Archive | Newmont

Suriname Newmont gold mine opened, seen boosting struggling economy – by Ank Kuipers (Reuters U.S. – November 17, 2016)

http://www.reuters.com/

MERIAN MINE, SURINAME – Suriname President Desi Bouterse and Newmont Mining Corp Chief Executive Gary Goldberg inaugurated the open-pit Merian gold mine on Thursday, which is expected to give a boost to the small, economically struggling South American country.

The mine has gold reserves of about 5.1 million ounces and its annual production is expected to average between 400,000 and 500,000 ounces during the first five full years of operation. Suriname’s state-owned oil company, Staatsolie, has a 25 percent stake in the mine.

“Never before did our country have the courage to participate as an equal partner in such a mining venture,” Bouterse told hundreds of guests and mine employees at the opening ceremony. Continue Reading →

Newmont Mining Swings to a Loss, Revises Dividend Policy – by Maria Armental (Wall Street Journal – October 27, 2016)

http://www.wsj.com/

Newmont Mining Corp. swung to a third-quarter loss, hurt by a charge tied to the planned sale of its stake in one of the largest copper deposits in Indonesia. The deal, which had been expected to close in the third quarter, is now expected to close in the fourth quarter.

On an adjusted basis, however, the miner’s profit more than doubled as it benefited from higher prices and higher gold production.

Separately, Colorado-based Newmont, the world’s No. 2 gold miner by production, said it was updating its gold price-linked dividend policy to take advantage of rising prices and said that Nancy K. Buese, most recently chief financial officer at MPLX LP, will take over as CFO on Oct. 31. Continue Reading →

Newmont, Barrick Agree More on Present Than Future Value of Mine – by Danielle Bochove (Bloomberg News – October 17, 2016)

http://www.bloombergquint.com/

(Bloomberg) — A split between the world’s two largest gold producers over the value of their jointly owned Australian mine is more about future economic expectations than what’s in the ground.

That’s the view of Newmont Mining Corp.’s Gary Goldberg, who has been saying for over a year he’d be interested in buying Barrick Gold Corp.’s half of the Kalgoorlie Super Pit — at the right price. Since Barrick officially started a sales process of the 50 percent stake in July, a wide field of potential bidders is said to have formed to vie with Newmont for the stake in Australia’s largest open-pit gold mine.

“We’re not misaligned in terms of where we see some of the value of the resource that’s there,” Newmont’s chief executive officer said in an interview with Bloomberg TV Canada. “But people have different assumptions on exchange rates, and gold price, those sorts of things.” Continue Reading →

Gold mine chose ‘eviction over dialogue’ in Peru land dispute – report – by Chris Arsenault (Reuters U.K. – September 29, 2016)

http://uk.reuters.com/

RIO DE JANEIRO (Thomson Reuters Foundation) – One of the world’s biggest gold mining firms has pledged to improve its dispute resolution practices following an 18-month investigation into a bitter, ongoing conflict over land between farmers and its Peruvian subsidiary.

Denver-based Newmont Mining Corporation said the company-financed independent investigation into conflicts around South America’s largest gold mine had found no conclusive evidence of human rights abuses.

Rights groups had complained that private security forces backed by the firm assaulted protesting farmers. The company denies being involved in the attacks. But Newmont said in a statement after the investigation was released on Wednesday that it had not properly followed its own standards for dialogue in resolving land disputes. Continue Reading →

Newmont’s Indonesia mine sale closure may slip into fourth quarter: CEO – by Nicole Mordant (Reuters U.S. – September 20, 2016)

http://www.reuters.com/

COLORADO SPRINGS, COLO. – Newmont Mining Corp’s sale of its stake in the Batu Hijau mine in Indonesia may not close until the fourth quarter of the year, Chief Executive Gary Goldberg said on Monday, adding that the approvals process was complex.

Newmont agreed on June 30 to sell its 48.5 percent economic interest in its Indonesia operations to a local investor group for up to $1.3 billion. The Denver-based miner said at the time it expected the deal to close in the third quarter.

The possible delay comes after some analysts raised concerns after the deal was announced that closing conditions, including requirements for a valid export license for the mine, posed risks to the transaction. Continue Reading →

Newmont’s Carlin team wins national mine rescue competition: Barrick’s Turquoise Ridge team won first in one of the technician portions (Elko Daily Free Press – August 8, 2016)

http://elkodaily.com/

RENO – Newmont Mining Corp.’s Carlin Team beat out 35 teams from 16 states nationwide to finish first at the 2016 National Metal and Nonmetal Mine Rescue Contest in Reno.

The Carlin team came in third in the field competition, first place for first aid and second for team tech (BG4) during the four-day event held July 25-28 in Reno. Barrick Gold’s “Turquoise Ridge Regulators” from Golconda, came in first in the bio technician team competition.

