JOHANNESBURG Feb 10 Africa's top bullion
producer AngloGold Ashanti is selling its Namibian unit
for $110 million to private mining group QKR, it said on Monday,
the disposal being part of a renewed drive to rationalise and
focus on its bigger operations.
"The agreement provides for an upfront consideration based
on an enterprise value of $110 million which will be adjusted to
take into account AngloGold Ashanti Namibia's (AGAN's) net debt
and working capital position on the closing date of the
transaction," AngloGold said in a statement.
The deal is subject to regulatory approvals in Namibia and
South Africa and is expected to take several months to complete.
AGAN operates the Navachab mine, which is a small but
relatively low-cost operation, producing 46,000 ounces in the
nine months to the end of September last year at a cash cost of
$755 per ounce.
"We are executing on our strategy to focus our efforts on
assets of scale that drive value in the business," said Charles
Carter, AngloGold's executive vice president of strategy and
For the minerals-rich southwestern African nation of
Namibia, the transaction represents a renewed commitment by a
foreign investor in its mining industry.
For QKR the deal is its first acquisition and reflects a
growing interest in African resources by private capital and
(Reporting by Ed Stoddard; Editing by Greg Mahlich)