Newcrest reports higher gold output
Thursday, July 24 2008 - 04:10 AM WIB
Gold production was higher as a result of increased mill throughput. The 22 percent increase in mill throughput was attributable to completion of the de-bottlenecking project. Further optimisation of the grinding and classification circuits are aimed at increasing recovery rates at the sustainable higher throughput rates, the company said in statement filed with the Australian Stock Exchange.
Site cash costs and unit cash costs were higher due to timing issues associated with mining equipment supplies.
The company said that the feasibility study into the Gosowong Extension project has progressed ahead of schedule and will be complete for execution approval before the end of the calendar year.
According to the company, funds for early development of the K2 - K Link mine were approved, and the mining design and geotechnical analysis have been completed. Development has commenced and is scheduled for completion by mid -2009.
Meanwhile, drilling at Kencana demonstrated that the KI shoot was open at depth with the results from hole KSU061 returning an intercept of 12.47m @ 17.5g/t Au. Drilling was also undertaken to follow up previously reported very high grade intercepts nearby at K1 North. These holes have encountered very difficult drilling conditions.
Discovery drilling was ongoing to systematically test the Anak, Putri and T-fault structures, it said.
Grassroots target generation exploration work was also ongoing in more remote parts of the concession at the Batu Api prospect and nearby area, it added.
Newcrest holds 82.5 percent equity in Gosowong mine, Halmahera island, North Maluku province. (denny)