Gold Production in Australia increases by 13% in December quarter

GoldAccording to the latest report by the Mining consultants Surbiton Associates, the output of total gold in Australia grew by 13% in the quarter ending December comparing to the previous quarter. Also the demand of gold was reported increased in the quarter reflecting the increase in gold prices.

According to the report, the total gold production in the quarter ended December was reported of 62 tons or 2 million ounces, increasing by 14% comparing to the same period last year.

For the full year 2009, the total gold output was reported 227 tons or 7.3 million ounces, increasing by 3% comparing to year 2008. Also last year's output would be worth more than $9 billion valued at the current Australian gold price of $1250 an ounce.

The yearly gold output put Australia to the position of the world's second largest gold producing country. Australia is now only behind China which produced 314 tons gold last year. However, U. S. and South Africa are the countries with third and fourth rank in the list.

According to the Surbiton Associates, the Gold production is also expected to increase in near future.

"Despite the low level of exploration, which is still a real cause for concern in the longer term, the current attractive gold price and margins are fostering the redevelopment of old operations," said Sandra Close, Surbiton Associates managing director.