Report on Form 6-K dated March 31, 2008

Commission File Number 1-14846

AngloGold Ashanti Limited

(Translation of registrant’s name into English)

76 Jeppe Street

Newtown, 2001

(P.O. Box 62117, Marshalltown, 2107)

South Africa

(Address of principal executive offices)

Form 20-F X            Form 40-F

Yes         No X

Yes         No X

Yes         No X

ANGLOGOLD ASHANTI – REPORT TO SOCIETY 2007

Report to

Society

Report to Society

Country Reports

The way we do business

2

Key sustainable development data

4

Milestones 2007

5

Letter from the CEO

6

Our operations and projects – a corporate profile

8

The process of producing gold – from exploration to the market

10

The issues we face

12

How we report

14

Using this report

16

Engaging with our stakeholders

17

Report of the independent non-financial assurers

22

24

Case study:  A reinforced emphasis on safety –

AngloGold Ashanti engages on a number of fronts

44

Case study:  The seven pillars – a revised safety

strategy for the South African operations

48

54

Case study: Where does our gold go?

68

74

88

Case study:  Towards collective bargaining – the view of

104

Case study:  Women in mining

108

114

Case study:  TB control at AngloGold Ashanti Health –

applying best practice

126

130

156

Case study:  AngloGold Ashanti and climate change

186

Case study:  Establishing the company’s carbon

footprint in South America

192

194

Glossary of terms and acronyms

211

Feedback form

217

Contact details and administration

Back cover

Safety is our number one value

We value diversity and are committed to ensuring

that the contribution of every individual is

recognised and rewarded

We take responsibility for our actions and deliver

on our commitments

We strive for continuous improvement and

excellence through innovation

We want communities and the societies in which

we operate to be better off for us having been

there

We will respect and protect the environment

We live our values through our business principles

and these are applicable to all operations and

employees across the group. Our business

principles inform the way in which we go about

achieving our mission and vision, and the way in

which we live our values.

AngloGold Ashanti – a responsible and ethical

corporate citizen – page 76.

AngloGold Ashanti as an employer – safety and

health – page 26.

AngloGold Ashanti as an employer – our labour

practices – page 90.

AngloGold Ashanti and the environment –

page 158.

AngloGold Ashanti in the community – page 132.

These business principles will continue to evolve as

we continue to interact with our stakeholders, both

internal and external. On the pages that follow we

report on how we have performed in terms of

meeting our values and business principles.

3

2

Economic 
performance

Occupational 
safety and 
health

Employment

Regional 
health

Environment

Community

the checks and balances are in place all year around, and not just once a year. It is our responsibility to

ensure we manage every day of every year in the life cycle of our operations.

We have declared an A+ level of reporting, having covered all of the issues required for this level, and having

had the appropriate degree of third party assurance. A schedule of our reporting against the GRI aspects

may be found on page 194 of this report. In addition, we have reported on our compliance with the

principles of the International Council of Mining and Metals (ICMM), the UN Global Compact, the Voluntary

Principles and the Extractive Industries Transparency Initiative (EITI), all of which are voluntary bodies to

which we are affiliated or of which we are formal supporters.

This report cannot be a comprehensive account of all of our issues and performance at all of our operations

and should be read in conjunction with our web-based report (which provides additional case studies from

our operations and projects around the world) and the country and operational reports (which provide a more

detailed account of performance), also available on our website. This year, for the first time, we have

produced reports on our activities in Colombia and the DRC where we are engaged in reconnaissance

exploration.

There has been significant progress at an operational level against the objectives we have set and, as you

would expect, there have been many challenges. My recommendations to the reader on specific areas of

focus or change in this report are:

Our reporting on occupational safety and health, and in particular the reinforcement of the emphasis on

safety at our South African operations. This is a very personal issue for me and has been the most

important issue in the year under review. See the case studies on pages 44 and 48.

Our reporting on payments to government, in line with the requirements of the EITI on page 60.

Our approach to collective bargaining, in this case reporting a comparison between the structures and

processes in place in South Africa and Ghana, but which are applicable to all other jurisdictions in which

we do business. See the case study on page 104.

The progress we have made, and the challenges we have faced, in recruiting and retaining women in

mining, particularly in South Africa where this is a requirement of the Mineral and Petroleum Resources

Development Act (MPRDA). See the case study on page 108.

The progress made in encouraging Voluntary Counselling and Testing (VCT) for HIV at our South African

operations where, assuming single testing, 102% of the South African workforce was tested in 2007.

The 74% decrease in the malaria incidence rate at Obuasi in Ghana. See the case study on our website

The way in which we are grappling with the issue of artisanal and small-scale mining at our operations

in Guinea, Ghana, Tanzania and, to a lesser extent, in Mali. See page 139.

The way in which we as a group are approaching climate change and, in particular the baseline studies

to establish the carbon footprint of our operations in South America. See case studies on pages 186

and 192. For the first time this year, we report on our greenhouse gas (GHG) emissions.

We welcome your feedback on this report and have provided a feedback form on page 217, or on the

website at www.aga-reports.com/07/feedback.htm, or simply email your comments to

AFine@AngloGoldAshanti.com.

Mark Cutifani

CEO

10 March 2008

AngloGold Ashanti Report to Society 2007

486

527,000 ounces

(10% of attributable group production)

7,549

Two mines: Obuasi (100%)

and Iduapriem (100% since 1 September)

$117 million

2,329,000 ounces

(42% of attributable group production)

36,976

Seven mines (Mponeng,

TauTona, Savuka, Tau Lekoa, Great

Noligwa, Kopanang, Moab Khotsong)

$361 million

280,000 ounces

(5% of attributable group production)

2,917

One mine, Siguiri (85%)

$18 million

327,000 ounces

(6% of attributable group production)

3,226

One mine, Geita (100%)

$27 million

600,000 ounces

(11% of group production)

781

One mine in production at

Sunrise Dam (100%) and two projects,

Boddington (40%) and Tropicana (70%)

$30 million

80,000 ounces

(1.5% of group production)

409

One mine, Navachab

(100%)

$6 million

441,000 ounces

(8% of group production)

4,118

Three mines, Morila (40%)

$8.5 million

AngloGold Ashanti Report to Society 2007

Transparency in relations with government. We
recognise that our social compact should be with the people of the regions in which we operate and not just with the government, and are committed to transparency in our reporting on these relations. Challenges that we have to face include relations with security forces where this is necessary to protect our people and assets, and reporting in those countries in which regulation and practice mitigate against such reporting. We report on payments to government on page 60.

Diversity in operations and people. As we have diversified our asset base, so we are endeavouring to ensure that our employees and our leadership reflect the demographics of the countries and regions in which we operate. Issues that we are addressing here are women in mining, the promotion of historically disadvantaged South Africans, localisation programmes in Tanzania, Mali, Guinea and Ghana, and dealing with indigenous peoples’ rights, particularly in Australia. See the Employment section on page 88 and the case study on women in mining on page 108.

Reducing our carbon footprint. In line with our
commitment to minimising our environmental impact and to effectively managing the efficient use of our resources, we have undertaken to reduce our energy consumption by 15% in the short- to medium-term, and to reduce our carbon emissions by 30% in the longer term. See the case studies on page 186 and page 192.

Lifelong training. We recognise that, just as employees have an obligation to perform in terms of their employment contracts, so we as a group have an obligation to assist them in developing to their full potential. Skills development as well as lifelong training and development is important, not only while employees are with the company, but also after their terms of employment.

Dealing with artisanal and small-scale mining (ASM). In some of the countries  in which we operate our operations bring us into conflict with artisanal and small-scale miners. As a group we recognise the rights of these miners and, in line with the applicable legislation, we seek to develop ways in which we can cohabit the areas in which we operate with mutual respect for each other’s rights. See the discussion on page 139.

To address these needs we have developed a suite of reports (See

page 16 on Using this report).

We understand as a group that we are guests in the countries and

communities in which our operations are located and in which we

undertake exploration. We recognise that the value-creation

opportunity that our company faces, is one that should benefit not only

our shareholders and employees, but also our stakeholders and

business partners. In short, it is our responsibility to act with integrity

and care in all that we do, so that communities may be better off for

our having been there and that any negative impacts of the mining and

development process have been mitigated by socio-economic

advancement in the best interests of, and with the consent of the

relevant communities.

In determining the boundaries for our report, we have reported on

those operations where we hold a majority stake or which we manage.

