Country Report Tanzania - AngloGold Ashanti

Country
Report
Tanzania
07

Tanzania
Contents
1. Message from Richard Le Sueur
2. Corporate profile
3. Business principles, mission, vision and
values
4. Geita
6. Payments to government
7. Mineral Resources and Ore Reserves
8. Occupational safety and health
11. Regional health
13. Employment
Case study: Meeting the skills shortage at
Geita
16. Environment
21. Community
Introduction
Geita, which began production in 2000, is the largest of AngloGold Ashanti’s eight
open-pit mines in Africa and is the group’s only operation in Tanzania.
Prior to April 2004, the mine was managed under the joint venture agreement
between Ashanti and AngloGold. Since the business combination between the two
companies, Geita is now a wholly owned subsidiary.
In 2007, Geita produced 327,000oz of gold, equivalent to 6% of group production.
*Throughout this report, dollar or $ refers to US dollars, unless otherwise stated.
AngloGold Ashanti – Tanzania
Geita
Lake
Tanganyika
Operations
Lake
Victoria
Mwanza
Kigoma Tabora
TANZANIA
Lake
Nyasa
Arusha
Tanga
Dodoma
0 800km
Dar es Salaam

Message from Richard Le Sueur
At Geita, we take a longer term, sustainable view of safe and efficient gold production. A key aspect of our
strategic framework is our performance in the areas of occupational health, safety, the environment and
communities (OHSEC), because we value our people, we respect our host communities and we believe
that excellence in OHSEC is essential for the sustainability of our business in the country in which we
operate. We are committed to creating value for our shareholders and stakeholders alike in an
environmentally responsible fashion.
Geita contributes substantially to community projects. The focus during 2008 will be on the completion of
certain phased infrastructure projects, including a proposal to bring a fresh water supply from Lake Victoria
to Geita town. We will embark on an ambitious malaria spraying campaign in Geita town, whereby some
15,000 residences will be treated. The target is to reduce malaria cases by 50% in the local community
over a two-year period. We run an ongoing and effective HIV/AIDS campaign in the district which includes
full sponsorship of our Moyo Wa Huruma Orphanage for 35 children, orphaned through AIDS-related family
deaths. The chief source of sponsorship for this well-established facility remains our annual Geita
Kilimanjaro Challenge to combat HIV/AIDS, which is now raising some $300,000 each year.
We are proud that we were awarded ISO 14001 certification in 2001 and have remained compliant every
subsequent year to date. We were also awarded the Presidential Environmental Excellence Award for
2005–06 and believe that we stand a very good chance of retaining the award for the period 2006-07,
although it is yet to be officially announced. The intention is to adhere to the International Cyanide Code
(ICC) and this has been enthusiastically embraced by management.
During 2007, Geita faced a number of production challenges. Exceptionally high staff turnover in a fiercely
competitive labour market, an untimely wall failure in one of the main producing open pits, as well as
specific orebody dilution challenges within an area of the Geita Hill open pit which had previously been
extracted by underground methods, all contributed to a performance that fell short of expectations.
The year 2008 will be a period of consolidation for Geita. We remain optimistic that gold production will
steadily increase as orebody capacity, mine planning and production efficiency issues are better
understood, proactively addressed and are concomitant with focused investment in certain key areas and
functions to ensure the sustainability of the operation.
The Geita Special Mining Lease area is highly prospective and the current life of mine plan will no doubt be
extended further, not only offering opportunities for our employees but for their children as well. In view of
this Geita has a large on-site training facility and has contributed $1,000,000 towards the establishment of
the Centre for Integrated Mining and Technical Training (IMTT) in the town of Moshi in northern Tanzania.
This is a joint initiative with Barrick Gold which will focus on producing the technical skills required for the
Tanzanian mining industry in the future.
Geita’s production departments conduct their business in conjunction with continuous value-adding
initiatives and similar processes are being rolled out to the support service departments as part of our
campaign to reduce and contain costs and to do business differently. Our focused training programme will
support a localisation and succession plan for senior Tanzanian personnel to replace expatriates to ensure
that there is management and skills continuity. The Geita team is well-positioned to take up the immediate
production challenges and looks forward to a prosperous future and a mine life well into the 21st century.
Richard Le Sueur
Managing Director: Geita Gold Mining Limited
31 March 2008
1

Tanzania
Operations
Corporate profile
AngloGold Ashanti is a leading producer of gold. With its headquarters
in Johannesburg, South Africa, the group has 20 operations and a
number of exploration programmes in both the established and new
gold-producing regions of the world.
In 2007, AngloGold Ashanti produced 5.5Moz of gold from its
operations – an estimated 7% of global production – making it the third
largest producer in the world. The bulk of its production came from
deep-level, underground mines (40%) and surface operations (3%) in
South Africa. Contributions from other countries were Australia (11%),
Ghana (10%), Mali (8%), Brazil (7%), Tanzania (6%), the United States
(5%), Guinea (5%), Argentina (4%) and Namibia (1%).
AngloGold Ashanti’s global exploration programme continued to
gain momentum in Colombia and the Democratic Republic of
Congo (DRC) in particular, and in Australia, Russia, China and
the Philippines. Exploration activities are carried out directly by
the group or in collaboration with exploration partners and
joint ventures.
2 AngloGold Ashanti – Tanzania
Brasil
Mineraç ~ ao
DRC
Tropicana
As at 31 December 2007, the group employed approximately
62,000 people, including contractors, had proved and probable
reserves of 73.1Moz of gold and had capital expenditure of
$1,059 million for the year.
In response to an ever-changing socio-economic environment,
AngloGold Ashanti has announced its intention to review its current
structure and asset base. It remains a values-driven company and
these values, the foremost of which is safety, and the group’s business
principles continue to guide the company, its managers and
employees, and form the basis of the company’s compact with all of
its business – shareholders, employees, communities, business
partners, governments and civil society organisations.
AngloGold Ashanti’s primary stock exchange listing is on the JSE
Limited (Johannesburg). It is also listed on the exchanges in New York,
London, Australia and Ghana as well as on Euronext Paris and Euronext
Brussels. The group had 277,457,471 ordinary shares in issue and a
market capitalisation of $11.9 billion as at 31 December 2007.

The way we do business
AngloGold Ashanti’s mission, values and business principles were developed in consultation with
employees and are reviewed as part of an ongoing process to ensure that they accurately reflect the
group’s purpose and the way in which it does business. Accordingly, there have been some changes in
the group’s mission, vision and values since the 2006 report. In line with the revision of the group’s strategy
that is currently being undertaken, it is likely that there will be further refinements during 2008 as these
statements will be reviewed in consultation with management and employees in a way which ensures that
this process is inclusive.
Mission
We create value for:
Our shareholders
Our employees
Our business partners
through the safe and responsible exploring, mining and marketing of our products.
Vision
To be a leading, innovative mining company in respect of safety, the environment, operating efficiency,
financial returns and the positive impact that we have on the communities in which we operate.
Values
People are our business. We treat each other with integrity, dignity and respect.
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
Our primary focus is gold but we will pursue
value-creating opportunities in other minerals
where we can leverage our existing assets,
skills and experience.
3

