Newmont Corporation has announced its third quarter 2024 results, increasing its attributable gold production by almost 30% to 1.67 million ounces, from 1.29 million ounces in Q3 2023.
The major driver for the increase was the acquisition of Tier 1 assets which belonged to Newcrest, such as Cadia in Australia and Lihir in Papua New Guinea. Newmont bought the company in late 2023 for $16.4 billion. For the first 9 months of the year, the company produced 4.95 million ounces of gold, also 30% more than in the same period of last year.
Newmont’s revenue for the reporting period rose 85% to $4.6 billion, from $2.5 billion a year earlier, while its net Income amounted to $924 million. Average realized gold price during the quarter was $2,518, an increase of $171 per ounce over the prior quarter.
Newmont expects to receive at least $2 billion in proceeds from the divestment of its high-quality, non-core assets, in addition to the $527 million in cash already received from other investment sales since the beginning of 2024.
“We continue to make meaningful progress on our non-core divestment program with the two transactions announced in the quarter…Our divestiture progress and strong free cash flow generation have positioned us to continue reducing debt and repurchasing shares, creating significant and lasting value for our shareholders,” said Tom Palmer, Newmont's president and CEO.
Meanwhile, fourth quarter production is expected to be the highest of the year at 1.8 million ounces, driven primarily by improved grades at Peñasquito and Tanami and improved throughput at Lihir after the planned autoclave maintenance.
Theodor Lisovoy, Managing Editor, Rough&Polished
