AngloGold Ashanti (NYSE:AU) Expanding Existing South African Mines

In what appears to be a move to increase gold and uranium production at lower costs, AngloGold Ashanti (NYSE:AU) will reportedly work on expanding its existing mines in South Africa.

AngloGold is also investing in large projects in other places, making it important to attempt to tap into existing resources in hopes of keeping minimum annual gold production at about 1.75 million ounces over the next five years, according to executive vice president for South Africa, Robbie Lazare.

The company did say it'll be difficult to accomplish because of the major projects, which over the next decade or so will increase production for the giant gold miner.

Also benefiting in the short term will be its uranium assets, which AngloGold said will increase from 1.3 million pounds to 2 million pounds in annual production.

With demand for uranium ready to explode, that should be a solid benefit for the miner. About 1.4 million pounds of uranium is expected to be produced this year.