Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2015 | Jul. 16, 2015 | |
Document And Entity Information | ||
Entity Registrant Name | NEWMONT MINING CORP /DE/ | |
Entity Central Index Key | 1,164,727 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2015 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q2 | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 529,054,665 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | ||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME | |||||
Sales (Note 3) | $ 1,908 | $ 1,765 | $ 3,880 | $ 3,529 | |
Costs and expenses | |||||
Costs applicable to sales (Note 3) | [1] | 1,019 | 1,060 | 2,038 | 2,143 |
Depreciation and amortization | 276 | 306 | 565 | 604 | |
Reclamation and remediation (Note 4) | 26 | 21 | 49 | 41 | |
Exploration | 48 | 41 | 81 | 75 | |
Advanced projects, research and development | 33 | 42 | 61 | 84 | |
General and administrative | 51 | 48 | 95 | 93 | |
Other expense, net (Note 5) | 52 | 64 | 91 | 116 | |
Total costs and expenses | 1,505 | 1,582 | 2,980 | 3,156 | |
Other income (expense) | |||||
Other income, net (Note 6) | (23) | 3 | (12) | 49 | |
Interest expense, net | (82) | (94) | (167) | (187) | |
Total other income (expense) | (105) | (91) | (179) | (138) | |
Income (loss) before income and mining tax and other items | 298 | 92 | 721 | 235 | |
Income and mining tax benefit (expense) (Note 7) | (152) | 53 | (345) | (25) | |
Equity income (loss) of affiliates (Note 9) | (7) | 2 | (16) | 2 | |
Income (loss) from continuing operations | 139 | 147 | 360 | 212 | |
Income (loss) from discontinued operations (Note 8) | 9 | (2) | 17 | (19) | |
Net income (loss) | 148 | 145 | 377 | 193 | |
Net loss (income) attributable to noncontrolling interests (Note 9) | (76) | 35 | (122) | 87 | |
Net income (loss) attributable to Newmont stockholders | 72 | 180 | 255 | 280 | |
Net income (loss) attributable to Newmont stockholders: | |||||
Continuing operations | 63 | 182 | 238 | 299 | |
Discontinued operations | 9 | (2) | 17 | (19) | |
Net income (loss) attributable to Newmont stockholders | $ 72 | $ 180 | $ 255 | $ 280 | |
Income (loss) per common share, basic (Note 10): | |||||
Continuing operations | $ 0.13 | $ 0.37 | $ 0.48 | $ 0.60 | |
Discontinued operations | 0.01 | (0.01) | 0.03 | (0.04) | |
Income (loss) per common share, basic | 0.14 | 0.36 | 0.51 | 0.56 | |
Income (loss) per common share, diluted (Note 10): | |||||
Continuing operations | 0.13 | 0.37 | 0.48 | 0.60 | |
Discontinued operations | 0.01 | (0.01) | 0.03 | (0.04) | |
Income (loss) per common share, diluted | 0.14 | 0.36 | 0.51 | 0.56 | |
Cash dividends declared per common share | $ 0.025 | $ 0.025 | $ 0.050 | $ 0.175 | |
[1] | Excludes Depreciation and amortization and Reclamation and remediation. |
CONDENSED CONSOLIDATED STATEME3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Comprehensive income (loss) attributable to: | ||||
Net income (loss) | $ 148 | $ 145 | $ 377 | $ 193 |
Other comprehensive income (loss): | ||||
Unrealized gain (loss) on marketable securities, net of $nil, $nil, $nil and $(1) tax benefit (expense), respectively | (8) | (55) | (7) | (86) |
Foreign currency translation adjustments | 5 | 7 | (5) | 2 |
Change in pension and other post-retirement benefits, net of $(20), $1, $(22) and $2, tax benefit (expense), respectively | 39 | 1 | 44 | 3 |
Change in fair value of cash flow hedge instruments, net of $(7), $9, $(3) and $13, tax benefit (expense), respectively | ||||
Net change from periodic revaluations | 5 | 25 | (17) | 34 |
Net amount reclassified to income | 11 | (13) | 23 | (13) |
Net unrecognized gain (loss) on derivatives | 16 | 12 | 6 | 21 |
Other comprehensive income (loss) | 52 | (35) | 38 | (60) |
Comprehensive income (loss) | 200 | 110 | 415 | 133 |
Comprehensive income (loss) attributable to: | ||||
Newmont stockholders | 124 | 143 | 293 | 220 |
Noncontrolling interests | 76 | (33) | 122 | (87) |
Comprehensive income (loss) | $ 200 | $ 110 | $ 415 | $ 133 |
CONDENSED CONSOLIDATED STATEME4
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||
Other comprehensive income unrealized holding gain (loss) on securities arising during period tax | $ (1) | |||
Other comprehensive income (loss) pension and other post retirement benefit plans tax | $ (20) | $ (1) | $ (22) | (2) |
Other comprehensive income (loss) derivatives qualifying as hedges tax | $ (7) | $ 9 | $ (3) | $ 13 |
CONDENSED CONSOLIDATED STATEME5
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Operating activities: | ||
Net income | $ 377 | $ 193 |
Adjustments: | ||
Depreciation and amortization | 565 | 604 |
Stock based compensation and other non-cash benefits | 40 | 27 |
Reclamation and remediation | 47 | 41 |
Loss (income) from discontinued operations | (17) | 19 |
Impairment of investments | 73 | 1 |
Deferred income taxes | 130 | (92) |
Gain on asset and investment sales, net | (43) | (52) |
Other operating adjustments and write-downs | 165 | 273 |
Net change in operating assets and liabilities (Note 23) | (268) | (453) |
Net cash provided by continuing operations | 1,069 | 561 |
Net cash used in discontinued operations | (6) | (6) |
Net cash provided by operations | 1,063 | 555 |
Investing activities: | ||
Additions to property, plant and mine development | (606) | (489) |
Acquisitions, net | (28) | |
Sales of investments | 29 | 25 |
Purchases of investments | (1) | |
Proceeds from sale of other assets | 44 | 76 |
Other | (6) | (11) |
Net cash used in investing activities | (539) | (428) |
Financing activities: | ||
Proceeds from debt, net | 18 | |
Repayment of debt | (281) | (5) |
Proceeds from stock issuance, net | 675 | |
Sale of noncontrolling interests | 37 | 68 |
Funding from noncontrolling interests | 62 | |
Acquisition of noncontrolling interests | (6) | (4) |
Dividends paid to noncontrolling interests | (3) | (4) |
Dividends paid to common stockholders | (23) | (89) |
Restricted cash and other | (61) | (11) |
Net cash provided by (used in) financing activities | 400 | (27) |
Effect of exchange rate changes on cash | (19) | (2) |
Net change in cash and cash equivalents | 905 | 98 |
Cash and cash equivalents at beginning of period | 2,403 | 1,555 |
Cash and cash equivalents at end of period | $ 3,308 | $ 1,653 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
ASSETS | ||
Cash and cash equivalents | $ 3,308 | $ 2,403 |
Trade receivables | 369 | 186 |
Other accounts receivables | 186 | 290 |
Investments (Note 15) | 33 | 73 |
Inventories (Note 16) | 748 | 700 |
Stockpiles and ore on leach pads (Note 17) | 791 | 666 |
Deferred income tax assets | 212 | 240 |
Other current assets (Note 18) | 909 | 881 |
Current assets | 6,556 | 5,439 |
Property, plant and mine development, net | 13,646 | 13,650 |
Investments (Note 15) | 249 | 334 |
Stockpiles and ore on leach pads (Note 17) | 2,823 | 2,820 |
Deferred income tax assets | 1,777 | 1,790 |
Other long-term assets (Note 18) | 910 | 883 |
Total assets | 25,961 | 24,916 |
LIABILITIES | ||
Debt (Note 19) | 243 | 166 |
Accounts payable | 397 | 406 |
Employee-related benefits | 227 | 307 |
Income and mining taxes | 158 | 74 |
Other current liabilities (Note 20) | 1,331 | 1,245 |
Current liabilities | 2,356 | 2,198 |
Debt | 6,140 | 6,480 |
Reclamation and remediation liabilities | 1,653 | 1,606 |
Deferred income tax liabilities | 759 | 656 |
Employee-related benefits | 452 | 492 |
Other long-term liabilities | 333 | 395 |
Total liabilities | $ 11,693 | $ 11,827 |
Commitments and contingencies | ||
EQUITY | ||
Common stock | $ 846 | $ 798 |
Additional paid-in capital | 9,391 | 8,712 |
Accumulated other comprehensive income (loss) | (440) | (478) |
Retained earnings | 1,474 | 1,242 |
Newmont stockholders' equity | 11,271 | 10,274 |
Noncontrolling interests | 2,997 | 2,815 |
Total equity | 14,268 | 13,089 |
Total liabilities and equity | $ 25,961 | $ 24,916 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 6 Months Ended |
Jun. 30, 2015 | |
BASIS OF PRESENTATION | |
