Gold at record levels

Oceana Gold, which runs gold mines in the South Island, has lifted its full-year production forecast to a record level after a strong third-quarter performance.

The company said its third-quarter gold sales were 14 per cent up on a year ago at 71,492oz (2.02 million grams).

Gold production for the three months to the end of September was up 10 per cent to 70,020oz, while year-to-date gold production was 23 per cent up on a year earlier at 228,297oz. The "robust" third quarter results prompted an increase in full-year production guidance to between 297,000oz and 303,000oz, from 280,000oz to 300,000oz.

OceanaGold interim chief executive Marcus Engelbrecht said the third-quarter results demonstrated the company was well on track to deliver record full-year gold production and sales. Year-to-date production was ahead of expectation and was evidence of steady operations at the Macraes and Frasers mines in Otago, and the Reefton mine on the West Coast.

Melbourne-based OceanaGold reported third-quarter ebitda (earnings before interest, taxes, depreciation and amortisation excluding unrealised gains/losses on undesignated hedges) of US$24.4 million ($33.3 million).