AngloGold Ashanti: 5 Reasons To Be Bullish
SomaBull • 15 Comments
SomaBull • 15 Comments
AngloGold Ashanti: The Restructuring Plan Could Fail
Mon, Feb. 22, 8:57 AM
- AngloGold Ashanti (NYSE:AU) says its net debt fell by 30% Y/Y to $2.19B during FY 2015, achieving its stated goal of reducing debt by at least $1B during the current downturn in gold prices.
- AU says Q4 production of 997K oz. was down 14% Y/Y but up 2% Q/Q, and all-in sustaining costs of $860/oz. were 14% better than the year-ago quarter, which it says reflects rigorous cost and capital allocation discipline across the company.
- AU sees 2016 production of 3.6M-3.8M oz., vs. 3.95M oz. in 2015, with estimated total cash costs of $680-$720/oz. and all-in sustaining costs of $900-$960/oz. at average exchange rates against the U.S. dollar.
- AU +0.5% premarket.
Fri, Feb. 19, 5:39 PM
Thu, Feb. 18, 5:44 PM
Tue, Feb. 16, 3:49 PM
- Gold prices tumbled to their sharpest single-session loss since March 2015, based on most-active contracts, as investors turned more optimistic on the global economy after stock markets rallied and the European Central Bank said it stood ready to boost stimulus measures if needed.
- Adding to gold's decline was a report from Goldman Sachs commodities chief Jeffrey Currie, who said it is time to bet against the traditional safe haven as investor fears are overdone and do not justify the recent rally.
- "On net, fears around China, oil and negative interest rates have likely been overstated in the gold price and other financial markets," Currie says, doubling down on an earlier prediction that gold will slump to $1,100/oz. in three months and $1,000/oz. in 12 months.
- ABX -5.2%, NEM -5.1%, GG -5.5%, AEM -4.1%, SLW -2.9%, KGC -9.5%, NG -5.8%, AU -10.1%, FNV -3.8%, GFI -10.7%, HMY -5.3%, SBGL -11.6%, IAG -10.7%, GOLD -6.5%, EGO -10.5%, AUY -7.1%, HL -7.7%.
- ETFs: GLD, SLV, GDX, NUGT, IAU, AGQ, GGN, CEF, PSLV, DUST, SIL, PHYS, USLV, SIVR, SGOL, ZSL, UGL, GLDX, DGP, GTU, SPPP, GLL, UGLD, DZZ, SLVO, GLDI, SGDM, DSLV, ASA, OUNZ, SLVP, DGL, DBS, GLTR, RING, DGZ, DGLD, DBP, WITE, PSAU, TGLDX, USV, GEUR, GYEN, JJP, UBG, GDXS, GDXX
Tue, Feb. 16, 9:13 AM| Tue, Feb. 16, 9:13 AM | 1 Comment
Fri, Feb. 12, 11:49 AM
- Argentina Pres. Macri, who took office in December on a platform of repealing government intervention that had choked investments, announces a tax relief plan for mining companies operating in the country.
- The tax cut adds to Macri’s elimination of currency and capital controls that, along with falling prices, led to a $2B slump in mining exports since 2012.
- Barrick Gold (ABX -0.5%) operates the Veladero mine in Argentina, AngloGold Ashanti (AU -2.5%) owns a 92.5% stake the Cerro Vanguardia mine, and Goldcorp’s (GG +1.8%) assets in the country include a 37.5% stake in the Glencore-controlled Alumbrera (OTCPK:GLCNF, OTCPK:GLNCY) mine and its Cerro Negro mine.; other foreign mining companies with Argentine operations include Yamana Gold (AUY -0.3%) and Silver Standard Resources (SSRI +1.3%).
Thu, Feb. 11, 3:27 PM
- Gold stocks (GDX +7.8%) power higher as April gold futures jumped by $53.20/oz., or +4.5%, to settle at $1,247.80, the highest level since February 2015 and the biggest one-day dollar and percentage gain since September 2013, as investors sought safe-haven assets amid the global equity market rout.
- A growing universe of government bonds with negative yields has helped gold, while a lower U.S. dollar has made it cheaper for buyers in other currencies to purchase gold.
- Investor sentiment “seems to be thawing at the start of 2016, with a focus on gold’s wealth preservation and risk diversification properties,” the World Gold Council says.
- ABX +4.8%, GG +4.4%, AEM +8.7%, SLW +6.3%, KGC +14.2%, NG +6.2%, AU +7.4%, FNV +6.8%, GFI +10.8%, HMY +15.1%, SBGL +16%, IAG +12.3%, GOLD +4%, EGO +14%, AUY +9%, BTG +15.2%, HL +8.8%.
