Australia Site Tour November 6-8, 2018 Australia Region Overview November 6, 2018 Cautionary Statement
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Australia site tour November 6-8, 2018 Australia region overview November 6, 2018 Cautionary statement Cautionary statement regarding forward looking statements: This presentation contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbor created by such sections and other applicable laws. Forward-looking statements often address our expected future business and financial performance and financial condition, and often contain words such as "expect," "anticipate," "intend," "plan," "believe," "will," "would," “estimate,” “expect,” “forecast,” "target," “preliminary,” or “range.” Forward-looking statements in this presentation may include, without limitation: (i) estimates of future production and sales; (ii) estimates of future costs applicable to sales and all-in sustaining costs; (iii) estimates of future capital expenditures; (iv) estimates of future cost reductions and efficiencies including full potential savings; (v) expectations regarding the development, growth and potential of the Company’s operations, projects and investment, including, without limitation, returns, IRR, schedule, decision dates, mine life, commercial start, first production, capital average production, average costs and upside potential; (vi) expectations regarding future mineralization, including, without limitation, expectations regarding reserves and resources, grade, recoveries and expected mill throughput; (viii) expectations regarding future free cash flow generation, liquidity and balance sheet strength. Estimates or expectations of future events or results are based upon certain assumptions, which may prove to be incorrect. Such assumptions, include, but are not limited to: (i) there being no significant change to current geotechnical, metallurgical, hydrological and other physical conditions; (ii) permitting, development, operations and expansion of the Company’s operations and projects being consistent with current expectations and mine plans, including without limitation receipt of export approvals; (iii) political developments in any jurisdiction in which the Company operates being consistent with its current expectations; (iv) certain exchange rate assumptions for the Australian dollar to the U.S. dollar, as well as other the exchange rates being approximately consistent with current levels; (v) certain price assumptions for gold, copper and oil; (vi) prices for key supplies being approximately consistent with current levels; (vii) the accuracy of our current mineral reserve and mineralized material estimates; and (viii) other assumptions noted herein. 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, such 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 the “forward-looking statements”. Other risks relating to forward looking statements in regard to the Company’s business and future performance may include, but are not limited to, gold and other metals price volatility, currency fluctuations, operational risks, increased production costs and variances in ore grade or recovery rates from those assumed in mining plans, political risk, community relations, conflict resolution governmental regulation and judicial outcomes and other risks. For a more detailed discussion of such risks and other factors, see the Company’s 2017 Annual Report on Form 10-K, filed with the Securities and Exchange Commission (SEC) 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,” including, without limitation, outlook, to reflect events or circumstances after the date of this presentation, or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws. Investors should not assume that any lack of update to a previously issued “forward-looking statement” constitutes a reaffirmation of that statement. Continued reliance on “forward- looking statements” is at investors' own risk. Investors are reminded that this presentation should be read in conjunction with Newmont’s Quarterly Report on Form 10-Q, filed on October 25, 2018, available on the SEC website and www.newmont.com. November 2018 Newmont Mining Corporation I Australia site tour I Slide 3 Acknowledgement of Country We acknowledge the Willman Clan of the Noongar Nation as traditional Custodians of the land and waters on which we meet today and pay our respect to the Elders past, present and emerging. November 2018 Newmont Mining Corporation I Australia site tour I Slide 4 Newmont is Australia’s largest gold producer