UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 or 15d-16 OF

THE SECURITIES EXCHANGE ACT OF 1934

Report on Form 6-K dated August 15, 2016

This Report on Form 6-K shall be incorporated by reference in

our automatic shelf Registration Statement on Form F-3 as amended (File No. 333-210564) and

our Registration Statements on Form S-8 (File Nos. 333-10990 and 333-113789) as amended, to the extent not

superseded by documents or reports subsequently filed by us under the Securities Act of 1933 or the Securities

Exchange Act of 1934, in each case as amended

Commission file number: 1-14846

        AngloGold Ashanti Limited        

(Name of Registrant)

76 Rahima Moosa Street

Newtown, Johannesburg, 2001

(P O Box 62117, Marshalltown, 2107)

South Africa

(Address of Principal Executive Offices)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

Form 20-F: x        Form 40-F: q

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):

Yes: q        No:  x

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):

Yes: q         No: x

Enclosures: Unaudited condensed financial statements as of June 30, 2016 and for each of the six month periods ended June 30, 2016 and 2015, prepared in accordance with IFRS, and related management’s discussion.

1    

AngloGold Ashanti Limited

(Incorporated in the Republic of South Africa)

Reg. No. 1944/017354/06

ISIN. ZAE000043485 – JSE share code: ANG

CUSIP: 035128206 – NYSE share code: AU

(“AngloGold Ashanti” or the “Company”)

Report

for the six months ended 30 June 2016

v Profit before taxation of $112m and Adjusted EBITDA of $781m

v Borrowings reduced 29% year-on-year to $2,654bn and net debt at 30 June 2016 was $2.098bn, reflecting a Net Debt to Adjusted EBITDA ratio of 1.44 times

v Gold production of 1.745Moz

		Six months ended Jun 2016		Six months ended Jun 2015		Year                     ended Dec 2015
				US dollar / Imperial
Operating review
Gold
Produced from continuing operations	- oz (000)		1,745		1,878		3,830
Produced from discontinued operations	- oz (000)		-		98		117
Produced continuing and discontinued operations	- oz (000)		1,745		1,976		3,947
Sold from continuing operations	- oz (000)		1,747		1,903		3,850
Sold from discontinued operations	- oz (000)		-		94		115
Sold continuing and discontinued operations	- oz (000)		1,747		1,997		3,965
Continuing operations
Financial review
Gold income	- $m		1,960		2,046		4,015
Cost of sales	- $m		1,501		1,652		3,294
Net cash operating costs	- $m		1,112		1,246		2,493
Gross profit	- $m		429		391		714
Price received *	- $/oz		1,222		1,204		1,158
All-in sustaining costs (AISC) *	- $/oz		911		924		910
All-in costs *	- $/oz		982		1,010		1,001
Total cash costs *	- $/oz		706		726		712
Continuing and discontinued operations
Profit (loss) attributable to equity shareholders	- $m		52		(143)		(85)
	- cents/share		13		(35)		(20)
Headline earnings (loss)	- $m		93		(128)		(73)
	- cents/share		23		(31)		(18)
Net cash flow from operating activities	- $m		476		513		1,139
Total borrowings	- $m		2,654		3,730		2,737
Net debt *	- $m		2,098		3,076		2,190
Capital expenditure	- $m		318		426		857

Notes:	*	Refer to “Non-GAAP disclosure” for the definition.	$ represents US dollar, unless otherwise stated.
			Rounding of figures may result in computational discrepancies.

Published : 15 August 2016

Half year 1 2016

2    

Operations at a glance

for the six months ended 30 June 2016

	Production					Cost of sales						All-in sustaining costs1					Total cash costs 2					Gross profit (loss)
	oz (000)		Year-on-year % Variance 3			$m			Year-on-year % Variance 3			$/oz		Year-on-year % Variance 3			$/oz		Year-on-year % Variance 3			$m			Year-on-year $m Variance 3
SOUTH AFRICA		486		(3	)		(480	)		(14	)		958		(13	)		809		(10	)		70			43
Vaal River Operations		173		(9	)		(184	)		(13	)		1,006		(5	)		843		(2	)		28			10
Kopanang		47		(24	)		(66	)		(15	)		1,337		11			1,154		16			(9	)		(6	)
Moab		126		(2	)		(118	)		(12	)		883		(11	)		728		(9	)		36			15
West Wits Operations		214		3			(214	)		(13	)		963		(16	)		786		(14	)		51			47
Mponeng		129		25			(119	)		(6	)		893		(28	)		692		(25	)		41			43
TauTona		85		(18	)		(95	)		(20	)		1,070		1			930		3			9			2
Total Surface Operations		93		(4	)		(82	)		(19	)		841		(18	)		797		(14	)		(8	)		(12	)
Other		5		(17	)		-			-			-		-			-		-			-			-
INTERNATIONAL OPERATIONS		1,259		(9	)																		370			(69	)
CONTINENTAL AFRICA		620		(14	)		(614	)		(10	)		848		5			690		2			178			(61	)
DRC
Kibali - Attr. 45% 4		114		(23	)		(136	)		10			900		47			802		36			5			(50	)
Ghana
Iduapriem		99		13			(106	)		(2	)		962		(12	)		931		(10	)		18			17
Obuasi		3		(90	)		(2	)		(94	)		1,043		(14	)		79		(90	)		-			(3	)
Guinea
Siguiri - Attr. 85%		126		(5	)		(105	)		(19	)		831		(13	)		706		(16	)		55			20
Mali
Morila - Attr. 40% 4		13		(63	)		(15	)		(44	)		1,079		53			965		70			-			(14	)
Sadiola - Attr. 41% 4		36		-			(35	)		-			870		3			826		(2	)		9			-
Tanzania
Geita		229		(8	)		(196	)		(2	)		765		8			496		2			82			(34	)
Non-controlling interests, exploration and other							(20	)															10			5
AUSTRALASIA		251		(11	)		(253	)		(3	)		1,018		16			806		15			56			(27	)
Australia
Sunrise Dam		113		(2	)		(112	)		(10	)		1,010		(8	)		858		(10	)		27			13
Tropicana - Attr. 70%		137		(18	)		(132	)		4			937		43			704		48			39			(40	)
Exploration and other							(10	)															(10	)		1
AMERICAS		388		3			(341	)		-			816		(4	)		549		(13	)		136			18
Argentina
Cerro Vanguardia - Attr. 92.50%		136		1			(105	)		(1	)		720		(21	)		543		(15	)		53			10
Brazil
AngloGold Ashanti Mineração		188		4			(162	)		2			831		9			531		(11	)		66			1
Serra Grande		64		5			(63	)		(7	)		942		(3	)		584		(18	)		15			8
Non-controlling interests, exploration and other							(11	)		22													2			(1	)
Continuing operations		1,745		(7	)								911		(1	)		706		(3	)
Discontinued operations
Cripple Creek & Victor		-		(100	)
OTHER							1			(67	)												1			(1	)
Total		1,745		(12	)		(1,687	)		(8	)												441			(28	)
Equity accounted investments included above							186			(1	)												(12	)		66
AngloGold Ashanti							(1,501	)		(9	)												429			38

¹ Refer to note B under “Non-GAAP disclosure” for definition

² Refer to note C under “Non-GAAP disclosure” for definition

³ Variance June 2016 six months on June 2015 six months - increase (decrease).

⁴ Equity accounted joint ventures.

Rounding of figures may result in computational discrepancies.

3    

Financial and Operating Report

FINANCIAL AND CORPORATE REVIEW

AngloGold Ashanti delivered a solid operating and financial performance for the first half of 2016, continuing to execute on its strategy to improve cash flows and returns on a sustainable basis and to develop optionality within the business. The results show improved earnings given strong ongoing focus on cost and capital discipline, and the rising gold price.

“We will continue to push hard to improve operational and cost performance, as well as our overall balance sheet flexibility, regardless of the gold price environment,” Chief Executive Officer Srinivasan Venkatakrishnan said. “Our focus remains to improve margins and grow cash flow and returns on a sustainable basis.”

Production was 1.745Moz at a cost of sales of $1,501m and a total cash cost of $706/oz, for the six months ended 30 June 2016, compared to 1.878Moz at a cost of sales of $1,652m and a total cash cost of $726/oz in the first six months of 2015, from continuing operations The decrease in production from continuing operations was led by weaker production from Kibali and a planned decrease in head grades at Tropicana, as noted earlier in the year. AISC improved by $13/oz over the first half of last year, decreasing from $924/oz to $911/oz. The improvement in AISC reflects continued cost discipline throughout the group, weaker currencies and lower capital expenditure. Our portfolio of assets continued to deliver strong and consistent performance as a whole.

Gold income decreased by $86m from $2,046m in the six months ended 30 June 2015 to $1,960m in the corresponding period of 2016, representing a 4% decrease year-on-year. The decrease was due to a 250,000oz, or 13% decrease in gold sold from 1.997Moz for the six months ended 30 June 2015 to 1.747Moz for the same period in 2016 mainly as a result of the sale of Cripple Creek & Victor in the USA which was completed on 3 August 2015 and a decrease in production in South Africa, Continental Africa and Australia. The decrease in gold income was partially offset by an $18/oz, or 1% increase in the gold price received from $1,204/oz for the six months ended 30 June 2015 to $1,222/oz for the corresponding period in 2016.

Cost of sales decreased by $151m, or 9%, from $1,652 in the six months ended 30 June 2015 to $1,501m in the six months ended 30 June 2016. The decrease was due mainly to a $125m decrease in cash operating costs. Included in cost of sales is amortisation of tangible and intangible assets, changes in gold inventory and rehabilitation costs, which all together decreased from $399m in the six months ended 30 June 2015 to $384m in the same period of 2016. Amortisation decreased by $8m mainly at the South African operations due to lower amortisation of our SAP enterprise resource planning system. Rehabilitation costs increased by $19m, mainly in Brazil and Argentina, from $9m in the six months ended 30 June 2015 to $28m in the six months ended 30 June 2016. The increase in rehabilitation costs was mainly a result of change to cash flows, escalation rates and discount rates at AngloGold Ashanti Mineração ($9m), Serra Grande ($3m) and Cerro Vanguardia ($4m). Gold inventory decreased by $7m in the six months ended 30 June 2016 compared to an increase of $19m in the corresponding period in 2015. The decrease in the six months ended 30 June 2016 was due to the timing of gold shipments mainly at Geita in Tanzania.

Net cash operating costs decreased by $134m from $1,246m in the six months ended 30 June 2015 to $1,112m in the corresponding period of 2016, representing a 11% decrease. The decrease was mainly due to a reduction in labour costs, fuel and power costs, consumable stores and service related costs as well as the weakening of some local currencies against the US dollar. Net cash operating costs in all business segments are largely incurred in local currency where the relevant operation is located. US-dollar denominated production costs tend to be adversely impacted by local currency strength and favourably impacted by local currency weakness, assuming there are no other offsetting factors. AngloGold Ashanti’s financial results can be influenced significantly by the fluctuations in the South African Rand, Brazilian Real, Australian Dollar, and, to a lesser extent, the Argentina Peso. During the six months ended 30 June 2016, compared to the same period in 2015, all local currencies depreciated against the US dollar. The South African Rand depreciated by 29%, the Argentina Peso by 63%, the Australian Dollar by 6% and the Brazilian Real by 25%.

Net profit attributable to equity shareholders, from continuing operations, increased by $75m, from a loss of $23m in the six months ended 30 June 2015 to a profit of $52m in the six months ended 30 June 2016. The increase was mainly due to the $151m decrease in cost of sales. The increase was partially offset by the $86m decrease in gold income.

Cash inflow from operating activities decreased by $37m, or 7%, from $513m in the six months ended 30 June 2015 to $476m in the six months ended 30 June 2016, reflecting a 7% drop in production from continuing operations and negative working capital movements, which included timing of gold shipments from Argentina, and movements in VAT receivables in South Africa.

During the six months ended 30 June 2016, AngloGold Ashanti settled foreign denominated debt resulting in a recycling of historic foreign exchange losses of $60m from the Foreign Currency Translation Reserve to the Income Statement. This was added back for headline earnings. In addition, the effective tax rate reduced from 113% to 46% as the tax charges decreased from $115m in the six months ended 30 June 2015 to $51m in the six months ended 30 June 2016. This was largely due to the currency impact on the translation of the deferred tax balance in South America.

Profit before taxation increased by $10m, from $102m in the six months ended 30 June 2015 to $112m in the six months ended 30 June 2016. Adjusted earnings before interest, tax, depreciation and amortisation (adjusted EBITDA) decreased by $12m, or 2% from $793m in the six month period ended 30 June 2015 to $781m in the six months ended 30 June 2016. The lower production year-on- year was largely offset by cost improvements over the same period. The ratio of net debt to adjusted EBITDA at the end of June 2016 was 1.44 times, compared with the 1.47 times recorded at the end March 2016, and 1.95 times at the end of June 2015, highlighting the success of AngloGold Ashanti’s continued efforts to deleverage and sustain improvements in cash flow.

Total borrowings fell 29% to $2.654bn as at 30 June 2016, from $3.730bn as at 30 June 2015. Net debt fell by 32% to $2.098bn, from $3.076bn at the end of June 2015, mainly as a result of the proceeds received on the sale of Cripple Creek & Victor (CC&V) for $819m which was concluded last year, as well as continued strong cost management, which saw improvements across most cost areas. As at 30 June 2016, cash and cash equivalents amounted to $470m compared to $459m, a year earlier.

The balance sheet remains robust, with strong liquidity comprising $1.0bn available on the US dollar revolving credit facility (RCF) at the end of June 2016, A$190m undrawn on the A$500m Australian dollar RCF, approximately R3.2bn available from the South African RCF and other facilities and cash and cash equivalents of $470m as at the end of June 2016.

4    

This strong liquidity position allowed AngloGold Ashanti to draw down $330m from the US dollar RCF at the end of July to partially fund the redemption of the $503m outstanding in 8.5% bonds due in 2020. The remainder was funded by cash on hand. The redemption was executed on 1 August 2016 at a predetermined price of 106.375 cents on the dollar, thereby eliminating the company’s highest-cost debt, and reducing both interest payments and the concentration of debt maturities in 2020, improving cash flow and introducing additional balance-sheet flexibility by reducing the company’s hardened debt levels. This will reduce interest charges by $40m on an annualised basis.

The South African operations reported a 3% drop in production year-on-year to 486,000oz, alongside a 14% decrease in cost of sales, from $557m in the six months ended 30 June 2015 to $480m in the six months ended 30 June 2016, a 15% improvement in AISC, which decreased from $543m to $461m in the same period last year, and a 13% improvement in AISC/oz which declined to $958/oz, from $1,098/oz in the same period last year. Mponeng delivered the standout performance in the region, with a 25% increase in production, a 5% decrease in cost of sales, a 9% decrease in AISC, and a 28% decrease in AISC/oz year-on-year. However, whilst the weaker rand benefitted costs, production continued to be hampered by increased safety-related stoppages which have become a feature for the country’s underground mining industry. The frequent and unpredictable nature of Section 54 stoppages and mass compliance audits by the Department of Mineral Resources has created an element of risk to production levels from the region, given the resultant downtime and production ramp-up periods.

The International operations delivered production of 1.259Moz, compared with 1.378Moz in the same period last year. These mines, all outside South Africa, accounted for 72% of AngloGold Ashanti’s total production, and benefited from weaker currencies in Argentina, Australia and Brazil. There were especially strong cost performances from Sunrise Dam and Cerro Vanguardia, which posted significant efficiency gains during the first half of 2016. As indicated at the beginning of the year, production was lower in accordance with the plans at Geita and Tropicana, whilst Kibali continued to face challenges encountered in mining and processing different ore types, and the first attempt during the first quarter to test the transition to a sulphide processing circuit.

Capital expenditure (including equity accounted entities) was $318m for the six months ended 30 June 2016 compared to $426m (including discontinued operations) in the same period last year. This reduction was partially due to favourable exchange rate movements, impediments in reaching investment targets caused by ongoing safety stoppages in South Africa, and the cessation of work on the underground decline access at Obuasi in Ghana.

Summary of six months-on-six months operating and cost variations:

Particulars	Six months ended   June 2016	Six months ended   June 2015	Variation six months vs prior year six months
Operating Review Gold
Production from continuing operations (kozs)	1,745	1,878	-7%
Continuing Operations
Gold income ($m)	1,960	2,046	-4%
Gold price received ($/oz)	1,222	1,204	1%
Total cash costs per unit ($/oz)	706	726	-3%
Cost of sales ($m)	1,501	1,652	-9%
Corporate & marketing costs ($m) *	29	46	-37%
Exploration & evaluation costs ($m)	61	59	3%
All-in sustaining costs ($/oz) **	911	924	-1%
All-in costs ($/oz) **	982	1,010	-3%
Profit before taxation ($m)	112	102	10%
Adjusted EBITDA ($m)	781	793	-2%
Continuing and discontinued operations
Profit (loss) attr – equity shareholders ($m)	52	(143)	136%
Cash inflow from operating activities ($m)	476	513	-7%
Capital expenditure ($m)	318	426	-25%

* Includes administration and other expenses.

**  World Gold Council standard, excludes stockpiles written off.

SAFETY UPDATE

The all injury frequency rate (AIFR), the broadest measure of workplace safety, was 8.03 per million hours worked in the first half, from 7.51 in the same period last year, a 7% regression mainly due to the South Africa region, while the International operations recorded AIFR at 2.19, a 31% improvement from 3.17 reported last year. Regrettably, there were three fatalities in this period, a fall of ground fatal in TauTona and two fatalities which occurred in seismic events at the Savuka section of TauTona, with the largest measuring 3.5 on the Richter scale.

In South Africa, work on the execution of the Safe Production Strategy which focuses on improving skills, behaviour and attitude, planning work and protecting workers from risk continues. As a result, Moab Khotsong managed to achieve one million fatality free shifts on 10 May 2016, Mponeng achieved one million fatality free shifts during the first quarter of the year, whilst Kopanang achieved one million fatality free shifts on 14 June 2016 as well as one-year fatality-free on 1 July 2016.

5    

The safe management of mobile equipment remains a key focus area across the International operations, especially in the Continental Africa region. Training programmes aimed at improving competence of equipment operators and supervisors are being implemented to reduce the risks associated with mobile equipment. High potential incident audits are conducted regularly to mitigate safety challenges across the group, which include fall of ground and heavy mobile equipment incidents.

OPERATING HIGHLIGHTS

The South African operations produced 486,000oz at a cost of sales of $480m, and a total cash cost of $809/oz for the six months ended 30 June 2016 compared to 500,000oz at a cost of sales of $557m and a total cash cost of $894/oz in the same period last year. Safety stoppages resulted in approximately 49,165oz of lost production, given the downtime and resultant ramp-up period. Costs benefitted from the weaker exchange rate despite these lower production volumes, inflationary pressures on labour and power, and the court-ordered re-instatement of the 542 employees dismissed in 2013.

At West Wits, production was 214,000oz at a cost of sales of $214m and a total cash cost of $786/oz for the six months ended 30 June 2016 compared to 207,000oz at a cost of sales of $245m and a total cash cost of $910/oz in the same period last year. Production was affected by the fall-of-ground incident in January at TauTona, and a seismic-related fatal accident at the Savuka section of the same mine in April. Both incidents led to prolonged stoppages, impacting negatively on production and development. Work is underway to revise the production plan to further improve access to working areas. This was more than offset by the strong production performance from Mponeng, which showed recovery from the safety- related production interruptions encountered in the six months ended 30 June 2015. Mponeng was one of the lowest cost producers for the South African region in the first half of 2016 at a cost of sales of $119m and a total cash cost of $692/oz reflecting an improvement in cost of sales of 5% and an improvement in total cash cost of 25% year-on-year.

Vaal River production was 173,000oz at a cost of sales of $184m and a total cash cost of $843/oz for the six months ended 30 June 2016, compared to 191,000oz at a cost of sales of $212m and a total cash cost of $861/oz, in the same period last year. Production was negatively impacted by safety-related stoppages, with Moab Khotsong most affected.

