Releasing its full-year 2015 operating and financial results, Newmont Mining reported a little more than 5 million oz of gold production. All-in sustaining costs (AISC) were lowered by 10% to $898/oz. The largest U.S.-based gold miner completed the Turf Vent Shaft and reported that other projects were progressing on time and under budget. The company’s outlook for gold production is between 4.5 and 5 million oz/y at AISC below $1,000/oz.
“Newmont completed the year with safer and more efficient operations, a stronger balance sheet and an improved portfolio,” said Gary Goldberg, president and CEO, Newmont Mining. “We increased EBITDA by almost one-third to $2.7 billion, more than doubled free cash flow to $756 million, and lowered net debt by 19%, despite a 9% drop in realized gold price.
“Our performance improved as a result of our disciplined and systematic focus on cost and efficiency. This delivered a 10% reduction in AISC and supported our ability to fund five profitable development projects and acquire Cripple Creek & Victor. Our plans for 2016 and beyond remain focused on improving our underlying business, strengthening our portfolio and creating value for shareholders.”
Revenue totaled $1.82 billion in the fourth quarter and $7.73 billion for the year, compared to $2.02 billion in the prior-year quarter and $7.29 billion for 2014.
Attributable gold production was 1.25 million oz in the fourth quarter, compared to 1.26 million oz in the prior-year quarter; and 5.04 million oz for the year, compared to 4.85 million oz in 2014. During the quarter, higher production at Batu Hijau and the addition of Cripple Creek & Victor offset production declines at Yanacocha and Ahafo. Newmont has generated approximately $1.7 billion in fair value asset sales since 2013 while maintaining steady attributable gold production.