Aussie veteran to take on the top job at Anglo American
Speculation over who will succeed Cynthia Carroll as Anglo American’s chief executive ended today as AngloGold Ashanti boss Mark Cutifani was appointed to what has been dubbed “the toughest job in mining”.
Investors welcomed the appointment of Cutifani, who stands to make up to £10.8 million in his first year in the job through salary, bonus and other payments, sending Anglo American’s shares up 48p, or 2.4%, to 2048.5p.
“He seems to tick all the boxes. He has had an international presence and experience of running a significant public company. He has South African experience and he is a mining engineer, so he knows his stuff. He is a mining man,” said Charles Stanley analyst Tom Gidley-Kitchin.
Cutifani, a straight-talking 54-year-old Australian father of seven who has run South Africa’s AngloGold for five years, will take over from Carroll on April 3.
Before joining AngloGold, Cutifani was chief operating officer of the nickel-mining operation of the Brazilian mining giant, Vale, and was previously managing director of Australian gold and tantalum miner Sons of Gwalia.
Credited with increasing production capacity at AngloGold to benefit from record gold prices at the same time as significantly improving the group’s profit margins, Cutifani, pictured, will face a series of fresh challenges in his new job which is regarded as being particularly tough, even by the standards of the mining industry.
His chief task will be to reverse the decline in Anglo American’s shares, which lost about $14 billion (£8.7 billion) of their value under Carroll’s five-year reign and have slumped by 17% in the past two years.
To do this, he will need to address a series of problems which overwhelmed Carroll. These include reining in costs at the group’s Minas Rio iron-ore project in Brazil, which is billions of pounds over budget and five years behind schedule and improving the performance of its ailing platinum division, Anglo American Platinum (Amplats). This has been battered by a series of strikes across the South African mining industry last year, in confrontations that left more than 40 dead, as well as escalating costs and weak demand for platinum.
His pay package includes a £1.2 million basic salary, a compensation award of £2.38 million for payments he forfeited at AngloGold, and a long-term incentive plan worth up to 3.5 times his salary.
- 4 Women think Irish men are the sexiest, survey finds
- 5 Florida couple forced to register as sex offenders for having sex on public beach
Italian police 'reveal' what Jesus looked like as a young boy
Who should I vote for in the general election? Take The Independent's interactive quiz to find out which party is the right choice for you
Florida couple forced to register as sex offenders for having sex on public beach
Mysterious 'X-Files' sounds heard miles above the Earth
Met Gala 2015: Jason Derulo falling over in epic fashion, the event's most talked about moment, wasn't what it seemed
In defence of liberal democracy
General Election 2015: Post-election 'shambles' looms as 70 per cent of voters say SNP 'should not be able to veto UK government policies'
The Rothschild Libel: Why has it taken 200 years for an anti-Semitic slur that emerged from the Battle of Waterloo to be dismissed?
General Election 2015: UK will be 'run for the wealthy and powerful' if Tories retain power, Labour warns
General election live: SNP suspends two members for disrupting Labour rally
Schools forced to act as 'miniature welfare states' with teachers buying underwear and even haircuts for poor pupils
iJobs Money & Business
£60000 - £70000 per annum + benefits : Ashdown Group: A highly successful, glo...
£25000 - £30000 per annum + benefits: Ashdown Group: A global leader operating...
£27 - 35k + Bonus + Benefits: Guru Careers: A Management Accountant is needed ...
£40-50k + Benefits.: Guru Careers: A Project Manager / Business Analyst is nee...