Media
Press release

Oyu Tolgoi announces fourth quarter 2014 production

Ulaanbaatar, Mongolia - Oyu Tolgoi today announced its production report for the fourth quarter of 2014.

Oyu Tolgoi produced 50,300 tonnes of copper and 278,000 ounces of gold in concentrates for the quarter.

Higher ore grades during the quarter led to increased metal production over previous quarters. This was, however, partially offset by reduced processing rates as a result of the concentrator fire in December 2014. Repairs from the fire were completed on 2 January 2015, and the concentrator has returned to full production.

Full year production for 2014 was in line with guidance, at 148,400 tonnes of copper and 589,000 ounces of gold in concentrates. Marketing and logistics improvements throughout 2014, alongside sales momentum in Q4, led to drawdown of inventory to optimised levels.

Andrew Woodley, President and CEO of Oyu Tolgoi, said: “While we are still a young business, completing our first full year of production, we made real progress over the course of 2014. Despite challenges, the team at Oyu Tolgoi delivered a strong performance – meeting our production guidance and achieving strong sales.

“This puts us in a strong position to continue to drive growth and profitability in 2015, and I firmly believe we are on the path to delivering a safe and globally competitive copper business which creates enduring value for all our stakeholders.”

Looking ahead, Oyu Tolgoi is expected to produce 175,000 to 195,000 tonnes of copper, and 600,000 to 700,000 ounces of gold in concentrates in 2015.

Oyu Tolgoi Production Data

All data represents full production and sales on a 100% basis

4Q 2013 1Q 2014 2Q 2014 3Q 2014 4Q 2014 Full Year 2014 Full Year 2013
Open pit material mined (‘000 tonnes) 21,956 21,621 16,861 19,493 18,944 76,919 72,032
Ore Treated (‘000 tonnes) 7,835 5,560 7,778 7,029 7,505 27,872 20,317
Average mill head grades (grades of ore)
Copper(%) 0.49 0.52 0.53 0.59 0.74 0.60 0.47
Gold(g/t) 0.41 0.49 0.60 0.80 1.46 0.86 0.36
Silver (g/t) 1.44 1.52 1.57 1.64 1.65 1.60 1.39
Copper concentrates produced (‘000 tonnes) 129.5 102.9 140.0 134.1 186.7 563.6 290.0
Average concentrate grade (% Cu) 25.4 24.6 25.8 27.3 26.9 26.3 26.4
Total metals produced
Copper in concentrates (‘000 tonnes) 32.9 25.3 36.2 36.6 50.3 148.4 76.7
Gold in concentrates (‘000 ounces) 74 66 113 132 278 589 157
Silver in concentrates (‘000 ounces) 208 163 229 216 286 893 489
Sales of metals in concentrates
Copper in concentrates (‘000 tonnes) 6.1 13.1 51.6 53.6 67.6 185.8 6.1
Gold in concentrates (‘000 ounces) 10 28 126 144 263 561 10
Silver in concentrates (‘000 ounces) 36 78 309 323 383 1,093 36
Metal recovery (%)
Copper 86.4 87.9 87.6 89.3 90.7 89.1 81.6
Gold 71.2 75.5 74.8 74.8 78.6 76.6 66.1
Silver 57.2 59.3 58.6 58.6 71.6 62.3 54.2


About Oyu Tolgoi LLC (www.ot.mn)

Oyu Tolgoi LLC, Mongolia's largest copper and gold mining company, is a strategic partnership between the Government of Mongolia, Turquoise Hill Resources and Rio Tinto. Located in the South Gobi, Oyu Tolgoi commenced shipment of product to customers in July 2013. Oyu Tolgoi is managed by Rio Tinto, which is investing global expertise and cutting-edge technology to help develop Mongolia’s mining industry and ensure Oyu Tolgoi is one of the world’s most advanced mines. For Oyu Tolgoi, nothing matters more than safety. The business operates under the principle that if a job cannot be done safely, it will not be done at all.

For more information, connect with us on Facebook and Twitter.