AngloGold: New mine partner requires investment deal

Cape Town - Africa's top gold producer AngloGold Ashanti [JSE:ANG] said on Wednesday that it would not look for a new joint venture partner for its Obuasi mine in Ghana until it had an investment agreement with the government.

Randgold Resources in December pulled out of a joint venture with AngloGold to redevelop Obuasi, a decision that could spell closure for one of Ghana's most important mines.

"With regards to Obuasi, we are firmly of the view that we must progress our discussion with the Ghanaian government to obtain all regulatory approvals that are necessary to conclude a satisfactory investment agreement," AngloGold chief executive Sraian inivasan Venkatakrishnan, who goes by the name Venkat, told the Investing in African Mining conference.

"Only then will we restart the search for a joint venture partner," Venkat said.

AngloGold laid off thousands of workers at the mine in the central Ashanti region in 2014 and depressed bullion prices have left questionsmarks around the mine's viability.