Tanzania
Contribution to attributable
group production in 2007 (%)
Geita 6%
Other Africa (excluding SA) 24%
Rest of the world 70%
4 AngloGold Ashanti – Tanzania
Geita
Background
Description: The Geita gold mine is situated 80km south-west of the town of Mwanza in the north-west
of Tanzania.
Geology: The Geita gold deposit is an Archaean mesothermal orebody, largely hosted in a banded
ironstone formation (BIF). Mineralisation is found where auriferous fluids, which are interpreted to have
moved along shears often on BIF-diorite contacts, reacted with the BIF. Some lower-grade mineralisation
can occur in the diorite as well (usually in association with BIF-hosted mineralisation). Approximately 20%
of the gold is hosted in the diorite.
Mining and processing: Geita is a multiple open-pit operation with underground potential, which is currently
serviced by a 6Mtpa carbon-in-leach (CIL) processing plant. Standard open-pit mining methods are
employed: hard overburden is drilled and blasted, hydraulic excavators are used to load waste material into
a fleet of 100t dump trucks exposing the gold-bearing ore material which is directed to the processing plant.
Economic and financial performance
Operating review: Production at Geita is gradually improving year-on-year following the serious decline in
production in 2006. This was exacerbated by the collapse of part of the Nyankanga pit sidewall during the
first quarter of 2007, which covered a portion of the higher grade orebody. Gold production increased from
308,000oz in 2006 to 327,000oz in 2007, an increase of 6%. The average grade of ore processed
increased from 1.68g/t in 2006 to 2.01g/t in 2007. The collapse of the Nyankanga pit in the first quarter
delayed access to the higher grade exposed ore in this area and resulted in the mining plan for the year
being revised. Production, and tonnage throughput in particular, was further aggravated by wet ore, mill
lubrication problems and a major shutdown of the primary crusher for planned maintenance as well as
damage to the ball mill discharge which led to reduced processing plant availability. There was a
considerable improvement in the third quarter of 2007 as Nyankanga ore was accessed. However, the
grades were not sustainable and the material was harder and, as a result, plant throughput was reduced
and gold production in the fourth quarter suffered.

Total cash costs fell by 9% to $452/oz with the increased level of production. Reduced expenditure on
equipment re-builds and contractor services also contributed to the containment of costs. Adjusted gross
profit was $6 million (2006: loss of $2 million), boosted by the increase in gold production, and the higher
gold price received for the year.
Capital expenditure for 2007 was $27 million (2006: $67 million) which was spent largely on the
replacement of heavy earthmoving equipment.
Growth prospects: At the end of 2007 advanced grade control drilling had begun at the Star & Comet
project in preparation for the start of mining in the second quarter of 2008. The adjacent Roberts project
will begin mining towards the end of 2008. Exploration activities during 2007 focused on strike additions
at Area 3 and the detection of regolith gold anomalies below laterite cover through air core drilling. Early
results suggest the potential for an approximately 1.7km zone of mineralisation on strike at Area 3 and this
will be infill drilled during 2008 to bring it into resource. The regolith programme identified a 2km gold in
saprolite anomaly that requires follow-up drilling.
Metallurgical testwork continued during 2007 to identify a processing route for refractory ores at Matandani
Kukuluma which still contain significant potential. A scoping study into the underground potential at
Nyankanga and Geita Hill began in 2007.
Outlook: Gold production for 2008 is projected to increase to between 330,000oz and 340,000oz at a
cost ranging from $605/oz to $615/oz. Mill throughput and gold recoveries will be a key area for containing
unit cash operating costs in an inflationary environment. Capital expenditure of $64 million is scheduled for
2008. Expenditure will be focused on continued equipment replacement within the mining arena as well as
other value-adding projects.
Geita
2007 2006 2005
Pay limit† (oz/t) 0.09 0.13 0.07
(g/t) 3.04 4.16 2.27
Recovered grade†† (oz/t) 0.059 0.049 0.092
(g/t) 2.01 1.68 3.14
Gold production (000oz) 327 308 613
Total cash costs ($/oz) 452 497 298
(TSh/oz) 556,448 618,571 334,040
Total production costs ($/oz) 601 595 387
(TSh/oz) 739,879 739,069 409,850
Adjusted gross profit (loss) ($ million) 6 (2) 9
(TSh million) 7,386 (2,522) 10,400
Capital expenditure ($ million) 27 67 78
(TSh million) 33,239 83,523 88,119
† The grade of a unit of ore at which the revenue from the recovered mineral content of the ore is equal to the
total cash cost including Ore Reserve development and stay-in-business capital. This grade is expressed as
an in-situ value in grams per tonne or ounces per short ton (before dilution and mineral losses).
†† The recovered mineral content per unit of ore treated.
700
600
500
400
300
200
100
80
70
60
50
40
30
20
10
0
0
500
450
400
350
300
250
200
150
100
50
0
Gold production (000oz)
Geita
613
Total cash costs ($/oz)
Geita
298
Capital expenditure ($m)
Geita
78
308
497
05 06 07
67
327
05 06 07
452
27
05 06 07
5

Tanzania
6 AngloGold Ashanti – Tanzania
Payments to government 2007
Tanzania
Corporate taxation/provision 3,038
Royalties 6,025
Other taxes and duties 26,140
VAT 5,265
Employee taxes and contributions † 7,186
Total 47,654
$ (000)
† Note that employee taxes and contributions include remittances made to government but borne by employees as
individual taxation

Mineral Resources and Ore Reserves
Ore Reserves and Mineral Resources are reported in accordance with the minimum standard described by
the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the
JORC Code, 2004 edition), and also conform to the standards set out in the South African Code for the
Reporting of Mineral Resources and Mineral Reserves (the SAMREC 2000 Code). Mineral Resources are
inclusive of the Ore Reserve component unless otherwise stated.
AngloGold Ashanti had Mineral Resources of 207.6Moz and Ore Reserves of 73.1Moz at 31 December
2007. Of these, Geita accounted for Ore Reserves of 6.5Moz and Mineral Resources of 12.5Moz.
Mineral Resources
Metric Imperial
Resource Tonnes Grade Au Tons Grade Au
As at 31 December 2007 category (000s) (g/t) (kg) (000s) (oz/t) oz (000s)
Surface Measured 6,308 1.20 7,555 6,954 0.035 243
Indicated 76,140 3.48 265,033 83,930 0.102 8,521
Inferred 13,377 2.76 36,943 14,746 0.081 1,188
Total 95,825 3.23 309,531 105,629 0.094 9,952
Underground Measured – – – – – –
Indicated 8,283 5.92 49,026 9,130 0.173 1,576
Inferred 5,182 5.56 28,810 5,712 0.162 926
Total 13,465 5.78 77,837 14,842 0.169 2,503
Total Mineral Resources Measured 6,308 1.20 7,555 6,954 0.035 243
Ore Reserves
Indicated 84,423 3.72 314,059 93,061 0.109 10,097
Inferred 18,559 3.54 65,753 20,458 0.103 2,114
Total 109,290 3.54 387,367 120,472 0.103 12,454
Metric Imperial
Reserve Tonnes Grade Au Tons Grade Au
As at 31 December 2007 category (000s) (g/t) (kg) (000s) (oz/t) oz (000s)
Surface Proved 5,621 1.01 5,701 6,196 0.030 183
Probable 62,368 3.14 195,881 68,749 0.092 6,298
Total 67,989 2.96 201,582 74,945 0.086 6,481
7