Production at Surface Operations was 93,000oz at a cost of sales of $82m and a total cash cost of $797/oz for the six months ended 30 June 2016, compared to 97,000oz at a cost of sales of $101m and a total cash cost of $925/oz in the same period last year. The most significant impact on production was a decline in yield from the reclamation of the lower grade Tailings Storage Facilities at the West Wits section. The Vaal River section saw improved grades from the success of the screening initiative to upgrade the Kopanang marginal ore dumps. Production at Mine Waste Solutions improved as a result of an improved reclamation strategy and from the commissioning of the East Pump Station in the third quarter of 2015. The flotation plant was recommissioned in June and it is expected that the Uranium plant will be fully operational during the third quarter of this year, which is expected to result in improved gold and uranium recovery.

In the Continental Africa region, production was 620,000oz at a cost of sales of $428m and a total cash cost of $690/oz for the six months ended 30 June 2016 compared to 719,000oz at a cost of sales of $494m and a total cash cost of $675/oz in the same period last year. Costs were impacted by overall low production volumes, despite strong ongoing cost control. Production was affected by the planned lower production from Geita, a disappointing performance from Kibali, and the cessation of tailings retreatment at Obuasi.

In the Democratic Republic of the Congo, Kibali’s production was 114,000oz for the six months ended 30 June 2016 compared to 148,000oz in the same period last year. The lower production was due to lower throughput, recovery and grade while the operation manages the complexity of several different surface and underground ore types. Ahead of commissioning of the shaft in the second half of 2017 and an increase in the proportion of sulphide ore, a plant trial was undertaken on 100% sulphide. The trial highlighted a number of areas where improvements will be needed including fine grinding and sulphide concentrate leaching. To provide improved flexibility two high-grade satellite pits are being developed in the current year and in 2017. Development of the underground mine is progressing on schedule with shaft equipping completed, and off- shaft development and integration with the decline system in progress.

In Ghana, Iduapriem’s production increased 13% to 99,000oz at a cost of sales of $106m and a total cash cost of $931/oz for the six months ended 30 June 2016, compared to 88,000oz at a cost of sales of $108m and a total cash cost of $1,037/oz in the same period last year. The production improvement was driven by a 6% higher recovered grade as well as a 6% increase in tonnage treated as a result of improved plant utilisation compared to the same period last year when throughput was impacted by an extensive plant shutdown. Costs consequently decreased mainly a s a result of higher production together with the once-off benefit of a reversal of contractor mining costs for the settlement of historical claims with the previous mining contractor.

At Obuasi, the first half of 2016 has been dominated by the incursion of illegal miners onto the operating area. Despite extensive engagements with the authorities at all levels to re-establish law and order, illegal miners continue to occupy the lease area. The mine has been placed on care and maintenance, with only essential dewatering, ventilation and water treatment activities being undertaken. Meanwhile, future options for recommencing operations continue to be evaluated.

At Siguiri in Guinea, production was 126,000oz at a cost of sales of $123m and a total cash cost of $706/oz for the six months ended 30 June 2016 compared to 132,000oz at a cost of sales of $152m and a total cash cost of $837/oz in the same period last year. Production was lower due to a planned 7% decrease in recovered grade, partly compensated by a 2% increase in tonnage throughput given the increased plant availability. Costs were lower as a result of weaker currency exchange rates, lower fuel prices, a once-off benefit of a reversal of the contractor mining costs for the settlement of historical claims with the previous mining contractor, and favourable ore stockpile movements.

In Mali, Morila’s production was 13,000oz for the six months ended 30 June 2016 compared to 35,000oz in the same period last year. Production decreased as the operation transitions to end -of- life, treating marginal and tailings grade.

At Sadiola, production was 36,000oz at for the six months ended 30 June 2016 compared to 36,000oz at in the same period last year.

6    

In Tanzania, Geita produced 229,000oz at a cost of sales of $196m and a total cash cost of $496/oz for the six months ended 30 June 2016 compared to 250,000oz at a cost of sales of $200m and a total cash cost of $487/oz in the same period last year. Production decreased as a result of a planned 11% reduction in recovered grade from mining lower grade ore in the Nyankanga pit compared to the same period last year. This was partly compensated for by a 3% increase in plant throughput as a result of consistent plant operations. The focus for Geita over the next few quarters will be toward improving mining efficiencies in the new underground development and step-up productivity to planned levels.

In the Americas, production was 388,000oz at a cost of sales of $341m and a total cash cost of $549/oz for the six months ended 30 June 2016 compared to 377,000oz at a cost of sales of $341m and a total cash cost of $632/oz in the same period last year. The AISC at $816/oz compared to $849/oz this period last year, were due to good cost controls, weaker exchange rates, and higher by- product sales in Argentina, partially tempered by high inflation, particularly in Brazil.

In Argentina, Cerro Vanguardia produced 136,000oz at a cost of sales of $114m and a total cash cost of $543/oz for the six months ended 30 June 2016 compared to 135,000oz at a cost of sales of $115m and a total cash cost of $641/oz in the same period last year. Costs were lower than in the same period last year, helped by the local currency devaluation and a 35% increase in by-product sales of silver. These were partially offset by inflationary pressures which included initial salary increases following a wage settlement reached in February. It is expected that a second round of negotiation will take place early in the second half of the year. Unfavourable stockpile movement resulted from lower tonnes mined during a short, unprocedural strike in January.

In Brazil, production was 252,000oz at a cost of sales of $225m and a total cash cost of $545/oz for the six months ended 30 June 2016 compared to 242,000oz a cost of sales of $227m and a total cash cost of $627/oz in the same period last year. AISC were $857/oz compared to $816/oz for same period last year. The lower costs reflect higher capital expenditure partially offset by higher gold sold, lower operating expenditure and favourable exchange rates in the current period.

At AngloGold Ashanti Mineração, production was 188,000oz at a cost of sales of $162m and a total cash cost of $531/oz for the six months ended 30 June 2016 compared to 181,000oz at a cost of sales of $159m and a total cash cost of $598/oz in the same period last year. Production increased due to higher tonnage at both the Cuiabá and Córrego do Sítio complexes together with higher grades from the latter. The improvement was due to increased developed reserves at the beginning of the year at Cuiabá, in addition to better operational performance at both the mine and plant in the Córrego do Sítio complex. Production at the Cuiabá complex was slightly affected, where access to higher grade areas – some as high as 20g/t - was delayed due to geotechnical issues. However, changes in the mining plan have already been made and it is expected that production will improve in the second half of the year. Total cash costs were 11% lower compared to same period last year mainly due to higher production, continued cost saving initiatives and the weaker currency, partially offset by higher inflation.

At Serra Grande production was 64,000oz at a cost of sales of $63m and a total cash cost at $584/ oz for the six months ended 30 June 2016 compared to 61,000oz at a cost of sales of $68m and a total cash cost of $714/oz in the same period last year. Production increased as a result of higher recovered grade and tonnage treated, reflecting operational improvements in the plant. Total cash costs were 18% lower due to higher gold produced, cost saving initiatives from labour and primary development credits, and local currency devaluation, partially impacted by higher inflationary impacts including power costs. Drilling ahead of our retreat mining development has revealed areas in the Minas III ore body where mineralised material extends significantly further than anticipated. This will result in a longer-than-anticipated development period, compensated for with additional ounces in the production profile. We are working on improving this outcome in future by looking at augmenting existing exploration budgets.

In Australia, production was 251,000oz at a cost of sales of $253m and a total cash cost of $806/oz for the six months ended 30 June 2016 compared to 282,000oz at a cost of sales of $262m and a total cash cost of $703/oz in the same period last year. Production was down despite better mill throughput due to lower grades at both operations. A plant optimisation and upgrade project at Tropicana to lift throughput to 7.5 Mtpa is expected to be completed by the end of September.

Production at Sunrise Dam was 113,000oz at a cost of sales of $112m and a total cash cost of $858/oz for the six months ended 30 June 2016 compared to 115,000oz at a cost of sales of $124m and a total cash cost of $958/oz in the same period last year. Production was impacted by lower grades and marginally lower metallurgical recovery, despite a 6% increase in mill throughput. Total cash costs decreased with the impact of lower grades more than offset by favourable ore stockpile movements together with good cost controls. The efficiencies were derived from reduced mining, processing and maintenance costs and reduced underground mining costs, whereby the cost per tonne mined was 11% lower than in the same period last year when there was a higher ore stock drawdown. Ore production at Sunrise Dam has now increased to an annualised rate of 2.8 Mt, almost doubling underground volumes since 2012, and continuing to displace mill-feed from low-grade stockpiles with higher-grade underground material.

At Tropicana, production was 137,000oz at a cost of sales of $132m and a total cash cost of $704/oz for the six months ended 30 June 2016, compared to 167,000oz at a cost of sales of $127m and a total cash cost of $476/oz in the same period last year. Production was lower due to the planned end to grade streaming in December 2015, which meant the head grade was 27% lower in the first half of 2016 compared to the corresponding period in 2015. Costs increased compared to the same period last year, primarily due to lower production and inventory movement, with 19% more ore mined. The plant optimisation project remains on schedule for completion in September and the plant achieved a record throughput rate of 7.28 Mtpa in May and June. The Long Island Study, which has been considering innovative, low cost approaches to mining the depth extensions of the Tropicana mineralised system, has advanced, supported by extensive drilling. An updated Ore Reserve and Mineral Resource estimate is expected at the end of the year and the study is expected to be completed in the first half of 2017.

PERSONNEL

A number of key personnel changes have been made across our operations. These changes highlight the strength and depth of our internal talent pool, an area on which we have spent considerable time, expertise and resources over the past several years. These changes are also consistent with our commitment to timeous succession planning in all roles across the business.

Ludwig Eybers, who has been with the company for five years, and has led the remarkable turnaround of our Continental Africa portfolio since 2013, has been appointed Deputy Chief Operating Officer: International. Ludwig, who has had extensive experience working across a number of international jurisdictions over a 20-year career, has overseen an increase in productivity for the Continental Africa region, along with an improvement in safety. He will work closely with Ron Largent on budgeting and business planning, as well as on the execution of Operational Excellence initiatives.

7    

Ludwig replaces Helcio Guerra, who has decided, for personal reasons, to take early retirement at the end of December, after a distinguished mining career of almost four decades, the past eight years of which were spent with AngloGold Ashanti. Helcio was most recently the Deputy COO: International following his position as Senior Vice President: Americas. Helcio has been a key member of our operational management team and contributed to the transformation of the International Portfolio over the past three years in particular. He has mentored a world-class team in Argentina and Brazil, and leaves behind a suite of assets with an exciting range of future options for AngloGold Ashanti. We wish him all the best in his well-deserved retirement.

Sicelo Ntuli, who has for the past three years led the turnaround of the Iduapriem mine in Ghana, where costs have decreased, will replace Ludwig as Senior Vice President: Continental Africa. Sicelo, a mining engineer, has extensive operating experience across the group’s open pit and deep underground assets, as well as in business planning and strategy roles over his career for more than 20 years spent with AngloGold Ashanti. He will work closely with Ludwig as he transitions into his new role. (Sicelo will be replaced at Iduapriem by Jasper Musadaidzwa, currently the operations manager at Siguiri Mine).

Lowe Billingsley, Vice President of Planning and Strategy, in the International business unit, will assume the role of Senior Vice President: Americas. In his most recent post he had oversight of strategy implementation and long-range planning for the Americas portfolio. Lowe is a trained geologist who has also held several important posts during his 26 years with the company, including General Manager of the Cripple Creek & Victor Mine during its successful mine-life extension project. He will work closely with Helcio as he transitions into his new role.

Moses Madondo, general manager of the Moab Khotsong mine, will assume a broader suite of responsibilities as he assumes his new role of Senior Vice President of the Vaal River Region in South Africa. Moses, a mining engineer who has extensive experience spanning strategy, planning and operations, will continue to work closely with Chris Sheppard, COO: South Africa, and his executive management team in South Africa, as they continue their work to safely improve productivity in the region.

UPDATE ON CAPITAL PROJECTS

At Mponeng, in Phase 1: 126 level, the implementation of the secondary support strategy continued to produce positive results during the second quarter. The ore handling infrastructure at 126 level, which includes the sinking of reef and waste silos, remains ahead of schedule. This project is scheduled for completion in July 2018.

In Phase 2, critical execution activities continued, including the construction of the surface substation which was completed during the second quarter, which is now awaiting commissioning from Eskom, along with the continuation of equipping the ice pipe and other associated activities. The balance of Phase 2 is scheduled to commence in January 2018 and a pre-feasibility is being conducted on the Carbon Leader ore body extension.

At Kibali, remedial work on the Ambarau hydro power station was completed, following the river flood event in November 2015. Construction is back on track, and commissioning is scheduled for the end of 2016. Early works have commenced on the third hydro-power station at Azambi.

At Siguiri, AngloGold Ashanti plans to invest about $115m over a little over two years to add a hard-rock plant to the current processing infrastructure, providing the ability to develop the significant sulphide-ore potential that exists on the current concession. during the first half of the year the company reached an agreement with the Government of Guinea on the Convention de Base, a legal and fiscal framework covering the life of the project. The accord will now progress through the mandatory legal and parliamentary ratification processes.

At Sadiola, AngloGold Ashanti and joint-venture partner IAMGOLD Corporation are completing a final optimisation of the Sadiola Sulphides Project, ahead of an investment decision later this year. The project, to add sulphide-ore processing capability to the plant, was suspended in 2013 after the precipitous decline in the gold price that year. Whilst the technical and financial aspects of the optimised project look promising, it is important that the Government of Mali – itself an owner of a 18% stake in the mine – provide assurances around the renewal of the construction and operating permits, power agreement and fiscal terms relating to the project, as previously negotiated, before an investment commitment can be made. The early timing of these assurances and renewals from the Government are especially important in order for the upgraded plant to be fully operational before all existing sources of oxide ore are depleted. The project aims to significantly extend the life of the project, with increased production and lower operating costs from the current levels.

Colombia remains an area of long-term focus for us, particularly given its attractive and under-explored geological potential, AngloGold Ashanti’s first-mover advantage in the country and its significant exploration success to date. Whilst bearing in mind that we remain in an environment in which financial resources are constrained, we have committed to completing the update of the pre-feasibility studies for the Gramalote and La Colosa projects by the end of next year. We anticipate that the successful completion of these studies will enable the declaration of reserves to take place.

Technology and Innovation update

1. Reef Boring

1.1 Small range:

Commisioning of the Sandvik/Cubex machine commenced at Savuka Mine earlier in the quarter with operational readiness having been the key focus during this period. Training of operators will continue during the third quarter with the first cycle of operational test results expected soon thereafter.

1.2 Medium Range:

With a blue print cycle time of 72 hours/hole, the 3 MK III machines in the Carbon Leader site at TauTona mine have drilled a total of 16 holes during the quarter. Overall performace for the quarter has improved to just over 82 hours/hole as opposed to the previous quarter’s performance of 96 hours/hole. As is the case with the MK IV machine, machine availability/reliability is an issue, but is receiving attention. As planned, an additional MK III machine was successfully commissioned in the VCR site during the quarter.

8    

The MK IV machine has for the second consecutive quarter performed at just above the 92 hour/hole mark. Key issues affecting the performance remain rock handling and more importantly machine availability where dedicated resources have been deployed to assist in resolving these issues.

All sites were affected by mine wide safety stoppages as well as a geotechnical incidence resulting in the total number of holes completed being lower than planned for the quarter.

2. Ore body Knowledge and Exploration

The first prototype drill rig was delivered to TauTona mine during the quarter and after a number of surface commisioning challenges were resolved, was moved into position at the drill site late in the second quarter. Underground commissioning will commence early in the third quarter, upon which our first prototype machine tests will commence focussing on deflection optimisation trials.

3. Ultra High Strength Backfill (UHSB)

Construction of the surface solution plant at TauTona mine is still ongoing and on schedule.

Site development for the permanent UHSB plant at Savuka mine has been delayed due to safety stoppages. However, in the interim period, the temporary plant has been used to fill all the drilled holes allowing testing of the small range reef boring machine to continue.

Designs for the TauTona Below 120 (B120) plant has been finalised. The tendering process will commence in quarter three and construction is planned to commence in the fourth quarter.

EXPLORATION UPDATE

Exploration and evaluation costs during the first six months of 2016 were $61m compared to $59m during the same period in 2015.

GREENFIELDS

During the first half of the year, Greenfields exploration activities were undertaken in Australia, Colombia, Brazil, Argentina, USA, Guinea and Tanzania. The Greenfields exploration team completed 1,219m of diamond drilling in Colombia and 14,016m of aircore drilling in Australia. Total expenditure for the six months ended 30 June 2016 was $10m.

In Australia, at the Tropicana Mine there was a formal hand-over to the mine-based team of the accountability for all tenements within 60kms of the mine. Further to the south in the Tropicana joint-venture on the Oak Dam tenement, the Greenfields team continued to work with the traditional owners to determine where access for exploration would be allowed. In the Laverton District, aircore drilling was completed over priority targets with 91 holes drilled for a total of 5,742m. At the Strawbridge Project (100% AngloGold Ashanti) the field work comprised geological mapping, surface soil geochemical sampling and first pass aircore drilling. A total of 778 soil samples and 197 aircore holes for 8,274m were completed over priority target areas.

In Colombia, drilling was completed at the Guintar project (100% AngloGold Ashanti) situated 40km west of Medellin. Three holes for 1,219m were completed in the first half of the year. Final compilation and review recommended that no further work is required. Work has now shifted to the Margaritas project area 2kms to the south where mapping, rock and soil geochemistry has been completed. Reconnaissance work was conducted in other locations within Antioquia province in the mid-Cauca belt.

Generative exploration occurred in Brazil, Argentina, USA, Guinea and Tanzania. In a significant development, the Greenfields exploration team signed a new farm-in and joint-venture agreement with Luna Gold to explore approximately 2,000km2 tenement package located in the Maranhão state of Brazil. In Tanzania, the Meia license applications (850 km2) in the Lake Victoria Greenstone Belt of Tanzania are pending and should be granted in the third quarter. The first phase of exploration was completed at the Niandan license in Guinea (100km2, 90km from Siguiri) and 491 surface samples were collected. Early stage work is progressing in Argentina and the USA.

BROWNFIELDS

During the first half of the year, Brownfields exploration activities were undertaken across the globe.

South Africa: The mother hole of borehole UD59 successfully intersected a 1.82m thick VCR reef at 3,888m below surface on 11 April. Borehole UD60 reached 3,345m (284m drilled during the half) and continued to experience in-hole complications. Borehole UD58A completed piloting to a depth of 3,027m. The final establishment of the ultra-deep derrick has been completed and drilling commenced.

Tanzania: At Geita, drilling activities included infill drilling at Nyankanga Cut 9 (Block 5 UG), Nyankanga Cut 8, Star & Comet Cut 3, Geita Hill East Cut 2, and Mineral Resource delineation drilling at Star & Comet UG and Geita Hill East UG. A total of 10,372m was drilled, comprising 4,392m reverse circulation (RC) and 5,980m diamond drilling (DD).

Guinea: At Siguri, a total of 29,415m was drilled. Exploration drilling included infill and reconnaissance drilling at Bidini North, Bidini South, Soloni, Kalamagna PB2, Seguelen PB2, Seguelen satellite pit, Silakoro, Kami ‘starter pit’, Balato NE and sterilisation drilling at Boukaria. Additionally, exploration supported the drilling of 12,893m allocated to Advance Grade Control within the Kami starter pit.

Ghana: At Iduapriem, on the Bankyem/Block 1E target, the remaining trenches from 2015 exploration were sampled early in the first quarter. A total of 1,597m drilling was completed over the target, comprising 421m RC and 1,176m DD. At Block 4S, 2,456m drilling was completed, including 501m RC and 1,955m DD, with some encouraging assay results returned. Within the southern area at Block 7&8, a total of 796m were drilled during the quarter with some encouraging results. The programme is ongoing.

