UPDATE 3-AngloGold posts Q3 loss, hit by credit crisis

* Q3 adjusted headline EPS loss of 34 U.S. cents

* Credit crisis hits spending, $1 bln bond refinancing

* Q3 gold output up 1 pct, Q4 output seen lower

* Q3 uranium output up 7 pct to 346,000 pounds

* Stock up 9 pct, in line with gold peers

(Adds CEO comment, shares, details)

By James Macharia

JOHANNESBURG, Oct 30 (Reuters) - AngloGold Ashanti (ANGJ.J)
posted a third-quarter loss and said the credit crisis would
force it to review capital projects worth up to $655 million and
possibly sell assets to refinance a $1 billion convertible bond.

AngloGold, the world's No. 3 gold producer, said on Thursday
the tight global credit conditions meant it would review planned
capital expenditure of up to $255 million this year, and a
further $400 million planned for next year.

"We are slowing down a number of smaller projects in South
Africa, Namibia and elsewhere, pushing back some projects by a
few months and trying to keep our cash management tight," Mark
Cutifani, AngloGold's chief executive officer, told Reuters.

"But this review will not affect the Boddington project."

AngloGold has set aside A$150 million ($95.97 million) for
the Boddington project, Australia's biggest gold mine, which it
is developing in partnership with Newmont Mining Corp (NEM.N).

AngloGold warned that, because of the credit squeeze, it
would have to seek new ways to refinance the convertible bond,
including a possible bridge financing, further debt financing,
asset sales or a review of capital spending.

It said plans to refinance the bond with a new equity-linked
instrument were shelved owing to the lack of liquidity globally.
AngloGold said it had cash and cash equivalents of $555 million
and a credit facility of $294 million by September.

The group posted an adjusted headline loss per share of 34
U.S. cents for the September quarter after taking a knock from
selling part of its forward sales early. Output ticked up, and
total costs rose, but not as high as the company had warned.

AngloGold reported a re-stated adjusted headline loss per
share of 307 U.S. cents for the June quarter.

An average of estimates by six analysts surveyed by Reuters
expected AngloGold to bounce back to profit, and post an
adjusted headline earnings per share of 26 U.S. cents.

"Surprise, surprise. I had expected a swing to profit but
the action of cutting their hedge book has put them in the red
again. This was unexpected," analyst Nick Goodwin at T Sec said.

The company's profits in the June quarter had also taken a
beating from a loss after it sold a big part of its gold hedge.

Shares in AngloGold rose 9 percent to 180 rand in line with
its gold peers, tracking a further rise in the metal's price.

HEDGE

Cutifani has said he is not a fan of the gold hedge and
plans to trim it significantly to about 6.0 million ounces by
year-end, from 10.4 million ounces by the end of last year.

AngloGold, which has one of the biggest forward sales among
its peers, cut its hedge book commitments by 580,000 ounces
during the September quarter.

Forward sales have been used routinely by mining companies
to fix selling prices for nuggets not yet mined to protect
profits, but analysts say its hedge book has been limiting
AngloGold from benefiting from the spot price.

In the third quarter, AngloGold received a price of $644 per
ounce, 26 percent lower than the average spot price.

AngloGold, Africa's largest gold producer, with around 21
operations across four continents, said production rose 1
percent to 1.265 million ounces, but disappointed the market by
forecasting a dip to 1.25 million ounces in the fourth quarter.

Total cash costs rose to $486 per ounce from $434 in the
June quarter due to inflation, wage hikes and higher power
tariffs. AngloGold estimated its total cash costs would fall to
$460 an ounce in the fourth quarter.
(Editing by Simon Jessop)