BASIS OF PRESENTATION | NOTE 1 BASIS OF PRESENTATIO N The interim Condensed Consolidated Financial Statements (“interim statements”) of Newmont Mining Corporation and its subsidiaries (collectively, “Newmont” or the “Company”) are unaudited. In the opinion of management, all adjustments and disclosures necessary for a fair presentation of these interim statements have been included. The results reported in these interim statements are not necessarily indicative of the results that may be reported for the entire year. These interim statements should be read in conjunction with Newmont’s Consolidated Financial Statements for the year ended December 31, 2014 filed on February 20, 2015 on Form 10-K. The year-end balance sheet data was derived from the audited financial statements and, in accordance with the instructions to Form 10-Q, certain information and footnote disclosures required by United States generally accepted accounting principles (“GAAP”) have been condensed or omitted. References to “A$” refer to Australian currency and “NZ$” to New Zealand currency. During the first half of 2015 we received $675 in net proceeds from a common stock issuance. We intend to use the proceeds from the common stock sale, supplemented with cash from our balance sheet, to fund the acquisition of the Cripple Creek & Victor mine in Colorado from AngloGold Ashanti Limited, which was announced on June 8, 2015. The purchase price agreed was $820 , subject to customary adjustments, plus a 2.5% net smelter return royalty from potential future underground ore. The Company expects to complete the acquisition in the third quarter of 2015. Certain amounts in prior years have been reclassified to conform to the 2015 presentation and were not material to the financial statements. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2015 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Risks and Uncertainties As a global mining company, our revenue, profitability and future rate of growth are substantially dependent on prevailing prices for gold, copper and, to a lesser extent, silver. Historically, the commodity markets have been very volatile, and there can be no assurance that commodity prices will not be subject to wide fluctuations in the future. A substantial or extended decline in commodity prices could have a material adverse effect on our financial position, results of operations, cash flows, access to capital and on the quantities of reserves that we can economically produce. The carrying value of our property, plant and mine development assets, inventories, stockpiles and ore on leach pads, and deferred tax assets are particularly sensitive to the outlook for commodity prices. A decline in our long term price outlook from current levels could result in material impairment charges related to these assets. In September 2014, PT Newmont Nusa Tenggara (“PTNNT”) and the Government of Indonesia signed a Memorandum of Understanding (“MoU”) that resulted in PTNNT receiving a six -month permit to export copper concentrate from the Batu Hijau mine (“Batu Hijau”) that expired in mid-March 2015. On March 30, 2015, the Company received a six -month permit extension to export copper concentrate that expires in late September 2015. Effective with the signing of the MoU, PTNNT agreed to pay certain export duties and royalties. The MoU also outlines terms for the six main elements of the Contract of Work renegotiation, which will be incorporated into an amendment of the Contract of Work. The six areas are: concession area size; royalties, taxes and export duties; domestic processing and refining; ownership divestment; utilization of local manpower, domestic goods and services; and duration of the Contract of Work. Negotiations between PTNNT and the Government of Indonesia to amend the Contract of Work remain on-going. No assurances can be made at this time with respect to the outcome of such negotiations and expiration of the export permit without its renewal may negatively impact future operations and financial results at Batu Hijau. As a result of the on-going Contract of Work renegotiations at Batu Hijau, we have evaluated, and will continue to evaluate, the need for asset impairments, inventory write-downs, tax valuation allowances and other applicable accounting charges due to the status of the mine. The total assets at Batu Hijau as of June 30, 2015 and December 31, 2014 were $3,367 and $3,107 , respectively. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Recently Adopted Accounting Pronouncements Stock-based compensation In June 2014, the Financial Accounting Services Board (“FASB”) issued Accounting Standards Update (“ ASU”) guidance to resolve the diversity of practice relating to the accounting for stock-based performance awards that the performance target could be achieved after the employee completes the required service period. The update is effective prospectively or retrospectively beginning January 1, 2015. Adoption of the new guidance, effective for the fiscal year beginning January 1, 2015, had no impact on the consolidated financial position, results of operations or cash flows. Recently Issued Accounting Pronouncements Debt issuance costs In April 2015, ASU guidance was issued related to debt issuance costs. This update simplifies the presentation of debt issuance costs by requiring debt issuance costs to be presented as a deduction from the corresponding debt liability. The update is effective in fiscal years, including interim periods, beginning after December 15, 2015, and early adoption is permitted. The Company is currently evaluating this guidance and the impact it will have on the consolidated financial position, results of operations or cash flows. Consolidations In February 2015, ASU guidance was issued related to consolidations. This update makes some targeted changes to current consolidation guidance and impacts both the voting and the variable interest consolidation models. In particular, the update will change how companies determine whether limited partnerships or similar entities are variable interest entities. The update is effective in fiscal years, including interim periods, beginning after December 15, 2016, and early adoption is permitted. We currently consolidate certain variable interest entities and we do not expect the updated guidance to have an impact on the consolidated financial position, results of operations or cash flows. Revenue Recognition In May 2014, ASU guidance was issued related to revenue from contracts with customers. The new standard provides a five-step approach to be applied to all contracts with customers and also requires expanded disclosures about revenue recognition. The ASU is effective for annual reporting periods beginning after December 15, 2017, including interim periods and is to be retrospectively applied. Early adoption is not permitted. The Company is currently evaluating this guidance and the impact it will have on the consolidated financial position, results of operations or cash flows. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 6 Months Ended |
Jun. 30, 2015 | |
SEGMENT INFORMATION | |
SEGMENT INFORMATION | NOTE 3 SEGMENT INFORMATION The Company’s reportable segments are based upon the Company’s management structure that is focused on the geographic region for the Company’s operations. In the first quarter of 2015, the Australia/New Zealand and Indonesia geographic regions were combined into one Asia Pacific geographic region. Geographic regions include North America, South America, Asia Pacific, Africa, and Corporate and Other. On June 5, 2015, the Company entered into an agreement with OceanaGold Corporation to sell its Waihi mine in New Zealand for approximately $101 . As of June 30, 2015, total assets and total liabilities were $125 and $49 , respectively. Costs Depreciation Advanced Pre ‑ Tax Applicable and Projects and Income Sales to Sales Amortization Exploration (Loss) Three Months Ended June 30, 2015 Carlin $ $ $ $ $ Phoenix: Gold Copper Total Phoenix Twin Creeks Other North America — — — North America Yanacocha Other South America — — South America Boddington: Gold Copper Total Boddington — Tanami Waihi Kalgoorlie Batu Hijau: Gold Copper Total Batu Hijau Other Asia Pacific — — Asia Pacific Ahafo Akyem Other Africa — — — — Africa Corporate and Other — — Consolidated $ $ $ $ $ Costs Depreciation Advanced Pre ‑ Tax Applicable and Projects and Income Sales to Sales Amortization Exploration (Loss) Three Months Ended June 30, 2014 Carlin $ $ $ $ $ Phoenix: Gold Copper Total Phoenix — Twin Creeks La Herradura (1) Other North America — — — North America Yanacocha Other South America — — — South America Boddington: Gold Copper Total Boddington — Tanami Jundee (2) — Waihi Kalgoorlie Batu Hijau: Gold Copper Total Batu Hijau Other Asia Pacific — — Asia Pacific Ahafo Akyem — Other Africa — — — Africa Corporate and Other — — Consolidated $ $ $ $ $ (1) On October 6, 2014, the Company sold its 44% interest in La Herradura. (2) The Jundee mine was sold July 1, 2014. Costs Depreciation Advanced Pre ‑Tax Applicable and Projects and Income Capital Sales to Sales Amortization Exploration (Loss) Expenditures (1) Six Months Ended June 30, 2015 Carlin $ $ $ $ $ $ Phoenix: Gold Copper Total Phoenix Twin Creeks Other North America — — — North America Yanacocha Other South America — — — South America Boddington: Gold Copper Total Boddington Tanami Waihi Kalgoorlie Batu Hijau: Gold Copper Total Batu Hijau Other Asia Pacific — — Asia Pacific Ahafo Akyem Other Africa — — — — Africa Corporate and Other — — Consolidated $ $ $ $ $ $ (1) Includes an increase in accrued capital expenditures of $11 ; consolidated capital expenditures on a cash basis were $606 . Costs Depreciation Advanced Pre ‑Tax Applicable and Projects and Income Capital Sales to Sales Amortization Exploration (Loss) Expenditures (1) Six Months Ended June 30, 2014 Carlin $ $ $ $ $ $ Phoenix: Gold Copper Total Phoenix Twin Creeks La Herradura (2) Other North America — — — North America Yanacocha Other South America — — — South America Boddington: Gold Copper Total Boddington — Tanami Jundee (3) Waihi Kalgoorlie Batu Hijau: Gold Copper Total Batu Hijau Other Asia Pacific — — Asia Pacific Ahafo Akyem — — Other Africa — — — — Africa Corporate and Other — — Consolidated $ $ $ $ $ $ (1) Includes a decrease in accrued capital expenditures of $24 ; consolidated capital expenditures on a cash basis were $489 . (2) On October 6, 2014, the Company sold its 44% interest in La Herradura. (3) The Jundee mine was sold July 1, 2014. |