AngloGold Ashanti is a values-driven organisation and our values and

business principles underpin everything that we do. This applies

equally to our approach to sustainable development. Thus, our

business principles guide our relations with all those who have an

interest in our business. We report and measure our performance

against our values and business principles and report our progress

and the challenges we face in this report.

We take both a bottom up and top down approach.

In terms of the former approach, we ask each of our operations to

complete questionnaires on each of the areas that we review, and to

provide suggestions for case studies. The questionnaires are based on

the GRI indicators. Site visits were undertaken to a number of the

operations by the report writers during the year.

In terms of the latter approach, a Report to Society Committee

compiles the primary areas of risk and interest, and suggests broad

themes for case studies. This committee is made up of the discipline

heads for Environment, Safety, Health, Community, Compliance and

Public Affairs, with representatives also from Finance, Risk

Management and Human Resources. The committee takes due

cognisance of issues that arise at an operational level and in the public

domain, and through its association with voluntary bodies, in addition

to the bi-annual risk identification and management processes that

take place within the group.

Reports submitted to Exco (such as incident reporting, accident

reporting), and to the board’s Safety, Health and Sustainable

Development sub-committee, are also reviewed and considered for

reporting.

The report is finally reviewed and approved by the heads of

disciplines, the company’s Exco, the heads of operations, the

company’s Disclosure Committee and an appointed representative of

the Safety, Health and Sustainable Development Committee of the

Board. The Economic Performance section is also reviewed by the

Group’s Audit Committee.

In compiling this report it is our intention to provide a clear picture of

our vision, values and business principles, and how we have

performed when measured against these. We aim to provide a

balanced overview of the company and the sustainability issues and

challenges that we face, from exploration to mine and closure, in all of

the regions in which we operate.

As in prior years we have sought external assurance to ensure

accuracy, balance and completeness of the report. We have also,

during 2007, valued the further assistance provided by the group’s

internal audit discipline.

We have identified the following broad groups of stakeholders at corporate, operational and community

level:

employees

unions and other employee representation forums

employees' families and dependents

communities surrounding our operations or from which the company draws its employees

suppliers and contractors

local, regional and national governments

customers

non-governmental and community-based organisations

academic institutions

regulatory authorities

professional organisations

shareholders

peer companies

and many others.

A comprehensive, but not exhaustive, list of these stakeholders may be found on our website at

Our engagement with our stakeholders varies in frequency and may depend on specific matters at hand.

The nature of this engagement may be formal, informal or both. It is our preference to engage proactively

with stakeholders on a regular basis, and to jointly identify and deal with issues of concern as well as to

pre-empt and address potential areas of conflict. On the pages that follow we provide some insight into

the range of stakeholder interaction in which we engaged in 2007.

AngloGold Ashanti Report to Society 2007

The Harry Oppenheimer Environ-
mental Centre in the town of
Nova Lima in Brazil provides a
unique environmental education
and recreational facility, while at
the same time preserving a
valuable part of the Atlantic
Forest Reserve in what is
essentially an urban area. In
addition to the ecological
vale of the centre (See case
study at www.aga-reports.com/07/
biodiversity-Brazil.htm), the centre is
visited by more than 10,000
community members per annum,
with about 3,000 students having
taken part in the environmental
awareness programme.

In support of a national and business coalition initiative in Brazil to promote
the United Nations Millennium Development Goals, AngloGold Ashanti
Brasil Mineraç~ao developed an outreach programme to involve the
children and young people in the communities surrounding its operations
in Nova Lima, Sabará, Santa Barbara and Raposos. The campaign has
been run by the company’s long-established employee volunteer
programme, the Holding Hands initiative. Volunteers visited schools in
these cities and towns, creating awareness of the MDG objectives,
stimulating interest and telling learners how they can participate on an
individual level. In total, 21 company employee volunteers spoke to more
than 1,650 students over a period of 15 days. A competition to create
interest and awareness in the MDGs was initiated. See case study at
www.aga-reports.com/07/millennium-goals.htm.

Santa Barbara – issues relating to water; and

Nova Lima – concerns about the company’s real estate project and the

impact of this on the region.

AngloGold Ashanti Report to Society 2007

To the Board of Directors and Management of AngloGold Ashanti Limited

We have been engaged by AngloGold Ashanti Limited to conduct an assurance engagement on selected subject matter reported in AngloGold

Ashanti’s Report to Society 2007, for the purposes of expressing a statement of independent assurance, for the year ended 31 December 2007. This

assurance report is made solely to AngloGold Ashanti in accordance with the terms of our engagement.

The following subject matter reported in the Report to Society was selected for an expression of reasonable assurance:

Group value added statement

Payments to government in terms of the

Extractive Industries Transparency

Initiative (EITI) Principles

Significant legal issues in 2007

Voluntary compliance

Political donations

Total number of fatalities

Lost time injury frequency rate (LTIFR) and

fatal Injury frequency rate (FIFR)

Total number of new compensable noise

induced hearing loss (NIHL) cases

Total number of new occupational lung

disease (OLD) cases

Total number of new silicosis cases

Total number of new tuberculosis (TB)

cases

Total number of medical surveillance

examinations

Total number of shifts lost due to injuries

on duty

OSHAS 18001 certification of operating

mines

Total number of full or partial mine

closures in terms of Section 54 of the

South African Mine Health and Safety Act

29 of 1996

HIV/AIDS prevalence rate estimates

Total number of participants in the

voluntary counselling and testing (VCT)

programme

Total number of participants in the

wellness programme

Total number of employees provided with

anti-retroviral therapy (ART)

Total number of employees that left the

employment of the company as a result

of ill-health

Total number of employee deaths due to

ill health

Total HIV/AIDS programme costs

Malaria incidence for Obuasi in Ghana

Total number of employees and

contractors

Total number of employees under union

representation

Total number of women employed in

South Africa as per the Mining Charter

Total number of historically disadvantaged

South Africans participating in

management as per the Mining Charter

Total number of expatriates employed in

African operations outside of South Africa

Total training expenditure

Total number of employees participating in

Adult Basic Education and Training

(ABET) as per the Mining Charter

Implementation of the cyanide code

ISO14001 certification of operating mines

Total number of significant incidents

Rehabilitation and decommissioning

provisions

Existence of closure plans at operating

mines

Total cyanide usage

Total fresh water usage

Total energy usage

Greenhouse gas emissions

Corporate social investment (CSI) spend

Implementation of the voluntary principles

on human rights and security

Resettlement and land compensation

Local economic development

A reinforced emphasis on safety –

AngloGold Ashanti engages on a number

of fronts

The seven pillars – a revised safety

strategy for the South African operations

Establishing AngloGold Ashanti’s carbon

footprint in South America

AngloGold Ashanti and climate change

TB control at AngloGold Ashanti Health –

applying best practice

Towards collective bargaining – the view

of the group and a comparison between

South Africa and Ghana

Women in mining in South Africa – on

track to meet targets in South Africa

GRI application level

AngloGold Ashanti’s directors are responsible

for the preparation and presentation of the

identified selected subject matter in

accordance with internal corporate policies

and procedures, and the Global Reporting

Initiative’s (GRI) new generation (G3)

guidelines.

AngloGold Ashanti Report to Society 2007 – Occupational safety and health

AngloGold Ashanti Report to Society 2007 – Occupational safety and health

At the end of the 2006 financial year we set a number of performance objectives for 2007. The table reports on our performance:

No fatal accidents.

34 fatal accidents occurred.

Not achieved

A significant amount of attention has

been focused on safety. See case

20% reduction in LTIFR.

LTIFR rose by 7%.

Not achieved

50% of mining operations to be

10 operations were OHSAS18001

Achieved

The balance of the operations will be

substantially compliant with

certified by year-end.

OHSAS18001 certified by the end of

OHSAS18001.

2008.

By 2008, 95% of all silica exposure

93.3% of silica exposure measurements

Partially achieved

Intensive efforts to measure and control

measurements to be below the

were below the OEL of 0.1mg/m

dust on track to meet the target in 2008.

occupational exposure limit (OEL)

in 2007, an improvement on the 2006

of 0.1mg/m3.

figure of 92%.

By 2013, no new cases of silicosis

462 new cases of silicosis reported for

Not achieved

Efforts to control dust and reduce the

will occur in previously unexposed

compensation purposes in 2007.

incidence of silicosis continue.

employees.

