SlideShare a Scribd company logo
UBS
Conference
 London, England




       June 7, 2007
Cautionary Statement


   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, that are intended to be covered by the safe
   harbor created by such sections. Such forward-looking statements include, without limitation, (i) estimates of future gold
   and copper production and sales; (ii) estimates of future costs applicable to sales; (iii) estimates of future capital
   expenditures, royalty and dividend income, tax rates and expenses; (iv) estimates regarding timing of future development,
   construction, production or closure activities; (v) statements regarding future exploration results and the replacement of
   reserves; and (vi) statements regarding cost structure and competitive position. Where the Company expresses or implies
   an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to
   have a reasonable basis. However, forward-looking statements are subject to risks, uncertainties and other factors, which
   could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking
   statements. Such risks include, but are not limited to, gold and other metals price volatility, currency fluctuations, increased
   production costs and variances in ore grade or recovery rates from those assumed in mining plans, political and operational
   risks in the countries in which we operate, and governmental regulation and judicial outcomes. For a more detailed
   discussion of such risks and other factors, see the Company’s 2006 Annual Report on Form 10-K, filed February 26, 2007
   which is on file with the Securities and Exchange Commission, as well as the Company’s other SEC filings. The Company
   does not undertake any obligation to release publicly revisions to any “forward-looking statement,” to reflect events or
   circumstances after the date of this news release, or to reflect the occurrence of unanticipated events, except as may be
   required under applicable securities laws.



June 7, 2007                                                                                                                   Slide 2
Newmont Portfolio




                                                                       Ghana
         Nevada




                                                           Australia, New Zealand,
           Peru
                                                                     and Indonesia


        5.9 Million Equity Gold Ounces Sold in 2006 from 11 Mine-sites Globally
June 7, 2007                                                                      Slide 3
Newmont’s Reserve Growth
   Track Record & Discovery Cycles
         29 Million Acres in World Class Gold Districts
               LA N D O WN E R S H IP B Y R E G IO N

                                 Europe
                                  3%
                  Asia Pacific
100                                                                                                                  Ghana
                      9%


                                                                                                         Australia
         Africa                                          Australia
          15%                                              30%
 80
                                                                                                South
                                                                                               America

 60             South                                   North
               America                                 America
                18%                                     25%
                                                                       Central Asia &
                                                                         Indonesia
 40
                                            North
                                           America

 20



   0
   1985             1987              1989              1991         1993   1995        1997     1999      2001       2003   2005
June 7, 2007                                                                                                                    Slide 4
2007 Equity Gold Sales Guidance
    2007 Outlook = 5.2 to 5.6m Equity Ounces


                                  2006 Actual to 2007 Guidance* Equity Gold                                          2006 Actual - Equity Gold Sales
                                                Sales Variance                                                                   Other
                                                                                                                            Ghana
                                                                                                                                  6%
                                                                                                                              3%
                     6.5
                                                                                                                   Batu Hijau
                                                                                                                      4%
                                                                                                                                            Nevada
                                                                                                                                             41%
                                                                                                                   Yanacocha
                                                       0.02
                                          0.23
                                                                                                                      23%
                                                                    0.01
                                                                            0.06              0.57
                     6.0
  Ounces (million)




                               5.88
                                                                                     0.11

                                                                                                                            Australia/New
                                                                                                                              Zealand
                                                                                                                                23%
                     5.5                                                                                            2007 Guidance* - Equity Gold Sales
                                                                                                            5.38
                                                                                                                                    Ghana
                                                                                                                                     8%
                                                                                                                       Batu Hijau
                                                                                                                          5%

                                                                                                                    Yanacocha
                     5.0                                                                                               15%                      Nevada
                                                                                                                                                 47%
                                                                                              a
                           A




                                                                    a
                                          a




                                                                                             d




                                                                                                        G
                                                     ia




                                                                                             a
                                                                  ic



                                                                                           si
                                        ic




                                                                                          an



                                                                                         ch



                                                                                                       07
                                                   es
                          06




                                                                                         A
                                      fr




                                                               er




                                                                                       al


                                                                                      co



                                                                                                     20
                                                   n
                                      A
                       20




                                                              m



                                                                                      al


                                                                                   Ze
                                                do




                                                                                  na
                                                                                   tr
                                                           A
                                              In




                                                                                en


                                                                               ew



                                                                               Ya
                                                         th


                                                                             C
                                                       or




                                                                            /N
                                                       N




                                                                          ia
                                                                        al
                                                                     tr




                                                                                                                      Australia/New
                                                                   us




                                                                                                                        Zealand
                                                                        A




June 7, 2007                                                                                                                                             Slide 5
                                                                                                                          25%
                                              * 2007 number based on mid-point of guidance
Newmont’s Operating Cost Profile

               Newmont operating costs below industry average (2003 – 2006)
                                  - 2006
             $500

             $450

             $400
                                                                                                     $317
             $350
CAS ($/oz)




                                                                  GR*
             $300                                           A
                                                       12% C
                                                stry =
                                            Indu
             $250
                                                                                                     $304
                           $176
             $200

                                                                       CAGR
                                                                %
                                                         t = 11
             $150
                                                    wmon
                                                  Ne
                           $184
             $100
                    2001           2002              2003                  2004               2005          2006
                                                  GFMS (Industry Avg)        Newmont

June 7, 2007                                                                                                   Slide 6
                                           * Industry Cost based on 2007 Gold Survey - GFMS
2007 Cost Applicable to Sales
  2007 Outlook = $375-$400/Oz

        Approximately $100/oz equivalent from Batu Hijau copper revenue*

        Approximately $15 - $20/oz impact from change in deferred stripping*

                                                                                         Change by Region
            % Increase by Cost Drivers                           $600
                                                                                              2007 Guidance CAS ($375 - $400/oz)
                  Diesel &      Others                                                        2006 CAS ($304/oz)
                  Electricity    3%                              $500
                     5%

        Consumbles
                                                                 $400
            5%


                                                                 $300
       Labor &
       Contract
       Services                                                  $200
        15%

                                                                 $100
                                             Production
                                                72%
                                                                   $0
                                                                          Ahafo     Australia/New    Nevada    Yanacocha   Batu Hijau
                                                                                      Zealand




June 7, 2007 *2007 outlook based at mid-point; 2007 copper revenue outlook at $3.00/lb; and                                             Slide 7
             Q1 2007 deferred stripping impact.
Nevada

    Opportunities
        Steady state production from Leeville;
        Carlin and Twin Creeks performing in line with plans;
        Further anticipated reductions in contracted service costs;
        Planned savings from power plant and fleet reinvestment.


