BRIEF-Turquoise Hill says 60 pct of Oyu Tolgoi's 2014 production under contract

Feb 12 (Reuters) - Turquoise Hill Resources Ltd TRQ.TO :

* Provides update on oyu tolgoi and discussions with the government of Mongolia

* 60 percent of oyu tolgoi's 2014 production is under contract,with additional

volumes confirmed,subject to contract finalization

* Production rates have recently been impacted by various post-commissioning

issues

* Says oyu tolgoi's 2013 gross revenues were US$55 million on sales of 26,400

tonnes of concentrate

* For 2014, oyu tolgoi continues to target production of 150,000 to 175,000

tonnes of copper in concentrates

* For 2014, oyu tolgoi continues to target production of 700,000 to 750,000

ounces of gold in concentrates

* Oyu tolgoi will monitor production levels with the goal of returning to more

normal levels of inventory by the end of 2014

* Further delays at oyu tolgoi may occur if outstanding shareholder issues not

resolved before expiration of lender commitments

* Says option to restart the underground development, subject to certain

conditions being met, has been proposed

* Further company coverage TRQ.TO

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