Co-hosted by the U.S. Department of Labor’s Mine Safety and Health Administration and the Nevada Mining Association, mine rescue competitions gauge the readiness of teams and their individual members – sharpening skills and testing their knowledge in a series of simulated emergency scenarios, such as a mine fire, explosion or roof collapse. Continue Reading →

Gold miner Newmont cuts cost forecast, beats market – by Nicole Mordant (Reuters U.S. – July 20, 2016)

http://www.reuters.com/

Newmont Mining’s (NEM.N) adjusted net income in the second quarter blew past market expectations on Wednesday and the world’s second biggest gold miner by value also cut its gold cost forecast, sending its shares higher after hours.

Greenwood Village, Colorado-based Newmont kicked off the reporting season for large North American gold miners, which are expected to have benefited from a rise in bullion prices this year.

Newmont, which also mines copper, said adjusted income rose to $231 million, or 44 cents a share, in the quarter ended June as gold output rose and costs fell. Continue Reading →

Gold supply to drop by 7 pct by 2021 – Newmont CEO – by Michael Allan McCrae (Mining.com – June 20, 2016)

http://www.mining.com/

Due to the past price performance of gold, supply is constrained says Gary Goldberg, president and CEO of Newmont Mining. “We see the medium- to long-term as being very good,” said Goldberg in an interview with MINING.com earlier this month talking about gold prices and buying trends in India and China.

“I think you have seen a decrease in supply as there has been less investment in new properties. We are one of the few who are building two brand-new mines: Merian-Suriname and Long Canyon in Nevada. “Overall, we see gold supply dropping by about 7% by 2021.”

Transcript is edited for brevity and clarity.

MINING.com: Who are you.

Gary Goldberg: I am Gary Goldberg. I am the president and CEO of Newmont Mining. Continue Reading →

Newmont Hoping to Sell Entire Indonesia Stake to Private Group – by Danielle Bochove (Bloomberg News – April 22, 2016)

http://www.bloomberg.com/

A potential sale of Newmont Mining Corp.’s Indonesian assets to a group of private investors could include a stake that the government has so far snubbed, according to the biggest U.S. gold miner.

Newmont is working with partner Sumitomo Corp. to sell both companies’ entire stakes in PT Newmont Nusa Tenggara, Chief Executive Officer Gary Goldberg said in a telephone interview on Thursday. The unit owns Batu Hijau, the second biggest copper and gold mine in Indonesia.

Through a holding company, Newmont and Sumitomo together own 56 percent of the unit. The remaining 44 percent is owned by local entities. The government has had the right to buy 7 percent of Newmont and Sumitomo’s share since 2010, Goldberg said. “They’ve shown no interest in acquiring it and haven’t figured out even when they could acquire it,” he said. Continue Reading →

Conga Mine in Peru Halted By Water Concerns, Civic Opposition – by Brett Walton (Circle of Blue – April 21, 2016)

http://www.circleofblue.org/

Newmont Mining, the world’s second-largest gold producer, announced in a U.S. financial filing that it is abandoning a $US 4.8 billion copper and gold mine in Peru “for the foreseeable future.”

“Newmont will not proceed with the full development of Conga without social acceptance, solid project economics and potentially another partner to help defray costs and risk; it is currently difficult to predict when or whether such events may occur,” the company wrote in a U.S. Securities and Exchange Commission filing on February 17. “Under the current social and political environment, the company does not anticipate being able to develop Conga for the foreseeable future.”

While Newmont’s decision is partly in response to souring market conditions — the price of copper is down more than 50 percent since a 2011 peak — the withdrawal from Conga is also a recognition that environmental concerns pose a serious financial risk to business. The mine was strongly opposed by Andes farmers because four natural lakes would have been drained and replaced by manmade reservoirs. Continue Reading →

Indonesia businessman asks court to block sale of local company’s Newmont stake – by Eveline Danubrata and Yuddy Cahya (Reuters U.S. – April 12, 2016)

http://www.reuters.com/

JAKARTA, April 12 An Indonesian businessman has filed a request to a Jakarta court to put on hold any deal that would involve transferring ownership of a nearly 18 percent stake held by a local company in Newmont Mining Corp’s Indonesian operations.

Gustaaf Merukh, who owns a stake in the local company PT Pukuafu Indah, is suing other shareholders in Pukuafu, including his own relatives, according to court documents dated Feb. 5 seen by Reuters and an interview with his spokesman.

Merukh says these shareholders faked his consent to use Pukuafu’s 17.8 percent stake in Newmont’s local unit, PT Newmont Nusa Tenggara, as collateral to get a $600 million loan in 2012 from the U.S. parent, Choky Simanjuntak, head of Merukh’s legal and public relations team, told Reuters by phone. Continue Reading →

Slow Suffocation of the US Mining Space – by Christopher Ecclestone (Investorintel – January 19, 2016)

http://investorintel.com/

The old adage about the frog in the boiling water slowly getting cooked without jumping out is a good metaphor for the mining industry in the US over the last 12 months.

