Newmont chief bullish on gold price

The vice-chairman of Newmont Mining Corp, which is one of the world’s largest gold producers, expects the price of gold to pass the $US1,000 mark.

Mr Lassonde, who is also chairman of the World Gold Council and known to be optimistic on gold prices, holds the view that the boom in global resources still has someway to go.

Whilst gold is currently fetching about $US670 an ounce, he is confident that the price “will go a heck of a lot higher”.

Newmont has significant assets or operations on five continents and the company’s vice-chairman sees the economies of China and India creating a bull market in natural resources that will last for 20 years.

He says that the Chinese and Indian economies may experience downturns in their expansion but these will be short-lived, allowing the boom conditions to continue.

In this respect Mr Lassonde also sees the prices of platinum and oil increasing, but he believes that copper has already hit its peak in the pricing cycle.

Newmont Mining expects to produce up to 5.6 million ounces from its global operations this in 2007.