AngloGold Ashanti Reports Strongest Gold Production Quarter For The Year

DENVER, CO - AngloGold Ashanti plc reported its strongest gold production quarter of 2024 from managed operations, driving significant year-on-year gains in earnings and free cash flow. The Company reaffirmed full-year guidance for gold production, costs and capital expenditure.

"Tight control of costs and active management of our working capital means that the higher gold price has flowed through to our bottom line,” CEO Alberto Calderon said. “We’re looking for additional improvements to production and margins, to ensure we deliver an even stronger fourth quarter and continue to capitalise on this healthy gold price environment.”

AngloGold Ashanti saw resilient performances from several key operations. The Australian portfolio recovered well from rains and flooding in the first quarter, while the operational turnaround of its Brazilian operations continued to gain momentum with the resumption of processing of gold concentrate at the Queiroz plant during September.

Solid cost control and active management of working capital helped ensure that higher revenues were reflected in stronger earnings. Headline earnings of $236 Million in the third quarter of 2024, compared to a headline loss of $194 Million in the third quarter of 2023. Adjusted earnings before interest, tax, depreciation and amortisation rose 339% to $746 Million in the third quarter of 2024 from $170 Million in the same period last year.

Gold production for the group was 657,000 ounces for the third quarter of 2024 versus 676,000 ounces in the same period of 2023, due to lower production from the Kibali joint venture, where lower grades resulted in production of 71,000 ounces compared with 99,000 ounces in the third quarter of 2023. Gold production for managed operations rose 2% year-on-year to 586,000 ounces, from 577,000 ounces in the third quarter of 2023. Gold production was stronger at Obuasi in Ghana (15%), Siguiri in Guinea (9%), Tropicana in Australia (14%), Cerro Vanguardia in Argentina (11%) and Sunrise Dam in Australia (14%).

At Obuasi, third-quarter gold production increased 15% year-on-year as total grades and underground tonnages rose, despite a continued impact on production of reduced mining flexibility in Block 8 and difficult ground conditions in higher-grade stopes. Notwithstanding these near-term challenges, total cash costs per ounce improved 20% year-on-year.

In October the shareholders of Centamin plc approved the proposed acquisition of Centamin by AngloGold Ashanti. The proposed acquisition will bring to AngloGold Ashanti’s portfolio an established Tier One asset with the Sukari mine in Egypt, which produced 450,000 ounces of gold in 2023. The addition of Sukari ensures a higher proportion of AngloGold Ashanti’s gold production will be derived from Tier One assets, and will provide flexibility for the Company to consider disposal options of its higher-cost Tier Two mines.