AngloGold announced this week that it has started sales process for Mponeng, the world’s deepest mine and its last underground operation in South Africa. The sale enters the final stage in AngloGold’s withdrawal from South Africa after it sold and closed other mines to stem losses. Anglo American Plc was created in 1917 by Ernest Oppenheimer which spearheaded the development of the world’s biggest gold industry transforming South Africa into the continent’s leading economy. In 1998, Anglo merged its separate gold subsidiaries to create AngloGold Ltd. Sale of the South African assets would allow AngloGold to focus on projects with higher returns. However, no deadline has been drawn for completing the deal, according to the Chief Executive Officer Kelvin Dushnisky.The company spokesperson said that buyers with financial and technical expertise in South Africa, are being considered. Company os already in talks with the government and union representatives.
AngloGold’s expansion outside South Africa started in 2004 when it acquired Ghana’s Ashanti Goldfields Ltd. Currently, it operates mines on four continents. Retaining Mponeng would reportedly require AngloGold to invest about $1 billion to extend the mine’s life beyond its current eight years.
