Slide 1: Second Quarter 2022 Earnings
Second Quarter 2022 CREATING VALUE & IMPROVING LIVES Earnings THROUGH SUSTAINABLE, RESPONSIBLE MINING JULY 25, 2022 SECOND QUARTER 2022 EARNINGS NEWMONT CORPORATION 1
Slide 2: Cautionary Statement
Cautionary Statement CAUTIONARY STATEMENT REGARDING FORWARD LOOKING STATEMENTS: This presentation contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended
Slide 3: Tom Palmer, President & Chief Executive Officer
Tom Palmer CREATING VALUE & IMPROVING LIVES PRESIDENT & CHIEF EXECUTIVE OFFICER THROUGH SUSTAINABLE, RESPONSIBLE MINING SECOND QUARTER 2022 EARNINGS NEWMONT CORPORATION 3
Slide 4: Second Quarter 2022 Highlights
Second Quarter 2022 Highlights Delivered solid Q2 performance and Generated $1.0B of cash from operations updated 2022 full-year guidance and $514M of Free Cash Flow** Produced 1.5M attributable ounces of Liquidity of $7.3B and net debt gold* and 330k GEOs from co-products to adjusted EBITDA ratio o
Slide 5: Journey to a Fatality and Injury-Free Environment
Journey to a Fatality and Injury-Free Environment CONTINUED FOCUS ON FATALITY CRITICAL CONTROL VERIFICATIONS (CCV s) COMPLETED (in tho us ands ) RISK MANAGEMENT (FRM) 180 900 Number of Quarterly CCVs Completed Cumulative CCVs Completed Improved FRM safety standards to be 160 800 more visually engagi
Slide 6: Industry-Leading Portfolio
Industry-Leading Portfolio #1 GOLD WORLD-CLASS TOP-TIER PRODUCER ASSETS JURISDICTIONS ~8M 9 ~90% Stable annual GEO production World-class assets in top-tier Attributable gold production through 2031+ jurisdictions* from top-tier jurisdictions UNMATCHED ROBUST GOLD UPSIDE TO OTHER PROJECT PIPELINE RE
Slide 7: Proven Operating Model with a Strong Track Record
Proven Operating Model with a Strong Track Record APPLYING LESSONS LEARNED DURING THE PANDEMIC TO CHANGE THE WAY WE WORK Sharing Knowledge, Expertise and Talent Across the Global Business Global Supply Chain team minimizing cost pressures and secure competitive supplier contracts Implementing new te
Slide 8: Challenging Second Quarter Market Environment
CHALLENGING SECOND QUARTER MARKET ENVIRONMENT Operating Costs by Category * 5% 2% Liners, Wear Natural Gas, & 30% 8% 7% Parts, & Other Other Newmont Consumables Diesel Employees 50% 3% Explosives 30% 15% Materials & Labor Costs Fuel & Energy 20% Consumables Contracted Costs Services 6% 8% 6% Chemica
Slide 9: Rob Atkinson, Chief Operating Officer
Rob Atkinson CREATING VALUE & IMPROVING LIVES CHIEF OPERATING OFFICER THROUGH SUSTAINABLE, RESPONSIBLE MINING SECOND QUARTER 2022 EARNINGS NEWMONT CORPORATION 9
Slide 10: Africa Well-Positioned For Strong H2
Africa Well-Positioned For Strong H2 ATTRIBUTABLE GOLD PRODUCTION 243 koz GOLD COSTS GOLD ALL-IN APPLICABLE TO SALES SUSTAINING COSTS* $838/oz $1,017/oz ▪ Akyem delivered solid performance due to higher ore grade, tonnes mined and mill throughput; progressing layback to extend mine life ▪ Ahafo Sout
Slide 11: South America Continues to Deliver Strong Results
South America Continues to Deliver Strong Results ATTRIBUTABLE GOLD PRODUCTION 280 koz GOLD COSTS GOLD ALL-IN APPLICABLE TO SALES SUSTAINING COSTS* $982/oz $1,203/oz ▪ Cerro Negro delivered steady ore grade as productivity continues to improve; completed first blast in the Eastern District ▪ Merian
