AngloGold Ashanti delivers steady start to 2024 as gold production up 2% YoY; Obuasi mine on track to achieve 2024 gold production forecast
AngloGold Ashanti has reported a 2% year-on-year increase in first-quarter gold production, in line with its plans despite the previously reported impact of rains and flooding in Western Australia on gold production which contributed to a drop of about 15,000oz in production in the first quarter relative to the previous quarter.
Gold production was 2% higher year-on-year at 581,000oz for the first quarter of 2024, compared to 572,000oz for the first quarter of 2023, driven mainly by higher recovered grades, and partly offset by lower tonnes processed.
Strong improvements in gold production versus the first quarter of last year were recorded at Cuiabá (AGA Mineração) (+55%) and Serra Grande (+40%), where initiatives have been taken to improve overall performance, as well as at Kibali (+19%) and at Geita (+16%).
This increase in gold production was partly offset by lower gold production at Siguiri (-35%), where carbonaceous ore in the Bidini pit resulted in poor recoveries, and at Tropicana (-17%), where severe flooding, caused by a tropical cyclone, inundated underground and open pit mining areas as well as access roads to the remote site.
Both mines have since recovered to normalised gold production levels. Sunrise Dam (-8%) also suffered from the heavy rainfall in Western Australia, albeit to a lesser extent than Tropicana, while gold production at Cerro Vanguardia (-7%) was lower due to a planned plant stoppage.
At Obuasi, gold production was 54,000oz, in line with the mine plan, as mining occurred in lower-grade areas. Obuasi’s underground ore tonnes treated averaged 91,000t/pm for the first three months of 2024. Underground tonnes treated and grade are expected to increase in the second half of 2024, supported by additional development. The mine remains on track to produce an anticipated 275,000oz – 320,000oz of gold in 2024.
“This is a good start to the year, with another strong safety result and a good overall performance from the portfolio,” said Chief Executive Officer Alberto Calderon. “We’re seeing greater consistency from most of our operations; in Brazil, both sites have shown significantly better performance, with greater production control and stability. Geita and Kibali were strong again, and Obuasi’s ramp-up remains on track.”
The Denver-headquartered AngloGold Ashanti continues to take steps to close the value gap that exists with its North American peers by improving safety, relative cost performance and cash conversion, while increasing the life of its key mines and prioritizing the successful development of major projects.