9    

Democratic Republic of the Congo: At Kibali, exploration focused on Kombokolo, the Agbarabo-Rhino-Pakaka corridor, Tete Bakangwe, Sessenge SW and the KCD super pit. The forecast production shortfall has resulted in an emphasis on projects with potential to deliver oxide ounces to the plant in the relatively short term. Regional targets explored include Aindi Watsa, Memekazi Ridge and Zambula. A total of 7,953m was drilled near mine and 3,519m was drilled on regional targets.

Republic of Mali – At Sadiola and Yatela, RC drilling totaling 11,716m was completed during the first half of the year. Drilling focused on Sadiola North/FN (4,624m), FE2S (5,454m) and FE1W (1,638m).

In Argentina, drilling commenced at Cerro Vanguardia during the second quarter after a delayed start with most of the drilling meters completed at the nearby Claudia joint-venture. During the second quarter 4,174m were drilled in total, including 3,618m at the Claudia joint-venture.

In Brazil, exploration continued at the Cuiabá, Lamego and Córrego di Sítio production centers for AGABM with 61,221m drilled during the quarter from the combined surface and underground drilling programmes.

At Serra Grande, 36,295m were drilled as part of the exploration and Mineral Resource conversion programmes. Surface exploration continued as preparation to establish drilling targets.

In Colombia, the Gramalote joint-venture completed 1,279m of drilling to support site and infrastructure investigations as well as infill drilling to better define the saprolite horizon. At La Colosa, 1,453m were drilled as the site investigation geotechnical drilling continued. The Quebradona JV programme did not complete drilling during the half year and was focused on study work.

In Australia, at Sunrise Dam drilling targeted Vogue South, Vogue Deeps, north extensions to Cosmo and Cosmo East, Carey Shear, Below Carey high grade zone and Ulu Steeps for a total of 28,758m.

At Tropicana, a 100m x 100m exploration drilling programme continues to test the along-strike and down dip extensions of the Tropicana gold system to provide data for the Long Island Mining Study. Infill drilling was also carried out on the Havana South high grade zone identified during the June quarter. A total of 16,670m of RC and 34,695m of DD drilling was completed in the first half of 2016. A Mineral Resource model update is in progress.

A new regional exploration group was set-up based at Tropicana to manage the TJV exploration tenements (excluding the mine lease). In the first half of the year, regional exploration consisted of drilling and a ground-based geophysical survey. Aircore, RC and DD totalled 13,360m.

The regional dataset review and a large amount of regional structural re-interpretation work to aid targeting has been completed with a number of areas identified as being potentially prospective. A large number of these will be systematically targeted.

OBUASI UPDATE

In early February 2016, following the incursion of hundreds of illegal miners inside the fenced area of the Obuasi mine site, AngloGold Ashanti Ghana was forced to declare force majeure and, in the interests of safety, withdrew all employees performing non-essential functions. Until then, work had been underway to investigate the viability of investing in the redevelopment of the mine as a modern, productive and long-life mining operation.

Since then, the remaining employees have been performing critical services related to the operation of underground water pumping, environmental and potable water treatment, provision of medical services, and maintenance of facilities that provide power and water to employees’ homes and surrounding communities.

In its declaration of force majeure, AngloGold Ashanti Ghana explained that the current situation is precluding it from fulfilling certain conditions of its Amended Programme of Mining Operations, which was agreed with the government in November 2014. In particular, the presence of illegal miners on the mine’s operational footprint, in its underground tunnels and in areas which host key infrastructure at the mine is impacting directly on the company’s ability to continue to perform even the most essential services.

Given inaction by the authorities with respect to bringing an end to the invasion and illegal occupation of the site, illegal mining has continued to grow since the initial invasion and the miners are now estimated to number several thousand who work on the site on any given day. Whilst there has been no impact on AngloGold Ashanti’s production and all-in sustaining costs as the site was not forecast to be in production for at least this year, the damage to the site infrastructure and ore body will have a direct impact on the mine’s future viability.

AngloGold Ashanti Ghana filed a Request for Arbitration against the Government of Ghana with the International Centre for Settlement of Investment Disputes (ICSID) on 8 April 2016. The case was registered on 2 May 2016. ICSID is an international arbitration institution, headquartered in Washington, D.C., which facilitates dispute resolution between international investors and host states. The relevant authorities’ in Ghana, including the Attorney General, have been duly notified of the commencement of proceedings.

On 3 June 2016, the company also asked ICSID to make an urgent order compelling the Government of Ghana to use its authority to, among other things, reinstate military security and restore law and order to the Obuasi Mine for the protection of AngloGold Ashanti Ghana’s personnel and the preservation of AngloGold Ashanti Ghana’s assets.

Discussions are ongoing with Ghanaian authorities in respect of their request to our local subsidiary, made after the end of the second quarter, to post an additional bond of $150m by 31 August 2016 in respect of its environmental obligations at Obuasi Mine. The present value of these obligations has already been provided for in the financial statements.

MINERAL RESERVES AND RESOURCES STATEMENT

There have been no material changes to the Mineral Resource and Ore Reserve estimates as disclosed in the 2015 Ore Reserve and Mineral Resource report.

10    

Independent auditor’s review report on the Condensed Consolidated Financial Statements for the six months ended 30 June 2016 to the Shareholders of AngloGold Ashanti Limited

We have reviewed the condensed consolidated financial statements of AngloGold Ashanti Limited (the company) contained in the accompanying interim report on pages 12 to 34, which comprise the accompanying condensed consolidated statement of financial position as at 30 June 2016, the condensed consolidated income statement, statement of comprehensive income, statement of changes in equity and statement of cash flows for the six months then ended, and selected explanatory notes.

Directors’ Responsibility for the Condensed Consolidated Financial Statements

The directors are responsible for the preparation and presentation of these condensed consolidated financial statements in accordance with the International Financial Reporting Standard, IAS 34 Interim Financial Reporting as issued by the International Accounting Standards Board (IASB), the SAICA Financial Reporting Guides, as issued by the Accounting Practices Committee and Financial Reporting Pronouncements as issued by the Financial Reporting Standards Council, and the requirements of the Companies Act of South Africa, and for such internal control as the directors determine is necessary to enable the preparation of condensed consolidated financial statements that are free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express a conclusion on these interim financial statements based on our review. We conducted our review in accordance with International Standard on Review Engagements (ISRE) 2410, Review of Interim Financial Information Performed by the Independent Auditor of the Entity. This standard requires us to conclude whether anything has come to our attention that causes us to believe that the interim financial statements are not prepared in all material respects in accordance with the applicable financial reporting framework. This standard also requires us to comply with relevant ethical requirements.

A review of interim financial statements in accordance with ISRE 2410 is a limited assurance engagement. We perform procedures, primarily consisting of making enquiries of management and others within the entity, as appropriate, and applying analytical procedures and evaluating the evidence obtained.

The procedures performed in a review are substantially less than and differ in nature from those performed in an audit conducted in accordance with International Standards on Auditing. Accordingly, we do not express an audit opinion on these financial statements.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the accompanying condensed consolidated financial statements of the company for the six months ended 30 June 2016 are not prepared, in all material respects, in accordance with International Financial Reporting Standard, IAS 34 Interim Financial Reporting as issued by the IASB, the SAICA Financial Reporting Guides as issued by the Accounting Practices Committee and Financial Reporting Pronouncements as issued by the Financial Reporting Standards Council and the requirements of the Companies Act of South Africa.

Ernst & Young Inc.

Director – Roger Hillen

Registered Auditor

Chartered Accountant (SA)

102 Rivonia Road, Sandton

Johannesburg, South Africa

12 August 2016

A member firm of Ernst & Young Global Limited.

A full list of Directors is available on the website.

Chief Executive: Ajen Sita

11    

Group income statement

			Six months ended June 2016			Six months ended June 2015			Year  ended  December  2015
US Dollar million	Notes		Reviewed			Reviewed			Audited
Revenue		2		2,041			2,127			4,174
Gold income		2		1,960			2,046			4,015
Cost of sales		3		(1,501	)		(1,652	)		(3,294)
Loss on non-hedge derivatives and other commodity contracts				(30	)		(3	)		(7)
Gross profit				429			391			714
Corporate administration, marketing and other expenses				(29	)		(46	)		(78)
Exploration and evaluation costs				(61	)		(59	)		(132)
Other operating expenses		4		(46	)		(43	)		(96)
Special items		5		(6	)		4			(71)
Operating profit				287			247			337
Interest received		2		11			14			28
Exchange loss				(83	)		(21	)		(17)
Finance costs and unwinding of obligations		6		(97	)		(131	)		(245)
Fair value adjustment on $1.25bn bonds				(25	)		(66	)		66
Share of associates and joint ventures’ profit		7		19			59			88
Profit before taxation				112			102			257
Taxation		8		(51	)		(115	)		(211)
Profit (loss) after taxation from continuing operations				61			(13	)		46
Discontinued operations
Loss from discontinued operations				-			(120	)		(116)
Profit (loss) for the period				61			(133	)		(70)
Allocated as follows:
Equity shareholders
- Continuing operations				52			(23	)		31
- Discontinued operations				-			(120	)		(116)
Non-controlling interests
- Continuing operations				9			10			15
				61			(133	)		(70)
Basic earnings (loss) per ordinary share (cents) (1)
Earnings (loss) per ordinary share from continuing operations				13			(6	)		8
Earnings (loss) per ordinary share from discontinued operations				-			(29	)		(28)
Basic earnings (loss) per ordinary share (cents)				13			(35	)		(20)
Diluted earnings (loss) per ordinary share (cents) (2)
Earnings (loss) per ordinary share from continuing operations				13			(6	)		8
Earnings (loss) per ordinary share from discontinued operations				-			(29	)		(28)
Diluted earnings (loss) per ordinary share (cents)				13			(35	)		(20)

⁽¹⁾ Calculated on the basic weighted average number of ordinary shares.

⁽²⁾ Calculated on the diluted weighted average number of ordinary shares.

Rounding of figures may result in computational discrepancies.

The reviewed financial statements for the six months ended 30 June 2016 have been prepared by the corporate accounting staff of AngloGold Ashanti Limited headed by Mr John Edwin Staples (BCompt (Hons); CGMA), the Group’s Chief Accounting Officer. This process was supervised by Ms Kandimathie Christine Ramon (CA (SA)), the Group’s Chief Financial Officer and Mr Srinivasan Venkatakrishnan (BCom; ACA (ICAI)), the Group’s Chief Executive Officer. The financial statements for the six months ended 30 June 2016 were reviewed, but not audited, by the Group’s statutory auditors, Ernst & Young Inc.

12    

Group statement of comprehensive income

	Six months ended June 2016			Six months ended June 2015			Year ended December 2015
US Dollar million	Reviewed			Reviewed			Audited
Profit (loss) for the period		61			(133	)		(70)
Items that will be reclassified subsequently to profit or loss:
Exchange differences on translation of foreign operations		122			(90	)		(371)
Share of associates and joint ventures’ other comprehensive income		-			-			1
Net gain (loss) on available-for-sale financial assets		27			(7	)		(14)
Release on impairment of available-for-sale financial assets		-			5			9
Release on disposal of available-for-sale financial assets		(1	)		(2	)		(3)
Deferred taxation thereon		(6	)		1			1
		20			(3	)		(7)
Items that will not be reclassified subsequently to profit or loss:
Actuarial (loss) gain recognised		(5	)		5			17
Deferred taxation thereon		1			(1	)		(3)
		(4	)		4			14
Other comprehensive income (loss) for the period, net of tax		138			(89	)		(363)
Total comprehensive income (loss) for the period, net of tax		199			(222	)		(433)
Allocated as follows:
Equity shareholders
- Continuing operations		190			(112	)		(332)
- Discontinued operations		-			(120	)		(116)
Non-controlling interests
- Continuing operations		9			10			15
		199			(222	)		(433)

Rounding of figures may result in computational discrepancies.

13    

Group statement of financial position

			As at June 2016			As at June 2015			As at       December 2015
US Dollar million	Notes		Reviewed			Reviewed			Audited
ASSETS
Non-current assets
Tangible assets				4,072			4,453			4,058
Intangible assets				151			188			161
Investments in associates and joint ventures				1,489			1,464			1,465
Other investments				128			120			91
Inventories				94			103			90
Trade and other receivables				22			19			13
Derivatives				1			-			-
Deferred taxation				21			5			1
Cash restricted for use				34			35			37
Other non-current assets				15			30			18
				6,027			6,417			5,934
Current assets Other investments				3			2			1
Inventories				671			721			646
Trade, other receivables and other assets				240			207			196
Cash restricted for use				22			22			23
Cash and cash equivalents				470			459			484
				1,406			1,411			1,350
Non-current assets held for sale				-			989			-
				1,406			2,400			1,350
TOTAL ASSETS				7,433			8,817			7,284
EQUITY AND LIABILITIES
Share capital and premium		11		7,103			7,058			7,066
Accumulated losses and other reserves				(4,473	)		(4,430	)		(4,636)
Shareholders’ equity				2,630			2,628			2,430
Non-controlling interests				40			33			37
Total equity				2,670			2,661			2,467
Non-current liabilities Borrowings				2,046			3,651			2,637
Environmental rehabilitation and other provisions				923			931			847
Provision for pension and post-retirement benefits				112			140			107
Trade, other payables and deferred income				6			6			5
Deferred taxation				494			556			514
				3,581			5,284			4,110
Current liabilities Borrowings				608			79			100
Trade, other payables, provisions and deferred income				508			536			516
Taxation				66			58			91
				1,182			673			707
Non-current liabilities held for sale				-			199			-
				1,182			872			707
Total liabilities				4,763			6,156			4,817
TOTAL EQUITY AND LIABILITIES				7,433			8,817			7,284

Rounding of figures may result in computational discrepancies.

14    

Group statement of cash flows

	Six months ended June 2016		Six months ended June 2015		Year ended December 2015
US Dollar million	Reviewed		Reviewed		Audited
Cash flows from operating activities
Receipts from customers		2,003		2,114		4,154
Payments to suppliers and employees		(1,405)		(1,500)		(2,904)
Cash generated from operations		598		614		1,250
Dividends received from joint ventures		5		29		57
Taxation refund		3		-		21
Taxation paid		(130)		(111)		(184)
Net cash inflow from operating activities from continuing operations		476		532		1,144
Net cash outflow from operating activities from discontinued operations		-		(19)		(5)
Net cash inflow from operating activities		476		513		1,139
Cash flows from investing activities
Capital expenditure		(277)		(313)		(664)
Expenditure on intangible assets		(2)		-		(3)
Proceeds from disposal of tangible assets		2		3		6
Other investments acquired		(41)		(55)		(86)
Proceeds from disposal of other investments		33		48		81
Investments in associates and joint ventures		(3)		(6)		(11)
Proceeds from disposal of associates and joint ventures		-		-		1
Loans advanced to associates and joint ventures		(3)		(3)		(5)
Loans repaid by associates and joint ventures		-		-		2
Proceeds from disposal of subsidiaries and investments		-		-		819
Costs on disposal of subsidiaries		-		-		(7)
Cash in subsidiary disposed and transfers to held for sale		-		(2)		(2)
Decrease (increase) in cash restricted for use		5		(8)		(17)
Interest received		9		13		25
Net cash (outflow) inflow from investing activities from continuing operations		(277)		(323)		139
Net cash outflow from investing activities from discontinued operations		-		(49)		(59)
Net cash (outflow) inflow from investing activities		(277)		(372)		80
Cash flows from financing activities
Proceeds from borrowings		201		190		421
Repayment of borrowings		(329)		(212)		(1,288)
Finance costs paid		(84)		(119)		(251)
Bond settlement premium, RCF and bond transaction costs		-		-		(61)
Dividends paid		(6)		(4)		(5)
Net cash outflow from financing activities from continuing operations		(218)		(145)		(1,184)
Net cash outflow from financing activities from discontinued operations		-		(1)		(2)
Net cash outflow from financing activities		(218)		(146)		(1,186)
Net (decrease) increase in cash and cash equivalents		(19)		(5)		33
Translation		5		(4)		(17)
Cash and cash equivalents at beginning of period		484		468		468
Cash and cash equivalents at end of period		470		459		484
Cash generated from operations
Profit before taxation		112		102		257
Adjusted for:
Movement on non-hedge derivatives and other commodity contracts		30		3		7
Amortisation of tangible assets		349		350		737
Finance costs and unwinding of obligations		97		131		245
Environmental, rehabilitation and other expenditure		2		(16)		(56)
Special items		5		(14)		60
Amortisation of intangible assets		14		21		40
Fair value adjustment on $1.25bn bonds		25		66		(66)
Interest received		(11)		(14)		(28)
Share of associates and joint ventures’ profit		(19)		(59)		(88)
Other non-cash movements		97		16		53
Movements in working capital		(103)		28		89
		598		614		1,250
Movements in working capital
(Increase) decrease in inventories		(33)		35		99
(Increase) decrease in trade and other receivables		(50)		72		108
Decrease in trade, other payables and deferred income		(20)		(79)		(118)
		(103)		28		89

Rounding of figures may result in computational discrepancies.

15    

Group statement of changes in equity

	Equity holders of the parent
	Share						Cash		Available				Foreign
	capital		Other		Accumu-		flow		for		Actuarial		currency				Non-
	and		capital		lated		hedge		sale		(losses)		translation				controlling		Total
US Dollar million	premium		reserves		losses		reserve		reserve		gains		reserve		Total		interests		equity
Balance at 31 December 2014		7,041		132		(3,109)		(1)		17		(40)		(1,195)		2,845		26		2,871
Loss for the period						(143)										(143)		10		(133)
Other comprehensive (loss) income										(3)		4		(90)		(89)				(89)
Total comprehensive (loss) income		-		-		(143)		-		(3)		4		(90)		(232)		10		(222)
Shares issued		17														17				17
Share-based payment for share awards net of exercised				(2)												(2)				(2)
Dividends of subsidiaries																-		(3)		(3)
Translation				(5)		4				(1)		2				-				-
Balance at 30 June 2015		7,058		125		(3,248)		(1)		13		(34)		(1,285)		2,628		33		2,661
Balance at 31 December 2015		7,066		117		(3,174)		(1)		7		(19)		(1,566)		2,430		37		2,467
Profit for the period						52										52		9		61
Other comprehensive income (loss) (1)										20		(4)		122		138				138
Total comprehensive income (loss)		-		-		52		-		20		(4)		122		190		9		199
Shares issued		37														37				37
Share-based payment for share awards net of exercised				(27)												(27)				(27)
Dividends of subsidiaries																-		(6)		(6)
Translation				3		(3)				1		(1)				-		-		-
Balance at 30 June 2016		7,103		93		(3,125)		(1)		28		(24)		(1,444)		2,630		40		2,670

⁽¹⁾  Foreign currency translation reserve includes an exchange difference of $60 million reclassified on the repayment of a loan which was designated as part of the investment in subsidiary .

Rounding of figures may result in computational discrepancies.

16    

Segmental reporting

AngloGold Ashanti’s operating segments are being reported based on the financial information provided to the Chief Executive Officer and the Executive Committee, collectively identified as the Chief Operating Decision Maker (CODM). Individual members of the Executive Committee are responsible for geographic regions of the business.

