ANGLOGOLD ASHANTI LIMITED - AngloGold Ashanti Q1 Earnings Rise to $203m as Obuasi Moves Toward Completion

AngloGold Ashanti Q1 Earnings Rise to $203m as Obuasi Moves Toward Completion

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”, “AGA” or “Company”)


NEWS RELEASE

AngloGold Ashanti Q1 Earnings Rise to $203m as Obuasi Moves Toward Completion

(JOHANNESBURG) – NEWS RELEASE – AngloGold Ashanti reported first quarter headline
earnings of $203m, driven by the higher gold price, as the Company continued its reinvestment
programme aimed at completing the redevelopment of the Obuasi gold mine and adding new
gold reserves across its portfolio.

Headline earnings of $203m, or 48 cents a share in the three months to the end of March
2021, compare to $143m, or 34 US cents per share, in the first quarter of 2020. Adjusted net
debt declined by 43% year-on-year to $908m in the first quarter of 2021 from $1,606m in the
first quarter of 2020.

“We continue to make progress in delivering on our strategy,” Interim Chief Executive Officer
Christine Ramon said. “Our balance sheet remains in a solid position and Obuasi is making
steady progress to completion.”

This year and next will be key investment years for AngloGold Ashanti as it increases
production from brownfields projects and builds on strong reserve additions from exploration
in 2020, to increase its overall reserve base and the life of its mines. The Company currently
expects to meet its guidance for 2021.

Construction at the Obuasi Redevelopment Project, which will transform the 20Moz high-
grade gold ore body, initially placed on care and maintenance in 2016, into a top-tier gold
producer, achieved 97% completion by the end of March this year. Production from the mine
rose 53% to 46,000oz in the first quarter of 2021, from 30,000oz the prior quarter.

Production for the first quarter of 2021 was 588,000oz at a total cash cost of $999/oz,
compared with 630,000oz at a total cash cost of $773/oz from continuing operations in the
same period in 2020. Solid production performances at AGA Mineração, Serra Grande, Siguiri
and Obuasi were offset by declines at other mines in the portfolio.

In the first quarter of 2021, COVID-19 accounted for an estimated 4,000oz of lost production
and an estimated $29/oz of all-in sustaining costs. The Brazilian operations and Obuasi mine
were most affected by the pandemic during the first quarter, with high rates of absenteeism
affecting productivity in Brazil and ongoing challenges encountered in the rotation of expatriate
workers from Australia to Ghana.

In the first quarter of 2021, total cash costs increased mainly as a result of lower grades and
the drawing down on ore stockpiles at some of the operations while waste stripping and
underground development progressed, as well as inflationary pressures recorded across most
of the portfolio. This increase was partly offset by operating efficiencies. AISC rose by 26%,
or $266/oz, to $1,287/oz in the first quarter of 2021, compared to $1,021/oz from continuing
operations in the first quarter of 2020.

The primary driver of production growth over the next two years are Obuasi operating at steady
state, Tropicana reverting to normalised production levels following the current reinvestment
in its life extension, and planned production gains from AGA Mineração, Siguiri and Sunrise
Dam.

Adjusted EBITDA increased by 3% year-on-year from $434m in the first quarter of 2020 to
$449m in the first quarter of 2021, giving a strong Adjusted EBITDA margin of 47% in the first
quarter of the year. The Adjusted net debt to Adjusted EBITDA ratio improved from 0.93 times
at 31 March 2020 to 0.37 times at 31 March 2021.

The Company is steadily progressing its new climate strategy, including the implementation
of the recommendations of the Task Force on Climate- Related Financial Disclosures which
was created by the Financial Stability Board. This process is currently expected to be
completed later this year, along with new emission reduction targets and strategies to further
reduce emissions and its carbon footprint.

SAFETY

Regrettably, one fatality occurred in February 2021 when a miner at the Serra Grande mine
in Brazil was fatally injured in a fall-of-ground related incident during blasting preparation
activities. We extend our heartfelt condolences to the family and loved ones. This incident is
a stark reminder to remain diligent in our work towards our goal of zero harm.

The Company has been implementing a revitalised safety strategy across the business, with
particular focus on the critical controls needed to eliminate what are called ‘high consequence,
low frequency’ events.

ENDS
Johannesburg
10 May 2021

 Contacts
 Media

 Julie Bain              +27 663 640 038                               jbain@anglogoldashanti.com
 General inquiries                                                     media@anglogoldashanti.com

 Investors
 Yatish Chowthee         +27 11 637 6273 / +27 78 364 2080             yrchowthee@anglogoldashanti.com
 Fundisa Mgidi           +27 11 637 6763 / +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, return on equity, 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, any supply chain disruptions, any public health
crises, pandemics or epidemics (including the COVID-19 pandemic), and other business and
operational risks and other factors. For a discussion of such risk factors, refer to AngloGold Ashanti’s
annual report on Form 20-F for the year ended 31 December 2020, 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 information contained in this announcement has not been reviewed or reported on by AngloGold
Ashanti’s external auditors.

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.

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

Website: www.anglogoldashanti.com

Date: 10-05-2021 07:05:00
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