Bobby Godsell
Encyclopedia
Robert Michael "Bobby" Godsell (born 14 September 1952 in Johannesburg
) is a retired South African businessman and the former CEO
of South African
gold mining
company AngloGold Ashanti
, a position he held from 1998 to 2007. He was the Non-Executive Chairman of Eskom
from 2008 to 2009 and was appointed to the National Planning Commission of South Africa
by South African President
Jacob Zuma
on 30 April 2010.
His departure from Eskom in 2009 was under controversial circumstances, caused by a board room struggle with the company's CEO, Jacob Maroga. Godsell decided to resign while Maoga was later sacked. Godsell found himself accused of racism but was defended by both the National Union of Mineworkers
and the African National Congress
, the ANC.
, followed by a Bachelor degree at the University of Natal
.
He became an executive director of Anglo American in 1991. He served at the South African Chamber of mines, first as a vice president and later as its president. He was also chairman of the World Gold Council
from 2001 to 2002.
Bobby Godsell was appointed CEO of the Gold and Uranium Division of Anglo American in July 1995 and CEO of AngloGold
in April 1998.
As CEO, he oversaw, alongside Sam E. Jonah
, the merger of AngloGold and the Ashanti Goldfields Corporation
, announced on 16 May 2003 and completed on 26 April 2004, to form AngloGold Ashanti.
Godsell announced his retirement on 31 July 2010 and retired from his position as CEO of AngloGold Ashanti on 30 September 2007, being replaced by Australian
Mark Cutifani
. He stated that, after 34 years in corporate life he was looking forward to exploring new ways of being a constructive citizen in his country, South Africa.
He returned from retirement in 2008, when he became the Non-Executive Chairman of Eskom
but resigned from the position in 2009. He remains a Non-Executive Director of the Anglo American Corp., a position he has held since 1991. He is also the Chairman of Business Leadership South Africa and has been appointed to the National Planning Commission (NPC) by South African President Zuma on 30 April 2010.
His resignation from Eskom came admit a board room power struggle in the utility company between Godsell and CEO Jacob Maroga. Maroga was heavily criticised for power shortages, a record loss of R9,7 billion in the year to March 2009 and electricity price rises criticised for stoking inflation as South Africa battled recession. Maroga allegedly handed in his resignation, then denied doing so and Godsell, under political pressure from organistaions supporting Maoga, decided to hand in his resignation instead.
Under Godsell, AngloGold Ashanti had hedged
11.3 million ounces of gold, as of early 2008, twice the value of the company's annual production. Under his successor, Mark Cutifani, this was gradually reduced to 3.22 million. In October 2010, this remaining amount was paid off with US$2.63 billion, or US$1,300 per ounce of gold. The hedging of gold at low prices while the overall-gold proce reached record heights in 2010 was financially very unfavourable for AngloGold Ashanti, forcing the company to sell gold at prices far below spot market value. Bobby Godsell and his then-marketing director Kelvin Williams found themselves blamed for the excessive hedging of the company, brought on in parts by the AngloGold-Ashanti merger.
Under Godsell's final years as CEO, AngloGold Ashanti experienced a high number of fatalities in its mines, 37 in 2006 and 34 in 2007. Under his successor, these numbers dropped to 14 in 2008 and 16 in 2009, achieved partly through new safety initiatives.
Godsell is highly regarded and trusted by the National Union of Mineworkers
, who came out in his defence after he lost the power struggle within Eskom and was accused of racism, as did the African National Congress
, the ANC. His positive relationship with the unions dates back to 1974, when he became labour relations expert and got involved in forming Anglo American 's employment practice policies. His role in getting white business in South Africa to accept both the unpopular Labour Relations Act and, later, the mining charter in the transformation period of the country was instrumental and his relationship with Cyril Ramaphosa
was crucial in all this.
Johannesburg
Johannesburg also known as Jozi, Jo'burg or Egoli, is the largest city in South Africa, by population. Johannesburg is the provincial capital of Gauteng, the wealthiest province in South Africa, having the largest economy of any metropolitan region in Sub-Saharan Africa...
