Sunshine for Aurora

In spite of adverse El Nino climatic conditions affecting its Mt Muro mining operations in Indonesia, Aurora Gold Limited reported a net profit $14.5 million from silver and gold sales for the fiscal year ended December 31.

This reflects a much lower gold price and an increase in cash operating costs from US$161 per ounce in 1997 to US$170/oz in 1998.

Nevertheless, the Mt Muro operation turned in a 6 per cent higher production rate, with sales revenue increasing 12 per cent to $143 million.

Aurora managing director and CEO Ian Burston said: “Despite difficult conditions, all aspects of the company’s operational activities produced positive results in 1998.”

The group aims to achieve sustainable annual production of 400,000 ounces of gold equivalent.

Primary focus will be on developing the Toka Tindung project in North Sulawesi, where Aurora has established reserves of 883,000 gold equivalent ounces.