Johannesburg - The world's third-largest gold producer Anglo
Gold Ashanti [JSE:ANG] reported a 41% fall in second-quarter earnings on
Monday, as expected, despite a surprising rise in output.
The South Africa-based miner with global operations also
declared a dividend of about 12 US cents a share, in line with a Reuters' poll
of 5 analysts, and stuck to its 2012 production target of between 4.3 and 4.4
million ounces.
The company had already flagged that it expected a roughly
40% earnings drop in the three months to the end of June because of a lower
dollar gold price and a one-off boost to its first quarter profits from a
deferred tax credit.
Adjusted headline earnings came in at 65 US cents a share
compared to 111 US cents in the previous quarter.
The company said second quarter gold production of
"1.07 million ounces beats guidance on strong performances from
continental Africa and the Americas."
The company said total cash costs were up slightly at $801
an ounce but was also better than the company had flagged because of the
improved production and weaker local currencies. This benefits gold miners who
earn dollars with a cost base in domestic currencies.
Cash costs in the next quarter are seen rising to between
$835 and $865 an ounce, the company said.
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