    Challenges
        Phoenix Start-up;
        Ongoing labor and energy cost pressures.
                                                     2007               Q1     Q1
  NEVADA                                           Outlook            2007   2006
  Consolidated gold sales (000 ounces)         2,350 - 2,550           560    535
  Equity gold sales (000 ounces)               2,350 - 2,550           560    489
  Costs applicable to sales ($/ounce)           $375 - $400           $493   $395

June 7, 2007                                                                        Slide 8
Peru
    Opportunities
       Increasing recoveries from La Quinua and Carachugo;
       Increasing ore placement on leach pads in second half of year;
       Improving recoveries with 2008 completion of gold mill;
       Optimizing development plans for Conga;
       Yanacocha sulfides provide future potential upside.


    Challenges
       Negotiating a three-year extension with labor union;
       Lower potential ore grades.

                                                  2007                    Q1     Q1
    YANACOCHA                                   Outlook                 2007   2006
    Consolidated gold sales (000 ounces)    1,500 – 1,600                455    770
    Equity gold sales (000 ounces)             775 – 825                 234    395
    Costs applicable to sales ($/ounce)      $340 - $360                $310   $161

June 7, 2007                                                                      Slide 9
Australia/New Zealand

  Opportunities
      Upside production and exploration potential from the Tanami mine;
      Increasing throughput at Martha;
      Upside potential for the year at Pajingo;
      Boddington project remains on schedule.



  Challenges
      Approximately $5-$6/ounce for every $0.01 change in the A$ exchange rate;
      Mature underground and open pit mines;
      Recruiting and retention of experienced labor.
                                                             2007           Q1      Q1
   AUSTRALIA/NEW ZEALAND                                   Outlook        2007    2006
   Consolidated gold sales (000 ounces)                1,275 – 1,325       332     333
   Equity gold sales (000 ounces)                      1,275 – 1,325       332     333
   Costs applicable to sales ($/ounce)                  $445 - $470       $519    $384

June 7, 2007                                                                         Slide 10
Indonesia
    Opportunities
       Un-hedged copper exposure;
       Second half of the year benefits from current stripping campaign;
       Planned lower waste to ore ratios for the remainder of 2007, with a 6:1 ratio for the year;
       Higher grade and throughput opportunities.

    Challenges
       $7/ounce Q1 cost impact from the first quarter stripping campaign;
       Harder ore and higher waste removal costs during first half of the year;
       Ongoing divestiture requirements.
                                                                     2007                Q1            Q1
   Batu Hijau                                                      Outlook             2007          2006
   Consolidated copper sales (M lbs)                              395 – 435               91           81
   Equity copper sales (M lbs)                                    210 – 230               48           43
   Costs applicable to sales ($/lb Cu)                         $1.10 - $1.20           $1.40         $0.81
   Average realized copper price                                                       $2.74         $2.08
   Consolidated gold sales (000 ozs)                              435 - 475               84           73
   Equity gold sales (000 ozs)                                    230 – 250               45           39
   Costs applicable to sales ($/oz Au)                          $225 - $240            $330          $208

June 7, 2007                                                                                                 Slide 11
Ghana

    Opportunities
       25% share in 80 mega-watt power plant;
       Higher mill ore grade potential;
       Ramping up to steady state mine rates;
       Continued evaluation of the Akyem project and Ahafo expansion opportunities.


    Challenges
       Potential for higher power costs.



   Ahafo                                              2007                 Q1           Q1
                                                    Outlook              2007         2006
   Consolidated gold sales (000 ozs)               410 – 450               125            -
   Equity gold sales (000 ozs)                     410 – 450               125            -
   Costs applicable to sales ($/oz)               $460 - $500             $341            -


June 7, 2007                                                                            Slide 12
The Gold Company Of Choice
     For A Gold Bull Market

       Remain on Track for Anticipated Gold and Copper Sales

       Addressing Operating Cost Challenges at Phoenix

       Building New Mines with Strong Exploration Potential

       Balanced Global Portfolio

       Institutional Quality Investment

       “No Gold Hedging” Philosophy




June 7, 2007                                                   Slide 13
UBS
Conference
 London, England




       June 7, 2007
Appendix –
Gold Industry - Declining Production

                                                                                                            8.0
                                 2,700
                                                                      Mine Production
                                                         7.6




                                                                                                                  NEM Equity Production (oz mm)
    Global Production (tonnes)




                                                                                                            7.5
                                              Pre-Merger              NEM Equity Production (oz/mm)
                                             (5.5 mm ozs)

                                                                                                            7.0
                                 2,600


                                                                                                            6.5


                                                                                                            6.0
                                 2,500
                                                                                                      5.9

                                                                                                            5.5


                                                                                                            5.0
                                 2,400
                                     2001               2002   2003           2004         2005        2006

                                         Source: GFMS
June 7, 2007                                                                                                                                      Slide 15
Appendix -
 Extractive Industry Capital Inflation
     95%



     75%
                                                                                                     Labor +77%


     55%                                                                                             Steel +57%

                                                                                                     Plants +45%
     35%
                                                                                                     Equipment
                                                                                                     +29%
     15%



      -5%
               2002               2003            2004                 2005                   2006