	Six months ended				Year ended
	June		June		December
	2016		2015		2015
	Reviewed		Reviewed		Audited
	US Dollar million
Gold income
South Africa		581		586		1,132
Continental Africa		792		920		1,724
Australasia		309		345		666
Americas		477		459		967
		2,159		2,310		4,489
Equity-accounted investments included above		(199)		(264)		(474)
Continuing operations		1,960		2,046		4,015
Discontinued operations		-		113		137
		1,960		2,159		4,152
	Six months ended				Year ended
	June		June		December
	2016		2015		2015
	Reviewed		Reviewed		Audited
	US Dollar million
Gross profit
South Africa		70		27		42
Continental Africa		178		239		377
Australasia		56		83		142
Americas		136		118		247
Corporate and other		1		2		2
		441		469		810
Equity-accounted investments included above		(12)		(78)		(96)
Continuing operations		429		391		714
Discontinued operations		-		16		19
		429		407		733
	Six months ended				Year ended
	June		June		December
	2016		2015		2015
	Reviewed		Reviewed		Audited
	US Dollar million
Capital expenditure
South Africa		75		96		206
Continental Africa		112		143		315
Australasia		39		42		78
Americas		90		96		196
Corporate and other		2		1		4
Continuing operations		318		378		799
Discontinued operations		-		48		58
		318		426		857
Equity-accounted investments included above		(38)		(64)		(131)
		280		362		726
	Six months ended				Year ended
	June		June		December
	2016		2015		2015
			oz (000)
Gold production
South Africa		486		500		1,004
Continental Africa		620		719		1,435
Australasia		251		282		560
Americas		388		377		831
Continuing operations		1,745		1,878		3,830
Discontinued operations		-		98		117
		1,745		1,976		3,947
	As at		As at		As at
	June		June		December
	2016		2015		2015
	Reviewed		Reviewed		Audited
	US Dollar million
Total assets
South Africa		1,733		2,031		1,629
Continental Africa		3,144		3,188		3,121
Australasia		858		842		837
Americas		1,301		2,335		1,341
Corporate and other		397		421		356
		7,433		8,817		7,284

Rounding of figures may result in computational discrepancies.

17    

Notes

for the six months ended 30 June 2016

1. Basis of preparation

The financial statements in this interim report have been prepared in accordance with the historic cost convention except for certain financial instruments which are stated at fair value. The group’s accounting policies used in the preparation of these financial statements are consistent with those used in the annual financial statements for the year ended 31 December 2015 except for the adoption of new standards and interpretations effective for the year beginning 1 January 2016.

The financial statements of AngloGold Ashanti have been prepared in compliance with IAS 34, IFRS as issued by the International Accounting Standards Board, the South African Institute of Chartered Accountants Financial Reporting Guides as issued by the Accounting Practices Committee, Financial Reporting Pronouncements as issued by the Financial Reporting Standards Council, JSE Listings Requirements and in the manner required by the South African Companies Act, 2008 (as amended) for the preparation of financial information of the group for the six months ended 30 June 2016. These interim financial statements should be read in conjunction with the company’s audited consolidated financial statements and the notes thereto as at and for the year ended 31 December 2015.

Based on materiality, certain comparatives have been aggregated.

2. Revenue

	Six months ended				Year ended
	Jun 2016		Jun 2015		Dec 2015
	Reviewed		Reviewed		Audited
	US Dollar million
Gold income		1,960		2,046		4,015
By-products (note 3)		69		65		127
Royalties received (note 5)		1		2		4
Interest received		11		14		28
		2,041		2,127		4,174

3. Cost of sales

	Six months ended				Year ended
	Jun 2016		Jun 2015		Dec 2015
	Reviewed		Reviewed		Audited
	US Dollar million
Cash operating costs		1,120		1,245		2,493
By-products revenue (note 2)		(69)		(65)		(127)
		1,051		1,180		2,366
Royalties		49		53		100
Other cash costs		12		13		27
Net cash operating costs		1,112		1,246		2,493
Retrenchment costs		5		7		11
Rehabilitation and other non-cash costs		28		9		(10)
Amortisation of tangible assets		349		350		737
Amortisation of intangible assets		14		21		40
Inventory change		(7)		19		23
		1,501		1,652		3,294

Rounding of figures may result in computational discrepancies.

18    

4. Other operating expenses

	Six months ended				Year ended
	Jun		Jun		Dec
	2016		2015		2015
	Reviewed		Reviewed		Audited
	US Dollar million
Pension and medical defined benefit provisions		3		4		18
Governmental fiscal claims and care and maintenance of old tailings operations		6		3		7
Care and maintenance costs		37		35		67
Other expenses		-		1		4
		46		43		96

5. Special items

	Six months ended				Year ended
	Jun		Jun		Dec
	2016		2015		2015
	Reviewed		Reviewed		Audited
	US Dollar million
Net impairment and derecognition of assets		2		5		20
Net profit on disposal of assets		(1)		-		(1)
Royalties received (note 2)		(1)		(2)		(4)
Indirect tax expenses (recoveries)		2		(13)		(20)
Legal fees and other costs (recoveries) related to contract termination and settlement		4		(2)		(1)
Write-down of inventory		-		6		11
Retrenchment and related costs		-		2		4
Repurchase premium and costs on part settlement of the $1.25bn bonds (note 14)		-		-		61
Other		-		-		1
		6		(4)		71

6. Finance costs and unwinding of obligations

	Six months ended				Year ended
	Jun		Jun		Dec
	2016		2015		2015
	Reviewed		Reviewed		Audited
	US Dollar million
Finance costs		86		120		223
Unwinding of obligations and accretion of convertible bonds		11		11		22
		97		131		245

7. Share of associates and joint ventures’ profit

	Six months ended				Year ended
	Jun		Jun		Dec
	2016		2015		2015
	Reviewed		Reviewed		Audited
	US Dollar million
Revenue		206		272		489
Operating costs, special items and other expenses		(203)		(202)		(415)
Net interest received		4		3		7
Profit before taxation		7		73		81
Taxation		2		(14)		(17)
Profit after taxation		9		59		64
Net reversal of impairment of investments in associates and joint ventures		10		-		24
		19		59		88

Rounding of figures may result in computational discrepancies.

19    

8. Taxation

	Six months ended				Year ended
	Jun		Jun		Dec
	2016		2015		2015
	Reviewed		Reviewed		Audited
	US Dollar million
South African taxation
Non-mining tax		-		13		1
Prior year over provision		-		(7)		(14)
Deferred taxation
Temporary differences		7		(22)		(41)
Unrealised non-hedge derivatives and other commodity contracts		(9)		(1)		(2)
Impairment and disposal of tangible assets		(1)		-		(1)
Change in estimated deferred tax rate		-		-		(15)
		(3)		(17)		(72)
Foreign taxation
Normal taxation		109		105		214
Prior year over provision		(5)		-		(9)
Deferred taxation
Temporary differences		(50)		27		78
		54		132		283
9.       Headline earnings (loss)
	Six months ended				Year ended
	Jun		Jun		Dec
	2016		2015		2015
	Reviewed		Reviewed		Audited
	US Dollar million
The profit (loss) attributable to equity shareholders has been adjusted by the following to arrive at headline earnings (loss):
Profit (loss) attributable to equity shareholders		52		(143)		(85)
Net (reversal) impairment and derecognition of assets		(17)		5		2
Net (profit) loss on disposal of assets		(1)		12		9
Special items of associates and joint ventures		-		-		3
Exchange loss on foreign currency translation reserve release		60		-		-
Taxation		(1)		(2)		(2)
Headline earnings (loss)		93		(128)		(73)
Headline earnings (loss) per ordinary share (cents) (1)		23		(31)		(18)
Diluted headline earnings (loss) per ordinary share (cents) (2)		23		(31)		(18)

⁽¹⁾  Calculated on the basic weighted average number of ordinary shares.

⁽²⁾  Calculated on the diluted weighted average number of ordinary shares.

10. Number of shares

	Six months ended				Year ended
	Jun		Jun		Dec
	2016		2015		2015
	Reviewed		Reviewed		Audited
Authorised number of shares:
Ordinary shares of 25 SA cents each		600,000,000		600,000,000		600,000,000
A redeemable preference shares of 50 SA cents each		2,000,000		2,000,000		2,000,000
B redeemable preference shares of 1 SA cent each		5,000,000		5,000,000		5,000,000
C redeemable preference shares at no par value(1)		30,000,000		-		-
Issued and fully paid number of shares:
Ordinary shares in issue		408,003,687		404,818,500		405,265,315
A redeemable preference shares		2,000,000		2,000,000		2,000,000
B redeemable preference shares		778,896		778,896		778,896
In calculating the basic and diluted number of ordinary shares outstanding for the period, the following were taken into consideration:
Ordinary shares		406,862,598		404,428,567		404,747,625
Fully vested options		3,468,878		3,124,438		4,859,233
Weighted average number of shares		410,331,476		407,553,005		409,606,858
Dilutive potential of share options		2,119,174		-		-
Diluted number of ordinary shares		412,450,650		407,553,005		409,606,858

⁽¹⁾  At the annual general meeting on 4 May 2016, the shareholders approved an increase to the authorised share capital of the company by the creation of 30,000,000 new C redeemable preference shares of no par value. As at 30 June 2016, no C redeemable preferences shares have been issued.

Rounding of figures may result in computational discrepancies.

20    

11. Share capital and premium

	As at
	Jun		Jun		Dec
	2016		2015		2015
	Reviewed		Reviewed		Audited
	US Dollar Million
Balance at beginning of period		7,119		7,094		7,094
Ordinary shares issued		37		17		25
Sub-total		7,156		7,111		7,119
Redeemable preference shares held within the group		(53)		(53)		(53)
Balance at end of period		7,103		7,058		7,066
12.    Exchange rates
	Jun		Jun		Dec
	2016		2015		2015
	Unaudited		Unaudited		Unaudited
ZAR/USD average for the year to date		15.39		11.91		12.77
ZAR/USD average for the quarter		14.99		12.08		14.22
ZAR/USD closing		14.68		12.16		15.46
AUD/USD average for the year to date		1.36		1.28		1.33
AUD/USD average for the quarter		1.34		1.29		1.39
AUD/USD closing		1.34		1.30		1.37
BRL/USD average for the year to date		3.70		2.97		3.33
BRL/USD average for the quarter		3.51		3.07		3.84
BRL/USD closing		3.21		3.10		3.90
ARS/USD average for the year to date		14.35		8.82		9.26
ARS/USD average for the quarter		14.22		8.95		10.13
ARS/USD closing		15.04		9.09		12.96
13.    Capital commitments
	Jun		Jun		Dec
	2016		2015		2015
	Reviewed		Reviewed		Audited
	US Dollar Million
Orders placed and outstanding on capital contracts at the prevailing rate of exchange (1)		145		161		61

⁽¹⁾  Includes the group’s attributable share of capital commitments relating to associates and joint ventures.

Liquidity and capital resources

To service the above capital commitments and other operational requirements, the group is dependent on existing cash resources, cash generated from operations and borrowing facilities.

Cash generated from operations is subject to operational, market and other risks. Distributions from operations may be subject to foreign investment, exchange control laws and regulations and the quantity of foreign exchange available in offshore countries. In addition, distributions from joint ventures are subject to the relevant board approval.

The credit facilities and other finance arrangements contain financial covenants and other similar undertakings. To the extent that external borrowings are required, the group’s covenant performance indicates that existing financing facilities will be available to meet the above commitments. To the extent that any of the financing facilities mature in the near future, the group believes that sufficient measures are in place to ensure that these facilities can be refinanced.

14. Financial risk management activities

Borrowings

The $1.25bn bonds are carried at fair value. The rated bonds are carried at amortised cost and their fair values are their closing market values at the reporting date which results in the difference noted in the table below. The interest rate on the remaining borrowings is reset on a short-term floating rate basis and accordingly the carrying amount is considered to approximate the fair value.

	As at
	Jun 2016		Jun 2015		Dec 2015
	Reviewed		Reviewed		Audited
	US Dollar Million
Carrying amount		2,654		3,730		2,737
Fair value		2,723		3,725		2,425

Rounding of figures may result in computational discrepancies.

21    

Derivatives

The fair value of derivatives is estimated based on ruling market prices, volatilities, interest rates and credit risk and includes all derivatives carried in the statement of financial position.

Embedded derivatives are included as derivatives on the statement of financial position.

The group uses the following hierarchy for determining and disclosing the fair value of financial instruments:

Level 1:	quoted prices (unadjusted) in active markets for identical assets or liabilities;
Level 2:	inputs other than quoted prices included in level 1 that are observable for the asset or liability, either directly (as prices) or indirectly (derived from prices); and
Level 3:	inputs for the asset or liability that are not based on observable market data (unobservable inputs).

The following tables set out the group’s financial assets and liabilities measured at fair value by level within the fair value hierarchy:

Type of instrument

	Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total		Level 1		Level 2		Level 3		Total
US Dollar million	Jun 2016 Reviewed								Jun 2015 Reviewed								Dec 2015 Audited
Assets measured at fair value
Available-for-sale financial assets
Equity securities		59		-		-		59		42		-		-		42		30		-		-		30
Liabilities measured at fair value
Financial liabilities at fair value through profit or loss
$1.25bn bonds		523		-		-		523		1,440		-		-		1,440		498		-		-		498

On 28 June 2016, AngloGold Ashanti (“AGA”) announced that its wholly owned subsidiary, AngloGold Ashanti Holdings plc (“AGAH”), is compelling the surrender following the notice to buy back the remaining principal amount of its outstanding 8.5% high-yield bonds that mature in May 2020, as part of its strategy to reduce debt and lower finance charges. On 1 August 2016, the remaining portion of the notes were settled for a total consideration of $503m consisting of a $471m principal payment, a surrender premium of $30m and interest of $2m.

On 24 August 2015, AngloGold Ashanti announced that its wholly owned subsidiary, AngloGold Ashanti Holdings plc, was offering to buy back up to $810m in aggregate principal amount of its outstanding 8.5% high-yield bonds that mature in 2020, as part of its strategy to reduce debt and lower interest payment. On 25 September 2015, 62.34% of the notes were settled for a total consideration of $850m consisting of a $779m principal payment, a tender premium, being the difference between the par value of the bond and the redemption price of $58m and interest of US$13m. Included in the tender premium on the $1.25bn bond (note 5) was a realised fair value loss of $11.5m being the difference between the fair value on redemption date and the redemption price.

Environmental obligations

Pursuant to environmental regulations in the countries in which we operate, we are obligated to close our operations and rehabilitate the lands which we mine in accordance with these regulations. As a consequence AngloGold Ashanti is required in some circumstances to provide either reclamations bonds issued by third party entities, establish independent trust funds or provide guarantees issued by the operation, to the respective environmental protection agency or such other government department with responsibility for environmental oversight in the respective country to cover the potential environmental rehabilitation obligation in specified amounts.

In most cases, the environmental obligations will expire on completion of the rehabilitation although in some cases we are required to potentially post bonds for events unknown that may arise after the rehabilitation has been completed.

In South Africa we have established a trust fund which has assets of ZAR 1.33bn and guarantees of ZAR 1.37bn issued by various banks, for a current carrying value of the liability of ZAR 1.4bn. In Australia, since 2014, we have paid into a Mine Rehabilitation Fund an amount of AUD $1m for a current carrying value of the liability of AUD $95.3m. At Iduapriem we have provided a bond comprising of a cash component of $9.7m with a further bond guarantee amounting to $33.9m issued by Ecobank Ghana Limited (expired on 31st May 2016 but renewal process is underway) for a current carrying value of the liability of $43.8m. At Obuasi we have provided a bond comprising of a cash component of $20.1m with a further bank guarantee amounting to $30m issued by Nedbank Limited for a current carrying value of the liability of $218.1m. In some circumstances we may be required to post further bonds in due course which will have a consequential income statement charge for the fees charged by the providers of the reclamation bonds.

22    

15. Contingencies

AngloGold Ashanti’s material contingent liabilities and assets at 30 June 2016 and 31 December 2015 are detailed below:

Contingencies and guarantees
	Jun 2016		Dec 2015
	Reviewed		Audited
	US Dollar million
Contingent liabilities
ODMWA litigation (1)		-		-
Litigation – Ghana (2) (3)		97		97
Mill contractor claims (4)		20		20
Other tax disputes – AngloGold Ashanti Brasil Mineraçăo Ltda (5)		28		22
VAT disputes – Mineraçăo Serra Grande S.A.(6)		13		11
Tax dispute - AngloGold Ashanti Colombia S.A.(7)		141		128
Tax dispute - Cerro Vanguardia S.A.(8)		29		32
Groundwater pollution (9)		-		-
Deep groundwater pollution – Africa (10)		-		-
Contingent asset
Indemnity – Kinross Gold Corporation (11)		(8)		(7)
		320		303

Litigation claims

(1) Occupational Diseases in Mines and Works Act (ODMWA) litigation - On 3 March 2011, in Mankayi vs. AngloGold Ashanti, the Constitutional Court of South Africa held that section 35(1) of the Compensation for Occupational Injuries and Diseases Act, 1993 does not cover an “employee” who qualifies for compensation in respect of “compensable diseases” under the Occupational Diseases in Mines and Works Act, 1973 (ODMWA). This judgement allows such qualifying employee to pursue a civil claim for damages against the employer. Following the Constitutional Court decision, AngloGold Ashanti has been subject to numerous claims relating to silicosis and other Occupational Lung Diseases (OLD), including several potential class actions and individual claims.

In November 2014, Anglo American South Africa, AngloGold Ashanti, Gold Fields Limited, Harmony Gold Mining Company Limited and Sibanye Gold Limited formed an industry working group on OLD to address issues relating to compensation and medical care for occupational lung disease in the gold mining industry in South Africa. The working group now also includes African Rainbow Minerals (ARM). The companies believe that fairness and sustainability are crucial elements of any solution and have embarked on an extensive engagement process with all stakeholders to work together to design and implement a comprehensive solution that is both fair to past, present and future gold mining employees, and also sustainable for the sector.

The companies are among respondent companies in a number of lawsuits related to OLD. The companies do not believe that they are liable in respect of the claims brought, and they are defending these. They do, however, believe that they should work together to seek a solution to this South African mining industry legacy issue.

The companies active in gold mining have been working for many years to try to eliminate the incidence of OLD. These efforts continue.

These legal proceedings are being defended, and the status of the proceedings are set forth below.

AngloGold Ashanti, along with other mining companies including Anglo American South Africa, ARM, Gold Fields Limited, Harmony Gold Mining Company Limited, DRDGold Limited, Randgold and Exploration Company Limited, and Sibanye Gold Limited, were served with a consolidated class action application on 21 August 2013. On 13 May, 2016, the South Gauteng High Court of South Africa ruled in favour of the applicants and found that there were sufficient common issues to certify two industry-wide classes: a Silicosis Class and a Tuberculosis Class, each of which cover current and former underground mineworkers who worked in South African mines from 12 March, 1965 and who have contracted the respective diseases (or the dependents of mineworkers who died of those diseases). The High Court ordered a two-stage process in the class action. The first stage is to resolve common issues and allow the individuals to opt out. The second stage will allow the individuals to opt in to the class to make their claims against the respondent mining companies. The High Court also decided that claims for general damages (i.e., pain and suffering and loss of amenities of life) will be transferable to the estate or executor of any deceased mineworker who dies after the date of filing of the certification application. On 3 June 2016, AngloGold Ashanti, together with certain of the other mining companies, filed an application with the High Court for leave to appeal to the Supreme Court of Appeal. Arguments in the application for leave to appeal were heard on 23 June 2016. On 24 June 2016, leave to appeal was (i) granted in respect of the issue of the transferability of deceased mineworkers’ claims for general damages but (ii) denied in respect of all other orders of the High Court. On 15 July 2016 AngloGold Ashanti, along with several other respondent companies, filed a petition with the Supreme Court of Appeal for leave to appeal such other orders of the High Court.

It is possible that additional class actions and/or individual claims relating to silicosis and/or other OLD will be filed against AngloGold Ashanti in the future. AngloGold Ashanti will defend all current and subsequently filed claims on their merits. Should AngloGold Ashanti be unsuccessful in defending any such claims, or in otherwise favourably resolving perceived deficiencies in the national occupational disease compensation framework that were identified in the earlier decision by the Constitutional Court, such matters would have an adverse effect on its financial position, which could be material. Given the inherent legal and factual uncertainties with respect to the pending claims and other claims not yet filed against the company, no reliable estimate can be made for the obligation.

(2) Litigation - On 11 October 2011, AngloGold Ashanti (Ghana) Limited (AGAG) terminated Mining and Building Contractors Limited’s (MBC) underground development agreement, construction on bulkheads agreement and diamond drilling agreement at Obuasi mine. The parties reached agreement on the terms of the separation and concluded a separation agreement on 8 November 2012. On 20 February 2014, AGAG was served with a writ issued by MBC claiming a total of $97m. In December 2015, the proceedings were stayed in the High Court pending arbitration. In February 2016, MBC submitted the matter to arbitration.

