Q4 2023 Newmont Corp Earnings Call

Operator: Thank you for watching. Be safe out there. Be well. Good morning and welcome to Newmont's fourth quarter 2023 earnings and 2024 guidance. All participants will be in listen-only mode.

Okay.

Speaker Change: Good morning, and welcome to Newmont's fourth quarter, 2023 earnings and 2020 full garden's cool.

Speaker Change: All participants will be in listen only mode.

Speaker Change: Should you need assistance.

Operator: Please signal a conference specialist by pressing a star followed by zero. After today's presentation, there will be an opportunity to ask questions. Please note this event is. I would now like to turn the conference over to Tom Palmer, President. Thank you, Alfredo.

Speaker Change: Please stick to that conference specialist by pressing star followed by zero.

Speaker Change: After today's presentation there'll be an opportunity to ask questions. Please note. This event is being recorded.

Speaker Change: Now I'd like to turn the conference over to Tom Palmer, President and Chief Executive Officer. Please go ahead.

Speaker Change: Yes.

Tom Palmer: Thank you Brian.

Tom Palmer: Good morning, everyone, and thank you for joining our call today. Could I please ask you to note our cautionary statement and refer to our FSC filings, which can be found on our website? Today, I'm joined by my executive leadership team, including Natasha Villion and Karyn Ovelmen, and we'll all be available to answer your questions at the end of the call. I'd also like to take a moment to acknowledge our friend and colleague Rob Atkinson. Chief Operating Officer for the past five years, Rob will leave Newmont in early May, although his legacy will endure.

Tom Palmer: Good morning, everyone and thank you for joining our call today.

Speaker Change: Please ask you to our cautionary statement.

Tom Palmer: It just takes filings which can be found on our website.

Tom Palmer: Today I'm joined by my Executive leadership team Natasha Boolean at Cowen oven.

Will all be about will answer your questions at the end of the cold.

Tom Palmer: But also I'd like to take a moment to indulge me a friend and colleague Rob Atkinson.

Chief operating officer for the past five years, probably you Monty daily by.

Tom Palmer: His legacy will eat you up.

Tom Palmer: Through his visible, felt leadership, Rob has driven our fatality risk management program, achieving five-year, fatality-free performance. Throughout the pandemic, Rob guided our operations through challenges, including periods of care and maintenance, border closures, and vaccine implementation, where I also represented the very best of our values when he guided PETASCHITO through two major challenges, resolving a community blockade in 2019 and an unjustified strike last In both situations, Rob found sustainable solutions that protected the long-term value of Newmont. During the last five months, Rob and Natasha have conducted a thorough handover of accountability. And Rob will remain with us to support Natasha and me before finishing. Before we get started, it is with great sadness that I share the tragic news regarding a fatal incident at a recently acquired Bruce Jack operation on December 20 last year. I'd like to take a moment to remember our colleague, Adam Kennedy. Adam was only 44 years old.

Tom Palmer: Sure he's visible felt leadership.

Rob Atkinson: What has driven our fatality risk management program, achieving five year fatality free performance.

Rob Atkinson: Throughout the pandemic broke down the guided out operations through challenges, including periods of care and maintenance.

Rob Atkinson: Boarder clauses and vaccine implementation.

Rob Atkinson: Rob also represented the very best about values, but he got it pesky challenge through two major challenges.

Rob Atkinson: Resolving our community blockade in 2019.

Rob Atkinson: Just a thought strike last year.

In both situations, Rob sounds sustainable solutions.

<unk> long term value of chemo.

Rob Atkinson: Over the last five months Robyn Natasha has conducted a thorough and accountabilities.

Rob Atkinson: And Ralph reminded us to support the Tasha and May before finishing up.

Rob Atkinson: Before we get started.

Speaker Change: With great sadness that actually had the tragic news regarding a fatal incident at our recently acquired Bruce Czech Operation on December 20 last year.

Speaker Change: I'd like to take a moment to remember al Kali.

Speaker Change: Kennedy.

Speaker Change: Adam was only 44 years old.

Tom Palmer: He was a partner, a son, a brother, an uncle, a best friend, and a valued colleague. Our condolences go out to Adam's loved ones during this difficult time, and we are again reminded how important it is to maintain a sense of chronic unease when it comes to the safety of everyone who works at Newmont. Any fatality is totally unacceptable.

Speaker Change: He was a partner that's.

Speaker Change: Our brother and uncle a best friend.

Speaker Change: And a valued colleague.

Speaker Change: Our condolences go out to Adam's loved ones during this difficult time.

Speaker Change: And we are getting reminded how important it is to maintain a sense of protein kinase. When it comes to the safety of everyone who works at Piedmont.

Speaker Change: Any fatality.

Speaker Change: Unacceptable.

Tom Palmer: We fully understand the fatality risks in our industry and the critical controls that need to be in place at all times to manage them. So we have been taking the time to conduct a safety reset across all Newmont sites, not just the five new Newmont operations, with a laser focus on the implementation of our fatality risk management. This reset work includes training delivered by our line leaders, our managing directors, our general managers, and our senior health and safety leaders on our fatality risk management standards and our critical control verification process.

Speaker Change: We fully understand the fatality risks in our industry and the critical controls that need to be in place at all times to manage them.

Speaker Change: So we have been taking the time.

Speaker Change: To conduct a safety rates it across all newmont sites not justified you about operations.

Speaker Change: With a laser focus on the implementation of our fatality risk management system.

Speaker Change: This reset work includes trading delivered by Al lot latest managing directors and general managers and their senior health and safety latest.

Speaker Change: Trading is on our fatality risk management standards and a critical control verification process.

Tom Palmer: We're also concluding our thorough investigation into this tragic incident, which is being led by David Thornton, the Managing Director of our Africa Business... We are applying the lessons learned from this investigation at all of our managed operations globally, and we will share them widely with our mining industry peers. Nothing is more important than our commitment to the health and safety of our workforce, and we are determined to create an environment where every person working at Newmont, across all locations, returns home safe and well to their families and loved ones at the end of every shift. Turning to our performance in 2023, Newmont finished the year with a solid fourth quarter, putting us in line with the revised standalone outlook that we issued following the resolution of the strike at Penosketa. In summary, we produced 5.5 million ounces of gold at an all-in sustaining cost of $1,444 an ounce. In addition to gold, we produced nearly 900,000 gold equivalent ounces from copper, silver, lead, and zinc over the course of the year.

Speaker Change: We are also including a thorough investigation into this tragic incident, which is being led by David Thornton, The managing director about Africa business unit.

Speaker Change: We are applying the lessons learned from this investigation at all of that managed operations globally, and we will share the widely without bonding industry piece.

Speaker Change: Nothing is more important than our commitment to the health and safety of our workforce and we are determined to create an environment.

Speaker Change: Every person working at gameboard across all locations.

Speaker Change: Hum siphoned, well their families and loved ones at the end of every shift.

Speaker Change: Turning to our performance in 2023.

Speaker Change: Do you want to finish the year with a solid fourth quarter.

Speaker Change: Putting us in line with revised Standalone outlook that we issued following the resolution of the strike at Scioto.

Speaker Change: In summary, we produced five and a half million ounces of gold at an all in sustaining cost of $1444 an ounce.

Speaker Change: In addition to go we produced nearly 900000 gold equivalent ounces from copper silver lead and zinc over the course of the year.

Tom Palmer: This performance enabled us to deliver $4.2 billion in adjusted EBITDA, return more than $1.4 billion to shareholders, and end the year with liquidity above $6 billion. In a few minutes, Natasha and I will expand on how we expect to improve upon this performance in 2024 and beyond with a focus on delivering meaningful value to our shareholders. But before we do that, I would like to describe how we are transforming our business into a unique collection of the world's best gold and copper operations and projects, following last year's transaction. When we announced our binding agreement to acquire Newcrest in May last year... We outlined a powerful value proposition built around four key commitments.

Speaker Change: This performance enabled us to deliver $4 $2 billion in adjusted EBITDA.

Speaker Change: Returned more than $1 $41 to shareholders and ended the year with liquidity above $6 billion.

Speaker Change: In a few minutes Natasha and I will expand on how we expect to improve upon this performance in 2024 beyond with a focus on delivering meaningful value to our shareholders.

But before we do that I'd like to describe how we are transforming our business into a unique collection of the world's best gold copper operations and projects following last year's transaction.

Speaker Change: When we announced a binding agreement to acquire Newcrest he buy last year.

Speaker Change: We outlined a powerful value proposition.

Speaker Change: Around Falkirk commitments.

Tom Palmer: First, to set a new sustainability standard and strengthen Newmont's position as the gold sector's recognized sustainability leader. Second, to create the industry's strongest portfolio of world-class gold and copper assets in the most favourable mining jurisdictions. Third, to deliver $500 million of annual synergies and realize over $2 billion in cash from portfolio optimization. And finally, to continue driving a disciplined, balanced approach to capital allocation. After closing the transaction on November 6 last year, the integration of the five new operations into our Newmont operating model has been progressing very well.

