Wrap Text
ANG - AngloGold Ashanti Limited - Anglogold Ashanti updates on North Africa
and Middle East exploration joint venture between Anglogold Ashanti and Thani
Emirates Resource Holding
AngloGold Ashanti Limited
Incorporated in the Republic of South Africa
Registration Number: 1944/017354/06)
ISIN Number:ZAE000043485
JSE Share Code: ANG
("AngloGold Ashanti/Company")
ANGLOGOLD ASHANTI UPDATES ON NORTH AFRICA AND MIDDLE EAST EXPLORATION JOINT
VENTURE BETWEEN ANGLOGOLD ASHANTI AND THANI EMIRATES RESOURCE HOLDING
The purpose of this press release is to announce significant progress made by
the joint venture between Thani Emirates Resource Holdings ("Thani") and
AngloGold Ashanti Limited in the Middle East and North Africa, since its
inception in 2009. This progress includes promising results from exploration
at the Hodine prospect in Egypt, around the historical Hutite mine, as well
as good early stage target generation and land positions secured elsewhere in
the region.
Egypt Activity Update:
- The Wadi Kareem and Hodine Concessions, initially held and explored by
Thani, are located in the Eastern Desert of Egypt and near the regional
centres of El Quseir and Shalatyne respectively. The total area of both
concessions is 2,383km2.
- Under the terms of the strategic alliance agreement, AngloGold has earned
into an equal share partnership with Thani and has co-funded exploration
programs since mid-2009.
- At Wadi Kareem and Hodine, the joint venture has conducted systematic
exploration using a variety of advanced and integrated exploration
techniques.
- At Hodine, this has resulted in the discovery of potentially significant
gold mineralisation. The drilling has indicated that the mineralised system
around the historical Hutite mine is larger than anticipated. The first nine
holes of a 5,000m first-phase drilling programme to test the strike and depth
extents of the gold mineralization have been completed. Assay results for the
first three holes include:
- 12m @ 3.6 g/t Au from 178m and 14m @ 2.9 g/t Au from 193m in HUD001;
- 6m @ 4.3 g/t Au from 155m and 8m @ 2.3 g/t Au from 168m in HUD002;
- 1m @ 15.7 g/t Au from 133m and 6m @ 1.8 g/t Au from 175m in HUD003.
- Visible coarse gold is present in several of these mineralized intercepts
and, as a result, screen fire assays over these intervals are in progress.
Several intervals of visible gold are also observed in an additional hole
located 1km to the north of HUD003.
- It is anticipated that, following receipt of all assay results for the
first round of drilling, exploration will be accelerated with additional
drill rigs mobilized to the Hodine concession, where additional high-calibre
prospects are ready for drill-testing.
Regional Update
- In Eritrea, the strategic alliance completed extensive project generation
work in 2009, which led to the successful grant of two exploration licenses
over 1,800km2 in March 2010. Since then, an office has been established in
Asmara and a 10,000 line km heli-borne geophysical survey has been completed
over both licenses. Applications for two additional exploration licenses and
one prospecting license covering an additional 5,900km2 have been submitted.
- In October 2010, the strategic alliance signed a Heads of Agreement with
Stratex International to explore for epithermal Au deposits in the Rift
Valley of Ethiopia and Djibouti. Under the terms of this agreement, the
strategic alliance has made a private placement into Stratex and has
committed to funding exploration, including 3,000m of drilling at the Megenta
project in Ethiopia. The strategic alliance can earn 51% of the JV by
funding over two years and can achieve 70% interest in an individual project
by funding over four years from the start of the agreement. The Megenta
project represents a new discovery by Stratex in an area previously not
explored for gold mineralisation and the JV has quickly established a
2,780km2 land position to capitalize on the initial technical success.
Drilling at Megenta will commence in April.
- In Saudi Arabia, the strategic alliance has completed project generation
work and opportunity reviews across the entire Arabian Shield, which will
result in over 3,000 km2 of exploration licence applications being submitted
in April. Upon grant of these applications, the strategic alliance will
rapidly commence exploration using similar techniques that have been
successful in Egypt and Eritrea.
