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AngloGold plans more streamlining
AngloGold plans more streamlining. The gold producer says costs are trending towards the lower end of guidance and production towards the upper end, while capital expenditure guidance has been revised downwards.
AngloGold Ashanti may sell off more assets even after it streamlined its operations to rid them of high-cost production.
Releasing a third-quarter update yesterday, new CEO Kelvin Dushnisky said the gold producer had initiated a process to identify third parties that may be interested in buying its stake in its Sadiola Sulphide Project in Mali. It owns an 82% interest together with IAMGOLD. However, it said the process was at a preliminary stage and there was no certainty of its outcome.
The company sold a number of low-margin SA mines last year, helping it return a profit for the six months to end-June. It used the proceeds to reduce debt and strengthen its balance sheet. It said it remained on track to complete the remaining restructuring of its SA cost base, to better match its support infrastructure to reduced production.
For the three months to end-September, it maintained production from its retained mines at 851 000 ounces, while all-in sustaining costs declined by 15% to $920 an ounce. It said full-year production was likely to come in at the top end of its guidance, while costs were trending towards the lower end. Non-sustaining capital expenditure was also revised downwards. Net debt decreased by 15% year-on-year to $1.75 billion.
It said its Mponeng mine in South Africa, Kibali in the Democratic Republic of Congo, Iduapriem in Ghana and Tropicana in Australia all reported strong production and cost improvements. This was offset by a weaker quarter from Siguiri in Guinea and AGA Minerao in Brazil.
The all-injury frequency rate for the quarter improved 41% year-on-year to 4.17 per million hours worked. It said that was the lowest in its history and demonstrated its ongoing focus on safety alongside fundamental operating improvements.
This is a strong operating result that shows our absolute focus on safety and margins," CEO Kelvin Dushnisky said. "While we continue to work on improving efficiencies right across our asset suite, we're also making steady progress on our projects, which are aimed at improving the overall quality and life of our portfolio."
Its shares closed 4% up at R146.67.
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By INCE|Connect NewsAngloGold plans more streamlining. The gold producer says costs are trending towards the lower end of guidance and production towards the upper end, while capital expenditure guidance has been revised downwards.
AngloGold Ashanti may sell off more assets even after it streamlined its operations to rid them of high-cost production.
Releasing a third-quarter update yesterday, new CEO Kelvin Dushnisky said the gold producer had initiated a process to identify third parties that may be interested in buying its stake in its Sadiola Sulphide Project in Mali. It owns an 82% interest together with IAMGOLD. However, it said the process was at a preliminary stage and there was no certainty of its outcome.
The company sold a number of low-margin SA mines last year, helping it return a profit for the six months to end-June. It used the proceeds to reduce debt and strengthen its balance sheet. It said it remained on track to complete the remaining restructuring of its SA cost base, to better match its support infrastructure to reduced production.
For the three months to end-September, it maintained production from its retained mines at 851 000 ounces, while all-in sustaining costs declined by 15% to $920 an ounce. It said full-year production was likely to come in at the top end of its guidance, while costs were trending towards the lower end. Non-sustaining capital expenditure was also revised downwards. Net debt decreased by 15% year-on-year to $1.75 billion.
It said its Mponeng mine in South Africa, Kibali in the Democratic Republic of Congo, Iduapriem in Ghana and Tropicana in Australia all reported strong production and cost improvements. This was offset by a weaker quarter from Siguiri in Guinea and AGA Minerao in Brazil.
The all-injury frequency rate for the quarter improved 41% year-on-year to 4.17 per million hours worked. It said that was the lowest in its history and demonstrated its ongoing focus on safety alongside fundamental operating improvements.
This is a strong operating result that shows our absolute focus on safety and margins," CEO Kelvin Dushnisky said. "While we continue to work on improving efficiencies right across our asset suite, we're also making steady progress on our projects, which are aimed at improving the overall quality and life of our portfolio."
Its shares closed 4% up at R146.67.