Speaker Change: First just hit the news sustainability standard and strengthen <unk> position as the golf sector is recognized.

Speaker Change: You laid out.

Speaker Change: Second to create the industry's strongest portfolio of world class gold and copper assets in the most favorable bonding jurisdictions.

Speaker Change: Third.

Speaker Change: It's only about $500 million of annual synergies.

Speaker Change: We realized a $2 billion in cash from portfolio optimization.

Speaker Change: And finally to continue driving a disciplined balanced approach to capital allocation.

Speaker Change: After closing the transaction on November six last year.

Speaker Change: Integration of the five new operations Al Newmont operating model has been progressing very well.

Tom Palmer: And as we enter this critically important year of integration and transformation, I'll be holding myself and my executive leadership team accountable for delivering on these commitments, and this will be our key focus for 2024. To support this work, earlier today, we announced four key actions that together will enhance our ability to deliver on our clear and consistent strategy. First, we plan to divest six high-quality but non-core assets this year. From this point forward, our world-class portfolio will consist entirely of Tier 1 and Emerging Tier 1 operations and districts, and it will have a significant exposure to growth in copper and gold from our industry-leading organic project pipeline. Second,

Speaker Change: And as we enter this critically important.

Speaker Change: Integration and transformation I'll be holding myself and my executive leadership team accountable for delivering on these commitments.

Speaker Change: And this will be al Qaeda focus of 2024.

To support this work earlier today, we announced four key actions that together, we will enhance our ability to deliver on our clear and consistent strategy.

Speaker Change: First we plan to divest six high quality, but non core assets this year.

Speaker Change: From this point forward our world class portfolio will consist entirely of T, one and emerging Tijuana operations and districts.

Speaker Change: And it will have a significant exposure to growth in copper and gold from our industry, leading organic project pipeline.

Speaker Change: Second.

Tom Palmer: We've provided today our 2024 and five-year out, getting a clear picture of the work we are doing to expand margins and appropriately sequence our projects to deliver sustainable value with the clarity, simplicity, and focus that our Tier 1 portfolio provides. We have committed to deliver a further $500 million in cost and productivity improvements across the entire portfolio. And these improvements are over and above our synergy commitment from the Newcrest Acquisition. We expect to hit this $500 million annual run rate of improvement by the end of 2025. And finally, we announce the Thales Shareholder Return Framework, consisting of a $1 per share annualized base dividend and a new $1 billion share repurchase program. Our Go Forward Newmont portfolio is focused on Tier 1 gold and copper operations and projects located in the world's most favorable mining jurisdictions. It has four key things.

Speaker Change: We've provided today at 'twenty 'twenty, four and five year outlook.

So I think getting a clear picture of the work we are doing to expand margins at <unk>.

Speaker Change: Perfectly sequence at projects to deliver sustainable value.

Speaker Change: But.

Speaker Change: With the clarity simplicity and focus that T. One portfolio provides we have committed to deliver a further $500 million in cost and productivity improvements across the entire portfolio.

Speaker Change: And these improvements are over and above our synergy commitment from the <unk> acquisition.

Speaker Change: We expect to hit its $500 million annual run rate of improvement by the end of 2025.

Speaker Change: And finally.

Speaker Change: We announced a balanced shareholder return framework.

Consisting of a $1 per share annualized by its dividend.

Speaker Change: And a new 1 billion dollar share repurchase program.

Speaker Change: Our go forward portfolio is focused on T what in gold and copper.

Speaker Change: Actions and projects located in the world by favorable mining jurisdictions.

Speaker Change: It has four key features.

Tom Palmer: First, it contains 10 Tier 1 operations, representing more than half of the world's Tier 1 gold mines. Second, it has three emerging Tier 1 operations with a clear path for growth, along with the opportunity to create a Tier 1 district in British Columbia, a district in which Newmont will be operating for at least the next century. Third, it has an unmatched organic development pipeline with six large-scale copper-gold projects. And fourth, underpinning our Tier 1 portfolio is the industry's most robust foundation of reserves and resources, going forward. Newmont has the industry's largest gold resource base, and we also have the largest base of copper resources in the gold industry. To put that in perspective, Newmont has an almost 30% larger gold reserve and resource base than our nearest peer, and a 40% larger copper reserve resource base than our nearest gold pier.

Speaker Change: First it contains 10 kilowatt operations.

Speaker Change: Presenting more than half of the World T. One golf bonds.

Speaker Change: Second it has three emerging tier one operations with a clear path for growth.

Speaker Change: Along with the opportunity to create a T. One district in British Columbia.

A district in which demand will be operating or at least the next century.

Speaker Change: It has an unmatched organic development pipeline, we fixed large scale copper gold projects.

And full underpinning our tier one portfolio is the industry's most robust foundation of reserves and resources.

Speaker Change: Going forward.

Speaker Change: You won't have the industry's largest gold resource space.

Speaker Change: And we also have the largest base of copper results in the gold industry.

Speaker Change: And to put that into perspective.

Speaker Change: <unk> has an almost 30% larger gold reserve and resource base than our nearest peer.

Speaker Change: And a 40% larger copper reserves results.

Speaker Change: Our nearest go P M.

Tom Palmer: No other gold producer in the world can offer the depth and quality that Newmont's Q1 portfolio can offer today. Later on, I'll provide a bit more color about Newmont's longer-term outlook and the exciting gold and copper opportunities that are ahead of us. But I'd first like to give some insight into how we are framing the year ahead. 2023 brought with it a number of unique challenges, which are now firmly behind us. The 120-Day Labor Dispute at Petosketo

Speaker Change: No other gold producers in the world, but also the depth and quality.

Speaker Change: G box T one portfolio can't Tonight.

Speaker Change: Later on I'll provide a bit more color about game on this longer term outlook and the exciting gold and copper opportunities that are ahead of us.

Speaker Change: But I'd first like to give some insight into how we are framing the year ahead.

Speaker Change: 2023 brought with it a number of unique challenges, which are now firmly behind us.

Speaker Change: The 120 day labor dispute at Scioto.

Tom Palmer: Asset integrity issues that were inherent in the original design of the Equipment of the Harpo and Canadian Wildfires impacting our Eleanor operation all meant that our final production did not reflect the full capability of our assets as we emerged on the other side of these events. I am proud of the decisions that we took to protect the long-term interests of the company rather than seek short-term, expedient solutions. However, I'm also not happy with the underlying level of our operating performance.

Speaker Change: Asset integrity issues that were inherent in the original design of equipment in the Hopper.

Speaker Change: And Canadian wildfires.

Speaker Change: <unk>.

Speaker Change: Operation.

Speaker Change: All meant that our final production did not reflect the full capability of our assets.

Speaker Change: As we emerge on the other side of the debates I.

Speaker Change: I am proud of the decisions, we took to protect the long term interest of the company.

Speaker Change: Rather than seeking short term expedient solutions.

Speaker Change: However.

Speaker Change: I'm also not happy with the underlying level of our operating performance.

Tom Palmer: We have the opportunity to improve our compliance with mine plans, our fixed and mobile equipment reliability, and our mill throughput and recovery. So our focus in 2024 will be on safely integrating new teams and operations into our Newmont operating model and culture, on transforming our portfolio, and on laying the groundwork for sustainable operating performance, margin expansion, and strong returns. Finally, this morning, we also announced that we have extended the completion date and increased the protected capital cost for our TANAMI 2 expansion project. In the second half of last year, we completed the concrete lining of the top half, or 700 metres, of this 1.5 kilometer deep production shaft. This milestone gave us the opportunity to assess the condition of the node overbreak and ground conditions at the very bottom of the shaft, as well as incorporate the lessons learned from lining the top half of the shaft into the costs and schedule for the run home. We have critically assessed a number of options to safely address the known overbrake and line the lower section of the shaft.

Speaker Change: We have the opportunity to improve that complies with the bond plan.

Speaker Change: Our fixed and mobile equipment reliability and mill throughput and recoveries.

Speaker Change: So our focus in 2024 will be on safely integrating new teams and operations at the Al do you have an operating model and culture.

Speaker Change: While transforming our portfolio.

Speaker Change: And on laying the groundwork.

Speaker Change: Stable operating performance margin expansion and strong returns.

Speaker Change: Finally, this morning, we also announced that we have extended the completion date and increase the protected capital cost <unk>, Panama two expansion project.

Speaker Change: In the second half of last year, we completed the concrete lining of the top half or 700 meters.

Speaker Change: I don't know half kilometer data production shop.

Speaker Change: This milestone gave us the opportunity to assess the condition of the known either break and ground conditions at the very bottom of the shaft.

