Turquoise Hill Resources Announces Q1 2017 Production Results
VANCOUVER, BC--(Marketwired - April 19, 2017) - Turquoise Hill Resources (TSX: TRQ) (
Jeff Tygesen, Chief Executive Officer of Turquoise Hill, said, "First quarter production was as expected with lower grades from Phases 6 and early 4A of the open pit as well as stockpile material. Oyu Tolgoi's concentrator performed very well with record throughput levels for the quarter. The concentrator continues to benefit from earlier productivity improvements.
"Underground development advanced during the first quarter and the workforce continues to grow. Several large contracts were awarded during the quarter, with the largest for the decline material handling system."
During Q1'17, open-pit operations focused mainly on Phase 6, which has higher copper grades but relatively low gold grades. Ore treated during Q1'17 increased 2.7% over Q4'16 and average daily throughput of 112,100 tonnes for Q1'17 increased 5.1% over Q4'16. Copper production for Q1'17 decreased 16.3% over Q4'16 and Q1'17 gold production decreased 49.0% over Q4'16 due to lower grade and recoveries at the lower end of the grade recovery curve.
Oyu Tolgoi is expected to produce 130,000 to 160,000 tonnes of copper and 100,000 to 140,000 ounces of gold in concentrates for 2017. Open-pit operations are expected to mine in Phases 4 and 6 during the year. In addition, stockpiled ore will be processed during the year. The lower production when compared to 2016 is primarily the result of approximately one-quarter less copper head grade and approximately one-half less gold head grade. During 2016, the mine plan for Phase 4 was divided into two stages, referred to as Phases 4A and 4B, in expectation of reaching the high-grade gold zone of Phase 4 around mid-2018. Accordingly, mine stripping for 2017 will focus on Phase 4A.
|Oyu Tolgoi Production Data|
|All data represents full production and sales on a 100% basis|
|Open pit material mined ('000 tonnes)||22,867||22,716||25,739||25,615||24,333||96,938|
|Ore treated ('000 tonnes)||9,662||9,525||9,146||9,819||10,087||38,152|
|Average mill head grades:|
|Concentrates produced ('000 tonnes)||229.5||207.1||203.2||206.7||176.0||846.6|
|Average concentrate grade (% Cu)||25.1||24.9||22.9||22.0||21.6||23.8|
|Production of metals in concentrates:|
|Copper ('000 tonnes)||57.6||51.7||46.6||45.5||38.1||201.3|
|Gold ('000 ounces)||144||70||37||49||25||300|
|Silver ('000 ounces)||395||391||361||273||215||1,420|
|Concentrate sold ('000 tonnes)||213.1||227.4||206.2||182.0||190.2||828.6|
|Sales of metals in concentrates:|
|Copper ('000 tonnes)||51.2||54.4||45.7||37.6||39.5||188.9|
|Gold ('000 ounces)||175||95||38||39||32||347|
|Silver ('000 ounces)||305||395||341||239||205||1,280|
|Metal recovery (%)|