By 2013, noise emissions of all

100% of rockdrills and noisy fans in

Not achieved

Work to reduce noise emissions to below

equipment will be below 110dBA;

SA silenced. 78 cases of NIHL

110dBA is ongoing. Hearing

and by 2008, no deterioration in

reported for compensation purposes

conservation programmes in place at all

hearing greater than 10% will occur

in 2007.

operations.

in noise-exposed employees.

Decrease in TB rate from that of

TB rate reduced to 27 per

Achieved

Ongoing efforts to reduce and manage

31 per 1,000 recorded in 2006

1,000 employees.

TB. See case study on page 126.

is aimed for.

AngloGold Ashanti Report to Society 2007 – Occupational safety and health

Name and age

Date

Operation

Occupation

Families

We are committed to providing a working environment that is conducive to safety and health.

Our first value and primary focus is on safety performance. Much has been done during the year to

increase the attention given to safety, to raise the level of resources available to this discipline, and to

integrate safety into the performance management and reward systems within the company;

second, through the prevention of occupational illnesses (which has received greater attention in terms

of resource allocation and systematic approaches) aimed at minimising employee exposure and the

early detection of occupational disease; and

third, through the provision of healthcare and other support systems that address the employee in an

holistic manner. In addition to the healthcare services provided to all employees, the integration of leading

practices in terms of TB management and control, and HIV/AIDS and malaria programmes, have a bearing

on this. See the case study: TB control at AngloGold Ashanti Health – applying best practice, on page 126.

From a governance perspective, safety and health is overseen by the Board Committee on Safety, Health

and Sustainable Development. This committee meets on a quarterly basis in alignment with the company’s

financial reporting periods. The committee’s role is to evaluate the safety, health, social, economic and

environmental effects of the company’s operations on both local and global communities, and to achieve

a sustainable balance between economic and social development with due regard to the safety and health

of employees and the impact of AngloGold Ashanti’s operations on the environment. One of the stated

primary objectives of this committee is to ensure the elimination of all work-related accidents and diseases.

Two new appointments were made to the committee during the year:

Mr J Mensah, who joined the board of directors with effect from August 2006; and

Mr S Pityana, who was appointed to the board with effect from 13 February 2007. Mr Pityana has been

appointed as Deputy Chairman of the Safety, Health and Sustainable Development Committee.

The committee visits specific sites to become better informed on matters of serious concern. In addition to

the four quarterly meetings held during the year, the committee undertook a site visit to TauTona mine in

South Africa to better understand the issues and challenges relating to seismicity and falls of ground. A

special meeting dealing only with safety was held on 25 June 2007, the purpose of which was to review and

discuss possible causes of the declining safety trend that had presented over the five quarters prior to mid-

2007 – which has resulted in unacceptable safety performance – to understand current safety initiatives and

to debate and determine whether further interventions and/or improvements were required.

Core to the discussion were four identified primary causes for the deterioration in performance, namely:

a reduction in service labour as a proportion of the total workforce;

changing mine risk profiles and, in particular:

– increasing off-reef mining at TauTona;

– the proportion of scattered to pillar mining at Great Noligwa;

– mining of selected pillars at Savuka;

– mining remnant areas at Tau Lekoa; and

– having to contend with more steeply dipping reefs at Moab Khotsong as the mine reaches that phase

of its development;

a deterioration in the wellness of the workforce, as a consequence of HIV and AIDS, TB and the

increasing age profile of the workforce; and

loss of skills as a result of labour turnover amongst key personnel.

While fatal accidents are almost always a consequence of a number of events or failures, of primary

importance is the fact that the bulk of accidents – almost 70% – were as a result of non-compliance with

standards. Also discussed was the review of the South African mines safety strategy (See case study: The

seven pillars – a revised safety strategy for the South African operations on page 48). The outcomes of the

committee’s deliberations during the year included the following:

renewed commitment to the implementation of the OHSAS18001 standard, with certification planned

for 2008;

the appointment of a senior general manager and a high-level support team for the management of

safety in South Africa;

support for external reviews and, in particular, a third party review by industry experts (See case study

at www.aga-reports.com/07/3rdparty-review.htm);

commitment to working closely with the regulatory authorities, the unions and other mining companies

in jointly developing solutions to issues of safety. (See case study on Gold mining industry commissions

study into seismicity and rockbursts at www.aga-reports.com/07/seismic-study.htm); and

the introduction of a ‘near misses’ reporting category.

In terms of managing health issues, another key appointment was made at the beginning of the year, with

Dr Dave Barnes having been assigned to oversee occupational health risk assessment, auditing,

monitoring, and management at a group level. Also implemented at the instigation of the committee was

a process of monitoring ‘health at exit’ (which concerns itself with the high levels of employees exiting the

company with an occupational disease or injury) and the management interventions underway to mitigate

this risk; an audit of disaster recovery plans; the company’s preparedness in the event of avian flu (see the

case study on business continuity management at www.aga-reports.com/07/BCM.htm); and the

incidence and management of hand-arm vibration syndrome (HAVS). HAVS is an occupational injury

caused by the vibration transmitted from work processes into workers’ arms and hands, which may have

a chronic impact.

Overall, the group’s Safety and Health Policy, underpinned by our values and business principles relating

to safety and health, remains the minimum guideline for the group in respect of safety and occupational

health. Regions and operations are encouraged to develop their own specific principles, guidelines and

policies in line with local conditions and legislation, examples of which are available on our website.

Performance reviews in respect of health and safety are undertaken on a regular basis, both internally and

externally. In the event of a fatal accident, a formal review is undertaken by mine management, in

conjunction with the unions (as is required by the Mine Health and Safety Act in South Africa). Also in South

Africa, the DME undertakes an in loco inspection and an independent enquiry to which management and

the unions contribute. Over and above this, however, all fatal accidents within the group are the subject of

an intensive investigation by a corporate office team, which is then reviewed by the company’s Exco.

Risk assessments are conducted at both group and operational level, from the risks relating to the group

as a whole to risks associated with specific working places, with the aim of understanding the potential

safety and health risks that exist so that they may be eliminated or reduced to tolerable levels. Risk

assessment may be conducted by or with the assistance of external consultants, by the group’s corporate

office, by underwriters (for insurance purposes) or by the operations themselves.

Group

0.21

0.22

Employee involvement does not rely simply on the safety and health committees, or rule books, but on

employees’ deep understanding of the safety and health issues on hand, being informed and educated on

hazard identification, risk assessment control, personal empowerment in respect of their rights and

responsibilities (to withdraw from the workplace if they feel they are in danger) and their active involvement

in identifying solutions. Also key is the provision of appropriate training to ensure that employees are

competent to carry out both their duties and their responsibilities safely. A wide range of safety training

initiatives was undertaken by the various operations in 2007, and details of these may be found in the

specific operational and country reports.

Contractors form an integral part of our operations and are employed to undertake specific short-and long-

term mining and processing operations and specialist services. AngloGold Ashanti requires that

contractors must act and be treated in the same way as employees and safety and health matters are

recognised as an important part of overall contractor management process. The group’s safety policy,

procedures, standards and requirements form an integral part of procurement and contractor engagement

processes, and contractor safety and health performance is a key consideration when the company is

considering the appointment or re-appointment of contractors.

We also recognise that there is the potential for short-term conflict between the attainment of production

targets (and their reward) and risk avoidance and mitigation, particularly in respect of production bonuses.

This is an issue under investigation and consideration. In reality, however, the best performing production

teams also have the best safety records.

Fatigue management continued to be an area of focus during the year with fatigue management

programmes being implemented across the group. (See case study on Roll-out of fatigue management

programme – www.aga-reports.com/07/fatigue-SA.htm).

A wide range of leading and lagging indicators are used to monitor and manage safety and health

performance across the group. In addition to reporting performance on various parameters in line with

country-specific legislation and norms, AngloGold Ashanti reports key indicators in line with best practice

and has adopted a number of international standards and conventions. Leading indicators in particular may

often be site- and circumstance-specific.

The number of fatal accidents (34) in 2007 declined year-on-year, from the 37 that were reported last year.

The primary cause of fatal accidents was falls of ground, which accounted for 56% of all fatal accidents –

58% of these were related to seismic activity.

The Fatal Injury Frequency Rate (FIFR) was 4.5% lower year-on-year, at 0.21 per million man hours in 2007

compared with 0.22 per million man hours worked in 2006. Ten operations did not experience any

occupational fatalities (13 in 2006).

In terms of another important indicator, the Lost Time Injury Frequency Rate (LTIFR), there was again a

regression year-on-year, with the overall group LTIFR rising by 7% to 8.24 per million man hours, from

7.70 reported in 2006.

