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ANGLOGOLD ASHANTI LIMITED - AngloGold Ashanti Trading Statement for the half year ended 30 June 2018

Release Date: 02/08/2018 08:30
Code(s): ANG ANG013     PDF:  
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AngloGold Ashanti Trading Statement for the half year ended 30 June 2018

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”)

2 August 2018


30 JUNE 2018

AngloGold Ashanti will release results for the half year ended 30 June 2018 (“the period”) on the
Johannesburg Stock Exchange News Service on 20 August 2018.

With reference to the Listings Requirements of the JSE Limited, issuers must publish a trading
statement as soon as they become reasonably certain that financial results for the next reporting
period will differ by at least 20% from those of the previous, corresponding reporting period.

Operational performance

Production from retained operations (excluding closed and sold operations) for the period is expected
to increase by 4% to 1.578 Moz from 1.517 Moz for the half year ended 30 June 2017 (“comparative
period”). This is due to strong production improvements from Sunrise Dam, Kibali, Iduapriem, Mponeng
and Tropicana. International operations contributed 87% and South African operations 13%
respectively to the Group’s production from retained operations.

Given the sale of Moab Khotsong and Kopanang mines in the first quarter of 2018, and the closure of
TauTona at the end of last year, which together resulted in a net year on year reduction of 180,000oz,
production for the period is expected to be 1.629 Moz, compared to 1.748 Moz in the comparative

Expected headline and basic earnings

The Company expects to report positive basic and headline earnings for the six months ended 30 June
2018. This represents a turn-around from the losses reported for the comparative period.

Shareholders are advised that the Company has reasonable certainty that headline earnings for the
period are expected to increase to a profit of between $91 million and $108 million, with headline
earnings per share of between 22 cents and 26 cents. Headline loss and headline loss per share for
the comparative period were $89 million and 22 cents, respectively.

Basic earnings for the period are expected to increase to a profit of between $16 million and $51 million,
with basic earnings per share between 4 cents and 12 cents. This includes the adverse impact of $67
million, or 16 cents per share (post-tax) related to the derecognition of the Mine Waste Solutions
Uranium plant in South Africa, given that, under current market conditions, the plant is unlikely to be
utilised. Impairments on certain South African assets of $86 million (post-tax) or 21 cents per share
were accounted for in the comparative period. Both the asset derecognition and the impairments, are
non-cash items and have been excluded from headline earnings.

Basic loss and basic loss per share for the comparative period were $176 million and 43 cents,

Expected increases in both basic and headline earnings for the period were due to:
    - An improved operating performance, reflected in the 4% improvement in production from
      retained operations;
    - An improvement in All-in sustaining costs due to lower sustaining capital expenditure, and
      lower exploration and rehabilitation costs;
    - A 6% improvement in the average gold price received;
    - Lower retrenchment costs, relating to the South African operations, of $22 million (post-tax),
      which were $25 million (post-tax) or 6 cents per share lower than the comparative period; and
    - Earnings in the comparative period unfavourably impacted by the estimated once-off, non-
      cash settlement costs for silicosis class action claims, of $46 million (post-tax), or 11 cents per

The forecast financial information on which this trading statement is based has not been reviewed or
reported on by AngloGold Ashanti’s external auditors.

2 August 2018

JSE Sponsor: Deutsche Securities (SA) Proprietary Limited


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General inquiries                    
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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, 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 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.

Incorporated in the Republic of South Africa Reg No: 1944/017354/06
ISIN. ZAE000043485 – JSE share code: ANG CUSIP: 035128206 – NYSE share code: AU


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