Speaker Change: As well as incorporate the lessons learned for blood in the top half of the shaft.

Speaker Change: Cost and schedule for the Rad hard.

Speaker Change: We have critically assess a number of options to safely address the non Ivy, Brian and line the lower section of the shaft.

Tom Palmer: This work included key third-party reviews before we landed on a method. And it was this methodology and the subsequent decisions that we took that have informed the cost and schedule update we've provided today. Although I'm not happy with the extension of time and cost.

Speaker Change: This work has included keep 33rd party reviews.

Speaker Change: We landed on a method.

Speaker Change: And it was this methodology.

Speaker Change: Subsequent decisions that we took that have informed the cost and schedule update we provided today.

Speaker Change: Although I'm not happy with the extension of time and cost.

Natasha Villion: I am confident that we have chosen a method that is safe and will ensure the shaft construction is of the quality necessary to rely on service Tatami's prolific ore body for many, many years to come. So with that, I'll hand over to Natasha to walk through our operational priorities for 2024 and what we are doing to ensure we deliver on our commitments this year.

Speaker Change: I am confident we have chosen a method that is sites.

Speaker Change: And we will ensure shop construction is also quality necessary to reliable service televised political body, but many many years to come.

Speaker Change: So with that I'll hand over to Natasha to walk through our operational priorities for 2021.

Natasha Boolean: And what we are doing to ensure we deliver on our commitments for this year.

Natasha Boolean: Over to you to catch up.

Natasha Villion: Thank you, Tom, and good morning to everybody on the call. Since joining Newmont in October, I have visited 14 of Newmont's 17 managed operations. And I've been really impressed by the quality of the assets, the dedication of our people, and the commitment from our operational leaders to drive safe and profitable production. Before I begin, I'd like to provide a brief introduction to the operational team focused on integration and value delivery in 2024. As mentioned last quarter, within our global operating model, we have six regional business units, each headed up by a world-class, experienced Newmont leader, who you can see on this slide. This scalable, integrated operating model enables alignment across our operating leadership team while also empowering our managing directors to apply extensive local and technical knowledge and draw on our global functional expertise to lead each unique operation. To support our operations from the project execution side, we have a dedicated restructured project delivery team.

Natasha Boolean: Thank you Tom and good morning to everybody on the call since joining newmont's enough times that I have visited 14 off Newmark 17 managed operations and I've been really impressed by the quality of the assets the dedication of our people and the commitment from our operational and eat it too.

Natasha Boolean: At our size and profit.

Natasha Boolean: Production.

Natasha Boolean: Before I begin I'd like to provide a brief introduction after operational team focused on integration and value campaigns in 2024.

Natasha Boolean: As mentioned last forecast within our global operating model, we have six regional business units each headed by a book loss experienced newmont feed it well you can see on this slide.

Natasha Boolean: This scalable integrated operating model enables alignment that cross sell for ITE leadership team, while also empowering our managing directors to apply the extensive local and technical knowledge and drew on our global functional functional expertise to lead each unique operation.

Natasha Boolean: To support operations from the project execution side, we haven't guided lease structure project delivery team.

Natasha Villion: This team of subject matter experts is working across the full spectrum of our organic pipeline, including studies, project development, construction, and commissioning of projects. They strengthen our operating model with block archiving capability and an understanding of industry-leading practices in project development. This year, we will have a laser focus on the performance of our 11 managed operations in our Go Forward portfolio while also guiding our six non-core assets through a safe and productive process for diversity. As we work to deliver efficiency and reliability from our global portfolio, we are committed to progressing our four key projects in execution and keeping them on track in 2024. As a result, we are entering the year with a strong focus on integration and the safe delivery of our targets. Our success in 2024 will be largely determined by the performance of our six managed Tier 1 operations. Barrington, Tanami, Penasquito, AHAFO, Lahir, and Caria.

Natasha Boolean: This team.

Natasha Boolean: A subject matter expert is working across the full spectrum of our organic pipeline, including study project development construction and commissioning projects.

Natasha Boolean: They strengthen our operating model with block trading capability, and then understanding of industry, leading practices and project development.

Natasha Boolean: This year, we will have a laser focus on the performance of it and.

Natasha Boolean: Managed operations.

Natasha Boolean: With portfolio.

Natasha Boolean: Well, it's all sad guarding our six non core assets.

The doctor's practice.

For divestment.

Natasha Boolean: As we work to deliver efficiency and good luck.

The ability for that type of portfolio, we are committed to progress.

Key projects in execution and keeping them on track in 2024.

Natasha Boolean: As a result, we are entering the year with a strong focus on integration and precise delivery of our targets.

Natasha Boolean: Housing season, 'twenty 'twenty four will be largely determined by the performance of our managed tier one operation.

Natasha Boolean: Button.

Natasha Boolean: Mine and its ski town how fun.

Natasha Boolean: Yeah.

Natasha Villion: Not underestimating the impact of delivery from the full portfolio of operating assets. I will also separately touch on Telfer and how we are ensuring tailings dam integrity at this new-to-Newmont operation. We are clear on the key priorities to integrate and deliver 2024 and how to set up operations for the next five years. I will touch on some of these at each of the Tier 1 Managed Operations. At Boddington, we are progressing the stripping of the current laybacks in the North and South Bliffs, as planned, with improved productivity from our fully autonomous haulage fleet. At our polymetallic mine, Penesquito, our focus is on delivering strong silver, lead, and zinc from the Chile Colorado Pits and continuing waste stripping in the Penasco Pits to deliver higher gold grades in 2025. At our half-hour, we remain on track to replace defective girth gear in the second quarter to maximize processing rates.

Natasha Boolean: In the east like the impact of the delivery from the full portfolio of operating assets.

Natasha Boolean: I will also secretly touch on Intelsat and how we are ensuring timing stand in take rate.

Natasha Boolean: Need to Newmont operation.

Natasha Boolean: We are clear on the key priorities to integrate and didn't have that 'twenty 'twenty four and how do you set up operations for the next five years.

Natasha Boolean: Ill touch on some of these at each of the tier one managed operations.

Natasha Boolean: At Boddington, we are primary in the stripping of the current <unk> in the north and South pit as planned.

Natasha Boolean: With improved productivity from our fully autonomous haulage fleet.

Natasha Boolean: Our poly metallic might be skewed outside because you start delivering strong silver lead and zinc.

Cindy Collins: Cindy Collins.

Cindy Collins: And continuing waste stripping.

Cindy Collins: The NASCAR to deliver higher gold grade in 2025.

Speaker Change: I don't have.

Speaker Change: My non tracked <unk> do you think this could get in the second quarter to maximize prices correct.

Natasha Villion: At Tanami, we are improving material movement through the decline as we progress deeper underground. The LIU team is focused on simplifying the mine plan and improving asset reliability. And at our other new Newmont operation, CADIA, we are commissioning the next block cave and progressing some important tailings rectification and expansion to set up for the next decade of operation. We have a full potential team on the ground at Lear and Kailea, actively working through our diagnosis phase and designing the initiatives to extract value and deliver the opportunities identified. So taking these key priorities into account, we anticipate that production will be around 53% white gold, so it's the second half of the year. As we return to full processing rates at AHAFO, reach higher grades from the Liberator ore body at Tanami, and safely integrate the new-to-Newmont sites into the Newmont operating model. Now, just touching briefly on TALPA, a non-core operation in Australia. We are focused on remediating sinkholes and cracks detected at the Tiling Storage Facility in December when we struck the mold to complete the first phase of remediation work.

In Panama, we are including material, it's been through the decline as we progress.

Speaker Change: <unk>.

Speaker Change: Okay.

Speaker Change: Focus on simplifying the mine plan and improving asset liability.

Speaker Change: On the beauty am under operation kind of up.

Speaker Change: Our commissioning the next locked eyes and foundry.

Speaker Change: Thailand, Streeteasy passion and expansion to setup for the next decade.

Speaker Change: Yeah.

Speaker Change: We have a full potential team on the ground I T E Cavia actively working through our diagnosis and.

In designing the initiatives to extract value and deliver the opportunities I think fine.

Speaker Change: So taking these key priorities into account, we anticipate that production will be about 53% weighted towards the second half up yet.

Speaker Change: As we return to full processing back that also reach higher grades from the separate body tend to buy and safety integral I think need to newmont sites into the new Montana Alrighty funnel.

Speaker Change: Now just touching briefly on Tulsa.

Speaker Change: And noncooperation stride yet.

Speaker Change: We are focused on the BVI team calls it.

Speaker Change: It takes it back to tightening storage facility can be seen that when we stopped them all to complete the first phase III pediatric black.

