AngloGold Ashanti: 5 Reasons To Be Bullish
SomaBull • 15 Comments
SomaBull • 15 Comments
AngloGold Ashanti: The Restructuring Plan Could Fail
Mon, May 9, 7:39 AM
Thu, May 5, 4:58 PM
- AngloGold Ashanti (NYSE:AU) says it filed a dispute with Ghana at an international investor arbitration panel due to the country’s failure to protect its Obuasi operation from illegal miners.
- Security at Obuasi “continues to deteriorate” despite repeated requests for the army to flush out the illegal miners, undermining the ability to maintain key infrastructure, AU says as it registers a case against Ghana with the International Centre for Settlement of Investment Disputes in Washington, D.C.
- However, AU says the disruptions would have no effect on the company’s output or costs since the mine was not forecast to operating this year.
Wed, Apr. 13, 9:06 AM
- AngloGold Ashanti (NYSE:AU) -3.6% premarket after saying that illegal miners have taken control of areas at its Obuasi mine in Ghana that hold the richest deposits of gold.
- AU says it has it has "grave and mounting concerns" about illegal mining and looting at Obuasi, which has been idle since 2014 when the company laid off thousands of workers.
- AU warns it may consider its options as an investor if the illegal takeover continues; AU is seeking a partner to redevelop the mine, but talks with Randgold Resources fell apart in December.
- Now read RBC upgraded AngloGold Ashanti: A good long-term candidate
Mon, Apr. 11, 12:39 PM
- Gold miners are surging amid higher gold prices and a positive research note from RBC Capital, as the Market Vectors Gold Miners ETF (GDX +4.9%) powers higher with all 39 of its equity components rising.
- Kinross Gold (KGC +6.9%) and AngloGold Ashanti (AU +4.9%) are upgraded to Outperform at RBC, citing valuation amid an increase in the firm's 2016 gold price outlook to $1,250/oz. from $1,150; the firm says KGC's production profile has improved with the 2015 acquisition of mines from Barrick Gold (ABX +5.6%) and the planned Tasiast expansion, while AU represents the most robust opportunity in its South African coverage, supported by a diverse, low cost asset portfolio.
- Goldcorp (GG +3.8%) is sharply higher despite RBC's downgrade to Underperform, as the firm believes shares trade at a significant premium to Tier 1 peers and management needs to re-establish investor confidence in operations and strategy.
- Also: NEM +5.7%, AEM +4.9%, FNV +2.9%, HMY +3.8%, EGO +7.9%, NG +7.6%, HL +4.4%, GFI +3.1%, GOLD +1.7%, SBGL +6%, SLW +4.2%.
- Other ETFs: NUGT, GGN, DUST, SIL, GLDX, SGDM, ASA, SLVP, RING, PSAU, TGLDX, GDXX, GDXS
- Now read Kinross Gold: Analyst estimates following the news on Tasiast mine expansion
Mon, Apr. 11, 9:21 AM
Wed, Mar. 30, 5:39 PM
Tue, Mar. 29, 5:42 PM
Thu, Mar. 24, 3:47 PM
- Gold production in Mali is expected to rise to 52.9 metric tons this year from 50.5M metric tons in 2015, as new mines made up for dwindling output from existing projects, according to the country's mining ministry.
- Mines held by Randgold Resources (GOLD +1.7%) at Loulo and Gounkoto lead with expected output of 21.8M metric tons, followed by Resolute Mining's (OTCPK:RMGGF) Syama mine with 7.45M metric tons and Endeavour Mining's (OTCQX:EDVMF) Tabakoto mine with 5.5 tons.
- Production at AngloGold's (AU +1.3%) Sadiola mine is ranked fourth, but projected output of 5.2M metric tons represents a ~15% Y/Y decline.
Tue, Mar. 8, 11:59 AM
- South African gold stocks appear fully valued after high gold prices and the weak rand have fattened miners' margins and stock prices, RBC Capital's Richard Hatch says.
- The analyst thinks Sibanye Gold (SBGL -0.1%) is most at risk for a pullback, given its 100% exposure to South Africa, the commitment to a robust dividend and the risk of underperformance from the soon-to-be-acquired platinum division.
- Hatch sees AngloGold (AU -4.9%) as the most defensive name of the group, with a well-diversified group of assets., but a lack of clear catalysts to push the stock means the shares are now fairly valued.
- Gold Fields (GFI -3.9%) is a "mixed bag," with a lack of clear progress from Australian exploration, no decision yet on Damang and a slight shortening of life at Cerro Corona, with South Deep a surprising bright spot.
- Hatch rates the three stocks at Sector Perform.
Fri, Mar. 4, 5:40 PM
Mon, Feb. 22, 9:04 AM
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
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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