Despite a recent geotechnical failure in the Batu Hijau mine in West Nusa Tenggara, Newmont Corp has seen an increase from the mine of 106.02 percent and 71.11 percent in gold and copper sales respectively, during the first nine months of the year compared to a year earlier.

"Equity gold and copper sales *from the Batu Hijau mine* were slightly higher than expected due to higher grades *of the concentrate*," the US mining giant said in a press statement issued Friday.

Newmont said that its equity gold sales from the Batu Hijau mine in the first nine months of 2009 reached 171,000 ounces, up from 83,000 ounces sold in the same period last year.

The equity sales are the amount owned by Newmont in the joint operation.

The Batu Hijau mine, Indonesia's second largest copper mine, is operated by PT Newmont Nusa Tenggara (NNT), a local unit of Newmont. NNT is 45 percent owned by Newmont, 35 percent by Sumitomo Corp and 20 percent by PT Pukuafu Indah.

Consolidated gold sales during that period from the Batu Hijau mine were 381,000 ounces, up from 185,000 ounces in the same period last year.

The statement also reported that copper sales from the Batu Hijau mine, reached 154 million pounds, up from 90 million pounds in the same period last year. Consolidated copper sales reached 342 million pounds, up from 201 million pounds in the same period last year.

On Sept. 18, the Batu Hijau mine experienced a geotechnical failure in the west wall of the open-pit mine. Mining activities resumed on Oct. 10.

NNT spokesman Rubi W. Purnomo said on Oct. 14 that the production output would be corrected by between 1.5 and 2 percent per year in four to five years.

However, in the statement, Newmont said that it maintained its 2009 target for equity gold and copper sales from the mine.

"The impact on 2009 gold and copper production is expected to be minimal and the company continues to expect equity gold and copper sales from the mine of between 225,000 and 250,000 ounces and 210 and 230 million pounds, respectively," Newmont said.

Source From The Jakarta Post