The miner says that gold reserves per share of 117 oz. per 1,000 shares are also the highest in the industry.
“Newmont’s ability to replace reserves is underpinned by our disciplined operating model and world-class portfolio which will support stable production for decades to come,” Tom Palmer, the company’s president and CEO, said in a release.
In 2020, Newmont added 6 million oz. to reserves, with close to 5 million of these ounces added through drilling. Last year’s reserve depletion of 7.5 million oz. includes divestments of the KCGM (Kalgoorlie Consolidated Gold Mines) and Red Lake operations in Australia and Ontario; the company has not yet reported 2020 production numbers, latest guidance was for 6 million gold oz. in 2020.
Exploration-driven reserve growth of 4.9 million oz. includes 800,000 oz. added at the Ahafo mine in Ghana, from drilling at Subika Underground. The Tanami underground mine in Australia added 600,000 oz. while the Nevada Gold Mines joint venture grew Newmont’s reserve portfolio by 800,000 oz. A further 1.1 million gold oz. was added through mine plan improvements.
At Canadian operations, Éléonore added 1.3 million oz. to reserves, both due to positive drill results and cost improvements; Porcupine contributed 3 million oz., which more than offset depletion.
The 2021 exploration spend is expected to be approximately $215 million
Measured and indicated gold resources total 69.6 million oz. and inferred resources add 31.6 million oz. to the portfolio. Exploration added 3.4 million measured and indicated oz. to the inventory and 3.5 million inferred oz.
Beyond gold, Newmont also has 6.9 million tonnes of copper, 613 million silver oz. and 1.3 million tonnes of lead and 3.1 million tonnes of zinc in reserves.
The 2021 exploration spend is expected to be approximately $215 million, with 80% of this total allocated towards near-mine expansion programs; 28% is budgeted for North America, 25% for South America and 20% for Australia.
Proven and probable reserves total 2.9 billion tonnes grading 1.03 g/t gold; with a further 3.3 billion measured and indicated tonnes at 0.65 g/t gold and 1.5 billion inferred tonnes at 0.65 g/t gold.
(This article first appeared in the Canadian Mining Journal)