Natasha Villion: In early February, we temporarily restarted LONDON whilst evaluating options for further remediation of an adjacent tailings facility and will provide an update on that work on our first quarter earnings call. And with a focus on fatality risk management, respected work, and full potential in place, we remain firmly on track to deliver on our commitments this year. On top of delivering in 2024 operationally, we are working to bring forward new, low-cost ounces from the four key projects we have in existence. These projects include the second expansion, Akanemi, as Tom just mentioned, where our focus is on safely lining the lower section of the shaft and continuing to construct the crushing and conveying infrastructure underground; two block cave projects at Kaidia to recover both gold and copper, where we have just delivered the first ore as we ramp up the first of these caves.

Speaker Change: In early February we temporarily restarted.

Speaker Change: Well evaluating options for phase III.

Speaker Change: <unk> and R&D.

Speaker Change: Chinese entity.

Speaker Change: And we'll provide an update on our first quarter earnings call.

Speaker Change: And with a focus on fatality risk management respected width and full potential implies.

Speaker Change: We remain firmly on track to deliver on our commitments this year.

Speaker Change: On top of delivering 2024 operationally, we are working to bring forward new low cost ounces from the four key projects we have in execution.

Speaker Change: These projects included the second expansion at 10 am I as Tom just covered we.

Speaker Change: Our focus is on <unk> nine in the lower section of the shelf and continuing to construct the crushing and conveying infrastructure underground.

Speaker Change: Two block kind of projects in Korea to recover gold and copper that we have just to live obsessed.

Speaker Change: As we ramp up the first of these guys.

Natasha Villion: At our new mine, O'Hare Far North, where we are making good progress on the construction of the mill and other supporting infrastructure, along with waste stripping to allow us to start accessing the ore for stockpile. When this exciting new mine is combined with the underground potential at Subica, Apenso, and Awanso, we have a Tier 1, a half-hoed district that will be capable of producing around 850,000 ounces of gold per year out to and beyond 2015, which would make it one of the world's top gold mining industries by any measure. They're bringing it all together.

Speaker Change: And our new mine.

Speaker Change: No we are making good progress on the construction of the Moe and the supporting infrastructure.

Speaker Change: Along with wide stripping to allow us to start accessing the ore stockpiling.

Speaker Change: When this exciting new mine is combined with the underground potential at <unk> I think so one says we had a few one off a district that will be capable of producing around 850000 ounces of gold yet out to and beyond 2000 22015.

Speaker Change: Mike one of the worlds top gold mining district by any measure.

Speaker Change: So bringing it all together.

Natasha Villion: As we focus on integration and safe delivery this year, we expect our Tier 1 portfolio to produce around 5.6 million ounces of gold at an all-in sustaining cost of $1,300 per ounce, combined with a very significant... 1.9 million gold equivalent ounces from copper, silver, lead, zinc, and molybdenum. Our unit costs are expected to improve compared to 2023 due to steady production volumes and the delivery of synergies and full potential improvements, with the lowest unit cost coming from Newmont's managed Tier 1 portfolio. Our capital reinvestment remains in line with pre-acquisition spending levels as we continue to focus on disciplined delivery and a balanced approach to capital allocation, and with this, tribal production. Through Structured Reinvestment, we are strongly positioned to integrate and deliver on our commitments in 2024, setting the stage to future-proof these world-class assets with benchmark performance and meaningful growth in 2025 and beyond. And with that, I will turn it back to Tom.

Speaker Change: As we focus on integration and science delivery. This yet we expect our tier one portfolio to produce around $5 6 million ounces of gold.

Speaker Change: All in sustaining cost of $1300 per ounce.

Speaker Change: Combined with a series of significant one 9 million gold equivalent ounces from copper.

Speaker Change: All of that late zinc and molybdenum.

Speaker Change: Our unit costs are expected to improve compared to 2023 due to steady production volumes and the delivery of synergies and full potential improvements with the lowest unit cost coming from Newmont managed tier one portfolio.

Speaker Change: Our capital reinvestment remains in line with pre acquisition spending level as we can.

Speaker Change: Continued to focus on disciplined delivery and a balanced approach to capital allocation.

Speaker Change: And with this type of production construction reinvestment, we are strongly positioned to integrate and deliver on our commitments in 2024.

Speaker Change: This stage to future proof these world class assets with baseball performing.

Speaker Change: Meaningful growth in 2025 and beyond.

Speaker Change: With that I will turn it back to Tom.

Tom Palmer: Thanks, Tasha, building off the foundation we're establishing in 2024 that Natasha just covered. I'd like to now provide a little bit more color around the opportunities that we are seeing from our Go Forward portfolio. We will continue to optimize the performance of our mature Tier 1 operations and our new to Newmont assets at Boddington. The stripping we are doing today will bring forward strong gold and copper grades starting in 2026, all supported by the gold industry's only fully autonomous haul fleet. At Tanami, the completion of the second expansion will provide efficient access to ore at depth and open up this prolific underground ore body in 2027 and beyond. At Penasquito, the stripping we are currently doing will bring forward a higher proportion of gold ounces for the Penasquito Pit, balancing the strong production of silver, lead, and zinc from Chile, Colorado... At AHAFO, we are building district potential with new low And finally, simplifying Lahir's mine plan is expected to deliver a strong improvement in gold production as we reach higher grades from Phase 14a. As I mentioned earlier, we have a clear line of sight into the T1 Managed Operations in our portfolio. We have identified $500 million in additional cost and productivity improvements over and above our Synergy Committee.

Tom Palmer: Thanks to Tasha.

Tom Palmer: Building off the foundation, we are establishing a 2024.

Tom Palmer: But just covered.

Tom Palmer: I'd like to now provide a little bit more color around the opportunities that we see from our go forward portfolio.

Tom Palmer: We will continue to optimize the performance of our mature tier one operations and are due to the amount of assets.

At Boddington.

Tom Palmer: Stripping we are doing today will bring forward strong gold and copper grades starting in 2026.

Tom Palmer: All supported by the gold industry's only fully autonomous hopefully.

Tom Palmer: At 10 am on the completion of the second expansion will provide efficient access to all that and open up this prolific underground ore body in 2027 and beyond.

Tom Palmer: At Scioto.

Stripping we are currently doing will bring forward a higher proportion of gold ounces for them that's got it.

Tom Palmer: Balancing the strong production of silver lead and zinc from the Chile, Colorado pit.

Tom Palmer: At <unk>, we are building district potential with new low cost ounces from both underground and open pit at a half myself.

Tom Palmer: Goodbye.

Tom Palmer: Don coming online in 2025.

Tom Palmer: Acadia.

Tom Palmer: We will commission our second block cave in this timeframe, bringing.

Tom Palmer: Bringing forward and higher gold and copper grades whilst in parallel labor doing our full potential program to improve their reliability and throughput.

Tom Palmer: And finally, simplifying the heat bond plan is expected to deliver a strong improvement in gold production as we reach higher grades from 549.

Tom Palmer: As I mentioned earlier with a clear line of sight.

Tom Palmer: The T. One managed operations in our portfolio, we have identified $500 million of additional cost and productivity improvements.

Tom Palmer: Over and above our synergy commitments.

Tom Palmer: Taking everything into account, over the next five years, we expect to deliver growing gold production, driven by the completion of laybacks at both Bonnington and Penesquito, the new ounces from a half-o'-north, completion of the second expansion at Tanami and both block caves at Kodiak, and mining improvements combined with higher grades at La Jolla. And on top of this improving gold production, Newmont will produce a significant amount of copper, along with Silver, Lead, Zinc, and Molybdenum, from a global diversified Tier 1 portfolio, driven by this high metal production and with a focus on improving costs. We expect to deliver lower all-in sustaining costs, bringing our Go Forward portfolio down to around $1,150 per ounce by 2027. For Development Capital, we are applying a pragmatic and methodical approach to our project work to ensure that we are efficiently bringing forward opportunities that are aligned with our strategy, whilst also remaining disciplined with our capital allocation priorities. We expect to spend an average of $1.3 billion per year on development capital, driving healthy competition for investment.

Tom Palmer: So taking everything into account over the next five years, we expect to deliver growing gold production.

Tom Palmer: Driven by the completion of lay backs at Boddington and <unk>.

The new ounces from a hopper.

Tom Palmer: The completion of the second expansion in Panama at both block caves Acadia.

Tom Palmer: And modeling improvements combined with high rise at Lithia.

Tom Palmer: And on top of this is proving Gulf production.

Tom Palmer: <unk> will produce a significant amount of copper.

Tom Palmer: With silver lead zinc and molybdenum.

Tom Palmer: From a global diversified tier one portfolio.

Tom Palmer: Driven by these higher metal production and with a focus on improving costs.

Tom Palmer: We expect to deliver lower all in sustaining costs.

Our go forward portfolio down to around $1150 per ounce by 2027.

