OWN CORRESPONDENT, Johannesburg | Wednesday
WORLD number one gold producer AngloGold posted a R132m net loss in the fourth quarter of 2000, due mainly to R700m in asset impairments reflecting a lower gold price.
Operating profit rose 9% to R889m in the quarter to December 31, while headline earnings improved 1% to R430m.
But the quarter turned to loss after a R394m profit in the September period. The company wrote down the book values of several assets ”to reflect their cash-generating capacity at today’s gold price”.
AngloGold said gold output rose 2% to 57_906 kg in the period to December 31, despite another disappointing quarter from its South African mines.
AngloGold said it would ”act decisively” if poor performances continued at its Bambanani and Joel mines in South Africa. The company agreed to sell two other underperforming mines during the quarter to Harmony Gold.
Total costs were 3% higher than the previous September quarter, but the company has set a target to reduce costs by at least 10% in 2001. – Reuters