Iran’s largest gold mine has reported a major increase in production over the seven months to late October, amid a surge in international prices that has driven more investment into the country's gold mining sector.
The state-run Iran Mineral Production and Supply Company (IMPASCO) said in a statement on Wednesday that gold production at Zarshouran Gold Mine had reached 692 kilograms in the seven calendar months to October 22, up 31% from the same period last year.
IMPASCO said that Zarshouran had produced 110 kilograms of gold in October, a new high in monthly output.
It said that minerals processed in the gold mine had also increased by 25% year on year in April-October to reach more than 0.257 million metric tons.
The company, which is a subsidiary of the state-run metals and mining group IMIDRO, said Zarshouran would see further growth in output in the coming months, thanks to increased investment by IMIDRO and plans to expand precious metals extraction in Iran.
Iran’s annual gold production, typically around 1.2 metric tons and primarily supplied to domestic jewelry producers, is expected to rise in the current calendar year ending in late March.
Iran’s gold mining sector has recently drawn significant investment amid record-high global prices, which have improved profitability and boosted cash inflows.
Spot gold rose 1.2% to $3,977.94 an ounce on Wednesday as investors continued to favor safer assets.
In Iran, bullion closed at 104,780,000 rials per gram in Iran on Wednesday, down 0.04% from the day before, according to figures by Iranian price monitoring websites.
Press TV