Cons. Gold improvement continuing this year

Press, 14 October 1976, Page 10

Cons. Gold improvement continuing this year

NZPA-Reuter Sydney Consolidated Gold Fields of Australia, Ltd, expect the improvement in operating results, in the second half of 1976, to continue this financial year, the directors say in the annual report.

’ Programmes commenced during 1976 and directed to- ■ wards consolidation of group ! affairs and containment of ; costs, will be vigorously pur- ’■ sued this year. The current price for cop- ' per, although higher than that prevailing for most of 1976, will not enable the group to show a profit on this activity. However, results are expected to show an improvement over those of last year. The company expects the demand for tin to remain firm due to the fact that the International Tin Council has not re-imposed exportquotas, which restricted pro- ■ duction in 1976. i Given continuity of satisfactory tin prices, good re-

suits can be expected from this division, they say. The production and sales of principal products from the mineral sands activities were affected by reduced demand, but signs of recovery are now evident.

Ilmenite production has been reduced to meet present sales commitments while production and sale of rutile and beneficiaf ilmenite is basically committed forward for the next two years or so. The potential excess supply of zircon is a cause for concern to directors.

The company expects increased coal sales after the installation of new production units that have substantially increased capacity.