Australian Q3 Gold Production Down 66 Tons: Survey
A number of Australian gold miners remained cautious last quarter, causing the nation's total gold production to fall 2.4 percent from the previous quarter.
Australia's total production of the yellow metal for the year's third quarter came up at only 66 metric tons, or 2.1 million troy ounces, according to a survey by Melbourne-based Surbiton. It was 1.5 metric tonnes less than the previous quarter and also 1.5 metric tonnes less thana year ago.
The quarterly production figure translates to some $3.5 billion at current prices.
Prices of spot gold have risen by around 17 percent this year. It hit a record high of $1,920.20 an ounce in early September before sliding by more than $300. Current prices maintain at around $1,685 an ounce on the average.
"The gold price, although volatile, has remained relatively strong in both US- and Australian-dollar terms since the end of the quarter," Sandra Close, a Surbiton analyst, said.
Close noted some Australian gold producers, ignoring recent high prices, preferred to mine slightly lower-grade gold ore to preserve the richer ore in case prices tumble.
"Although this leads to lower production, it allows a more effective use of gold resources," Close said.
In the September quarter the three biggest gold-producing mines in the period included Newmont/Barrick's Super Pit at 192,000 ounces, Newmont's Boddington at 166,000 ounces and Newcrest's Telfer at 137,229 ounces, said Surbiton.