SOURCE: AngloGold Ashanti

December 15, 2008 07:56 ET

AngloGold Ashanti Acquires São Bento Gold Limited

JOHANNESBURG, SOUTH AFRICA--(Marketwire - December 15, 2008) - Further to its announcement of 31 July 2008, AngloGold Ashanti (NYSE: AU) is pleased to announce that it has today completed the purchase of São Bento Gold Company Limited ("SBG") and its wholly-owned subsidiary, São Bento Mineração S.A. ("SBMSA") from Eldorado Gold Corporation ("Eldorado") for a consideration of US$70 million. The purchase price was settled through the issuance of 2,701,660 AngloGold Ashanti shares.

The purchase of SBG and SBMSA gives AngloGold Ashanti access to the São Bento mine, a gold operation located in the immediate vicinity of AngloGold Ashanti's proposed Córrego do Sítio mine, located in the municipality of Santa Bárbara, Iron Quadrangle region of Minas Gerais State, Brazil. The acquisition of the São Bento mine provides AngloGold Ashanti with the potential to double the scale of the proposed Córrego do Sítio mine, which once developed will significantly enhance AngloGold Ashanti's Brazilian asset base.

Certain statements made in this communication, including, without
limitation, those concerning AngloGold Ashanti's strategy to reduce its
gold hedging position including the extent and effects of the reduction,
the economic outlook for the gold mining industry, expectations regarding
gold prices, production, cash costs and other operating results, growth
prospects and outlook of AngloGold Ashanti's operations, individually or in
the aggregate, including the completion and commencement of commercial
operations of certain of AngloGold Ashanti's exploration and production
projects and completion of acquisitions and dispositions, AngloGold
Ashanti's liquidity and capital resources, including its intentions and
ability to refinance its $1 billion convertible bond, and expenditure and
the outcome and consequences of any pending litigation proceedings, contain
certain forward-looking statements regarding AngloGold Ashanti's
operations, economic performance and financial condition. Although
AngloGold Ashanti believes that the expectations reflected in such forward-
looking statements are reasonable, no assurance can be given that such
expectations will prove to have been correct. Accordingly, results could
differ materially from those set out in the forward-looking statements as a
result of, among other factors, changes in economic and market conditions,
success of business and operating initiatives, changes in the regulatory
environment and other government actions, fluctuations in gold prices and
exchange rates, and business and operational risk management. For a
discussion of such factors, refer to AngloGold Ashanti's annual report for
the year ended 31 December 2007, which was distributed to shareholders on
31 March 2008, and report to shareholders for the quarter and nine months
ended 30 September 2008, which was distributed to shareholders on 30
October 2008. AngloGold Ashanti undertakes no obligation to update publicly
or release any revisions to these forward-looking statements to reflect
events or circumstances after today's date or to reflect the occurrence of
unanticipated events. All subsequent written or oral forward-looking
statements attributable to AngloGold Ashanti or any person acting on its
behalf are qualified by the cautionary statements herein.

AngloGold Ashanti posts information that is important to investors on the
main page of its website at and under the
"Investors" tab on the main page. This information is updated regularly.
Investors should visit this website to obtain important information about
AngloGold Ashanti.

Contact Information

  • Contacts

    South Africa

    Himesh Persotam (Investor Relations)
    Tel: +27 (0) 11 637-6647
    Mobile: +27 (0) 82 339 3890
    E-mail: Email Contact

    Alan Fine (Media)
    Tel: +27 (0) 11 637-6383
    Mobile: +27 (0) 83 250 0757
    E-mail: Email Contact

    Joanne Jones (Media)
    Tel: +27 (0) 11 637-6813
    Mobile: +27 (0) 82 896 0306
    E-mail: Email Contact