) is a retired South African businessman and the former CEO
Chief executive officer
A chief executive officer , managing director , Executive Director for non-profit organizations, or chief executive is the highest-ranking corporate officer or administrator in charge of total management of an organization...
of South African
South Africa
The Republic of South Africa is a country in southern Africa. Located at the southern tip of Africa, it is divided into nine provinces, with of coastline on the Atlantic and Indian oceans...
gold mining
Gold mining
Gold mining is the removal of gold from the ground. There are several techniques and processes by which gold may be extracted from the earth.-History:...
company AngloGold Ashanti
AngloGold Ashanti
AngloGold Ashanti Limited is a global gold mining company. It was formed in 2004 by the merger of AngloGold and the Ashanti Goldfields Corporation.AngloGold Ashanti Limited is now a global gold producer with 21 operations on four continents...
, a position he held from 1998 to 2007. He was the Non-Executive Chairman of Eskom
Eskom
Eskom is a South African electricity public utility, established in 1923 as the Electricity Supply Commission by the government of South Africa in terms of the Electricity Act . It was also known by its Afrikaans name Elektrisiteitsvoorsieningskommissie . The two acronyms were combined in 1986 and...
from 2008 to 2009 and was appointed to the National Planning Commission of South Africa
National Planning Commission of South Africa
The National Planning Commission of South Africa is a South African government agency established in May 2009, responsible for strategic planning for the country....
by South African President
President of South Africa
The President of the Republic of South Africa is the head of state and head of government under South Africa's Constitution. From 1961 to 1994, the head of state was called the State President....
Jacob Zuma
Jacob Zuma
Jacob Gedleyihlekisa Zuma is the President of South Africa, elected by parliament following his party's victory in the 2009 general election....
on 30 April 2010.
His departure from Eskom in 2009 was under controversial circumstances, caused by a board room struggle with the company's CEO, Jacob Maroga. Godsell decided to resign while Maoga was later sacked. Godsell found himself accused of racism but was defended by both the National Union of Mineworkers
National Union of Mineworkers (South Africa)
-External links:* official site....
and the African National Congress
African National Congress
The African National Congress is South Africa's governing Africanist political party, supported by its tripartite alliance with the Congress of South African Trade Unions and the South African Communist Party , since the establishment of non-racial democracy in April 1994. It defines itself as a...
, the ANC.
Biography
Godsell completed a Master of Arts degree at the University of Cape TownUniversity of Cape Town
The University of Cape Town is a public research university located in Cape Town in the Western Cape province of South Africa. UCT was founded in 1829 as the South African College, and is the oldest university in South Africa and the second oldest extant university in Africa.-History:The roots of...
, followed by a Bachelor degree at the University of Natal
University of Natal
The University of Natal was a university in Natal, and later KwaZulu-Natal in South Africa, that is now part of the University of KwaZulu-Natal. It was founded in 1910 as the Natal University College in Pietermaritzburg, and expanded to include a campus in Durban in 1931. In 1947, the university...
.
He became an executive director of Anglo American in 1991. He served at the South African Chamber of mines, first as a vice president and later as its president. He was also chairman of the World Gold Council
World Gold Council
The World Gold Council is a non-profit association of the world's leading gold mining companies, established in 1987 to promote the use of gold. It aims to stimulate demand for gold from industry, consumers, and investors. The Council's Chief Executive Officer is Aram Shishmanian, former head of...
from 2001 to 2002.
Bobby Godsell was appointed CEO of the Gold and Uranium Division of Anglo American in July 1995 and CEO of AngloGold
AngloGold
AngloGold was a gold mining company based in South Africa and majority-owned by the Anglo American group. In 2004 it merged with the Ashanti Goldfields Corporation to create the world's second-largest gold producer, AngloGold Ashanti. It's a big company....
in April 1998.
As CEO, he oversaw, alongside Sam E. Jonah
Sam E. Jonah
Sam E Jonah, KBE is the Executive Chairman of Jonah Capital, equity fund based in Johannesburg, South Africa. Mr Jonah was previously President of AngloGold Ashanti and shared the strategic leadership of the company with its CEO, Bobby Godsell....
, the merger of AngloGold and the Ashanti Goldfields Corporation
Ashanti Goldfields Corporation
This is the article on the mining company. For the football club of the same name see Ashanti Gold SC.The Ashanti Goldfields Corporation is a gold mining company based in Ghana that was founded by Edwin Cade. The Ashanti Mine, located at Obuasi, 56 km south of Kumasi, has been producing since 1897...
