Newcrest Mining (NCM) is Australia’s largest gold producer, with mining and exploration projects in Australia, Papua New Guinea (PNG), Indonesia and the US. NCM is the largest gold producer listed on the Australian share market.
The miner also has a smaller exposure to copper, mostly as a by-product of its gold production.
In its latest production report, NCM announced a 7% increase in gold output in the 2Q11 from a quarter earlier. Copper production of 17.712t was in line with the previous quarter.
NCM attributed the growth in output to higher gold grades and increased throughput. Cash costs of $440 per ounce were also an improvement over the previous quarter.
However, NCM downgraded FY11 gold production guidance to 2.85 – 2.95 million, from 2.85 – 3.00 million ounces.
Copper output was also expected to fall to 75 – 80 thousand tonnes, from 80 – 86 thousand tonnes. NCM attributed the downgrades to rain and a suspension of operations at Bonriko in the Ivory Coast.