AngloGold Ashanti (AGA) has suspended mining operations in Obuasi in the Ashanti region following disturbing clashes between illegal miners and some of its staff, resulting in the death of the Communications Director of the company,Mr John Owusu.

Mr Owusu was run over by a company vehicle during a swoop on galamsey operators in a concession of AGA at Obuasi. He was then rushed to the hospital where he was declared dead.

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Police reinforcement in Obuasi could not overpower the illegal miners, the acting Head of Operations at Anglogold, Fred Nsarko, told Accra based Citi FM.

The Municipal Chief Executive Officer and the police in Obuasi held a crisis meeting over the incident with the management of AGA.

A conditional Investment Agreement between AGA and Randgold Resources Limited was terminated by the latter in December last year, saying it does not " Meet the company's criteria".

Although AngloGold Ashanti and Randgold  agreed on works towards improving returns of the project and alos secure an appropriate set of consents from the Government, initial feasibility studies have  discouraged Randgold from proceeding with the deal.

Obuasi, [located in the Ashanti has a large], has high-grade deposit with proven and probable ore reserves (as reported by AngloGold Ashanti in its2014 Annual Report) of 24.53Mt at 6.70g/t for 5.29Moz, part of a substantial mineral resource base.