Annual Financial Statements 2009 Building a strong foundation Building a strong AngloGold Ashanti Annual Financial Statements 2009 www.anglogoldashanti.com Building09 a strong foundation 09 AngloGold Ashanti Annual Financial Statements 2009 Administrative information Board of directors For the year ended 31 December Independent Non-executive Independent Non-executive Chief Executive Officer Chief Financial Officer AngloGold Ashanti Limited Directors United Kingdom Chairman Deputy Chairman Executive Director Executive Director Registration No. 1944/017354/06 Executive Computershare Investor Services PLC Incorporated in the Republic of South Africa M Cutifani** (Chief Executive Officer) The Pavilions S Venkatakrishnan* (Chief Financial Officer) Bridgwater Road Share codes: Bristol BS99 7NH ISIN: ZAE000043485 Non-Executive England RP Edey* (Chairman) JSE: ANG Telephone: +44 870 702 0000 Dr TJ Motlatsi† (Deputy Chairman) LSE: AGD Fax: +44 870 703 6119 FB Arisman# NYSE: AU WA Nairn† Australia ASX: AGG Prof LW Nkuhlu† GhSE (Shares): AGA SM Pityana† Computershare Investor Services Pty Limited Mr RP Edey Dr TJ Motlatsi Mr M Cutifani Mr S Venkatakrishnan GhSE (GhDS): AAD Level 2, 45 St George’s Terrace * British # American (67) (British) (58) (South African) (51) (Australian) (Venkat) (44) (British) Euronext Paris: VA Perth, WA 6000 ** Australian † South African Euronext Brussels: ANG (GPO Box D182 Perth, WA 6840) Australia Officers Independent Non-executive Directors JSE Sponsor: UBS Telephone: +61 8 9323 2000 Company Secretary: Ms L Eatwell Telephone: 1300 55 2949 (in Australia) Auditors: Ernst & Young Inc. Investor Relations Fax: +61 8 9323 2033 South Africa Offices Sicelo Ntuli Ghana Registered and corporate Telephone: +27 11 637 6339 NTHC Limited 76 Jeppe Street Fax: +27 11 637 6400 Martco House Newtown 2001 E-mail: [email protected] Off Kwame Nkrumah Avenue (PO Box 62117, Marshalltown 2107) PO Box K1A 9563 Airport South Africa United States Accra Mr FB Arisman Mr WA Nairn Prof LW Nkuhlu Mr SM Pityana Telephone: +27 11 637 6000 Stewart Bailey Ghana Telephone: +1-212-836-4303 Telephone: +233 21 229664 (65) (American) (65) (South African) (65) (South African) (50) (South African) Fax: +27 11 637 6624 Mobile: +1 646 717-3978 Fax: +233 21 229975 E-mail: [email protected] Australia Level 13, St Martins Tower ADR Depositary More detailed biographical information is presented in the section Board of directors on pages 134 – 136 of this report. General e-mail enquiries 44 St George’s Terrace The Bank of New York Mellon (BoNY) [email protected] Perth, WA 6000 BNY Shareowner Services (PO Box Z5046, Perth WA 6831) PO Box 358016 AngloGold Ashanti website Australia Pittsburgh, PA 15252-8016 http://www.AngloGoldAshanti.com Telephone: +61 8 9425 4602 United States of America Fax: +61 8 9425 4662 Telephone: Company secretarial E-mail +1 800 522 6645 (Toll free in USA) [email protected] Ghana or +1 201 680 6578 (outside USA) E-mail: [email protected] Gold House AngloGold Ashanti posts information that is Patrice Lumumba Road important to investors on the main page of its Website: (PO Box 2665) website at www.AngloGoldAshanti.com and www.bnymellon.com.com\shareowner Accra under the “Investors” tab on the main page. Forward-looking statements Ghana This information is updated regularly. Investors Global BuyDIRECTSM should visit this website to obtain important Certain statements contained in this document, including, without limitation, those concerning AngloGold Ashanti Limited’s (AngloGold Ashanti) strategy Telephone: +233 21 772190 BoNY maintains a direct share purchase information about AngloGold Ashanti. to reduce its gold hedging position, including the extent and effect of the hedge reduction, the economic outlook for the gold mining industry, expectations Fax: +233 21 778155 and dividend reinvestment plan for regarding gold prices, production, cash costs and other operating results, growth prospects and outlook of AngloGold Ashanti’s operations, individually AngloGold Ashanti. Share Registrars or in the aggregate, including the completion and commencement of commercial operations of certain of AngloGold Ashanti’s exploration and production United Kingdom Secretaries Telephone: +1-888-BNY-ADRS South Africa projects and completion of acquisitions and dispositions, AngloGold Ashanti’s liquidity and capital resources and capital expenditure, and the outcome St James’s Corporate Services Limited and consequence of any pending litigation proceedings, contain certain forward-looking statements regarding AngloGold Ashanti’s operations, economic Computershare Investor Services 6 St James’s Place performance and financial condition. Although AngloGold Ashanti believes that the expectations reflected