RECLAMATION AND REMEDIATION
RECLAMATION AND REMEDIATION | 6 Months Ended |
Jun. 30, 2015 | |
RECLAMATION AND REMEDIATION | |
RECLAMATION AND REMEDIATION | NOTE 4 RECLAMATION AND REMEDIATION The Company’s Reclamation and remediation expense consisted of: Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Reclamation $ $ — $ $ — Accretion - operating Accretion - non-operating $ $ $ $ The following is a reconciliation of Reclamation and remediation liabilities : Six Months Ended June 30, 2015 2014 Balance at beginning of period $ $ Additions, changes in estimates and other Liabilities settled Accretion expense Balance at end of period $ $ At June 30, 2015 and December 31, 2014 , $1,547 and $1,497 , respectively, were accrued for reclamation obligations relating to operating properties. In addition, the Company is involved in several matters concerning environmental obligations associated with former, primarily historic, mining activities (non-operating). Generally, these matters concern developing and implementing remediation plans at the various sites involved. At June 30, 2015 and December 31, 2014 , $170 and $192 , respectively, were accrued for such obligations. These amounts are also included in Reclamation and remediation liabilities . The current portion of Reclamation and remediation liabilities of $64 and $83 at June 30, 2015 and December 31, 2014 , respectively, are included in Other current liabilities . |
OTHER EXPENSE, NET
OTHER EXPENSE, NET | 6 Months Ended |
Jun. 30, 2015 | |
OTHER EXPENSE, NET | |
OTHER EXPENSE, NET | NOTE 5 OTHER EXPENSE, NET Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Regional administration $ $ $ $ Community development Restructuring and other Acquisition costs — — Write-downs Western Australia power plant Other $ $ $ $ |
OTHER INCOME, NET
OTHER INCOME, NET | 6 Months Ended |
Jun. 30, 2015 | |
OTHER INCOME, NET. | |
OTHER INCOME, NET | NOTE 6 OTHER INCOME, NET Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Gain (loss) on asset and investment sales, net $ $ $ $ Refinery income, net — Foreign currency exchange, net Impairment of investments — Other $ $ $ $ |
INCOME AND MINING TAXES
INCOME AND MINING TAXES | 6 Months Ended |
Jun. 30, 2015 | |
INCOME AND MINING TAXES | |
INCOME AND MINING TAXES | NOTE 7 INCOME AND MINING TAXES The Company’s income and mining tax expense differed from the amounts computed by applying the United States statutory corporate income tax rate for the following reasons: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Income before income and mining tax and other items $ $ $ $ Tax at statutory rate % $ % $ % $ % $ Reconciling items: Percentage depletion % % % % Change in valuation allowance on deferred tax assets % % % % Mining and other taxes % % % % Disallowed loss on Midas Sale — % — — % — — % — % Effect of foreign earnings, net of credits % % % % Other % % % % Income and mining tax expense (benefit) % $ % $ % $ % $ A valuation allowance is provided for those deferred tax assets for which it is more likely than not that the related benefits will not be realized. In determining the amount of the valuation allowance, each quarter, the Company considers future reversals of existing taxable temporary differences, estimated future taxable income, taxable income in prior carryback year(s), as well as feasible tax planning strategies in each jurisdiction to determine if the deferred tax assets are realizable. If it is determined that the Company will not realize all or a portion of its deferred tax assets, it will place or increase a valuation allowance. Conversely, if determined that it will ultimately be able to realize all or a portion of the related benefits for which a valuation allowance has been provided, all or a portion of the related valuation allowance will be reduced. There are a number of risk factors that could impact the Company’s ability to realize the deferred tax assets. The Company operates in numerous countries around the world and accordingly it is subject to, and pays annual income taxes under the various income tax regimes in the countries in which it operates. Some of these tax regimes are defined by contractual agreements with the local government, and others are defined by the general corporate income tax laws of the country. The Company has historically filed, and continues to file, all required income tax returns and pay the income taxes determined to be due. The tax rules and regulations in many countries are highly complex and subject to interpretation. From time to time the Company is subject to a review of its historic income tax filings and in connection with such reviews, disputes can arise with the taxing authorities over the interpretation or application of certain rules to the Company’s business conducted within the country involved. At June 30, 2015 , the Company’s total unrecognized tax benefit was $399 for uncertain income tax positions taken or expected to be taken on income tax returns. Of this, $81 represents the amount of unrecognized tax benefits that, if recognized, would affect the Company’s effective income tax rate. As a result of the statute of limitations that expire in the next 12 months in various jurisdictions, and possible settlements of audit-related issues with taxing authorities in various jurisdictions, none of which are individually significant, the Company believes that it is reasonably possible that the total amount of its net unrecognized income tax benefits will decrease by approximately $50 to $55 in the next 12 months. |
DISCONTINUED OPERATIONS
DISCONTINUED OPERATIONS | 6 Months Ended |
Jun. 30, 2015 | |
DISCONTINUED OPERATIONS | |
DISCONTINUED OPERATIONS | NOTE 8 DISCONTINUED OPERATIONS Discontinued operations includes a retained royalty obligation (“Holt”) from Holloway Mining Company. Holloway Mining Company, which owned the Holt-McDermott property, was sold to St. Andrew Goldfields Ltd. (“St. Andrew”) in 2006. The Company records adjustments based on short and long-term gold prices, discount rate assumptions and resource estimates published by St. Andrew. During the second quarter and first half of 2015 , the Company recorded a benefit of $9 and a benefit of $17 , net of tax expense of $4 and expense of $8 , respectively. During the second quarter and first half of 2014 , the Company recorded a charge of $2 and a charge of $19 , net of tax benefit of $1 and benefit of $9 , respectively. Net operating cash used in discontinued operations of $6 and $6 in the first half of 2015 and 2014 respectively, relates to payments on the Holt property royalty. |
NET INCOME (LOSS) ATTRIBUTABLE
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | 6 Months Ended |
Jun. 30, 2015 | |
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | |
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | NOTE 9 NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Minera Yanacocha $ $ $ $ Batu Hijau TMAC Other $ $ $ $ Newmont has a 51.35% ownership interest in Minera Yanacocha S.R.L. (“Yanacocha”), with the remaining interests held by Compañia de Minas Buenaventura, S.A.A. (43.65%) and the International Finance Corporation (5%) . Newmont consolidates Yanacocha due to a majority voting interest. Newmont has a 48.5% effective economic interest in PT Newmont Nusa Tenggara (“PTNNT”) with remaining interests held by an affiliate of Sumitomo Corporation of Japan and various Indonesian entities. PTNNT operates the Batu Hijau copper and gold mine in Indonesia. Newmont’s economic ownership interest in TMAC was reduced from 44.69% to 37.79% in January 2015, and to 36.96% in April 2015, due to TMAC’s private placements to raise funds. The remaining interests are held by TMAC management and various outside investors. Newmont consolidates PTNNT and TMAC in its condensed consolidated financial statements as Newmont is the primary beneficiary in both variable interest entities (“VIEs”). On July 7, 2015 TMAC completed an initial public offering, and, as a result, Newmont’s economic ownership interest will be reduced to 30.72% . The Company is currently evaluating the impact that this will have on its consolidated financial statements for the third quarter of 2015. The following summarizes the assets and liabilities, inclusive of deferred tax assets and deferred tax liabilities, of our consolidated VIEs (including noncontrolling interests). At June 30, 2015 At December 31, 2014 Total Assets Total Liabilities Total Assets Total Liabilities TMAC $ $ $ $ Batu Hijau $ $ $ $ |
