AngloGold Ashanti: Q3 2024 Earnings Surge Amidst Operational Turnarounds and Strategic Acquisitions

AngloGold Ashanti, a leading global gold mining company, reported a remarkable quarter in Q3 2024, with significant improvements in earnings and cash flow, driven by operational turnarounds and strategic acquisitions. The company's strong performance underscores its commitment to cost control, operational excellence, and strategic growth.

The quarter was marked by a 339% year-on-year increase in Adjusted EBITDA to $746m and a sharp rise in free cash flow to $347m, up from $20m in the same period last year. This impressive growth can be attributed to AngloGold Ashanti's disciplined cost management and active working capital management, which helped the company capitalize on higher gold prices.

Despite persistent high inflation in several operating jurisdictions, AngloGold Ashanti demonstrated remarkable cost control, with total cash costs per ounce for managed operations rising only 3% year-on-year to $1,186/oz. This, coupled with a 28% increase in the average gold price received per ounce to $2,449/oz, resulted in a substantial increase in earnings and cash flows.

The operational turnaround in Brazil played a significant role in the company's strong performance. The resumption of processing gold concentrate at the Queiroz plant in September 2024 marked a key milestone in this turnaround, enabling AngloGold Ashanti to increase gold production and reduce costs.


The acquisition of Centamin and its Tier One Sukari mine in Egypt also contributed to AngloGold Ashanti's impressive growth. The Sukari mine produced 450,000oz of gold in 2023 at an AISC per ounce of $1,196/oz, well below AngloGold Ashanti's current average AISC. This acquisition ensures a higher proportion of AngloGold Ashanti's gold production is derived from Tier One assets, enhancing its competitiveness and providing flexibility for disposal options of higher-cost Tier Two mines.


AngloGold Ashanti's strong Q3 2024 performance demonstrates the company's ability to navigate challenging market conditions and capitalize on opportunities for growth. With a focus on cost control, operational excellence, and strategic acquisitions, AngloGold Ashanti is well-positioned to continue delivering value to shareholders. As the company continues to execute on its strategic plan, investors can expect to see further improvements in earnings and cash flow, making AngloGold Ashanti an attractive investment opportunity in the gold mining sector.