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ANGLOGOLD ASHANTI LIMITED - Market update report for the quarter ended 30 September 2016

Release Date: 14/11/2016 07:05
Code(s): ANG     PDF:  
Wrap Text
Market update report for the quarter ended 30 September 2016

AngloGold Ashanti Limited
(Incorporated in the Republic of South Africa)
Reg. No. 1944/017354/06
ISIN. ZAE000043485 - JSE share code: ANG
CUSIP: 035128206 - NYSE share code: AU
("AngloGold Ashanti" or the "Company")

Market update report
for the quarter ended 30 September 2016

Johannesburg, 14 November 2016 - AngloGold Ashanti is pleased to provide an operational update for the quarter ended
30 September 2016. Detailed financial and operational results are provided on a six-monthly basis i.e. at the end of June and
December.

    -  Free cash flow $161m (before $30m once-off bond redemption cost); strong improvement from $50m outflow in Q3 2015
    -  Gold production 900,000oz at average total cash cost of $797/oz (vs $735/oz in Q3 2015)
    -  All-in sustaining costs $1,071/oz, vs $937/oz in Q3 2015 (impacted by higher sustaining capital expenditure, lower grades
       and inflation)
    -  Adjusted EBITDA rose 36% to $395m, from $291m in Q3 2015
    -  Net debt at $1.972bn at quarter-end, a 14% improvement from $2.291bn in Q3 2015
    -  Net debt to Adjusted EBITDA ratio of 1.26 times, compared with 1.54 times at end of Q3 2015
    -  Production and capital expenditure remain within original guidance; cost guidance revised mainly due to currency strength

                                                                      Quarter                           Nine months
                                                                   ended          ended                ended          ended
                                                                     Sep            Sep                  Sep            Sep
                                                                    2016           2015                 2016           2015
                                                                                US dollar / Imperial
Operating review
Gold
    Produced from continuing operations               - oz (000)     900            955                2,645          2,833
    Produced from discontinued operations             - oz (000)       -             19                    -            117
    Produced continuing and discontinued operations   - oz (000)     900            974                2,645          2,950
    Sold from continuing operations                   - oz (000)     898            933                2,645          2,836
    Sold from discontinued operations                 - oz (000)       -             21                    -            115
    Sold continuing and discontinued operations       - oz (000)     898            954                2,645          2,951

Continuing operations
   Price received                                     - $/oz       1,334          1,123                1,260          1,178
   All-in sustaining costs                            - $/oz       1,071            937                  965            928
   All-in costs                                       - $/oz       1,166          1,024                1,044          1,016
   Total cash costs                                   - $/oz         797            735                  737            729

Financial review
Continuing and discontinued operations
    Gross profit                                      - $m           236            115                  665            506
    Free cash inflow / (outflow)                      - $m           131           (50)                  239           (19)
    Net debt                                          - $m         1,972          2,291                1,972          2,291
    Capital expenditure                               - $m           211            207                  529            633

$ represents US dollar, unless otherwise stated.
Rounding of figures may result in computational discrepancies.

FINANCIAL AND CORPORATE REVIEW

Third quarter overview

AngloGold Ashanti delivered strong free cash flow generation of $161m (before taking into account the once-off $30m cost of redeeming
the remainder of the high-yield bond) for the third quarter ended 30 September 2016, helping further reduce net debt. The
performance reflects continued progress toward the key strategic objective of delivering sustainable improvements to free cash
flow and returns, whilst developing affordable, high-return brownfields project options.

Free cash flow for the third quarter of 2016 of $161m (before the once-off $30m bond redemption costs), represents a significant
improvement on the $50m outflow in the third quarter of 2015, and was 49% more than the $108m generated in the first half
of this year.

Cash inflow from operating activities for the third quarter of 2016 was $386m, was 59% more than the $243m in the
same quarter of 2015. The cash flow improvement was achieved despite lower production, and was attributable largely to the
higher gold price received year-on-year, and the timing of proceeds received on a metal shipment from Argentina.

"We generated strong free cash flow in the third quarter, taking this year’s cumulative free cash flow to more 
than quarter of a billion dollars, further reducing debt. Whilst we had previously indicated costs would be higher 
in the second half, the increase was exacerbated by a poor performance in South Africa, a delay in accessing higher 
grades in Brazil, capital expenditure absorbed over fewer ounces, and strengthening currencies," Chief Executive Officer Srinivasan Venkatakrishnan said.  
"Work is already well advanced to turn this around in the near term by improving volumes and accessing higher grades as per our plans, and over the medium term 
by investing in our low-capital, high-return brownfields projects."

Production in the third quarter of 2016 was 900,000oz compared to 974,000oz in the third quarter of 2015, which included
a combined 32,000oz from Cripple Creek & Victor (CC&V) and Obuasi, which have been sold and idled respectively.
Improved performances in the third quarter compared to the same quarter in 2015 were delivered by Moab Khotsong,
Mponeng, Iduapriem, Siguiri and Serra Grande. Production from South Africa dipped 7% year-on-year to 235,000oz, mainly
due to lower average recovered grades from underground of 7.34g/t, 8% lower than the prior year's 8.01g/t. Lower production
from the International Operations of 665,000oz in the third quarter of 2016 was mainly a result of lower grades, as planned, at
both Tropicana and Geita, whilst this was partially offset by Kibali's strong recovery from the previous quarter.

