Lihir Gold production jumps 27%
Lihir Gold Limited (LGL) reported a 27% jump in gold production in 2009 to 1.12 million ounces. Despite the increase - the company produced more than a million ounces for the first time -production still came within the previous guidance offered by Lihir.
The strong yearly result was helped by 278,000 ounces in the fourth quarter alone, 19% more than the September quarter.
The Papua New Guinea based company, the second largest gold miner listed on the ASX, produced the overwhelming majority of its gold from its Lihir Island project, off the coast of PNG.
The company is also staking its future on the island, with the Lihir Island Million Ounce Plant upgrade proceeding on schedule and within budget, the company said.
Meanwhile, the company is continuing its feasibility study on its 90% owned Bonikro operation, located in the central-southern portion of the West African nation of Côte d'Ivoire. The final assessment is due by the end of 2010.
The Bonikro mine produced 34,420 ounces of gold last quarter, up 7% from the September quarter, though still only 12% of the company’s total gold production. This is ahead of Mt Rawdon in Queensland at 8%, though well behind the flagship Lihir Island mine which produces 78% of the company’s total gold.
Just last week, Lihir’s CEO Arthur Hood stepped down, with reports speculating the move was a result of the disappointing results from the purchase of the Ballarat Gold mine, which is now back up for sale.
At the close of business yesterday, Lihir Gold shares were trading at $3.13 each.
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