Anglogold Ashanti Signs Heads of Agreement with An
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ANANO
Anglogold Ashanti Signs Heads of Agreement with Antofagasta Plc
AngloGold Ashanti Limited
Incorporated in the Republic of South Africa
Registration Number: 1944/017354/06)
ISIN Number: ZAE000043485
JSE Share Code: ANG
("AngloGold Ashanti/Company")
ANGLOGOLD ASHANTI SIGNS HEADS OF AGREEMENT WITH ANTOFAGASTA PLC
AngloGold Ashanti Ltd is pleased to announce the signing of a Heads of Agreement
with LSE-listed Antofagasta PLC to jointly explore a highly prospective belt in
Southern Colombia for new gold and copper deposits. AngloGold Ashanti will
include all of its mineral applications, contracts, and third-party contracts
within the area of interest in the new joint venture.
Under the terms of the agreement, Antofagasta will commit to fund a minimum
of US$1.3m of exploration within 12 months of the signing of the agreement, with
the option of investing an additional US$6.7m within four years of the
commencement date of the agreement in order to earn-in to 50% of the joint
venture. Once Antofagasta has earned into its 50% interest, a joint management
committee will determine which properties are "copper-dominant" and which are
"gold-dominant" and, by funding bankable feasibility studies within eight years
of the commencement date of this agreement, Antofagasta and AngloGold Ashanti
will have the right to increase their interests in copper-dominant and gold-
dominant properties, respectively, by an additional 20%.
Commenting on the transaction, Executive Officer: Business Development
Richard Duffy said, `Our new relationship with Antofagasta reflects our
continuing commitment to expediently exploring our extensive land position in
Colombia, both through our own programme and, in some areas of our concession,
in partnership with other companies, thereby continuing to leverage our
significant first-mover advantage in this highly prospective region."
Ends
Johannesburg
14 July 2006
JSE Sponsor: UBS
Date: 14/07/2006 12:19:13 PM Produced by the JSE SENS Department
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