Newmont Provides Preliminary 2012 Operating Highlights and 2013 Outlook

Tue Jan 22, 2013 4:30pm EST

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DENVER,  Jan. 22, 2013  /PRNewswire/ -- Newmont Mining Corporation (NYSE: NEM)
("Newmont" or the "Company") announced preliminary attributable gold and copper
production and costs applicable to sales within the Company's 2012 outlook.   

2012 and Fourth Quarter Preliminary Operating Highlights:

* Attributable gold and copper production of 5.0 million ounces and 143 million
pounds, and 1.3 million ounces and 35 million pounds for 2012 and the fourth
quarter, respectively;  
* Attributable gold and copper sales of 4.9 million ounces and 145 million
pounds, and 1.2 million ounces and 42 million pounds for 2012 and the fourth
quarter, respectively;  
* Average realized gold and copper price of approximately  $1,661  per ounce and
 $3.43  per pound, and  $1,700  per ounce and  $3.22  per pound for 2012 and the
fourth quarter, respectively;  
* Consolidated costs applicable to sales ("CAS") for gold and copper of between 
$670 and $680  per ounce and  $2.30 and $2.40  per pound, and of  $700 and $715 
per ounce and  $2.60 and $2.70  per pound, for 2012 and the fourth quarter,
respectively;  
* First quarter gold price-linked dividend payable of  $0.425  per share,
subject to Board approval, a 21% increase over the prior year quarter;  
* Approximately  $100 million  in Other Expense for the fourth quarter,
including  $15 million  in Hope Bay care and maintenance expense and;  
* G&A, Interest and Exploration expense were also within guidance, while
Advanced Projects spending was approximately  $100 million  lower than original
guidance.

"In 2013, we will focus on mining fundamentals - from technical competency to
safety and social responsibility - to lay the groundwork for profitable growth
and more robust cash flow generation," said  Gary Goldberg, President and COO. 
Mr. Goldberg will become President and Chief Executive Officer for Newmont
Mining Corporation, and join its Board of Directors on  March 1, 2013.

"Our priority is to advance projects that deliver profitable production gains,
including completing construction at Akyem and beginning production in late
2013, and advancing our stripping campaign at Batu Hijau to prepare for Phase 6
mining. We also intend to maintain our dividend policy as we complete our
investment priorities in 2013," added Mr. Goldberg.

2012 Preliminary Operating Results

                     Q4 2011                 Q3 2012                 Q4 2012                 2011 FY                 2012 FY                 % Change     % Change     % Change     
                     Attributable            Attributable            Attributable            Attributable            Attributable            Q4 2012 vs   Q4 2012 vs   FY 2012 vs   
                     Production              Production              Production              Production              Production                                                     
 Region              (Kozs, Mlbs)            (Kozs, Mlbs)            (Kozs, Mlbs)            (Kozs, Mlbs)            (Kozs, Mlbs)            Q4 2011      Q3 2012      FY 2011      
                                                                                                                                                                                    
 Nevada  a           523                     457                     478                     1,741                   1,748                   -9%          5%           0%           
 La Herradura        56                      51                      48                      212                     212                     -14%         -6%          0%           
 North America       579                     508                     526                     1,953                   1,960                   -9%          4%           0%           
 Yanacocha           172                     182                     122                     664                     692                     -29%         -33%         4%           
 La Zanja            15                      14                      13                      64                      53                      -13%         -7%          -17%         
 South America       187                     196                     135                     728                     745                     -28%         -31%         2%           
 Boddington          205                     166                     216                     741                     724                     5%           30%          -2%          
 Other Australia/NZ  229                     229                     245                     1,043                   955                     7%           7%           -8%          
 Batu Hijau          16                      7                       7                       154                     33                      -56%         0%           -79%         
 Asia Pacific        450                     402                     468                     1,938                   1,712                   4%           16%          -12%         
 Ahafo               88                      131                     123                     566                     561                     40%          -6%          -1%          
 Africa              88                      131                     123                     566                     561                     40%          -6%          -1%          
 Total Gold          1,304                   1,237                   1,252                   5,185                   4,978                   -4%          1%           -4%          
 Boddington          22                      16                      19                      69                      67                      -14%         19%          -3%          
 Batu Hijau          25                      19                      16                      137                     76                      -36%         -16%         -45%         
 Total Copper        47                      35                      35                      206                     143                     -26%         0%           -31%         
                                                                                                                                                                                    