Tom Palmer: For development capital, we are applying a pragmatic and methodical approach to our project work to ensure that we're efficiently bringing forward opportunities that are aligned with our strategy.

Tom Palmer: Whilst also remaining disciplined with our capital allocation priorities.

Tom Palmer: We expect to spend an average of one $3 billion per year on development capital.

Tom Palmer: Driving healthy competition for investment as we close out all projects in execution and bring forward. The next wave of profitable production from al organic project pipeline.

Tom Palmer: As we close out the four projects in execution and bring forward the next wave of profitable production from our organic project pipeline, Newmont is supported by the deepest and best project pipeline in the gold industry, and we will manage it with discipline and rigor to ensure that the most value-accretive opportunities are advanced at the right time and in the right order. We have three world-class copper and gold projects in our pipeline, ramped up behind the four projects we currently have in execution, building underground with the block cave at Red Crest, developing the Woffey Gold Poop block cave, and processing the sulfide ore at Yanukowchuk. And then, when we look beyond these projects, we have three exciting long-term opportunities to further diversify into copper – Galore Creek, Neva Union Over the next 10 years, demand for copper is expected to increase significantly, and based on current copper production trends, the world can expect to experience around a 10 million ton shortfall in this critical metal by 2035.

Tom Palmer: Given is supported by the deepest and best project pipeline in the gold industry.

Tom Palmer: And we will manage it with discipline and rigor to ensure that the most value accretive opportunities are advanced at the right time and in the right order.

Tom Palmer: We have three world class copper gold projects in our pipeline ramped up behind the full projects. We currently have in execution.

Tom Palmer: Underground with the block cave at Red Chris <unk>.

Tom Palmer: Developing the Whoopi Goldberg blockade and processing the sulfide ore at yet a culture.

Tom Palmer: And then when we look beyond these projects we have.

Tom Palmer: Have three exciting long term opportunities to further diversify the copper.

Speaker Change: Hello, Craig.

Thank you John.

Speaker Change: <unk>.

Speaker Change: Over the next 10 years demand for copper is expected to increase significantly.

Speaker Change: Based on current copper production trends will can expect to experience around 10 million tons shortfall in this critical metal by 2035.

Karyn F. Ovelmen: Breaching this gap will require significantly more copper mines, as well as copper recycling and enhanced copper leaching processes, creating an exciting opportunity for Newmont to help meet this demand with the organic copper exposure we have in our portfolio, whilst continuing to provide unparalleled exposure to gold and its enduring values. And with that, I'll hand it over to Karyn to talk through our balanced capital allocation strategy. Thank you, Tom.

Speaker Change: Bridging this gap will require significantly more copper bonds as well as copper recycling and.

Speaker Change: An enhanced couple agent processes.

Speaker Change: Creating an exciting opportunity for <unk> to help meet this demand with the organic copper exposure, we have in our portfolio, whilst continuing to provide unparalleled exposure to gold and it's enduring value.

Speaker Change: And with that I'll hand, it over to Karen talked through a balanced capital allocation strategy.

Speaker Change: Tom.

Karyn F. Ovelmen: Our capital allocation strategy is underpinned by three priorities. Working in unison, these priorities maintain the financial flexibility necessary to reinvest in our business with the goal of generating long-term sustainable free cash flow, in turn positioning us to return capital to shareholders through our balanced shareholder return framework. Beginning with financial flexibility, the first of our three priorities, we intend to maintain an investment-grade balance, gross debt of up to $8 billion, and liquidity of $7 billion, including approximately $3 billion of cash. And by maintaining a strong balance sheet, we can ensure we have the ability to steadily fund cash-generative capital projects, all while returning capital to shareholders. As announced this morning, we have six assets currently classified as non-FOR.

Karen: Our capital allocation strategy is underpinned by three priorities working in unison. These priorities, maintaining the financial flexibility necessary to reinvest in our business goal generating long term sustainable free cash flow in turn positioning us to return capital to shareholders through a balanced shareholder return.

Speaker Change: Framework.

Karen: Beginning with financial flexibility first of our three priorities, we intend to maintain investment grade balance sheet.

Karen: Most debt of up to $8 billion and liquidity of $7 billion recruiting.

Karen: Approximately $3 billion of cash.

Karen: And by maintaining a strong balance sheet. We can ensure we have the ability to steadily fun cash generative and capital projects.

Karen: Returning capital to shareholders.

Karen: As announced this morning, we have six assets currently classified as non core.

Karyn F. Ovelmen: The anticipated proceeds from these divestments, along with the free cash flow from operations, will cycle through our capital allocation priorities. Beginning with enhancing our financial strength and flexibility, divestment proceeds will first be allocated to maintaining our minimum cash balance of approximately $3 billion, and will then be applied to reducing debt to $8 billion or below.

The anticipated proceeds from these divestments, along with free cash flow from operations, well cycle through our capital allocation priorities, beginning with enhancing our financial strength and flexibility.

Karen: Divestiture proceeds will first be allocated to maintaining a minimum cash balance of approximately $3 billion and we will then be applied to reducing debt to $8 million or below.

Karyn F. Ovelmen: Once our initial debt target of $8 billion is achieved, we intend to return both free cash flow from operations and divestiture proceeds to our shareholders, which I will touch on in more detail in a minute. Moving to sustainable investments As Tom and Natasha mentioned, over the next five years, we expect meaningful production growth from our long-life, low-cost operations as we invest an average of $1.3 billion of development capital into projects that will generate the highest return. The third priority of our capital allocation approach is a balanced shareholder return framework designed to return capital to shareholders through our base dividend and share repurchase. To be clear, we are not yet where we want to be in terms of generating free cash flow to return to our shareholders but believe we have the right framework in place to return an increasing amount of capital as our operational and financial performance improves. Our Balanced Shareholder Return Framework begins with an annualized base dividend of $1 per share, an amount that will remain fixed, and currently equates to a quarterly dividend of 25 cents per share.

Karen: Once our initial debt target of $8 billion is achieved we intend to return both free cash flow from operations and divestiture proceeds to our shareholders, which I will touch on in more detail in a minute.

Karen: Moving to sustainable investments as Tom and Natasha mentioned over the next five years, we expect meaningful production growth from our long life low cost operation as we invest an average of $1 $3 billion of development capital into projects that will generate the highest returns.

Karen: The third priority of our capital allocation approach is a balanced shareholder return framework designed to return capital to shareholders through our base dividend and share repurchases.

Karen: To be clear, we are not yet where we want to be in terms of generating free cash flow to return to our shareholders, but I believe we have the right framework in place to returning an increasing amount of capital as our operational and financial performance improves.

Karen: Our balance shareholder return framework begins with an annualized base dividend of $1 per share an amount that will remain fixed currently equates to a quarterly dividend <unk> 25 per share.

Karyn F. Ovelmen: We expect to be able to pay the base dividend from pre-cash flow over time. Our dividend is subject to approval from our Board of Directors on a quarterly basis. Historically, our free cash flow generation has been weighted towards the back end of the year, and we expect that will be the case in 2024, as our production profile and synergy realization is expected to be higher in the second half of the year than in the first. In addition, free cash flow generation in the first quarter of 2024 will be impacted by the payment of a stamped duty tax related to the acquisition of new equipment. Stamp duty was accrued in the fourth quarter and paid in February.

Karen: We expect to be able to pay the base dividend from free cash flow over time our.

Karen: Our dividend subject to approval from our board of directors on a quarterly basis.

Karen: Historically, our free cash flow generation has been weighted towards the back ended the year and we expect that will be the case 2024, and our production profile and synergy realization is expected to be higher second half of the year and in the first half.

Karen: In addition.

Free cash flow generation in the first quarter of 2024 will be impacted by the payment of a stamp duty tax related to the acquisition of Newcrest.

Karen: Stamp duty was accrued in the fourth quarter and paid in February.

Karyn F. Ovelmen: As necessary, we will use the flexibility of our balance sheet to fund the base dividend through the quarters, with the annualized $1.00 per share dividend expected to be ultimately funded with free cash. Additionally, our board has authorized a $1 billion share repurchase program. As the liquidity and debt parameters I defined earlier are satisfied, we intend to repurchase shares in line with our free cash flow and asset sale process. To reiterate, our free cash flow and proceeds from these investments will be prioritized as follows. The first dollar will be allocated to maintaining our minimum cash balance.

Karen: As necessary, we will use the flexibility of our balance sheet to fund the base dividend through the quarters with the annualized $1 per share dividend expected to be ultimately funded with free cash flow.

Karen: Additionally, our board has authorized a $1 billion share repurchase program.

Karen: As little Kitty and get parameters I defined earlier are satisfied we intend to repurchase shares in line with our free cash flow and asset sale proceeds.

Karen: We reiterate our free cash flow and proceeds from first.

Karen: Vince will be prioritized as follows.

