PROVISION FOR PENSION AND POST-RETIREMENT BENEFITS

12 Months Ended

Dec. 31, 2021

Disclosure of employee benefits [Abstract]

PROVISION FOR PENSION AND POST-RETIREMENT BENEFITS

PROVISION FOR PENSION AND POST-RETIREMENT BENEFITS

	US Dollars
Figures in millions	2021	2020	2019
Defined benefit plans
The retirement schemes consist of the following:
Post-retirement medical scheme for AngloGold Ashanti's South African employees	71	77	93
Other defined benefit plans	6	6	7
	77	83	100

Figures in millions	2021		2020		2019
	US Dollars
Post-retirement medical scheme for AngloGold Ashanti's South African employees
The provision for post-retirement medical funding represents the provision for health care benefits for employees and retired employees and their registered dependants.
The post-retirement benefit costs are assessed in accordance with the advice of independent professionally qualified actuaries. The actuarial method used is the projected unit credit funding method. This scheme is unfunded. The last valuation was performed as at 31 December 2021.
Information with respect to the defined benefit liability is as follows:
Benefit obligation
Balance at beginning of year	77		93		93
Interest cost	6		7		8
Benefits paid	(8)		(7)		(8)
Actuarial loss (gain)	1		(9)		(2)
Translation	(5)		(5)		2
Balance at end of year	71		79		93
Settlement gain	—		(2)		—
Net amount recognised	71		77		93
Components of net periodic benefit cost
Interest cost	6		7		8
Net periodic benefit cost	6		7		8
Assumptions
Assumptions used to determine benefit obligations at the end of the year are as follows:
Discount rate	9.79	%	9.14	%	9.15	%
Expected increase in health care costs	7.23	%	6.06	%	7.25	%
Assumed health care cost trend rates at 31 December:
Health care cost trend assumed for next year	7.23	%	6.06	%	7.25	%
Rate to which the cost trend is assumed to decline (the ultimate trend rate)	7.23	%	6.06	%	7.25	%
Assumed health care cost trend rates have a significant effect on the amounts reported for health care plans. A 1% point change in assumed health care cost trend rates would have the following effect:
Effect on total service and interest cost – 1% point increase	1		—		1
Effect on post-retirement benefit obligation – 1% point increase	5		4		7
Effect on total service and interest cost – 1% point decrease	—		—		(1)
Effect on post-retirement benefit obligation – 1% point decrease	(4)		(4)		(6)
Cash flows
Contributions
AngloGold Ashanti Limited expects to contribute $8m to the post-retirement medical plan in 2022.
Estimated future benefit payments
The following medical benefit payments, which reflect the expected future service, as appropriate, are expected to be paid:
2022	8
2023	8
2024	8
2025	9
2026	9
Thereafter	35