Tanzania.
0.8
0.7
0.6
0.5
0.4
0.3
0.2
0.1
0.0
LTIFR Geita
per million hours worked
0.79
585
0.63
8 AngloGold Ashanti – Tanzania
0.68
05 06 07
Occupational safety and health
AngloGold Ashanti’s foremost value relates to the safety and health of employees. It states that every
manager and employee takes responsibility for health and safety; and all strive to create workplaces that
are free from occupational injury and illness.
The group is committed to:
complying with all relevant occupational health and safety laws and, in the absence of such standards,
to adopting leading practice; and
providing a working environment that is conducive to safety and health.
Although safety and health is regarded as a prime responsibility of management (from executives down to
supervisors), AngloGold Ashanti strives for employee involvement and consults with employees to gain their
commitment.
All the necessary resources – a system of medical surveillance and the provision of protective equipment,
for example – are made available to enable compliance with the group’s safety and health principles.
Deliberate breaches in standards and procedures are not tolerated and risk assessments are conducted
to anticipate, minimise and control occupational hazards.
AngloGold Ashanti implements safety and health management systems based on internationally
recognised standards and assesses their effectiveness through periodic audits.
Performance in terms of safety and health objectives is measured and the effects of the company’s
operations monitored on a regular basis. AngloGold Ashanti communicates openly on safety and health
issues with employees and other stakeholders, and ensures that at all levels employees receive appropriate
training. Contractors are required to comply with the group’s safety and health principles.
AngloGold Ashanti is progressing with the implementation of Occupational Health and Safety Assessment
Series (OHSAS) 18001 at its operations worldwide. The series provides both a framework for identifying
business risks associated with safety and health, and guidelines for implementation and achieving
certification. The series has international acceptability which facilitates benchmarking.
Managing safety and health
No fatalities were reported at Geita during 2007 but the Lost Time Injury Frequency Rate (LTIFR)
deteriorated slightly, from 0.63 per million hours worked in 2006 to 0.68 in 2007.
The mine falls under the Mining Act of 1998 and Regulations of 1999, and the Health and Safety Act of
2003. There were no incidents of non-compliance in 2007. Geita received OHSAS 18001 accreditation in
October 2007 from external auditor SGS South Africa. The mine’s Safety and Health Policy is in line with
the standards and procedures of this system.
There are dedicated medical and safety departments, each headed by a manager, but safety and health
matters are regarded as everyone’s responsibility. Each department has its own health and safety
representatives (one for every 50 employees) and these representatives, who include contractors,
undertake monthly inspections in their area of responsibility. The representatives meet every second week
to discuss incidents, inspection results and other matters. They get involved in setting standards, the
writing of procedures, risk assessments, undertake inspections and participate in all internal and external
audits. The representatives spend one day a month being trained in health and safety. This is either
provided by the mine’s Training Department or by the African Medical and Research Fund (AMREF). Each
department and contractor company also has dedicated peer health educators (PHE) who inform their
colleagues about health issues such as HIV and malaria. Geita currently has 60 PHEs.

Geita communicates about safety and health through toolbox talks, meetings and the managing director’s
quarterly safety presentation, as well as through noticeboards. Employees receive training in first aid and
defensive driving, and participate in cyanide evacuation drills.
Risk assessments
Risk assessments undertaken during the year identified 22 high risks at the site, including high wall failure,
geotechnical failure, maintenance of the tailings storage facility, mixing chemicals and the maintenance of
the top of the CIL tank. In order to reduce these risks, an objective and a target have been set for each
risk identified.
Medical surveillance
Every new employee undergoes a pre-employment examination and all employees are given periodic
examinations. Medical examinations are also performed on employees who are being transferred to other
operations and on those who are retiring or resigning from the company. In 2007, 950 pre-employment,
1,170 periodic and 485 exit medical examinations were carried out.
Geita has its own on-mine medical facilities for employees, contractors and dependants. Overseen by the
mine’s medical services manager, the facility employs four doctors, a full-time radiographer, two laboratory
technicians, a pharmacy technician, an occupational health officer and a team of primary health care
nurses. The clinic is equipped with two four-bed wards, a digital radiology unit, a laboratory, a wellequipped
resuscitation room and a small pharmacy. Occupational health examinations such as visual
acuity, spirometry, audiometry and chest X-rays are performed. The doctors conduct physical medical
examinations and, once satisfied, will issue a certificate of fitness to an employee. The high standard of
care at Geita clinic assists in the prevention of occupational health diseases. It also provides early diagnosis
and treatment of work-related injuries and illnesses for employees.
9

Tanzania
10 AngloGold Ashanti – Tanzania
Preparing for emergencies
An emergency team is being trained at Geita with drills being carried out every month. The operation is
working with the Chamber of Mines in Tanzania to establish standards for emergency procedures to be
followed at mines throughout the country. There is a qualified paramedic on site.
Challenges
The major safety challenges at Geita in 2007 were fatigue management, light vehicle accidents,
preparations for the implementation of OHSAS 18001, and trying to change safety behaviour through
training.
An important breakthrough in terms of dealing with fatigue was the introduction of a fourth shift thus
decreasing the number of hours worked. The introduction of a traffic section on the mine and speed
trapping has seen a reduction in the number of light vehicle accidents compared with previous years.
The use of personal protective equipment (PPE), especially with respect to hearing and exposure to
radiation, is a challenge at Geita. Goals for 2008 include the drawing up of PPE specifications for the entire
mine and measuring sound levels in noisy areas on a regular basis. Surveys will be carried out on noise,
dust and ergonomics, and there will be a stepping up of HIV/AIDS awareness programmes for all
employees.

Regional health
Inherent in AngloGold Ashanti’s core values and business is a commitment on the part of the group as an
employer to ease the burden for employees in the face of debilitating regional health threats and to ensure
that the resulting impact on the group is addressed. Furthermore, AngloGold Ashanti is committed to
prompt and supportive action in response to any major health threats in the regions in which it operates.
The major public health threats facing the company’s operations in Africa are malaria and HIV/AIDS.
Malaria
Malaria remains an area of concern for Geita as it is for the operations in Ghana, Guinea and Mali. Not only
does the disease result in death, illness and absenteeism among employees, but the disease is a major
cause of death in young children and pregnant women, and this obviously has an impact on employees’
families and communities.
At Geita the medical service manager works with a malaria steering committee comprising the local
government malaria co-ordinator and representatives of AMREF to manage the disease. There is regular
contact with the Tanzanian National Malaria Control Programme (TNMCP). Malaria-related data is collected
on a weekly basis.
During 2007, 3,212 cases of malaria were diagnosed among employees and contractors at Geita
(2006: 3,399). The Malaria Incidence Frequency Rate (MIFR) averaged 298 per month in comparison with
308 in 2006. The MIFR allows for a comparison with the conventional LTIFR. Production days lost through
malaria amounted to 512 (2006: 1,245) – at an average of 43 days per month (2006: 104). These indicators
clearly demonstrate the negative impact malaria has on productivity and health in the Geita workforce.
Key elements of the Malaria Control Programme are depicted in the diagram below:
IEC and health promotion
Information on
cause of malaria,
how transmission
occurs, mosquito
biology, personal
protection and use
of ITNs
Laboratory
Vector control
Mosquito Identification
Insecticide susceptibility test
Mosquito colony maintenance
Surveilance and monitoring
Vectors – insecticide resistance
Parasites – drug resistance
MSI – malaria information
(data recording and report
production)
Field
House spraying
House screening
ITNs
Bio-assays
Disease management
Diagnosis
Treatment
An integrated Malaria Control Programme was drawn up for Geita (the mine concession area as well as the
town) in 2006 with the assistance of the AngloGold Ashanti malaria co-ordinator and in consultation with
11