INCOME (LOSS) PER COMMON SHARE
INCOME (LOSS) PER COMMON SHARE | 6 Months Ended |
Jun. 30, 2015 | |
INCOME (LOSS) PER COMMON SHARE | |
INCOME (LOSS) PER COMMON SHARE | NOTE 10 INCOME (LOSS) PER COMMON SHARE Basic income per common share is computed by dividing income available to Newmont common stockholders by the weighted average number of common shares outstanding during the period. Diluted income per common share is computed similarly except that weighted average common shares is increased to reflect all dilutive instruments. Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Net income (loss) attributable to Newmont stockholders Continuing operations $ $ $ $ Discontinued operations $ $ $ $ Weighted average common shares (millions): Basic Effect of employee stock-based awards — Diluted Income (loss) per common share Basic: Continuing operations $ $ $ $ Discontinued operations $ $ $ $ Diluted: Continuing operations $ $ $ $ Discontinued operations $ $ $ $ Options to purchase 2 million and 3 million shares of common stock at average exercise prices of $48 and $48 were outstanding at June 30, 2015 and 2014 , respectively, but were not included in the computation of diluted weighted average common shares because their exercise prices exceeded the average price of the Company’s common stock for the respective periods presented. Newmont is required to settle the principal amount of its 2017 Convertible Senior Note in cash and may elect to settle the remaining conversion premium (average share price in excess of the conversion price), if any, in cash, shares or a combination thereof. The effect of contingently convertible instruments on diluted earnings per share is calculated under the net share settlement method. The conversion price exceeded the Company’s share price for the periods presented, therefore no additional shares were included in the computation of diluted weighted average common shares. |
EMPLOYEE PENSION AND OTHER BENE
EMPLOYEE PENSION AND OTHER BENEFIT PLANS | 6 Months Ended |
Jun. 30, 2015 | |
EMPLOYEE PENSION AND OTHER BENEFIT PLANS | |
EMPLOYEE PENSION AND OTHER BENEFIT PLANS | NOTE 11 EMPLOYEE PENSION AND OTHER BENEFIT PLANS Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Pension benefit costs, net Service cost $ $ $ $ Interest cost Expected return on plan assets Amortization, net Settlements — — $ $ $ $ Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Other benefit costs, net Service cost $ $ — $ $ Interest cost $ $ $ $ In April 2015, the Company approved an amendment to the terms of its Post-Retirement Medical and Life Insurance Plan, effective September 2015. The Company announced this change in June, and as a result, re-measured its other post-retirement benefit plan liability at June 30, 2015. The discount rate used for purposes of the re-measurement was 4.74% . The re-measurement resulted in a decrease of the post-retirement benefit plan liability of $52 ( $34 , net of tax ). |
STOCK BASED COMPENSATION
STOCK BASED COMPENSATION | 6 Months Ended |
Jun. 30, 2015 | |
STOCK-BASED COMPENSATION | |
STOCK BASED COMPENSATION | NOTE 12 STOCK-BASED COMPENSATION Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Stock options $ — $ $ — $ Restricted stock units Performance leveraged stock units Strategic performance units $ $ $ $ |
FAIR VALUE ACCOUNTING
FAIR VALUE ACCOUNTING | 6 Months Ended |
Jun. 30, 2015 | |
FAIR VALUE ACCOUNTING | |
FAIR VALUE ACCOUNTING | NOTE 13 FAIR VALUE ACCOUNTING The following table sets forth the Company’s assets and liabilities measured at fair value on a recurring basis (at least annually) by level within the fair value hierarchy. As required by accounting guidance, assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Fair Value at June 30, 2015 Total Level 1 Level 2 Level 3 Assets: Cash equivalents $ $ $ — $ — Marketable equity securities: Extractive industries — — Other — — Marketable debt securities: Asset backed commercial paper — — Auction rate securities — — Trade receivable from provisional copper and gold concentrate sales, net — — $ $ $ — $ Liabilities: Derivative instruments, net: Foreign exchange forward contracts $ $ — $ $ — Diesel forward contracts — — Boddington contingent consideration — — Holt property royalty — — $ $ — $ $ The fair values of the derivative instruments in the table above are presented on a net basis. The gross amounts related to the fair value of the derivatives instruments above are included in the Derivatives Instruments Note. All other fair value disclosures in the above table are presented on a gross basis. In addition to the financial instruments listed in the table above, we hold other financial instruments including receivables, accounts payable and debt. The carrying amounts for receivables and accounts payable approximated their fair value. The estimated fair value of our outstanding debt, exclusive of capital leases, was $6,221 at June 30, 2015 and the outstanding carrying value was $6,369 at June 30, 2015 . The estimated fair values of our outstanding debt were determined based on quoted prices for similar instruments in active markets (Level 2). The following table sets forth a summary of the quantitative and qualitative information related to the unobservable inputs used in the calculation of the Company’s Level 3 financial assets and liabilities at June 30, 2015 : At June 30, Range/Weighted Description 2015 Valuation technique Unobservable input average Auction Rate Securities $ Discounted cash flow Weighted average recoverability rate % Asset Backed Commercial Paper Discounted cash flow Recoverability rate % Boddington Contingent Consideration Monte Carlo Discount rate % Long-term gold price $ Long-term copper price $ Holt property royalty Monte Carlo Weighted average discount rate % Long-term gold price $ The following table sets forth a summary of changes in the fair value of the Company’s Level 3 financial assets and liabilities: Asset Auction Backed Boddington Holt Rate Commercial Total Contingent Property Total Securities Paper Assets Royalty Royalty Liabilities Fair value at December 31, 2014 $ $ $ $ $ $ Settlements — — — — Revaluation — Fair value at June 30, 2015 $ $ $ $ $ $ At June 30, 2015 , assets and liabilities classified within Level 3 of the fair value hierarchy represent 1% and 60% , respectively, of total assets and liabilities measured at fair value. |
DERIVATIVE INSTRUMENTS
DERIVATIVE INSTRUMENTS | 6 Months Ended |
Jun. 30, 2015 | |
DERIVATIVE INSTRUMENTS | |
DERIVATIVE INSTRUMENTS | NOTE 14 DERIVATIVE INSTRUMENTS The Company’s strategy is to provide shareholders with leverage to changes in gold and copper prices by selling its production at spot market prices. Consequently, the Company does not hedge its gold and copper sales. The Company continues to manage certain risks associated with commodity input costs, interest rates and foreign currencies using the derivative market. All of the derivative instruments described below were transacted for risk management purposes and qualify as cash flow hedges. Cash Flow Hedges The following foreign currency and diesel contracts are designated as cash flow hedges, and as such, the effective portion of unrealized changes in market value have been recorded in Accumulated other comprehensive income (loss) and are reclassified to income during the period in which the hedged transaction affects earnings. Gains and losses from hedge ineffectiveness are recognized in current earnings . Foreign Currency Contracts The Company had the following foreign currency derivative contracts outstanding at June 30, 2015 : Expected Maturity Date 2015 2016 2017 2018 Total/Average A$ Operating Fixed Forward Contracts: A$ notional (millions) Average rate ($/A$) Expected hedge ratio % % % % NZ$ Operating Fixed Forward Contracts: NZ$ notional (millions) — — Average rate ($/NZ$) — — Expected hedge ratio % % — — Diesel Fixed Forward Contracts The Company had the following diesel derivative contracts in Nevada outstanding at June 30, 2015 : Expected Maturity Date 2015 2016 2017 Total/Average Diesel Fixed Forward Contracts: Diesel gallons (millions) Average rate ($/gallon) Expected hedge ratio % % % Derivative Instrument Fair Values The Company had the following derivative instruments designated as hedges at June 30, 2015 and December 31, 2014 : Fair Values of Derivative Instruments At June 30, 2015 Other Other Other Other Current Long-Term Current Long-Term Assets Assets Liabilities Liabilities Foreign currency exchange contracts: A$ operating fixed forwards $ — $ — $ $ NZ$ operating fixed forwards — — — Diesel fixed forwards — — Total derivative instruments (Notes 18 and 20) $ — $ — $ $ Fair Values of Derivative Instruments At December 31, 2014 Other Other Other Other Current Long-Term Current Long-Term Assets