                      Structural Steel   Labor   Total Process Plant   All Mining Equipment

June 7, 2007                                                                                              Slide 16
Appendix -
Newmont’s Capital Expenditures
2007 Outlook = $1.8 - $2.0 billion

                        $2,000
                                  Sustaining Capital   New Project Capital
 Capital ($ Millions)




                        $1,500


                        $1,000



                         $500


                           $0
                                    2002               2003            2004              2005           2006          2007F
                                                                              Leeville

                                                                                          Ahafo

                                                                                           Phoenix

                                                                                                  Boddington

                                                                                                        Power Plant

                                                                                                               MY Gold Mill
                                 Going Forward - Capital Effectiveness through Stage Gate process
June 7, 2007                                                                                                                  Slide 17
Appendix –
  Future Prospects
               Akyem Mine, Ghana
                     Deferred pending permitting, optimization and feasibility study
                     Sustainable power solution alternatives under review
                     Additional exploration drilling data underway
                     Development decision expected by end of 2007

               Conga Mine, Peru
                     Large Copper and Gold Deposit
                     Optimization studies in progress



               Ahafo Expansion, Ghana
                     Subika Underground
                     Possible Second Mill


               Yanacocha Gold Mill & Sulfides
                     Potential for Large Gold & Copper district
                     Ongoing metallurgical studies

June 7, 2007                                                                           Slide 18
Appendix –
  Phoenix Overview
 Lower Mill Recovery and Grade Challenges
           Optimization efforts to improve simultaneous gold and copper recoveries
           Evaluating mine plan sequencing to optimize metal production


 Mill Throughput Challenges
           More complex ores than anticipated in some zones
             • Drill and blast improvement programs
             • Crusher feed optimization efforts
             • Optimizing replacement crusher plans
             • Blending hard and soft ores to maximize throughput

 Phoenix Upside Potential
               8.0 million ounces gold;770 million pounds copper in reserves
               Exploration targets exist with potential for expanding the Phoenix pit;
               Production opportunities from copper oxide material, with potential to add an oxide
               leach pad once permitted


June 7, 2007                                                                                         Slide 19
Appendix –
   Ghanaian Power Plant

Long-term solution
          80 mega-watt power plant under construction;
          25% share in power supplied;
          Proportionate distribution of power from the grid;
          Plant to supply one-third of Ahafo power needs




Power plant construction
          Majority of equipment received;
          Remaining critical equipment expected mid-year;
          Completion expected during second half



June 7, 2007                                                   Slide 20
Appendix –
   Exploration Spending and Outlook
   2007 Outlook = $170 - $175 million
          2007 Budget by Location
                                                                        2007 Budget by Program
                                                                             Diamonds 9%
       Opportunity Fund                   North America
       & Support 21%                      24%
                                                                  Opportunity
                                                                    Fund 9%

                                                             Tech Support/
West Africa 10%                                              Management 9%                      Near Mine
                                                                                                54%
China/SE Asia 2%                             Australia 14%
  Other Turkey 2%
                                                                   Greenfields
                                                                         20%
                      South America 28%

                                                                                        Q1           Q1
      Exploration Spending                                                            2007         2006
      Total Exploration                                                                $40           $33
      Near-mine                                                                        $21           $22
      Greenfield                                                                       $10            $8
      Other                                                                                $9         $3

 June 7, 2007                                                                                               Slide 21
Appendix –
Q1 Merchant Banking Results
               Royalty and Dividend Income
               FY2006 Record $120 million (+52% over 2005)
               Q1 Royalty and Other Income: $31 million



               Equity Portfolio and Investment Growth
               Market value of marketable securities portfolio:
                        $1.40 billion at Year-end 2006;
                        $1.28 billion at end of Q1 2007
               Alberta Heavy Oil Investment: $20 million investment     $280 million sale proceeds
               Canadian Oil Sands Trust: $268 million investment      $800 million market value

               Value Creation Investments
                 Iron Ore
                 Coal
                 Arctic Gas
                 Diamonds

June 7, 2007                                                                                      Slide 22

More Related Content

What's hot

"10th Annual Latin American Conference"
"10th Annual Latin American Conference""10th Annual Latin American Conference"
"10th Annual Latin American Conference"
Petrobras
 
01 04 2009 I Embraer Day Ny 2009 ApresentaçãO Financeira
01 04 2009 I Embraer Day Ny 2009   ApresentaçãO Financeira01 04 2009 I Embraer Day Ny 2009   ApresentaçãO Financeira
01 04 2009 I Embraer Day Ny 2009 ApresentaçãO Financeira
Embraer RI
 
Financial analysis paladin energy ltd - paladin energy limited primarily ex...
Financial analysis   paladin energy ltd - paladin energy limited primarily ex...Financial analysis   paladin energy ltd - paladin energy limited primarily ex...
Financial analysis paladin energy ltd - paladin energy limited primarily ex...
BCV
 

What's hot (6)

"10th Annual Latin American Conference"
"10th Annual Latin American Conference""10th Annual Latin American Conference"
"10th Annual Latin American Conference"
 
2Q06 Results
2Q06 Results2Q06 Results
2Q06 Results
 
01 04 2009 I Embraer Day Ny 2009 ApresentaçãO Financeira
01 04 2009 I Embraer Day Ny 2009   ApresentaçãO Financeira01 04 2009 I Embraer Day Ny 2009   ApresentaçãO Financeira
01 04 2009 I Embraer Day Ny 2009 ApresentaçãO Financeira
 
Financial analysis paladin energy ltd - paladin energy limited primarily ex...
Financial analysis   paladin energy ltd - paladin energy limited primarily ex...Financial analysis   paladin energy ltd - paladin energy limited primarily ex...
Financial analysis paladin energy ltd - paladin energy limited primarily ex...
 