2007

2006

Argentina

Cerro Vanguardia

3.34

3.13

Australia

Sunrise Dam

2.63

1.81

Brazil

Brasil Minerãçao

2.30

2.33

Serra Grande

2.47

1.76

Ghana

Iduapriem

0.46

1.15

Obuasi

2.72

2.29

Guinea

Siguiri

0.41

0.77

Mali

Morila

0.57

1.42

Sadiola

1.11

1.02

Yatela

0.39

0.43

Namibia

Navachab

4.59

4.09

South Africa

Great Noligwa

14.46

12.21

Kopanang

13.10

15.22

Moab Khotsong

13.48

15.75

Mponeng

13.08

10.70

Savuka

25.99

19.30

Tau Lekoa

19.07

24.99

TauTona

18.14

17.09

Tanzania

Geita

0.68

0.63

USA

CC&V

2.53

0.00

Medical surveillance examinations typically take place when an employee joins the organisation, at intervals

dependent on risk (often annually), and when he or she leaves or is transferred from the organisation.

In South Africa, 51,065 occupational medical surveillance examinations were performed during 2007

(50,343 in 2006). Medical surveillance statistics from AngloGold Ashanti operations outside of South Africa

are reported in the country and in operational reports which may be found at www.aga-reports.com.

No new cases of occupational illness were reported in Brazil, Argentina, Australia or the USA. The company

has determined, however, that occupational health practices and medical surveillance, at a number of the

African operations, (at Obuasi in Ghana and Navachab in Namibia in particular) need to be improved and

this will be a goal for 2008.

NIHL occurs over a period of time following consistent exposure to high levels of noise. Our hearing

conservation programmes are underpinned by three features: engineering control, the use of hearing

protection devices and medical surveillance to detect any early loss of hearing.

In 1997, the South African operations embarked on a programme to muffle all pneumatic rockdrills and this

was completed in 2001. Next was the programme to silence all noisy fans, which was completed in 2006.

The programme is now targeting other noisy equipment and areas, such as air hoists, water jets and

Group

61,500  52,064

In October 2006, AngloGold Ashanti received a claim for compensation of damages allegedly suffered by

Mr Thembekile Mankayi, who was employed by the company at Vaal Reefs mine from 1979 to 1995, in

respect of his having allegedly contracted silicosis. AngloGold Ashanti has indicated that it intends

defending this action as South African law provides for compensation for occupational disease. The

company does recognise, however, the plight of former employees and proposes that a longer term and

co-operative solution will be of greater benefit to former mineworkers and their communities. The case was

set down for a hearing on 11 February 2008 and an initial outcome is expected in the first quarter of 2008.

The management of silica exposure within the South African operations has evolved over a number of years

and is based on a hierarchy of controls, namely, engineering, administration, information and training, and

the use of personal protective equipment. (See case study on Intensified efforts to reduce dust levels at SA

operations start to show results – www.aga-reports.com/07/dust-SA.htm) Dust measurement

methodology and its improvement are playing a significant role in guiding the company’s strategy. The fact

that cases of silicosis are still being reported in South Africa despite continued adherence by the industry

to regulation-prescribed occupational exposure limits led to the complete revision of AngloGold Ashanti’s

methodology in 2005. This was later adopted by the South African DME in its ‘Guideline for a mandatory

code of practice for airborne pollutants’.

3

In 2007, 923 employees were diagnosed with TB, a rate of 27 per 1,000 employees (2006: 31 per

1,000 employees). This is the third consecutive year in which the TB statistics have improved. The Gates

Foundation-funded Thibela programme is continuing, although it is too early to determine its impact on

reducing the TB burden. (See the case study on Thibela TB research programme under way at TauTona

and Great Noligwa in the Report to Society 2006 at www.aga-reports.com/06/thibela.htm)

Heat is an issue of concern at many operations, but particularly in South Africa and at Obuasi in Ghana.

AngloGold Ashanti has comprehensive heat stress management programmes in place in South Africa and

these have been extended to Ghana. Some of the largest refrigeration plants in the world are used to cool

the underground working environment to below 27.5°C. Temperatures above 27.5°C require a heat stress

management programme to be implemented in the mine.

Good progress has been reported with the improvement in ventilation at Obuasi following the

implementation of a new ventilation strategy and the commissioning of a large-scale refrigeration plant.

(See case study Ventilation improvements yield success at Obuasi – www.aga-reports.com/07/ventilation-

Obuasi.htm.)

As, increasingly, the focus in occupational health management has shifted towards a holistic approach,

addressing the overall health and wellness of employees, so the monitoring of medical absence, the

reasons for the departure of employees for medical reasons, and of overall health at exit have become

more important.

The overall absentee rate for employees in South Africa (for work and non-work related reasons) was 3.6%

in 2007. The company’s MAEP ensures that employees who have medical conditions resulting in their

being unable to continue in their current occupations are dealt with by a fair and transparent process. The

primary aim of the MAEP is to place employees in occupations where they may continue to work safely

and productively. In 2007:

911 employees were determined to be permanently unfit to continue work in their current occupations;

of these, 148 employees (16%) were accommodated in substantive alternative occupations and the

remainder were medically discharged; and

414 employees with early (not yet compensable) indications of occupational illnesses were evaluated

191 (46%) elected to remain in their current occupations, 51 (12%) were placed in lower-risk working

environments, and 172 (42%) chose to be medically discharged.

Emergency preparedness plans are in place at all operations. Depending on the location and remoteness

of the operations these plans may or may not involve community members.These plans are reviewed on

a regular basis.

Australia

Ghana

South Africa

Cut back in ounces at TauTona to improve safety – TauTona, AngloGold Ashanti’s mine in the West

Wits area, currently operates at approximately 3,500m below surface, making it the deepest operating

mine in the world. A review has been conducted to assess safety at this mine, with the result that the

rate of extraction per panel per month, and the total volume extracted from the shaft pillar area, have

been reduced. Positive outcomes to this new safety practice have emerged. See case study at

Separating people and risk: a new strategy for South Africa – Separating people and risk is one of

the seven pillars of AngloGold Ashanti’s safety strategy. This risk identification and classification process

examines ways to minimise the points of contact between risk and the employee. The strategy

incorporates both short- and medium- to long-term objectives, identifying areas of concern and

addressing them accordingly. See case study at www.aga-reports.com/07/emp-at-risk.htm

Roll-out of fatigue management programme – The increasing recognition of fatigue management as

a critical occupational safety and health issue has resulted in the development of fatigue management

programmes at AngloGold Ashanti’s African mines. An assessment of fatigue management that took

place at Great Noligwa and TauTona in South Africa during the course of 2007 identified major areas of

concern and determined means of effectively addressing these issues. See case study at www.aga-

Intensified efforts to reduce dust levels at the South African operations start to show results

– AngloGold Ashanti has initiated an intensive programme to reduce dust levels at the South African

underground operations. This case study explores the measures taken by AngloGold Ashanti and

expresses the company’s confidence that control measures implemented today will result in the

reduction of OLD in the future. See case study at www.aga-reports.com/07/dust-SA.htm

Radiation monitoring in South Africa – Radon gas is the most significant occupational exposure risk

associated with uranium. Three AngloGold Ashanti mines have been identified as special case mines in

that exposure could potentially exceed the NNR annual dose limit of 20mSv/a average over five years.

The company has taken extensive measures to prevent the continuation of this phenomenon. See case

The former mineworkers project and making ODMWA work: one year on – The ‘Former

mineworkers and making ODMWA work project’ has continued during 2007, although at a rather slower

pace than initially planned. The primary objective of the project is to strengthen government occupational

health services such that both former and present mineworkers are assured of accessing medical

examinations. The first two years were anticipated to be a valuable learning experience, and the project

will continue to advance in the future. See case study at www.aga.reports.com/07/ Nongoma.htm and a

AngloGold Ashanti Report to Society 2007 – Occupational safety and health

Safety and health is a primary area of concern and activity for the group, with

a great deal of focused attention having been placed on this discipline in

2007. This will continue in 2008. Key targets that have been set are:

Elimination of all fatal accidents.

20% reduction in LTIFR.

All mining operations to be substantially compliant with OHSAS18001.

By 2008, 95% of all silica exposure measurements to be below the

occupational exposure limit (OEL) of 0.1mg/m

.

By 2013, no new cases of silicosis will occur in previously unexposed

employees*.

