Thompson Creek sees 2012 moly output down, costs up

* On track for 28 mln-32 mln lbs molybdenum in 2011

* Production in 2012 seen at 26 mln-28 mln lbs

NEW YORK Nov 16 (Reuters) - Thompson Creek Metals Co. Inc. said on Wednesday that it expects to meet its 2011 forecasts for molybdenum production, but its output should fall in 2012 and costs are expected to rise.

Speaking at the Dahlman Rose & Co conference, the company's Chief Operating Officer Scott Shellhaas told investors, "We're still on track to meet our guidance this year for between 28 and 32 million lbs of contained molybdenum."

He said, average cash costs for production were expected to remain between $7 to $8 per lb.

"In 2012, that dips a little bit with Thompson Creek's production coming down, but at the same time Endako, as it's coming on line, will go up," the executive added.

The metal miner expects to produce 16 million to 17 million lbs of the hardening and anti-corrosion metal at its Thompson Creek molybdenum mine in Idaho and 10 million to 11 million lbs at its Endako mine in British Columbia for a total of 26 million to 28 million lbs of contained molybdenum during 2012.

Average production costs should range between $7.75 to $9 per lb in 2012.

By 2013, average cash cost should drop to between $6.75 to $7.75 per lb of molybdenum produced, he said.

But, total molybdenum output is seen increasing to 30 million to 34 million lbs in 2013, with 19 million to 22 million lbs coming from the Thompson Creek mine and 11 million to 12 million lbs from the Endako mine.

Actual molybdenum production came to 32.6 million lbs in 2010, with an average cost per lb of $6.07.

Molybdenum is used to strengthen steel and help it perform in very low and very high temperatures. It also acts as an anti-corrosive alloy in stainless steel.

Thompson Creek has corporate offices in both Denver, Colorado and in Vancouver, British Columbia.