To view the PDF file, sign up for a MySharenet subscription.

ANGLOGOLD ASHANTI LIMITED - Kibali Set for Record Third-Quarter on Strong Throughput, Recovery Performance

Release Date: 22/10/2018 17:05
Code(s): ANG ANG013     PDF:  
Wrap Text
Kibali Set for Record Third-Quarter on Strong Throughput, Recovery Performance

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
JSE Bond Company Code - BIANG
(“AngloGold Ashanti” or the “Company”)


22 October 2018

NEWS RELEASE
Kibali Set for Record Third-Quarter on Strong Throughput, Recovery Performance
(JOHANNESBURG – PRESS RELEASE) – AngloGold Ashanti (the ‘Company’) reports that the
Kibali Gold Mine is expected to deliver a record performance for the third quarter, and is on
track to exceed its guidance for the year, as the operation met or exceeded designed
capacity on throughput, recovery and hoisting capacity.

The mine, a joint venture with the Democratic Republic of Congo (DRC) (10%), AngloGold
Ashanti (45%) and Randgold Resources (45% and operator), is trending to outperform its
full-year production guidance of 730,000oz. The joint venture has also reached agreement
with the DRC Ministry of Finance, for the return of outstanding value-added tax (VAT)
refunds.

 “This is an important, tier-one asset for the country at large, and for us, as we work to
improve returns to our shareholders,” AngloGold Ashanti CEO Kelvin Dushnisky said. “It’s
encouraging for us as investors, and for the future development of the DRC’s mining
industry, that Kibali is poised to start returning capital to those who funded the first large-
scale, industrial gold mining project in one of the country’s most remote areas.”
“We’d also like to acknowledge the strong operating performance of our JV partner,
Randgold,” Dushnisky said.

Kibali is now operating at steady state. It has successfully converted from contract- to
owner-mining by an almost-entirely Congolese team, and there is now a strong focus on
exploring for new ore sources, and conversion of resources to reserves. In addition, the
third hydropower plant has been commissioned, marking the first time a Congolese
contractor has completed an industrial-scale power plant. This provides invaluable expertise
to further develop the country’s engineering sector.

Kibali has made a significant contribution to the DRC – about $2.5 billion -- throughout the
seven-year capital investment programme, once taxes, salaries and all payments to local
suppliers are considered. In the third quarter alone, $40 million has been paid to local
contractors and so far this year, $1.3 million has been spent on community development
projects.

Equally encouraging is the accord reached with the DRC Ministry of Finance on VAT refunds,
which will commence with an initial payment of $40 million to the joint venture. The
balance to be offset against future taxes owed. The DRC Ministry of Finance has also
exempted local goods and services, purchased by Kibali, from incurring VAT.

AngloGold Ashanti has invested in improving the quality of its portfolio, through the
development of new mines in Australia and the DRC, and in projects that will extend life and
improve margins at existing operations. The Company has simplified its portfolio, reduced
debt, lowered interest costs and advanced options in its project pipeline. The Company will
release its third-quarter market update on 5 November 2018.


Ends
Johannesburg
JSE Sponsor: Deutsche Securities (SA) Proprietary Limited
CONTACTS
Media

Chris Nthite                                                +27 11 637 6388/+27 83 301 2481                                  cnthite@anglogoldashanti.com

Stewart Bailey                                              +27 81 032 2563 / +27 11 637 6031                                sbailey@anglogoldashanti.com

General inquiries                                                                                                               media@anglogoldashanti.com

Investors

Stewart Bailey                                              +27 81 032 2563 / +27 11 637 6031                                 sbailey@anglogoldashanti.com

Sabrina Brockman                                            +1 646 880 4526/ +1 646 379 2555                                sbrockman@anglogoldashanti.com

Fundisa Mgidi                                                   +27 11 6376763 / +27 82 821 5322                               fmgidi@anglogoldashanti.com


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 and forecasts 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 report on Form 20-F for the year ended 31 December 2017, which was filed with the United States
Securities and Exchange Commission (“SEC”). 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.
The financial information contained in this news release has not been reviewed or reported on by the Company’s external auditors.

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.



Website: www.anglogoldashanti.com

ENDS

Date: 22/10/2018 05:05:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). 
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
 the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, 
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
 information disseminated through SENS.

Share This Story