The company is aiming to modify the Cadia East approval to increase the permit for the upper limit of the processing plant from 27 million tonnes per annum to 32Mtpa.
 
Newcrest said any decision to increase production capacity and the associated capital requirement was subject to further studies and board approval.
 
Cadia East’s $A2 billion, 10Mtpa Panel Cave 1 has ramped up faster than expected and the 16Mtpa Panel Cave 2 reached commercial production and is in the ramp-up phase.
 
The mine operated at a run-rate of 12.2Mtpa in the December quarter and once it hits 26Mtpa, will be Australia’s largest underground metalliferous mine and one of the largest in the world.
 
Cadia East produced 102,347 ounces of gold in the December quarter, within the Cadia Valley operation’s total of 165,000oz.
 
The operation is set to produce 610,000-650,000oz gold and 70,000t copper this financial year at all-in sustaining costs of $200-220 an ounce.
 
Cadia Valley production is expected to reach 700,000oz gold in FY16 and increase again in FY17.
 
Newcrest shares closed at $13.93 yesterday.