AngloGold Ashanti’s
new CEO Srinivasan
Johannesburg, South Africa — 13 May 2013 – AngloGold Ashanti “’ the world’s third-largest bullion producer “’ reported a near six-fold jump in first-quarter earnings as the company’s operations recovered from a wave of illegal strikes late last year.

Fin24 reports that the company said adjusted headline earnings per share rose to 29 US cents in the January to March quarter from 5c in the last quarter of 2012.

The company maintained a dividend of 50 South African cents (6 US cents) per share.
“The stronger performance relative to the previous quarter reflects the recovery from the strike action at the South Africa operations which hampered production towards the end of last year,” the company statement added.

Production rose to 899,000oz from 859,000oz in the previous quarter.

AngloGold had to contend with a lower gold price in the first quarter and the precious metal has lost further ground since, which will put additional pressure on margins and costs.

AngloGold aims to sell an asset later this year, new CEO Srinivasan Venkatakrishnan revealed. He said on a conference call that the company would have “one other asset sale later in the year” following an announcement last month that it planned to sell its Navachab mine in Namibia.

Venkatakrishnan, known as Venkat, is a well-tested hand who was the company’s chief financial officer prior to his appointment as CEO.  He will immediately face a tough round of upcoming wage negotiations in South Africa, which accounts for 40% of group output.

Source: Fin24. For more information, click here.