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Dealmaking Goldcorp Sees Record 2010

Goldcorp, involved in a spate of recent deals, sees another record year of gold production for 2010.
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VANCOUVER, British Columbia (TheStreet) -- Goldcorp (GG) took more of its eponymous precious metal out of the ground in 2009 than during any year in its history, the company said Monday.

The world's second-largest gold producer put out 2.4 million ounces during all of 2009, exceeding its previously stated guidance by about 100,000 ounces. The record production levels aren't surprising, of course, given the surge in gold prices in the latter half of 2009.

Still, production dropped slightly in the fourth quarter compared with 2008. Goldcorp produced 601,000 ounces in the just-ended period, down from 663,000 ounces a year ago.

In a press release Monday, Goldcorp said it expects total cash costs for the year to come to $295 per ounce of gold on a by-product basis. The company is scheduled to report fourth-quarter and year-end results on March 11.

Looking ahead, Goldcorp said it expects to boost production further next year. It's targeting 2.6 million ounces of gold in 2010 with a cash cost of about $350 an ounce.

Goldcorp recently bested archrival

Barrick Gold


, the globe's biggest miner of the yellow metal, in a tricky deal to acquire a Chilean mine called El Morro. El Morrow is said to contain some 6.7 million ounces of gold and 5.7 billion ounces of copper -- thereby assuring Goldcorp a huge reserve of metal when the reserves at its other, older properties wane.

Meanwhile, Goldcorp also looks to have won a low-grade bidding war with

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-- Written by Scott Eden in New York

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Scott Eden has covered business -- both large and small -- for more than a decade. Prior to joining, he worked as a features reporter for Dealmaker and Trader Monthly magazines. Before that, he wrote for the Chicago Reader, that city's weekly paper. Early in his career, he was a staff reporter at the Dow Jones News Service. His reporting has appeared in The Wall Street Journal, Men's Journal, the St. Petersburg (Fla.) Times, and the Believer magazine, among other publications. He's also the author of Touchdown Jesus (Simon & Schuster, 2005), a nonfiction book about Notre Dame football fans and the business and politics of big-time college sports. He has degrees from Notre Dame and Washington University in St. Louis.