By 2013, noise emissions of all equipment will be below 110dBA; and by

2008 no deterioration in hearing greater than 10% will occur in noise-

exposed employees*.

Further decrease in TB incidence from that of 27 per 1,000 recorded in 2007.

AngloGold Ashanti Report to Society 2007 – Occupational safety and health

up with a common solution. Headed by former Mponeng general manager, Johan Viljoen, who now heads

the Southern African operations following restructuring in late 2007, the team completely reviewed the

company’s safety and health strategy in South Africa to focus on seven key issues. (See case study – The

seven pillars – a revised safety strategy for the South African operations on page 48.)

The company has committed itself to improving safety at all its operations and particularly in South Africa

in 2008. At a meeting of more than 1,000 employee representatives, management and government in

November 2007, Mark Cutifani said:

Safety is our most important value – no business priority will be put before safety.

No employees will be required or permitted to work in an area which they or their supervisor regard as

unsafe.

Safety representatives and their committees will have the necessary responsibility, authority and support

to effectively perform their functions, including ensuring compliance with our safety and operating

standards.

Managers and supervisors will lead by demonstrating their own adherence to safe work practices and

require everyone working or visiting their respective areas to follow those agreed operating standards.

We will all follow the agreed safety standards and practices and will not take or allow shortcuts on any

safe working practice.

All employees will either fix or cause action to be taken immediately to rectify any identified significant

hazards before proceeding with any other activity.

Performance standards and training will immediately be reviewed by management, government officials

and trade union representatives to support the delivery of our most important business objective – the

delivery of a workplace free from health impairment and accidents.

He further committed the company to working with all parties – unions, employees, government, other

mining companies and stakeholders – in this endeavour, as it has become clear that no single-dimension

or single party effort will be sufficient to achieve the next major step-change in safety improvement. As part

of its efforts AngloGold Ashanti has, during the last quarter of 2007, initiated the following:

With unions and government: Meetings have been held at both an operational and national level over

and above those regular engagements within the existing tripartite structures in the mining industry,

originally established for this purpose. Meetings have been held with the president and general secretary

of the National Union of Mineworkers (NUM) as well as with other unions, and with various

representatives of the Department of Minerals and Energy (DME).

With NGOs and academia: AngloGold Ashanti will establish a Chair in Safety at the University of the

Witwatersrand (Wits), in conjunction with the Centre for Sustainability in Mining and Industry (CSMI) at

the Wits School of Mining.

With other mining companies through the Chamber of Mines: In August 2007, the Chamber of Mines

announced an industry-wide study on falls of ground and seismicity. (See case study on the Gold mining

study.htm). A Chamber of Mines committee – to be chaired by former AngloGold Ashanti CEO Bobby

Godsell - has been set up to review the matter of falls of ground and seismicity.

In the words of Cutifani, “Safety comes before production and improved safety will ultimately lead to

productivity improvements as well. It is no coincidence that our best performing crews are also our safest.

AngloGold Ashanti Report to Society 2007 – Occupational safety and health

“A second area is the need to make fundamental advancements in technology. If we want to use current

or similar mining infrastructure, then we need to remove people from those areas that we know present the

greatest potential risk, particularly stopes and near shaft pillars. The only way we are going to be able to

do that is to change radically the way we mine, probably using technology that will assist us in mining

remotely from the area of potential danger.

“Third, the issue of wellness clearly has an impact on our workforce and working places. Our workforce is

older than it has ever been, and less physically fit, with illness and fatigue a factor. Our estimate is that up

to 30% of our workforce is infected with HIV. Conventional mining tasks make for arduous work for the well

and physically fit. How much more onerous are tasks for those who are not? Fatigue, too is an area of

concern. (See case study on the roll out of fatigue management programme – www.aga-

reports.com/07/fatigue-SA.htm).

“Knowing and accepting these facts is an important driver in the development of in-stope conditions that

are more comfortable and manageable, and ensuring that the jobs that people do are less onerous and

physical demanding. Again, technology – improving ventilation, cooling systems, transport to the working

places, and lighter and more mechanical processes – will play a role.”

In conclusion, AngloGold Ashanti will focus on achieving visible and tangible results: the company and all

of its mines have put significant time, effort and money into safety interventions. What is necessary now is

for these efforts to result in change, to enable the company to meet the industry targets to which it has

agreed through the Mine Health and Safety Council Safety Summit (which requires a 20% reduction in

fatalities year-on-year between now and 2013) and to meet its obligation to employees to provide a working

environment that does not cause them harm.

“The old OESH departments (occupational environment, safety and health) have disappeared at

operational level,” says Viljoen. “The working environment is separately managed, allowing the safety and

health personnel to focus purely on safety and health.”

After an in-depth analysis process involving a number of regular workshops at corporate and operational

level (in September 2006; October 2006; February 2007; May 2007; and September 2007), and with input

from Anglo American plc as part of its group-wide safety strategy review in November 2006, the following

seven strategic safety issues have been identified:

Fatigue management

Production flexibility

Retention of skills

Development of a safety culture

The review process

Fall of ground management

Removing employees from risk in the workplace.

Sleep disturbance and sleep deprivation, and the resultant fatigue, are health risks associated with long

working hours or shift work and clearly can have negative consequences for occupational safety. In the

context of the South African mining industry, a number of aggravating factors are present (See Case Study:

Roll out of fatigue management programme - www.aga-reports.com/07/fatigue-SA.htm). Fatigue

management programmes have now been implemented at all mines in South Africa and at Obuasi mine in

Ghana, in addition to many of AngloGold Ashanti’s other mines around the world.

During 2007, Peter Simpson, an Australian expert on fatigue management, was retained to help bring an

understanding of the issue to the African underground operations. Simpson paid several visits to

underground workplaces as well as to a number of residences, and presented his findings and

recommendations to senior management teams at mine level. A comprehensive suite of training material

which focuses on understanding the causes and effects of fatigue and on appropriate management

practices has been prepared. The material – including a book and a DVD – has been distributed to all

managerial and supervisory employees at the South African operations and forms part of the induction

programme for all new employees and those returning from annual leave. In this way all employees will have

been exposed to the programme during the course of the year. Translated versions will be available for

distribution to employees in relevant occupations.

All workplaces are being analysed, through a process that began in the third quarter of 2007, in terms of

empirically-determined ‘fatigue factors’. Factors analysed include nature of work, travel distance, degree of

physical strain and workplace temperature. The analysis will be an ongoing process, as working places and

conditions change continuously as they are mined. Employees will also be individually assessed to

determine their place of residence (hostel or local community), wellness and lifestyle factors.

The concept of production flexibility denotes the presence of enough face length to ensure that sufficient

working panels are available to allow for adequate equipping and the availability of replacement panels

when required, for example if unsafe conditions are encountered.

AngloGold Ashanti Report to Society 2007 – Occupational safety and health

Other initiatives in the pipeline include a thorough overhaul of all training modules and programmes within

the company, to ensure the full integration of safety and health aspects. The project is being carried out by

AngloGold Ashanti Training and Development Services, under the direction of Viljoen and new head of

safety at the African operations, Ian Heyns. Investigations are also being conducted into ways of elevating

the role of the health and safety representatives at mine level.

An important outcome of the external review referred to earlier was the need for a common platform for

safety reviews across the company. This formed part of the rationale for the adoption of OHSAS18001 as

the health and safety standard throughout AngloGold Ashanti’s operations. (See the Report to Society

2006: From NOSA to OHSAS - a change for the group: www.aga-reports.com/06/OHSAS.htm).

OHSAS18001 gap analyses were conducted in July and August 2007, and detailed action plans compiled

as necessary, while OHSAS18001 certification audits are planned for the third quarter of 2008.

Another new development is the establishment of a specialised internal safety and health audit team,

which will carry out a comprehensive audit of all mine workplaces, to enable risks to be identified before

incidents occur.

AngloGold Ashanti Report to Society 2007 – Occupational safety and health

The five elements of this programme (design of mine layouts; support systems; the human factor; seismic

monitoring; and research and development) remain in place (See case study: Strategy to manage falls of

ground – a review at www.aga-reports.com/07/FOGM.htm.)

Seismic and gravity-related falls of ground have been separated to ensure appropriate focus.

The desired outcome under this heading is the removal, as far as possible, of employees from high-risk

areas and activities. A number of new technologies are being explored, focusing initially on the rock-

breaking, transport and processing sectors.

