AngloGold Ashanti Limited
(Incorporated in the Republic of South Africa)
Reg. No. 1944/017354/06
ISIN. ZAE000043485 – JSE share code: ANG
CUSIP: 035128206 – NYSE share code: AU
(“AngloGold Ashanti” or the “Company”)
NEWS RELEASE
ANGLOGOLD ASHANTI AGREES TO ACQUIRE NEVADA PROPERTIES FROM COEUR MINING TO
FURTHER CONSOLIDATE AND ENHANCE DEVELOPMENT POTENTIAL OF THE BEATTY
DISTRICT OF NEVADA
AngloGold Ashanti Limited has entered into a definitive agreement with Coeur Mining, Inc. to acquire 100% of
Coeur’s wholly owned subsidiary, Coeur Sterling, Inc., which owns neighboring properties to AngloGold
Ashanti’s in the Beatty district of southern Nevada. The properties to be acquired in the transaction include
Coeur’s C-Horst, SNA, Secret Pass and Daisy ore bodies, as well as the decommissioned Sterling Mine and
all tenements that surround these properties.
AngloGold Ashanti U.S.A. Holdings Inc., a wholly-owned subsidiary of AngloGold Ashanti, will acquire all
shares of Coeur Sterling for $150m in cash when the transaction closes.
“This acquisition further enhances the value proposition we are building in the Beatty District,” said AngloGold
Ashanti CEO Alberto Calderon. “The addition of these properties consolidates our ownership position in one
of North America’s most promising new gold districts, and gives us the ability to develop it in a way that will
realise its full potential for the benefit of all stakeholders.”
Coeur currently estimates that the properties to be acquired in this transaction have a Mineral Resource of
914,000oz. If, after additional exploration, AngloGold Ashanti declares a Mineral Resource from these
properties that is greater than 3.5Moz*, AngloGold Ashanti would make the deferred consideration payment
of an additional $50m. This deferred consideration would be made 30 days after that Mineral Resource
declaration is made.
Transaction Highlights
This acquisition presents a compelling strategic fit with AngloGold Ashanti’s assets in the Beatty District of
Nevada and its aspirations for the optimal development of that district into a new, low-risk production centre,
further consolidating the land and tenement ownership within the Beatty District, as the Coeur Southern
Nevada Properties are immediately south of AngloGold Ashanti’s Silicon and Merlin properties, and
completely surround AngloGold Ashanti’s Mother Lode property.
Benefits to AngloGold Ashanti from the transaction include:
i)
Coeur’s C-Horst orebody is located in the vicinity of AngloGold Ashanti’s Merlin orebody, where AngloGold Ashanti is currently undertaking extensive exploration activities. The C-Horst and Merlin orebodies are expected to provide additional economies of scale to AngloGold Ashanti’s Silicon project, or be developed on a standalone basis;
ii)
unfettered access to the district, allowing for optimal development and extraction of the Merlin and C-Horst orebodies;
iii)
unfettered access allowing for optimal development and extraction of AngloGold Ashanti’s Mother Lode orebody in combination with Coeur’s SNA orebody which is directly adjacent to Mother Lode.
The combination of the enlarged Mother Lode with SNA, together with Coeur’s Secret Pass and Daisy
orebodies, could further enhance the ultimate development of Mother Lode; and
iv)
a vast land package that provides AngloGold Ashanti with further exploration upside potential and other benefits from further consolidation and a larger land holding within the Beatty District
.