Overall production increased to 900,000oz in the third quarter, from 883,000oz the previous quarter, driven by improved
performances from Geita, Kibali and AngloGold Ashanti Mineração.

Cash costs per ounce increased by 8% to $797/oz compared to $735/oz in the third quarter of 2015, mainly as a function of lower
grades, lower units of production, and inflation.

All-in sustaining costs (AISC) in the third quarter of 2016 were $1,071/oz, a 14% year-on-year increase which reflects the
increase in total cash costs, exploration, corporate and marketing costs and a planned increase in capital expenditure. All-in costs
were at $1,166/oz for the third quarter of 2016.

Adjusted earnings before interest, tax, depreciation and amortisation (Adjusted EBITDA) rose by 36% to $395m in the third
quarter of 2016, from $291m in the third quarter of 2015. The improvement was mainly due to an increase in earnings following the
19% gain in the average gold price received year-on-year, from $1,123/oz to $1,334/oz, which was partially offset by strengthening
currencies in some jurisdictions.

At the end of the third quarter of 2016, net debt was lower at $1.972bn compared to $2.098bn in the previous quarter and
$2.291bn for the third quarter of 2015 mainly due to the strong improvement in free cash flow generation. The balance of the high
yield bond was redeemed in early August, resulting in a reduction in net finance costs. The reduction in net debt, along with
improved Adjusted EBITDA over the past 12 months, has resulted in a net debt to Adjusted EBITDA ratio of 1.26 times, compared
with 1.54 times at the end of September 2015. Accordingly, debt levels remain well below the covenant of net debt to Adjusted
EBITDA of 3.5 times under our revolving credit facilities (RCF).

The balance sheet remains robust with strong liquidity and long-dated maturities providing significant financial flexibility. Undrawn
facilities comprise approximately $820m available under the $1bn US dollar revolving credit facility, A$210m undrawn on the
A$500m Australian dollar RCF, approximately R3.4bn available from South African facilities, and cash and cash equivalents of
$276m, at the end of the third quarter of 2016.

Total capital expenditure (including equity accounted entities) during the third quarter was $211m, compared with $197m in the
third quarter of 2015 (which excluded $10m for CC&V). Of the total capital spent, project capital expenditure during the quarter
amounted to $25m. Capital expenditure is expected to increase again in the fourth quarter, in line with past trends.

The outlook for production and capital expenditure for the full year has been narrowed but remains within the original guidance. The cost guidance has
been revised primarily due to the strengthening of local currencies. The revised outlook is as follows:
-   Production between 3.6Moz and 3.65Moz (previously 3.6Moz and 3.8Moz);
-   Total cash costs between $730/oz and $750/oz (previously $680/oz and $720/oz);
-   AISC between $980/oz and $1,010/oz (previously $900/oz and $960/oz); and
-   Capital expenditure between $790m and $820m (previously $790m and $850m).

(Assuming updated average exchange rates against the US dollar of 14.60 (Rand), 3.50 (Brazil Real), 0.75 (Aus$) and
14.80 (Argentina Peso), with oil at $43/bl average for the year, based on achieved actual rates to date and market expectations
for the next quarter).

Both production and cost estimates assume neither labour interruptions, power disruptions and changes to asset portfolio and/or
operating mines. In addition, the cost guidance includes the rebate of certain port duties in Argentina. Other unknown or
unpredictable factors could also have material adverse effects on our future results.

As in prior years, the fourth quarter earnings will be affected by year-end accounting adjustments including any reassessment of
useful lives and carrying value of mining tangible assets, inventory stockpile and investments, reset of environmental rehabilitation
provisions, redundancy provisions, and indirect and taxation provisions.

Safety Update
The all injury frequency rate (AIFR), the broadest measure of workplace safety, was 7.80 per million hours worked for the
third quarter of 2016, compared with 7.60 the previous quarter. The International operations recorded an improvement in AIFR
over the quarter to 2.55 from 2.89 in the third quarter of 2015, with the Continental Africa region recording the most significant
improvement at 22% from the second quarter to third quarter of 2016. The Vaal River Mines achieved 2 million fatality-free shifts 
during the quarter with Moab Khotsong reaching one calendar year without a fatality on 4 September, and Kopanang achieving 1-million-fatal-free shifts on 1 July.

Regrettably, there were four fatalities during the quarter ended September 2016, three in July 2016 of the South Africa region following falls-
of-ground and tramming-related incidents, and one in Brazil at Cuiabá following a heavy mobile equipment-accident that
involved a contractor.

Production from AngloGold Ashanti's South Africa mines continues to be affected by safety-related stoppages, predominantly
those under Section 54 of the Mine Health and Safety Act. As recommended by the DMR, AngloGold Ashanti will continue to
pursue dialogue with the DMR around this issue and to use appropriate official channels to address challenges with the application
of Section 54 of the Act.

Operating highlights

The South Africa region produced 235,000oz at a total cash cost of $997/oz in the third quarter of 2016 compared to 253,000oz at
a total cash cost of $959/oz for the same quarter in 2015. The region's total cash costs per ounce were negatively affected by
lower grades and lower production volumes caused by safety-related stoppages and the resultant ramp-up periods following their
shutdowns and lower grades. Lost production as a result of safety-related stoppages amounted to 38,600oz. In addition, costs
were also adversely affected by inflationary pressures due to power and labour-cost increases.