Apimec 4 q06 results
Apimec   4 q06 resultsApimec   4 q06 results
Apimec 4 q06 results
 
1st quarter 2009 results - Santander Brasil
1st quarter 2009 results - Santander Brasil1st quarter 2009 results - Santander Brasil
1st quarter 2009 results - Santander Brasil
 

Viewers also liked

ecolab Ecolab_2004_Final
ecolab  Ecolab_2004_Finalecolab  Ecolab_2004_Final
ecolab Ecolab_2004_Final
finance37
 
ecolab financial
ecolab  financialecolab  financial
ecolab financial
finance37
 
xto energy annual reports 2000
xto energy annual reports 2000xto energy annual reports 2000
xto energy annual reports 2000
finance37
 
western digital 2278-001005-A02
western digital  2278-001005-A02western digital  2278-001005-A02
western digital 2278-001005-A02
finance37
 
ecolab bus_over
ecolab  bus_overecolab  bus_over
ecolab bus_over
finance37
 
western digital proxy99
western digital  proxy99western digital  proxy99
western digital proxy99
finance37
 
western digital proxy04
western digital  proxy04western digital  proxy04
western digital proxy04
finance37
 
ecolab 2003FinancialDiscuss
ecolab  2003FinancialDiscussecolab  2003FinancialDiscuss
ecolab 2003FinancialDiscuss
finance37
 
newmont mining 04/2007MEMsConfPres
newmont mining 04/2007MEMsConfPresnewmont mining 04/2007MEMsConfPres
newmont mining 04/2007MEMsConfPres
finance37
 
newmont mining Boston_Roadshow_03_21_07
newmont mining Boston_Roadshow_03_21_07newmont mining Boston_Roadshow_03_21_07
newmont mining Boston_Roadshow_03_21_07
finance37
 
ecolab ReviewOperations
ecolab  ReviewOperationsecolab  ReviewOperations
ecolab ReviewOperations
finance37
 
ecolab l_ar01_businessoverview
ecolab  l_ar01_businessoverviewecolab  l_ar01_businessoverview
ecolab l_ar01_businessoverview
finance37
 
western digital annual01
western digital  annual01western digital  annual01
western digital annual01
finance37
 
ecolab finrepor
ecolab  finreporecolab  finrepor
ecolab finrepor
finance37
 
ecolab review
ecolab  reviewecolab  review
ecolab review
finance37
 
ecolab 2002FinancialDiscuss
ecolab  2002FinancialDiscussecolab  2002FinancialDiscuss
ecolab 2002FinancialDiscuss
finance37
 
ecolab 2002Overview
ecolab  2002Overviewecolab  2002Overview
ecolab 2002Overview
finance37
 

Viewers also liked (17)

ecolab Ecolab_2004_Final
ecolab  Ecolab_2004_Finalecolab  Ecolab_2004_Final
ecolab Ecolab_2004_Final
 
ecolab financial
ecolab  financialecolab  financial
ecolab financial
 
xto energy annual reports 2000
xto energy annual reports 2000xto energy annual reports 2000
xto energy annual reports 2000
 
western digital 2278-001005-A02
western digital  2278-001005-A02western digital  2278-001005-A02
western digital 2278-001005-A02
 
ecolab bus_over
ecolab  bus_overecolab  bus_over
ecolab bus_over
 
western digital proxy99
western digital  proxy99western digital  proxy99
western digital proxy99
 
western digital proxy04
western digital  proxy04western digital  proxy04
western digital proxy04
 
ecolab 2003FinancialDiscuss
ecolab  2003FinancialDiscussecolab  2003FinancialDiscuss
ecolab 2003FinancialDiscuss
 
newmont mining 04/2007MEMsConfPres
newmont mining 04/2007MEMsConfPresnewmont mining 04/2007MEMsConfPres
newmont mining 04/2007MEMsConfPres
 
newmont mining Boston_Roadshow_03_21_07
newmont mining Boston_Roadshow_03_21_07newmont mining Boston_Roadshow_03_21_07
newmont mining Boston_Roadshow_03_21_07
 
ecolab ReviewOperations
ecolab  ReviewOperationsecolab  ReviewOperations
ecolab ReviewOperations
 
ecolab l_ar01_businessoverview
ecolab  l_ar01_businessoverviewecolab  l_ar01_businessoverview
ecolab l_ar01_businessoverview
 
western digital annual01
western digital  annual01western digital  annual01
western digital annual01
 
ecolab finrepor
ecolab  finreporecolab  finrepor
ecolab finrepor
 
ecolab review
ecolab  reviewecolab  review
ecolab review
 
ecolab 2002FinancialDiscuss
ecolab  2002FinancialDiscussecolab  2002FinancialDiscuss
ecolab 2002FinancialDiscuss
 
ecolab 2002Overview
ecolab  2002Overviewecolab  2002Overview
ecolab 2002Overview
 

Similar to newmont mining 06_07_07_UBS_Roadshow

newmont mining 05_16_07_Goldman_Sachs
newmont mining 05_16_07_Goldman_Sachsnewmont mining 05_16_07_Goldman_Sachs
newmont mining 05_16_07_Goldman_Sachs
finance37
 
newmont mining 9_2007_Merrill_Lynch
newmont mining 9_2007_Merrill_Lynchnewmont mining 9_2007_Merrill_Lynch
newmont mining 9_2007_Merrill_Lynch
finance37
 
newmont mining 08_2007_JPMorgan_Roadshow
newmont mining 08_2007_JPMorgan_Roadshownewmont mining 08_2007_JPMorgan_Roadshow
newmont mining 08_2007_JPMorgan_Roadshow
finance37
 
newmont mining 2Q07_ER_Final3
newmont mining 2Q07_ER_Final3newmont mining 2Q07_ER_Final3
newmont mining 2Q07_ER_Final3
finance37
 
newmont mining 05_16_07_Goldman_Sachs
newmont mining 05_16_07_Goldman_Sachsnewmont mining 05_16_07_Goldman_Sachs
newmont mining 05_16_07_Goldman_Sachs
finance37
 
coca cola 2006 Annual Review Unit Case Supplemental Information
coca cola 2006 Annual Review Unit Case Supplemental Informationcoca cola 2006 Annual Review Unit Case Supplemental Information
coca cola 2006 Annual Review Unit Case Supplemental Information
finance9
 

