Newmont reports lower gold, copper output at Batu Hijau

By Nellawati

US mining giant Newmont Mining Corporation reported that gold and copper production during the first quarter of this year at Batu Hijau mine in West Nusa Tenggara, Indonesia, was 7,000 ounces and 20 million pounds, respectively, at costs applicable to sales (CAS) of US$993 per ounce and $2.05 per pound, respectively.

The company said in a statement received Monday that gold and copper production decreased 36 percent and 5 percent, respectively, due to lower grade and recovery as a result of processing lower grade stockpiled material as Phase 6 stripping continues.

CAS increased 9 percent per ounce and 3 percent per pound, respectively, due to lower production partially offset by lower mill maintenance costs.

The company continues to expect 2013 attributable gold production of between 20,000 and 30,000 ounces at CAS of between $900 and $1,000 per ounce and attributable copper production of between 75 and 90 million pounds at CAS of between $2.20 and $2.40 per pound.

Editing by Reiner Simanjuntak