DENVER – Newmont says it has delivered solid second quarter production and free cash flow results from leading portfolio of long-life, responsibly managed assets; updates full-year guidance
The Company produced 1.5 million attributable ounces of gold and 330 thousand attributable gold equivalent ounces (GEO) from co-products, an increase of more than 130 thousand total gold equivalent ounces from the first quarter.
It generated $1.0 billion of cash from continuing operations and $514 million of Free Cash Flow (97 percent attributable to Newmont).
It reported gold Costs Applicable to Sales (CAS) of $932 per ounce and All-In Sustaining Costs (AISC) of $1,199 per ounce.
The company updated full-year guidance of 6.0 million ounces of attributable gold production, CAS of $900 per ounce and AISC of $1,150 per ounce; reaffirmed original guidance of 1.3 million gold equivalent ounces from copper, silver, lead and zinc with updated co-product cost guidance of $750 per GEO of CAS and $1,050 per GEO of AISC.
Newmont updated full-year guidance for development capital spend to $1.1 billion; provided trends on development capital costs and timeline related to Tanami Expansion 2 and Ahafo North.
Ended the quarter with $4.3 billion of consolidated cash and $7.3 billion of liquidity with a net debt to adjusted EBITDA ratio of 0.3x.
The company is advancing profitable near-term projects, including Tanami Expansion 2, Ahafo North and Yanacocha Sulfides.
Newmont completed acquisition of Sumitomo Corporation’s 5 percent interest in Yanacocha, increasing ownership in Sulfides project to 100 percent.
“Newmont delivered a solid second quarter performance, producing 1.5 million gold ounces and generating $514 million in free cash flow. Through our industry-leading portfolio of assets and projects, our proven integrated operating model, our balanced and disciplined approach to capital allocation and our values-driven commitment to our purpose of creating value and improving lives through sustainable and responsible mining, Newmont remains well-positioned to safely manage through the evolving and unprecedented challenges that face our industry and the world at large,” said Tom Palmer, Newmont President and Chief Executive Officer