Lihir on track for 2007 target

Lihir Gold, the leading Asia-Pacific gold miner, expects to achieve its target of 800,000 to 830,000 ounces for 2007.

The company produced 182,428 ounces of gold in its second quarter, taking half-year production to a record 375,730 ounces. Second-half production should be between 424,000 and 454,000 ounces.

Lihir’s average cash gold price for the second quarter was $664 per ounce, which compares favourably with $537 per ounce for the first quarter.

Second-half production is expected to increase as the result of the expansion of the company’s processing plant, higher gold grade and increased throughput.

In the past month Lihir has secured government approvals for its Golden Point shaft development. Significant gold assays have already been received from resource drilling at the site.

Drilling for resource definition continues and significant progress has been made in underground development; commercial rates of production are expected in the second half of 2008.