Similar to newmont mining 06_07_07_UBS_Roadshow (8)

newmont mining 05_16_07_Goldman_Sachs
newmont mining 05_16_07_Goldman_Sachsnewmont mining 05_16_07_Goldman_Sachs
newmont mining 05_16_07_Goldman_Sachs
 
newmont mining 9_2007_Merrill_Lynch
newmont mining 9_2007_Merrill_Lynchnewmont mining 9_2007_Merrill_Lynch
newmont mining 9_2007_Merrill_Lynch
 
newmont mining 08_2007_JPMorgan_Roadshow
newmont mining 08_2007_JPMorgan_Roadshownewmont mining 08_2007_JPMorgan_Roadshow
newmont mining 08_2007_JPMorgan_Roadshow
 
newmont mining 2Q07_ER_Final3
newmont mining 2Q07_ER_Final3newmont mining 2Q07_ER_Final3
newmont mining 2Q07_ER_Final3
 
newmont mining 05_16_07_Goldman_Sachs
newmont mining 05_16_07_Goldman_Sachsnewmont mining 05_16_07_Goldman_Sachs
newmont mining 05_16_07_Goldman_Sachs
 
coca cola 2006 Annual Review Unit Case Supplemental Information
coca cola 2006 Annual Review Unit Case Supplemental Informationcoca cola 2006 Annual Review Unit Case Supplemental Information
coca cola 2006 Annual Review Unit Case Supplemental Information
 
2011 worldfootwearyearbook
2011 worldfootwearyearbook2011 worldfootwearyearbook
2011 worldfootwearyearbook
 
Lloyd's annual report_2010
Lloyd's annual report_2010Lloyd's annual report_2010
Lloyd's annual report_2010
 

More from finance37

western digital q105iis
western digital  q105iiswestern digital  q105iis
western digital q105iis
finance37
 
western digital q205iis
western digital  q205iiswestern digital  q205iis
western digital q205iis
finance37
 
western digital q305iis
western digital  q305iiswestern digital  q305iis
western digital q305iis
finance37
 
western digital q405iis
western digital  q405iiswestern digital  q405iis
western digital q405iis
finance37
 
western digital q106iis
western digital  q106iiswestern digital  q106iis
western digital q106iis
finance37
 
western digital q206iis
western digital  q206iiswestern digital  q206iis
western digital q206iis
finance37
 
western digital q306iis
western digital  q306iiswestern digital  q306iis
western digital q306iis
finance37
 
western digital q406iis
western digital  q406iiswestern digital  q406iis
western digital q406iis
finance37
 
western digital q107iis
western digital  q107iiswestern digital  q107iis
western digital q107iis
finance37
 
western digital q207iis
western digital  q207iiswestern digital  q207iis
western digital q207iis
finance37
 
western digital q307iis
western digital  q307iiswestern digital  q307iis
western digital q307iis
finance37
 
western digital Q407iis
western digital  Q407iiswestern digital  Q407iis
western digital Q407iis
finance37
 
western digital q108iis
western digital  q108iiswestern digital  q108iis
western digital q108iis
finance37
 
western digital q208iis
western digital  q208iiswestern digital  q208iis
western digital q208iis
finance37
 
western digital q308iis
western digital  q308iiswestern digital  q308iis
western digital q308iis
finance37
 
western digital q408iis
western digital  q408iiswestern digital  q408iis
western digital q408iis
finance37
 
western digital q109iis
western digital  q109iiswestern digital  q109iis
western digital q109iis
finance37
 
western digital q209iis
western digital  q209iiswestern digital  q209iis
western digital q209iis
finance37
 
western digital ap95
western digital  ap95western digital  ap95
western digital ap95
finance37
 
western digital annual96
western digital  annual96western digital  annual96
western digital annual96
finance37
 

More from finance37 (20)

western digital q105iis
western digital  q105iiswestern digital  q105iis
western digital q105iis
 
western digital q205iis
western digital  q205iiswestern digital  q205iis
western digital q205iis
 
western digital q305iis
western digital  q305iiswestern digital  q305iis
western digital q305iis
 
western digital q405iis
western digital  q405iiswestern digital  q405iis
western digital q405iis
 
western digital q106iis
western digital  q106iiswestern digital  q106iis
western digital q106iis
 
western digital q206iis
western digital  q206iiswestern digital  q206iis
western digital q206iis
 
western digital q306iis
western digital  q306iiswestern digital  q306iis
western digital q306iis
 
western digital q406iis
western digital  q406iiswestern digital  q406iis
western digital q406iis
 
western digital q107iis
western digital  q107iiswestern digital  q107iis
western digital q107iis
 
western digital q207iis
western digital  q207iiswestern digital  q207iis
western digital q207iis
 
western digital q307iis
western digital  q307iiswestern digital  q307iis
western digital q307iis
 
western digital Q407iis
western digital  Q407iiswestern digital  Q407iis
western digital Q407iis
 
western digital q108iis
western digital  q108iiswestern digital  q108iis
western digital q108iis
 
western digital q208iis
western digital  q208iiswestern digital  q208iis
western digital q208iis
 
western digital q308iis
western digital  q308iiswestern digital  q308iis
western digital q308iis
 
western digital q408iis
western digital  q408iiswestern digital  q408iis
western digital q408iis
 
western digital q109iis
western digital  q109iiswestern digital  q109iis
western digital q109iis
 
western digital q209iis
western digital  q209iiswestern digital  q209iis
western digital q209iis
 
western digital ap95
western digital  ap95western digital  ap95
western digital ap95
 
western digital annual96
western digital  annual96western digital  annual96
western digital annual96
 

