SMM, March 16 / PRNewswire-FirstCall-Asianet / parent company Turquoise Hill said in its annual report on Friday that due to record production from open-pit mining and centralized investment, accompanied by increased productivity, Copper concentrate production at the (Oyu Tolgoi) mine in Oyu Tolgoi, Mongolia, increased by 22.8 per cent in the fourth quarter of 2017 over the third quarter to 45300 tons.
Oyu Tolgow also produced 35000 ounces of gold in Q4, down 12.9 per cent from the third quarter, and 285000 ounces of silver concentrate, down 19.2 per cent from the previous quarter.
For the whole of 2017, Oyu Tolgoo produced 157400 metal tons of copper concentrate, down from 201300 metal tons in 2016.
The company produced 114000 ounces of gold concentrate in 2017, down from 300000 ounces in 2016, while silver concentrate production fell from 1.42 million ounces to 974000 ounces over the same period.
Oyu Tolgoi sold 149300 metric tons of copper in 2017, down from 188900 tons in 2016. Sales of gold concentrate fell to 111000 ounces in 2017 from 347000 ounces a year earlier, while sales of silver products fell from 1.28 million ounces to 860000 ounces over the same period.
In the fourth quarter, the miner sold 35700 tonnes of copper concentrate, down 3.3 per cent from the third quarter and 6.9 per cent from a year earlier, while silver concentrate sold 205000 ounces down 10.5 per cent from a month earlier.
In 2018, Oyu Tolgoi aims to produce 125000 to 155000 metric tons of copper and 240000 to 280000 ounces of gold.
"Phase 6 open-pit mining is expected to take place in early 2018, while Phase IV mining will continue in 2018," Turquoise Hill said. He noted that the ore stored in stocks would be processed uninterrupted in 2018.
Oyu Tolgoi, located in the South Gobi region, is expected to become the world's third-largest copper mine by 2025. The company said copper production at the mine would grow by more than 340 per cent between 2018 and 2025.
The average production from 2025 to 2030 is expected to exceed 550000 tons per year.
Oyu Tolgoi's revenue in 2017 was $939.8 million, down from $1.2 billion in 2016, as higher copper prices partially offset the decline in sales in 2016.
