H

ong Kong-based mining company G-Resources Group Ltd. has reported steady production of gold and silver at its Martabe mining site in North Sumatra every year since the first casting in July 2012.

It also expects that the trend will continue in the coming years.

G-Resources president director Peter Albert said recently that the company had produced 134,937 ounces (oz) of gold and 1,046,535 oz of silver during the first six months of 2014, an increase of 1 percent and 67 percent, respectively, compared to the same period last year.

Albert said the mining site produced 47,858 oz of gold and 218,361 oz of silver in 2012, while it produced 281,477 oz of gold and 1,515,228 oz of silver in 2013.

From July 2012 to the end of 2013, the company booked US$429 million in revenue, from both gold and silver sales, he said, adding that the company booked $173 million in revenue in the first half of this year.

'€œThis year and onwards in this volatile gold market, we are entirely focused on ensuring optimum results from the Martabe operation, ensuring we operate as efficiently as possible to maximize our margin '€” especially at a time when gold and silver prices are low,'€ Albert said, adding that the company would strive to make Martabe one of the major mining sites in the world.

Meanwhile, G-Resources corporate communications senior manager Katarina Siburian Hardono said the company was expanding its exploration activities for mineral resources in areas around the site.

She said the company was exploring areas around Purnama Pit, Barani and Uluala Hulu in North Sumatra.

'€œSo far, exploration activities in those three areas are proceeding smoothly,'€ she said, adding that the company would soon announce exploration results of those areas.

Meanwhile, Albert said that G-Resources had paid royalties of Rp 22.8 billion ($1.97 million) to the government for its gold and silver sales in 2013.

In addition, the company also paid Rp 322 billion in tax and non-tax fees.

'€œWe have been successful at keeping our finances under control and providing significant contributions to Indonesia [through taxes, royalties, shares and dividends, and its corporate social responsibility programs],'€ he said.

The Martabe mining site is G-Resources'€™ core starter asset, which has estimated reserves of 8.1 million ounces of gold and 73.8 million ounces of silver.

Located in South Tapanuli, North Sumatra, Martabe can produce 250,000 oz of gold and 2 million of silver per annum. (ask)