23    

(3) Litigation - AGAG received a summons on 2 April 2013 from Abdul Waliyu and 152 others in which the plaintiffs allege that they were or are residents of the Obuasi municipality or its suburbs and that their health has been adversely affected by emission and/or other environmental impacts arising in connection with the current and/or historical operations of the Pompora Treatment Plant (PTP), which was decommissioned in 2000. The plaintiffs’ alleged injuries include respiratory infections, skin diseases and certain cancers. The plaintiffs subsequently did not timely file their application for directions, but AGAG intends to allow some time to pass prior to applying to have the matter struck out for want of prosecution. On 24 February 2014, executive members of the PTP (AGAG) Smoke Effect Association (PASEA), sued AGAG by themselves and on behalf of their members (undisclosed number) on grounds similar to those discussed above, as well as economic hardships as a result of constant failure of their crops. This matter is set for hearing in October 2016. In view of the limitation of current information for the accurate estimation of a liability, no reliable estimate can be made for AGAG’s obligation in either matter.

(4) Mill contractor claims - On 3 August 2015, AngloGold Ashanti and Newmont concluded the sale of the Cripple Creek & Victor mine in Colorado to Newmont. As part of the negotiated transaction, the parties agreed to a cost/recovery sharing arrangement relative to cost claims asserted for or against CC&V based on work performed by contractors during the design and manufacture of the High Grade Mill. Under the agreement, AngloGold Ashanti has the right to manage any negotiation, settlement, or legal proceedings associated with each cost claim. The total value of the cost claims asserted against CC&V, by two contractors, is $20m. On 1 April 2016, CC&V was added as a defendant to a lawsuit in the U.S. District Court (Colorado) between one of the contractors and a subcontractor, and the cost claims are being litigated there. Separately, CC&V has cost claims against the mill design contractor. These claims are proceeding in arbitration.

With reference to items (1) - (4) above, provisions have been raised where the amount of the potential claim or settlement can be reasonably estimated.

Tax claims

(5) Other tax disputes - In November 2007, the Departamento Nacional de Produção Mineral (DNPM), a Brazilian federal mining authority, issued a tax assessment against AngloGold Ashanti Brazil Mineração Ltda (AABM) in the amount of $14m (2015: $11m) relating to the calculation and payment by AABM of the financial contribution on mining exploitation (CFEM) in the period from 1991 to 2006. The matter has been dormant since 2007. AngloGold Ashanti Limited’s subsidiaries in Brazil are involved in various other disputes with tax authorities. These disputes involve federal tax assessments including income tax, royalties, social contributions and annual property tax. The amount involved is approximately $14m (2015: $11m). Management is of the opinion that these taxes are not payable.

(6) VAT disputes - Mineração Serra Grande S.A. (MSG) received a tax assessment in October 2003 from the State of Minas Gerais related to VAT on gold bullion transfers. The tax administrators rejected the company’s appeals against the assessment. The company is now appealing the dismissal of the case to the State of Minas Gerais. The assessment is approximately $13m (2015: $11m).

(7) Tax dispute - In January 2013, AngloGold Ashanti Colombia S.A. (AGAC) received notice from the Colombian Tax Office (DIAN) that it disagreed with the company’s tax treatment of certain items in the 2010 and 2011 income tax returns. On 23 October 2013, AGAC received the official assessments from the DIAN which established that an estimated additional tax of $22m (2015: $20m) will be payable if the tax returns are amended. Penalties and interest for the additional taxes are expected to be $119m (2015: $108m). The company believes that the DIAN has applied the tax legislation incorrectly. AGAC subsequently challenged the DIAN’s ruling by filing lawsuits in March 2015 and April 2015 before the Administrative Tribunal of Cundinamarca (trial court for tax litigation). On 8 July 2016, the tribunal held an initial procedural hearing on the 2010 tax dispute.

(8) Tax dispute - On 12 July 2013, Cerro Vanguardia S.A. (CVSA) received a notification from the Argentina Tax Authority (AFIP) requesting corrections to the 2007, 2008 and 2009 income tax returns of about $7m (2015: $8m) relating to the non- deduction of tax losses previously claimed on hedge contracts. The AFIP is of the view that the financial derivatives could not be considered as hedge contracts, as hedge contract losses could only be offset against gains derived from the same kind of hedging contracts. Penalties and interest on the disputed amounts are estimated at a further $22m (2015: $24m). CVSA and AFIP have corresponded on this issue over the past several years and while management is of the opinion that the taxes are not payable, the government continues to assert its position regarding the use of the financial derivatives. CVSA filed an appeal with the Tax Court on 19 June 2015.

Other

(9) Groundwater pollution - AngloGold Ashanti has identified groundwater contamination plumes at certain of its operations, which have occurred primarily as a result of seepage from mine residue stockpiles. Numerous scientific, technical and legal studies have been undertaken to assist in determining the magnitude of the contamination and to find sustainable remediation solutions. The group has instituted processes to reduce future potential seepage and it has been demonstrated that Monitored Natural Attenuation (MNA) by the existing environment will contribute to improvements in some instances. Furthermore, literature reviews, field trials and base line modelling techniques suggest, but have not yet proven, that the use of phyto-technologies can address the soil and groundwater contamination. Subject to the completion of trials and the technology being a proven remediation technique, no reliable estimate can be made for the obligation.

(10) Deep groundwater pollution - The group has identified potential water ingress and future pollution risk posed by deep groundwater in certain underground mines in Africa. Various studies have been undertaken by AngloGold Ashanti since 1999 to understand this potential risk. In South Africa, due to the interconnected nature of mining operations, any proposed solution needs to be a combined one supported by all the mines located in these gold fields. As a result, the Mineral and Petroleum Resources Development Act (MPRDA) requires that the affected mining companies develop a Regional Mine Closure Strategy to be approved by the Department of Mineral Resources. In view of the limitation of current information for the accurate estimation of a liability, no reliable estimate can be made for the obligation.

Contingent asset

(11) Indemnity - As part of the acquisition by AngloGold Ashanti of the remaining 50% interest in MSG during June 2012, Kinross Gold Corporation (Kinross) has provided an indemnity to a maximum amount of BRL255m against the specific exposures discussed in item 6 above. At 30 June 2016, the company has estimated that the maximum contingent asset is $8m (2015: $7m).

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16. Borrowings

AngloGold Ashanti’s borrowings are interest bearing.

17. Announcements

AngloGold Ashanti and Anglo American South Africa settle stand-alone silicosis claims – On 4 March 2016 AngloGold Ashanti announced that together with Anglo American South Africa, the companies have concluded an agreement which resolves fully and finally stand-alone silicosis claims. The settlement relates to the approximately 4,400 separate claims which were instituted against Anglo American South Africa and included in this figure are the roughly 1,200 separate claims against AngloGold Ashanti.

The settlement has been reached without admission of liability by AngloGold Ashanti and Anglo American South Africa and the terms of the agreement remain confidential. Both companies will contribute, in stages, up to $30 million.

AngloGold Ashanti noted publication of draft Mining Charter – On 18 April 2016 AngloGold Ashanti noted the publication by South Africa’s department of Mineral Resources of the draft reviewed Broad-Based Black Economic Empowerment charter for the South African mining and minerals industry 2016.

AngloGold Ashanti rating action by Standard and Poor’s rating agency (S&P) – On 26 April 2016 AngloGold Ashanti confirmed that Standard & Poor’s rating agency (S&P) had affirmed AngloGold Ashanti’s BB+ long-term corporate credit rating and revised the outlook to stable from negative.

S&P cited the reduction in debt and increasing local currency gold prices as reasons for the increase in earnings, cash flows, liquidity and credit metrics for AngloGold Ashanti. The stable outlook reflects S&P’s expectation that AngloGold Ashanti can maintain core credit metrics at the higher end of their intermediate category.

AngloGold Ashanti Holdings plc announces issuance of a notice for the conditional redemption of all of its outstanding 8.5% notes due 2020 – On 28 June 2016 AngloGold Ashanti Holdings plc (the “Company”) announced that it had issued a notice for the conditional redemption (subject to the satisfaction or waiver of the condition described below) of all of its outstanding 8.5% Notes due 2020 (the “Notes”).

Under the notice, the redemption of the Notes was conditioned upon the receipt by the Company of borrowings under the Company’s $1,000,000,000 revolving credit facility in a sufficient amount, together with available cash in an amount determined by the Company, to pay the redemption price for the Notes, including any applicable premium, and accrued and unpaid interest in full and pay all related expenses on or before the redemption date. The redemption date was 1 August 2016.

The notes were redeemed at a redemption price equal to 106.375% of the principal amount of the Notes to be redeemed, plus additional amounts, plus accrued and unpaid interest to the date of the redemption. The Notes were redeemed in full.

18. Supplemental condensed consolidating financial information

AngloGold Ashanti Holdings plc (“IOMco”), a 100 percent wholly-owned subsidiary of AngloGold Ashanti, has issued debt securities which are fully and unconditionally guaranteed by AngloGold Ashanti Limited (being the “Guarantor”). Refer to Note 15 “Contingencies”. IOMco is an Isle of Man registered company that holds certain of AngloGold Ashanti’s operations and assets located outside South Africa (excluding certain operations and assets in the United States of America – which was sold effective 3 August 2015). The following is condensed consolidating financial information for the Company as of 30 June 2016 and 2015, 31 December 2015 and for the six months ended 30 June 2016 and 2015, and for the year ended 31 December 2015 with a separate column for each of AngloGold Ashanti Limited as Guarantor, IOMco as Issuer and the other subsidiaries of the Company combined (the “Non-Guarantor Subsidiaries”). For the purposes of the condensed consolidating financial information, the Company carries its investments under the equity method. The following supplemental condensed consolidating financial information should be read in conjunction with the Company’s condensed consolidated financial statements.

25    

Condensed consolidating statements of income for the six months ended 30 June 2016

US Dollar million	AngloGold		IOMco		Other
	Ashanti				subsidiaries
							Consolidation
	(the		(the		(the “Non-		adjustments		Total
	“Guarantor”)		“Issuer”)		Guarantor       Subsidiaries”)
Revenue		549		1		1,491		-		2,041
Gold income		544		-		1,438		(22)		1,960
Cost of sales		(440)		-		(1,061)		-		(1,501)
Loss on non-hedge derivatives and other commodity contracts		-		-		(30)		-		(30)
Gross profit		104		-		347		(22)		429
Corporate administration, marketing and other expenses		(5)		(1)		(3)		(20)		(29)
Exploration and evaluation costs		(6)		-		(55)		-		(61)
Other operating expenses		(3)		-		(43)		-		(46)
Special items		3		(2)		34		(41)		(6)
Operating profit (loss)		93		(3)		280		(83)		287
Interest received		3		1		7		-		11
Exchange gain (loss)		1		(1)		(23)		(60)		(83)
Finance costs and unwinding of obligations		(10)		(73)		(14)		-		(97)
Fair value adjustment on $1.25bn bonds		-		(25)		-		-		(25)
Share of associates and joint ventures’ (loss) profit		(8)		9		19		(1)		19
Equity (loss) gain in subsidiaries		(3)		230		-		(227)		-
Profit before taxation		76		138		269		(371)		112
Taxation		(12)		-		(38)		(1)		(51)
Profit after taxation from continuing operations		64		138		231		(372)		61
Preferred stock dividends		(11)		-		(11)		22		-
Profit for the period		53		138		220		(350)		61
Allocated as follows:
Equity shareholders
- Continuing operations		53		138		211		(350)		52
Non-controlling interests
- Continuing operations		-		-		9		-		9
		53		138		220		(350)		61
Comprehensive income		190		148		269		(408)		199
Comprehensive income attributable to non-controlling interests		-		-		(9)		-		(9)
Comprehensive income attributable to AngloGold Ashanti		190		148		260		(408)		190

26    

Condensed consolidating statements of income for the six months ended 30 June 2015

US Dollar million	AngloGold			IOMco		Other
	Ashanti					subsidiaries
								Consolidation
	(the			(the		(the “Non-		adjustments			Total
	“Guarantor”)			“Issuer”)		Guarantor       Subsidiaries”)
Revenue		565			1		1,561		-			2,127
Gold income		552			-		1,519		(25)			2,046
Cost of sales		(506)			-		(1,146)		-			(1,652)
Gain on non-hedge derivatives and other commodity contracts		-			-		(3)		-			(3)
Gross profit		46			-		370		(25)			391
Corporate administration, marketing and other expenses		(13)			(9)		(9)		(15)			(46)
Exploration and evaluation costs		(8)			-		(51)		-			(59)
Other operating expenses		(5)			-		(38)		-			(43)
Special items		(118)	(1)		(18)		55		85	(1)		4
Operating (loss) profit		(98)			(27)		327		45			247
Interest received		3			1		10		-			14
Exchange loss		(1)			-		(20)		-			(21)
Finance costs and unwinding of obligations		(10)			(106)		(15)		-			(131)
Fair value adjustment on $1.25bn bonds		-			(66)		-		-			(66)
Share of associates and joint ventures’ profit		-			-		59		-			59
Equity (loss) gain in subsidiaries		(30)	(1)		140		-		(110)	(1)		-
(Loss) profit before taxation		(136)			(58)		361		(65)			102
Taxation		5			(1)		(119)		-			(115)
(Loss) profit after taxation from continuing operations		(131)			(59)		242		(65)			(13)
Discontinued operations
Loss from discontinued operations		-			-		(120)		-			(120)
(Loss) profit after discontinued operations		(131)			(59)		122		(65)			(133)
Preferred stock dividends		(12)			-		(13)		25			-
(Loss) profit for the period		(143)			(59)		109		(40)			(133)
Allocated as follows:
Equity shareholders
- Continuing operations		(143)			(59)		219		(40)			(23)
- Discontinued operations		-			-		(120)		-			(120)
Non-controlling interests
- Continuing operations		-			-		10		-			10
		(143)			(59)		109		(40)			(133)
Comprehensive (loss) income		(232)			(78)		111		(23)			(222)
Comprehensive income attributable to non-controlling interests		-			-		(10)		-			(10)
Comprehensive (loss) income attributable to AngloGold Ashanti		(232)			(78)		101		(23)			(232)

⁽¹⁾ Has been reclassified to reflect the current presentation of the impairment of the Company’s investment held in CC&V during the second quarter of 2015.

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Condensed consolidating statements of income for the year ended 31 December 2015

US Dollar million	AngloGold		IOMco		Other
	Ashanti				subsidiaries
							Consolidation
	(the		(the		(the “Non-		adjustments		Total
	“Guarantor”)		“Issuer”)		Guarantor       Subsidiaries”)
Revenue		1,091		2		3,081		-		4,174
Gold income		1,063		-		2,991		(39)		4,015
Cost of sales		(995)		-		(2,299)		-		(3,294)
Gain on non-hedge derivatives and other commodity contracts		-		-		(7)		-		(7)
Gross profit		68		-		685		(39)		714
Corporate administration, marketing and other income (expenses)		3		(15)		(15)		(51)		(78)
Exploration and evaluation costs		(16)		-		(116)		-		(132)
Other operating expenses		(17)		-		(79)		-		(96)
Special items		(132)		(436)		65		432		(71)
Operating (loss) income		(94)		(451)		540		342		337
Interest received		6		2		20		-		28
Exchange loss		(1)		(1)		(15)		-		(17)
Finance costs and unwinding of obligations		(21)		(196)		(28)		-		(245)
Fair value adjustment on $1.25bn bonds		-		66		-		-		66
Share of associates and joint ventures’ income		11		1		77		(1)		88
Equity (loss) gain in subsidiaries		(26)		140		-		(114)		-
(Loss) income before taxation		(125)		(439)		594		227		257
Taxation		59		(1)		(269)		-		(211)
(Loss) income after taxation from continuing operations		(66)		(440)		325		227		46
Discontinued operations
Loss from discontinued operations		-		-		(116)		-		(116)
(Loss) income after discontinued operations		(66)		(440)		209		227		(70)
Preferred stock dividends		(19)		-		(20)		39		-
(Loss) income for the period		(85)		(440)		189		266		(70)
Allocated as follows:
Equity shareholders
- Continuing operations		(85)		(440)		290		266		31
- Discontinued operations		-		-		(116)		-		(116)
Non-controlling interests
- Continuing operations		-		-		15		-		15
		(85)		(440)		189		266		(70)
Comprehensive (loss) income		(448)		(477)		142		350		(433)
Comprehensive income attributable to non-controlling interests		-		-		(15)		-		(15)
Comprehensive (loss) income attributable to AngloGold Ashanti		(448)		(477)		127		350		(448)

28    

Condensed consolidating statement of financial position as at 30 June 2016

US Dollar million	AngloGold Ashanti (the “Guarantor”)		IOMco (the “Issuer”)		Other subsidiaries (the “Non- Guarantor Subsidiaries”)		Consolidation adjustments		Total
ASSETS
Non-current assets
Tangible assets		1,077		-		2,995		-		4,072
Intangible assets		4		-		149		(2)		151
Investments in associates and joint ventures		2,111		3,676		1,345		(5,643)		1,489
Other investments		2		3		125		(2)		128
Inventories		-		-		94		-		94
Trade and other receivables		-		5		17		-		22
Derivatives						1				1
Deferred taxation		-		-		21		-		21
Cash restricted for use		-		-		34		-		34
Other non-current assets		15		-		-		-		15
		3,209		3,684		4,781		(5,647)		6,027
Current Assets
Other investments		-		3		-		-		3
Inventories, trade and other receivables, intergroup balances		432		839		1,171		(1,531)		911
Cash restricted for use		1		-		21		-		22
Cash and cash equivalents		30		238		202		-		470
		463		1,080		1,394		(1,531)		1,406
Total assets		3,672		4,764		6,175		(7,178)		7,433
EQUITY AND LIABILITIES
Share capital and premium		7,103		6,114		824		(6,938)		7,103
(Accumulated losses) retained earnings and other reserves		(4,473)		(3,783)		960		2,823		(4,473)
Shareholders’ equity		2,630		2,331		1,784		(4,115)		2,630
Non-controlling interests		-		-		40		-		40
Total equity		2,630		2,331		1,824		(4,115)		2,670
Non-current liabilities		410		1,754		1,417		-		3,581
Current liabilities including intergroup balances		632		679		2,934		(3,063)		1,182
Total liabilities		1,042		2,433		4,351		(3,063)		4,763
Total equity and liabilities		3,672		4,764		6,175		(7,178)		7,433

29    

Condensed consolidating statement of financial position as at 30 June 2015

US Dollar million	AngloGold Ashanti (the “Guarantor”)		IOMco (the “Issuer”)		Other subsidiaries (the “Non- Guarantor Subsidiaries”)		Consolidation adjustments		Total
ASSETS
Non-current assets
Tangible assets		1,267		-		3,186		-		4,453
Intangible assets		19		-		171		(2)		188
Investments in associates and joint ventures		2,169		3,708		1,341		(5,754)		1,464
Other investments		2		4		116		(2)		120
Inventories		-		-		103		-		103
Trade and other receivables		-		-		19		-		19
Deferred taxation		-		-		5		-		5
Cash restricted for use		-		-		35		-		35
Other non-current assets		30		-		-		-		30
		3,487		3,712		4,976		(5,758)		6,417
Current Assets
Other investments		-		2		-		-		2
Inventories, trade and other receivables, intergroup balances		485		2,042		993		(2,592)		928
Cash restricted for use		1		4		17		-		22
Cash and cash equivalents		36		241		182		-		459
		522		2,289		1,192		(2,592)		1,411
Non-current assets held for sale		-		-		989		-		989
		522		2,289		2,181		(2,592)		2,400
Total assets		4,009		6,001		7,157		(8,350)		8,817
EQUITY AND LIABILITIES
Share capital and premium		7,058		6,108		824		(6,932)		7,058
(Accumulated losses) retained earnings and other reserves		(4,430)		(3,571)		1,041		2,530		(4,430)
Shareholders’ equity		2,628		2,537		1,865		(4,402)		2,628
Non-controlling interests		-		-		33		-		33
Total equity		2,628		2,537		1,898		(4,402)		2,661
Non-current liabilities		633		3,336		1,315		-		5,284
Current liabilities including intergroup balances		748		128		3,745		(3,948)		673
Non-current liabilities held for sale		-		-		199		-		199
Total liabilities		1,381		3,464		5,259		(3,948)		6,156
Total equity and liabilities		4,009		6,001		7,157		(8,350)		8,817