Slide 12: North America Delivers Improved Q2 Production
North America Delivers Improved Q2 Production ATTRIBUTABLE CO-PRODUCT GEO GOLD PRODUCTION PRODUCTION 316 koz 266 koz GOLD COSTS GOLD ALL-IN APPLICABLE TO SALES SUSTAINING COSTS* $1,124/oz $1,437/oz ▪ Peñasquito delivered a solid performance from higher gold and silver grades; profit-sharing agreemen
Slide 13: Australia Invests in Future Growth and Profitability
Australia Invests in Future Growth and Profitability ATTRIBUTABLE CO-PRODUCT GEO GOLD PRODUCTION PRODUCTION 366 koz 64 koz GOLD COSTS GOLD ALL-IN APPLICABLE TO SALES SUSTAINING COSTS* $710/oz $873/oz ▪ Boddington AHS continues to improve; higher grade and improved mill performance more than offset l
Slide 14: Nancy Buese, Chief Financial Officer
Nancy Buese CREATING VALUE & IMPROVING LIVES CHIEF FINANCIAL OFFICER THROUGH SUSTAINABLE, RESPONSIBLE MINING SECOND QUARTER 2022 EARNINGS NEWMONT CORPORATION 14
Slide 15: Second Quarter Financial Performance
Second Quarter Financial Performance ADJUSTED REVENUE NET INCOME* $3.1B $0.46/share ADJUSTED CASH FROM EBITDA* CONTINUING OPS $1.1B $1.0B FREE CASH CASH AND CASH FLOW* EQUIVALENTS $514M $4.3B NET DEBT TO DIVIDEND ADJUSTED EBITDA* DECLARED 0.3x $0.55/share *See endnotes Investing in Organic Growth wi
Slide 16: Q2 Adjusted Net Income of $0.46 per Share
Q2 Adjusted Net Income of $0.46 per Share SOLID SECOND QUARTER DESPITE COST PRESSURE Strong production in Q2 ; 12% increase in gold sales volumes over Q1 Realized metal price impacted by $105M of unfavorable mark-to-market adjustments on provisionally-priced sales Higher unit costs compared to Q1; i
Slide 17: Delivering on Capital Allocation Strategy in H1 2022
Delivering on Capital Allocation Strategy in H1 2022 INVESTING IN ORGANIC GROWTH MAINTAINING FINANCIAL FLEXIBILITY RETURNING CASH TO SHAREHOLDERS ✓ Advancing Ahafo North and Tanami ✓ Liquidity of $7.3B and cash position of ✓ Maintained industry-leading dividend Expansion 2 $4.3B at Q2 framework, pro
Slide 18: Tom Palmer, President & Chief Executive Officer
Tom Palmer CREATING VALUE & IMPROVING LIVES PRESIDENT & CHIEF EXECUTIVE OFFICER THROUGH SUSTAINABLE, RESPONSIBLE MINING SECOND QUARTER 2022 EARNINGS NEWMONT CORPORATION 18
Slide 19: Addressing Near-Term Challenges in H2
Addressing Near-Term Challenges in H2 Ramping up mining rates at Subika Underground following Q1 supply chain disruptions and border closures; developing third production level CC&V transitioned to a leach-only operation, extending mine life and reducing costs over the long term Adhering to strict c
Slide 20: Updating Full-Year 2022 Guidance
Updating Full-Year 2022 Guidance REPORTING METRIC UPDATED FY 2022 GUIDANCE* (+/- 5%) Average gold price assumption ($/oz) $1,800 Gold production (Moz)1 6.0 Co-product GEO production (Moz)2 1.3 Total GEO production (Moz) 7.3 Gold Costs Applicable to Sales ($/oz)3 $900 Co-product GEO Costs Applicable
Slide 21: Commitment to Leading ESG Practices
Commitment to Leading ESG Practices DEMONSTRATING NEWMONT’S DEDICATION TO ACCOUNTABILITY AND TRANSPARENCY Launched 18th Annual Sustainability Report in April 2022, a transparent review of ESG performance and the issues and metrics that matter most to stakeholders Published 2nd Annual Climate Report
Slide 22: Leading Change. Focused on Value.
