Newmont Corporation · NYSE:NEM
Newmont — Newmont Mining — Merger or Acquisition (January 2009)
15 slides from Newmont's merger presentation, Jan 28, 2009
Slide 1: Newmont - Consolidation of a World-Class Asset
Newmont - Consolidation of a World-Class Asset January 2009
Slide 2: Cautionary Statement
Cautionary Statement This presentation is being made available only to persons that have agreed to be bound by a Confidentiality Undertaking in favor of Newmont Mining Corporation and others, and the information contained herein must be maintained in confidence as provided in that Confidentiality Un
Slide 3: Cautionary Statement (cont.)
Cautionary Statement (cont.) Ian Douglas, Newmont's Group Executive of Reserves and Geostatistics, is the qualified person responsible for the preparation of the scientific and technical information concerning its mineral properties in this press release. The reserves disclosed in this press release
Slide 4: Consolidating a World-Class Asset
Consolidating a World-Class Asset Entering into a definitive agreement to purchase AngloGold's 33.33% ownership in Boddington, with economic interest effective January 1, 2009 Attractive purchase price as a result of current market conditions Boddington Kalgoorlie Jundee Tanami Waihi Batu Hijau Pert
Slide 5: Cost curve of mines
CurveDataPoints COST MineName 0 -269 Line 0 -99 La Cienega 0.01 -90 La Cienega 0.01 -3 0.01 -3 Marlin 0.01 5 Marlin 0.01 14 0.02 44 El Sauzal 0.02 58 El Sauzal 0.02 67 0.03 134 Kansanshi 0.03 140 Kansanshi 0.03 144 0.04 152 Pierina 0.05 157 Pierina 0.06 157 0.06 159 Lagunas Norte 0.06 160 Lagunas No
Slide 6: Boddington has the Largest Reserve of any Near-Term Production Asset
Boddington has the Largest Reserve of any Near-Term Production Asset in an A-Rated or Better Country Proven & Probable Reserves (millions of ounces) 1. Top 15 deposits located in countries with an 'A' S&P sovereign credit rating or better 2. Assumes completion of the Boddington project. Source: Mine
Slide 7: Boddington has Significant Exploration Potential
Boddington has Significant Exploration Potential Boddington's reserves have increased in each of the last four years 2004 10.9 8.7 2005 11.6 9.8 2006 13.6 9.3 2007 16.6 8.4 2008 20.1 8.9 CAGR - 16.4% Proven & Probable Reserves (m ozs)
Slide 8: Boddington Acquisition is Accretive to Newmont
Boddington Acquisition is Accretive to Newmont (1) 2008 actual production for Newmont and Newcrest, first nine months of 2008 production annualized for Goldcorp, Barrick, AngloGold Ashanti and Gold Fields, 2008 re-affirmed production guidance for Kinross and Boddington based on mid-point of average
Slide 9: Newmont - Key Investment Highlights
Newmont - Key Investment Highlights World's largest unhedged gold producer Highest operating leverage to gold price Geo-politically diversified with production on five continents Proven operating discipline and project development execution Project pipeline with development flexibility and explorati
Slide 10: Strong 2008 Operating Results; Continuing To Deliver On Plans
Strong 2008 Operating Results; Continuing To Deliver On Plans Equity Gold Sales (5.2 m ozs) Costs Applicable to Sales ($440/oz) CAPEX ($1.9 billion)
Slide 11: Higher Sales at Lower Costs Applicable to Sales and Lower CAPEX in 2009
Higher Sales at Lower Costs Applicable to Sales and Lower CAPEX in 2009 2009 Outlook includes 100% of Boddington project in Western Australia Included in gold capital expenditure above Region 2009 Outlook 2009 Outlook 2009 Outlook Region Equity Sales ('000 ozs) Costs Applicable to Sales ($/oz) CAPEX
Slide 12: Stable Reserves in Geo-Politically Favorable Locations
Stable Reserves in Geo-Politically Favorable Locations 2008 Proven & Probable Reserves 2008 Proven & Probable Reserves(1) (1) Including 100% of Boddington
Slide 13: Bullish Gold Market Fundamentals
Bullish Gold Market Fundamentals Favorable Supply/Demand Fundamentals Decreasing mine supply expected to continue Depletion of worldwide reserves Many new large-scale projects located in geopolitically challenging areas Limited capital available for development Decreased gold by-product production w
Slide 14: Global Monetary Environment Further Supports Higher Gold Prices
Global Monetary Environment Further Supports Higher Gold Prices Unprecedented fiscal and monetary efforts to stimulate growth in the United States should lead to longer-term dollar weakness Source: Reuters, United States Federal Reserve Statistics Source: United States Federal Reserve Statistics U.S
Slide 15: Newmont - Passionately Pursuing Excellence
Newmont - Passionately Pursuing Excellence World's largest unhedged gold producer Highest operating leverage to gold price Geo-politically diversified with production on five continents Proven operating discipline and project development execution Project pipeline with development flexibility and ex
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