A stronger US dollar is helping drive Australian gold production and buffeting local prospectors from the effects of a global sell-off in bullion, according to a sector survey released on Sunday.
Production of the precious metal in Australia rose by 4 percent in the second quarter to 72 tonnes versus the previous quarter, second only to China, mining consultants Surbiton Associates Pty Ltd said in its latest tally of Australia's gold mining industry.
A stronger greenback is playing into the hands of Australian prospectors, with the bullion price in Australian dollar terms relatively stable since the start of 2015, according to Surbiton's director, Sandra Close.
"Despite lower gold prices in US dollar terms, the depreciation of the Australian dollar is proving a blessing for Australian gold producers," Close said.
"Although the gold price averaged US$1,192 per ounce in the June quarter, the Australian dollar gold price averaged A$1,532 per ounce," she said.
Australia's gold output over the 12 months to June 30 rose 1 percent to 285 tonnes, which at today's prices is worth about A$14 billion ($10.05 billion).
China is estimated to have produced around 450 tonnes in calendar 2014.