Overall production increased more than 7% from the Vaal River operations in the third quarter of 2016 compared to the same
quarter in 2015 as Moab Khotsong showed a strong recovery, increasing production by 14% following the safety-related
interruptions experienced during the third quarter in 2015. Moab Khotsong was the lowest-cost producer for the South African
region at a total cash cost of $736/oz during the quarter. Production at Kopanang was impacted by the fall-of-ground incident, lack
of face-length availability and a decrease in grades.

In the West Wits operations, whilst Mponeng improved production by 6% year-on-year, the region's quarterly performance was
hampered by the fatal incidents, a range of safety-related stoppages and lower grades. TauTona mine was most affected by
safety-related stoppages after operations were halted following the fatal incident on 26 July 2016. The Level 116 haulage, which
provides the access way to two new raise lines at the Savuka section of TauTona, remains closed following the seismic event in
April and will be inaccessible until the second quarter of next year.

At the Surface Operations, Vaal River Surface Sources production was lower in the third quarter of 2016 than in the third quarter
of 2015 as a result of decline in yield due to lower grade areas being reclaimed. In order to further improve grades at the
Moab marginal ore dump, a project was launched to screen and truck the Moab marginal ore to plant. Tonnages also fell slightly
due to the repairs to the West Wits gold plant. A blending strategy was initiated to mitigate the lower grades fed into the
Savuka Gold plant. Production from West Wits surface sources increased due to the addition of the Tailings Storage facility in
2016.

Mine Waste Solutions recommissioned the uranium plant, with limited production during the quarter.

In the Continental Africa region, production was 333,000oz at a total cash cost of $760/oz for the third quarter of 2016 compared
to 349,000oz at a total cash cost of $687/oz in the same quarter in 2015. Total cash costs were impacted mostly by lower
production year-on-year at Kibali and Geita.

The region's production decreased compared with the third quarter of last year, due to planned reductions from both Geita and
Kibali as well as the discontinuation of production from Obuasi, which contributed 13,000oz in the same period last year. This was
partly offset by the 12% increase in output from Iduapriem and the 21% increase from Siguiri in the third quarter of 2016 compared
to the same quarter in 2015.

The increased production at Iduapriem resulted from higher plant utilisation, together with improved grade. Siguiri mined higher
grade areas and also saw a gain in volumes treated compared to the same quarter in 2015.

Despite the 17% increase in plant throughput from improved plant availability and consistent operations at Geita, production fell
due to lower recovered grade ore mined from the Nayakanga pit, in line with the mining plan.

Kibali showed a strong recovery from the challenges faced in the first half of the year. Gold production improved by 24% quarter-
on-quarter with improved throughput and recovery. Problems encountered earlier in the year during trials ahead of a full crossover
to sulphide processing next year, are being resolved through modifications to the plant that will be completed in the first half of
2017.

Third quarter production in 2016 was lower than the same quarter in 2015 due to a change in ore source as mining moved from the
KCD open pit to other pits, with the different mineralogy causing lower metallurgical recoveries despite higher tonnages processed.
Higher reagent consumption was due to the change in the type of material fed into the plant and further inflated total cash cost
year-on-year. Construction of the underground crushing and materials handling system adjacent to the shaft remains on schedule.
Construction of the Amburau hydropower station is expected to be completed before the end of the year. Construction of the
Azambi hydropower station has commenced.

The Americas region produced 211,000oz at a total cash cost of $588/oz for the third quarter of 2016 compared to 219,000oz at a
total cash cost of $570/oz for the same quarter in 2015.

Brazil's overall production was affected by problems accessing high-grade areas due to geotechnical issues at the Cuiabá
complex, and a fatal accident in late September. At Serra Grande, production in the third quarter of 2016 was 28% higher
compared to the third quarter in 2015, due to higher feed grades from mining high-grade blocks of Mina III. The mine faced
operational difficulties accessing high-grade areas last year. Córrego do Sítio was affected by a deficit in secondary development
and a longer-than-planned stoping cycle resulting in a 13% decrease in production. The Argentina operations delivered a
stable performance with production subdued as operational and metallurgical improvements were offset by lower grades.

Total cash costs for the Americas region were negatively impacted by lower production coupled with inflationary pressures and a
strengthening Brazilian real relative to the dollar. Córrego do Sitio's total cash costs increased by 26% due primarily to lower
grades, a stronger local currency relative to the dollar and inflationary pressures. Serra Grande, in Brazil, saw a 22% improvement
in total cash costs compared to the same quarter in 2015 as a result of higher production. Cerro Vanguardia's total cash costs
improved by 16% mainly as a result of the peso's depreciation against the dollar, higher by-product credits, and a rebate of port
duties. The cost improvement was partially offset by unfavourable stockpile movements, lower heap-leach production and inflation
following a second wage settlement reached in July.

The Australia region produced 121,000oz at a total cash cost of $864/oz for the third quarter of 2016 compared to 134,000oz at a
total cash cost of $718/oz for the same quarter in 2015. Production was impacted by Sunrise Dam's lower metallurgical recovery
and lower mill feed grade despite 3% higher mill throughput, whilst at Tropicana the head grade was lower in the third quarter of
2016 compared to the same quarter in 2015, largely due to the mine's grade streaming strategy which ended in December 2015.

