PROFIT & LOSS

Newmont earnings fall on solid quarter

Solid results but earnings down

Staff reporter
Newmont's Yanacocha mine in Peru

Newmont's Yanacocha mine in Peru

The company produced 1.46 million ounces of gold at an all-in sustaining cost of $1,039/oz for the period, broadly similar to the 1.48Moz produced at AISC of $1,030/oz in the prior year period.

Production in the latest quarter, compared with the previous year, was impacted by the sale of Red Lake in Canada, lower leach pad production and the ramp down of the mill at Yanacocha in Peru, lower mill throughput at Nevada Gold Mines in the US, lower ore grade milled at Merian in Suriname, and lower production at Cerro Negro in Argentina, largely offset by higher ore grade milled at Peñasquito (Mexico), Musselwhite (Canada), Boddington (Australia) and Akyem (Ghana).

The company ended the quarter with $5.5 billion in cash and reduced its debt by $550 million, or 9%, to $5 billion. It maintained its 55c per share dividend for the quarter.

"In the first quarter we delivered a solid financial performance with $1.5 billion in adjusted EBITDA and $442 million in free cash flow, putting Newmont on track to achieve our full-year guidance with improving production expected in the second half of the year," said Newmont president and CEO Tom Palmer.

Newmont expects to make an investment decision on its 300,000oz/y Ahafo North expansion in July and 500,000oz/y Yanacocha Sulphides project in Peru in the second semester.

Shares in Newmont are trading at $62.07, valuing the company at $49.7 billion.

 

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining Journal Intelligence team.

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining Journal Intelligence team.

editions

ESG Mining Company Index: Benchmarking the Future of Sustainable Mining

The ESG Mining Company Index report provides an in-depth evaluation of ESG performance of 61 of the world's largest mining companies. Using a robust framework, it assesses each company across 9 meticulously weighted indicators within 6 essential pillars.

editions

Mining Journal Intelligence Global Leadership Report 2024: Net Zero

Gain insights into decarbonisation trends and strategies from interviews with 20+ top mining executives and experts plus an industrywide survey.

editions

Mining Journal Intelligence Project Pipeline Handbook 2024

View our 50 top mining projects, handpicked using a unique, objective selection process from a database of 450+ global assets.

editions

Mining Journal Intelligence Investor Sentiment Report 2024

Survey revealing the plans, priorities, and preferences of 120+ mining investors and their expectations for the sector in 2024.