PERTH (miningweekly.com) – Gold miner Newcrest Mining has reported higher revenues and lower costs for the year ended June, compared with the previous corresponding period, as both gold and copper production increased.

Revenue for the full year ended June reached $3.7-billion, up from the $3.5-billion in the 2018 financial year, while earnings before interest, taxes, depreciation and amortization increased from $1.5-billion to $1.6-billion.

Underlying profit for the full year was up 22% to $561-million.

Meanwhile, Newcrest has reported its lowest annual all-in sustaining cost (AISC) of $738/oz for the period.

“Newcrest achieved very strong results in financial year 2019. We reported our lowest annual AISC per ounce and delivered over $800-million in free cash flow. This strong operating performance was supported by a continued improvement in our safety performance, with a 3% reduction in total recordable injury frequency rate compared to the prior year,” said MD and CEO Sandeep Biswas.

Meanwhile, gold production for the full year was up 6%, to 2.48-million ounces, while copper production was up 36% in the same period, to 105 867 t.

“Cadia achieved a record year of production and a record low AISC per ounce. Lihir delivered another year of free cash flow in excess of $300-million. All our operations were free cash flow positive,” Biswas said.

Cadia reported a record gold and copper production of 913 000 oz and 91 000 t respectively, while Lihir produced 933 000 oz of gold. The Telfer mine, in Western Australia, contributed 452 000 oz of gold and 15 000 t of copper in the full year, while Gosowong added another 190 000 oz of gold.

“We continued to invest in growth during the year, gaining exposure to another operating asset, the Red Chris mine, in Canada. Our plan is to improve the current operating performance and, subject to drilling and further study, transform Red Chris into a tier one operation by means of block caving,” Biswas said.

Newcrest on Friday completed the $806.5-million acquisition of a 70% interest in Red Chris, with Imperial Metals Corporation retaining a 30% interest.

The openpit copper/gold porphyry project has a mineral resource of 20-million ounces of gold and 13-billion pounds of copper, covering 23 142 ha of land and consisting of 77 mineral tenures, five of which are mining leases.

Newcrest will now commence a forward work plan, which includes a drilling programme, an opepit pit and process plant optimisation work stream, a selective processing study, and a block cave design study.