Assets Liabilities Liabilities Foreign currency exchange contracts: A$ operating fixed forwards $ — $ — $ $ NZ$ operating fixed forwards — — Diesel fixed forwards — Total derivative instruments (Notes 18 and 20) $ $ — $ $ The following tables show the location and amount of gains (losses) reported in the Company’s Condensed Consolidated Financial Statements related to the Company’s cash flow hedges. Foreign Currency Diesel Fixed Forward Starting Exchange Contracts Forward Contracts Swap Contracts 2015 2014 2015 2014 2015 2014 For the three months ended June 30, Cash flow hedging relationships: Gain (loss) recognized in other comprehensive income $ $ $ $ $ — $ — Gain (loss) reclassified from Accumulated other comprehensive income into income (effective portion) (1) $ $ $ $ $ $ For the six months ended June 30, Cash flow hedging relationships: Gain (loss) recognized in other comprehensive income (loss) (effective portion) $ $ $ $ $ — $ — Gain (loss) reclassified from Accumulated other comprehensive income into income (loss) (effective portion) (1) $ $ $ $ $ $ Gain (loss) reclassified from Accumulated other comprehensive income into income (ineffective portion) (2) $ — $ — $ $ — $ — $ — (1) The gain (loss) recognized for the effective portion of cash flow hedges is included in Cost applicable to sales and Interest expense , net . (2) The ineffective portion recognized for cash flow hedges in included in Other Income, net . Based on fair values at June 30, 2015 the amount to be reclassified from Accumulated other comprehensive income (loss) , net of tax to income for derivative instruments during the next 12 months is a loss of approximately $51 . Provisional Gold and Copper Sales The Company’s provisional gold and copper sales contain an embedded derivative that is required to be separated from the host contract for accounting purposes. The host contract is the receivable from the sale of the gold and copper concentrates at the prevailing indices’ prices at the time of sale. The embedded derivative, which does not qualify for hedge accounting, is marked to market through earnings each period prior to final settlement. At June 30, 2015 , Newmont had gold and copper sales of 210,000 ounces and 133 million pounds priced at an average of $1,173 per ounce and $2.60 per pound, respectively, subject to final pricing over the next several months. |
INVESTMENTS
INVESTMENTS | 6 Months Ended |
Jun. 30, 2015 | |
INVESTMENTS | |
INVESTMENTS | NOTE 15 INVESTMENTS At June 30, 2015 Cost/Equity Unrealized Fair/Equity Basis Gain Loss Basis Current: Marketable Equity Securities: Gabriel Resources Ltd. $ $ — $ $ Other $ $ $ $ Long-term: Marketable Debt Securities: Asset backed commercial paper $ $ $ — $ Auction rate securities — Marketable Equity Securities: Regis Resources Ltd. — — Other — — Other investments, at cost — — Investment in Affiliates: Euronimba Ltd. — — Minera La Zanja S.R.L. — — Novo Resources Corp. — — $ $ $ $ At December 31, 2014 Cost/Equity Unrealized Fair/Equity Basis Gain Loss Basis Current: Marketable Equity Securities: Gabriel Resources Ltd. $ $ — $ $ Other Certificate of Deposit — — $ $ $ $ Long-term: Marketable Debt Securities: Asset backed commercial paper $ $ $ — $ Auction rate securities — Marketable Equity Securities: Regis Resources Ltd. — — Other — — Other investments, at cost — — Investment in Affiliates: Euronimba Ltd. Minera La Zanja S.R.L. — — Novo Resources Corp. — — $ $ $ $ In February 2015, the Company’s $25 Certificate of Deposit matured. In March 2014, the Company sold its investment in Paladin Energy Ltd. for $25 , resulting in a pre-tax gain of $4 recorded in Other income, net . In June 2014, the Company completed the sale of its investment in Leyshon Energy Ltd. for $1 , resulting in a pre-tax gain of $1 recorded in Other income, net . During the three months ended and six months ended June 30, 2015 , the Company recognized impairments for other-than-temporary declines in value of $16 and $73 , respectively, for marketable securities primarily related to its holdings of Regis Resources Ltd. as a result of the continued decline in stock price. The following tables present the gross unrealized losses and fair value of the Company’s investments with unrealized losses that are not deemed to be other-than-temporarily impaired, aggregated by length of time that the individual securities have been in a continuous unrealized loss position: Less than 12 Months 12 Months or Greater Total At June 30, 2015 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Marketable equity securities $ $ $ — $ — $ $ Auction rate securities — — $ $ $ $ $ $ Less than 12 Months 12 Months or Greater Total At December 31, 2014 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Marketable equity securities $ $ $ — $ — $ $ Auction rate securities — — $ $ $ $ $ $ While the fair value of the Company’s investments in marketable equity securities and auction rate securities are below their respective cost, the Company views these declines as temporary. The Company has the ability and intends to hold its auction rate securities until maturity or such time that the market recovers. |
INVENTORIES
INVENTORIES | 6 Months Ended |
Jun. 30, 2015 | |
INVENTORIES | |
INVENTORIES | |
INVENTORIES | NOTE 16 INVENTORIES At June 30, At December 31, 2015 2014 In-process $ $ Concentrate and copper cathode Precious metals Materials, supplies and other $ $ |
STOCKPILES AND ORE ON LEACH PAD
STOCKPILES AND ORE ON LEACH PADS | 6 Months Ended |
Jun. 30, 2015 | |
STOCKPILES AND ORE ON LEACH PADS | |
STOCKPILES AND ORE ON LEACH PADS | |
STOCKPILES AND ORE ON LEACH PADS | NOTE 17 STOCKPILES AND ORE ON LEACH PADS At June 30, At December 31, 2015 2014 Current: Stockpiles $ $ Ore on leach pads $ $ Long-term: Stockpiles $ $ Ore on leach pads $ $ At June 30, At December 31, 2015 2014 Stockpiles and ore on leach pads: Carlin $ $ Phoenix Twin Creeks Yanacocha Boddington Tanami Waihi Kalgoorlie Batu Hijau Ahafo Akyem $ $ The Company recorded write-downs of $97 and $44 classified as components of Costs applicable to sales and Depreciation and amortization , respectively, for the first half of 2015 to reduce the carrying value of stockpiles and ore on leach pads to net realizable value. Adjustments to net realizable value are a result of current and prior stripping costs, lower long-term metal prices in relation to the Company’s long term price assumptions and higher estimated future processing costs. Of the write-downs in the first half of 2015 , $74 are related to Carlin, $7 to Twin Creeks , $21 to Boddington and $39 to Yanacocha. |
OTHER ASSETS
OTHER ASSETS | 6 Months Ended |
Jun. 30, 2015 | |
OTHER ASSETS | |
OTHER ASSETS | NOTE 18 OTHER ASSETS At June 30, At December 31, 2015 2014 Other current assets: Refinery metal inventory and receivable $ $ Prepaid assets Other refinery metal receivables Derivative instruments — Other $ $ Other long-term assets: Income tax receivable $ $ Restricted cash Prepaid royalties Goodwill Intangible assets Debt issuance costs Taxes other than income and mining Prepaid maintenance costs Other $ $ |
DEBT
DEBT | 6 Months Ended |
Jun. 30, 2015 | |
DEBT | |
DEBT | NOTE 19 DEBT Scheduled minimum debt repayments are $100 for the remainder of 2015 , $212 in 2016 , $765 in 2017 , $nil in 2018 , $1,175 in 2019 and $4,200 thereafter. Scheduled minimum capital lease repayments are $1 in 2015 , $3 in 2016 and 2017 , $1 in 2018 and 2019 and $3 thereafter. In the first quarter of 2015, the Company made a payment of $200 on the Term Loan Facility, leaving the principal balance at $275 due in 2019 . In the second quarter of 2015, the Company paid the remaining outstanding balance of $25 on the Ahafo Project Finance Facility. In the first half of 2015, the Company made debt payments of $55 on the PTNNT Revolving Credit Facility, leaving the principal balance at $500 . On March 3, 2015 the Company’s $3,000 Corporate Revolving Credit Facility was amended to extend $2,725 of the facility to March 3, 2020 . On June 17, 2015 the Company’s Corporate Revolving Credit Facility was further amended to extend $175 of the facility, not previously extended, to March 3, 2020. The remaining $100 matures on March 31, 2019 . Fees and other debt issuance costs related to the extension of the facility were capitalized and will be amortized over the term of the facility. There are no borrowings outstanding under the facility at June 30, 2015 . |
OTHER LIABILITIES
OTHER LIABILITIES | 6 Months Ended |
Jun. 30, 2015 | |
OTHER LIABILITIES | |
OTHER LIABILITIES | NOTE 20 OTHER LIABILITIES At June 30, At December 31, 2015 2014 Other current liabilities: Refinery metal payable and liabilities $ $ Deferred income tax Accrued operating costs Interest Accrued capital expenditures Derivative instruments Reclamation and remediation liabilities Royalties Taxes other than income and mining Holt property royalty Other $ $ Other long-term liabilities: Holt property royalty $ $ Income and mining taxes Derivative instruments Power supply agreements Social development obligations Boddington contingent consideration Other $ $ |