30    

Condensed consolidating statement of financial position as at 31 December 2015

US Dollar million	AngloGold Ashanti		IOMco		Other subsidiaries		Consolidation adjustments
	(the       “Guarantor”)		(the       “Issuer”)		(the “Non- Guarantor         Subsidiaries”)				Total
ASSETS
Non-current assets
Tangible assets		1,030		-		3,028		-		4,058
Intangible assets		8		-		155		(2)		161
Investments in associates and joint ventures		2,002		3,627		1,338		(5,502)		1,465
Other investments		1		3		89		(2)		91
Inventories		-		-		90		-		90
Trade and other receivables		-		-		13		-		13
Deferred taxation		-		-		1		-		1
Cash restricted for use		-		-		37		-		37
Other non-current assets		18		-		-		-		18
		3,059		3,630		4,751		(5,506)		5,934
Current Assets
Other investments		-		1		-		-		1
Inventories, trade and other receivables, intergroup balances		401		921		1,076		(1,556)		842
Cash restricted for use		1		2		20		-		23
Cash and cash equivalents		19		222		243		-		484
		421		1,146		1,339		(1,556)		1,350
Total assets		3,480		4,776		6,090		(7,062)		7,284
EQUITY AND LIABILITIES
Share capital and premium		7,066		6,108		824		(6,932)		7,066
(Accumulated losses) retained earnings and other reserves		(4,636)		(3,903)		895		3,008		(4,636)
Shareholders’ equity		2,430		2,205		1,719		(3,924)		2,430
Non-controlling interests		-		-		37		-		37
Total equity		2,430		2,205		1,756		(3,924)		2,467
Non-current liabilities		428		2,427		1,255		-		4,110
Current liabilities including intergroup balances		622		144		3,079		(3,138)		707
Total liabilities		1,050		2,571		4,334		(3,138)		4,817
Total equity and liabilities		3,480		4,776		6,090		(7,062)		7,284

31    

Condensed consolidating statements of cash flows for the six months ended 30 June 2016

	AngloGold Ashanti		IOMco		Other subsidiaries		Consolidation adjustments
US Dollar million	(the “Guarantor”)		(the     “Issuer”)		(the “Non- Guarantor         Subsidiaries”)				Total
Cash flows from operating activities
Cash generated from (used by) operations		133		(3)		505		(37)		598
Net movement in intergroup receivables and payables		14		112		(150)		24		-
Dividends received from joint ventures		-		5		-		-		5
Taxation refund		-		-		3		-		3
Taxation paid		(1)		-		(129)		-		(130)
Net cash inflow from operating activities		146		114		229		(13)		476
Cash flows from investing activities
Capital expenditure		(72)		-		(205)		-		(277)
Expenditure on intangible assets		(1)		-		(1)		-		(2)
Proceeds from disposal of tangible assets		-		-		2		-		2
Other investments acquired		-		-		(41)		-		(41)
Proceeds from disposal of other investments		-		-		33		-		33
Investments in associates and joint ventures		-		-		(3)		-		(3)
Net loans advanced to associates and joint ventures		-		(2)		(1)		-		(3)
Acquisition of subsidiary and loan		(6)		-		-		6		-
Decrease in cash restricted for use		-		-		5		-		5
Interest received		1		1		7		-		9
Net cash outflow from investing activities		(78)		(1)		(204)		6		(277)
Cash flows from financing activities
Proceeds from issue of share capital		-		6		-		(6)		-
Proceeds from borrowings		43		-		158		-		201
Repayment of borrowings		(96)		(200)		(33)		-		(329)
Finance costs paid		(6)		(71)		(7)		-		(84)
Dividends paid		-		-		(6)		-		(6)
Intergroup dividends received (paid)		-		168		(168)		-		-
Net cash outflow from financing activities		(59)		(97)		(56)		(6)		(218)
Net increase (decrease) in cash and cash equivalents		9		16		(31)		(13)		(19)
Translation		2		-		(10)		13		5
Cash and cash equivalents at beginning of period		19		222		243		-		484
Cash and cash equivalents at end of period		30		238		202		-		470

32    

Condensed consolidating statements of cash flows for the six months 30 June 2015

	AngloGold Ashanti		IOMco		Other subsidiaries		Consolidation adjustments
US Dollar million	(the “Guarantor”)		(the     “Issuer”)		(the “Non- Guarantor         Subsidiaries”)				Total
Cash flows from operating activities
Cash generated from (used by) operations		60		(6)		525		35		614
Net movement in intergroup receivables and payables		33		(126)		90		3		-
Dividends received from joint ventures		-		29		-		-		29
Taxation refund		-		-		-		-		-
Taxation paid		(5)		(1)		(105)		-		(111)
Net cash inflow (outflow) from operating activities from		88		(104)		510		38		532
Net cash outflow from operating activities from discontinued		-		-		(19)		-		(19)
Net cash inflow (outflow) from operating activities		88		(104)		491		38		513
Cash flows from investing activities
Capital expenditure		(89)		-		(224)		-		(313)
Proceeds from disposal of tangible assets		-		-		3		-		3
Other investments acquired		-		-		(55)		-		(55)
Proceeds from disposal of other investments		1		-		47		-		48
Investments in associates and joint ventures		-		-		(6)		-		(6)
Net loans advanced to by associates and joint ventures		-		(3)		-		-		(3)
(Acquisition) disposal of subsidiary and loan		-		(1)		1		-		-
Cash in subsidiary disposed and transfers to held for sale		-		-		(2)		-		(2)
Decrease in cash restricted for use		-		(4)		(4)		-		(8)
Interest received		3		2		8		-		13
Net cash outflow from investing activities from continuing		(85)		(6)		(232)		-		(323)
Net cash outflow from investing activities from discontinued		-		-		(49)		-		(49)
Net cash outflow from investing activities		(85)		(6)		(281)		-		(372)
Cash flows from financing activities
Proceeds from borrowings		90		100		-		-		190
Repayment of borrowings		(100)		(45)		(67)		-		(212)
Finance costs paid		(7)		(104)		(8)		-		(119)
Dividends paid		-		-		(4)		-		(4)
Intergroup dividends received (paid)		-		140		(140)		-		-
Net cash (outflow) inflow from financing activities from		(17)		91		(219)		-		(145)
Net cash outflow from financing activities from discontinued		-		-		(1)		-		(1)
Net cash (outflow) inflow from financing activities		(17)		91		(220)		-		(146)
Net decrease in cash and cash equivalents		(14)		(19)		(10)		38		(5)
Translation		(2)		-		36		(38)		(4)
Cash and cash equivalents at beginning of period		52		260		156		-		468
Cash and cash equivalents at end of period		36		241		182		-		459

33    

Condensed consolidating statements of cash flows for the year ended 31 December 2015

	AngloGold Ashanti		IOMco		Other subsidiaries		Consolidation adjustments
US Dollar million	(the “Guarantor”)		(the     “Issuer”)		(the “Non- Guarantor         Subsidiaries”)				Total
Cash flows from operating activities
Cash generated from (used by) operations		44		(364)		1,115		455		1,250
Net movement in intergroup receivables and payables		131		1,036		(833)		(334)		-
Dividends received from joint ventures		-		57		-		-		57
Taxation refund		12		-		9		-		21
Taxation paid		(5)		(1)		(178)		-		(184)
Net cash inflow from operating activities from continuing		182		728		113		121		1,144
Net cash outflow from operating activities from discontinued		-		-		(5)		-		(5)
Net cash inflow from operating activities		182		728		108		121		1,139
Cash flows from investing activities
Capital expenditure		(194)		-		(470)		-		(664)
Expenditure on intangible assets		(2)		-		(1)		-		(3)
Proceeds from disposal of tangible assets		-		-		6		-		6
Other investments acquired		-		-		(86)		-		(86)
Proceeds from disposal of other investments		1		-		80		-		81
Investments in associates and joint ventures		-		-		(11)		-		(11)
Proceeds from disposal of associates and joint ventures		1		-		-		-		1
Net loans repaid by (advanced) to associates and joint ventures		2		(5)		-		-		(3)
Net proceeds from disposal of subsidiaries and investments		-		-		812		-		812
Cash in subsidiary disposed and tranfers to held for sale		-		-		(2)		-		(2)
(Acquisition) disposal of subsidiary and loan		-		(1)		1		-		-
Increase in cash restricted for use		-		(2)		(15)		-		(17)
Interest received		6		3		16		-		25
Net cash (outflow) inflow from investing activities from continuing		(186)		(5)		330		-		139
Net cash outflow from investing activities from discontinued		-		-		(59)		-		(59)
Net cash (outflow) inflow from investing activities		(186)		(5)		271		-		80
Cash flows from financing activities
Proceeds from borrowings		120		300		1		-		421
Repayment of borrowings		(127)		(1,024)		(137)		-		(1,288)
Finance costs paid		(14)		(223)		(14)		-		(251)
Bond settlement premium, RCF and bond transaction costs		-		(61)		-		-		(61)
Dividends paid		-		-		(5)		-		(5)
Intergroup dividends received (paid)		-		247		(247)		-		-
Net cash outflow from financing activities from continuing		(21)		(761)		(402)		-		(1,184)
Net cash outflow from financing activities from discontinued		-		-		(2)		-		(2)
Net cash outflow from financing activities		(21)		(761)		(404)		-		(1,186)
Net decrease in cash and cash equivalents		(25)		(38)		(25)		121		33
Translation		(8)		-		112		(121)		(17)
Cash and cash equivalents at beginning of year		52		260		156		-		468
Cash and cash equivalents at end of year		19		222		243		-		484

By order of the Board

SM PITYANA	S VENKATAKRISHNAN	KC RAMON
Chairman	Chief Executive Officer	Chief Financial Officer
12 August 2016

34    

Non-GAAP disclosure

From time to time AngloGold Ashanti Limited may publicly disclose certain “Non-GAAP” financial measures in the course of its financial presentations, earnings releases, earnings conference calls and otherwise.

The financial items “price received”, “price received per ounce”, “total cash costs “, “total cash costs per ounce”, “all-in sustaining costs”, “all-in sustaining costs per ounce”, “all-in costs”, “all-in-costs per ounce”, “Net debt” and “adjusted EBITDA” have been determined using industry guidelines and practices and are not measures under IFRS. An investor should not consider these items in isolation or as alternatives to production costs, profit/(loss) applicable to equity shareholders, profit/(loss) before taxation, cash flows from operating activities or any other measure of financial performance presented in accordance with IFRS.

The Gold Institute provided definitions for the calculation of total cash costs and during June 2013 the World Gold Council published a Guidance Note on “all-in sustaining costs”. The calculation of total cash costs , total cash costs per ounce, all-in sustaining costs and all-in sustaining costs per ounce may vary significantly among gold mining companies, and by themselves do not necessarily provide a basis for comparison with other gold mining companies. However, we believe that total cash costs, all-in sustaining costs and all-in costs in total by mine and per ounce by mine are useful indicators to investors and management of a mine’s performance because they provide:

• an indication of a mine’s profitability, efficiency and cash flows;

• the trend in costs as the mine matures over time on a consistent basis; and

• an internal benchmark of performance to allow for comparison against other mines, both within the AngloGold Ashanti group and at other gold mining companies.

Price received gives an indication of revenue earned per unit of gold sold and includes gold income and realised non–hedge derivatives in its calculation and serves as a benchmark of performance against the spot price of gold.

Net debt and Adjusted EBITDA (as defined in the Revolving Credit Agreements) are inputs used for the calculation of compliance with the financial maintenance covenants as set out in the group’s revolving credit facility agreements.

The group uses certain Non-GAAP performance measures and ratios in managing the business and may provide users of this financial information with additional meaningful comparisons between current results and results in prior operating periods. Non-GAAP financial measures should be viewed in addition to, and not as an alternative to, the reported operating results or any other measure of performance prepared in accordance with IFRS. In addition, the presentation of these measures may not be comparable to similarly titled measures that other companies use.

A Price received - continuing operations

	Six months ended						Year ended
	Jun 2016			Jun 2015			Dec 2015
	Unaudited			Unaudited			Unaudited
	US Dollar million / Imperial
Gold income (note 2)		1,960			2,046			4,015
Adjusted for non-controlling interests		(41	)		(34	)		(61	)
		1,919			2,012			3,954
Realised gain on other commodity contracts		9			9			17
Associates and joint ventures’ share of gold income including realised non-hedge derivatives		199			264			474
Attributable gold income including realised non-hedge derivatives		2,127			2,285			4,445
Attributable gold sold - oz (000)		1,740			1,897			3,838
Price received per unit - $/oz		1,222			1,204			1,158

Rounding of figures may result in computational discrepancies.

35    

B All-in sustaining costs and All-in costs¹ - continuing operations

	Six months ended						Year ended
	Jun 2016			Jun 2015			Dec     2015
	Unaudited			Unaudited			Unaudited
	US Dollar million / Imperial
Cost of sales (note 3)		1,501			1,652			3,294
Amortisation of tangible and intangible assets (note 3)		(363	)		(371	)		(777)
Adjusted for decommissioning amortisation		4			6			13
Corporate administration and marketing related to current operations		28			45			78
Associates and joint ventures’ share of costs		133			137			270
Inventory writedown to net realisable value and other stockpile adjustments		1			6			12
Sustaining exploration and study costs		36			28			62
Total sustaining capex		273			293			629
All-in sustaining costs		1,613			1,797			3,581
Adjusted for non-controlling interests and non -gold producing companies		(27	)		(35	)		(64)
All-in sustaining costs adjusted for non-controlling interests and non-gold producing companies		1,586			1,762			3,517
Adjusted for stockpile write-offs		(1	)		(8	)		(23)
All-in sustaining costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		1,585			1,754			3,494
All-in sustaining costs		1,613			1,797			3,581
Non-sustaining project capital expenditure		44			85			169
Technology improvements		5			7			16
Non-sustaining exploration and study costs		23			22			62
Care and maintenance (note 4)		37			35			67
Corporate and social responsibility costs not related to current operations		10			9			26
All-in costs		1,732			1,956			3,921
Adjusted for non-controlling interests and non -gold producing companies		(23	)		(31	)		(55)
All-in costs adjusted for non-controlling interests and non-gold producing companies		1,709			1,925			3,866
Adjusted for stockpile write-offs		(1	)		(8	)		(23)
All-in costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		1,708			1,917			3,843
Gold sold - oz (000)		1,740			1,897			3,838
All-in sustaining cost (excluding stockpile write-offs) per unit - $/oz		911			924			910
All-in cost per unit (excluding stockpile write-offs) - $/oz		982			1,010			1,001
1 Refer to note F Summary of Operations by Mine

C Total cash costs ² - continuing operations

	Six months ended						Year ended
	Jun 2016			Jun 2015			Dec     2015
	Unaudited			Unaudited			Unaudited
	US Dollar million / Imperial
Cost of sales (note 3)		1,501			1,652			3,294
Inventory change		7			(19	)		(23)
Amortisation of intangible assets		(14	)		(21	)		(40)
Amortisation of tangible assets		(349	)		(350	)		(737)
Rehabilitation and other non-cash costs		(28	)		(9	)		10
Retrenchment costs		(5	)		(7	)		(11)
Net cash operating costs (note 3)		1,112			1,246			2,493
Adjusted for non-controlling interests, non-gold producing companies and other		(18	)		(24	)		(42)
Associates and joint ventures’ share of total cash costs		133			137			267
Total cash costs adjusted for non-controlling interests and non-gold producing companies		1,227			1,359			2,718
Gold produced - oz (000)		1,738			1,872			3,818
Total cash cost per unit - $/oz		706			726			712
2 Refer to note F Summary of Operations by Mine
Rounding of figures may result in computational discrepancies.

36    

D Adjusted EBITDA ⁽¹⁾ - continuing operations

	Six months ended						Year ended
	Jun 2016			Jun 2015			Dec     2015
	Unaudited			Unaudited			Unaudited
	US Dollar million
Profit on ordinary activities before taxation		112			102			257
Add back :
Finance costs and unwinding of obligations		97			131			245
Interest received		(11	)		(14	)		(28)
Amortisation of tangible and intangible assets (note 3)		363			371			777
Adjustments :
Exchange loss		83			21			17
Fair value adjustment on $1.25bn bonds		25			66			(66)
Impairment of assets		-			5			14
Write-down of stockpiles and heap leach to net realisable value and other stockpile adjustments		-			6			10
Retrenchments and restructuring costs mainly at Obuasi		42			44			81
Net loss (profit) on disposal of assets		2			-			(1)
Loss on unrealised non-hedge derivatives and other commodity contracts		30			3			7
Repurchase premium on part settlement of $1.25bn bonds		-			-			61
Associates and joint ventures’ net exceptional expense		(19	)		-			(9)
Associates and joint ventures’ - adjustments for amortisation, interest, taxation and other		57			60			107
Adjusted EBITDA		781			793			1,472
(1) EBITDA (as adjusted) and prepared in terms of the formula set out in the Revolving Credit Agreements.

E Net debt

	As at Jun 2016			As at Jun 2015			As at     Dec     2015
	Unaudited			Unaudited			Unaudited
	US Dollar million
Borrowings - long-term portion		2,046			3,651			2,637
Borrowings - short-term portion		608			79			100
Total borrowings		2,654			3,730			2,737
Corporate office lease		(16	)		(20	)		(15)
Unamortised portion of the convertible and rated bonds		20			23			21
Fair value adjustment on $1.25bn bonds		(34	)		(141	)		(9)
Cash restricted for use		(56	)		(57	)		(60)
Cash and cash equivalents		(470	)		(459	)		(484)
Net debt		2,098			3,076			2,190
Rounding of figures may result in computational discrepancies.

37    

F Summary of Operations by Mine

For the six months ended 30 June 2016

Operations in South Africa

(in $ millions, except as otherwise noted)

All-in sustaining costs
Cost of sales per financial statements		66			118			184			119			95			214			82			-		480			(1	)
Amortisation of tangible and intangible assets		(11	)		(25	)		(35	)		(27	)		(14	)		(41	)		(7	)		-		(83	)		(3	)
Adjusted for decommissioning amortisation		-			-			-			-			-			-			-			1		1			(1	)
Corporate administration and marketing related to current operations		-			-			-			-			-			-			-			-		-			28
Associates and equity accounted joint ventures’ share of costs(2)		-			-			-			-			-			-			-			-		-			(1	)
Inventory writedown to net realisable value and other stockpile adjustments		-			-			-			-			-			-			-			-		-			1
Total sustaining capital expenditure		7			17			24			24			10			34			4			2		64			1
Amortisation relating to inventory		-			-			-			-			-			-			(1	)		-		(1	)		1
All-in sustaining costs		62			110			173			116			91			207			78			3		461			25
Adjusted for non-controlling interests and non-gold producing companies(1)		-			-			-			-			-			-			-			-		-			4
All-in sustaining costs adjusted for non-controlling interests and non-gold producing companies		62			110			173			116			91			207			78			3		461			29
Adjusted for stockpile write-offs		-			-			-			-			-			-			-			-		-			(1	)
All-in sustaining costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		62			110			173			116			91			207			78			3		461			28
All-in sustaining costs		62			110			173			116			91			207			78			3		461			25
Non-sustaining Project capex		-			1			1			11			-			11			-			-		12			(1	)
Technology improvements		-			-			-			-			-			-			-			6		6			(1	)
Non-sustaining exploration and study costs		-			-			-			-			-			-			-			-		-			2
Corporate and social responsibility costs not related to current operations		-			-			-			-			-			-			-			-		-			4
All-in costs		62			111			174			127			91			218			78			9		479			29
Adjusted for non-controlling interests and non-gold producing companies(1)		-			-			-			-			-			-			-			-		-			5
All-in costs adjusted for non-controlling interests and non-gold producing companies		62			111			174			127			91			218			78			9		479			34
Adjusted for stockpile write-offs		-			-			-			-			-			-			-			-		-			(1	)
All-in costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		62			111			174			127			91			218			78			9		479			33
Gold sold - oz (000)(3)		47			126			172			129			85			214			93			5		485			-
All-in sustaining cost (excluding stockpile write-offs) per unit - $/oz(4)		1,337			883			1,006			893			1,070			963			841			-		958			-
All-in cost per unit (excluding stockpile write-offs) - $/oz(4)		1,337			888			1,010			977			1,070			1,014			841			-		994			-

⁽¹⁾ Adjusting for non-controlling interest of items included in calculation, to disclose the attributable portions only. Other consists of heap leach inventory.

