Minera AngloGold leaves Argentina and a silent investment in Colombia

The decision was announced in Johannesburg, capital of South Africa, by the company's CEO, Kelvin Dushnisky, who until last August held the same position in Barrick Gold, Anglo Gold Ashanti's big competitor.

The executive said about Cerro Vanguardia: "This is a unique badet in an area where it is unlikely that we will focus our efforts and invest more given the other opportunities we have."

In addition, he pointed out that the measure was part of a general strategy of restructuring activities aimed at improving the company's income. "As long as there are other strategic reasons to disinvest, we will do it," he said.

The Cerro Vanguardia mine is located in Santa Cruz, 150 kilometers from Puerto San Julián. And it has a decisive feature to understand the divestment of what is currently the third largest mining company in the world: it is in the phase of productive decline, after 20 years of intensive exploitation.

According to specialists' calculations, Cerro Vanguardia will no longer be profitable in 2020. For this reason, the provincial government of Alicia Kirchner had launched a joint strategic plan with private investors to try to extend the operation of four and five more years. to arrive at 2024 or 2025.

One of the solutions envisioned last December was that the province resigns some of the collection of royalties to private companies.

However, the early departure of Anglo Gold now generates uncertainties about the future of the strategic plan and even the continuity of the mine beyond 2020. The mining sector in general is going through a complicated situation in Argentina, with a reduction investments. .

One of Santa Cruz's concerns is the impact on work of a possible closure of Cerro Vanguardia, which directly employs 1,000 people.

Anglo Gold applies an adjustment plan around the world and has decided to prioritize secure earnings projects. It is for this reason that yesterday, he also announced his interest in Quebradona, a copper and gold mine in Colombia, where he would allocate the resources of his divestment in Argentina.