AngloGold Ashanti has signed a memorandum of understanding (MoU) for the potential sale of its Kopanang mine in South Africa to an undisclosed company.
The development comes after AngloGold began a consultation process in June this year to restructure its South African operations in order to reduce losses.
Under the restructuring process, the company revealed its plan to place the mine on care and maintenance.
Currently, the company is assessing the sale of the mine to the undisclosed buyer under the MoU.
The company noted that the disposal of the mine will assist its restructuring programme.
In the event that the MoU results in the sale of Kopanang, it will be owned by the buyer. Otherwise, it will be moved to care and maintenance.
The mine is bound to the south by the Jersey fault. It produces gold as its primary output and uranium oxide as a by-product.
The site features a single shaft system to a depth of 2,334m and exploits the Vaal Reef.
At the time of the decision, the company indicated that the restructuring process could affect around 8,500 people.
As part of the plan, the company is also evaluating the integration of TauTona mine into the neighbouring Mponeng mine.
The company has four deep-level mines and surface operation facilities in the country, where it produced 967,000oz of gold last year.