After completing its $US4.3 billion ($6.7 billion) divestment program earlier this year, Newmont has shared the number of resources comprising its revitalised Tier 1 gold portfolio.
In February 2024, Newmont announced its plans to divest mines and projects it doesn’t consider to be ‘Tier 1’ assets.
Newmont defines a Tier 1 asset as an operation with “(more than) 500,000 gold equivalent ounces per year consolidated, (an) average all-in sustaining cost per ounce in the lower half of the industry cost curve, and a mine life (greater than) 10 years in countries classified in the A and B rating ranges of Moody’s, S&P and Fitch”.
Now with all of the mines under the divestment program officially sold, Newmont’s Tier 1 portfolio mineral reserves consist of 134.1 million attributable ounces of gold and 13.5 million attributable tonnes of copper, an amount that’s inclusive of assets held for divestment.
Excluding the assets to be sold, Newmont’s mineral reserves stand at 125.5 million attributable ounces of gold.
The company’s Australian assets now make up 22 per cent of its gold reserves. The Boddington gold-copper mine in Western Australia saw its reserves increase by 13 per cent, totalling 10.8 million ounces (Moz).
The Tanami gold mine in the Northern Territory increased its reserves by six per cent to 5.1Moz and the Cadia gold-copper mine in New South Wales saw a four per cent decrease in its reserves, which now sit at 14.4Moz.
“Newmont has solidified its position as the gold industry’s leader with the highest concentration of Tier 1 assets, reserves and resources,” Newmont president and chief executive officer Tom Palmer said.
In a bid to further grow its Tier 1 assets, Newmont plans to spend approximately $250 million on exploration activities at its managed operations. Near-mine expansion programs and brownfield projects will see 75 per of this expenditure, and greenfield projects will see the balance.
“Supported by our industry-leading exploration program, we continue to focus on extending mine life, developing districts and discovering new opportunities in the most favourable mining jurisdictions,” Palmer said.
“Newmont’s extensive gold and copper reserve base represents the foundation for stable production and meaningful value creation for the next several decades.”
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