The Australia region's total cash costs increased due to lower production, the unfavourable impact of a stronger Australian dollar
relative to the US dollar over the quarter, higher underground costs at Sunrise Dam, together with increased mining expenditure
largely due to the addition of an extra jumbo to open up new mining areas with a specific focus initially on decline development. At
Tropicana, lower planned grades and a stockpile movement had an unfavourable impact on costs.

For information and more details on both Brownfields and Greenfields exploration programmes conducted during quarter ended 
30 September 2016, see the Exploration Update document on the company website: www.anglogoldashanti.com.

Obuasi update

In early February 2016, following the incursion of hundreds of illegal miners inside the fenced area of the Obuasi mine site,
AngloGold Ashanti Ghana (AGAG) was forced to declare force majeure and, in the interests of safety, withdrew all employees
performing non-essential functions. Obuasi continues in care and maintenance phase whilst evaluating future options for
recommencing operations through optimisation of the feasibility study. In regard to the incursion of illegal miners onto the lease,
the Government of Ghana appointed a committee to direct and oversee their relocation to other areas off the lease. AGAG hopes
that the committee will assist in expediting the reinstatement of law and order at the mine. However, AGAG's arbitration against
the Government of Ghana, filed with the International Centre for Settlement of Investment Disputes in April 2016, continues in
order for AGAG to protect its legal and equitable rights and to mitigate the damage that the incursion of illegal miners has already
caused.

Other

Tropicana is on track to add significantly to its Ore Reserve. Study work is reaching a conclusion on the Long Island project
and the publication of the additional Ore Reserve is subject to the conclusion of internal review and sign off by the Competent
Person.

AngloGold Ashanti, along with other mining companies including Anglo American South Africa, ARM, Gold Fields Limited,
Harmony Gold Mining Company Limited, DRDGold Limited, Village Main Reef Limited, Randgold and Exploration Company
Limited, and Sibanye Gold Limited, were served with a consolidated class action application on 21 August 2013. On 13 May
2016 the South Gauteng High Court of South Africa ruled in favour of the applicants and found that there were sufficient
common issues to certify two industry-wide classes: a Silicosis Class and a Tuberculosis Class, each of which cover current and
former underground mineworkers who worked in South African mines from 12 March, 1965 and who have contracted the
respective diseases (or the dependents of mineworkers who died of those diseases). The High Court ordered a two-stage
process in the class action. The first stage is to resolve common issues and allow the individuals to opt out. The second stage
will allow the individuals to opt in to the class to make their claims against the respondent mining companies. The High Court
also decided that claims for general damages (i.e., pain and suffering and loss of amenities of life) will be transferable to the
estate or executor of any deceased mineworker who dies after the date of filing of the certification application. On 3 June 2016,
AngloGold Ashanti, together with certain of the other mining companies, filed an application with the High Court for leave to
appeal to the Supreme Court of Appeal. Arguments in the application for leave to appeal were heard on 23 June 2016. 
On 24 June 2016, leave to appeal was (i) granted in respect of the issue of the transferability of deceased mineworkers' claims for
general damages but (ii) denied in respect of all other orders of the High Court. On 15 July 2016 AngloGold Ashanti, along with
several other respondent companies, filed a petition with the Supreme Court of Appeal for leave to appeal such other orders of
the High Court. On 14 September 2016, AGA together with the other respondent companies has been granted leave to appeal
the other orders of the High Court to the Supreme Court of Appeal. The application for leave to appeal suspends the operation
of the High Court's order. The appeal is likely to be heard mid-2017.

The financial information, including any forward-looking information, set out in this market update report has not been reviewed and
reported on by the Company's external auditors. Outlook data is forward-looking information which is further discussed on the back
cover of this document

Operations at a glance
for the quarters ended 30 September 2016, 30 June 2016 and 30 September 2015
                                     Production              Underground milled / treated   Surface milled / treated   Open-pit treated               Underground Recovered grade   Surface Recovered grade            Open-pit Recovered grade
                                      oz (000)                       000 tonnes                   000 tonnes             000 tonnes                             g/tonne                     g/tonne                             g/tonne
            