Karen: The first tower will be allocated to maintaining a minimum cash balance second will be applied to reducing debt to $8 billion in the third will go towards share repurchases.

Karyn F. Ovelmen: The second will be applied to reducing debt to $8 billion, and the third will go towards share repurchase. Our go-forward portfolio positions us to improve margins and performance over time, funding our capital allocation priorities, and allowing us to reward our shareholders directly with returns of capital. And we believe reducing debt and returning capital to shareholders creates an attractive value proposition for new and existing investments, while also improving the company's financial position over the long term. I'll now turn it back to Tom for his closing remarks. Thanks, Karen.

Karen: Our go forward portfolio positions us to improve margins and performance over time funding, our capital allocation priorities and allowing us to reward our shareholders directly with returns of capital.

Karen: And we believe reducing debt and returning capital to shareholders creates an attractive value proposition for new and existing investors, while also improving the company's financial position over the long term.

Karen: I'll now turn it back to Tom for closing remarks.

Tom Palmer: Thanks, Karen.

Tom Palmer: Newmont's Go Forward portfolio sets the new standard for gold and copper mining and provides our shareholders with exposure to the highest concentration of Tier 1 assets in the sector, located in the most favourable mining jurisdictions, and with an improving cost profile to maximize margins and generate strong free cash flows. It provides industry-leading growth optionality in copper and gold for disciplined investment and project execution, and it provides a balanced shareholder return framework. As we look forward to this very important year of integration and transformation, I am very confident in the quality of our assets and the capability of our team to deliver on our commitments and justify our position as the benchmark gold equity. This year we will also be continuing to work on transforming our go-forward portfolio and importantly building out the strategic and life-of-mind plans for each of our managed operations, and I look forward to updating you on the longer-term potential of this world-class portfolio at our capital market days in the second half of this year.

Tom Palmer: You most go forward portfolio.

Tom Palmer: The new standard for gold copper mining in <unk>.

Tom Palmer: <unk> shareholders with exposure to the highest concentration of tier one assets in the sector.

Tom Palmer: <unk> guided in the most favorable mining jurisdictions.

And with an improving cost profile to maximize margins and generate strong free cash flow.

Tom Palmer: It provides industry leading growth optionality in copper and gold.

Tom Palmer: Through disciplined reinvestment and project execution.

Tom Palmer: And it provides a balanced shareholder return framework.

Tom Palmer: As we look forward to this very important year of integration and transformation I'm very confident in the quality of our assets and the capability of our team to deliver on our commitments and justify our position.

The benchmark gold equity.

This year, we will also be continuing to work on transforming our go forward portfolio.

Tom Palmer: And importantly building out the strategic lots of bond plans for each of our managed operations.

Tom Palmer: And I look forward to updating you on the longer term potential of this world class portfolio at our capital market days in the second half of this year.

Tom Palmer: And with that, I'll turn it over to the operator to open the line for questions. Thank you. We will now begin the question and answer session. We ask that you please limit inquiries to one primary question and one follow-up question. To ask a question, please press star then one on your touchtone phone. If you are using a speakerphone, please pick up your handset before pressing the keys.

Speaker Change: And with that I'll turn it over to the operator to open the line for questions.

Tom Palmer: Yeah.

Speaker Change: Thank you we will now begin the question and answer session.

Speaker Change: We ask that you please limit inquiries to one primary question and one follow up question.

Speaker Change: To ask a question. Please press Star then one on your Touchtone phone.

Speaker Change: If youre using a speakerphone please pick up your handset before pressing the keys.

Operator: To withdraw your question, please press star then. At this time, we will pause to assemble our. Our first question today is from the line of Daniel Morgan of Barron Joey. Daniel, your line is open. Hi Tom and Tim.

To withdraw your question. Please press Star then two.

Speaker Change: At this time, we will pause to assemble our roster.

Speaker Change: Yeah.

Speaker Change: Okay.

Speaker Change: Our first question today is from the line of Daniel Morgan Barron Joey Daniel Your line is open.

Hi, Tom and Tim first question is just obviously, there's a lot of operational issues are short term in nature in 2024.

Daniel Morgan: First question is just obviously there are a lot of operational issues, short-term in nature, in 2024. How many of these are resolved by the end of this year in your mind, and then do any carry on into 2025? Thank you. Good morning, Daniel.

Speaker Change: How many of these are resolved by the end of this year in your mind.

Joey Daniel: And then does anything carry on into 2025. Thank you.

Speaker Change: Good morning, Daniel but very much say the operational issues as 2023 events.

Tom Palmer: I very much see the operational issues as 2023 events that are largely behind us. So when I look into this year, particularly with our go-forward portfolio... The one matter that carries over from 23 into 24 is the defective girth gear at a half-o.

Speaker Change: Largely behind us so when I look for look into this year with a particularly with our go forward portfolio.

Speaker Change: One to one matter that carries either 'twenty three 'twenty four.

Tom Palmer: We'll work through a process of replacing that girth gear out in the first half of this year. So, very much got a firm line of sight on that work, and the impact of that girth gear reflects in the guidance we provide for the AHRQ cooperation. I think, Daniel, the other factor that flows from 20... 3 into 24 is our life cycle of our minds.

Speaker Change: Defected girth gear to have fun.

Work through.

Speaker Change: <unk> a replacement good correct in the first half of this year, so very much Scott.

Speaker Change: A lot of sort of on that work in that and that impacted that girth gear reflects.

Speaker Change: In the guidance, we provide for the cooperation.

The other effect that flows from 'twenty.

Speaker Change: 324.

Speaker Change: Last cycle of EM bonds, we have two of the biggest operations at Boddington and <unk>.

Tom Palmer: We have two of our biggest operations in Boddington and Penosketo, both in a stripping campaign in 2024. If we hadn't had the strike in 2023, we would have been back into the Petnasco pit with higher-grade golds. We look to have a balanced portfolio in terms of those stripping campaigns. So we have a situation now in 2024 where both Penosquito and Boddington are into lower grades because they're doing a bunch of waste stripping. We'll work through that in Penosquito this year; Boddington's stripping campaign is through 2024 and 2025 before we see the higher grades come back again at Boddington in 2026.

Speaker Change: Both stripping campaign in 2020 full if we hadn't had the strike in 'twenty three we would've been back into the <unk> pit and high grade goals, we'll look to have a balanced portfolio in terms of a stripping campaigns. So we have a.

Speaker Change: Our situation now in 24, whereby <unk> and boddington in the lower grades because they're doing a bunch of waste stripping will work through that in <unk> this year or into the stripping campaign is through 'twenty four 'twenty five before we say the high grades come back again at Boddington in 'twenty six but operationally in that go forward portfolio.

Tom Palmer: But operationally, in that go forward portfolio, no carryover issues, Daniel, and we're very much getting after those, and then we'll see the ounces come through because we hit higher grades, or the ounces come through because some of the investments we've been making start to deliver lower-cost ounces in 2025 and beyond. Thank you. Just a follow-up, I guess, on that is, are there any key downside risks that you might call out in achieving your guidance, like, you know, any key assumptions or key assets or anything that you've baked into your thinking which, you know, you'd be thinking could carry a risk during the year? Thank you. Thanks, Daniel. I'll start, and I'm just looking across to Natasha. You might want to build on this. Nothing out of the ordinary, Daniel.

Speaker Change: That carryout ratios.

Speaker Change: Daniel that with very much getting after those and then we'll say the ounces come through because we get high grades well the answers come through because some of the investments we've been making start to deliver lower cost ounces in 'twenty five and beyond.

Speaker Change: Hi, Thank you just a follow up I guess on that is there any key downside risks that you might call out and are achieving your guidance like what if any.

Daniel: Key assumptions the key assets.

Hi: Or anything that you've baked into your thinking which you know you'd be thinking.

Hi: <unk> could carry a risk during the year. Thank you.

Speaker Change: Yeah, Thanks, Doug I'll start and I'm, just looking across to the test we might want to build on this nothing nothing out of the ordinary.

Tom Palmer: When we build our plans, we certainly build them. We're using our methodologies, which we've used for many years at Newmont, where we build them from the bottom up based upon previous best demonstrated performance, and we build some flexibility into those plans. So there's nothing unusual about that in terms of what we're looking to do from a mining and a procing perspective, and then the various reliability issues that sit around both fixed and mobile equipment. So nothing particularly extraordinary, and I think we've had three months with our new Newmont operations, and I think we've been able to go through a period of time, as you can imagine when you go through an acquisition, to shake out the unknown Natasha, anything you'd build off in terms of that?

Speaker Change: Daniel.

Speaker Change: We build our plans with certainly build them build them three years ago.

Speaker Change: Our methodologies, which we use for many years at Evo.

Speaker Change: We have built from bottom up based on our previous system.

