This improvement includes increased production and a higher free cash flow
AngloGold Ashanti has published its annual report for the year 2023, showing a significant improvement in their second-half results compared to the first half.
This improvement includes increased production, reduced operating costs, and a higher free cash flow in the second half of the year.
The company's free cash inflow of $314m exceeded the first-half cash outflow
Read full articleof $205m. For the year 2023, AngloGold Ashanti generated $109m in free cash flow, which is a decrease from the $657m free cash inflow in the previous year, according to the annual report.
The group's gold production increased by 15% in the second half of 2023 to 1.388Moz, compared to 1.205Moz in the first half of the year. The total gold production for the year ending December 31, 2023, was 2.593Moz, which is above the guidance range.
The operational results in the second half of the year were significantly better than the first half of 2023, thanks to strong performances from subsidiaries such as Iduapriem, Kibali, Cuiabá, Tropicana, and Geita.
However, the group's gold production decreased by 3% in 2023 to 2.593Moz from 2.672Moz in 2022.
This decrease was mainly due to one-off challenges at Siguiri, which experienced a CIL tank failure in May 2023, and Obuasi, where poor ground conditions in high-grade areas during the second half of the year impacted gold production and total operating costs.
Fortunately, processing at Siguiri returned to full capacity at the beginning of November 2023, while Obuasi started to recover with a 33% increase in gold production from 46,000oz in Q3 2023 to 61,000oz in Q4 2023.
The total cash costs per ounce for subsidiaries improved by 7% in the second half of 2023 to $1,112/oz, compared to $1,202/oz in the first half of the year. For joint ventures, the total cash cost per ounce improved by 16% to $741/oz compared to $880/oz in H1 2023.
The group's total cash cost per ounce improved by 9% in the second half of 2023 to $1,060/oz, compared to $1,162/oz in H1 2023.
However, the total cash cost per ounce for subsidiaries increased by 11% in 2023 to $1,154/oz, compared to $1,040/oz in the previous year.
For joint ventures, the total cash cost per ounce increased by 11% in 2023 to $802/oz, compared to $725/oz in 2022. The group's total cash cost increased by 11% in 2023 to $1,108/oz, compared with $1,000/oz in 2022.
The increase in total cash costs for the group was due to lower production and higher total operating costs, including labor and contractors' costs, commodity prices, logistics costs, consumable stores, services, other charges, and royalty payments.AngloGold Ashanti has published its annual report for the year 2023, showing a significant improvement in their second-half results compared to the first half.
This improvement includes increased production, reduced operating costs, and a higher free cash flow in the second half of the year.
The company's free cash inflow of $314m exceeded the first-half cash outflow of $205m. For the year 2023, AngloGold Ashanti generated $109m in free cash flow, which is a decrease from the $657m free cash inflow in the previous year, according to the annual report.
The group's gold production increased by 15% in the second half of 2023 to 1.388Moz, compared to 1.205Moz in the first half of the year. The total gold production for the year ending December 31, 2023, was 2.593Moz, which is above the guidance range.
The operational results in the second half of the year were significantly better than the first half of 2023, thanks to strong performances from subsidiaries such as Iduapriem, Kibali, Cuiabá, Tropicana, and Geita.
However, the group's gold production decreased by 3% in 2023 to 2.593Moz from 2.672Moz in 2022.
This decrease was mainly due to one-off challenges at Siguiri, which experienced a CIL tank failure in May 2023, and Obuasi, where poor ground conditions in high-grade areas during the second half of the year impacted gold production and total operating costs.
Fortunately, processing at Siguiri returned to full capacity at the beginning of November 2023, while Obuasi started to recover with a 33% increase in gold production from 46,000oz in Q3 2023 to 61,000oz in Q4 2023.
The total cash costs per ounce for subsidiaries improved by 7% in the second half of 2023 to $1,112/oz, compared to $1,202/oz in the first half of the year. For joint ventures, the total cash cost per ounce improved by 16% to $741/oz compared to $880/oz in H1 2023.
The group's total cash cost per ounce improved by 9% in the second half of 2023 to $1,060/oz, compared to $1,162/oz in H1 2023.
However, the total cash cost per ounce for subsidiaries increased by 11% in 2023 to $1,154/oz, compared to $1,040/oz in the previous year.
For joint ventures, the total cash cost per ounce increased by 11% in 2023 to $802/oz, compared to $725/oz in 2022. The group's total cash cost increased by 11% in 2023 to $1,108/oz, compared with $1,000/oz in 2022.
The increase in total cash costs for the group was due to lower production and higher total operating costs, including labor and contractors' costs, commodity prices, logistics costs, consumable stores, services, other charges, and royalty payments.
