Newcrest reports N. Maluku gold production, exploration

The following is an excerpt from Australian miner Newcrest Mining Corp.?s quarterly report for the three months ending Sept.30, 2008 released on Thursday..

Gosowong, Hamahera island, North Maluku (82.5%)
Record quarterly gold production from Gosowong was achieved, reflecting higher grades and mill throughput rates. The completion of the mill debottlenecking project in the June 2008 quarter enabled an increase in the mill throughput rate to greater than 45 tonnes per hour.

Quarterly unit cash costs declined with the higher production level.

		Sept. 2008 Quarter	June 2008 Quarter	Sept 2007 Quarter
Gosowong production - gold	oz	127,495	104,065	105,355

The Gosowong Expansion Project study is progressing on schedule and budget with full project approval expected by December 2008.

Approved early commitments are underway with the decline development ahead of schedule and raise-bore and shaft work on schedule.

Approval was received for installation of tertiary grinding in the processing plant to further increase recoveries. This work is currently on schedule for commissioning in the March 2009 quarter.

Exploration
Diamond drilling at Kencana has confirmed that the K1 shoot remains open at depth with several good results from drill-holes targeted directly below the existing mine at (K1 Deep) and immediately adjacent at K1 North. Drilling is ongoing to test the extent of this high grade mineralisation and to determine if K1 Deeps and K1 North join. Key results for the quarter are tabulated below

Discovery drilling was also ongoing in the Gosowong district with 6 drill rigs operating. This porgramme is focused on systematic testing of known fertile structures for new high grade shoots in the highly prospective area between Kencana, Toguraci and Gosowong. Drill testing the strike extent of the Toguraci system is also underway. (end of excerpt)