                                  Sep-16   Jun-16   Sep-15   Sep-16   Jun-16   Sep-15       Sep-16   Jun-16   Sep-15   Sep-16   Jun-16   Sep-15         Sep-16   Jun-16   Sep-15       Sep-16   Jun-16   Sep-15        Sep-16   Jun-16   Sep-15   
SOUTH AFRICA                         235      250      253      788      843      781        9,473    9,046    8,791        -        -        -           7.34     7.41     8.01         0.15     0.16     0.17             -        -        -   
Vaal River Operations                100       83       93      393      381      357            -        -        -        -        -        -           7.89     6.81     8.15            -        -        -             -        -        -   
Kopanang                              25       25       28      142      160      144            -        -        -        -        -        -           5.46     4.78     5.94            -        -        -             -        -        -   
Moab                                  75       59       66      251      221      213            -        -        -        -        -        -           9.27     8.28     9.65            -        -        -             -        -        -   
West Wits Operations                  86      118      108      383      437      408            -        -        -        -        -        -           7.02     8.37     8.21            -        -        -             -        -        -   
Mponeng                               57       71       54      248      258      197            -        -        -        -        -        -           7.14     8.55     8.55            -        -        -             -        -        -   
TauTona                               29       47       54      135      179      211            -        -        -        -        -        -           6.78     8.10     7.90            -        -        -             -        -        -   
Total Surface Operations              47       46       48        -        -        -        9,473    9,046    8,791        -        -        -              -        -        -         0.15     0.16     0.17             -        -        -   
First Uranium SA                      22       23       22        -        -        -        6,659    6,475    6,349        -        -        -              -        -        -         0.10     0.11     0.11             -        -        -   
Surface Operations                    26       23       26        -        -        -        2,815    2,570    2,442        -        -        -              -        -        -         0.28     0.28     0.33             -        -        -   
Other                                  2        3        4       13       26       16            -        -        -        -        -        -              -        -        -            -        -        -             -        -        -   
INTERNATIONAL OPERATIONS             665      633      702    1,804    1,751    1,656            -        -      342    8,723    8,384    8,032           3.58     3.49     3.64            -        -     1.22          1.56     1.53     1.84   
CONTINENTAL AFRICA                   333      315      349      178      164        -            -        -      342    6,961    6,630    6,482           4.04     1.80        -            -        -     1.22          1.37     1.42     1.61   
DRC                                                                                                                                                                                                                                               
Kibali - Attr. 45%                    68       55       72      178      164        -            -        -        -      942      692      850           4.04     1.80        -            -        -        -          1.47     2.05     2.63   
Ghana                                                                                                                                                                                                                                             
Iduapriem                             55       54       49        -        -        -            -        -        -    1,242    1,212    1,161              -        -        -            -        -        -          1.38     1.37     1.30   
Obuasi                                 -        2       13        -        -        -            -        -      342        -        -        -              -        -        -            -        -     1.22             -        -        -   
Guinea                                                                                                                                                                                                                                            
Siguiri - Attr. 85%                   63       64       52        -        -        -            -        -        -    2,489    2,614    2,370              -        -        -            -        -        -          0.79     0.76     0.68   
Mali                                                                                                                                                                                                                                              
Morila - Attr. 40%                     4        6        7        -        -        -            -        -        -      369      329      319              -        -        -            -        -        -          0.34     0.55     0.73   
Sadiola - Attr. 41%                   17       17       17        -        -        -            -        -        -      497      474      533              -        -        -            -        -        -          1.08     1.13     1.01   
Tanzania                                                                                                                                                                                                                                          
Geita                                126      116      138        -        -        -            -        -        -    1,423    1,309    1,249              -        -        -            -        -        -          2.68     2.75     3.44   
Non-controlling interests,                                                                                                                                                                                                                        
exploration and other                                                                                                                                                                                                                             
AUSTRALASIA                          121      126      134      689      672      760            -        -        -    1,494    1,514    1,306           1.76     2.21     1.68            -        -        -          1.69     1.62     2.22   
Australia                                                                                                                                                                                                                                         
Sunrise Dam                           51       60       51      689      672      760            -        -        -      313      314      215           1.76     2.21     1.68            -        -        -          1.11     1.17     1.46   
Tropicana - Attr. 70%                 70       67       83        -        -        -            -        -        -    1,180    1,200    1,091              -        -        -            -        -        -          1.85     1.73     2.37   
Exploration and other                                                                                                                                                                                                                             
AMERICAS                             211      192      219      936      914      896            -        -        -      269      240      244           4.84     4.73     5.29            -        -        -          5.68     4.26     5.99   
Argentina                                                                                                                                                                                                                                         
Cerro Vanguardia - Attr. 92.50%       71       70       71       64       84       79            -        -        -      228      216      197           8.26    10.45     7.05            -        -        -          6.29     4.46     7.04   
Brazil                                                                                                                                                                                                                                            
AngloGold Ashanti Mineração          107       90      123      574      522      524            -        -        -        -        -        -           5.37     4.83     6.64            -        -        -             -        -        -   
Serra Grande                          32       32       25      298      308      293            -        -        -       41       24       47           3.08     3.01     2.41            -        -        -          2.30     2.41     1.64   
Non-controlling interests,                                                                                                                                                                                                                        
exploration and other                                                                                                                                                                                                                             
Continuing operations                900      883      955    2,592    2,595    2,437        9,473    9,046    9,134    8,723    8,384    8,031           4.73     4.76     5.04         0.15     0.17     0.21          1.56     1.53     1.84   
Discontinued operations                                                                                                                                                                                                                           
Cripple Creek & Victor                 -        -       19        -        -        -            -        -        -        -        -       61                                                                                              
Total                                900      883      974    2,592    2,595    2,437        9,473    9,046    9,134    8,723    8,384    8,092                                                                                          

Rounding of figures may result in computational discrepancies.
                  
                                                            Total cash costs   All-in sustaining costs   ORD / Deferred stripping capex     Other sustaining capex        Non sustaining capex                Gross profit (loss)
                                                                  $/oz                   $/oz                         $m                             $m                           $m                                 $m