A steering committee has been appointed, chaired by Nigel Trevarthen (Head: Strategic Projects) to drive

the project. Ideas and suggestions are being canvassed from employees, and the committee is surveying

industry best practice. (See case study: Separating people and risk – www.aga-reports.com/07/emp-at-

risk.htm.)

We recognise that as a mining company our business entails the recovery, processing and sale of a non-

renewable resource. Thus, our direct economic impact in terms of any orebody will always be finite. It is

therefore imperative that the economic benefits which are derived from the resources that we exploit are

not limited to one particular set of stakeholders, but accrue to a broader stakeholder group in advance of,

during and after mining. The economic benefit must also be balanced against the impacts that we have on

the broader socio-economic and natural landscapes.

We also recognise that our operations – and indeed our product – are about people: employees and their

families, our neighbours, our customers and suppliers, our shareholders and other interested parties. See

The Economic Performance section of this report is based on information drawn from our Annual Financial

Statements which is published concurrently with the Report to Society. On a quarterly basis through the

year, a comprehensive review of the operational activities of the group and its individual operations is

published in the company’s quarterly reports to shareholders, which are available at

In 2007, AngloGold Ashanti produced 5.5 million ounces of gold from 20 operations in 10 countries, a

decline of 3% on gold production achieved in 2006. The table below analyses our production by region.

2007

2006

2005

Argentina

204

215

211

Australia

600

465

455

Brazil

408

339

346

Ghana

527

592

680

Guinea

280

256

246

Mali

441

537

528

Namibia

80

86

81

South Africa

2,328

2,554

2,676

Tanzania

327

308

613

USA

282

283

330

Continued strong levels of investor and speculator interest, particularly in the fourth quarter of the year,

pushed the gold price to levels just short of record highs, records which were then surpassed soon after

year end in an exceptionally buoyant market. The average spot gold price for the year, at $697 per ounce,

was 15% higher than that in 2006. The main contributing factor to the price gains seen in the third and

fourth quarters was economic uncertainty relating to credit concerns and the impact of the sub-prime

mortgage crisis in the US. Inflationary concerns driven by higher food, oil and commodity prices also played

a role, as did the escalation in geopolitical tension.

The average gold price received for the year increased by 9% to $629 per ounce, from $577 per ounce in

2006. Total gold income for 2007 was $3,280 million, total uranium income was $100 million, and total

income from silver and sulphuric acid was $45 million.

Total cash costs increased year-on-year to $357 per ounce as a result of the lower levels of production,

stronger local currencies against the US dollar and local inflationary pressures.

$ million

%

%

Gold income

3,280

2,964

(1,352)

(1,041)

Value added by operations

68

1,928

85

1,923

2

47

1

16

Profit on disposal of assets

–

7

2

54

1

24

1

31

Government

– Deferred taxation

3

94

1

30

Utilised in the group

– Retained income

26

722

10

217

Total value added

100

2,822

100

2,271

Employees

Salaries, wages and other benefits

35

998

39

887

Government

– Current taxation

9

239

9

210

Providers of capital

– Finance costs and unwinding of

obligations

4

125

6

123

– Dividends declared

2

54

8

173

– Minorities

1

32

1

30

Other

– Impairment of tangible and intangible assets

–

2

–                    6

– Loss from discontinued operations

–

–

–

2

– Exchange loss

–

–

–

2

– Loss on non-hedge derivatives and other

commodity contracts

28

780

11

239

Total value distributed

79

2,230

74

1,672

– Amortisation and depreciation

21

592

26

599

Argentina

264

Australia

313

Brazil

260

Ghana

432

Guinea

464

Mali

350

Namibia

419

South Africa

343

Tanzania

452

USA

282

In 2007, the group employed some 62,000 people, mostly in South Africa (60%). Total distributions of

$998 million were made to employees (including executive directors), which represents 35% of the value

distributed by the group. For further information on AngloGold Ashanti as an employer refer to the

Employment section of the report on page 88.

All permanent employees are eligible for certain post-retirement benefits, the specific nature of which varies

form region to region. The contribution by the employer varies from 10% to 20% of basic pay.

All employees earn in excess of the minimum wages where these are regulated.

2007

2006

Salaries, wages and other benefits

828

83%

723

82%

70

7%

70

8%

48

5%

41

5%

Retrenchment costs

19

2%

22

2%

Share-based payment expense

33

3%

31

3%

Around 68% of employees within the group benefit from the participation in a share option scheme or a

share ownership programme (ESOP). The latter is specific to South Africa; similar schemes elsewhere in

the world are being considered. (See case study in the Report to Society 2006 on Harvesting for the future

– Bokamoso_ESOP).

Argentina

Total

43,614

Brazil

Total

86,498

Australia

Total

80,553

Description

US$ (000)

Dividends

4,048

Corporate taxation/provision

–

Royalties

9,383

Other taxes and duties

–

VAT

365

Employee taxes and contributions*

1,550

Dividends***

–

Corporate taxation/provision***

–

Royalties

21,577

Other taxes and duties

914

VAT

2,901

Employee taxes and contributions*

2,662

Dividends**

35,040

Corporate taxation/provision

48,925

Royalties

15,232

Other taxes and duties

4,999

VAT 5,970

Employee taxes and contributions*

7,665

Corporate taxation/provision

6,606

Royalties

1,420

Other taxes and duties

250

VAT

2,940

Employee taxes and contributions*

1,942

Corporate taxation/provision

93,600

Royalties

–

Other taxes and duties

10,496

VAT

88,708

Employee taxes and contributions*

76,581

Corporate taxation/provision

3,038

Royalties

6,025

Other taxes and duties

26,140

VAT

5,265

Employee taxes and contributions*

7,186

USA

Total

9,086

Share code:

ANG

Security type:

Ordinary shares

Date listed:

11 August 1944

Share code:

AU

Security type:

American Depositary Shares (ADR)

Date listed:

5 August 1998

Share ratio:

1 ordinary share: 1 ADR

Share code:

AGG

Security type:

CHESS Depositary Interests (CDI)

Date listed:

15 November 1999

Share ratio:

1 ordinary share:

5 CDIs

Share code:

AGD

Security type:

Ordinary shares

Date listed:

4 February 1949

Share code:

AGA

Security type:

Ordinary shares

Date listed:

27 April 2004

Share code:

AAD

Security type:

Ghanaian Depositary Shares (GhDS)

Date listed:

27 April 2004

Share ratio:

1 ordinary share:

100 GhDSs

Share code:

VA

Security type:

Ordinary shares

Date listed:

28 May 1974

Share code:

ANG BB

Security type:

International Depositary Receipts

(IDR)

Date listed:

28 May 1974

Share ratio:

1 ordinary share:

1 IDR

The main focus of AngloGold Ashanti’s 2007 exploration programme was on greenfields exploration, that

is, exploration in new terrains, notably in Australia, Colombia, and the DRC. Brownfields exploration, which

is aimed at identifying replacement ounces for production, was undertaken around most current

operations, with the most successful programmes being undertaken in Ghana, the United States of

America, Australia, and Guinea.

Total exploration expenditure in 2007 amounted to $167 million, of which $92 million was spent on

greenfields exploration and the balance of $75 million on brownfields exploration.

The group’s exploration programme has yielded a great deal of success during the year and is covered

extensively in the Annual Financial Statements to be found at www.aga-reports.com.

With significant annual procurement expenditure, the group can and does have a major impact on economic

activity. The total amount for the purchase of goods and services in order to operate mines and produce

refined metal, including market development costs net of other income, was $1,352 million in 2007.

It is the group’s intention that, as far as it is possible and sensible to do so, goods and services are procured

locally and regionally.

In South Africa, the company is aligning its procurement policies with the Department of Trade and

Industry’s Codes of Good Practice by 2009. The code is a part of the country’s transformation process and

is aimed at encouraging new and small suppliers, particularly from historically disadvantaged communities.

The following case studies may be found on our website at www.aga-reports.com/07/case-studies.htm,

or at the specific urls indicated below.

