South African gold mining giant AngloGold Ltd said on Thursday it hoped to increase annual output to
6,5-million ounces over the next three to four years as expansion projects came on stream.
Chief Executive Bobby Godsell also said organic growth initiatives may increase AngloGold’s total proven and probable reserves by as much as 20% by the end of the year.
As part of this increase, the reserve increase on South African assets could be as high as 30% when reserves are restated at the end of the calendar year, he said.
”In the current stronger price environment and with our robust asset base we are able to combine our successful value focus with a sustained growth programme,” Godsell said.
Godsell made the comments in a presentation to the Denver Mining Investment Forum on Wednesday which were released in a statement by the company in Johannesburg on Thursday.
Godsell noted that AngloGold was on track to produce six million ounces of gold in 2002, and saw output climbing to 6,5-million ounces over the next three to four years as expansion projects came on line.
These projects include the Sunrise Dam expansion in Australia, and the CC&V joint venture in Colorado which will be officially opened later this week.
”These projects, together with two expansion programmes in South Africa and one new mine, will add 15 million new ounces to the life of AngloGold operations, at reduced cash costs,” Godsell said.
”In the context of the devaluation of the South African rand, we are now also examining six additional new projects in South Africa, most of which are extensions to existing operations,” he added. – Reuters