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Paulson-Backed AngloGold Colombia Mine Delayed as Costs Rise

AngloGold Ashanti Ltd., the gold producer whose largest shareholder is billionaire John Paulson, said development of its key Colombia mine is delayed and will cost more than expected after it struggled to obtain permits.

First output at La Colosa will now be 2018 at the earliest, compared with earlier estimates of end-2016, Rafael Herz, chief executive officer of the company’s Colombian unit, said in an interview in Bogota. Costs will likely escalate to as high as $3.5 billion, from a previous forecast of $2.7 billion, he said.