AngloGold Ashanti’s AuDITIONS launches in China – In March 2007, AngloGold Ashanti launched

its first gold jewellery design competition in China, the world’s third biggest gold market in terms of

consumption. Partnered with the innovative pure gold jewellery retailer, Just Gold®, and the World

Gold Council, AngloGold Ashanti’s competition encouraged original and striking contemporary gold

jewellery design, thereby serving to contribute to the ongoing promotion of its product. This case study

includes an analysis of the impact of AuDITIONS on the Chinese gold jewellery market and a full

description of the competition itself. See the case study at www.aga-reports.com/07/Auditions-

Preparing for a changing BEE procurement landscape – The Broad-based Socio-economic

Empowerment Charter for the Mining Industry provides a framework for the transformation of the

industry in South Africa. Black Economic Empowerment (BEE) procurement is one of seven core areas

of activity addressed by the Charter. AngloGold Ashanti has made good progress in meeting the

requirements stipulated by the Charter and aims to continue gathering information and developing a

strategy to meet any shortfalls in 2008. See the case study at www.aga-reports.com/07/BEE-

From small beginnings: a small business developing – Trevor Mulaudzi’s rise to entrepreneurial

success is part of AngloGold Ashanti’s ongoing drive to support local initiatives. The company has

provided financial assistance during periods of rapid expansion, constant encouragement and support,

and introductions to new clients, thereby ensuring the growth of Mr Mulaudzi’s cleaning business. See

AngloGold Ashanti Report to Society 2007 – Economic performance

AngloGold Ashanti Report to Society 2007 – Economic performance

AngloGold Ashanti Report to Society 2007 – Economic performance

AngloGold Ashanti Report to Society 2007 – Ethics and governance

AngloGold Ashanti Report to Society 2007 – Ethics and governance

Developing and implementing an

employee handbook on key

compliance and governance policies.

While the various materials were

Following the strategic review and

Developing and implementing a

produced during the year, they

review of the company’s values in

supplier handbook on key

were not implemented as the

late 2007 and early 2008, the

compliance and governance policies

company has instituted a strategic

Not achieved

various compliance handbooks

applicable to them.

review, which may have an

and values documentation will be

Communication and, in particular,

impact on these documents.

revised and rolled out.

the roll-out of the values and

business principles and associated

policies to all employees.

AngloGold Ashanti Report to Society 2007 – Ethics and governance

Independent risk assurance processes are undertaken in many corporate functions, including safety and

health, environment, community relations and mineral resource management. The corporate technical

team also covers critical risk areas such as the potential for slimes dam and slip wall failure.

The Board is informed and takes account of material changes and trends in the group’s risk profile. A full

discussion on the risk management process and some of the risks that could materially affect AngloGold

Ashanti may be found on page 132 of the Annual Financial Statements or on our website at

www.aga-reports.com.

AngloGold Ashanti’s in-house legal counsel in the various jurisdictions in which the company operates work

closely with the corporate legal function in Johannesburg in ensuring that significant legal issues considered

as part of the risk management process are brought to the attention of the Audit and Corporate Governance

Board Sub-Committee, which is responsible for risk management. A register of litigation matters where

AngloGold Ashanti has a possible financial exposure is maintained and reviewed on a quarterly basis.

The following is a summary of significant legal issues during the year under review and feedback on those

reported in 2006. Note that AngloGold Ashanti defines a significant legal issue as any issue that could result

in a liability to the company of $1.5 million or higher and/or which could have an adverse effect on the

company’s reputation as assessed by the company executive.

In April 2005, AngloGold Ashanti instituted an action against various mining companies and government

ministers claiming that the mines upstream from its Vaal River operations are responsible and liable for

pumping underground water that arises at their mines. The company is pleased to report that this issue

has largely been resolved with the formation of the Margaret Water Company in 2007. (See case study on

Mr Thembekile Mankayi instituted action against AngloGold Ashanti in October 2006 in the High Court,

Witwatersrand Local Division. Mr Mankayi is claiming approximately R2.6 million ($0.4 million) for damages

allegedly suffered by him as a result of silicosis allegedly contracted whilst working on mines now owned

by AngloGold Ashanti.

AngloGold Ashanti filed the exception to the potentially precedent-setting legal action on the basis that

mine employers are insured in terms of the Occupational Diseases in Mines and Works Act (ODMWA) and

the Compensation for Occupational Injuries and Diseases Act (COIDA) against compensable diseases and

this prevents any delictual claims by employees against employers. The matter was heard in the High

Court in early February 2008 and a response is anticipated within the first quarter of 2008.

In response to the effects of silicosis in labour-sending communities, a number of mining companies

(under the auspices of the Chamber of Mines), together with the National Union of Mineworkers (NUM)

and the national and regional departments of health have embarked on a project to assist in the delivery

of compensation and relief to communities that have been affected. (See case study on the Former

www.aga-reports.com/07/Nongoma-social.htm).

Action has been instituted by a group of AngloGold Ashanti pensioners against the company for

introducing a CPIX cap to post-retirement health care contributions by the company. The company

maintains that its action is justifiable and fair given the circumstances and precedent. A summons has

been issued by the plaintiffs demanding that AngloGold Ashanti restore the level of contributions to what

pertained before the introduction of the cap. The company has excepted to the summons on the basis

of it being vague and embarrassing. The plaintiffs have amended the summons and the matter was set

down for hearing in the High Court in February 2008.

28 former expatriate employees of AngloGold Ashanti Kilo (AngloGold Ashanti DRC subsidiary) have

made claims for salary arrears, severance pay, damages and interest jointly and severally against

AngloGold Ashanti Kilo and AngloGold Ashanti Ghana, the immediate holding company. Some of these

former expatriates have instituted proceedings in the Brussels Labour Court claiming varying amounts

but these have remained pending for some time now.

AngloGold Ashanti has received a petition of ex-Contract Workers of AGC (Limited) at its Obuasi

operation in Ghana. During the last quarter of 2000, a group calling itself Ashanti Miners' Club formed

by aggrieved ex-contract workers claimed that the company had deceived them and that the company

should pay them compensation for reasons that their salaries should have been pegged to the US dollar

and that they should have been paid as permanent employees during the subsistence of their contracts

with the company. The matter was taken to arbitration with the Ministry of Manpower Development and

Employment appointing a sole arbitrator to arbitrate and make an award. The award by the arbitrator

was generally in AngloGold Ashanti's favour. The plaintiffs commenced the present action claiming that

they are dissatisfied with the findings and award of the arbitrator claiming the relief set out in their

statement of claim.

In Tanzania certain senior staff members are claiming overtime hours to the value of Tsh3.6 billion

(approximately $2,752,293). Mediation failed and the mediator recommended that the applicants should

proceed to another forum as provided for in Section 86(b) of the Employment and Labour Relations Act

No. 6 2004.

In Tanzania, Joshua Manyelo and 36 others have filed a claim in the High Court against Geita Gold

Mining Company. It is an application for filing a representative suit. According to the claimants they are

entitled to Tshs 3.8 billion in compensation but they were only paid Tshs 185,045,482.00. They are

claiming the balance of Tshs 3.6 billion. A hearing has been scheduled in February 2008.

In early 2008, AngloGold Ashanti was forced by the South African national electricity utility, Eskom, to

shut its operations during a massive, country-wide power shortage crisis. Following emergency industry

discussions with Eskom, AngloGold Ashanti’s power supply has been returned to 90% of previous and

contractual levels. AngloGold Ashanti has, as a consequence of Eskom’s inability to deliver, declared a

force majeure in respect of some of its contractual arrangements including uranium supply and a

number of contractual arrangements with contractors to the company.

There were no legal actions against the company for anti-competitive behaviour, anti-trust and monopoly

practices during the year. No significant fines were received during the year for non-compliance with laws

and regulations. Non-compliance with environmental permits resulted in a 12 day shut down of operations

at the Obuasi tailings facilities in Ghana and a number of Section 54 instructions in terms of the Mine Health

and Safety Act (see page 165) and the case study on Dealing with environmental legacies at Obuasi: an

update at www.aga-reports.com/07/obuasi-environment.htm.

We recognise that a wide range of people – employees, their families, communities and others – have an

interest in the operation of the business. While generally, these external parties are referred to as stakeholders,

we consider that these people are in fact partners in our business in that they have a material stake in whether

our operations begin, continue or close and the way in which they are affected during this process.

We have a wide variety of formal and informal structures in place to deal with our stakeholders and

business partners – see page 17 for further details – and a comprehensive but not exhaustive list of these

appears on our website at www.aga-reports/07/stakeholders.htm.

AngloGold Ashanti firmly believes in self-regulation and that industry leaders – locally and internationally –

should establish robust standards against which companies should perform and be measured. It is the

company’s experience that these standards very often become the foundation for international law and

good practice.