                                                    Sep-16   Jun-16   Sep-15   Sep-16   Jun-16   Sep-15   Sep-16   Jun-16   Sep-15          Sep-16   Jun-16   Sep-15        Sep-16   Jun-16   Sep-15   Sep-16   Jun-16   Sep-15   
SOUTH AFRICA                                           997      831      959    1,211      995    1,176       26       25       29              19       12       20             7        6        8       46       45     (14)   
Vaal River Operations                                  889      906      962    1,078    1,092    1,170       11       10       12               5        4        5             1        1        1       24       13      (5)   
Kopanang                                             1,345    1,108    1,168    1,579    1,293    1,378        3        3        4               2        1        1             -        -        -      (7)      (2)      (8)   
Moab                                                   736      821      876      911    1,008    1,083        8        7        8               4        3        4             1        1        1       31       15        3   
West Wits Operations                                 1,106      764      944    1,378      946    1,195       15       15       17               7        4        8             6        6        7      (3)       36      (6)   
Mponeng                                                885      664      958    1,161      862    1,285       10       10       12               4        3        5             6        6        7       10       28      (6)   
TauTona                                              1,536      916      930    1,800    1,072    1,102        5        5        5               2        1        3             -        -        -     (13)        8      (1)   
Total Surface Operations                             1,026      865      984    1,155      933    1,083        -        -        -               6        3        4             -        -        -       25      (4)      (3)   
First Uranium SA                                       969      733      968    1,169      824    1,126        -        -        -               5        2        3             -        -        -       19     (10)      (5)   
Surface Operations                                   1,073      994      997    1,142    1,041    1,046        -        -        -               2        1        1             -        -        -        6        6        2   
Other                                                    -        -        -        -        -        -        -        -        -               2        1        3             -        -        -        -        -        -   
INTERNATIONAL OPERATIONS                               724      665      657      995      927      826       68       52       48              72       74       60            18       19       32      202      194      141   
CONTINENTAL AFRICA                                     760      662      687      946      881      832       17       20       22              25       29       23            18       19       31       91      103       61   
DRC                                                                                                                                                                                                                               
Kibali - Attr. 45%                                     756      831      658      957      975      677        8        6        -               4        2        2            15       17       26       10        1       10   
Ghana                                                                                                                                                                                                                             
Iduapriem                                              914      878    1,034      981      945      928        -        -        -               2        2        2             -        -        -       16       13      (4)   
Obuasi                                                   -     (74)      922        -    1,672    1,418        -        -        -               -        -        1             1        1        5        1        3      (6)   
Guinea                                                                                                                                                                                                                            
Siguiri - Attr. 85%                                    837      668      854      934      842      990        -        -        -               6       11        5             2        2        -       22       32        8   
Mali                                                                                                                                                                                                                              
Morila - Attr. 40%                                   1,424    1,008      938    1,659    1,103    1,057        -        -        -               -        -        1             -        -        -      (2)        -        1   
Sadiola - Attr. 41%                                  1,062      885      679    1,112      943      734        -        -        -               1        1        -             -        -        -        2        4        4   
Tanzania                                                                                                                                                                                                                          
Geita                                                  590      445      483      895      808      741        9       14       22              10       13       11             -        -        -       38       44       47   
Non-controlling interests,
 exploration and other                                                                                         -        -        -               1        2        1             -        -        -         3       7        1
AUSTRALASIA                                            864      798      718    1,266    1,041      878       16        3        4              20       19       14             -        -        -       19       31       28   
Australia                                                                                                                                                                                                                         
Sunrise Dam                                          1,131      874      996    1,333    1,032    1,136        4        3        4               4        5        3             -        -        -      (1)       15        1   
Tropicana - Attr. 70%                                  614      679      500    1,118      976      674       12        -        -              16       13       11             -        -        -       25       20       32   
Exploration and other                                                                                          -        -        -               -        -        -             -        -        -      (5)      (4)      (5)   
AMERICAS                                               588      583      570      928      920      810       34       30       23              27       27       22             -        -        1       91       61       52   
Argentina                                                                                                                                                                                                                         
Cerro Vanguardia - Attr. 92.50%                        529      575      630      741      797      896       10        8        8               5        5        7             -        -        -       48       23       14   
Brazil                                                                                                                                                                                                                            
AngloGold Ashanti Mineração                            609      581      483    1,024      977      694       16       15       12              17       18       12             -        -        -       33       30       41   
Serra Grande                                           628      604      804    1,115    1,023    1,097        7        6        4               5        4        3             -        -        -        8        6      (4)   
Non-controlling interests,
 exploration and other                                                                                -        1        1        -               1        -        -             -        -        1        2        2        1   
Continuing operations                                  797      710      735    1,071      962      937       94       77       77              92       87       80            25       26       40                              
Discontinued operations                                                                                                                                                                                                           
Cripple Creek & Victor                                                                                         -        -        -               -        -        -             -        -       10                              
OTHER                                                                                                                                                                                                     (1)        -        3   
Total                                                                                                         94       77       77              92       87       80            25       26       50      246      240      131   
Equity accounted investments included above                                                                                                                                                              (10)      (5)     (15)   
AngloGold Ashanti                                                                                                                                                                                         236      235      115   


Rounding of figures may result in computational discrepancies.

                                                            Development Sampling
                                                       for the quarter ended 30 September 2016
Development values represent actual results of sampling, no allowances having been made for adjustments necessary in estimating Ore Reserves.

