Newcrest mining to spend US$76m on Indonesian gold

Australian mining company Newcrest Mining Ltd. said it had set aside US$75.8 million for mineral exploration activities in Indonesia.

Newcrest Mining president Bruce Price said that some $49.5 million was allocated for the exploration activity of its subsidiary PT Nusa Halmahera Minerals (NHM) on the island of Halmahera in North Maluku.

NHM, which is 82.5 percent owned by Newcrest and 17.5 percent by the state-owned gold and copper mining firm PT Aneka Tambang, started producing gold in September 1999 from its Gosowong mine in Halmahera. NHM started gold operation in Gosowong in 1992.

Bruce said the Gosowong gold mine could turn out 20,000 tons of gold ore per year, to last for five years.

Newcrest is also exploring for godl on the neighbouring island of Bacan and the Loloda district of Halmahera. (*)