Tanzania
12 AngloGold Ashanti – Tanzania
TNMCP. Implementation started in 2007 with the issue of 2,822 insecticide-treated bed nets (ITNs) to all
employees and the members of their families and the running of a pilot indoor residual spraying (IRS) project
which concentrated on the spraying of houses in Mchauru (the mine village) and offices and vehicles (buses
and trucks) in use at night. The control programme emphasises the importance of information and
education in combating malaria and peer educators (supported by AMREF) inform employees and their
dependants about the prevention of the disease. Extensive use is also made of leaflets and posters.
A malaria survey is currently under way at the mine which is being carried out by AMREF and funded by
Geita mine. The intention is to evaluate people’s knowledge of, and attitude to, the use of ITNs and to
ascertain perceptions about the sources of, protection against and treatment of malaria from communities
in the vicinity of the town of Geita. Follow-ups will be carried out later to assess whether ITNs have had a
positive impact on reducing the incidence of malaria and the number of deaths caused by the disease.
During 2007, a total of $80,000 was budgeted by the mine for controlling malaria.
The IRS will be extended to the town of Geita in 2008 and this is expected to have a marked effect on
reducing the number of malaria cases. Insecticide resistance studies are also planned.
HIV/AIDS
The HIV prevalence in Tanzania is estimated to be 7% (2008 Report: Tanzanian Commission for AIDS,
TACAIDS). In the Mwanza region, where the mine is situated, the HIV prevalence is estimated to be 15%
to 20% (2006: TACAIDS).
The operation has contracted AMREF to provide a comprehensive HIV/AIDS programme and the relevant
technical support. The project has a steering committee comprising representatives from the mine, AMREF,
the Mwanza Intervention Trial Unit (MITU), the National Institute for Medical Research (NIMR) and the
Ministry of Health. Activities are conducted on the mine site and in the surrounding communities.
Statistics gathered at the AMREF Voluntary Counselling and Testing (VCT) Centre in the town of Geita
indicate that the overall HIV prevalence among attendees is 7%. A breakdown shows that the prevalence
level for women is 19% and for men, 9%. A total of 2,639 HIV tests were conducted in 2007 (2006: 2,283).
Of those who attended VCT, 292 (2006:123) were mineworkers and 3% tested positive for HIV. Four
employees died from AIDS-related illness during the year. During a mobile VCT campaign at the mine
during November 2007, 395 employees were tested and 4% tested positive for HIV. Quarterly mobile
campaigns are planned for 2008.
AMREF’s budget for 2007 was $144,207, which covered education campaigns, the provision of sexual
health services, HIV test kits, and care and support for those infected with HIV.
Peer health educators at the mine conducted 135 formal sessions during the year and reached
4,007 people; an additional 882 people were reached informally. The educators are supported in their
activities through training and monthly meetings.
During 2007, a number of awareness workshops were conducted for employees and contractors on
HIV/AIDS and other health issues. More than 7,520 leaflets were distributed around Geita and from the
AMREF VCT Centre. Posters advertising the benefits of people knowing their status were also placed
around the mine.
Currently at Geita, 22 people are receiving anti-retroviral therapy (ART) from Geita District Hospital.

The Post-test Club is a group of HIV positive and negative members who have been trained by AMREF to
operate a home-based care programme. The members of the group regularly visit patients in the
community to provide simple medicines and education on care, and to discuss referrals.
The annual Geita Kilimanjaro Climb attracted 50 people in 2007 and $160,000 was raised for HIV/AIDS
projects in Tanzania.
Employment
One of AngloGold Ashanti’s core business principles is that employees are provided with opportunities to
develop their skills while sharing risks and rewards in workplaces that promote innovation, teamwork and
freedom with accountability. The group embraces cultural diversity.
AngloGold Ashanti is committed to upholding the Fundamental Rights Conventions of the International
Labour Organization (ILO), ensuring the implementation of fair employment practices by prohibiting forced,
compulsory or child labour. It is also committed to creating workplaces that are free of harassment and
unfair discrimination.
The group seeks to understand the different cultural dynamics in host communities and adapts work
practices to accommodate this where possible.
All employees are given the opportunity to participate in training that will improve their workplace
competency. AngloGold Ashanti is committed to developing motivated, competent and experienced teams
of employees through appropriate recruitment, retention and development initiatives. Emphasis is placed
on the identification of potential talent, mentoring and personal development planning.
Remuneration systems reward individual and team effort in a meaningful way. AngloGold Ashanti works
with stakeholders to ensure minimum standards for company-provided accommodation; ensures access
to affordable health care for employees and, where possible, for their families; and is committed to prompt
and supportive action in response to any major health threats in the regions where the group operates.
Policies, agreements and labour relations
A fourth shift was introduced at Geita during 2007 to make the operation compliant with new labour
legislation – the Employment and Labour Relations Act, 2004 and the Employment and Labour Relations
(Code of Good Practice) Rules, 2007 – in Tanzania. The declaration of a minimum wage for the mining
sector will have cost implications for the operation. Although stricter overtime contracts and shift rosters
will be drawn up to minimise these, employee numbers will have to be carefully scrutinised in 2008.
A Code of Conduct and Access Agreement (effectively a recognition agreement) between the Tanzania
Mines and Construction Workers’ Union (Tamico) and the mine has been in force since June 2003. Only
3% of the workforce belongs to this union and there is no collective bargaining agreement in place.
Employees are represented through the Junior Staff Council and the Senior Staff Forum. Meetings of these
bodies provide the opportunity for consultations and discussions. In addition, there is a monthly safety
meeting. As required, ad hoc meetings are also convened to discuss important issues as they arise.
There are policies at the operation to deal with harassment and there is a well-established grievance
procedure. Employees are made aware of this during the induction process and through departmental
meetings. The principle of equal opportunity is fundamental to all Geita’s human resources practices.
13

Tanzania
Employees and contractors
at Tanzania 2007
Employees 71%
Contractors 29%
Employees and contractors in Tanzania
14 AngloGold Ashanti – Tanzania
Managing human resources
The human resources manager has overall responsibility for the human resources function at Geita,
with superintendents in charge of four areas: staffing, systems and administration, industrial relations
and training.
Legislation in Tanzania governs the recruitment of expatriate employees and promotes the localisation of
the workforce. The national target that has been set is that the expatriate complement at any operation
should not exceed 5%. It is standard practice for AngloGold Ashanti to employ indigenous people rather
than expatriate employees at all its operations wherever this is possible and, since 2006, there has been a
great focus at Geita on upgrading and aligning the skills of nationals to meet the requirements of the
business. In 2007 the expatriate component of the total workforce decreased to 5.19% from 6.5% in 2006
which means that Geita is on track to meet the government’s stipulation of 5% during 2008. (For further
details see case study in the 2006 country report, Localisation in Tanzania.)
Training and development
Training at Geita falls into the following categories (with examples of each given in brackets): skills (for the
operators of heavy mobile equipment; engineering); competency development (training of apprentices,
coaching and mentoring, supervisory development and so forth); generic training (induction, first-aid, safety
training); and managerial development (people studying for the Management Development Programme at
a tertiary institution). During 2007, when more than 100,000 hours of training were recorded, the mine
spent $2.1 million on training. (See case study below: Meeting the skills shortage at Geita.)
Study assistance programmes for employees and non-employees are provided across the AngloGold
Ashanti group. In 2007 Geita supported three bursary candidates at a cost of $30,600.
The performance of all employees is reviewed on an annual basis and there are succession development
programmes in place at the mine.
Employee benefits
A full medical service is provided for employees and their dependants (a spouse and up to four children
below the age of 18 years) at an on-site mine clinic and through local health care structures. In 2007 the
costs associated with this service amounted to $420,370. The mine also supports the upgrading of the
facilities at Geita District Hospital and offers technical support to its staff.
A housing loan scheme (for home ownership) is available for senior employees at Geita. Since 2005,
50 employees have taken advantage of this benefit. Other employees receive a housing allowance.
2007 2006
Operation Employees Contractors Total Employees Contractors Total
Geita 2,304 922 3,226 2,043 1,177 3,220

