Miner talks up gold price

Arthur Hood

The managing director of Australian mining company Lihir Gold is expecting the strong rise in the price of gold to continue for some time.

Arthur Hood says the gold price has doubled over the past five years and he is not surprised by the strong run in prices over the past few weeks.

Spot gold hit a fresh high of US$1,061 an ounce last week.

He said on the ABC's Inside Business programme that steady demand and a steady decline in mine supplies are helping to push up the price.

"I do not like making predictions about the gold price, but certainly there's been talk this week about US$1,500 and I see that as perfectly achievable," Hood said.