, announced on 16 May 2003 and completed on 26 April 2004, to form AngloGold Ashanti.
Godsell announced his retirement on 31 July 2010 and retired from his position as CEO of AngloGold Ashanti on 30 September 2007, being replaced by Australian
Australia
Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area...
Mark Cutifani
Mark Cutifani
Mark Cutifani is an Australian businessman and the current CEO and a director of South African gold mining company AngloGold Ashanti, a position he has held since October 2007....
. He stated that, after 34 years in corporate life he was looking forward to exploring new ways of being a constructive citizen in his country, South Africa.
He returned from retirement in 2008, when he became the Non-Executive Chairman of Eskom
Eskom
Eskom is a South African electricity public utility, established in 1923 as the Electricity Supply Commission by the government of South Africa in terms of the Electricity Act . It was also known by its Afrikaans name Elektrisiteitsvoorsieningskommissie . The two acronyms were combined in 1986 and...
but resigned from the position in 2009. He remains a Non-Executive Director of the Anglo American Corp., a position he has held since 1991. He is also the Chairman of Business Leadership South Africa and has been appointed to the National Planning Commission (NPC) by South African President Zuma on 30 April 2010.
His resignation from Eskom came admit a board room power struggle in the utility company between Godsell and CEO Jacob Maroga. Maroga was heavily criticised for power shortages, a record loss of R9,7 billion in the year to March 2009 and electricity price rises criticised for stoking inflation as South Africa battled recession. Maroga allegedly handed in his resignation, then denied doing so and Godsell, under political pressure from organistaions supporting Maoga, decided to hand in his resignation instead.
Personal life
Godsell, born to Cyril Harold & Winnefred Godsell, is married to Gillian Hall. The couple has three daughters.Legacy
Upon retirement, Bobby Godsell was described as "a visionary, that has done much to shape the destiny of both the South African labour relations landscape and that of AngloGold Ashanti" by then-chairman of AngloGold Ashanti, Russell Edey.Under Godsell, AngloGold Ashanti had hedged
Hedge (finance)
A hedge is an investment position intended to offset potential losses that may be incurred by a companion investment.A hedge can be constructed from many types of financial instruments, including stocks, exchange-traded funds, insurance, forward contracts, swaps, options, many types of...
11.3 million ounces of gold, as of early 2008, twice the value of the company's annual production. Under his successor, Mark Cutifani, this was gradually reduced to 3.22 million. In October 2010, this remaining amount was paid off with US$2.63 billion, or US$1,300 per ounce of gold. The hedging of gold at low prices while the overall-gold proce reached record heights in 2010 was financially very unfavourable for AngloGold Ashanti, forcing the company to sell gold at prices far below spot market value. Bobby Godsell and his then-marketing director Kelvin Williams found themselves blamed for the excessive hedging of the company, brought on in parts by the AngloGold-Ashanti merger.
Under Godsell's final years as CEO, AngloGold Ashanti experienced a high number of fatalities in its mines, 37 in 2006 and 34 in 2007. Under his successor, these numbers dropped to 14 in 2008 and 16 in 2009, achieved partly through new safety initiatives.
Godsell is highly regarded and trusted by the National Union of Mineworkers
National Union of Mineworkers (South Africa)
-External links:* official site....
, who came out in his defence after he lost the power struggle within Eskom and was accused of racism, as did the African National Congress
African National Congress
The African National Congress is South Africa's governing Africanist political party, supported by its tripartite alliance with the Congress of South African Trade Unions and the South African Communist Party , since the establishment of non-racial democracy in April 1994. It defines itself as a...
, the ANC. His positive relationship with the unions dates back to 1974, when he became labour relations expert and got involved in forming Anglo American 's employment practice policies. His role in getting white business in South Africa to accept both the unpopular Labour Relations Act and, later, the mining charter in the transformation period of the country was instrumental and his relationship with Cyril Ramaphosa
Cyril Ramaphosa
Matamela Cyril Ramaphosa is a South African lawyer, trade union leader, activist, politician and businessman. He was born in Soweto, Gauteng province...
was crucial in all this.