Oyu Tolgoi releases Q4 Production Report and 2016 Scorecard

2017-01-24 17:08:05

Ulaanbaatar /MONTSAME/ Oyu Tolgoi announced an update on its production for the fourth quarter of 2016 and released the latest edition of its Performance Scorecard on January 24.

According to the report, Oyu Tolgoi performed better than its target on safety in 2016, continuing to be one of the leading safety performers across Rio Tinto and peers in the broader mining industry.

During Q4’16, progress continued in key areas of underground development with the national workforce working on the underground project crossing 2,000 personnel; Shafts 2 and 5 related activities and construction of critical on-site facilities continued, and the bulk excavation component for the conveyor-to-surface work stream was completed. Lateral development rates are progressing well with a further increase expected in 2017, when additional underground crushing capacity is added.

The company is expecting to produce 130,000 to 160,000 tonnes of copper in concentrates and 100,000 to 140,000 ounces of gold in concentrates for 2017.

Oyu Tolgoi’s total in-country spend since 2010 crossed US$6.1 billion at the end of Q4 – demonstrating a strong, continuing commitment to local content in both operations and underground development, including US$760 million total spend in country in 2016.

The company continued its world-class environment performance, achieving an annual average water recycling rate of 86.2 per cent, and using only 0.423 cubic metres of water per tonne of ore processed – one-third the usage of comparable operations worldwide.

Oyu Tolgoi continued its strong contribution to the South Gobi community in 2016 achieving procurement spends of US$69 million, and investing US$9.7 million in sustainable development and community infrastructure projects in the region. Two major infrastructure projects saw significant progress in the last quarter, with the Bayan-Ovoo Primary Health Care Center, a two-story building with 10 beds, a surgery and birthing room, and employing 18 staff, including doctors and nurses completed, and the Khanbogd bulk water treatment plant nearing commissioning.