Background
The joint ventures have arisen pursuant to a strategic alliance agreement
between Thani and AngloGold Ashanti in respect of the Middle East and North
Africa. The heads of terms for the strategic alliance was signed in Cape Town
on the 10th June 2009 and the strategic alliance agreement on the 22nd April
2010 in Dubai.
The strategic alliance brings together a combination of regional business
knowledge and relationships with global exploration and mining expertise.
Thani has extensive knowledge of developing resource businesses in the Middle
East and Africa, long standing and high level relationships with national
governments and major industry players and a thorough understanding of risks
associated with mineral resource development.
The strategic alliance is led by a board comprising Thani representatives
Abdulla Saeed Al Thani, and Rishard Camball, while Dr Roric Smith and Tony
O`Neil represent AngloGold Ashanti. Project acquisitions and exploration
programmes are equally-funded by AngloGold Ashanti and Thani, up to and
including the completion of a project scoping study. Under the terms of the
agreement AngloGold Ashanti would develop, manage and operate any subsequent
mining operations. The strategic alliance operates out of offices in Dubai
and is jointly managed by Thani and AngloGold Ashanti.Thani Emirates Resource
Holdings Limited ("TERH") is the mineral resources business of the Thani
Group, which was established over 25 years ago by Mr Abdulla Saeed Al Thani
and privately owned by Mr Al Thani and his immediate family. The Thani Group
primarily operates within the oil & gas, mineral resources, commercial
trading and investment and real estate sectors and has a presence in several
countries in Africa, the Middle East and Asia.
TERH is primarily focused on precious metals, uranium and rare earth
minerals. It is an independent Arab resource company and is mandated to
develop, through discovery and acquisition, a geographically diversified and
predominantly gold portfolio. TERH has formed a 50:50 strategic alliance with
AngloGold Ashanti Limited to explore, develop and operate gold, precious and
base metals mines across the Middle East and North Africa.
ENDS
20 April 2011
JSE Sponsor - UBS
Contacts
Tel: E-mail:
Alan Fine (Media) +27 11 637 6383 afine@AngloGoldAshanti.com
Mike Bedford (Investor) +27 11 637 6273 mbedford@anglogoldashanti.com
Stewart Bailey(Investor) +1 2128364303 sbailey@anglogoldashanti.com
or +27 82 330 9628
Certain statements made in this communication, including, without limitation,
those concerning the economic outlook for the gold mining industry,
expectations regarding gold prices, production, cash costs and other
operating results, growth prospects and outlook of AngloGold Ashanti`s
operations, individually or in the aggregate, including the completion and
commencement of commercial operations of certain of AngloGold Ashanti`s
exploration and production projects, the completion of announced mergers and
acquisitions transactions, AngloGold Ashanti`s liquidity and capital
resources, and expenditure and the outcome and consequences of any litigation
proceedings or environmental issues, contain certain forward-looking
statements regarding AngloGold Ashanti`s operations, economic performance and
financial condition. Although AngloGold Ashanti believes that the
expectations reflected in such forward-looking statements are reasonable, no
assurance can be given that
such expectations will prove to have been correct. Accordingly, results could
differ materially from those set out in the forward-looking statements as a
result of, among other factors, changes in economic and market conditions,
success of business and operating initiatives, changes in the regulatory
environment and other government actions including environmental approvals
and actions, fluctuations in gold prices and exchange rates, and business
and operational risk management. For a discussion of certain of these
factors, refer to AngloGold Ashanti`s annual report for the year ended 31
December 2010, which was distributed to shareholders on 29 March 2011. The
company`s 2009 annual report on Form 20-F, was filed with the Securities and
Exchange Commission in the United States on April 19, 2010 and as amended on
May 18, 2010. AngloGold Ashanti undertakes no obligation to update publicly
or
release any revisions to these forward-looking statements to reflect events
or circumstances after today`s date or to reflect the occurrence of
unanticipated events. All subsequent written or oral forward-looking
statements attributable to AngloGold Ashanti or any person acting on its
behalf are qualified by the cautionary statements herein.
AngloGold Ashanti posts information that is important to investors on the
main page of its website at www.anglogoldashanti.com and under the
"Investors" tab on the main page. This information is updated regularly.
Investors should visit this website to obtain important information about
AngloGold Ashanti.
Date: 20/04/2011 11:42:11 Supplied by www.sharenet.co.za
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