Turquoise Hill forecasts lower Oyu Tolgoi gold output in 2016
JOHANNESBURG (miningweekly.com) – Gold production from the Oyu Tolgoi mine, in Mongolia, would be materially lower in 2016, compared with the forecast output for 2015, owing to the mining of lower-grade gold areas, owner Turquoise Hill Resources reported on Tuesday.
In its 2016 production and financial guidance, the Canadian company stated that the mine would produce between 210 000 oz and 260 000 oz of gold in concentrates in 2016. This compared with the 2015 gold production forecast of between 600 000 oz and 700 000 oz of gold in concentrates.
The majority of 2016’s gold production would occur in the first half of the year.
Oyu Tolgoi’s copper production was forecast to remain steady at between 175 000 t and 195 000 t.
Turquoise Hill said it expected its operating cash costs for 2016 to be about $800-million, compared with expected operating cash costs of $900-million for 2015. The year-on-year reduction was mainly owing to additional capitalisation of Phase 4 deferred stripping costs.
Capital expenditures for 2016 on a cash-basis, excluding underground development, were expected to be about $300-million, of which about $280-million related to sustaining capital.
Turquoise Hill would provide capital guidance for its underground development once a final 'notice to proceed' decision was confirmed. Turquoise Hill owner Rio Tinto and the government of Mongolia in May 2015 signed an underground mine development and financing plan in May this year, which addressed outstanding shareholder matters.
Article Enquiry
Email Article
Save Article
Feedback
To advertise email advertising@creamermedia.co.za or click here
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
Established on 1 March, 2000, by Barries Barnard, Advanced Fire Suppression Technologies (AFST) and the Advanced Group stands as Sub-Saharan...
VISIT SHOWROOM
As one of South Africa's leading manufacturers, Bell Equipment distributes and exports its wide range of heavy equipment globally to mining,...
VISIT SHOWROOM
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