⁽²⁾  Attributable costs and related expenses of associates and equity accounted joint ventures are included in the calculation of total cash costs per ounce and total production costs per ounce.

⁽³⁾  Attributable portion.

⁽⁴⁾  In addition to the operational performances of the mines, all-in sustaining cost per ounce, all-in cost per ounce and total cash costs per ounce are affected by fluctuations in the currency exchange rate. AngloGold Ashanti reports all-in sustaining cost per ounce and all-in cost per ounce calculated to the nearest US dollar amount and gold sold in ounces. AngloGold Ashanti reports total cash costs per ounce calculated to the nearest US dollar amount and gold produced in ounces.

⁽⁵⁾  Corporate includes non-gold producing subsidiaries.

38    

For the six months ended 30 June 2016

Operations in South Africa

(in $ millions, except as otherwise noted)

Total cash costs
Cost of sales		66			118			184			119			95			214			82			-		480			(1	)
Inventory change		-			1			1			-			-			-			(1	)		-		-			1
Amortisation of intangible assets		-			(1	)		(1	)		(1	)		(1	)		(2	)		-			-		(3	)		(2	)
Amortisation of tangible assets		(10	)		(24	)		(34	)		(26	)		(13	)		(39	)		(7	)		-		(80	)		(2	)
Rehabilitation and other non-cash costs		(1	)		(1	)		(2	)		(2	)		(1	)		(3	)		-			-		(5	)		1
Retrenchment costs		(1	)		(1	)		(2	)		-			(1	)		(1	)		-			-		(3	)		(1	)
Net cash operating costs		54			92			146			90			79			169			74			-		389			(4	)
Adjusted for non-controlling interests, non-gold producing companies and other(1)		-			-			-			-			-			-			-			-		-			4
Total cash costs adjusted for non-controlling interests and non-gold producing companies		54			92			146			90			79			169			74			-		389			-
Gold produced - oz (000)(3)		47			126			173			129			85			214			93			5		486			-
Total cash costs per unit - $/oz(4)		1,154			728			843			692			930			786			797			-		809			-

39    

For the six months ended 30 June 2016

Operations in DRC, Ghana, Guinea, Mali and Tanzania

(in $ millions, except as otherwise noted)

All-in sustaining costs
Cost of sales per financial statements		-		106			2		123			-		-		196			1			428
Amortisation of tangible and intangible assets		-		(10	)		-		(15	)		-		-		(84	)		(1	)		(110	)
Adjusted for decommissioning amortisation		-		-			-		-			-		-		1			1			2
Associates and equity accounted joint ventures’ share of costs(2)		92		-			-		-			13		30		-			(1	)		134
Sustaining exploration and study costs		-		-			-		2			-		-		15			1			18
Total sustaining capital expenditure		12		2			-		17			-		1		46			1			79
All-in sustaining costs		104		98			2		127			13		31		174			2			551
Adjusted for non-controlling interests and non-gold producing companies(1)		-		-			-		(19	)		-		-		-			-			(19	)
All-in sustaining costs adjusted for non-controlling interests and non-gold producing companies		104		98			2		108			13		31		174			2			532
All-in sustaining costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		104		98			2		108			13		31		174			2			532
All-in sustaining costs		104		98			2		127			13		31		174			2			551
Non-sustaining Project capex		25		-			5		3			-		-		-			-			33
Non-sustaining exploration and study costs		1		-			3		-			-		-		-			-			4
Care and maintenance costs		-		-			37		-			-		-		-			-			37
All-in costs		130		98			47		130			13		31		174			2			625
Adjusted for non-controlling interests and non-gold producing companies(1)		-		-			-		(20	)		-		-		-			-			(20	)
All-in costs adjusted for non-controlling interests and non-gold producing companies		130		98			47		110			13		31		174			2			605
All-in costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		130		98			47		110			13		31		174			2			605
Gold sold - oz (000)(3)		115		102			1		131			12		35		230			-			627
All-in sustaining cost (excluding stockpile write-offs) per unit - $/oz(4)		900		962			1,043		831			1,079		870		765			-			848
All-in cost per unit (excluding stockpile write-offs) - $/oz(4)		1,126		962			31,889		850			1,079		870		765			-			964

40    

For the six months ended 30 June 2016

Operations in DRC, Ghana, Guinea, Mali and Tanzania

(in $ millions, except as otherwise noted)

Total cash costs
Cost of sales		-		106			2			123			-		-		196			1			428
Inventory change		-		(2	)		-			(2	)		-		-		3			1			-
Amortisation of intangible assets		-		-			-			-			-		-		-			(1	)		(1	)
Amortisation of tangible assets		-		(10	)		-			(15	)		-		-		(84	)		1			(108	)
Rehabilitation and other non-cash costs		-		(2	)		(2	)		(1	)		-		-		(2	)		(2	)		(9	)
Net cash operating costs		-		92			-			105			-		-		113			-			310
Adjusted for non-controlling interests, non-gold producing companies and other(1)		-		-			-			(16	)		-		-		-			-			(16	)
Associates and equity accounted joint ventures’ share of total cash costs(2)		91		-			-			-			12		30		-			-			133
Total cash costs adjusted for non-controlling interests and non-gold producing companies		91		92			-			89			12		30		113			-			427
Gold produced - oz (000) (3)		114		99			3			126			13		36		229			-			620
Total cash costs per unit - $/oz(4)		802		931			79			706			965		826		496			-			690

41    

For the six months ended 30 June 2016

Operations in Australia, Argentina and Brazil

(in $ millions, except as otherwise noted)

All-in sustaining costs
Cost of sales per financial statements		112			132			9			253			114			162			63			2			341
Amortisation of tangible and intangible assets		(12	)		(31	)		(5	)		(48	)		(34	)		(60	)		(25	)		-			(119	)
Adjusted for decommissioning amortisation		-			1			-			1			1			-			-			-			1
Sustaining exploration and study costs		-			6			3			9			1			2			3			3			9
Total sustaining capital expenditure		14			24			1			39			19			52			20			(1	)		90
All-in sustaining costs		114			132			8			254			101			156			61			4			322
Adjusted for non-controlling interests and non-gold producing companies(1)		-			-			-			-			(8	)		-			-			(4	)		(12	)
All-in sustaining costs adjusted for non-controlling interests and non-gold producing companies		114			132			8			254			93			156			61			-			310
All-in sustaining costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		114			132			8			254			93			156			61			-			310
All-in sustaining costs		114			132			8			254			101			156			61			4			322
Non-sustaining exploration and study costs		-			-			3			3			-			1			-			13			14
Corporate and social responsibility costs not related to current operations		-			-			-			-			-			5			1			-			6
All-in costs		114			132			11			257			101			162			62			17			342
Adjusted for non-controlling interests and non -gold producing companies(1)		-			-			-			-			(8	)		-			-			-			(8	)
All-in costs adjusted for non-controlling interests and non-gold producing companies		114			132			11			257			93			162			62			17			334
All-in costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		114			132			11			257			93			162			62			17			334
Gold sold - oz (000)(3)		114			140			-			253			129			189			64			-			381
All-in sustaining cost (excluding stockpile write-offs) per unit - $/oz(4)		1,010			937			-			1,018			720			831			942			-			816
All-in cost per unit (excluding stockpile write-offs) - $/oz(4)		1,010			937			-			1,029			721			859			966			-			884

42    

For the six months ended 30 June 2016

Operations in Australia, Argentina and Brazil

(in $ millions, except as otherwise noted)

Total cash costs
Cost of sales		112			132			9			253			114			162			63			2			341
Inventory change		(1	)		(1	)		-			(2	)		7			1			-			-			8
Amortisation of intangible assets		-			-			-			-			-			(6	)		(2	)		-			(8	)
Amortisation of tangible assets		(12	)		(31	)		(5	)		(48	)		(34	)		(54	)		(23	)		-			(111	)
Rehabilitation and other non-cash costs		(2	)		(3	)		-			(5	)		(6	)		(2	)		(1	)		(1	)		(10	)
Retrenchment costs		-			-			-			-			(1	)		(1	)		-			1			(1	)
Net cash operating costs		97			97			4			198			80			100			37			2			219
Adjusted for non-controlling interests, non-gold producing companies and other(1)		-			-			-			-			(6	)		-			-			-			(6	)
Total cash costs adjusted for non-controlling interests and non-gold producing companies		97			97			4			198			74			100			37			2			213
Gold produced - oz (000) (3)		113			137			-			251			136			188			64			-			388
Total cash costs per unit - $/oz(4)		858			704			-			806			543			531			584			-			549

43    

For the six months ended 30 June 2015

Operations in South Africa

(in $ millions, except as otherwise noted)

All-in sustaining costs
Cost of sales per financial statements		78			134			212			126			119			245			101			(1	)		557			(2	)
Amortisation of tangible and intangible assets		(13	)		(26	)		(39	)		(27	)		(22	)		(49	)		(9	)		-			(97	)		(4	)
Adjusted for decommissioning amortisation		-			-			-			-			-			-			-			-			-			(1	)
Corporate administration and marketing related to current operations		-			-			-			-			-			-			-			-			-			44
Associates and equity accounted joint ventures’ share of costs(2)		-			-			-			-			-			-			-			-			-			(3	)
Inventory writedown to net realisable value and other stockpile adjustments		-			-			-			-			-			-			-			1			1			-
Total sustaining capital expenditure		10			20			31			29			13			42			7			3			82			1
All-in sustaining costs		75			128			204			128			110			238			99			3			543			35
Adjusted for non-controlling interests and non-gold producing companies(1)		-			-			-			-			-			-			-			-			-			3
All-in sustaining costs adjusted for non-controlling interests and non-gold producing companies		75			128			204			128			110			238			99			3			543			38
Adjusted for stockpile write-offs		-			-			-			-			-			-			-			(1	)		(1	)		1
All-in sustaining costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		75			128			204			128			110			238			99			2			542			39
All-in sustaining costs		75			128			204			128			110			238			99			3			543			35
Non-sustaining Project capex		-			1			1			13			-			13			-			-			14			-
Technology improvements		-			-			-			-			-			-			-			7			7			-
Corporate and social responsibility costs not related to current operations		-			-			-			-			-			-			-			-			-			5
All-in costs		75			129			205			141			110			251			99			10			564			40
Adjusted for non-controlling interests and non-gold producing companies(1)		-			-			-			-			-			-			-			-			-			3
All-in costs adjusted for non-controlling interests and non-gold producing companies		75			129			205			141			110			251			99			10			564			43
Adjusted for stockpile write-offs		-			-			-			-			-			-			-			(1	)		(1	)		1
All-in costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		75			129			205			141			110			251			99			9			563			44
Gold sold - oz (000)(3)		62			129			191			103			104			207			96			6			500			-
All-in sustaining cost (excluding stockpile write-offs) per unit - $/oz(4)		1,201			996			1,063			1,239			1,060			1,149			1,028			-			1,097			-
All-in cost per unit (excluding stockpile write-offs) - $/oz(4)		1,201			1,004			1,068			1,370			1,060			1,214			1,028			-			1,141			-

⁽¹⁾  Adjusting for non-controlling interest of items included in calculation, to disclose the attributable portions only. Other consists of heap leach inventory.

⁽²⁾  Attributable costs and related expenses of associates and equity accounted joint ventures are included in the calculation of total cash costs per ounce and total production costs per ounce.

⁽³⁾ Attributable portion.

⁽⁴⁾  In addition to the operational performances of the mines, all-in sustaining cost per ounce, all-in cost per ounce and total cash costs per ounce are affected by fluctuations in the currency exchange rate. AngloGold Ashanti reports all-in sustaining cost per ounce and all-in cost per ounce calculated to the nearest US dollar amount and gold sold in ounces. AngloGold Ashanti reports total cash costs per ounce calculated to the nearest US dollar amount and gold produced in ounces.

⁽⁵⁾ Corporate includes non-gold producing subsidiaries.

44    

For the six months ended 30 June 2015

Operations in South Africa

(in $ millions, except as otherwise noted)

Total cash costs
Cost of sales		78			134			212			126			119			245			101			(1	)		557			(2	)
Amortisation of intangible assets		(1	)		(3	)		(4	)		(2	)		(3	)		(5	)		(2	)		2			(9	)		(3	)
Amortisation of tangible assets		(12	)		(23	)		(35	)		(25	)		(19	)		(44	)		(8	)		(1	)		(88	)		(3	)
Rehabilitation and other non-cash costs		(2	)		(4	)		(6	)		(3	)		(3	)		(6	)		(2	)		1			(13	)		-
Retrenchment costs		(1	)		(2	)		(3	)		(1	)		(1	)		(2	)		-			-			(5	)		-
Net cash operating costs		62			102			164			95			93			188			89			1			442			(8	)
Adjusted for non-controlling interests, non-gold producing companies and other(1)		-			-			-			-			-			-			-			-			-			3
Associates and equity accounted joint ventures’ share of total cash costs(2)		-			-			-			-			-			-			-			-			-			-
Total cash costs adjusted for non-controlling interests and non-gold producing companies		62			102			164			95			93			188			89			1			442			(5	)
Gold produced - oz (000) (3)		62			129			191			103			104			207			97			5			500			-
Total cash costs per unit - $/oz(4)		993			797			861			921			899			910			925			-			894			-

45    

For the six months ended 30 June 2015

Operations in DRC, Ghana, Guinea, Mali and Tanzania

(in $ millions, except as otherwise noted)

All-in sustaining costs
Cost of sales per financial statements		-		108			34			152			-		-			-		200			-			494
Amortisation of tangible and intangible assets		-		(13	)		(10	)		(13	)		-		-			-		(67	)		(2	)		(105	)
Adjusted for decommissioning amortisation		-		-			2			1			-		-			-		1			-			4
Corporate administration and marketing related to current operations		-		-			-			-			-		-			-		-			1			1
Associates and equity accounted joint ventures’ share of costs(2)		87		-			-			-			20		29			-		-			4			140
Inventory writedown to net realisable value and other stockpile adjustments		-		2			-			-			-		-			-		-			-			2
Sustaining exploration and study costs		-		-			10			4			-		-			-		1			-			15
Total sustaining capital expenditure		3		7			1			11			4		1			-		50			1			78
All-in sustaining costs		90		104			37			155			24		30			-		185			4			629
Adjusted for non-controlling interests and non -gold producing companies(1)		-		-			-			(23	)		-		-			-		-			-			(23	)
All-in sustaining costs adjusted for non-controlling interests and non-gold producing companies		90		104			37			132			24		30			-		185			4			606
Adjusted for stockpile write-offs		-		(5	)		-			-			-		-			-		-			-			(5	)
All-in sustaining costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		90		99			37			132			24		30			-		185			4			601
All-in sustaining costs		90		104			37			155			24		30			-		185			4			629
Non-sustaining Project capex		58		-			10			-			-		(2	)		-		-			(1	)		65
Non-sustaining exploration and study costs		1		-			-			-			-		-			-		-			-			1
Care and maintenance costs		-		-			35			-			-		-			-		-			-			35
All-in costs		149		104			82			155			24		28			-		185			3			730
Adjusted for non-controlling interests and non -gold producing companies(1)		-		-			-			(23	)		-		-			-		-			-			(23	)
All-in costs adjusted for non-controlling interests and non-gold producing companies		149		104			82			132			24		28			-		185			3			707
Adjusted for stockpile write-offs		-		(5	)		-			-			-		-			-		-			-			(5	)
All-in costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		149		99			82			132			24		28			-		185			3			702
Gold sold - oz (000)(3)		149		91			31			136			35		36			-		263			-			739
All-in sustaining cost (excluding stockpile write-offs) per unit - $/oz(4)		612		1,095			1,213			960			703		842			-		707			-			809
All-in cost per unit (excluding stockpile write-offs) - $/oz(4)		1,005		1,095			2,679			960			703		773			-		707			-			945

46    

For the six months ended 30 June 2015

Operations in DRC, Ghana, Guinea, Mali and Tanzania

(in $ millions, except as otherwise noted)

Total cash costs
Cost of sales		-		108			34			152			-		-		-		200			-			494
Inventory change		-		(4	)		2			(7	)		-		-		-		(10	)		-			(19	)
Amortisation of intangible assets		-		-			-			-			-		-		-		-			(1	)		(1	)
Amortisation of tangible assets		-		(13	)		(10	)		(13	)		-		-		-		(66	)		(2	)		(104	)
Rehabilitation and other non-cash costs		-		-			-			(2	)		-		-		-		(1	)		1			(2	)
Net cash operating costs		-		91			26			130			-		-		-		123			(2	)		368
Adjusted for non-controlling interests, non-gold producing companies and other(1)		-		-			-			(20	)		-		-		-		-			-			(20	)
Associates and equity accounted joint ventures’ share of total cash costs(2)		87		-			-			-			20		30		-		-			-			137
Total cash costs adjusted for non-controlling interests and non-gold producing companies		87		91			26			110			20		30		-		123			(2	)		485
Gold produced - oz (000) (3)		148		88			31			132			35		36		-		250			-			719
Total cash costs per unit - $/oz(4)		588		1,037			822			837			569		840		-		487			-			675

47    

For the six months ended 30 June 2015

Operations in Australia, Argentina and Brazil

(in $ millions, except as otherwise noted)

All-in sustaining costs
Cost of sales per financial statements		124			127			11			262			115			159			68			(1	)		341
Amortisation of tangible and intangible assets		(13	)		(45	)		(2	)		(60	)		(22	)		(56	)		(25	)		(1	)		(104	)
Adjusted for decommissioning amortisation		-			1			1			2			1			-			-			-			1
Inventory writedown to net realisable value and other stockpile adjustments		-			-			-			-			-			1			-			2			3
Sustaining exploration and study costs		-			2			4			6			1			-			1			5			7
Total sustaining capital expenditure		15			27			-			42			34			39			17			-			90
All-in sustaining costs		126			112			14			252			129			143			61			5			338
Adjusted for non-controlling interests and non -gold producing companies(1)		-			-			-			-			(10	)		-			-			(5	)		(15	)
All-in sustaining costs adjusted for non-controlling interests and non-gold producing companies		126			112			14			252			119			143			61			-			323
Adjusted for stockpile write-offs		-			-			-			-			-			(1	)		(1	)		(1	)		(3	)
All-in sustaining costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		126			112			14			252			119			142			60			(1	)		320
All-in sustaining costs		126			112			14			252			129			143			61			5			338
Non-sustaining Project capex		-			-			-			-			-			-			-			6			6
Non-sustaining exploration and study costs		-			-			2			2			-			1			-			18			19
Corporate and social responsibility costs not related to current operations		-			-			-			-			-			4			-			(1	)		3
All-in costs		126			112			16			254			129			148			61			28			366
Adjusted for non-controlling interests and non -gold producing companies(1)		-			-			-			-			(10	)		-			-			(1	)		(11	)
All-in costs adjusted for non-controlling interests and non-gold producing companies		126			112			16			254			119			148			61			27			355
Adjusted for stockpile write-offs		-			-			-			-			-			(1	)		(1	)		(1	)		(3	)
All-in costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		126			112			16			254			119			147			60			26			352
Gold sold - oz (000)(3)		115			172			-			287			130			185			62			-			377
All-in sustaining cost (excluding stockpile write-offs) per unit - $/oz(4)		1,102			657			-			880			911			764			972			-			849
All-in cost per unit (excluding stockpile write-offs) - $/oz(4)		1,102			657			-			889			912			789			965			-			935

