Going For Gold in Ghana

Going for Gold in Ghana - proposed JV between Gold Fields and AngloGold Ashanti.
Going for Gold in Ghana – proposed JV between Gold Fields and AngloGold Ashanti.

A proposed joint venture between two mining majors could create one of the largest gold mines in the world, producing almost 900koz per year in its first five years.

Gold Fields and AngloGold Ashanti have agreed to key terms for the proposed JV in Ghana between Gold Fields’ Tarkwa and AngloGold Ashanti’s neighbouring Iduapriem mines.

The Tarkwa mine is 90% owned by Gold Fields, with the Government of Ghana holding 10%. The Iduapriem mine is wholly-owned by AngloGold Ashanti, with both mines located in the western region of Ghana.

Gold Fields interim chief executive Martin Preece says the proposed JV is an exciting opportunity to combine mining operations that are essentially part of the same mineral deposit and is something that the Gold Fields and AngloGold Ashanti have discussed many times before over the years.

“The ability to optimise mining and the use of shared infrastructure across the combined operation with result in significant flexibility in mine planning, materially enhancing the economics of the mine and ensuring quality and scale of operation that will be world class,” he said.

AngloGold Ashanti chief executive Alberton Calderon says the combination of the two mines puts together two parts of the same world-class ore body, allowing both operations to share skills and infrastructure to significantly enhance every aspect of the mining operation, from exploration and planning, to mining and processing.

“By creating on the of world’s largest open-pit gold operations, in a pre-eminent mining jurisdiction, we will create longer-term value not only for AngloGold Ashanti and Gold Fields, but for the combined stakeholders in our local host communities and for all of Ghana,” he said.

This proposed JV will create the largest gold mine in Africa, with an estimated life of at least 18 years and the potential to be increased in the next few years.

It is anticipated that no material nor additional capital injection will be required by both companies to establish the proposed JV.