                     Q4 2011                 Q3 2012                 Q4 2012                 2011 FY                 2012 FY                 % Change     % Change     % Change     
                     Attributable Sales  b   Attributable Sales  b   Attributable Sales  b   Attributable Sales  b   Attributable Sales  b   Q4 2012 vs   Q4 2012 vs   FY 2012 vs   
 Region              (Kozs, Mlbs)            (Kozs, Mlbs)            (Kozs, Mlbs)            (Kozs, Mlbs)            (Kozs, Mlbs)            Q4 2011      Q3 2012      FY 2011      
                                                                                                                                                                                    
 Nevada  a           532                     442                     484                     1,724                   1,720                   -9%          10%          0%           
 La Herradura        56                      51                      48                      210                     212                     -14%         -6%          1%           
 North America       588                     493                     532                     1,934                   1,932                   -10%         8%           0%           
 Yanacocha           175                     182                     123                     652                     681                     -30%         -32%         4%           
 La Zanja            45                      14                      13                      64                      53                      -71%         -7%          -17%         
 South America       220                     196                     136                     716                     734                     -38%         -31%         3%           
 Boddington          187                     167                     204                     688                     711                     9%           22%          3%           
 Other Australia/NZ  228                     223                     246                     1,025                   936                     8%           10%          -9%          
 Batu Hijau          27                      7                       9                       167                     32                      -67%         29%          -81%         
 Asia Pacific        442                     397                     459                     1,880                   1,679                   4%           16%          -11%         
 Ahafo               95                      123                     105                     559                     527                     11%          -15%         -6%          
 Africa              95                      123                     105                     559                     527                     11%          -15%         -6%          
 Total Gold          1,345                   1,209                   1,232                   5,089                   4,872                   -8%          2%           -4%          
 Boddington          19                      17                      19                      58                      66                      0%           12%          14%          
 Batu Hijau          30                      21                      23                      145                     79                      -23%         10%          -46%         
 Total Copper        49                      38                      42                      203                     145                     -14%         11%          -29%         


 a Production and sales volumes do not include copper production from the Phoenix mine, which was approximately 26 million pounds in 2011 and 30 million pounds in 2012.  Phoenix copper production is accounted for as a by-product and its revenues, net of treatment and refining charges, are credited to Nevada costs applicable to sales as a by-product credit. 
                           
 b Included in attributable sales are Newmont's non-consolidated equity interests in La Zanja and Duketon. 


2013 Outlook  

The Company also announced its outlook for 2013 production, costs and capital
expenditures.   

Attributable 2013 gold and copper production are expected to be approximately
4.8 to 5.1 million ounces and 150 to 170 million pounds, respectively, at costs
applicable to sales of approximately  $675 to $750  per ounce and  $2.25 to
$2.50  per pound, respectively.  The Company also announced that it anticipates
2013 all-in sustaining costs to be between  $1,100 and $1,200  per gold ounce of
production (as defined on page 3).  

The Company currently expects to invest approximately  $2.1 to $2.3 billion  in
attributable capital expenditures in 2013, of which approximately 40% is
allocated to development capital, including at the Akyem project (~$250
million), Ahafo Mill Expansion (~$150 million) the Conga project (~$150
million), and other expansion projects in  Nevada  (~$260 million) and at La
Herradura (~$40 million), with the remaining 60% expected to be spent on
sustaining capital.

Newmont's investment priorities include completing construction of Akyem in
2013, finishing the Phase 6 stripping campaign at Batu Hijau during 2013 and
2014, and identifying the best paths forward for Conga in  Peru  and Tanami in 
Australia. The Company expects capital expenditures to decrease from 2012 to
2013 by approximately 20%, as declining capital commitments for Conga, Akyem,
and Tanami are partially offset by increasing development capital for the Ahafo
Mill Expansion in  Ghana  as well as the Phoenix Copper Leach and Turf/Leeville
Vent Shaft development in Nevada.  Additional capital investment is also
possible at the Merian project in Suriname in 2013 pending the outcome of
further dialogue with the government and additional project evaluation.