Case study
Meeting the skills shortage at Geita
The gold mining industry in Tanzania is faced with a critical shortage
of skills, particularly at artisan and technician level. Training and
Development Manager Chris Britz comments: “A number of schemes
for artisan training have been established in Tanzania over the years,
but none of them equips their trainees with the full range of skills
needed by the country’s emerging large-scale mining industry.”
This shortage of appropriate skills led to the establishment of the
Geita Gold Mine Engineering Training Centre in 2003.
Initially, the focus was on supplementing the training of nationally
qualified artisans to enable them to meet the mine’s skills
requirements. The success of this artisan upliftment programme led
to the decision, in 2004, to provide full-time apprentice training, and
eight trainees – in the fitting, electrical, plating and welding trades –
were recruited.
The scope of the training centre has expanded steadily over the
years. Local trainers, to handle the practical skills training
component of the programme, were trained by expatriate artisans
assigned to the training department, and through completing a
three-month course at AngloGold Ashanti’s engineering training
facilities in South Africa.
The centre has been upgraded and refurbished, and a second
intake of eight apprentices (expected to qualify in 2008) embarked
on their training during 2005.
During 2006, the centre’s curriculum was expanded to include
diesel mechanic and auto electrician training.
The eight apprentices who made up the first intake all
successfully completed their training during 2007, becoming fully
qualified artisans and meeting the skills requirements of the
mining industry.
The group initially sat for their trade tests at the mine in May 2007,
under the supervision of three trade test assessors from the
AngloGold Ashanti Vaal River Engineering Training Centre. “This
supervision ensured that these trade tests met the standards
applied by AngloGold Ashanti in South Africa. After a rigorous twoday
test, only two candidates were found not to be fully competent,”
recalls Britz. “After further training, they were sent to Vaal River in
July and passed with flying colours.”
During their apprenticeship, the group receives a balance of
theoretical and practical education. Enrolment at the
WestCol technical college in Carletonville, near AngloGold
Ashanti’s West Wits operations, enables them to study technical
subjects by correspondence, while local trainers continue to
handle the practical skills training. Expatriate artisans who have
completed the same technical subjects continue to be used as
subject tutors.
All eight of the qualified apprentices have been employed at Geita
as artisans. “The two top performers have been enrolled full time
with the WestCol technical college for further study,” says Britz.
“Depending on their performance, the plan is to appoint them as
in-service bursars, studying towards a tertiary qualification, with
appointment as engineering management trainees being the
ultimate objective.”
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16 AngloGold Ashanti – Tanzania
Environment
AngloGold Ashanti is committed to working in an environmentally responsible way, recognising that the
long-term sustainability of its business is dependent upon good stewardship in both the protection of the
environment and the efficient management of the exploration and extraction of mineral resources. The
group complies with all applicable environmental laws, regulations and requirements.
Committed to establishing and maintaining management systems to identify, monitor and control the
environmental aspects of its activities, AngloGold Ashanti conducts audits to evaluate the effectiveness of
these systems and makes sure it has the financial resources available to meet its reclamation and
environmental obligations. The group works continually to improve its environmental performance and to
prevent pollution from its operations.
AngloGold Ashanti ensures that its employees and contractors are aware of its environmental policy and
communicates and consults with interested and affected parties on the environmental aspects of its
activities, and participates in debate on environmental matters at international, national and local levels.
The group environmental policy guides broad practice while site-specific policies, which are required to be
consistent with group policy, direct and regulate each operation in accordance with local conditions,
requirements and regulations.
All AngloGold Ashanti operations have ISO 14001-based Environmental Management Systems in place.
This formal, rigorous system is comparable across regions in terms of management approach and is a
valuable resource at both company and group levels. AngloGold Ashanti is committed to maintaining
conformance with ISO 14001 at all of its operations and to external auditing and certification against
this standard.

AngloGold Ashanti was party to the development of the International Cyanide Management Code for the
Manufacture, Transport and Use of Cyanide in the Production of Gold and was one of the first signatories
to the code in November 2005. It is committed to having all of its operations audited by an independent
third party to demonstrate compliance.
In December 2007, CEO Mark Cutifani set a short- to medium-term target for the group of reducing energy
consumption by 15% per ounce of gold produced and a medium- to longer-term target of reducing
greenhouse gas emissions by 30% per ounce produced. (See case study in the Report to Society 2007:
AngloGold Ashanti and climate change.)
Laws, regulations and requirements
In addition to the Mining Act 1998 and Mining Regulations 1999, Geita falls under the National
Environmental Management of 2004, the Consumer and Industrial Chemicals Act 2003 and the Atomic
Energy Act 2003. There were no significant areas of non-compliance recorded by the mine during 2007.
Environmental management
Environmental management at Geita is in line with ISO 14001:2004 standards. Certification was first
achieved in November 2001 and has been maintained since then. The most recent audit was conducted
by DLIQ Golder Associates in June 2007 and certification is valid for three years.
The mine is partially compliant with the International Cyanide Management Code but plans to be fully
compliant at the end of the next audit which is scheduled for February 2008.
Awareness and education
To ensure that prospective employees and contractors are aware of their environmental responsibilities,
they are required to complete a site-wide environmental induction and pass a test. Anyone who fails twice
is not employed. The programme, which advocates environmental stewardship, provides information on
the immediate environment and explains what the mine has in place to protect and monitor it.
Geita’s environmental officers are trained in:
microbiological and other laboratory techniques;
meteorological monitoring;
water quality sampling, including preservation techniques;
hydrology monitoring and instrumentation installation;
waste management practices, including landfill cell construction;
dust monitoring and analysis;
herbarium and seed collection methods;
environmental inspections;
hazardous materials management and disposal;
emergency response;
data management; and
specialist areas such as acid drainage, reagent handling and cyanide management.
Engaging with stakeholders and the community
The mine has regular contact, both formal and informal, with a number of national government
departments, including the Ministry of Energy and Minerals, the Ministry of Environment and the Ministry of
Water; the Geita District Authority; the Mwanza Regional Authority; and the Chamber of Mines of Tanzania.
The primary issues discussed during 2007 were taxes and fees, on-site water management, and
compensation in respect of trees felled in the process of land clearing for mining and exploration. Also on
17