– 100 YEARS – #1 gold producer with ~8M Proven operating model and GEOs* per year with significant deep bench of experienced exposure to copper and leaders with strong track record other metals Strong free cash flow Industry’s leading portfolio of generation and margins with world-class assets in to
Slide 23: Appendix
Appendix SECOND QUARTER 2022 EARNINGS NEWMONT CORPORATION 23
Slide 24: Updated 2022 Outlook
Updated 2022 Outlooka Updated Previous a 2022 outlook projections are considered forward-looking statements and represent Newmont 2022 Outlook a (as of July 25, 2022) (as of Dec. 2, 2021) management’s good faith estimates or expectations of future production results as of July 25, 2022. Outlook is b
Slide 25: Adjusted net income (loss)
Adjusted net income (loss) Net income (loss) attributable to Newmont stockholders is reconciled to Adjusted net income (loss) as follows: (1) Per share measures may not recalculate due to rounding. Three Months Ended Six Months Ended (2) Pension settlement, included in Other income (loss), net, repr
Slide 26: EBITDA and Adjusted EBITDA
EBITDA and Adjusted EBITDA Net income (loss) attributable to Newmont stockholders is reconciled to EBITDA and Adjusted EBITDA as follows: (1) Pension settlement, included in Other income (loss), net, represents pension Three Months Ended Six Months Ended settlement charges in 2022 related to the ann
Slide 27: Free cash flow
Free cash flow The following table sets forth a reconciliation of Free Cash Flow to Net cash provided by (used in) operating activities, which the Company believes to be the GAAP financial measure most directly comparable to Free Cash Flow, as well as information regarding Net cash provided by (used
Slide 28: Attributable Free cash flow
Attributable Free cash flow Management uses Attributable Free Cash Flow as a non-GAAP measure to analyze cash flows generated from operations that are attributable to the Company. Attributable Free Cash Flow is Net cash provided by (used in) operating activities after deducting net cash flows from o
Slide 29: All-in Sustaining Costs (Three Months)
All-in Sustaining Costs Advanced Sustaining Costs Projects, Treatment Capital All-In Applicable Research and Other and and Lease All-In Ounces Sustaining Three Months Ended to Sales Reclamation Development and General and Expense, Net Refining Related Sustaining (000) Costs Per June 30, 2022 (1)(2)(
Slide 30: All-in Sustaining Costs (Six Months)
All-in Sustaining Costs Advanced Sustaining Projects, Treatment Capital All-In Costs Research and Other and and Lease All-In Ounces Sustaining Six Months Ended Applicable to Reclamation Development and General and Expense, Net Refining Related Sustaining (000) Costs Per June 30, 2022 Sales (1)(2)(3)
Slide 31: Gold All-In Sustaining Costs - 2022 Outlook
Gold All-In Sustaining Costs - 2022 Outlook A reconciliation of the 2022 Gold AISC outlook to the 2022 Gold CAS outlook is provided below. The estimates in the table below are considered “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Sec
Slide 32: Co-Product All-In Sustaining Costs - 2022 Outlook
Co-Product All-In Sustaining Costs - 2022 Outlook A reconciliation of the 2022 Co-product AISC outlook to the 2022 Co-Product CAS outlook is provided below. The estimates in the table below are considered “forward-looking statements” within the 27A of the Securities Act of 1933, as amended, and Sect
Slide 33: Total GEO All-In Sustaining Costs - 2022 Outlook
Total GEO All-In Sustaining Costs - 2022 Outlook A reconciliation of the 2022 Total GEO AISC outlook to the 2022 Total GEO CAS outlook is provided below. The estimates in the table below are considered “forward-looking statements” within the 27A of the Securities Act of 1933, as amended, and Section
Slide 34: Net Debt to Adjusted EBITDA Ratio
Net Debt to Adjusted EBITDA Ratio Management uses net debt to Adjusted EBITDA as non-GAAP measures to evaluate the Company’s operating performance, including our ability to generate earnings sufficient to service our debt. Net debt to Adjusted EBITDA represents the ratio of the Company’s debt, net o
Slide 35: Endnotes
Endnotes Investors are encouraged to read the information contained in this presentation in conjunction with the most recent Form 10-Q for the quarter ended June 30, 2022 filed with the SEC on July 25, 2022, and with the Cautionary Statement on slide 2 and the following notes below. Outlook Assumpti
Slide 36: Endnotes
Endnotes Reserves and Resources: Proven and Probable reserves are based on extensive drilling, sampling, mine modeling and metallurgical testing from which we determine economic feasibility. The price sensitivity of reserves depends upon several factors including grade, metallurgical recovery, opera
Slide 37: Endnotes
Endnotes Adjusted Net Income. Adjusted Net Income is a non-GAAP metric. Adjusted Net Income per share refers to Adjusted Net Income per diluted share. See appendix or more information and reconciliation to the nearest GAAP metric. Free Cash Flow. Attributable FCF is a non-GAAP metric and is generate