AngloGold Ashanti 2020 Profit Soars, Sees 5% Production Growth Through to 2025

By Jaime Llinares Taboada

AngloGold Ashanti Ltd. on Monday reported that its 2020 profit more than doubled and projected a 5% average production growth for 2021-2025.

The South African company, which is the world's third-largest gold miner, made a net profit from continuing operations of $946 million, meeting its own guidance of $910 million-$982 million. The company had reported a comparable figure of $364 million in 2019. Gold prices boosted revenue in 2020, whereas weaker local currencies helped lower costs.

AGA declared a dividend of 48 cents, up from 9 cents in 2019.

For 2021, the company said it expects gold production of 2.70 million-$2.90 million ounces, broadly in line with the 2.81 million reported for 2020, excluding disposals. AGA is also projecting a 2.0% average compound annual growth rate for production over the next two years relative to 2020, and an average of 5.0% between 2021 and 2025.

"The primary driver of production growth is related to Obuasi operating at steady-state, Tropicana reverting to normalised production levels following the reinvestment in its life extension, and AGA Mineracao, Siguiri and Sunrise Dam expected to increase production to higher levels," AngloGold said.

Write to Jaime Llinares Taboada at jaime.llinares@wsj.com; @JaimeLlinaresT

(END) Dow Jones Newswires

February 22, 2021 01:21 ET (06:21 GMT)

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