Integra Mining now one of lowest cost gold producers in...

Integra Mining now one of lowest cost gold producers in Australia

Tuesday, October 18, 2011 by John Phillips Integra Mining (ASX: IGR) is benefiting from a process facility upgrade which was completed ahead of schedule and below forecast cost.

With cash costs for gold production just $505 per ounce (excluding royalties) in the September quarter at the Randalls Gold Project, Integra has reaped a quarterly cash profit of $19.9 million.

Chris Cairns, managing director, summed up the performance by saying “Another exceptional achievement for our site-based personnel – a very well executed process facility upgrade and successful achievement of our 100,000 ounce per annum production rate at a cash cost which well and truly confirms Integra as amongst the lowest cost gold producers in Australia.”

The production breakdown for the quarter was 217,985 tonnes of ore processed at a grade of 3.42 grams per tonne gold at a bumper recovery rate of 93.7% for production of 22,463 ounces.

The cash profit from operations for the three month period is $19.9 million.

To boost productivity, during the period a process facility upgrade was completed ahead of schedule and below forecast cost.

Production disruptions, deliberate processing of lower grade ore and a 4-day shutdown to accommodate the upgrade tying-in did result in reduced gold production in the month of July, however, the upgrade was completed by the end of July and record production of 8,873 ounces was achieved in the month of August.

Post upgrade cash costs per ounce for the months of August and September were $450 per ounce and $448 per ounce respectively

http://www.proactiveinvestors.com.au/companies/news/20868/integra-mining-now-one-of-lowest-cost-gold-producers-in-australia-20868.html