 2013 Attributable Production, Consolidated CAS and Capital Outlook                                                                                   
                           Attributable Production      Consolidated CAS       Consolidated Capital       Attributable Capital  
 Region                    (Kozs, Mlbs)                 ($/oz, $/lb)  b        Expenditures ($M)  c       Expenditures ($M)     
 Nevada  a                 1,700 - 1,800                $600 - $650            $600 - $650                $600 - $650           
 La Herradura              225 - 275                    $650 - $700            $125 - $175                $125 - $175           
 North America             1,950 - 2,050                $600 - $650            $750 - $800                $750 - $800           
 Yanacocha                 475 - 525                    $600 - $650            $225 - $275                $100 - $150           
 La Zanja                  40 - 50                      -                      -                          -                     
 Conga                     -                            -                      $250 - $300                $125 - $175           
 South America             550 - 600                    $600 - $650            $550 - $600                $250 - $300           
 Boddington                700 - 750                    $850 - $950            $125 - $175                $125 - $175           
 Other Australia/NZ        925 - 975                    $950 - $1,050          $225 - $275                $225 - $275           
 Batu Hijau, Indonesia  d  20 - 30                      $900 - $1,000          $75 - $125                 $25 - $75             
 Asia Pacific              1,650 - 1,750                $900 - $1,000          $500 - $550                $425 - $475           
 Ahafo                     525 - 575                    $550 - $600            $375 - $425                $375 - $425           
 Akyem                     50-100                       $450 - $500            $225 - $275                $225 - $275           
 Africa                    625 - 675                    $525 - $575            $650 - $700                $650 - $700           
 Corporate/Other           -                            -                      $20 - $30                  $20 - $30             
 Total Gold                4,800 - 5,100                $675 - $750            $2,400 - $2,600            $2,100 - $2,300       
 Boddington                70 - 80                      $2.45 - $2.65          -                          -                     
 Batu Hijau                75 - 90                      $2.20 - $2.40          -                          -                     
 Total Copper              150 - 170                    $2.25 - $2.50                                                           


 aNevada CAS includes by-product credits from an estimated 30-40 million pounds of copper production at Phoenix, net of treatment and refining charges. 
                        
 b 2013 Attributable CAS Outlook is $700 - $750 per ounce. 
                        
 cExcludes capitalized interest of approximately $157 million. 
                        
 d Assumes Batu Hijau economic interest of 44.56% for 2013, subject to final divestiture obligations. 


 2013 Expense Outlook                                                               
 Description                            Consolidated         Attributable         
                                        Expenses ($M)        Expenses ($M)        
 General & Administrative               $200 - $250          $200 - $250          
 DD&A                                   $1,050 - $1,100      $850 - $900          
 Exploration Expense                    $250 - $300          $225 - $275          
 Advanced Projects & R&D                $350 - $400          $300 - $350          
 Other Expense                          $200 - $250          $150 - $200          
 Sustaining Capital                     $1,400 - $1,500      $1,200 - $1,300      
 Interest Expense                       $200 - $250          $175 - $225          
 Tax Rate                               30% - 32%            30% - 32%            
 All-in sustaining cost ($/ounce)a,b,c  $1,100 - $1,200      $1,100 - $1,200      
 Key Assumptions                                                                  
 Gold Price ($/ounce)                   $1,500               $1,500               
 Copper Price ($/pound)                 $3.50                $3.50                
 Oil Price ($/barrel)                   $90                  $90                  
 AUD Exchange Rate                      $1.00                $1.00                


 a All-in sustaining cost is a non-GAAP metric defined by the Company as the sum of costs applicable to sales, copper by-product credits, G&A, exploration expense, advanced projects and R&D, other expense, and sustaining capital. 
               
 bAll-in sustaining cost per ounce is calculated by dividing all-in sustaining cost by the midpoint of estimated sales, less non-consolidated interests in La Zanja and Duketon and development ounces. 
               
 cThe Company's methodology for calculating all-in sustaining costs was developed independently, and is subject to change due to a number of factors including the possible adoption of formal industry guidelines from the World Gold Council. 


Conference Call Details

Newmont Mining Corporation will report Fourth Quarter and Year-End 2012 results
after the market closes on  Thursday, February 21st, 2013.  A conference call
will be held on  Friday, February 22nd  at  10:00 a.m. Eastern Time  (8:00 a.m.
Mountain Time); it will also be carried on the Company's website.