Tanami Tanami TanamiExpansion 2 Christmas Creek Mt. Isa Centralian Northern Territory Western Australia Queensland Subiaco (HQ) South Australia v New South Wales KCGMBoddington Lachlan Yarri East Victoria Operation KCGM Project Tasmania Exploration Regional HQ November 2018 Newmont Mining Corporation I Australia site tour I Slide 5 History of operations 2002 2006 2009 2012 2014 2015 2017 • Normandy • Acquired • Acquired • Boddington • KCGM • Tanami • KCGM acquisition: additional 22% remaining achieves celebrates Expansion 1 celebrates Tanami, interest in interest in 2Mozs in first 25th year project 20Moz Boddington Boddington Boddington three years approved milestone • Jundee (44%) and from Newcrest from AngloGold • Boddington divested • Newmont • Tanami KCGM (50%) Ashanti mine life appointed Expansion 1 extended to manager of commercial 2032 KCGM production • Waihi divested • Tanami Power project approved Boddington November 2018 Newmont Mining Corporation I Australia site tour I Slide 6 Delivering our strategy Delivering superior operational execution • Improve safety leadership and performance • Executing highest value digital opportunities • Accelerate Full Potential1 Sustaining a portfolio of long-life assets • Deliver Tanami Power Project KCGM • Advance Tanami Expansion 2 • Progress future profitable growth opportunities • Grow regional Reserves and Resources2 Leading in profitability and responsibility • Generating robust free cash flow3 • Proven social and environmental performance • Enhancing leadership capability and diversity Tanami Mill November 2018 Newmont Mining Corporation I Australia site tour I Slide 7 Strong focus on zero harm • Addressing upward trend in injury rates – 70% related to business partners • Focusing on Fatality Risk Management, pre-start meetings, safety interactions and learning lessons • Emphasizing visible, felt leadership – through quality safety engagement in the field • Conducted safety culture assessment at all sites – focusing on adherence to standards Australia safety performance Frequency Rate Fatalities 4 3 3.04 3 2.31 2 1.69 2 1.61 1.55 1.39 1.09 1.17 1 0.79 1 0.59 0.58 0.61 0.61 0.37 0.20 0.32 0.25 0.19 0.23 0.10 0.12 0.13 0 0 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 YTD Lost Day Injury Frequency Rate Total Recordable Injury Frequency Rate Fatalities *2018 represents trailing twelve month period ending September 30, 2018 November 2018 Newmont Mining Corporation I Australia site tour I Slide 8 Solid foundation to support future growth Largest gold producer, responsible for 17% of Australia’s total 2017 production • Full Potential eliminates mill constraints, sets new standards for maintenance practices • Advancing profitable underground expansions and surface mine laybacks • Leveraging expertise, best practices across region Attributable gold production and AISC4 trends and outlook5 (Koz and $/oz) 2000 1600 1800 1,640 1,665 1,641 1400 1,573 1,440 – 1,640 1600 1,420 – 1,560 1,380 – 1,580 1200 1400 1000 1200 $975 1000 $850 – $840 – $840 – 800 $819 $825 800 $786 $910 $940 $940 600 600 400 400 200 200 0 0 2014 2015 2016 2017 2018E 2019E 2020E Gold production (Koz) Gold production outlook (Koz) AISC ($/oz) November 2018 Newmont Mining Corporation I Australia site tour I Slide 9 Australia operations: Newmont outperforming peers Production growth driven by Tanami expansion and improved mill throughput at all three sites • Performance culture delivering competitive advantage • Record mill throughput achieved at all sites; improvement largely offsets declining grade • Continued optimization of mine sequencing, throughput and recoveries at all sites Australia operations: Newmont production* vs. next four largest competitors** 30% 20% +15% 10% 0% -10% -7% -20% 2013 2014 2015 2016 2017 TTM2018 Newmont Largest Australia Competitors *Newmont and competitors’ production is based on calendar year production of current assets and indexed to 2013 ; TTM 2018 figures represent trailing twelve month period ended June 30, 2018. Newmont production includes Boddington, Tanami and KCGM (50%) only. **Competitors include the Australian operations of Newcrest Mining, Goldfields, Northern Star Resources and Evolution Mining November 2018 Newmont Mining Corporation I Australia site tour I Slide 10 Full potential and profitable growth drive costs lower Cost reductions driven by more than AUD • Productivity improvements and mine sequencing are offsetting cost inflation • Tanami Expansion added ~80Koz per year at AISC of $700-$750/oz* • Boddington AISC/oz reduced by ~30%