AngloGold Ashanti Posts Q3 Loss

(RTTNews) - Gold producer, AngloGold Ashanti (AU, AGD.L), Wednesday reported a loss for third-quarter, which was impacted by special items including impairment, fair value adjustment on $1.25bn bonds, and higher finance costs and unwinding of obligations.

For the three-month period, the company reported loss of $6 million, compared with profit of $187 million last year. On a per share basis, loss was 9 cents per share, compared with profit of 48 cents per share a year ago.

Adjusted headline earnings or AHE were $576 million or 148 cents per share in the three months ended 30 September 2013.

Revenues for the period were $1.41 billion, compared with $1.66 billion a year ago. The company said its gold production for the three months to September 30, was 1.043Moz at a total cash cost of $809/oz.

The company said it cut unprofitable ounces from its production base, optimised its capital expenditure and enhanced efficiency by slashing waste and improving its mine plans, as a response to sharp drop in the gold price this year. The gold producer added that its Executive has led a drive since the appointment of the new CEO in May, to realise targeted cuts of $460 million from corporate and exploration costs, $500 million from direct operating cost savings and also to reduce capital expenditure after two new projects poured their first gold in September.