Copper and gold concentrate from Oceana Gold's northern
Philippines mine at Didipio. Photo supplied.
Gold miner Oceana Gold has updated its estimated resource
and reserves of gold and copper in New Zealand and the
Philippines, with no change to guidance for the calendar year.
Estimated proven and probable reserves of gold and copper
have declined slightly in both New Zealand and the
Philippines, and using a guideline of $US1250 ($NZ1453) per
ounce of gold and $US3.25c per pound of copper, Oceana
reported reserves estimates of 3.14 million oz of gold and
210,000 tonnes of copper.
Oceana expects to produce between 275,000 and 305,000 ounces
of gold and between 21,000 and 24,000 tonnes of copper, for
its calendar year production; compared with last year's
record 325,732 oz.
Oceana, in its 24th year of operation, has been restructuring
for about a year in the face of rising production costs and
an earlier slump in global gold prices.
It has laid off about 100 staff and contractors at its
Macraes mine open pit in East Otago, while the future of
about 260 staff at its Reefton open pit mine on the West
Coast are under threat of mothballing next year.
Chief executive Mick Wilkes said in a statement yesterday
Oceana was focusing on satellite projects adjacent to
existing tenements, looking for resources that were
complementary and added low production cost gold reserves to
''We will continue to develop new reserves and resources at
our existing mines from in-pit and near-mine exploration,''
In the Philippines, the decrease was mainly due to depletion
from open pit mining, as a result of starting commercial
production during 2013, and the lifting of the open pit
cut-off grade from 0.50 grams of gold per tonne of ore to
0.55 grams, including translation of copper to gold
The New Zealand decline in estimated reserves was due to
mining depletion and a lower assumed New Zealand dollar gold
price, compared with 2012, but partly offset by positive
drilling results in two areas at Macraes.