Randgold Resources Limited and AngloGold Ashanti Limited have concluded an investment agreement aimed at the formation of a joint venture to redevelop and operate AngloGold Ashanti’s Obuasi gold mine in Ghana

A solid all-round performance from its operations, with improvements in grade, throughput and recovery, powered Randgold Resources to a new gold production record in the quarter ended June, and lifted profit in the face of a declining gold price.

Randgold Resources is gearing up to take over the underground mining operations at Loulo’s Yalea and Gara mines in line with its continuing drive to reduce costs and develop a multi-skilled Malian mining team.

Gold mine in Mali is a shining example of how a world-class mineral resource can be optimally exploited to the benefit of all its stakeholders, says Randgold.

Work still continues on the development of its underground operation and second hydropower plant.

The mine's management made significant progress in dealing with the recovery and throughput challenges that had hampered the operation in its early stages.

The ongoing search for additional reserve ounces at Kibali will secure its future as a long-life mine and one of Africa’s largest gold producers, Randgold Resources chief executive Mark Bristow said.

Randgold owns and operates the Morila, Loulo and Gounkoto gold mines in Mali.

Randgold Resources chief executive Mark Bristow argues that the looming undersupply of gold will create opportunities for mineral-rich African countries but they will have to compete aggressively for shrinking exploration dollars.

With a record performance from Randgold's flagship Loulo-Gounkoto complex, production for the quarter increased by 27% to 210,534 ounces against the previous quarter's 165,443 ounces.

Rapid progress on the predevelopment phase of the giant Kibali gold project in the Democratic Republic of the Congo (DRC) is paving the way for the targeted mid-year start of mine construction.