Newcrest Mining — IMARC 2019
27 slides from Newcrest Mining's conference presentation, October 2019
Slide 1: Sustainably delivering on our growth vision
IMARC Sustainably delivering on our growth vision Michael Nossal Chief Development Officer
Slide 2: Disclaimer: Forward Looking Statements
Disclaimer Forward Looking Statements This presentation includes forward looking statements. Forward looking statements can generally be identified by the use of words such as “may”, “will”, “expect”, “intend”, “plan”, “estimate”, “anticipate”, “continue”, “outlook” and “guidance”, or other similar
Slide 3: Disclaimer: Competent Person's Statement
Disclaimer Competent Person’s Statement The information in this presentation that relates to Mineral Resources or Ore Reserves (other than Red Chris and Havieron) has been extracted from the release titled “Annual Mineral Resources and Ore Reserves Statement –31 December 2018” dated 14 February 2019
Slide 4: Newcrest Mining Limited
Newcrest Mining Limited
Slide 5: Our Vision, Safety & Sustainability
Our Vision Safety & Sustainability Our Assets Growth & portfolio Summary optimisation
Slide 6: Our Vision: To be the Miner of Choice
Our Vision: To be the Miner of Choice Our Pillars: SAFETY & PEOPLE OPERATING TECHNOLOGY PROFITABLE SUSTAINABILITY PERFORMANCE & INNOVATION GROWTH ASPIRATIONS Zero fatalities First quartile First quartile 5 breakthrough Exposure to five tier one and industry- organisational Group AISC successes by or
Slide 7: Safety & Sustainability
Our Vision Safety & Sustainability Our Assets Growth & portfolio Summary optimisation
Slide 8: Continued safety improvement
Improving Safety Performance Continued TRIFR1 (per million hours worked) safety improvement 3.7 3.3 38% 2.4 2.3 FY16 FY17 FY18 FY19 Zero Fatalities Safety Transformation Remaining vigilant with • A strong safety culture another year free of fatalities • Critical controls for every high-risk task and
Slide 9: Sustainability commitments
Greenhouse gas (GHG) intensity target Sustainability A 30% reduction in GHG emissions per tonne of ore treated by 2030 against commitments the 2018 baseline Shadow carbon price Acquisitions and key capital investment decisions will include carbon price scenarios between $25 and $50 a tonne of CO2-e
Slide 10: Our Assets
Our Vision Safety & Sustainability Our Assets Growth & portfolio Summary optimisation
Slide 11: Long-life, low cost portfolio
Cadia (100%) Lihir (100%) Telfer (100%) Long-life, FY19 Production: 913koz Au, 91kt Cu FY19 Production: 933koz Au FY19 Production: 452koz Au, 15kt Cu low cost FY19 AISC: Ore Reserves: $132/oz 22moz Au & 4.3mt Cu FY19 AISC: Ore Reserves: $887/oz 24moz Au FY19 AISC: Ore Reserves: $1,253/oz 2.0moz Au &
Slide 12: Large orebodies are rare
Large Resource & Reserve base of global majors’ operating assets (moz) orebodies are rare 60 Solid bars = ore reserve Only Cadia 50 Transparent bars = mineral resource and Lihir have an ore reserve base in excess 40 of 15 moz 30 20 1. Based on producing assets held by Barrick, Newmont 10 Goldcorp an
Slide 13: Lowest cost major gold producer
Lowest cost major gold AISC/oz for FY191 ($/oz) producer 996 953 942 925 819 738 2 Newcrest Mining Barrick Gold Newmont Mining Gold Fields Agnico Eagle Anglogold Ashanti 1 Data points represent each company’s AISC/oz for the 12 months ended 30 June 2019. For companies reporting on a calendar year ba
Slide 14: A unique suite of technical capabilities
A unique suite of Lihir, Telfer Telfer Gosowong Telfer Cadia technical capabilities OPEN PIT SELECTIVE Reef Narrow Vein UNDERGROUND BULK Sublevel Caving Block/Panel UNDERGROUND Caving Large scale comminution Pressure oxidation PROCESSING Copper-gold flotation Cyanide & carbon in leach
Slide 15: Growth & portfolio optimisation
Our Vision Safety & Sustainability Our Assets Growth & portfolio Summary optimisation
Slide 16: Our approach to profitable growth
Our approach to profitable growth 1. Organic 2. Greenfield 3. Early entry 4. M&A growth exploration partnerships
Slide 17: Meaningful organic growth options
Cadia Stage 1 of Cadia Expansion including next cave and 33mtpa plant expansion approved Molybdenum plant gated to execution with first production expected CY21 Meaningful organic Lihir Annualised sustainable milling rate of 15mtpa achieved in June 2019 Quarter growth Now focused on sustaini
Slide 18: Greenfields Exploration
1. Looking deeper in outcrop 2. Exploring under cover areas Greenfields Exploration Unique search space, more opportunities Newcrest’s unique mining capabilities opens up all search spaces
Slide 19: Greenfields Exploration: looking deeper in Australia
Gold Deposit Endowment Greenfields Exploration Looking deeper in Australia opens new opportunities Cover / Basement Our Search Young Cover Space Palaeozoic Basement Old Archean-Proterozoic Basement Source: Minex Consulting – https://www.minexconsulting.com/
Slide 20: Exploration Technology & Innovation
Follow-up target areas Exploration Technology & Innovation Faster Exploration Ground Selection & Predictive Delivering real time Discovery analytics and • Foster Key Technology Partnerships • Leveraging technology used in other predictive targeting industries i.e. agriculture, defence and apply to m
Slide 21: Large portfolio of early entry partnerships
Australia-Pacific Americas Large portfolio of early entry partnerships Australia Canada Mexico • Second Junction Reefs (JV) • Red Chris (JV 70%) • Azúcar (EI-19.9%) • Encounter Alliance & JVs • Prodigy Gold NL (FI) USA Chile • Isa North 100% • Jarbidge (O) • Altazor (O&FI) Key: • Bulimba 100% • Ratt
Slide 22: Early entry partnership - Havieron
Havieron +27 Moz Au* regional endowment Winu Telfer Magnum Early entry partnership - Havieron Leveraging existing infrastructure at Havieron Telfer Telfer O’Callaghans Niffy Yeneena Located 45km east of Telfer Maroochydore kilometres Potential high grade mill feed zone for Telfer 0 10 20 Miner
Slide 23: M&A when we can unlock value
Red Chris +220 Moz Au* regional endowment 0 25 50 kilometres M&A when we can Red Chris JV unlock value Schaft Creek Galore Creek Eskay Creek Leveraging our KSM Brucejack technical capabilities at Large metal endowment 20Moz Au Red Chris and 13Blbs Cu Presence of high grade mineralisation The inf
Slide 24: Red Chris exhibits Cadia like porphyry geology
Red Chris exhibits Cadia like porphyry geology
Slide 25: Summary
Our Vision Safety & Sustainability Our Assets Growth & portfolio Summary optimisation
Slide 26: What makes Newcrest different
What makes Newcrest Long Low cost different reserve life production Organic growth Do what options we say (at Cadia, Lihir, Wafi Golpu and Red Chris) Strong exploration & technical Financially robust capabilities
Slide 27: Find out more
Find out more: www.newcrest.com.au Engage with us +613 9522 5717 +1 (647) 255 3139