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18 AngloGold Ashanti – Tanzania
the agenda was the presence of wild animals, particularly baboons and vervet monkeys, from the Forest
Reserve in residential areas. These have recently increased in number and discussions are being held with
wildlife officers on ways of controlling and managing the problem.
Frequent meetings are held with residents of the surrounding villages and leaders have been issued with
identification cards for easy access to the mine. Geita also has a programme of mine tours in place for
community members. These are tailored to accommodate different interests.
Environmental incident reporting
There is an environmental incident reporting process in place at Getia. When an environmental incident
occurs, an oil spill for example, it is reported and a form is filled out. All significant incidents are reported to
corporate office within 24 hours.
One significant incident occurred at Geita in 2007 when, on 26 June, 19 cattle died as a result of drinking
cyanide-bearing solution from the tailings storage facility (TSF). Portions of the fence had been stolen and
the cattle had strayed through a breach. On investigation, it was found that a pool, with an average weak
acid dissociable (WAD) cyanide level of 137ppm, had formed on the north-eastern corner of the 250ha TSF
as a result of the irregular topography of the surface. This had impeded the flow of the cyanide-bearing
solution into the decant pond. The WAD levels in this pond are generally below 20ppm. As soon as it was
feasible to do so, the surface topography of the TSF was remediated, the fence was mended and 24-hour
surveillance of the TSF was instituted. Despite attempts by the company to find the owner of the cattle, the
person concerned has not been traced.
Risk management and auditing
Risk management is an integral part of environmental management at Geita. A set of hazard identification
and risk assessment guidelines have been developed to enable employees to recognise and assess risks
as well as to implement effective measures to control risks.

Among the environmental risks identified during 2007 were the disposal of used oil and the offloading of
diesel. The first is being addressed by having used oil collected and recycled at approved facilities; the
second by regular monitoring and the controlling of fuelling and offloading.
Apart from the ISO 14001 audit mentioned above, there was an audit of the water user permit. In addition
to these external audits, there were internal audits of the operation’s management systems and the TSF.
Rehabilitation and closure
Geita’s mine closure plan has been prepared according to the requirements of the Tanzanian Mining Act
(1998) and Regulations (1999).
Waste rock dumps are being progressively rehabilitated in order to stablise the slopes and allow vegetation
to grow. To achieve this, the slopes are being re-contoured to an angle of between 18º and 20º and a
30cm-thick layer of topsoil is being used. The dumps with high potential for acid generation are capped
with oxide materials before the topsoil is applied.
Pits will be closed once the ore is exhausted. Barriers, 2.5m high, will be constructed around each pit to
reduce the risk of people and animals gaining access. Topsoil will be added to all the haul roads and
trees planted.
Rehabilitation of the TSF and the decommissioning of the plant will start once gold processing stops. The
TSF walls will be clad with a combination of calcrete and waste rock as well as material to promote the
growth of natural vegetation. The surface will be capped with 1cm of non-acid generating waste material,
followed by topsoil and vegetation.
One of the challenges that Geita faces with its closure process is the limited availability of topsoil. This is
being addressed by the careful use of available topsoil and the start of trials that use subsoil and selfvegetation
in areas that have only been disturbed superficially.
Geita manages 17,509ha of land of which 392.95 has been rehabilitated to date.
Current estimated liabilities at Geita are $47.5 million, $23 million for rehabilitation and $24.4 million for
decommissioning. These will be provided for by the company over the life of mine.
Resource usage
The only source of energy on site at Geita is a generator plant which has been converted from using diesel
to heavy fuel oil to make it more energy efficient. All the other machinery, equipment and vehicles use diesel.
The mine has a plan to replace diesel with hydroelectrical power which is being discussed with the power
supply company TANESCO. An environmental impact assessment team has already visited the site.
Lake Victoria is the main source of fresh water for Geita which is situated at the headwaters of the Mtakuja
River. This river drains into Lake Victoria some 20km north-west of the plant site. The other source of water
is the Nyankanga Dam, which was constructed in the mining area and receives water from upstream.
Water from Lake Victoria is either directed to the process plant or to the dam.
No ecosystems or habitats are affected by the usage of water at Geita and no water is discharged into the
environment. Water from the TSF is recycled as it is pumped back to the process plant. Water from the
washing bay is directed to the evaporation pond and recycled for washing purposes.
19

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3,500
3,000
2,500
2,000
1,500
1,000
500
0
4,500
4,000
3,500
3,000
2,500
2,000
1,500
1,000
500
0
3,500
3,000
2,500
2,000
1,500
1,000
500
0
Cyanide usage (000kg)
2,497
2,320
3,098
2,255
2,258
05 06 07
4,269
Water usage (000m 3 )
05 06 07
1,900
2,320
2,349
2,255
2,670
Energy usage (000GJ)
2,320
3,277
2,255
3,352
05 06 07
20 AngloGold Ashanti – Tanzania
Water recycling
2007 2006
Volume of water recycled – KL 2,224,055 3,737,011
As a percentage of total water withdrawn 229.85 91.73
Expenditure on environmental protection
Geita spent $191,821 on environmental protection during 2007. This includes the costs of waste disposal,
rehabilitation and monitoring as well as consultation fees.
The mine is working to minimise the amount of land cleared for mining-related purposes. The Geita Forest
Reserve area that falls within the mining lease is regularly patrolled by the mine’s security guards in
conjunction with the forest officers to stop illegal timber logging and charcoal-making activities. During
2006, activities in the portion of the reserve managed by the mine were reduced to a minimum making this
the only part where the forest is thriving.
Biodiversity
Only species of flora indigenous to the area are used in Geita’s rehabilitation programmes and the mine has
an on-site herbarium where all specimens collected are stored. Identification of species is carried out on
site and verification is done in collaboration with institutions such as the University of Dar es Salaam, Kew
Gardens in the United Kingdom and the Royal Botanical Gardens at Adelaide in Australia. The range of
plants available is being increased through research into viability and the use of different propagation
methods.
Tilapia, a type of fish found in Lake Victoria, has been threatened by the feeding behaviour of the Nile Perch
and the volume of fishing activities. The mine has responded by establishing a Tilapia conservation
programme in the Nyankanga Dam.
Geita – environmental statistics
Usage Efficiency †
2007 2006 2007 2006
Cyanide usage (kg) 2,258,000 2 3,098,000 1 10.06 6.91
Fresh water usage (m 3 ) 2,670,066 2,348,666 7.63 8.17
Energy usage (GJ) 3,351,884 3,276,803 10.64 10.25
GHG emissions ††
(tonnes of CO2e) 252,834 246,884 0.80 0.77
† Efficiency calculated as follows:
cyanide usage per ounce of production (kg/oz);
water usage per ounce of production (m3 /oz);
energy usage per ounce of production (GJ/oz); and
CO2e/oz. ††Calculated from direct and indirect fossil fuel usage plus emissions of ozone-depleting substances and utilising WRI-
WBCSD GHG Protocol Initiative default data, or where available, supplier emission factors.
1 Correction to the value previously reported for 2006.
2 Decrease attributed to metallurgical factors and lower tonnages treated.

