Ok Tedi sure production goals viable

By LEMACH LAVARI
Ok Tedi gold and copper mine in Western is certain that it will meet production targets this year despite the setback from the Feb 26 earthquake, says managing-director Peter Graham.
Graham told The National last week in Port Moresby that the mine struggled initially to get back to normal operations following the earthquake.
“Our performance in the first half of this year is below our anticipation (but) we have set ourselves aggressive targets for the second half of the year,” he said.
“We want to do a 100,000 tonnes of copper and 274,000 ounces of gold in 2018 which is close to where we were in 2017.
“The copper price was good in the first six months (but) it has now gone way down.
“We reached US$3.14 (K10.39) a pound in the first half of the year: Last two weeks it’s been about US$2.70 (K8.93) a pound so it’s a big drop.
“Gold prices have not been too bad. We budgeted US$1250 (K5000) an ounce and it’s a little bit less than that but not too bad”
“Oil prices hurt us as well: We had budgeted for US$0.56 (K1.85) cent per litre and it’s much more than that at this point in time so that cost is a challenge”
“However, our (overall) costs have been under control.
“It has been really getting the production up.”
Graham said much investment had been going into up-skilling employees to increase productivity.
“We have developed a competency model for all of our operators that is consistent with the Australian quality framework,” he said.
“Productivity is the key in the mining environment.
“If the wheels are not rolling all the time than we are not making enough money.”