HomeGoldAngloGold foresees more possible power problems

AngloGold foresees more possible power problems

The twin shafts,
Great Noligwa gold mine
one of AngloGold Ashanti’s
South African operations.
Johannesburg, South Africa – MININGREVIEW.COM — 05 June 2008 – Leading international gold producer AngloGold Ashanti Limited has expressed reservations about the ability of the company to cope with power problems and maintain production levels this winter.

In an interview with Bloomberg Television here, CEO Mark Cutifani reiterated the view that
there may be further electricity problems this winter, even as the group’s South African mines operate at full power consumption.

“The start of the winter season this month may mean further power problems,” he added. The company’s first-quarter output dropped 13% after a power shortage shut mines for five days in January.

Eskom Holdings Ltd. rationed power to mines and smelters in South Africa, after the government delayed giving approval for the state-owned utility’s expansion plan. The electricity shortage is expected to continue until at least 2012.