat steel products and preventing customers from selling on steel.

The case was brought against Africa's dominant steel maker by Harmony Gold (HARJ.J) and DRDGOLD (DRDJ.J).

Competition Appeal Court Judge President Dennis Davis said the Tribunal's approach was "fundamentally flawed" and ordered it to re-examine the case.

"It is clear the Tribunal misconstrued its powers and came to a decision that cannot be justified by the words on the (Competition) Act. Its judgement and order must therefore be set aside," he said.

The company's share price fell 0.33 percent to 90.70 rand by 1124 GMT, underperforming a 1.98 percent rise in the All Share Index on the Johannesburg bourse.

"There doesn't seem to be any linkage between today's share price performance and the ruling," Rule said.

The fine represented 5.5 percent of ArcelorMittal SA's total turnover of 12.76 billion rand earned on flat steel in both the local and export market during 2003.

The company welcomed the ruling but said it was disappointed that resolution of the matter was still pending.