Anglogold Ashanti Plc

Anglogold Ashanti Plc is a senior gold producer headquartered in Denver, United States, operating primarily in Africa. The company's portfolio consists of 13 projects, comprising 11 operating mines and 2 development projects. Key assets include Geita, Obuasi, and Sukari. The entity's business model is centered on a diverse, high-quality portfolio managed through a simplified operating model implemented in 2022, which enhanced operational autonomy and accountability. A core operational approach is the Full Asset Potential program, a framework designed to deliver tangible cost reductions and drive efficiencies across all operations. The organization pursues value-accretive opportunities by leveraging existing assets, skills, and experience. The investment case is built on lowering costs, maintaining a robust balance sheet, making disciplined investments, and returning cash to shareholders. This is supported by a clear capital allocation framework and a focus on sustained shareholder returns. The enterprise is committed to creating an inclusive and collaborative environment based on trust, respect, and dignity, which guides its business conduct and interactions with all partners.

Strategic focus areas are clearly defined to generate sustainable cash flow improvements. Priorities include optimizing overheads, costs, and capital expenditure to maximize margins throughout price cycles, supported by the Full Asset Potential program. The organization aims to maintain financial flexibility by ensuring sufficient liquidity and adhering to a leverage ratio target of less than 1x through the cycle, guided by a robust capital allocation framework. A key objective is maintaining long-term optionality by continually replenishing its mineral inventory through a combination of greenfield and brownfield exploration, project development, and targeted, value-accretive acquisitions. The entity actively manages its asset portfolio to improve the overall quality and longevity of its production base, which involves developing new lower-cost operations and divesting assets when appropriate. Foundational to its strategy is a commitment to people, safety, and sustainability, aiming for zero harm and responsible environmental stewardship.

Executive leadership is led by a CEO with extensive experience across the mining, petroleum, and energy sectors, including senior roles at BHP Group Plc and Orica. The CFO brings over 25 years of finance and commercial experience in natural resources from a 15-year career at Rio Tinto. The Board of Directors consists of 11 members, including 9 independent Non-executive Directors and 2 Executive Directors, ensuring a strong independent majority. Board oversight is structured through 4 primary committees: Audit and Risk; Compensation and Human Resources; Nominations and Governance; and Social, Ethics, and Sustainability. A comprehensive external Board review was conducted in 2024 by Lintstock to enhance effectiveness. The governance framework is supported by a revised operating model that simplified reporting lines and empowered operational decision-making. The company utilizes a third-party administered Speak-up platform to ensure anonymous and confidential reporting of ethical concerns, with results reviewed by the Audit and Risk and the Social, Ethics, and Sustainability Committees.

The sustainability strategy is underpinned by a commitment to reduce absolute Scope 1 and 2 greenhouse gas emissions by 30% by 2030 from a 2021 baseline, with a goal of achieving net-zero emissions by 2050. Key decarbonization initiatives include the commissioning of a large-scale renewable energy facility and transitioning a major operation from diesel self-generation to a national grid with a significant renewable component. The organization is a signatory to the ICMM’s Nature Position Statement, committing to no net loss of biodiversity at closure. Workplace safety is a paramount focus, with a total recordable injury frequency rate of 0.98 per million hours worked in 2024, which is less than half the ICMM member average. The entity employs a 'double materiality' framework to identify and manage key sustainability issues, integrating both financial and impact materiality into its Enterprise Risk Management system. Community engagement includes working with host governments to address complex challenges such as illegal mining.

In November 2024, the organization completed the acquisition of Centamin plc, a transaction primarily settled with shares and some cash, aimed at adding a significant, cash-generative asset to its portfolio. This was the company's first major transaction in over 2 decades. In October 2024, the entity finalized the sale of its interests in the Société d’Exploitation des Mines d’Or de Yatela S.A. to the government of Mali, marking the end of its presence there. The group maintains a joint venture operated by Barrick Gold Corporation. A corporate restructuring was completed in 2023, which established AngloGold Ashanti plc as the new UK-incorporated parent company. As of 31 December 2024, major shareholders included the Public Investment Corporation of South Africa, holding 11.21%, and BlackRock Inc., holding 7.70% of the company's issued share capital. The company is also engaging with Gold Fields on a proposed joint venture.