Gold Fields, AngloGold halt merger plans
Gold Fields and AngloGold Ashanti have paused their plans to merge two major gold operations in Ghana Tarkwa and Iduapriem into a single joint venture. The merger, initially announced in March 2023, aimed to create Africa’s largest gold-producing mine, with Gold Fields holding a 60% stake, AngloGold 30%, and the Ghanaian government retaining a 10% share.
However, progress has stalled due to delays in regulatory approval from the Ghanaian authorities. Both companies announced they will now focus on optimizing performance at their respective mines rather than continuing merger discussions. Despite the pause, they emphasized that the proposed combination remains strategically attractive.
Merger plans
The joint operation was expected to produce around 900,000 ounces of gold annually during its first five years, declining to 600,000 ounces per year over the mine’s projected 18-year lifespan. This shift in focus comes as both companies expand their footprints beyond South Africa, where aging infrastructure and more challenging geological conditions have made gold mining less viable.
Gold Fields recently completed a C$1.93 billion (about $1.39 billion) acquisition of Osisko Mining, gaining full control of the Windfall project in Québec, Canada, which is expected to begin production in 2027 and yield approximately 300,000 ounces of gold per year. The company is also working toward a A$3.7 billion ($2.4 billion) acquisition of Australia’s Gold Road Resources to secure full ownership of the Gruyere gold project.
AngloGold Ashanti, meanwhile, has bolstered its portfolio by acquiring Centamin, an Egypt-focused gold miner known for operating the Sukari mine. It also recently divested assets in Côte d’Ivoire, selling the Doropo and ABC projects to Resolute Mining in exchange for cash and the Mansala project in Guinea—complementing its existing Siguiri mine operations nearby.
