Australia Markets open in 5 hrs 31 mins

Newcrest lifts production


Gold mining giant Newcrest has lifted production six per cent and expects full year output to be near the top of its guidance range.

Newcrest lifted gold production to 621,125 ounces during the December quarter, up from 586,573 tonnes in the previous quarter.

It expects to produce around 2.3 million ounces of gold during the 2013/14 financial year, which is at the top of its previous guidance.

The main driver of the stronger production was a 27 per cent increase in output from its Telfer mine.

Meanwhile, the miner lifted its copper production 15 per cent to 22,603 tonnes during the quarter.

Newcrest recorded an average realised gold price of $1,372 per ounce during the quarter, while the all-in sustaining cost of production fell 16 per cent to $921 per ounce.

The miner attributed the cost reduction to increased production and sales, and lower levels of production stripping plus sustaining capital and a continuing "cost-out" focus.

Newcrest has weathered a difficult couple of years, with its share price falling from around $34 at the start of 2012 to $9.34 at the close of trade on Wednesday amid a slide in the gold price.