Statistics are shown in metric units                             Advanced                                                    Sampled
                                                                   metres        Sampled          Avg. ore body                gold                       uranium
                                                                 (total)*         metres         thickness (cm)      Avg. g/t     Avg. cm.g/t    Avg. kg/t      Avg. cm.kg/t
SOUTH AFRICA
VAAL RIVER
Kopanang
Vaal reef                                                          1,105             234                   14.2        151.34           2,149         6.99             99.95
Moab Khotsong
Moab Khotsong Vaal reef                                            1,995             376                   87.4         65.78           5,749         1.34            118.17
Great Noligwa Vaal reef                                              154              30                   97.7        131.76          12,873         2.57            250.82

WEST WITS
Mponeng
Ventersdorp Contact reef                                           1,780             286                   62.7         31.15           1,953            -                 -
TauTona
TauTona Ventersdorp Contact reef                                     100               6                  140.7         16.96           2,386         0.05              6.57
TauTona Carbon Leader reef                                           763              36                   36.7         56.87           2,087         0.49             20.45
Savuka Carbon Leader reef                                             10               8                   16.5         93.50           1,524         0.84             12.37

AUSTRALASIA
Sunrise Dam                                                        2,088             855                      -          1.59               -            -                 -

AMERICAS
AngloGold Ashanti Mineração
Mina de Cuiabá                                                     3,850           1,487                    0.6          4.81               -            -                 -
Lamego                                                             1,189             412                   60.0          4.16               -            -                 -
Córrego do Sitio Mina I                                            2,075             639                      -          4.17               -            -                 -
Córrego do Sitio Mina II                                              -               -                       -             -               -            -                 -
Serra Grande
Mina III                                                           2,011             530                      -          3.07               -            -                 -
Mina Nova                                                          1,702             757                      -          3.15               -            -                 -
Palmeiras                                                            264             196                      -          2.19               -            -                 -
CVSA
Cerro Vanguardia                                                   2,143             853                  400.0         12.00               -            -                 -

Statistics are shown in imperial units                           Advanced                                               Sampled
                                                                     feet        Sampled          Avg. ore body            gold                            uranium
                                                                 (total)*           feet     thickness (inches)     Avg. oz/t    Avg. ft.oz/t    Avg. lb/t       Avg. ft.lb/t
SOUTH AFRICA
VAAL RIVER
Kopanang
Vaal reef                                                          3,624             768                   5.59          4.41            2.06        13.98               6.51
Moab Khotsong
Moab Khotsong Vaal reef                                            6,546           1,234                  34.41          1.92            5.50         2.68               7.68
Great Noligwa Vaal reef                                              506              98                  38.46          3.84           12.32         5.14              16.48

WEST WITS
Mponeng
Ventersdorp Contact reef                                           5,839             938                  24.69          0.91            1.87            -                  -
TauTona
TauTona Ventersdorp Contact reef                                     327              20                  55.39          0.49            2.28         0.10               0.46
TauTona Carbon Leader reef                                         2,504             118                  14.45          1.66            2.00         0.98               1.18
Savuka Carbon Leader reef                                             31              26                   6.50          2.73            1.48         1.68               0.91

AUSTRALASIA
Sunrise Dam                                                        6,850           2,805                       -         0.05               -            -                  -

AMERICAS
AngloGold Ashanti Mineração
Mina de Cuiabá                                                    12,631           4,877                   0.25          0.14               -            -                  -
Lamego                                                             3,900           1,352                  23.62          0.12               -            -                  -
Córrego do Sitio Mina I                                            6,808           2,097                      -          0.12               -            -                  -
Córrego do Sitio Mina II                                              -               -                       -             -               -            -                  -
Serra Grande
Mina III                                                           6,598           1,740                      -          0.09               -            -                  -
Mina Nova                                                          5,585           2,484                      -          0.09               -            -                  -
Palmeiras                                                            867             642                      -          0.06               -            -                  -
CVSA
Cerro Vanguardia                                                   7,029           2,798                 157.48          0.35               -            -                  -

* This includes total "on-reef" and "off-reef" development metres

Administration and corporate information

  ANGLOGOLD ASHANTI LIMITED                                       Directors                                                       Share Registrars
                                                                  Executive                                                       South Africa
  Registration No. 1944/017354/06                                 S Venkatakrishnan*§ (Chief Executive Officer)                   Computershare Investor Services (Pty) Limited
                                                                          ^                                                       Ground Floor, 70 Marshall Street  
  Incorporated in the Republic of South Africa                    KC Ramon (Chief Financial Officer)                              Johannesburg 2001
                                                                                                                                  (PO Box 61051, Marshalltown 2107)
                                                                                                                                  South Africa
  Share codes:                                                    Non-Executive                                                   Telephone: 0861 100 950 (in SA)
  ISIN:                          ZAE000043485                     SM Pityana^ (Chairman)                                          Fax: +27 11 688 5218
  JSE:                           ANG                              Prof LW Nkuhlu^ (Lead Independent Director)                     Website : queries@computershare.co.za                                                                
  NYSE:                          AU                               A Garner#                                                                                                                      
  ASX:                           AGG                              R Gasant^                                                       Australia
  GhSE: (Shares)                 AGA                              DL Hodgson^                                                     Computershare Investor Services Pty Limited
  GhSE: (GhDS)                   AAD                              NP January-Bardill^                                             Level 2, 45 St George's Terrace
                                                                  MJ Kirkwood*                                                    Perth, WA 6000
                                                                  M Richter#                                                      (GPO Box D182 Perth, WA 6840)
                                                                  RJ Ruston~                                                      Australia
  JSE Sponsor:                                                                                                                    Telephone: +61 8 9323 2000
                                                                                                                                  Telephone: 1300 55 2949 (Australia only)
  Deutsche Securities (SA) Proprietary Limited                                                                                    Fax: +61 8 9323 2033
                                                                                                                                  