CHANGES IN EQUITY
CHANGES IN EQUITY | 6 Months Ended |
Jun. 30, 2015 | |
CHANGES IN EQUITY | |
CHANGES IN EQUITY | NOTE 21 CHANGES IN EQUITY Six Months Ended June 30, 2015 2014 Common stock: At beginning of period $ $ Redemptions of Exchangeable Shares — Stock based awards Stock issuance — At end of period Additional paid-in capital: At beginning of period Redemption of Exchangeable Shares — Stock based awards Sale of noncontrolling interests Stock issuance — At end of period Accumulated other comprehensive income (loss): At beginning of period Other comprehensive income (loss) At end of period Retained earnings: At beginning of period Net income (loss) attributable to Newmont stockholders Dividends Paid At end of period Noncontrolling interests: At beginning of period Net income (loss) attributable to noncontrolling interests Dividends paid to noncontrolling interests Sale of noncontrolling interests, net At end of period Total equity $ $ |
RECLASSIFICATIONS OUT OF ACCUMU
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 6 Months Ended |
Jun. 30, 2015 | |
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | NOTE 22 RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) Pension and Changes in Unrealized Foreign other fair value of (loss) on currency post ‑retirement cash flow marketable translation benefit hedge securities, net adjustments adjustments instruments Total December 31, 2014 $ $ $ $ $ Change in other comprehensive income (loss) before reclassifications Reclassifications from accumulated other comprehensive income (loss) — Net current-period other comprehensive income (loss) June 30, 2015 $ $ $ $ $ Details about Accumulated Other Comprehensive Income (Loss) Components Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Condensed Consolidated Statement of Income Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Marketable securities adjustments: Sale of marketable securities $ — $ $ $ Other income, net Impairment of marketable securities — Other income, net Total before tax Tax benefit (expense) — — — Net of tax $ $ $ $ Pension liability adjustments: Amortization, net $ $ $ $ (1) Total before tax Tax benefit (expense) Net of tax $ $ $ $ Hedge instruments adjustments: Operating cash flow hedges (effective portion) $ $ $ $ Costs applicable to sales Operating cash flow hedges (ineffective portion) — — — Other income, net Forward starting swap hedges Interest expense, net Total before tax Tax benefit (expense) Net of tax $ $ $ $ Total reclassifications for the period, net of tax $ $ $ $ (1) This accumulated other comprehensive income (loss) component is included in General and administrative and costs that benefit the inventory/production process. Refer to Note 2 to the Consolidated Financial Statements for the year ended December 31, 2014 filed February 20, 2015 on Form 10-K for information on costs that benefit the inventory/production process. |
NET CHANGE IN OPERATING ASSETS
NET CHANGE IN OPERATING ASSETS AND LIABILITIES | 6 Months Ended |
Jun. 30, 2015 | |
NET CHANGE IN OPERATING ASSETS AND LIABILITIES | |
NET CHANGE IN OPERATING ASSETS AND LIABILITIES | NOTE 23 NET CHANGE IN OPERATING ASSETS AND LIABILITIES Net cash provided by operations attributable to the net change in operating assets and liabilities is composed of the following: Six Months Ended June 30, 2015 2014 Decrease (increase) in operating assets: Trade and other accounts receivables $ $ Inventories, stockpiles and ore on leach pads EGR refinery and other assets Other assets Increase (decrease) in operating liabilities: Accounts payable and other accrued liabilities EGR refinery and other liabilities Reclamation liabilities $ $ |
CONDENSED CONSOLIDATING FINANCI
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS | 6 Months Ended |
Jun. 30, 2015 | |
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS | |
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS | NOTE 24 CONDENSED CONSOLIDATING FINANCIAL STATEMENTS The following Condensed Consolidating Financial Statements are presented to satisfy disclosure requirements of Rule 3-10(e) of Regulation S-X resulting from the inclusion of Newmont USA Limited (“Newmont USA”), a wholly-owned subsidiary of Newmont, as a co-registrant with Newmont on debt securities issued under a shelf registration statement on Form S-3 filed under the Securities Act of 1933 under which securities of Newmont (including debt securities guaranteed by Newmont USA) may be issued (the “Shelf Registration Statement”). In accordance with Rule 3-10(e) of Regulation S-X, Newmont USA, as the subsidiary guarantor, is 100% owned by Newmont, the guarantees are full and unconditional, and no other subsidiary of Newmont guaranteed any security issued under the Shelf Registration Statement. There are no restrictions on the ability of Newmont or Newmont USA to obtain funds from its subsidiaries by dividend or loan. Three Months Ended June 30, 2015 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Operation Corporation USA Subsidiaries Eliminations Consolidated Sales $ — $ $ $ — $ Costs and expenses Costs applicable to sales (1) — — Depreciation and amortization — Reclamation and remediation — — Exploration — — Advanced projects, research and development — — General and administrative — — Other expense, net — — — Other income (expense) Other income, net — Interest income - intercompany — Interest expense - intercompany — — Interest expense, net — — Income (loss) before income and mining tax and other items — Income and mining tax benefit (expense) — Equity income (loss) of affiliates Income (loss) from continuing operations Income (loss) from discontinued operations — — — Net income (loss) Net loss (income) attributable to noncontrolling interests — — Net income (loss) attributable to Newmont stockholders $ $ $ $ $ Comprehensive income (loss) Comprehensive loss (income) attributable to noncontrolling interests — — Comprehensive income (loss) attributable to Newmont stockholders $ $ $ $ $ (1) Excludes Depreciation and amortization and Reclamation and remediation . Three Months Ended June 30, 2014 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Operation Corporation USA Subsidiaries Eliminations Consolidated Sales $ — $ $ $ — $ Costs and expenses Costs applicable to sales (1) — — Depreciation and amortization — Reclamation and remediation — — Exploration — — Advanced projects, research and development — — General and administrative — — Other expense, net — — — Other income (expense) Other income, net — Interest income - intercompany — — Interest expense - intercompany — — Interest expense, net — — Income (loss) before income and mining tax and other items — Income and mining tax benefit (expense) — Equity income (loss) of affiliates Income (loss) from continuing operations Income (loss) from discontinued operations — — — Net income (loss) Net loss (income) attributable to noncontrolling interests — — Net income (loss) attributable to Newmont stockholders $ $ $ $ $ Comprehensive income (loss) Comprehensive loss (income) attributable to noncontrolling interests — — Comprehensive income (loss) attributable to Newmont stockholders $ $ $ $ $ (1) Excludes Depreciation and amortization and Reclamation and remediation . Six Months Ended June 30, 2015 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Operation Corporation USA Subsidiaries Eliminations Consolidated Sales $ — $ $ $ — $ Costs and expenses Costs applicable to sales (1) — — Depreciation and amortization — Reclamation and remediation — — Exploration — — Advanced projects, research and development — — General and administrative — — Other expense, net — — — Other income (expense) Other income, net — Interest income - intercompany — Interest expense - intercompany — — Interest expense, net — — Income (loss) before income and mining tax and other items — Income and mining tax benefit (expense) — Equity income (loss) of affiliates Income (loss) from continuing operations Income (loss) from discontinued operations — — — Net income (loss) Net loss (income) attributable to noncontrolling interests — — Net income (loss) attributable to Newmont stockholders $ $ $ $ $ Comprehensive income (loss) Comprehensive loss (income) attributable to noncontrolling interests — — Comprehensive income (loss) attributable to Newmont stockholders $ $ $ $ $ (1) Excludes Depreciation and amortization and Reclamation and remediation . Six Months Ended June 30, 2014 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Operation Corporation USA Subsidiaries Eliminations Consolidated Sales $ — $ $ $ — $ Costs and expenses Costs applicable to sales (1) — — Depreciation and amortization — Reclamation and remediation — — Exploration — — Advanced projects, research and development — — General and administrative — — Other expense, net — — — Other income (expense) Other