48    

For the six months ended 30 June 2015

Operations in Australia, Argentina and Brazil

(in $ millions, except as otherwise noted)

Total cash costs
Cost of sales		124			127			11			262			115			159			68			(1	)		341
Inventory change		(1	)		(1	)		-			(2	)		2			-			(1	)		1			2
Amortisation of intangible assets		-			-			-			-			-			(6	)		(3	)		1			(8	)
Amortisation of tangible assets		(13	)		(45	)		(1	)		(59	)		(22	)		(51	)		(23	)		-			(96	)
Rehabilitation and other non-cash costs		-			(1	)		(1	)		(2	)		(1	)		7			2			-			8
Retrenchment costs		-			-			-			-			(1	)		(1	)		-			-			(2	)
Net cash operating costs		110			80			9			199			93			108			43			1			245
Adjusted for non-controlling interests, non-gold producing companies and other(1)		-			-			-			-			(7	)		-			-			-			(7	)
Associates and equity accounted joint ventures’ share of total cash costs(2)		-			-			-			-			-			-			-			-			-
Total cash costs adjusted for non-controlling interests and non-gold producing companies		110			80			9			199			86			108			43			1			238
Gold produced - oz (000) (3)		115			167			-			282			135			181			61			-			377
Total cash costs per unit - $/oz(4)		958			476			-			703			641			598			714			-			632

49    

For the year ended 31 December 2015

Operations in South Africa

(in $ millions, except as otherwise noted)

All-in sustaining costs
Cost of sales per financial statements		148			260			408			251			230			481			194			-			1,083			(2	)
Amortisation of tangible and intangible assets		(24	)		(47	)		(71	)		(53	)		(40	)		(93	)		(17	)		-			(181	)		(9	)
Corporate administration and marketing related to current operations		-			-			-			-			-			-			-			-			-			77
Inventory writedown to net realisable value and other stockpile adjustments		-			-			-			-			-			-			-			1			1			(1	)
Total sustaining capital expenditure		21			46			66			59			28			87			17			8			178			3
All-in sustaining costs		145			259			403			257			218			475			194			9			1,081			68
Adjusted for non-controlling interests and non -gold producing companies(1)		-			-			-			-			-			-			-			-			-			8
All-in sustaining costs adjusted for non-controlling interests and non-gold producing companies		145			259			403			257			218			475			194			9			1,081			76
Adjusted for stockpile write-offs		-			-			-			-			-			-			-			(1	)		(1	)		-
All-in sustaining costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		145			259			403			257			218			475			194			8			1,080			76
All-in sustaining costs		145			259			403			257			218			475			194			9			1,081			68
Non-sustaining Project capex		-			2			2			26			-			26			-			-			28			-
Technology improvements		-			-			-			-			-			-			-			15			15			-
Non-sustaining exploration and study costs		-			-			-			-			-			-			-			-			-			11
Corporate and social responsibility costs not related to current operations		-			-			-			-			-			-			-			-			-			17
All-in costs		145			261			405			283			218			501			194			24			1,124			96
Adjusted for non-controlling interests and non -gold producing companies(1)		-			-			-			-			-			-			-			-			-			8
All-in costs adjusted for non-controlling interests and non-gold producing companies		145			261			405			283			218			501			194			24			1,124			104
Adjusted for stockpile write-offs		-			-			-			-			-			-			-			(1	)		(1	)		-
All-in costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		145			261			405			283			218			501			194			23			1,123			104
Gold sold - oz (000)(3)		118			254			371			219			209			428			193			13			1,005			-
All-in sustaining cost (excluding stockpile write-offs) per unit - $/oz(4)		1,226			1,018			1,084			1,170			1,044			1,108			1,006			-			1,088			-
All-in cost per unit (excluding stockpile write-offs) - $/oz(4)		1,226			1,024			1,088			1,290			1,044			1,170			1,006			-			1,131			-

⁽¹⁾  Adjusting for non-controlling interest of items included in calculation, to disclose the attributable portions only. Other consists of heap leach inventory.

⁽²⁾  Attributable costs and related expenses of associates and equity accounted joint ventures are included in the calculation of total cash costs per ounce and total production costs per ounce.

⁽³⁾  Attributable portion.

⁽⁴⁾  In addition to the operational performances of the mines, all-in sustaining cost per ounce, all-in cost per ounce and total cash costs per ounce are affected by fluctuations in the currency exchange rate. AngloGold Ashanti reports all-in sustaining cost per ounce and all-in cost per ounce calculated to the nearest US dollar amount and gold sold in ounces. AngloGold Ashanti reports total cash costs per ounce calculated to the nearest US dollar amount and gold produced in ounces.

⁽⁵⁾  Corporate includes non-gold producing subsidiaries.

50    

For the year ended 31 December 2015

Operations in South Africa

(in $ millions, except as otherwise noted)

Total cash costs
Cost of sales		148			260			408			251			230			481			194			-			1,083			(2	)
Inventory change		-			-			-			-			-			-			-			-			-			(1	)
Amortisation of intangible assets		(2	)		(5	)		(7	)		(4	)		(5	)		(9	)		(2	)		1			(17	)		(3	)
Amortisation of tangible assets		(22	)		(42	)		(64	)		(49	)		(35	)		(84	)		(15	)		(1	)		(164	)		(5	)
Rehabilitation and other non-cash costs		(3	)		(8	)		(11	)		(5	)		(4	)		(9	)		(1	)		-			(21	)		2
Retrenchment costs		(2	)		(3	)		(4	)		(2	)		(1	)		(3	)		-			-			(7	)		-
Net cash operating costs		119			202			322			191			185			376			176			-			874			(9	)
Adjusted for non-controlling interests, non-gold producing companies and other(1)		-			-			-			-			-			-			-			-			-			8
Total cash costs adjusted for non-controlling interests and non-gold producing companies		119			202			322			191			185			376			176			-			874			(1	)
Gold produced - oz (000) (3)		117			254			371			219			209			428			193			12			1,004			-
Total cash costs per unit - $/oz(4)		1,014			798			867			874			883			879			912			-			881			-
					`

51    

For the year ended 31 December 2015

Operations in DRC, Ghana, Guinea, Mali and Tanzania

(in $ millions, except as otherwise noted)

All-in sustaining costs
Cost of sales per financial statements		-		219			64			280			-			-			-		404			2			969
Amortisation of tangible and intangible assets		-		(32	)		(22	)		(26	)		-			-			-		(148	)		(2	)		(230	)
Adjusted for decommissioning amortisation		-		-			4			2			-			-			-		3			-			9
Associates and equity accounted joint ventures’ share of costs(2)		179		-			-			-			35			56			-		-			-			270
Inventory writedown to net realisable value and other stockpile adjustments		-		2			-			-			2			-			-		3			-			7
Sustaining exploration and study costs		-		1			16			6			-			-			-		7			1			31
Total sustaining capital expenditure		7		15			3			29			5			4			-		116			1			180
All-in sustaining costs		186		205			65			291			42			60			-		385			2			1,236
Adjusted for non-controlling interests and non -gold producing companies(1)		-		-			-			(44	)		-			-			-		-			-			(44	)
All-in sustaining costs adjusted for non-controlling interests and non-gold producing companies		186		205			65			247			42			60			-		385			2			1,192
Adjusted for stockpile write-offs		-		(12	)		-			-			(2	)		-			-		(3	)		-			(17	)
All-in sustaining costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		186		193			65			247			40			60			-		382			2			1,175
All-in sustaining costs		186		205			65			291			42			60			-		385			2			1,236
Non-sustaining Project capex		117		-			20			-			-			(2	)		-		-			-			135
Non-sustaining exploration and study costs		1		-			-			1			-			-			-		-			-			2
Care and maintenance costs		-		-			67			-			-			-			-		-			-			67
Corporate and social responsibility costs not related to current operations		-		-			1			-			-			-			-		-			-			1
All-in costs		304		205			153			292			42			58			-		385			2			1,441
Adjusted for non-controlling interests and non -gold producing companies(1)		-		-			-			(44	)		-			-			-		-			-			(44	)
All-in costs adjusted for non-controlling interests and non-gold producing companies		304		205			153			248			42			58			-		385			2			1,397
Adjusted for stockpile write-offs		-		(12	)		-			-			(2	)		-			-		(3	)		-			(17	)
All-in costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		304		193			153			248			40			58			-		382			2			1,380
Gold sold - oz (000)(3)		290		190			56			256			49			69			-		531			-			1,441
All-in sustaining cost (excluding stockpile write-offs) per unit - $/oz(4)		642		1,020			1,185			965			815			886			-		717			-			815
All-in cost per unit (excluding stockpile write-offs) - $/oz(4)		1,051		1,020			2,750			969			815			852			-		717			-			957

52    

For the year ended 31 December 2015

Operations in DRC, Ghana, Guinea, Mali and Tanzania

(in $ millions, except as otherwise noted)

Total cash costs
Cost of sales		-		219			64			280			-		-		-		404			2			969
Inventory change		-		1			(3	)		(6	)		-		-		-		(6	)		-			(14	)
Amortisation of intangible assets		-		-			-			-			-		-		-		-			(2	)		(2	)
Amortisation of tangible assets		-		(32	)		(22	)		(26	)		-		-		-		(148	)		-			(228	)
Rehabilitation and other non-cash costs		-		4			12			1			-		-		-		3			(1	)		19
Retrenchment costs		-		-			-			(1	)		-		-		-		-			-			(1	)
Net cash operating costs		-		192			51			248			-		-		-		253			(1	)		743
Adjusted for non-controlling interests, non-gold producing companies and other(1)		-		-			-			(37	)		-		-		-		-			-			(37	)
Associates and equity accounted joint ventures’ share of total cash costs(2)		176		-			-			-			34		57		-		-			-			267
Total cash costs adjusted for non-controlling interests and non-gold producing companies		176		192			51			211			34		57		-		253			(1	)		973
Gold produced - oz (000) (3)		289		193			53			255			49		69		-		527			-			1,435
Total cash costs per unit - $/oz(4)		609		995			966			827			698		818		-		480			-			678
				`

53    

For the year ended 31 December 2015

Operations in Australia, Argentina and Brazil

(in $ millions, except as otherwise noted)

All-in sustaining costs
Cost of sales per financial statements		239			266			20			525			244			335			137			3			719
Amortisation of tangible and intangible assets		(25	)		(88	)		(4	)		(117	)		(58	)		(125	)		(57	)		-			(240	)
Adjusted for decommissioning amortisation		-			3			-			3			1			-			-			-			1
Corporate administration and marketing related to current operations		-			-			-			-			-			1			-			-			1
Inventory writedown to net realisable value and other stockpile adjustments		-			-			-			-			-			1			3			1			5
Sustaining exploration and study costs		1			8			6			15			3			2			2			9			16
Total sustaining capital expenditure		29			48			1			78			67			89			33			1			190
All-in sustaining costs		244			237			23			504			257			303			118			14			692
Adjusted for non-controlling interests and non - gold producing companies(1)		-			-			-			-			(19	)		-			-			(9	)		(28	)
All-in sustaining costs adjusted for non-controlling interests and non-gold producing companies		244			237			23			504			238			303			118			5			664
Adjusted for stockpile write-offs		-			-			-			-			-			(1	)		(4	)		-			(5	)
All-in sustaining costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		244			237			23			504			238			302			114			5			659
All-in sustaining costs		244			237			23			504			257			303			118			14			692
Non-sustaining Project capex		-			-			-			-			-			-			-			6			6
Non-sustaining exploration and study costs		-			-			6			6			-			2			-			41			43
Corporate and social responsibility costs not related to current operations		-			-			-			-			-			7			-			1			8
All-in costs		244			237			29			510			257			312			118			62			749
Adjusted for non-controlling interests and non - gold producing companies(1)		-			-			-			-			(19	)		-			-			-			(19	)
All-in costs adjusted for non-controlling interests and non-gold producing companies		244			237			29			510			238			312			118			62			730
Adjusted for stockpile write-offs		-			-			-			-			-			(1	)		(4	)		-			(5	)
All-in costs adjusted for non-controlling interests, non-gold producing companies and stockpile write-offs		244			237			29			510			238			311			114			62			725
Gold sold - oz (000)(3)		221			354			-			575			273			423			133			-			829
All-in sustaining cost (excluding stockpile write-offs) per unit - $/oz(4)		1,110			671			-			873			873			712			861			-			792
All-in cost per unit (excluding stockpile write-offs) - $/oz(4)		1,110			671			-			884			874			733			865			-			885
					`

54    

For the year ended 31 December 2015

Operations in Australia, Argentina and Brazil

(in $ millions, except as otherwise noted)

Total cash costs
Cost of sales		239			266			20			525			244			335			137			3			719
Inventory change		(4	)		(6	)		-			(10	)		4			-			(3	)		1			2
Amortisation of intangible assets		-			-			(1	)		(1	)		-			(12	)		(5	)		-			(17	)
Amortisation of tangible assets		(25	)		(88	)		(4	)		(117	)		(58	)		(113	)		(52	)		-			(223	)
Rehabilitation and other non-cash costs		-			(3	)		(1	)		(4	)		(1	)		10			7			(2	)		14
Retrenchment costs		-			-			-			-			(1	)		(2	)		-			-			(3	)
Net cash operating costs		210			169			14			393			188			218			84			2			492
Adjusted for non-controlling interests, non-gold producing companies and other(1)		-			-			-			-			(14	)		-			-			-			(14	)
Total cash costs adjusted for non-controlling interests and non-gold producing companies		210			169			14			393			174			218			84			2			478
Gold produced - oz (000) (3)		216			344			-			560			278			421			132			-			831
Total cash costs per unit - $/oz(4)		970			492			-			701			625			518			635			-			576

55    

Administration and corporate information

ANGLOGOLD ASHANTI LIMITED

Registration No. 1944/017354/06

Incorporated in the Republic of South Africa

Share codes:
ISIN:	ZAE000043485
JSE:	ANG
NYSE:	AU
ASX:	AGG
GhSE: (Shares)	AGA
GhSE: (GhDS)	AAD

JSE Sponsor:

Deutsche Securities (SA) Proprietary Limited

Auditors: Ernst & Young Inc.

Offices

Registered and Corporate

76 Rahima Moosa Street

Newtown 2001

(PO Box 62117, Marshalltown 2107)

South Africa

Telephone: +27 11 637 6000

Fax: +27 11 637 6624

Australia

Level 13, St Martins Tower

44 St George’s Terrace

Perth, WA 6000

(PO Box Z5046, Perth WA 6831)

Australia

Telephone: +61 8 9425 4602

Fax: +61 8 9425 4662

Ghana

Gold House

Patrice Lumumba Road

(PO Box 2665)

Accra

Ghana

Telephone: +233 303 772190

Fax: +233 303 778155

Directors

Executive

S Venkatakrishnan*^§ (Chief Executive Officer)

KC Ramon^ (Chief Financial Officer)

Non-Executive

SM Pityana^ (Chairman)

Prof LW Nkuhlu^ (Lead Independent Director)

A Garner#

R Gasant^

DL Hodgson^

NP January-Bardill^

MJ Kirkwood*

M Richter#

RJ Ruston~

* British	§ Indian     #American
~ Australian	^South African

Officers

Executive Vice President – Legal, Commercial and

Governance and Company Secretary:

ME Sanz Perez

Investor Relations Contacts

Stewart Bailey

Telephone: +27 11 637 6031

Mobile: +27 81 032 2563

E-mail: sbailey@anglogoldashanti.com

Fundisa Mgidi

Telephone: +27 11 637 6763

Mobile: +27 82 821 5322

E-mail: fmgidi@anglogoldashanti.com

Sabrina Brockman

Telephone: +1 212 858 7702

Mobile: +1 646 379 2555

E-mail: sbrockman@anglogoldashantina.com

General e-mail enquiries

Investors@anglogoldashanti.com

AngloGold Ashanti website

www.anglogoldashanti.com

Company secretarial e-mail

Companysecretary@anglogoldashanti.com

PUBLISHED BY ANGLOGOLD ASHANTI

Share Registrars

South Africa

Computershare Investor Services (Pty) Limited

Ground Floor, 70 Marshall Street Johannesburg 2001

(PO Box 61051, Marshalltown 2107)

South Africa

Telephone: 0861 100 950 (in SA)

Fax: +27 11 688 5218

Website : queries@computershare.co.za

Australia

Computershare Investor Services Pty Limited

Level 2, 45 St George’s Terrace

Perth, WA 6000

(GPO Box D182 Perth, WA 6840) Australia

Telephone: +61 8 9323 2000

Telephone: 1300 55 2949 (Australia only)

Fax: +61 8 9323 2033

Ghana

NTHC Limited

Martco House

Off Kwame Nkrumah Avenue

PO Box K1A 9563 Airport

Accra

Ghana

Telephone: +233 302 229664

Fax: +233 302 229975

ADR Depositary

BNY Mellon (BoNY)

BNY Shareowner Services

PO Box 30170

College Station, TX 77842-3170

United States of America

Telephone: +1 866-244-4140 (Toll free in USA) or

+1 201 680 6825 (outside USA)

E-mail: shrrelations@cpushareownerservices.com

Website: www.mybnymdr.com

Global BuyDIRECT^SM

BoNY maintains a direct share purchase and dividend reinvestment plan for ANGLOGOLD ASHANTI.

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Forward-looking statements

Certain statements contained in this document, other than statements of historical fact, including, without limitation, those concerning the economic outlook for the gold mining industry, expectations regarding gold prices, production, total cash costs, all-in sustaining costs, all-in costs, cost savings and other operating results, return on equity, productivity improvements, growth prospects and outlook of AngloGold Ashanti’s operations, individually or in the aggregate, including the achievement of project milestones, commencement and completion of commercial operations of certain of AngloGold Ashanti’s exploration and production projects and the completion of acquisitions, dispositions or joint venture transactions, AngloGold Ashanti’s liquidity and capital resources and capital expenditures and the outcome and consequence of any potential or pending litigation or regulatory proceedings or environmental health and safety issues, are forward-looking statements regarding AngloGold Ashanti’s operations, economic performance and financial condition. These forward-looking statements or forecasts involve known and unknown risks, uncertainties and other factors that may cause AngloGold Ashanti’s actual results, performance or achievements to differ materially from the anticipated results, performance or achievements expressed or implied in these forward-looking statements. Although AngloGold Ashanti believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. Accordingly, results could differ materially from those set out in the forward-looking statements as a result of, among other factors, changes in economic, social and political and market conditions, the success of business and operating initiatives, changes in the regulatory environment and other government actions, including environmental approvals, fluctuations in gold prices and exchange rates, the outcome of pending or future litigation proceedings, and business and operational risk management. For a discussion of such risk factors, refer to AngloGold Ashanti’s annual reports on Form 20-F filed with the United States Securities and Exchange Commission. These factors are not necessarily all of the important factors that could cause AngloGold Ashanti’s actual results to differ materially from those expressed in any forward-looking statements. Other unknown or unpredictable factors could also have material adverse effects on future results. Consequently, readers are cautioned not to place undue reliance on forward-looking statements. AngloGold Ashanti undertakes no obligation to update publicly or release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events, except to the extent required by applicable law. All subsequent written or oral forward-looking statements attributable to AngloGold Ashanti or any person acting on its behalf are qualified by the cautionary statements herein.

Non-GAAP financial measures

This communication may contain certain “Non-GAAP” financial measures. AngloGold Ashanti utilises certain Non-GAAP performance measures and ratios in managing its business. Non- GAAP financial measures should be viewed in addition to, and not as an alternative for, the reported operating results or cash flow from operations or any other measures of performance prepared in accordance with IFRS. In addition, the presentation of these measures may not be comparable to similarly titled measures other companies may use.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Current Report to be signed on its behalf by the undersigned, thereunto duly authorized.

	AngloGold Ashanti Limited
Date: August 15, 2016	By:  /s/  ME SANZ
	Name:  ME Sanz
	Title:  Executive Vice President – Legal,
	Commercial and Governance and
	Company Secretary

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