While the big story in commodity circles has been the oil price decline, a far more potent force has been the currency moves. The rampant US dollar has “saved” the bacon of many a miner in Australia, Canada, South Africa and elsewhere while brutally pressure-cooking those that are focused on the mining space in the US.

The chart above sourced from US Global Investors shows the last twelve months’ move in the gold price in various currencies. The USD gold price is clearly the laggard while Brazil has been stellar. It’s a pity there are not more Brazilian gold mining opportunities on offer. Ironically the strength of the Real for the preceding five years meant that Brazil was not such a good place for junior explorers to spend their drilling dollar. Continue Reading →

Once booming, Nevada gold output falls to 1988 level – by Sean Whaley (Las Vegas Review Journal – September 12, 2015)

http://www.reviewjournal.com/

CARSON CITY — Gold production in Nevada fell to less than 5 million ounces in 2014, the first time since 1988 that output of the precious metal has dipped so low.

A new state Division of Minerals report shows 4.94 million ounces of the precious metal was taken from 30 Nevada mines in 2014. There was about 5.5 million ounces of gold produced in Nevada in 2013.

The peak year in recent memory was 1998, with just under 9 million ounces.

Richard Perry, administrator of the Division of Minerals, said it appears production has leveled off in the 5 million ounce range over the past five years. While production has fallen, Nevada mines still throw of gold valued at $5.5 billion, at $1,100 per ounce, he said.

“We need better gold prices to see more projects and new mining,” Perry said. The lower gold production is due largely to the price of gold, which hit a high of nearly $1,800 per ounce in 2012 but has dropped to about $1,100 as of Friday. Continue Reading →

History of the Carlin Trend (Elko Daily Free Press – May 1, 2015)

http://elkodaily.com/

CARLIN — On May 4, 1965, with little fanfare, Newmont poured its first bar of gold from the Carlin Mine. The pomp and circumstance of the official commissioning of the mine would have to wait a few more weeks. That first bar marked the start of one of the largest and longest-lived mining districts in the world.

In summer 1961, geologists John Livermore and Alan Coope arrived in Carlin to visit the Blue Star mine and the Gold Quarry prospect. Livermore had recently heard a talk by U.S. Geological Survey geologist Ralph Roberts about an area in northern Eureka County that had the potential for hosting gold deposits.

The type of deposit they were searching for was similar to Getchell, Gold Acres and Bootstrap, deposits in which the gold was dispersed as microscopic particles that could not be found using a gold pan. After visiting and examining the local deposits, Livermore and Coope began exploring an area approximately 2¾ miles south of Blue Star on Popovich Hill. They postulated that gold would be found in the limestone rocks below a regional fault known as the Roberts Mountains Thrust.

Drilling on the project began in 1962 and on the third hole intersected 100 feet of mineralization averaging 1.03 ounces of gold per ton, marking the discovery of what would become the Carlin Mine. Drilling to outline the orebody progressed quickly and by the end of 1963 had identified 11 million tons of ore averaging 0.300 ounces of gold per ton, a grade sufficient for mining when gold was selling for $35 per ounce. Construction of the mine and mill began in 1964. Continue Reading →

(Nevada Mining) Editorial: The Romance of Mining (Elko Daily Free Press – May 1, 2015)

http://elkodaily.com/

(This editorial from 50 years ago is being republished in honor of Newmont Mining Corp.’s celebration of 50 years on the Carlin Trend.)

Historically, Nevada has been a mining state. The great Comstock Lode, which helped to bring this state into the Union, Tonopah’s silver and Goldfield’s gold are part of the romantic heritage which has come down through the years. The great copper mines of Ely and Weed Heights have added to the lustre, to say nothing of the wealth of this state and the nation.

There have been numerous other finds in the state’s history leading to the building of mining towns, some passing into oblivion almost overnight. Mountain City, the great Rio Tinto copper mine, Pioche, Austin, Eureka and such other romantic names as Tuscarora, Cornucopia, the Divide near Tonopah, Gold Aces and many others have passed in review.

As Dr. John Hulse said in his recently written “The Nevada Adventure”, “Nevada was basically unwanted and unloved in those days (before mining). It was a barrier to a promised land, rather than an asset in itself. But this soon changed.”

Yes, it changed with Virginia City and the mining finds which followed throughout the state. James Finney, whose real name may have been James Fennimore, according to Dr. Hulse, was exploring the hills at the head of Gold Canyon in the winter of 1858-1859 when he found a mound, soon to be named Gold Hill. Continue Reading →