income, net — Interest income - intercompany — — Interest expense - intercompany — — Interest expense, net — — Income (loss) before income and mining tax and other items — Income and mining tax benefit (expense) — Equity income (loss) of affiliates Income (loss) from continuing operations Income (loss) from discontinued operations — — — Net income (loss) Net loss (income) attributable to noncontrolling interests — — Net income (loss) attributable to Newmont stockholders $ $ $ $ $ Comprehensive income (loss) Comprehensive loss (income) attributable to noncontrolling interests — — Comprehensive income (loss) attributable to Newmont stockholders $ $ $ $ $ (1) Excludes Depreciation and amortization and Reclamation and remediation . Six Months Ended June 30, 2015 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Cash Flows Corporation USA Subsidiaries Eliminations Consolidated Operating activities: Net income (loss) $ $ $ $ $ Adjustments Net change in operating assets and liabilities — Net cash provided by continuing operations — Net cash used in discontinued operations — — — Net cash provided by operations — Investing activities: Additions to property, plant and mine development — — Sales of investments — — Proceeds from sale of other assets — — Other — — — Net cash used in investing activities — — Financing activities: Repayment of debt — Net intercompany borrowings (repayments) — — Proceeds from stock issuance, net — — — Sale of noncontrolling interests — — Funding from noncontrolling interests — — — Acquisition of noncontrolling interests — — — Dividends paid to noncontrolling interests — — — Dividends paid to common stockholders — — — Restricted cash and other — Net cash used in financing activities — Effect of exchange rate changes on cash — — — Net change in cash and cash equivalents — — Cash and cash equivalents at beginning of period — — Cash and cash equivalents at end of period $ — $ $ $ — $ Six Months Ended June 30, 2014 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Cash Flows Corporation USA Subsidiaries Eliminations Consolidated Operating activities: Net income (loss) $ $ $ $ $ Adjustments Net change in operating assets and liabilities — Net cash provided by (used in) continuing operations — Net cash used in discontinued operations — — — Net cash provided by (used in) operations — Investing activities: Additions to property, plant and mine development — — Acquisitions, net — — — Sales of investments — — — Purchases of investments — — — Proceeds from sale of other assets — — Other — — — Net cash provided by (used in) investing activities — Financing activities: Proceeds from debt, net — — Repayment of debt — — — Net intercompany borrowings (repayments) — — Sale of noncontrolling interests — — — Acquisition of noncontrolling interests — — — Dividends paid to noncontrolling interests — — — Dividends paid to common stockholders — — — Restricted cash and other — — — Net cash provided by (used in) financing activities — Effect of exchange rate changes on cash — — — Net change in cash and cash equivalents — — Cash and cash equivalents at beginning of period — — Cash and cash equivalents at end of period $ — $ $ $ — $ At June 30, 2015 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Balance Sheet Corporation USA Subsidiaries Eliminations Consolidated Assets Cash and cash equivalents $ — $ $ $ — $ Trade receivables — — Other accounts receivables — — Intercompany receivable — Investments — — — Inventories — — Stockpiles and ore on leach pads — — Deferred income tax assets — Other current assets — — Current assets Property, plant and mine development, net Investments — — Investments in subsidiaries — Stockpiles and ore on leach pads — — Deferred income tax assets Long-term intercompany receivable — Other long-term assets — Total assets $ $ $ $ $ Liabilities Debt $ — $ $ $ — $ Accounts payable — — Intercompany payable — Employee-related benefits — — Income and mining taxes — — — Other current liabilities — Current liabilities Debt — Reclamation and remediation liabilities — — Deferred income tax liabilities — Employee-related benefits — — Long-term intercompany payable — — Other long-term liabilities — — Total liabilities Equity Newmont stockholders’ equity Noncontrolling interests — — Total equity Total liabilities and equity $ $ $ $ $ At December 31, 2014 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Balance Sheet Corporation USA Subsidiaries Eliminations Consolidated Assets Cash and cash equivalents $ — $ $ $ — $ Trade receivables — — Other accounts receivables — — Intercompany receivable — Investments — — Inventories — — Stockpiles and ore on leach pads — — Deferred income tax assets — Other current assets — — Current assets Property, plant and mine development, net Investments — — Investments in subsidiaries — Stockpiles and ore on leach pads — — Deferred income tax assets Long-term intercompany receivable — Other long-term assets — Total assets $ $ $ $ $ Liabilities Debt $ — $ $ $ — $ Accounts payable — — Intercompany payable — Employee-related benefits — — Income and mining taxes — — — Other current liabilities — Current liabilities Debt — Reclamation and remediation liabilities — — Deferred income tax liabilities — Employee-related benefits — — Long-term intercompany payable — — Other long-term liabilities — — Total liabilities Equity Newmont stockholders’ equity Noncontrolling interests — — Total equity Total liabilities and equity $ $ $ $ $ |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Jun. 30, 2015 | |
COMMITMENTS AND CONTINGENCIES | |
COMMITMENTS AND CONTINGENCIES | NOTE 25 COMMITMENTS AND CONTINGENCIES General The Company follows ASC guidance in accounting for loss contingencies. Accordingly, estimated losses from contingencies are accrued by a charge to income when information available prior to issuance of the financial statements indicates that it is probable that a liability could be incurred and the amount of the loss can be reasonably estimated. Legal expenses associated with the contingency are expensed as incurred. If a loss contingency is not probable or reasonably estimable, disclosure of the contingency and estimated range of loss, if determinable, is made in the financial statements when it is at least reasonably possible that a material loss could be incurred. Operating Segments The Company’s operating segments are identified in Note 3. Except as noted in this paragraph, all of the Company’s commitments and contingencies specifically described herein relate to the Corporate and Other reportable segment. The Yanacocha matters relate to the Yanacocha reportable segment. The PTNNT matters relate to the Asia Pacific reportable segment. The Fronteer matters relate to the Other North America reportable segment. Environmental Matters The Company’s mining and exploration activities are subject to various laws and regulations governing the protection of the environment. These laws and regulations are continually changing and are generally becoming more restrictive. The Company conducts its operations so as to protect the public health and environment and believes its operations are in compliance with applicable laws and regulations in all material respects. The Company has made, and expects to make in the future, expenditures to comply with such laws and regulations, but cannot predict the full amount of such future expenditures. Estimated future reclamation costs are based principally on legal and regulatory requirements. At June 30, 2015 and December 31, 2014 , $1,547 and $1,497 , respectively, were accrued for reclamation costs relating to currently or recently producing mineral properties in accordance with asset retirement obligation guidance. The current portions of $38 and $42 at June 30, 2015 and December 31, 2014 , respectively, are included in Other current liabilities . In addition, the Company is involved in several matters concerning environmental obligations associated with former mining activities. Generally, these matters concern developing and implementing remediation plans at the various sites involved. The Company believes that the related environmental obligations associated with these sites are similar in nature with respect to the development of remediation plans, their risk profile and the compliance required to meet general environmental standards. Based upon the Company’s best estimate of its liability for these matters, $170 and $192 were accrued for such obligations at June 30, 2015 and December 31, 2014 , respectively. These amounts are included in Other current liabilities and Reclamation and remediation liabilities . Depending upon the ultimate resolution of these matters, the Company believes that it is reasonably possible that the liability for these matters could be as much as 131% greater or 1% lower than the amount accrued at June 30, 2015 . The amounts accrued are reviewed periodically based upon facts and circumstances available at the