Recently uploaded

一比一原版Adelaide毕业证阿德莱德大学毕业证成绩单如何办理
一比一原版Adelaide毕业证阿德莱德大学毕业证成绩单如何办理一比一原版Adelaide毕业证阿德莱德大学毕业证成绩单如何办理
一比一原版Adelaide毕业证阿德莱德大学毕业证成绩单如何办理
zsewypy
 
what is the future of Pi Network currency.
what is the future of Pi Network currency.what is the future of Pi Network currency.
what is the future of Pi Network currency.
DOT TECH
 
Introduction to Economics II Chapter 28 Unemployment (1).pdf
Introduction to Economics II Chapter 28 Unemployment (1).pdfIntroduction to Economics II Chapter 28 Unemployment (1).pdf
Introduction to Economics II Chapter 28 Unemployment (1).pdf
Safa444074
 
PD ARRAY THEORY FOR INTERMEDIATE (1).pdf
PD ARRAY THEORY FOR INTERMEDIATE (1).pdfPD ARRAY THEORY FOR INTERMEDIATE (1).pdf
PD ARRAY THEORY FOR INTERMEDIATE (1).pdf
JerrySMaliki
 

Recently uploaded (20)

Bitcoin Masterclass TechweekNZ v3.1.pptx
Bitcoin Masterclass TechweekNZ v3.1.pptxBitcoin Masterclass TechweekNZ v3.1.pptx
Bitcoin Masterclass TechweekNZ v3.1.pptx
 
How can I sell my Pi coins in Vietnam easily?
How can I sell my Pi coins in Vietnam easily?How can I sell my Pi coins in Vietnam easily?
How can I sell my Pi coins in Vietnam easily?
 
9th issue of our inhouse magazine Ingenious May 2024.pdf
9th issue of our inhouse magazine Ingenious May 2024.pdf9th issue of our inhouse magazine Ingenious May 2024.pdf
9th issue of our inhouse magazine Ingenious May 2024.pdf
 
Summary of financial results for 1Q2024
Summary of financial  results for 1Q2024Summary of financial  results for 1Q2024
Summary of financial results for 1Q2024
 
when officially can i withdraw my pi Network coins.
when officially can i withdraw my pi Network coins.when officially can i withdraw my pi Network coins.
when officially can i withdraw my pi Network coins.
 
how to sell pi coins at high rate quickly.
how to sell pi coins at high rate quickly.how to sell pi coins at high rate quickly.
how to sell pi coins at high rate quickly.
 
Can a Pi network coin ever be sold out: I am ready to sell mine.
Can a Pi network coin ever be sold out: I am ready to sell mine.Can a Pi network coin ever be sold out: I am ready to sell mine.
Can a Pi network coin ever be sold out: I am ready to sell mine.
 
how can I transfer pi coins to someone in a different country.
how can I transfer pi coins to someone in a different country.how can I transfer pi coins to someone in a different country.
how can I transfer pi coins to someone in a different country.
 
How can I sell my pi coins in Indonesia?
How can I  sell my pi coins in Indonesia?How can I  sell my pi coins in Indonesia?
How can I sell my pi coins in Indonesia?
 
一比一原版Adelaide毕业证阿德莱德大学毕业证成绩单如何办理
一比一原版Adelaide毕业证阿德莱德大学毕业证成绩单如何办理一比一原版Adelaide毕业证阿德莱德大学毕业证成绩单如何办理
一比一原版Adelaide毕业证阿德莱德大学毕业证成绩单如何办理
 
is it possible to sell pi network coin in 2024.
is it possible to sell pi network coin in 2024.is it possible to sell pi network coin in 2024.
is it possible to sell pi network coin in 2024.
 
Juspay Case study(Doubling Revenue Juspay's Success).pptx
Juspay Case study(Doubling Revenue Juspay's Success).pptxJuspay Case study(Doubling Revenue Juspay's Success).pptx
Juspay Case study(Doubling Revenue Juspay's Success).pptx
 
what is the future of Pi Network currency.
what is the future of Pi Network currency.what is the future of Pi Network currency.
what is the future of Pi Network currency.
 
Greek trade a pillar of dynamic economic growth - European Business Review
Greek trade a pillar of dynamic economic growth - European Business ReviewGreek trade a pillar of dynamic economic growth - European Business Review
Greek trade a pillar of dynamic economic growth - European Business Review
 
The new type of smart, sustainable entrepreneurship and the next day | Europe...
The new type of smart, sustainable entrepreneurship and the next day | Europe...The new type of smart, sustainable entrepreneurship and the next day | Europe...
The new type of smart, sustainable entrepreneurship and the next day | Europe...
 
Most Profitable Cryptocurrency to Invest in 2024.pdf
Most Profitable Cryptocurrency to Invest in 2024.pdfMost Profitable Cryptocurrency to Invest in 2024.pdf
Most Profitable Cryptocurrency to Invest in 2024.pdf
 
what is the best method to sell pi coins in 2024
what is the best method to sell pi coins in 2024what is the best method to sell pi coins in 2024
what is the best method to sell pi coins in 2024
 
how can I sell my mined pi coins profitabily.
how can I sell my mined pi coins profitabily.how can I sell my mined pi coins profitabily.
how can I sell my mined pi coins profitabily.
 