 Conference Call Details                                                                   
           Dial-In Number       888.566.1822                                             
           Intl Dial-In Number  312.470.7116                                             
           Leader               John Seaberg                                             
           Passcode             Newmont                                                  
           Replay Number        866-380-6745                                             
           Intl Replay Number   203-369-0348                                             
           Replay Passcode      2013                                                     
                                                                                          
 Webcast Details                                                                          
           URL                  http://services.choruscall.com/links/newmont130222.html  


The Fourth Quarter and Year-End 2012 results and related financial and
statistical information will be available after the market close on  Thursday,
February 21, 2013  on the "Investor Relations" section of the Company's web
site,  www.newmont.com. Additionally, the conference call will be archived for a
limited time on the Company's website.  

Cautionary Statement Regarding 2012 Preliminary Operating Highlights

We caution you that, whether or not expressly stated, all measures of the
Company's fourth quarter and 2012 financial results and condition contained in
this news release, including production, sales, average realized price, costs
applicable to sales and capital expenditures, are preliminary and reflect our
expected 2012 results as of the date of this news release. Actual reported
fourth quarter and 2012 results are subject to management's final review as well
as audit by the Company's independent registered accounting firm and may vary
significantly from those expectations because of a number of factors, including,
without limitation, additional or revised information and changes in accounting
standards or policies or in how those standards are applied. For a discussion of
factors that may adversely affect our financial results and condition, see the
Company's 2011 Annual Report on Form 10-K, filed on  February 24, 2012, with the
Securities and Exchange Commission ("SEC"), as well as the Company's other SEC
filings, available on the SEC's website at  www.sec.gov. The Company will
provide additional discussion and analysis and other important information about
its fourth quarter and 2012 financial results and condition when it reports
actual results on  February 21, 2013.

Cautionary Statement Regarding Forward Looking Statements, Including 2013
Outlook:  

This release contains "forward-looking statements" within the meaning of Section
27A of the Securities Act of 1933, as amended, and Section 21E of the Securities
Exchange Act of 1934, as amended, which are intended to be covered by the safe
harbor created by such sections and other applicable laws.  Such forward-looking
statements may include, without limitation: (i) estimates of future production
and sales; (ii) estimates of future costs applicable to sales; (iii) estimates
of future consolidated and attributable capital expenditures, CAS, and all-in
sustaining cash cost; and (iv) expectations regarding the development, growth
and exploration potential of the Company's projects. Estimates or expectations
of future events or results are based upon certain assumptions, which may prove
to be incorrect.  Such assumptions, include, but are not limited to: (i) there
being no significant change to current geotechnical, metallurgical, hydrological
and other physical conditions; (ii) permitting, development, operations and
expansion of the Company's projects being consistent with current expectations
and mine plans; (iii) political developments in any jurisdiction in which the
Company operates being consistent with its current expectations; (iv) certain
exchange rate assumptions for the Australian dollar to the U.S. dollar, as well
as other the exchange rates being approximately consistent with current levels;
(v) certain price assumptions for gold, copper and oil; (vi) prices for key
supplies being approximately consistent with current levels; and (vii) the
accuracy of our current mineral reserve and mineral resource estimates. Where
the Company expresses or implies an expectation or belief as to future events or
results, such expectation or belief is expressed in good faith and believed to
have a reasonable basis.  However, such statements are subject to risks,
uncertainties and other factors, which could cause actual results to differ
materially from future results expressed, projected or implied by the
"forward-looking statements".  Such risks include, but are not limited to, gold
and other metals price volatility, currency fluctuations, increased production
costs and variances in ore grade or recovery rates from those assumed in mining
plans, political and operational risks, community relations, conflict resolution
and outcome of projects or oppositions and governmental regulation and judicial
outcomes.  For a more detailed discussion of such risks and other factors, see
the Company's 2011 Annual Report on Form 10-K, filed on  February 24, 2012, with
the Securities and Exchange Commission, as well as the Company's other SEC
filings.  The Company does not undertake any obligation to release publicly
revisions to any "forward-looking statement," including, without limitation,
outlook, to reflect events or circumstances after the date of this news release,
or to reflect the occurrence of unanticipated events, except as may be required
under applicable securities laws.  Investors should not assume that any lack of
update to a previously issued "forward-looking statement" constitutes a
reaffirmation of that statement. Continued reliance on "forward-looking
statements" is at investors' own risk.

SOURCE  Newmont Mining Corporation


Media, Omar Jabara, +1-303-837-5114, omar.jabara@newmont.com or Diane Reberger,
+1-303-967-9455, diane.reberger@newmont.com, or Investors, John Seaberg,
+1-303-837-5743, john.seaberg@newmont.com or Karli Anderson, +1-303-837-6049,
karli.anderson@newmont.com

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