Freeport?s 2006 copper, gold production down
Tuesday, January 16 2007 - 10:35 PM WIB
The company attributed lower production on lower ore grades and recovery rates.
PTFI's share of annual sales in 2007 is currently projected to approximate 1.1 billion pounds of copper and 1.8 million ounces of gold.
According to FCX, PTFI?s exploration efforts in 2007 will continue to test extensions of the Deep Grasberg and Kucing Liar mine complex. Engineering studies are under way to incorporate positive drilling results from 2006 activities at Deep Grasberg and Kucing Liar. PT-FI also expects to test the open-pit potential of the Wanagon gold prospect and the Ertsberg open-pit resource, and will begin testing for extensions of the Deep MLZ deposit and other targets in the gap between the Ertsberg and Grasberg mineral systems from the new Common Infrastructure tunnels located at the 2,500 meter level. During 2007, FCX plans to resume exploration activities, which had been suspended in recent years, in certain prospective areas outside Block A.
FCX?s exploration expenditures are expected to approximate $25 million in 2007.
PTFI operates a huge mining complex in the easternmost province of Papua. (alex)
Fourth Quarter |
Twelve Months | |||
| 2006??? | 2005 | 2006 | 2005 | |
| Copper (000s of recoverable pounds): | ||||
| Production | 435,200??? | 473,500 | 1,201,200 | 1,455,900 |
| Sales | 432,500??? | 468,400 | 1,201,400 | 1,456,500 |
| Average realized price per pound | $2.88??? | $2.02 | $3.13 | $1.85 |
| Gold (recoverable ounces): | ||||
| Production | 514,000??? | 1,116,600 | 1,731,800 | 2,789,400 |
| Sales | 507,500??? | 1,103,500 | 1,736,000 | 2,790,200 |
| Average realized price per pound | $627.71??? | $494.01 | $566.51 (a) | $456.27 |
a) Amount was $606.36 before revenue reduction resulting from redemption of FCX?s Gold-Denominated Preferred Stock, Series II.