AngloGold eyes asset sales in South Africa

Denver — The world’s largest gold producer, AngloGold (AU-N), is considering selling the Elandsrand and Deelkraal gold mines and some of its Free State operations in South Africa.

The company says it is in discussions with several unnamed parties.

AngloGold has a record of selling or closing under-performing assets, and both operations, situated in the West Witwatersrand Basin, near Johannesburg, have experienced higher costs during the third quarter.

Elandsrand posted total cash costs of US$313 per oz. during the third quarter, and US$280 per oz. for the first nine months of the year. Higher costs were a consequence of lower production.

Gold production at Deelkraal improved 8%, and total cash costs fell to US$282 per oz., during the third quarter. However, costs remained at US$302 per oz. over the 9-month period.

The two mines represented 127,000 oz. of production in the third quarter, and 404,000 oz. during the 9-month period — less than 10% of the company’s overall production.

Among the Free State operations that could be sold are the Bambanani and Matjhabeng mines.

Print


 

Republish this article

Be the first to comment on "AngloGold eyes asset sales in South Africa"

Leave a comment

Your email address will not be published.


*


By continuing to browse you agree to our use of cookies. To learn more, click more information

Dear user, please be aware that we use cookies to help users navigate our website content and to help us understand how we can improve the user experience. If you have ideas for how we can improve our services, we’d love to hear from you. Click here to email us. By continuing to browse you agree to our use of cookies. Please see our Privacy & Cookie Usage Policy to learn more.

Close