Speaker Change: <unk> demonstrated performance simply rebuild some stretching to those plans. So there's nothing unusual about about that in terms of what we're looking to do from a boarding a pricing perspective.

Speaker Change: And then the various reliability subsidiary in both fixed and mobile equipment, So nothing particularly extraordinary in I think.

Speaker Change: Had three months with engage with Newmont operations I don't think we've been able to go through a period of time as you can imagine when you go through an acquisition.

Speaker Change: Just shy gap.

Speaker Change: And assure that we built into our.

Speaker Change: I had a budget for 'twenty for the test ready to get build off in terms of that I think we're not only building stickier focus that'd be halfway now exactly what we need to do in each of these operations to deliver on 2024, what setup for beyond 2024, so other than just speed tier on any potential risks that's what is being considered.

Natasha Villion: I think what I can probably build is the clear focus that we have. We know exactly what we need to do in each of these operations to deliver on 2024 and to set ourselves up for beyond 2024. So other than just being clear on any potential risks that would have been considered, it is being very clear on our deliverables. Okay, thank you very much.

Speaker Change: <unk> on our deliverables.

Speaker Change: Yeah.

Speaker Change: Okay. Thank you very much.

Speaker Change: Yeah.

Tom Palmer: Our next question today is from the line of David Radcliffe of Global Media. Thank you for joining us. Hi, good morning Tom, Tasha, and Carolyn, and thanks for holding Aussie Call. My first question is in relation to the six assets you've identified for divestment. Are you able to provide some more color on how far along this process is? Is it just starting, or are we above, or maybe you've already received a few indicative offers? And then, is this process to do all six at once, or is it staged?

Speaker Change: Our next question today is from the line of David Ratcliffe of Global Mining Research David Your line is now Mike.

David Ratcliffe: Hi, Good morning, Tom Tashjian town, and thanks for holding off on the call.

David Ratcliffe: My first question.

Speaker Change: <unk> to the 600.

David Ratcliffe: Seaborne benchmark divestment.

David Ratcliffe: To provide some more color on how far along in this process is just starting or will be in Boston or might be you've already received indicative offers.

David Ratcliffe: And then is this process to do all six months or is it slides.

David Ratcliffe: Okay.

David Radcliffe: Good morning, David; we are very much at the start of the process. So what we've been looking to do as we close the transaction is work through and understand this portfolio, and then realize the transformational nature of a Tier 1 go forward portfolio. We made the decision then that we wanted to provide that clarity and transparency around these six very high-quality assets that are in great locations in Canada, Ghana, and Australia, but they're not Tier 1, and we can't ever see a pathway to Tier 1, so they won't get the management time, attention, or access to capital in a Newmont portfolio.

Speaker Change: Good morning morning, David.

Speaker Change: Much of the start of the process of what we've been looking to do as we close the transaction is worked through and understand it portfolio and then realize that the transformational nature of the tier one guy for portfolio. We made the decision that you wanted to provide that clarity and transparency around the six very high quality.

Speaker Change: Assets that are in great locations in Canada, Scott or in Australia.

Speaker Change: They're not they're not too why did we ever see a pathway to PD one.

Speaker Change: I won't get the management time attention or access to capital and do you have a portfolio. So we made the decision to be clear about that.

Tom Palmer: So we made the decision to be clear about that and to provide that transparency so we can focus on our go forward Tier 1 portfolio and safely manage those assets through our divestment process this year. So, we're at the starting point in terms of having made and communicating that decision. So, we'll start the process from today, and obviously, because we're transparent about it, we expect inbounds will come from today as well. I've put them, David, probably into three categories when you think about a process this year. I think there'll be a process that will follow for Telfer in Australia; it's quite unique in terms of its circumstance. Similarly, Achievement Ghana will have a suite of different types of buyers and a separate process.

Speaker Change: To provide that transparency so they can focus on.

Speaker Change: Gopro with tier one portfolio, especially manage those assets through through our divestment process. This year.

Speaker Change: So that we're at the starting point.

Speaker Change: Night at communicating that decisions that will start the process from today.

Speaker Change: And obviously, because we were transparent about it we expect the balance will come from today as well.

Speaker Change: And probably dive it into three categories. When you think about our process this year.

Speaker Change: I think there'll be a process that will fall out for Telstra in Australia are quite unique in terms of each circumstance. Similarly achievement gone or is it will have a suite of different types of buyers or is it a separate process.

Tom Palmer: And then we think about the North American assets probably being in a process themselves. So imagine three processes and some stagger around that process over the course of this year, with the more complex one being how we think about the four North American assets and the coffee project up in the Yukon. Right, thank you. That's, that's very clear.

Speaker Change: And then we think about the north American assets, probably baked in a process themselves.

Speaker Change: Imagine three processes at some stagger around that process over the course of this year with the more complex one big how we how we think about.

For North American assets, and the coffee project up in the year ago.

Alright. Thank you that's that's very clear there maybe to just follow up on that.

Tom Palmer: Then maybe to follow up on that, could you maybe clarify how these investments fit into the capital allocation framework? So the first billion dollars would be obviously for debt reduction, then the next billion, I guess, this may be a simplistic way to think about it, towards the buyback. And in the event the proceeds exceed this level, would they likely flow to debt reduction?

Speaker Change: Maybe clarify how the divestments fit into the capital allocation framework.

Speaker Change: So the first billion dollars would be obviously prove that reduction then.

Speaker Change: The next billion I guess this might be a simplistic way to think about it towards the buyback and then using the proceeds exceed this level will likely flow into debt reduction because I'm sure I've been targeting more than a mutual panga.

Tom Palmer: Because I'm sure the $8 billion target is maybe an initial target, or possibly to shareholders. Thanks David, so the net free cash flow we generate over and above those commitments plus the proceeds from divestments, the very first dollar will be maintaining that $3 billion of cash on the balance sheet and building that cash to get ready to pay down debt to get to that target of around $8 billion of debt. And then beyond that, that third dollar would go to share repurchases through that program. So, on the other side of that, we've got our $3 million of cash, we're a little bit more on the balance sheet, we've got $8 billion of debt, and we've fulfilled the $1 billion share repurchase program. Likely the discussion and debate we would have is whether we authorise another share repurchase program for those proceeds, already net free cash? That would be the likely pathway assuming all of those other capital allocation parameters are met.

Speaker Change: Or potentially to shareholders.

Speaker Change: Yeah.

Speaker Change: Thanks, David.

Speaker Change: Net free cash flow, we generate over and above those commitments plus the proceeds from divestments. The very first dollar obi they by signing that $3 billion of cash on our balance sheet and building that cash to get ready to to pay down debt to get to that target of around $1 of debt.

Speaker Change: And then beyond that that would go to ship share repurchases through that program as you move through the other side of that they've got.

Speaker Change: At $3 million of cash a little bit more on the balance sheet, but the depth.

Speaker Change: I move for food fulfill the $1 billion share repurchase program.

Speaker Change: Likely the discussion and debate we would have is do we authorized another share repurchase program to <unk> prices are a net free cash would be the likely likely pathway of shipping all of those other capital allocation parameters.

David Radcliffe: Brilliant. Thank you. I'll jump back in the queue.

Speaker Change: Okay.

Speaker Change: Brian Thank you I'll jump back in the queue.

Operator: Thanks, David. Again, if you have a question, please press star, then one. And our next question today is from the line of Levi Sprite, led by your... Yeah, hi, Tom and Natasha, thanks very much for your time. I just had a question around the five-year guidance, just trying to understand what was in there, what wasn't, and I guess what could change, specifically thinking about some of the projects that you call out on one of the other slides. Can you sort of just walk us through what is in the, I guess, development capital in 2027-28 versus the studies? Thank you. Good morning, Levi.

Speaker Change: Thanks, David.

Again, if you have a question. Please press Star then one and our next question today is from the line of Levi Spry of UBS.

Levi Spry: The stomach.

Levi Spry: Yeah, Hi, Thanks, Tom and then Tushar, thanks, very much for your time.

Levi Spry: I just had a question around the garden, just trying to understand what was and what wasn't and I guess, what could change specifically thinking about some of the projects that you called out of them.

Levi Spry: I'm one of the other slides.

Levi Spry: Just walk us through what are using the I guess the development capital in 2027 28. This is the studies.

Levi Spry: Yes.

Speaker Change: Good morning label, I study, which is seeing from the if I could just step through that to make sure we were.

Tom Palmer: So what you're seeing from the, maybe just step through that to make sure we're tracking, what you're seeing in the production and cost profile is just that go forward tier one portfolio. So it does not include the six assets sold for divestment. It does include the ounces that start to come through from the investments that we're making, those four projects that we talked about, so it's seeing ounces come through on that time frame from the two block caves at Kadia, Sharp to Tanami, and a half-owned North. And a significant proportion of that $1.3 billion of development capital in that timeframe is about funding those four projects in execution. As we think, towards the end of that five years, we'll certainly have started to see the spend on those projects drop off, and it's going to be around that time frame that we start to think about what's that next cab off the rank in terms of projects that would maintain that average of $1.3 billion.

