New Gold has record year
New Gold had their best year in 2010, with increased production and declining costs resulting in record earnings and cash flow, the B.C.-based company said on Friday.
Consolidated revenue for the year was $530 million compared to $324 million in 2009, which the company attributed to higher production rates and elevated gold prices.
Earnings from mine operations jumped 129% to USD$203 million, compared to $89 million in the previous year.
“2010 was a very successful year for our company and we are proud of our results. We remain even more excited about 2011 and the coming years,” said Executive Chairman Randall Oliphant.
Between the Mesquite Mine in the US, the Cerro San Pedro Mine in Mexico and Peak Gold Mines in Australia, New Gold expects to produce between 380,000 and 400,000 gold ounces in 2011.
The company’s next mine, New Afton, located near Kamloops, BC, is expected to go into production in mid-2012. The underground copper-gold mine is expected to produce an average 85,000 ounces of gold per annum and 75 million pounds of copper.