Introduction to Economics II Chapter 28 Unemployment (1).pdf
Introduction to Economics II Chapter 28 Unemployment (1).pdfIntroduction to Economics II Chapter 28 Unemployment (1).pdf
Introduction to Economics II Chapter 28 Unemployment (1).pdf
 
PD ARRAY THEORY FOR INTERMEDIATE (1).pdf
PD ARRAY THEORY FOR INTERMEDIATE (1).pdfPD ARRAY THEORY FOR INTERMEDIATE (1).pdf
PD ARRAY THEORY FOR INTERMEDIATE (1).pdf
 

newmont mining 06_07_07_UBS_Roadshow

  • 2. Cautionary Statement 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, that are intended to be covered by the safe harbor created by such sections. Such forward-looking statements include, without limitation, (i) estimates of future gold and copper production and sales; (ii) estimates of future costs applicable to sales; (iii) estimates of future capital expenditures, royalty and dividend income, tax rates and expenses; (iv) estimates regarding timing of future development, construction, production or closure activities; (v) statements regarding future exploration results and the replacement of reserves; and (vi) statements regarding cost structure and competitive position. Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. However, forward-looking statements are subject to risks, uncertainties and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Such risks include, but are not limited to, gold and other metals price volatility, currency fluctuations, increased production costs and variances in ore grade or recovery rates from those assumed in mining plans, political and operational risks in the countries in which we operate, and governmental regulation and judicial outcomes. For a more detailed discussion of such risks and other factors, see the Company’s 2006 Annual Report on Form 10-K, filed February 26, 2007 which is on file with the Securities and Exchange Commission, as well as the Company’s other SEC filings. The Company does not undertake any obligation to release publicly revisions to any “forward-looking statement,” to reflect events or circumstances after the date of this news release, or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws. June 7, 2007 Slide 2
  • 3. Newmont Portfolio Ghana Nevada Australia, New Zealand, Peru and Indonesia 5.9 Million Equity Gold Ounces Sold in 2006 from 11 Mine-sites Globally June 7, 2007 Slide 3
  • 4. Newmont’s Reserve Growth Track Record & Discovery Cycles 29 Million Acres in World Class Gold Districts LA N D O WN E R S H IP B Y R E G IO N Europe 3% Asia Pacific 100 Ghana 9% Australia Africa Australia 15% 30% 80 South America 60 South North America America 18% 25% Central Asia & Indonesia 40 North America 20 0 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 June 7, 2007 Slide 4
  • 5. 2007 Equity Gold Sales Guidance 2007 Outlook = 5.2 to 5.6m Equity Ounces 2006 Actual to 2007 Guidance* Equity Gold 2006 Actual - Equity Gold Sales Sales Variance Other Ghana 6% 3% 6.5 Batu Hijau 4% Nevada 41% Yanacocha 0.02 0.23 23% 0.01 0.06 0.57 6.0 Ounces (million) 5.88 0.11 Australia/New Zealand 23% 5.5 2007 Guidance* - Equity Gold Sales 5.38 Ghana 8% Batu Hijau 5% Yanacocha 5.0 15% Nevada 47% a A a a d G ia a ic si ic an ch 07 es 06 A fr er al co 20 n A 20 m al Ze do na tr A In en ew Ya th C or /N N ia al tr Australia/New us Zealand A June 7, 2007 Slide 5 25% * 2007 number based on mid-point of guidance
  • 6. Newmont’s Operating Cost Profile Newmont operating costs below industry average (2003 – 2006) - 2006 $500 $450 $400 $317 $350 CAS ($/oz) GR* $300 A 12% C stry = Indu $250 $304 $176 $200 CAGR % t = 11 $150 wmon Ne $184 $100 2001 2002 2003 2004 2005 2006 GFMS (Industry Avg) Newmont June 7, 2007 Slide 6 * Industry Cost based on 2007 Gold Survey - GFMS
  • 7. 2007 Cost Applicable to Sales 2007 Outlook = $375-$400/Oz Approximately $100/oz equivalent from Batu Hijau copper revenue* Approximately $15 - $20/oz impact from change in deferred stripping* Change by Region % Increase by Cost Drivers $600 2007 Guidance CAS ($375 - $400/oz) Diesel & Others 2006 CAS ($304/oz) Electricity 3% $500 5% Consumbles $400 5% $300 Labor & Contract Services $200 15% $100 Production 72% $0 Ahafo Australia/New Nevada Yanacocha Batu Hijau Zealand June 7, 2007 *2007 outlook based at mid-point; 2007 copper revenue outlook at $3.00/lb; and Slide 7 Q1 2007 deferred stripping impact.
  • 8. Nevada Opportunities Steady state production from Leeville; Carlin and Twin Creeks performing in line with plans; Further anticipated reductions in contracted service costs; Planned savings from power plant and fleet reinvestment. Challenges Phoenix Start-up; Ongoing labor and energy cost pressures. 2007 Q1 Q1 NEVADA Outlook 2007 2006 Consolidated gold sales (000 ounces) 2,350 - 2,550 560 535 Equity gold sales (000 ounces) 2,350 - 2,550 560 489 Costs applicable to sales ($/ounce) $375 - $400 $493 $395 June 7, 2007 Slide 8
  • 9. Peru Opportunities Increasing recoveries from La Quinua and Carachugo; Increasing ore placement on leach pads in second half of year; Improving recoveries with 2008 completion of gold mill; Optimizing development plans for Conga; Yanacocha sulfides provide future potential upside. Challenges Negotiating a three-year extension with labor union; Lower potential ore grades. 2007 Q1 Q1 YANACOCHA Outlook 2007 2006 Consolidated gold sales (000 ounces) 1,500 – 1,600 455 770 Equity gold sales (000 ounces) 775 – 825 234 395 Costs applicable to sales ($/ounce) $340 - $360 $310 $161 June 7, 2007 Slide 9
