Australia 2011-12 Gold production value to hit A$14 billion

MELBOURNE:

World's second largest gold producer Australia produced 65 tons of gold in the second quarter this year, 2.5 tons more than in the first quarter,according to mining consultants Surbiton Associates. Surbiton however said production decreased by 4% during 2011/12, compared with the previous year. Australia's production was set to rise, with several new and rejuvenated mining projects coming on stream later this year and in 2013, the firm added. At the current spot price, the value of 2011/12 gold production was estimated at around 14-billion Australian dollar. In Australian dollar terms, the gold price rose 1.2% in the first half of 2012, compared with an 0.03% increase in U.S. dollar terms. The average Australian-dollar spot gold price for 2011/12 was around A$1 620/oz, which was more than $230/oz higher than for the 2010/11 year. Surbiton also said takeover activity had increased recently in the Australian gold sector, which was currently around 60% foreign-controlled. Super Pit remained the country's top producer in the 12 months to June 30, with output of 746,000 ounces. This was followed by Newmont's Boddington mine, which produced 713,000 ounces, and Newcrest's Telfer, which produced 540,115 ounces.

Courtesy: BullionStreet