Community
One of AngloGold Ashanti’s values relates to the communities in which the company does business. This
states that: ‘We strive to form partnerships with host communities, sharing their environments, traditions
and values. We want communities to be better off for AngloGold Ashanti having been there. We are
committed to working in an environmentally responsible way.’
With respect to communities, the company subscribes to the business principles summarised below.
AngloGold Ashanti:
aims to have a positive impact on the people, cultures and communities in which it operates. The group
will be respectful of local and indigenous people, their values, traditions, culture and the environment;
will strive to ensure that surrounding communities are informed timeously of, and where possible are
involved in, developments that affect them, throughout the life cycle of the group’s operations;
will undertake social investment initiatives in the areas of need where the group can make a practical
and meaningful contribution, in particular to those areas of education and health care relevant to
AngloGold Ashanti’s business activities, and those most likely to be sustainable after operations have
closed;
encourages its employees to make themselves available for participatory and leadership roles in the
community;
will seek to acquire and use land in a way that promotes the broadest possible consensus among
interested people. Where involuntary resettlement is unavoidable, the group will abide by appropriate
guidelines for resettlement, where they exist, and will work with the local communities to develop
workable plans for any resettlement; and
will strive to contribute to the sustainable economic development of host communities through
procurement activities; the contribution of redundant assets to the community; assistance in the
establishment and growth of small- to medium-sized sustainable enterprises; and the outsourcing of
goods and services to local vendors where appropriate.
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22 AngloGold Ashanti – Tanzania
At a corporate level, a community relations team develops group policy in respect of community-related
issues as well as tools and processes to assist the operations in acting in accordance with AngloGold
Ashanti’s business principles and policies. This team has also been responsible for the development of
central planning support and reporting systems, particularly with regard to Stakeholder Engagement Action
Plans (SEAPs) and Integrated Development Action Plans (IDAPs), which form the backbone of the group’s
engagement efforts.
Over the coming year the web-based management system will continue to be rolled out to all operations
via a series of workshops and operational visits. The priority remains the full implementation of the two core
modules of the system, namely the SEAP and the IDAP. A supporting module on Resettlement and
Compensation Practices, including cultural heritage and sacred sites, will be finalised for implementation in
2008. A Human Rights and Security module to bring AngloGold Ashanti in line with the Voluntary Principles
on Security and Human Rights (see box) was completed during 2007 and will be implemented in 2008.
Voluntary Principles on security and human rights
The Voluntary Principles were developed out of a multi-stakeholder process involving governments,
resource companies and non-governmental organisations (NGOs) in late 2000. They were drawn up
with the objective of helping companies in the extractive sector to improve their performance in
relation to security risk assessment and the control of security operatives, and to improve relations
with communities over security issues. Accordingly, they focus on three main areas:
risk assessment;
interactions between companies and public security; and
interactions between companies and private security.
Also at a corporate level, AngloGold Ashanti engages with international advocacy and voluntary bodies,
such as the International Council for Mining and Metals (ICMM) and the International Organization for
Standardization, to develop standards and best practice. The group is also supportive of and has
participated in discussions and programmes initiated by the Council for Responsible Jewellery Practice, the
World Gold Council, the Initiative for Responsible Mining Assurance, and the Communities and Small-scale
Mining (CASM) initiative.
International standards for social responsibility
The International Organization for Standardization (ISO) has launched the development of an
international standard providing guidelines for social responsibility. The guidance standard will be
published in 2010 as ISO 26000 and its use will be voluntary. It will not include requirements and will
thus not be a certification standard.
The ISO is looking for a middle way that promotes respect and responsibility based on known
reference documents without stifling creativity and development. Its aim is to encourage voluntary
commitment to social responsibility that will lead to common guidance on concepts, definitions and
methods of evaluation.
Industry, government, labour, consumers, NGOs and other stakeholder groups are participating in the
social responsibility working group to develop ISO 26000. Joint leadership is being provided by the
Swedish Standards Institute (SIS) and the Brazilian Association of Technical Standards (ABNT).
Alan Fine, the group’s Public Affairs Manager, represents South African industry at this forum.

AngloGold Ashanti is committed to engaging with NGOs and other stakeholders on issues of mutual
concern. The over-arching strategy is to develop relationships based on a mutual recognition of each
other’s legitimate right to operate.
Managing community relations
The Community Relations and Sustainable Development (CRSD) Department at Geita mine takes overall
responsibility for the management of community relations and social development.
Geita’s values on social investment and community development are based on those of AngloGold Ashanti
and these are communicated to employees during induction as well as during training courses. Policies
and comprehensive programmes are being developed by the CRSD Department. Consultants are playing
a part in this process.
Engaging with stakeholders
Geita has started to review its stakeholder engagement strategies and policies with the objective of setting
up formal consultative forums for different groups of stakeholders. The operation worked with the Geita
District Administration to re-establish the District Consultative Committee in October 2007. This body has
been in existence since 2001 but has been inactive. It comprises representatives from the mine, the District
Commissioner’s Office, the District Council, the Resident Mines Office and the District Lands Office, and it
has been agreed that it will meet on a quarterly basis. Geita also anticipates facilitating and encouraging
consultative platforms at village level.
Matters discussed with the Geita District Council in 2007 included the joint valuation of properties, issues
of compensation and resettlement, and the planning and implementation of social development projects.
Quarterly and ad hoc meetings are held with the Ministry of Energy and Minerals to clarify policy matters
and with the Resident Mines Office on operational matters, for example, issues regarding health, safety and
environmental management. Monthly meetings are held with the Chamber of Mines during which any
problems relating to mining operations are discussed as well as government relations in general.
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24 AngloGold Ashanti – Tanzania
Formal and informal meetings are held with the leadership structures of surrounding villages. These range
from briefings where information of mutual interest is shared to sessions for the joint planning and execution
of security and the joint maintenance of company infrastructure, for example, water pipes.
Discussions with NGOs take place from time to time on matters such as environmental management and
community development.
Resolving community issues
All complaints from the community are handled by CRSD and recorded and addressed as promptly as
possible. The main issue that was dealt with by Geita and its stakeholders in 2007 was that of
compensation and resettlement in the village of Katoma in Kalangalala Ward.
This village falls within the mine’s Special Mining Licence 49/99 and planned mining activities necessitated
the relocation of 553 households. Altogether 230 farms were affected. In carrying out the resettlement, the
company followed all the requirements set out in Tanzania’s Land Acts No 4 and 5 of 1999 and the Land
Acquisition Act of 1967. These laws provide for full, fair and prompt compensation based on the market
value of the property.
The valuation exercise, which was led by a government approved valuator, was carried out from May to
July 2007. Negotiations were conducted with the District Council, the government valuator and a
committee representing the residents. All eligible residents received compensation for their land and
property with payments being made between July and November 2007. Villagers were given a grace
period to prepare for relocation.

