Kingsgate Consolidated, an Australian gold mining company, has seen increased gold yields in Thailand this financial year. Record prices of gold have already helped the company practically triple its net profit to $33.9 million.
The full year gold production till June 30 is likely to be between 210,000 ounces to 230,000 ounces as per Kingsgate Consolidated. The Chatree gold mine which it operates in central Thailand is expected to give 115,000 to 125,000 ounces of gold this year. The mine had produced 76,248 ounces last year, but the miners have hit richer ores this year.
Another mine which will contribute significantly to the annual production of gold will be the one in South Australia which is likely to produce 95,000 to 105,000 ounces of gold. Gavin Thomas, the chief executive officer for Kingsgate said that the increased consumption of gold in China and India will keep gold prices high even if equity markets recovered.
Mr Thomas said that they were in the middle of a very long and strong upwards trend. He added that the current price of gold was not impacting demand, the world could not find gold quickly enough, there was a shortage on the supply side and they would just see never-ending increases in the gold price as miners struggle to dig the precious metal out of the ground.