Speaker Change: Tracking what you are seeing in the production and cost profile.

Speaker Change: Paul is just that go forward T. One portfolio. So it does not include the success itself the divestment.

Speaker Change: It does include the ounces to start to come through from the investments that we're making those four projects that we talked about so it's seeing ounces come through that time frame from the two block caves that carryout shop to tenable and <unk> no.

Speaker Change: And a significant proportion of that $1 $3 billion of development capital in that timeframe is about funding those four projects in execution.

Speaker Change: As we think.

Speaker Change: Towards the end of that five years, we certainly have started to say the stabilized projects drop off that's going to be around about that time frame.

Speaker Change: Trying to think about what's that next cab off the rank in terms of projects that would might tie in that average at $1 $3 billion, but the vast majority of what you see in that 48 volt, particularly.

Tom Palmer: But the vast majority of what you see in that five-year profile, particularly the cost profile, the all-in-sustaining cost profile, and the gold production profile, is the existing operations moving through different stages of the mine cycle. We're getting to higher grades, and that investment is paying off in terms of additional ounces and better grades. Yes, thank you. You just saw it as I got that it does look like there is, is there kind of a capital on Red Chris and Lockheed Hawthorne, for instance? No, when we guide, we guide only to projects in execution, so if you go to the detail of our development capital, you'll see projects in execution. Once a project is approved by our board for full funding, then we guide to that number. But what we give in terms of being able to model something, we say you can expect Newmont to spend on average $1.3 billion in development capital every year.

Speaker Change: The cost profile of those tiny cost profile.

Speaker Change: And the gold production profile is the <unk>.

Speaker Change: Existing operations.

Speaker Change: Moving through different phases of the <unk> are we getting to high rise and that investment paying off in terms of.

Speaker Change: In terms of additional ounces and better grades.

Speaker Change: Yes. Thank you.

Speaker Change: So I've got that it does make it does it.

Does it kind of the capital.

Speaker Change: Red, Chris and won't be golf, we for instance.

Speaker Change: No when we guide we got only two projects the execution side, you've got a detail about development pattern loosely projects in execution.

Speaker Change: Once once I project.

Approved by our board for full funding then we got to that number but what we gave you in terms of being out of Buddle somebody would say you can expect new board spent on average one $3 billion of development capital every year, but those projects are the only ones that are.

Tom Palmer: But those four projects are the only ones that are in guidance because they're the only four that have full funding approval. Yeah, thanks Tom. Thank you. Thanks, Labor. Our next question today is from the line of Andrew Bowler. Carey.

Speaker Change: Got it because they are the army pool that have full funding approved.

Speaker Change: Uh huh.

Speaker Change: Thanks, Tom.

Speaker Change: Thanks, Michael.

Speaker Change: Our next question today is from the line of Andrew Bono of Carey Andrew Your line is now.

Andrew bowler: Andrew, your line is. G'day, Tom and team. I think most of my questions have been answered. From my experience, I think the early notations from Newmont were that we'd get a five-year outlook more towards the middle of this calendar year. Can you just talk about why we've received something to the home, and obviously, you know, it's positive to have more clarity, but what's sort of changed to bring forward this announcement, and whether or not that's what you're seeing in the Newcrest assets generally, you know, is there an enhanced level of confidence now compared to when you took the keys late last year? Yeah, thanks, Andrew.

Speaker Change: Good.

Speaker Change:

Andrew Quail: Tom and I think most of my questions have been answered I guess for me I think drilling locations from Newmont would we'd get a five year outlook more towards the middle of this calendar year can you just talk about why we've received some instead I mean, obviously, it's positive to have more clarity, but what sort of changed.

Speaker Change:

Speaker Change: To bring forward this announcement and whether or not that's what you're saying in the nucleus assets generally.

Speaker Change: With an enhanced level of confidence now compared to when you took the case late last year.

Speaker Change: Yes, Thanks, Andrew.

Tom Palmer: Good question, really, when we were... provided that indication that we'd come out with some nearer term numbers in February and June-ish, or middle of the year, for some longer term, or that five-year, we did it in the context of not having information about Newcrest, so it was before we closed the transaction, and what would we learn as we got the keys to the car? The integration's gone very, very well. We've very much approached it as a bolt-on of five operations into the Newmont operating model. From day one, we put Newmont general managers at each of those sites.

Speaker Change: Good good question.

Speaker Change: Sure.

Speaker Change: Provided that indication that we've come out with some nearer term numbers in February and Jewish well middle of the year for some some longer term will that five years.

Speaker Change: With that in the context of <unk>.

Speaker Change: Not having information about you Chris So before we close the transaction and what would we learn as we we got the cadence of the comp.

Speaker Change: The integration has gone very.

Speaker Change: Very very well.

Speaker Change: Very much approached it as a bolt on or five operations into the gym and operating model from day, one we put newmont general managers at each by sorts. That's made a significant difference in terms of setting our expectations and being able to influence that surprises in terms of our game on approach Gmod culture access.

Tom Palmer: That's made a significant difference in terms of setting our expectations and being able to influence those operations in terms of a Newmont approach, a Newmont culture, and access to Newmont resources to build plans and understand the work. We also had a huge number of lessons that we're able to bring forward from a similar experience with Goldcorp five years ago when we bolted five operations into our portfolio. So as all of that came together and we started to build our plan... We started to have confidence that we could not only provide numbers for 2024 but give you a view of those five years within the February timeframe, so we went for it. And we went through that process of building those plans, getting those approved by our board, and guiding the market with them today.

Speaker Change: Jim.

Our resources to build plans and understand the work.

Speaker Change: We also had a huge number of lessons.

Speaker Change: But we're able to bring forward from similar experience with Goldcorp five years ago. When we bought it fob operations into our portfolio. So is all of that came together and we started to build out plan.

Speaker Change: We started to get the confidence that we can not only provide numbers for 2024, but give you a view, but I saw it is within the February timeframe. So we went for it and we went through that process of building a plan that was approved by our board and got it got in the market with them today.

Tom Palmer: Our focus now is then on the strategic and life-of-mind plan, so really start to work those 11 managed operations that we have in that go-forward portfolio and start to build out that portfolio view over the 5 to 10 to 15 to 20-year time frame. And we'll look to spend some time with our board at our annual strategy session in June to work through that, and look to come back to you in the second half of this year with a longer-term outlook for Newmont. We're debating the timing at the moment, but we're contemplating returning to what's been our traditional slot, which has been around that November timeframe. And also debating whether we'll hold a Capital Markets Day in New York and hold one in Sydney and Melbourne as well at that timeframe.

Speaker Change: Our focus now is staying on the strategic and lots of bond plans, so really start to work but.

Speaker Change: 11 managed operations that we have in that go forward portfolio and start to build out that portfolio view I believe the five to 15 to 20 year time frame and we'll look to spend some time with our board at our annual strategy session in June.

Speaker Change: Work through that.

Speaker Change: And look to come to.

Speaker Change: Back to you in the second half of this year.

Speaker Change: With our longer term outlook for Dave on where.

Speaker Change: We are debating the timing at the moment.

Speaker Change: Contemplating returning to what's been our traditional slot, which has been around that time frame and also debating that.

Speaker Change: With all the capital market day in New York, and how about in Sydney or Melbourne as well at that timeframe. So that's how we're thinking about at the moment.

Tom Palmer: So that's how we're thinking about it at the moment, but rolling up the sleeves and getting stuck into the strategic lifeline plans now that we've got a solid foundation of 2024 and the five-year view. No worries. Thanks for that, Gus. Thanks, bud. This concludes the question and answer session. I would like to turn the conference back over to Tom Palmer.

Speaker Change: Rolling up the sleeves and getting stuck into the strategic long bond clients now that we've got solid foundation of the 2024 in the pocket.

Speaker Change: It is.

Thanks, Doug.

Speaker Change: Yeah.

Speaker Change: Thanks, a lot.

Speaker Change: This concludes the question and answer session I would now like to turn the conference back over to Tom Palmer for closing remarks.

Tom Palmer: Thanks, Operator, and thank you all for making the time on the call today. I look forward to catching up with you in the not-too-distant future. Thanks, everyone. The conference has now concluded. Thank you for attending today's presentation, www.globalonenessproject.org www.globalonenessproject.org www.globalonenessproject.org

Tom Palmer: Thanks, operator, and thank you all for my time to on the call today and look forward to catching up with you, but not too distant future. Thanks, everyone.

Tom Palmer: Yeah.

Speaker Change: The conference has now concluded. Thank you for attending today's presentation you may now disconnect.

Speaker Change: [music].