AngloGold Ashanti Ltd., the third biggest gold miner in the world, announced today that the company could reassess its Tropicana gold project in Western Australia as there are possibilities of additional taxes and royalties to be imposed to the mining sector in Australia. The gold producer also said that it sees Australia riskier for miners than South Africa.

AngloGold's chief executive officer Mark Cutifani said that the proposed carbon tax, resource tax and increased royalties for the mining sector in Australia can lead the company to move Tropicana down in the list of its priorities. Mr. Cutifani was addressing to a health and safety conference in Perth today.

"It will impact on our decision in terms of our capital allocation. At the moment Tropicana is probably in the mid to low third-quartile in terms of ranking. If we add tax and other things it will move down the list," said Cutifani.

Tropicana gold project is $A662.98 million project in Western Australia. AngloGold said it expects the completion of the feasibility study of Tropicana by the quarter ending September this year. The miner also said that it is expecting the production in Tropicana to begin by the year 2013.