Where there were complaints about discrepancies regarding valuations, the company and the District
Council undertook joint reviews and appropriate action was then taken to address these matters.
A road that originally crossed the mine site was diverted for security purposes and this has affected access
to Geita township by people living in the neighbouring villages of Nyakabale and Saragurwa. To resolve this
issue the company provides a daily bus service for these villagers. Transport is arranged for patients
whenever emergency medical treatment is required.
Artisanal and small-scale miners
The presence of illegal, and the encroachment by legal, small-scale miners inside Geita’s special mining
licence area pose a significant challenge to the operation. There has also been encroachment by licensed
small operators. Unsafe health, safety and environmental practices – the use of mercury for extracting gold,
for instance – are among the problems that have to be faced. Another is the theft of property belonging to
the company.
There were three episodes that occurred in the past year and these are outlined below.
The first took place in March when the Chipaka pits were invaded by some 1,500 artisanal and small-scale
(ASM) miners. The issue was resolved peacefully as these miners left the area, reportedly to go to another
‘gold rush’ area.
The second concerned artisanal and small-scale miners establishing a settlement at Mpya, which put their
lives at risk and the company’s operations in jeopardy. Geita worked with the District Commissioner’s Office
to evacuate these miners through legal measures. An eviction order was issued by the High Court on
18 June 2007 and the actual eviction of the squatters took place on 31 July 2007. The company has taken
possession of the area since this episode occurred.
The third incident took place in the area of Katoma village where there was an adit that was used as an
entrance point to a mine during colonial times. Since the closure of this mine artisanal miners have been
using this entrance for underground mining activities. Geita mine noticed the hazard and decided to block
the access by blasting the hanging wall at Geita Hill on 28 November 2006. There were complaints about
the intensity of the blast and the community took the issue to court. A date for the hearing is pending.
The company held an annual fair for artisanal and small-scale miners at the Nyarugusu ASM centre in
Tanzania in 2006 which drew some 5,000 participants but could not take place in 2007 following the expiry
of a partnership between the company and the United Nations Industrial Development Organization
(UNIDO) and the UK’s Department for International Development (DFID). The fair serves as a forum for
making contacts and helps to build capacity in terms of health, safety and environmental practices. The
company is in the process of soliciting for partners for its ASM capacity-building programme.
Mugusu village has its origins in the illegal settlement of people within the mine’s lease area as well as in
the forest reserve. The government adjusted the boundaries of the forest and registered Mugusu as a
formal village. In other areas where informal settlements are established within the mine lease area Geita
collaborates with the District Commissioner’s Office and the Resident Mines Office to have them moved
peacefully.
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26 AngloGold Ashanti – Tanzania
An Artisanal Mining Working Committee has been established by the Tanzanian Chamber of Mines and
members (including AngloGold Ashanti) participated in a day-long workshop during the year to formulate
a national strategy for ASM. A joint Chamber of Mines and Police Special Unit has been set up to address
the issue of gold and diamond theft in line with the Voluntary Principles on Security and Human Rights.
What is ASM?
Artisanal and small scale mining (ASM) is a global phenomenon in mineral-rich, predominantly
third-world and poorer countries. The NGO, Communities and Small-scale Mining Initiative
(CASM), estimates that there are 13 to 20 million people in over 30 developing countries actively
engaged in ASM and a further 80 to 100 million people depending on the sector for their
livelihood. (Source: www.casmsite.org).
ASM is largely a socio-economic issue that often traps its incumbents into a spiral of inter-generational
poverty. It is a labour-intensive activity, frequently exposing the miners to unsafe working
circumstances and processes, and bringing them into conflict with land-owners and regulators. ASM
miners typically work in groups and can be highly organised, with certain people specialising in
specific activities. But, with low levels of mechanisation, poor productivity and rudimentary processes
for recovery, the ASM miners themselves are at the lowest end of a complex value chain, typically
comprising several layers of middlemen and earning low, often subsistence, levels of income.
The sector often includes a large proportion of people from vulnerable groups such as women,
children and migrant groups.
AngloGold Ashanti’s approach
AngloGold Ashanti is of the view that international debate and policy development is essential in
establishing guidance for good practice in dealing with ASM. We retain a seat as one of two
companies on the Strategic Management Advisory Group of the World Bank’s Communities and
Small-scale Mining Initiative which was set up with a specific mandate to find collaborative solutions
to this challenge. During 2007, AngloGold Ashanti was also instrumental in setting up the ICMM
Working Group on Artisanal and Small-scale Mining.
The group contributed to the International Finance Corporation (IFC) publication: Artisanal and Smallscale
Mining Tools and Guidance for Large-scale Mining Companies.
AngloGold Ashanti has also engaged with the Association for Responsible Mining (ARM), an
international NGO focusing on developing a fair trade market for gold: its mandate includes putting in
place social and environmental safeguards for ASM.
Communicating about closure plans
Closure committees have been established at national and a district levels. The former, which deals with
the formal issues and legal obligations, is chaired by a representative from the Ministry of Energy and
Minerals and draws members from the ministries responsible for water, natural resources, legal and judicial
affairs, and finance. The main function of the latter is to establish a sustainable closure plan in accordance
with Tanzanian laws and regulations, and to ensure that the local community is drawn into the process and
understands the implications of closure. This committee is chaired by the District Commissioner and
includes representatives from the leadership of the local communities and the mine.

Community investment
CRSD spent $265,000 in 2007 on community investment. Sustainability and the extent to which the wider
community will benefit are important criteria applied when proposals are considered for funding.
A major project which received $50,000 during the year is the construction of a girls’ secondary school in
Nyankumbu village in the Geita District. Other projects included the donation of hospital equipment worth
$40,000 to Geita District Hospital; support for the Moyo Wa Huruma Orphanage Centre in the town of
Geita; and Operation Smile (to provide medical assistance for people born with a cleft palate) which is
managed by the mine and run in collaboration with the Western Australian Doctors’ Mission.
Local economic development
Infrastructure is an important area of focus. The company constructed a 65km road in 1999 and continues
to maintain it, spending $400,000 on this in 2007. A further $150,000 was contributed towards the
rehabilitation of roads leading to such community facilities as schools and district offices. The town of Geita
has a water project under way which involves laying a main pipe and providing a number of boreholes. In
2007 the mine fixed water pipes on its property and donated boreholes ($27,600) in support of this initiative.
The company encourages the purchase of material from local communities as a way of stimulating
economic development in the area. Geita is an important backer of Nyakabale Agro-Forestry, a project that
produces vegetables and tree seedlings. The mine provided financial support amounting to $15,000 in
2007 and buys most of the trees it requires for rehabilitation from Nyakabele. The project supplied 60,000
trees at the end of 2006 at a cost of $7,500. It also supplies fresh produce to All Terrain Services, the
catering contractor on site. Nyakabale functions as a training centre for villagers who start their own
ventures. These villagers have formed a co-operative society which currently has 60 members.
Geita donated $4,000 to the Nyankumbu Bricks project and does what it can to find marketing
opportunities for the bricks produced.
27

Tanzania
28 AngloGold Ashanti – Tanzania
About this report
AngloGold Ashanti reports to a wide range of stakeholders and business partners, including shareholders,
employees, community members and many other interested parties in all of the countries and regions in
which it operates. For this reason the Annual Report comprises several documents, in a number of formats.
For the 2007 financial year, the AngloGold Ashanti Annual Report comprises:
the Annual Financial Statements, a printed version of which is available on request;
the Report to Society, a web-based document, which may be requested on a CD-ROM. A summarised
version of the Report to Society is available in a printed format; and
country reports of which this is one. These reports cover every operation within the group and provide
a level of detail not possible in the group report. These are available as printed documents on request.
All of these reports are available on the corporate website www.anglogoldshanti.com or at
www.aga-reports.com
Feedback
We welcome feedback on this country report and its contents. A feedback form may be found on
the AngloGold Ashanti website at www.aga-reports.com or you may e-mail your comments to
RLeSueur@geitagold.com.
Contact details
Hatibu Senkoro
Tel: +255 22 212 1038/49
Fax: +255 22 212 1050
E-mail: hatibu.senkoro@geitagold.com
General e-mail enquiries:
investors@anglogoldashanti.com
Website:
www.anglogoldashanti.com

www.anglogoldashanti.com