  • 10. Australia/New Zealand Opportunities Upside production and exploration potential from the Tanami mine; Increasing throughput at Martha; Upside potential for the year at Pajingo; Boddington project remains on schedule. Challenges Approximately $5-$6/ounce for every $0.01 change in the A$ exchange rate; Mature underground and open pit mines; Recruiting and retention of experienced labor. 2007 Q1 Q1 AUSTRALIA/NEW ZEALAND Outlook 2007 2006 Consolidated gold sales (000 ounces) 1,275 – 1,325 332 333 Equity gold sales (000 ounces) 1,275 – 1,325 332 333 Costs applicable to sales ($/ounce) $445 - $470 $519 $384 June 7, 2007 Slide 10
  • 11. Indonesia Opportunities Un-hedged copper exposure; Second half of the year benefits from current stripping campaign; Planned lower waste to ore ratios for the remainder of 2007, with a 6:1 ratio for the year; Higher grade and throughput opportunities. Challenges $7/ounce Q1 cost impact from the first quarter stripping campaign; Harder ore and higher waste removal costs during first half of the year; Ongoing divestiture requirements. 2007 Q1 Q1 Batu Hijau Outlook 2007 2006 Consolidated copper sales (M lbs) 395 – 435 91 81 Equity copper sales (M lbs) 210 – 230 48 43 Costs applicable to sales ($/lb Cu) $1.10 - $1.20 $1.40 $0.81 Average realized copper price $2.74 $2.08 Consolidated gold sales (000 ozs) 435 - 475 84 73 Equity gold sales (000 ozs) 230 – 250 45 39 Costs applicable to sales ($/oz Au) $225 - $240 $330 $208 June 7, 2007 Slide 11
  • 12. Ghana Opportunities 25% share in 80 mega-watt power plant; Higher mill ore grade potential; Ramping up to steady state mine rates; Continued evaluation of the Akyem project and Ahafo expansion opportunities. Challenges Potential for higher power costs. Ahafo 2007 Q1 Q1 Outlook 2007 2006 Consolidated gold sales (000 ozs) 410 – 450 125 - Equity gold sales (000 ozs) 410 – 450 125 - Costs applicable to sales ($/oz) $460 - $500 $341 - June 7, 2007 Slide 12
  • 13. The Gold Company Of Choice For A Gold Bull Market Remain on Track for Anticipated Gold and Copper Sales Addressing Operating Cost Challenges at Phoenix Building New Mines with Strong Exploration Potential Balanced Global Portfolio Institutional Quality Investment “No Gold Hedging” Philosophy June 7, 2007 Slide 13
  • 15. Appendix – Gold Industry - Declining Production 8.0 2,700 Mine Production 7.6 NEM Equity Production (oz mm) Global Production (tonnes) 7.5 Pre-Merger NEM Equity Production (oz/mm) (5.5 mm ozs) 7.0 2,600 6.5 6.0 2,500 5.9 5.5 5.0 2,400 2001 2002 2003 2004 2005 2006 Source: GFMS June 7, 2007 Slide 15
  • 16. Appendix - Extractive Industry Capital Inflation 95% 75% Labor +77% 55% Steel +57% Plants +45% 35% Equipment +29% 15% -5% 2002 2003 2004 2005 2006 Structural Steel Labor Total Process Plant All Mining Equipment June 7, 2007 Slide 16
  • 17. Appendix - Newmont’s Capital Expenditures 2007 Outlook = $1.8 - $2.0 billion $2,000 Sustaining Capital New Project Capital Capital ($ Millions) $1,500 $1,000 $500 $0 2002 2003 2004 2005 2006 2007F Leeville Ahafo Phoenix Boddington Power Plant MY Gold Mill Going Forward - Capital Effectiveness through Stage Gate process June 7, 2007 Slide 17
  • 18. Appendix – Future Prospects Akyem Mine, Ghana Deferred pending permitting, optimization and feasibility study Sustainable power solution alternatives under review Additional exploration drilling data underway Development decision expected by end of 2007 Conga Mine, Peru Large Copper and Gold Deposit Optimization studies in progress Ahafo Expansion, Ghana Subika Underground Possible Second Mill Yanacocha Gold Mill & Sulfides Potential for Large Gold & Copper district Ongoing metallurgical studies June 7, 2007 Slide 18
  • 19. Appendix – Phoenix Overview Lower Mill Recovery and Grade Challenges Optimization efforts to improve simultaneous gold and copper recoveries Evaluating mine plan sequencing to optimize metal production Mill Throughput Challenges More complex ores than anticipated in some zones • Drill and blast improvement programs • Crusher feed optimization efforts • Optimizing replacement crusher plans • Blending hard and soft ores to maximize throughput Phoenix Upside Potential 8.0 million ounces gold;770 million pounds copper in reserves Exploration targets exist with potential for expanding the Phoenix pit; Production opportunities from copper oxide material, with potential to add an oxide leach pad once permitted June 7, 2007 Slide 19
  • 20. Appendix – Ghanaian Power Plant Long-term solution 80 mega-watt power plant under construction; 25% share in power supplied; Proportionate distribution of power from the grid; Plant to supply one-third of Ahafo power needs Power plant construction Majority of equipment received; Remaining critical equipment expected mid-year; Completion expected during second half June 7, 2007 Slide 20
  • 21. Appendix – Exploration Spending and Outlook 2007 Outlook = $170 - $175 million 2007 Budget by Location 2007 Budget by Program Diamonds 9% Opportunity Fund North America & Support 21% 24% Opportunity Fund 9% Tech Support/ West Africa 10% Management 9% Near Mine 54% China/SE Asia 2% Australia 14% Other Turkey 2% Greenfields 20% South America 28% Q1 Q1 Exploration Spending 2007 2006 Total Exploration $40 $33 Near-mine $21 $22 Greenfield $10 $8 Other $9 $3 June 7, 2007 Slide 21
  • 22. Appendix – Q1 Merchant Banking Results Royalty and Dividend Income FY2006 Record $120 million (+52% over 2005) Q1 Royalty and Other Income: $31 million Equity Portfolio and Investment Growth Market value of marketable securities portfolio: $1.40 billion at Year-end 2006; $1.28 billion at end of Q1 2007 Alberta Heavy Oil Investment: $20 million investment $280 million sale proceeds Canadian Oil Sands Trust: $268 million investment $800 million market value Value Creation Investments Iron Ore Coal Arctic Gas Diamonds June 7, 2007 Slide 22