- ETFs: GLD, SLV, NUGT, IAU, AGQ, GGN, PSLV, DUST, SIL, PHYS, USLV, SIVR, SGOL, ZSL, UGL, GLDX, DGP, GTU, GLL, UGLD, DZZ, SLVO, GLDI, SGDM, DSLV, ASA, OUNZ, SLVP, DGL, DBS, RING, DGZ, DGLD, PSAU, TGLDX, USV, GEUR, GYEN, UBG, GDXS, GDXX, QGLDX
Thu, Feb. 11, 9:13 AM
- Gainers: DDD +15%. AG +14%. FSM +13%. TRIP +12%. MUX +11%. AUY +11%. SBGL +11%. GFI +10%. AGI +10%. LC +10%. GG +10%. CDE +9%. EGO +9%. KGC +9%. HMY +9%. IAG +9%. EXPE +8%. ABX +8%. NEM +8%. SLW +8%. SSRI 8%. AU 7%. AEM 7%. HL 7%. NG 7%. CSCO 6%. SKX 5%.
- Losers: FLO -18%. INCY -15%. SFL -13%. MYL -13%. BTU -13%. ZNGA -13%. SNOW -11%. IFF -10%. ELMD -9%. AVP -8%. CS -7%. BCS -7%. SUNE -6%. CIG -5%. TWTR -6%.
Tue, Feb. 9, 6:55 PM
- AngloGold Ashanti (NYSE:AU) asks Ghana to redeploy troops to its Obuasi mine after an employee died in an attack by hundreds of illegal miners on the facility last week.
- AU says the military withdrew from Obuasi on Feb. 2 following several attacks at the site during Jan. 30-31, and hundreds of illegal miners stormed the mine days later, killing a staff member.
- AU fired workers and put the mine on limited operations last year as costs soared and the price of bullion fell; it says it plans to keep searching for a partner and find a solution for the mine before the end of the year.
Mon, Feb. 8, 9:49 AM
- AngloGold Ashanti (AU -0.9%) wants to find a solution for its aging Obuasi mine in Ghana by H2 of this year, CEO Srinivasan Venkatakrishnan tells Bloomberg.
- AU cut workers and placed Obuasi on limited operations last year as costs spiraled to more than $1,500/oz., but the CEO says returns can be improved once the government agrees to a tax regime and mining laws.
- AU needs a partner to help access the mine's 5.29M oz. of gold situated in high-grade ore yielding 6.7 grams/ton; Randgold Resources (GOLD +6.8%) in December rejected a proposal to redevelop the mine with AU, saying the project does not meet its investment criteria.
Fri, Feb. 5, 5:38 PM
Wed, Feb. 3, 5:33 PM
- Mining companies that have been hit hard by weakening Chinese demand surged the most in five months today, as a rally in metal prices signaled production cuts are starting to pay off, Bloomberg reports.
- Newmont Mining (NEM +11.3%), Freeport McMoRan (FCX +11.2%) and First Quantum Minerals (OTCPK:FQVLF +16.6%) all gained at least 11% today in leading the Bloomberg Americas Mining Index to a 7% surge and its biggest increase since August.
- Gold futures broke above their 200-day MA for the first time since October, and zinc, copper, aluminum, nickel, lead and tin all gained, helped by the outlook for tighter supplies and a plunge in the dollar.
- In today's trade: ABX +8.8%, GG +10.2%, AEM +5.5%, SLW +8.7%, KGC +10.3%, NG +6.6%, AU +9.6%, FNV +7%, GFI +8.5%, HMY +5.1%, SBGL +6.1%, IAG +9.6%, GOLD +3.6%, EGO +8.3%.
- ETFs: GLD, GDX, NUGT, IAU, GGN, DUST, PHYS, SGOL, UGL, GLDX, DGP, GTU, GLL, JJC, UGLD, DZZ, DBB, SGDM, ASA, OUNZ, DGL, DGZ, RING, DGLD, JJN, PSAU, JJU, TGLDX, CPER, UBG, JJT, BOM, RJZ, BOS, FOIL
Tue, Jan. 26, 9:22 AM
Wed, Jan. 20, 12:45 PM
Fri, Jan. 15, 9:29 AM
Thu, Jan. 14, 5:40 PM
AngloGold Ashanti Ltd. is a gold mining and exploration company. Its main business includes gold exploration, mining and production of gold, manufacturing, marketing and selling of gold products. AngloGold Ashanti was founded in 1944 and is headquartered in Johannesburg, South Africa.
Sector: Basic Materials
Country: South Africa
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