Turquoise Hill announces fourth quarter 2014 production
January 19, 2015
VANCOUVER, CANADA – Turquoise Hill Resources today announced the fourth quarter 2014 production for Oyu Tolgoi.
Production for Q4’14 was 50,300 tonnes of copper and 278,000 ounces of gold in concentrates. Higher ore grades during the quarter led to increased metal production over prior quarters, which was partially offset by reduced processing rates as a result of the December concentrator fire. Repairs from the fire were completed on January 2, 2015 and the concentrator has returned to full production.
Full year 2014 production was 148,400 tonnes of copper and 589,000 ounces of gold in concentrates; in-line with the Company’s guidance.
Strong concentrate sales continued during Q4’14 with sales exceeding production resulting in an inventory drawdown for the quarter. By year end, marketing and logistics improvements throughout 2014 resulted in concentrate inventories being drawn down to expected levels.
Jeff Tygesen, Turquoise Hill Chief Executive Officer, said, “Despite some operational interruptions during the year, Oyu Tolgoi continued to improve through 2014. We look forward to building on 2014 achievements throughout 2015.”
In 2015, Oyu Tolgoi is expected to produce 175,000 to 195,000 tonnes of copper and 600,000 to 700,000 ounces of gold in concentrates. Based on the 2015 mine schedule, production from the high-grade zone is expected to resume in mid-2015.
2
Oyu Tolgoi Production Data
All data represents full production and sales on a 100% basis
4Q
2013 1Q 2014 2Q 2014
3Q
2014
4Q
2014
Full Year
2014
Full Year 2013
Open pit material mined (‘000 tonnes)
21,956 21,621 16,861
19,493
18,944
76,919
72,032
Ore Treated (‘000 tonnes)
7,835 5,560 7,778
7,029
7,505
27,872
20,317
Average mill head grades:
Copper (%)
0.49 0.52 0.53
0.59
0.74
0.60
0.47
Gold (g/t)
0.41 0.49 0.60
0.80
1.46
0.86
0.36
Silver (g/t)
1.44 1.52 1.57
1.64
1.65
1.60
1.39
Concentrates produced (‘000 tonnes)
129.5 102.9 140.0
134.1
186.7
563.6
290.0
Average concentrate grade (% Cu)
25.4 24.6 25.8
27.3
26.9
26.3
26.4
Production of metals in concentrates:
Copper in concentrates (‘000 tonnes)
32.9 25.3 36.2
36.6
50.3
148.4
76.7
Gold in concentrates (‘000 ounces)
74 66 113
132
278
589
157
Silver in concentrates (‘000 ounces)
208 163 229
216
286
893
489
Sales of metals in concentrates:
Copper in concentrates (‘000 tonnes)
6.1 13.1 51.6
53.6
67.6
185.8
6.1
Gold in concentrates (‘000 ounces)
10 28 126
144
263
561
10
Silver in concentrates (‘000 ounces)
36 78 309
323
383
1,093
36
Metal recovery (%)
Copper
86.4 87.9 87.6
89.3
90.7
89.1
81.6
Gold
71.2 75.5 74.8
74.8
78.6
76.6
66.1
Silver
57.2 59.3 58.6
58.6
71.6
62.3
54.2
About Turquoise Hill Resources
Turquoise Hill Resources (NYSE, NASDAQ & TSX: TRQ) is an international mining company focused on copper-gold and coal mines in Mongolia. The Company’s primary operation is its 66% interest in the Oyu Tolgoi copper-gold-silver mine in southern Mongolia. Turquoise Hill also holds a 47.9% interest in Mongolian coal miner SouthGobi Resources (TSX: SGQ; HK: 1878).
