Our strategy

SUSTAINABLE DEVELOPMENT STRATEGY

Our group sustainability strategy aims to identify the actions required to contribute to AngloGold Ashanti business competiveness, to secure our social licence to operate, and ultimately to support the group's vision of becoming the leading mining company.

Our strategy is dynamic and adaptive, taking into account developments in the key parameters which define the strategic landscape in the jurisdictions in which we operate:

  • Social – increased expectations that the mining industry will participate in local economic development and play a more active role in issues such as human rights. Advances in information communication technology have accelerated social responses and the potential for conflict.
  • Technological – innovation has become a key driver of performance and competitive positioning
  • Legal – increasing requirements relating to compliance and regulatory issues
  • Political – regulatory tightening and national policies in relation to resource use and ownership
  • Environmental – growing concerns relating to the usage, cost and security of supplies of essential natural resources such as water and energy
  • Economic – higher cost of capital and increased production costs

Sustainability governance

In May 2014, the Social, Ethics and Transformation committee of the Board was reformulated as the Social, Ethics and Sustainability committee.

The committee's terms of reference details roles and responsibilities in compliance with the Companies Act and the guidelines of King III. The committee has an executive sponsor, the Executive Vice President responsible for AngloGold Ashanti's Sustainable Development function, who is nominated by the Chief Executive Officer. The executive sponsor assists in the general management of the committee.

As of 31 December 2014, the Committee had four members, three of whom are independent non-executive directors. Other attendees include subject-matter experts in areas falling within the Committee's mandate. The committee meets a minimum of four times per year.

The purpose of the committee is to assist the board in discharging its responsibilities relating to:

  • The functions of a Social and Ethics Committee as noted in the South African Companies Act of 2008;
  • Safety, health and the environment;
  • Transformation and Localisation;
  • Ethical Conduct of the Company and its officers; and
  • Recommending to the board support for the promotion of democracy in the jurisdictions in which the company operates.

Key areas of the Committee's mandated responsibilities include:

  • Social and economic development;
  • Corporate citizenship;
  • Human rights;
  • Safety, health and environment;
  • Transformation, empowerment and localisation;
  • Labour relations and employment;
  • Compliance with the Code of Ethics and Business Principles;
  • Stakeholder relations;
  • Regulatory, statutory and legislative compliance; and
  • Oversight on activities to promote democracy in the company's operational jurisdictions.

Activities and reports considered by the Social, Ethics and Sustainability committee during 2014

During 2014, in accordance with its duties and responsibilities, the Social, Ethics and Sustainability committee monitored and evaluated the following:

  • Social and community affairs reports from all operating regions;
  • The company's programmes on safety, health and the environment, through regular reports from the Safety, Health and Environment Committee;
  • Reports on group health, silicosis and the spread of the Ebola virus;
  • A study on the Tanzanian and South African socio-economic landscape;
  • Reports on compliance with bribery and corruption legislation ;
  • Global security and human rights reports;
  • Stakeholder relations and marketing Reports;
  • Developments in the Group's compliance requirements, including developments in relation to the ten Guiding Principles of Enforcement, the principles of the United Kingdom's Bribery Act, the South African Prevention and Combating of Corrupt Activities Act, and the Organisation for Economic Co-operation and Development's Convention on Combatting Bribery of Foreign Public Officials International Business Transactions.
  • Evaluation of whistle-blowing reports;
  • A compliance audit relating to the Mining Charter undertaken by Moloto Solutions;
  • The terms of reference of the committee to include a mandate on the promotion of democracy;
  • Review of the strategy for employee home ownership;
  • Compliance of AngloGold Ashanti with the requirements of the World Gold Council's Conflict-Free Gold Standard Report;
  • A policy on political donations;
  • A group progress report on compliance with the transformation targets set by the Mining Charter and the Department of Mineral Resources in South Africa;
  • A report on transformation activities at the group's other operations, especially in relation to developing local talent and skills;
  • The Artisanal and Small Scale Mining (ASM) Initiative led by the Government of Tanzania;
  • The benchmarking of levels of crime by the Chamber of Mines Standing Committee on Security; and
  • The Community Policing Framework.
Introduction Guiding principles