AngloGold expects more mine sales as producers chase margins

|About: AngloGold Ashanti Limited (AU)|By:, SA News Editor

Hinting at more mine sales ahead, AngloGold Ashanti (AU -0.2%) execs say the biggest miners will put more assets on the block as they seek to bolster margins ahead of a forecast slump in prices.

"Operations that don’t really give you much margin at those prices, really don’t belong in your portfolio, so you will see that continue," says AngloGold VP Graham Ehm; of his own company, Ehm says operations remain under review for potential sales or spinouts, with gold prices more likely to decline than to advance beyond $1,400/oz.

With operations across 10 countries, AU may consider potential sales of assets, including Obuasi in Ghana, Sadiola in Mali or Colombia’s La Colosa, analysts say.