in such forward-looking statements are (Pty) Limited London SW1A 1NP reasonable, no assurance can be given that such expectations will prove to have been correct. Accordingly, results could differ materially from those set Ground Floor, 70 Marshall Street England out in the forward-looking statements as a result of, amongst other factors, changes in economic and market conditions, success of business and Johannesburg 2001 operating initiatives, changes in the regulatory environment and other government actions, fluctuations in gold prices and exchange rates, and business Telephone: +44 20 7499 3916 (PO Box 61051, Marshalltown 2107) and operational risk managements. For a discussion of such risk factors, refer to the section titled “Risk management and internal controls” in these annual Fax: +44 20 7491 1989 South Africa financial statements. AngloGold Ashanti undertakes no obligation to update publicly or release any revisions to these forward-looking statements to reflect E-mail: [email protected] Telephone: 0861 100 950 (in SA) events or circumstances after the date of these annual financial statements or to reflect the occurrence of unanticipated events. All subsequent written or Fax: +27 11 688 5218 oral forward-looking statements attributable to AngloGold Ashanti or any person acting on its behalf are qualified by the cautionary statements herein. [email protected] Russell and Associates Contents AngloGold Ashanti Annual Financial Statements 2009 Contents Introduction Vision, mission and values P2 Scope of report P4 Corporate profile P6 Key features 2009 P12 Review of the year Chairman’s letter P14 CEO’s review P18 CFO’s report P24 Scorecard 2009 P34 Project ONE P36 Five-year summaries P40 Operations at a glance P44 Review of operations P46 Gold, uranium and silver markets P110 Global exploration P114 Mineral Resource and Ore Reserve – a summary P128 Governance Board of directors and executive management P134 Group information P138 The regulatory environment enabling AngloGold Ashanti to mine P142 Mine site rehabilitation and closure P152 Gold production P154 Sustainable development – a summary P156 Corporate governance statement P164 Risk management and internal controls P176 Directors’ approval P194 Secretary’s certificate P194 Report of the independent auditors P195 Directors’ report P196 Remuneration report P207 Financial statements Group financial statements P216 Company financial statements P316 Principal subsidiaries and operating entities P345 Other Non-GAAP disclosures P346 Glossary of terms P353 Shareholder information P359 Administrative information Inside back cover P1 AngloGold Ashanti Annual Financial Statements 2009 Vision, mission and values Our vision To be the leading mining company. Our mission We create value for our shareholders, our employees and our business and social partners through safely and responsibly exploring, mining and marketing our products. Our primary focus is gold and we will pursue value creating opportunities in other minerals where we can leverage our existing assets, skills and experience to enhance the delivery of value. P2 AngloGold Ashanti Annual Financial Statements 2009 Our values Safety is our first value. We place people first and correspondingly put the highest priority on safe and healthy practices and systems of work. We are responsible for seeking out new and innovative ways to ensure that our workplaces are free of occupational injury and illness. We live each day for each other and use our collective commitment, talents, resources and systems to deliver on our most important commitment ... to care. We treat each other with dignity and respect. We believe that individuals who are treated with respect and who are entrusted to take responsibility respond by giving their best. We seek to preserve people's dignity, their sense of self-worth in all our interactions, respecting them for who they are and valuing the unique contribution that they can make to our business success. We are honest with ourselves and others and we deal ethically with all of our business and social partners. We value diversity. We aim to be a global leader with the right people for the right jobs. We promote inclusion and team work, deriving benefit from the rich diversity of the cultures, ideas, experiences and skills that each employee brings to the business. We are accountable for our actions and undertake to deliver on our commitments. We are focused on delivering results and we do what we say we will do. We accept responsibility and hold ourselves accountable for our work, our behaviour, our ethics and our actions. We aim to deliver high performance outcomes and undertake to deliver on our commitments to our colleagues, business and social