Newmont plans fifth portfolio

By PETER ESILA
NEWMONT mining company plans to establish in Papua New Guinea a standalone operation making it the fifth in its portfolio in the region with an in-country senior leadership presence, says president and chief executive officer Tom Palmer.
Palmer said Newmont’s acquisition of Newcrest Mining Ltd was expected to be completed in the fourth quarter of this year.
“Assuming all regulatory approvals are received and the shareholders of both companies vote in favour of the transaction,” he said.
He said the US$5.4 billion (about K19 billion) Wafi-Golpu project was an important one of which Newcrest has a shareholding.
Wafi-Golpu is a 50-50 joint venture between Newcrest and Harmony Gold Mining Company Ltd.
“If you then come across the Newcrest portfolio, there are probably three big projects that we’ll need to spend some time working through and analysing in this combined portfolio,” he said.
“It’s the pace at which we would develop Wafi-Golpu, the Red Chris block caves (in Canada) and Havieron deposit at Telfer (Western Australia).
“And there’s a myriad of smaller projects. So the work in front of us, just to understand that full suite of projects and ensure they are a sequenced, so you’re managing the appropriate draw of cash that goes towards that reinvestment in the business.”
Palmer said Lihir was one of the world’s great gold mines, a tier-one operation by any measure.
“And in addition to Lihir, there is significant gold and copper growth in PNG through the world-class Wafi-Golpu project,” he said.
“We are committed to building and maintaining strong, proactive, mutually beneficial and long-lasting relationships with the PNG Government and local communities while supporting safe and profitable operations.”