AngloGold Ashanti retains output forecast after flooding at Australia mine

AngloGold Ashanti expects to meet its gold output target of up to 2.79 million ounces this year. File: Bloomberg

AngloGold Ashanti expects to meet its gold output target of up to 2.79 million ounces this year. File: Bloomberg

Published Mar 20, 2024

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AngloGold Ashanti expects to meet its gold output target of up to 2.79 million ounces this year despite flooding at its Tropicana mine in Australia, the company said yesterday as it reported a headline net loss of $46 million (R870m) for 2023.

The loss was mainly due to lower gold sales, corporate restructuring costs, higher environmental provisions as well as the cost of job cuts, as well as care and maintenance at Córrego do Sítio in Brazil, which was idled in August.

It compares with a restated headline profit of $489m the year before. AngloGold Ashanti, which also has operations in Africa and the Americas, restated its financial statements for 2022, which the company said “contained an error related to the reported amount of the deferred tax asset with regard to the Obuasi mine” in Ghana.

The miner said while it anticipated gold production at its Tropicana mine to be impacted in the first half of 2024, “any decrease is expected to be largely recovered in the second half”.

“Consequently, the company does not believe that this event will have an impact on its gold production and cost guidance provided in February, 2024, which guidance is therefore maintained,” AngloGold Ashanti said.

Tropicana, which is 70% owned by AngloGold Ashanti and contributed 310 000 ounces or 12%, of the group’s total 2023 output was impacted this month by heavy rains and flooding.

Mining operations have been restricted due to the flooding, while the processing plant is treating stockpiled ore at a reduced throughput rate, AngloGold Ashanti said in a statement

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