Alluvial mining sees increase in revenue

Business

THE total revenue from alluvial mining this year is forecast at around K11 billion, according to the Mineral Resources Authority.
The figure was based on monthly reporting up to August this year. The revenue is the result of increases in mineral commodity prices, production and ore exports.
A statement from the MRA said a K11 billion mining sector revenue outcome would represent an increase of 13.4 per cent against last year’s mineral revenue.
“More importantly, it would underpin an ongoing upward trend in mineral receipts, which will boost the economy,” it said.
“All major mines and alluvial miners contribute to this outcome.
“Gold, silver and copper production at Ok Tedi is ahead of 2016 figures (based on only 10 months of production).
“Forecasts indicate a 2017 end-of-year out-turn of an additional K700 million, with revenue potentially exceeding K2.7 billion.
“Lihir is also turning in another solid performance and revenue forecasts indicate an increase of around K200 million –  exceeding K3.7 billion for the full-year.
“Production forecasts indicate that Lihir may produce around 950,000 ounce, closing on its one million ounce production target in the calendar year. This would be an impressive turnaround and achievement, emphasising its credentials as a world top five gold mine aspirant, by production, and consistently rated as 3rd globally for its ore reserves.
“While the Ramu operations still continue to suffer from regulatory and compliance issues, this year’s production had improved and could exceed 2016’s disruptive year by K300 million.”

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