Gosowong operates normally

Gosowong operates normally

MELBOURNE (Dow Jones): Newcrest Mining Ltd. (A.NEW), an Australian gold miner, said Wednesday that its Gosowong gold mine on Indonesia's Halmahera Island is operating normally despite renewed sectarian violence on the island.

The violence "hasn't had any impact on us at all," Newcrest executive general manager for eastern operations, Bruce Price, told Dow Jones Newswires, noting that the mine is some 40 kilometers away from where the violence occurred.

On Monday, clashes on the island between Christians and Muslims armed with homemade weapons left up to 135 people dead.

The violence is the latest outbreak of an 18-month conflict between Muslims and Christians in the Maluku Islands, that include Halmahera, that has so far cost 2,500 lives.

Gosowong is currently producing at a rate of 20,000 troy ounces of gold a month, but long-term production is forecast at 154,000 ounces a year.

Newcrest has an 82.5 percent stake in Gosowong and is partnered by PT Aneka Tambang (P.ATB), a gold and nickel producer controlled by the Indonesian government, with 17.5 percent.