Newmont to produce gold

Newmont to produce gold

JAKARTA (JP): PT Newmont Minahasa Raya, a subsidiary of a U.S. company, plans to start gold mining in North Sulawesi in March, the head of the Ministry of Mines and Energy's office in the province, Ronny Mamesah, said.

"The company is projected to produce 140,000 troy ounces or 4.5 tons of gold in 1996," Ronny was quoted Saturday by Antara as saying in Manado, North Sulawesi.

He said the gold mine, which is expected to have a lifespan of 13 years, has a deposit of 2.1 million troy ounces of gold.

The mine is located about 80 kilometers south of Manado.

Meanwhile, Newmont Minahasa's president, John Dow, said the company has invested US$35 million in exploration activities since 1985. Spending on construction will reach $135 million by the end of next month.

He said the company's gold plant will have a processing capacity of 2,000 tons of ore per day, adding that the ore has an average grade of 7.7 grams of gold per ton.(04)