At an operational level the company is involved in a range of organisations and initiatives which guides its

actions. At a corporate level, we are not only members of or signatories to the following, but actively

support their aims and objectives and participate in their development and functioning:

United Nations (UN) Global

August 2004

The Global Compact provides a

The principles of the Global Compact are

Compact

(Ashanti, August 2001)

framework for businesses that are

considered by the company, and are

(www.unglobalcompact.org)

committed to aligning their operations

reported against in the Report to Society.

and strategies with 10 universally

See page 194.

accepted principles in the areas of

human rights, labour, the environment

and anti-corruption.

International Council of

Founding member

The ICMM was formed by the

AngloGold Ashanti actively participates in

Mining and Metals (ICMM)

in 2001

world’s leading mining companies

several programmes run by the ICMM,

(www.icmm.com)

to develop a leadership position in

and reports against the ICMM principles

sustainable development. ICMM

in the Report to Society.

members believe that the mining,

minerals and metals industry, acting

collectively, can best ensure its

continued access to land, capital

and markets as well as build trust

and respect by demonstrating its

ability to contribute successfully to

sustainable development.

Council for Responsible

Founding member

The Council’s aim is to promote

AngloGold Ashanti has participated in the

Jewellery Practices (CRJP)

in 2006

responsible ethical, social and

drafting of the codes of practice which are

(www.responsiblejewellery.com)

environmental practices throughout

currently being reviewed through a

the diamond and gold jewellery

consultation process.

supply chain, from mine to retail.

Communities and Small-scale

Member

CASM is a collaborative group aimed

AngloGold Ashanti holds a seat on the

Mining (CASM)

at poverty reduction by improving the

Strategic Management Advisory Group

(www.casmsite.org)

environmental, social and economic

(SMAG) of CASM. As part of the SMAG,

performance of artisanal and small-

AngloGold Ashanti participated in a discussion

scale mining in developing countries.

regarding ASM policy and regulation with the

governments of China and Mongolia. The

SMAG also plays a governance and advisory

role to CASM and as such the two groups

met twice last year.

Global Reporting

Organisational

GRI has pioneered the development

AngloGold Ashanti’s 2004, 2005 and 2006

Initiative (GRI)

Stakeholder of GRI,

of the world’s most widely used

reports were compiled in accordance with

(www.globalreporting.org)

formed in 1998

sustainability reporting framework.

GRI 2002. The 2007 report has been

The framework sets out the principles

compiled in accordance with GRI’s G3

and indicators that organisations can

guidelines.

Extractive Industries

AngloGold Ashanti

The EITI is a coalition of governments, AngloGold Ashanti will report in line with EITI

Transparency Initiative

supports the EITI,

companies, civil society groups,

in 2007 as far as this is possible (in line with

(EITF)

(formed in 2002)

investors and international

any host country legislation). See

(www.eitransparency.org)

through the ICMM.

organisations. It supports improved

reporting on payments to and from

Among the countries

governance in resource-rich countries government on pages 62 to 64.

in which AngloGold

through the verification and full

Ashanti operates,

publication of company payments

Ghana and Guinea are

and government revenues from oil,

currently candidate

gas and mining.

International Cyanide

Founding signatory to

The Cyanide Code was developed by Sunrise Dam Gold Mine in Australia received

Management Code for

the Code.

a multi-stakeholder steering committee conditional certification in line with the Code

the Manufacture, Transport,

under the guidance of the United

in March 2007 and full certification in January

and Use of Cyanide in the

Nations Environmental Program

2008. CC&V in the USA and the four Vaal

Production of Gold

(UNEP) and the then International

River (South Africa) gold plants were fully

(Cyanide Code)

Council on Metals and the Environment certified in September 2007. The Savuka

(www.cyanidecode.org)

(ICME). The code is an industry

and Mponeng gold plants (West Wits) were

voluntary programme for gold mining

conditionally certified in September 2007.

Voluntary Principles on

Developed in 2000.

The Voluntary Principles were

The company has begun the process of

Security and Human Rights

AngloGold Ashanti was

developed out of a multi-stakeholder

formulating a roll-out strategy for the

accepted as a signatory

process involving governments,

Voluntary Principles across all operations.

in May 2007.

resource companies and NGOs as

These include involving senior management

a means of helping companies in

in the Voluntary Principles as they apply to

the extractive sector to improve their

the company, developing implementation

performance in relation to security

guidelines ,and undertaking training of

risk assessment and the control of

company security personnel inside the

security operatives, and to improve

organisation. Countries which we have

include Colombia, DRC, Ghana, Guinea and

Tanzania.

A sub-committee comprising independent non-executive members of the board has been set up

specifically to deliberate on any political donations. The committee did not meet during the year and no

political donations were made. The policy will be reviewed in 2008.

AngloGold Ashanti is considering the extension of this policy to all operations. No political donations were

made by any operations within the group.

AngloGold Ashanti endeavours to do business with those companies that share its business ethics and

values.

Human rights screening is an important part of the group’s investment decisions and in reviewing

prospective contractors and business partners. As part of the full group’s implementation of the Voluntary

Principles of Human Rights and Security toolkit, this process is being formalised. The group’s policy on

Security and Human Rights (available at www.aga-reports.com/07/Humanrights-policy.htm) applies

equally to contractors as it does to the company itself. A specific module of the group’s toolkit includes a

section in the interaction between the company and private security contractors. As the toolkit is fully

implemented, in 2008, first in those areas deemed to be of a high risk, so a greater understanding of the

current status of contracts, contractors, suppliers and other business partners will be gained and further

details will be made available.

The group’s procurement and supply chain operations ensure the application of the AngloGold Ashanti

principles at two levels.

First, this is done contractually and only with accredited and approved suppliers where the supplier is

assessed for capability as well as product acceptability in terms of standard and quality. Contracts have

specific clauses in them relating to safety, health, labour and environmental issues as these are

applicable to the contract, and to the country and community in which the goods or services are being

delivered.

Second, there is a strict application of the gifts policy which ensures that no supplier receives undue

favour and that our employees do not compromise their integrity and impartiality.

Interaction with contractors and suppliers takes place formally on an annual basis, primarily in respect of

gifts and hospitality, but also in respect of the company’s values and business principles. We have a white-

collar crime unit in place that investigates suspected fraud, malpractice and unacceptable activities and a

Supplier Monitoring Committee that considers and takes action against contractors or suppliers that are

found to have breached our code of ethics.

Further work will be undertaken during 2008 in formalising these practices into policies and handbooks and

ensuring that these are generally and consistently applicable across the group. While guidelines were

developed during the year to support this effort, these have not yet been issued as the company is going

through a process of reviewing and re-establishing its business principles.

AngloGold Ashanti has a number of policies and procedures in place to ensure that employees are aware

of what is expected of them and conform as appropriate. Induction of all employees in respect of these

policies and procedures is mandatory. Policies that are in place include:

Total

30

9

39

The following case studies may be found on our website at www.aga-reports.com/07/case-studies.htm or

at the specific urls listed below.

Dealing with conflicts of interest at work – AngloGold Ashanti’s 2005 policy and guidelines on dealing

with conflicts of interest at work has become integrated into the company’s corporate governance

principles. In 2007, specific conflict of interest cases were assessed, with emphasis being placed on

ensuring that employees and other staff members become aware of potential conflicts of interest prior

to the manifestation of any actual conflict. See case study at www.aga-reports.com/07/conflict.htm.

Business continuity management: update – February 2007 saw the launch of simulation trials with

the intent of gathering and sharing information to be used in developing plans to manage and ensure

the continuity of business operations in the event of a catastrophe. The pilot project between AngloGold

Ashanti and Anglo Platinum which has since been established involves an extremely comprehensive

business continuity management (BCM) plan, designed to combat immediate, as well as long-term

crises. See case study at www.aga-reports.com/07/BCM.htm.

Progress in settlement of KOSH water issue – In 2007, a Section 21 company was formed and

registered under the name of Margaret Water Company with the express purpose of managing the

continued pumping of water from the liquidated Stilfontein Gold Mining Company, thereby assisting the

resolution of the KOSH (Klerksdorp, Orkney, Stilfontein, Hartebeesfontein) water issue. Finalisation of the

transaction between the liquidators and the Margaret Water Company is anticipated to be completed

by the end of 2008. See case study at www.aga-reports.com/07/BCM.htm.www.aga-

AngloGold Ashanti Report to Society 2007 – Employment

AngloGold Ashanti Report to Society 2007 – Employment

The following table reports on our performance against the objectives we set at the end of 2006.