                                                                                         §          #
                                                                  * British               Indian     American                    
  Auditors: Ernst & Young Inc.                                                           ^
                                                                  ~ Australian            South African
                                                                                                                                  Ghana
  Offices                                                         Officers                                                        NTHC Limited
  Registered and Corporate                                        Executive Vice President - Legal, Commercial and                Martco House
  76 Rahima Moosa Street                                          Governance and Company Secretary:                               Off Kwame Nkrumah Avenue
   Newtown 2001                                                   ME Sanz Perez                                                   PO Box K1A 9563 Airport
                                                                                                                                  Accra
                                                                                                                                  Ghana
  (PO Box 62117, Marshalltown 2107)                                                                                               Telephone: +233 302 229664
  South Africa                                                    Investor Relations Contacts                                     Fax: +233 302 229975
  Telephone: +27 11 637 6000                                      Stewart Bailey                                                 
  Fax: +27 11 637 6624                                            Telephone: +27 11 637 6031
                                                                  Mobile: +27 81 032 2563                                         ADR Depositary
  Australia                                                       E-mail: sbailey@anglogoldashanti.com                            BNY Mellon (BoNY)
                                                                                                                                  BNY Shareowner Services
  Level 13, St Martins Tower                                                                                                      PO Box 30170
  44 St George's Terrace                                          Fundisa Mgidi                                                   College Station, TX 77842-3170
  Perth, WA 6000                                                  Telephone: +27 11 637 6763                                      United States of America
  (PO Box Z5046, Perth WA 6831)                                   Mobile: +27 82 821 5322                                         Telephone: +1 866-244-4140 (Toll free in USA) or
  Australia                                                       E-mail: fmgidi@anglogoldashanti.com                                           +1 201 680 6825 (outside USA)
  Telephone: +61 8 9425 4602                                                                                                           E-mail: shrrelations@cpushareownerservices.com
  Fax: +61 8 9425 4662                                                                                                                 Website: www.mybnymdr.com
                                                                                                                                 
                                                                  Sabrina Brockman
                                                                  Telephone: +1 212 858 7702                                      Global BuyDIRECT SM
  Ghana                                                           Mobile: +1 646 379 2555                                         BoNY maintains a direct share purchase and dividend
  Gold House                                                      E-mail: sbrockman@anglogoldashantina.com                        reinvestment plan for ANGLOGOLD ASHANTI.
  Patrice Lumumba Road                                                                                                            Telephone: +1-888-BNY-ADRS
  (PO Box 2665)
  Accra                                                           General e-mail enquiries
  Ghana                                                           Investors@anglogoldashanti.com
  Telephone: +233 303 772190  
  Fax: +233 303 778155                                            AngloGold Ashanti website
                                                                  www.anglogoldashanti.com

                                                                  Company secretarial e-mail
                                                                  Companysecretary@anglogoldashanti.com

                                                                  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.

                                                                  PUBLISHED BY ANGLOGOLD ASHANTI



Forward-looking statements

Certain statements contained in this document, other than statements of historical fact, including, without limitation, those concerning the economic outlook for the gold mining industry,
expectations regarding gold prices, production, total cash costs, all-in sustaining costs, all-in costs, cost savings and other operating results, productivity improvements, growth prospects and
outlook of AngloGold Ashanti's operations, individually or in the aggregate, including the achievement of project milestones, commencement and completion of commercial operations of
certain of AngloGold Ashanti's exploration and production projects and the completion of acquisitions, dispositions or joint venture transactions, AngloGold Ashanti's liquidity and capital
resources and capital expenditures and the outcome and consequence of any potential or pending litigation or regulatory proceedings or environmental health and safety issues, are forward-
looking statements regarding AngloGold Ashanti's operations, economic performance and financial condition. These forward-looking statements or forecasts involve known and unknown
risks, uncertainties and other factors that may cause AngloGold Ashanti's actual results, performance or achievements to differ materially from the anticipated results, performance or
achievements expressed or implied in these forward-looking statements. 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, social and political and market conditions, the success of business and operating initiatives, changes in the regulatory environment
and other government actions, including environmental approvals, fluctuations in gold prices and exchange rates, the outcome of pending or future litigation proceedings, and business and
operational risk management. For a discussion of such risk factors, refer to AngloGold Ashanti's annual reports on Form 20-F filed with the United States Securities and Exchange
Commission. These factors are not necessarily all of the important factors that could cause AngloGold Ashanti's actual results to differ materially from those expressed in any forward-looking
statements. Other unknown or unpredictable factors could also have material adverse effects on future results. Consequently, readers are cautioned not to place undue reliance on forward-
looking statements. AngloGold Ashanti undertakes no obligation to update publicly or release any revisions to these forward-looking statements to reflect events or circumstances after the
date hereof or to reflect the occurrence of unanticipated events, except to the extent required by applicable law. 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.

Non-GAAP financial measures
This communication may contain certain "Non-GAAP" financial measures. AngloGold Ashanti utilises certain Non-GAAP performance measures and ratios in managing its business. Non-
GAAP financial measures should be viewed in addition to, and not as an alternative for, the reported operating results or cash flow from operations or any other measures of performance
prepared in accordance with IFRS. In addition, the presentation of these measures may not be comparable to similarly titled measures other companies may use. 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: 14/11/2016 07:05:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
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