Anglo American announces year end results amid company reshuffling

Anglo American announces year end results amid company reshuffling

South African mining company Anglo American Platinum Ltd (LSE:AAL) has revealed its financial results for the year ending 31 December 2016, with the firm reporting headline earnings of US$126 million.

The company also stated that underlying earnings over the year equated to $65 million, taking into account certain adjustments.

Anglo American also announced that Sir John Parker will resign from his position as chairman, along with the sale of the Union Mine in South Africa to Siyanda Resources.

Parker, chairman of the company for eight years, said: “Having seen Anglo American emerge in a strong position from the mining industry downturn, with its sharp falls in commodity prices between 2014 and 2016, I believe that the time is now right for the board to seek my successor during the course of 2017.

“The company, with its much-restored balance sheet and a world class board and management team, led by our chief executive Mark Cutifani, is well placed for the future.”

The news of Anglo American’s sale of its 85% interest in the Union Mine in Rustenburg, quickly followed the announcement of Parker’s decision to step down.

The transaction involves an initial purchase price of approximately $30 million in cash.

Siyanda will also sell concentrate produced at the mine back to Anglo American for a period of seven years, according to the terms of the deal.