Mali frees Resolute executives after $160 million deal, AFP reports
The three executives, including CEO Terry Holohan, were freed from detention on Wednesday.
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AngloGold Ashanti (NYSE:AU) (JSE:ANG), the world’s third-largest gold miner by output, may be closer than ever to selling its Cripple Creek & Victor (CC&V) gold mine in Colorado, as it is said to be currently engaged in exclusive talks with Newmont Mining (NYSE:NEM).
The company has kept investors abreast of each stage of the sale, which according to Reuters’ sources is likely to raise well below the $1 billion that was initially speculated on by analysts.
In February, Africa’s top gold miner revealed it was planning to sell mines or share capital costs with partners. The move, said the company, aimed to reduce its $3.1 billion of net debt, partly accumulated during the decade-long bull run in gold to 2011.
In April, AngloGold identified CC&V as the mine being unloaded, and on May 11 said it had received binding bids.
If completed, the sale would be one of the largest of a U.S. gold asset since the price of the precious metal began falling in 2013.
AngloGold’s willingness to sell comes after chief executive Srinivasan Venkatakrishnan abandoned last year a proposal to restructure the South African group into two separate companies. Investors were unhappy at the prospect of a $2.1 billion rights issue that would have accompanied the restructuring.
The company is also seeking partners for its Obuasi mine in Ghana and a number of exploration projects in Colombia.
Other companies that had been eying the Cripple Creek asset and that may come back to the negotiation table if Newmont fails to strike a deal, are Canadian gold miners Kinross (NYSE:KGC) (TSE:K), Iamgold (TSE:IMG), Goldcorp (TSE:G) (NYSE:IAG) and Yamana (TSE:YRI), (NYSE:AUY).
