AngloGold Ashanti is trading at about half the value of an equivalent North American-listed producer, partly owing to “misplaced” negative perceptions of South Africa, CEO Mark Cutifani told Mining Weekly Online on Thursday.

Australian-born Cutifani, in fact, seemed far more upbeat about Africa’s biggest economy and its prospects than many of the country’s own citizens.

“Quite frankly, I don’t think that we are selling the country very well,” he stated.

“For us, an equivalent gold company trading in North America, is probably trading at a price that’s about double of what we’ve been seeing,” he said in an interview in Johannesburg. “And, in part, that’s due to some perceptions of overseas countries of South Africa, which I think are misplaced.”

“In South Africa, we have the political process, we have a judiciary, and there is an understanding of the separation of powers. We have infrastructure, a great skills base and an enthusiastic work force,” enthused Cutifani.

He went on to add that the country had “great prospects and opportunities”.

However, business confidence in the country had been tumbling this year, as sentiment suffered from the January power crisis, rising inflation, and increasing interest rates.

Cutifani said that it was up to leaders in the country to lift South Africa’s image. “A bit frustrating, but, at the end of the day, as managers and leaders we’re going to have to get through that. I would like to see us to come together as individuals and promote ourselves more effectively.”

He added that South Africa was “as good as it gets in Africa”, and that companies were only finding new gold assets in countries that had “tough conditions”.

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