Oceana Gold posts A$10.9m half year profit

10.15am

Dual-listed gold producer Oceana Gold today reported a net profit of A$10.92 million ($11.89 million) for the June half year.

Australia's Oceana Gold bought Oceana Gold New Zealand, formerly GRD Macraes Limited, in December 2003 and listed on the Australian and New Zealand stock exchanges in mid-March this year.

It has approximately 6.7 million ounces of resources, including 2.6 million ounces of reserves, in the New Zealand Macraes, Reefton and the recently discovered Sams Creek goldfields.

Oceana Gold produced 175,000 ounces of gold in New Zealand last year, making it the country's largest gold producer.

The company said development plans outlined in its prospectus to take it from a single mine to a multiple mine producer of at least 350,000 ounces per annum progressed well during the half year.

The development of a new open cut and two new underground mines should see annual gold production double to at least 350,000 ounces by 2006/2007.

- NZPA