Slide 1: Results for the 4th quarter and year
Results for the 4th quarter and year 31 December 1999
Slide 2: Gold market overview
Gold market overview Better average spot price ($295/oz) (3rd quarter: $259/oz; year: $278/oz) ECB announcement – important re-assurance Physical demand in 1999 – encouraging trend expected AngloGold lower hedging in 4th quarter and going forward
Slide 3: Highlights of the year
HighIights of the year Headline earnings up 30% to R1.9 billion Gold production up 5% Cash costs down 6% to $212/oz Total costs down 6% to $244/oz Final dividend of R11.00 Total dividend for the year R20.00 (29% up on 1998) Dividend yield: 6.3% (at R350 per share) 12% return on capit
Slide 4: Key features of the quarter
Key features of the quarter Headline earnings down 6% Gold production down 5% Cash costs and total costs up 7% Production decrease in Americas and Mali to planned levels 4% decline in SA production – focus of management attention going forward
Slide 5: Abridged balance sheet
Abridged balance sheet Imperial DecSept Dec 1999 19991998 US$m US$mUS$m Mining assets and goodwill 3,109 2,595 1,960 Cash and cash equivalents 494 471 255 Other net (liabilities) assets (68)117 96 3,535 3,183 2,311 Shareholders’ equity 1,658 1,391 1,164 Borrowings 828 828 184 Deferred taxation 711 6
Slide 6: Abridged balance sheet
Abridged balance sheet Metric DecSept Dec 1999 19991998 Rm RmRm Mining assets and goodwill 19,132 15,591 11,525 Cash and cash equivalents 3,041 2,828 1,497 Other net (liabilities) assets (415)704 567 21,758 19,123 13,589 Shareholders’ equity 10,203 8,357 6,844 Borrowings 5,097 4,976 1,081 Deferred t
Slide 7: Abridged cash flow statement
Abridged cash flow statement Imperial QuarterYear Year ended endedended Dec DecDec 1999 19991998 US$m US$mUS$m Cash from operations 225 608 610 Taxation paid (17)(100) (111) Net acquisition of subsidiaries 5 (464) - Investment acquired (1)(2) (4) Proceeds from sale of investments 4 219 7 Proceeds fr
Slide 8: Abridged cash flow statement
Abridged cash flow statement Metric Quarter Year Year ended ended ended Dec Dec Dec 1999 1999 1998 Rm Rm Rm Cash from operations 1,374 3,712 3,397 Taxation paid (106) (611) (615) Net acquisition of subsidiaries 33 (2,838) - Investment acquired (5) (13) (25) Proceeds from sale of investments 22 1,338
Slide 9: Looking forward
Looking forward Significant, positive change in risk profile with Minorco and Acacia acquisitions: increased production (to 1.5m oz) from surface and shallow mining intensified search for further opportunities for diversity in 2000 Four major SA projects expected to produce 25m oz at around
Slide 10: SA operations
SA operations The year Kopanang, Tau Lekoa, Tshepong and Mponeng improve performance Ergo maintains a steady performance Great Noligwa exceeds production targets despite a grade fall-off Gold production decreases by 10% (6% planned) to 179t (5.7m oz) Cash costs decrease to $225/oz
Slide 11: SA operations
SA operations The quarter Gold production falls by 4% to 43.4t due to: infrastructural delays at TauTona slow start-up at Matjhabeng Eland shaft impact of fires at Bambanani seismic events at West Wits operations Cash costs increase by 6% to $237/oz unplanned expenditure on shaft infra
Slide 12: SA operations: capital projects
SA operations: capital projects Joel shaft sunk to 129 level station development in progress Mponeng deepening sinking complete to 123 level shaft equipping underway Moab Khotsong progressing well Elandsrand sub-shaft deepening completed West Wits carbon technology project is a
Slide 13: Other African operations
Other African operations Sadiola annual production increases by 7% and cash costs decrease by 2% quarterly production down 15% due to lower grades and metallurgical recoveries quarterly cash costs up 23% to $108/oz Yatela investment approved by the Board – construction starts in March 2000
Slide 14: North America
North America Overall production for 1999 of 485 000oz at a cash cost of $173/oz production for the quarter down 5% to planned levels cash costs 8% down to $162 for the quarter Jerritt Canyon gold production up – November a record month cash costs $30/oz lower surface mining stopped
Slide 15: South America
South America Overall 425 000oz annual production at $128/oz production down 11% for the quarter quarterly cash costs maintained at $123/oz Serra Grande modifications to milling circuit completed; throughput will increase by 17% Cerro Vanguardia record monthly plant throughput in Dec
Slide 16: Australian assets
Australian assets AngloGold now has full compliance D arw in ASX listing and membership of the Pine Creek All Ords and ASX Gold indices Gold production of over 500 000oz Coyote Tanam i Roadrunner N OR T H E R N 1999 cash operating costs of A$310 T E R R I T O RY (US$200) WE S T E R N A U S T R