time. Changes in estimates are recorded in Reclamation and remediation in the period estimates are revised. Details about certain of the more significant matters involved are discussed below. Newmont USA Limited - 100% Newmont Owned Ross-Adams Mine Site. By letter dated June 5, 2007, the U.S. Forest Service notified Newmont that it had expended approximately $0.3 in response costs to address environmental conditions at the Ross-Adams mine in Prince of Wales, Alaska, and requested Newmont USA Limited pay those costs and perform an Engineering Evaluation/Cost Analysis (“EE/CA”) to assess what future response activities might need to be completed at the site. Newmont intends to vigorously defend any formal claims by the EPA. Newmont has agreed to perform the EE/CA. Newmont cannot reasonably predict the likelihood or outcome of any future action against it arising from this matter. Other Legal Matters Minera Yanacocha S.R.L. (“Yanacocha”) - 51.35% Newmont Owned Choropampa . In June 2000, a transport contractor of Yanacocha spilled approximately 151 kilograms of elemental mercury near the town of Choropampa, Peru, which is located 53 miles (85 kilometers) southwest of the Yanacocha mine. Elemental mercury is not used in Yanacocha’s operations but is a by-product of gold mining and was sold to a Lima firm for use in medical instruments and industrial applications. A comprehensive health and environmental remediation program was undertaken by Yanacocha in response to the incident. In August 2000, Yanacocha paid under protest a fine of 1,740,000 Peruvian soles (approximately $0.5) to the Peruvian government. Yanacocha has entered into settlement agreements with a number of individuals impacted by the incident. As compensation for the disruption and inconvenience caused by the incident, Yanacocha entered into agreements with and provided a variety of public works in the three communities impacted by this incident. Yanacocha cannot predict the likelihood of additional expenditures related to this matter. Additional lawsuits relating to the Choropampa incident were filed against Yanacocha in the local courts of Cajamarca, Peru, in May 2002 by over 900 Peruvian citizens. A significant number of the plaintiffs in these lawsuits entered into settlement agreements with Yanacocha prior to filing such claims. In April 2008, the Peruvian Supreme Court upheld the validity of these settlement agreements, which the Company expects to result in the dismissal of all claims brought by previously settled plaintiffs. Yanacocha has also entered into settlement agreements with approximately 350 additional plaintiffs. The claims asserted by approximately 200 plaintiffs remain. In 2011, Yanacocha was served with 23 complaints alleging grounds to nullify the settlements entered into between Yanacocha and the plaintiffs. Yanacocha has answered the complaints and the court has dismissed several of the matters and the plaintiffs have filed appeals. All appeals were referred to the Civil Court of Cajamarca, which affirmed the decisions of the lower court judge. The plaintiffs have filed appeals of such orders before the Supreme Court. Some of these appeals were dismissed by the Supreme Court in favor of Yanacocha, and others are pending resolution. Yanacocha will continue to vigorously defend its position. Neither the Company nor Yanacocha can reasonably estimate the ultimate loss relating to such claims. Administrative Actions . The Peruvian government agency responsible for environmental evaluation and inspection, Organismo Evaluacion y Fiscalizacion Ambiental (“OEFA”), conducts periodic reviews of the Yanacocha site. In 2011, 2012, and 2013, and the first quarter of 2015, OEFA issued notices of alleged violations of OEFA standards to Yanacocha and Conga relating to past inspections. Total fines for all outstanding OEFA alleged violations remain dependent upon the number of units associated with the alleged violations. In the first quarter of 2015, the water authority of Cajamarca issued notices of alleged regulatory violations. The alleged OEFA violations currently range from zero to 100,120 units and the water authority alleged violations range from zero to 20,000 units, with each unit having a potential fine equivalent to approximately $.00130 ( $0 to $156 ). Yanacocha and Conga are responding to all notices of alleged violations, but cannot reasonably predict the outcome of the agency allegations. During the first quarter, the Peruvian government agency responsible for certain environmental regulations, Ministry of the Environment ("MINAM"), issued proposed in-stream water quality criteria pursuant to which MINAM may require mining companies, including Yanacocha, to comply. These criteria would modify the in-stream water quality criteria, pursuant to which Yanacocha has been designing water treatment processes and infrastructure, with a compliance deadline of December 2015. The proposed criteria may require additional and potentially different water treatment infrastructure from that required under the December 2015 compliance deadline. Yanacocha has appealed for an extension to the December 2015 compliance deadline for these previously announced in-stream water quality criteria, which remains pending. Yanacocha is currently assessing redesign and treatment options in connection with the recently proposed criteria. Those redesign and enhanced treatment options may result in increased costs and require additional time for implementation. If Yanacocha is unsuccessful in appealing or meeting the requirements by the deadlines, it could result in potential fines and penalties relating to intermittent non-compliant exceedances, permitting delays or impacts to operations. See Item 1A, Risk Factors for a description of risks relating to hazards and uncertainties associates with mining and compliance with increasing environmental regulations. Conga Project Constitutional Claim . On October 18, 2012, Marco Antonio Arana Zegarra filed a constitutional claim against the Ministry of Energy and Mines and Yanacocha requesting the Court to order the suspension of Conga Project as well as to declare not applicable the October 27, 2010, directorial resolution approving the Conga Project Environmental Impact Assessment (“EIA”). On October 23, 2012, a Cajamarca judge dismissed the claims based on formal grounds finding that: 1) plaintiffs had not exhausted previous administrative proceedings; 2) the directorial resolution approving the Conga EIA is valid, and was not challenged when issued in the administrative proceedings; 3) there was inadequate evidence to conclude that the Conga Project is a threat to the constitutional right of living in an adequate environment, and; 4) the directorial resolution approving the Conga Project EIA does not guarantee that the Conga Project will proceed, so there was no imminent threat to be addressed by the Court. The plaintiffs appealed the dismissal of the case. The Civil Court of the Superior Court of Cajamarca confirmed the above mentioned resolution and the plaintiff presented an appeal. On March 13, 2015, the Constitutional Court published its ruling stating that the case should be sent back to the first court with an order to formally admit the case and start the judicial process in order to review the claim and the proofs presented by the plaintiff. Yanacocha will answer the claim. Neither the Company nor Yanacocha can reasonably predict the outcome of this litigation. PT Newmont Nusa Tenggara (“PTNNT”) – 31.5% Newmont Owned Divestiture: Under the Batu Hijau Contract of Work, beginning in 2006 and continuing through 2010, a portion of PTNNT’s shares were required to be offered for sale, first, to the Indonesian government or, second, to Indonesian nationals, equal to the difference between the following percentages and the percentage of shares already owned by the Indonesian government or Indonesian nationals (if such number is positive): 23% by March 31, 2006; 30% by March 31, 2007; 37% by March 31, 2008; 44% by March 31, 2009; and 51% by March 31, 2010. As PT Pukuafu Indah (“PTPI”), an Indonesian national, owned a 20% interest in PTNNT at all relevant times, in 2006, a 3% interest was required to be offered for sale and, in each of 2007 through 2010, an additional 7% interest was required to be offered (for an aggregate 31% interest). The price at which such interests were offered for sale to the Indonesian parties was the fair market value of such interest considering PTNNT as a going concern, as agreed with the Indonesian government. Following certain disputes and an arbitration with the Indonesian government, in November and December 2009, sale agreements were concluded pursuant to which the 2006, 2007 and 2008 shares were sold to PT Multi Daerah Bersaing (“PTMDB”), the nominee of the local governments, and the 2009 shares were sold to PTMDB in February 2010, resulting in PTMDB owning a 24% interest in PTNNT. On December 17, 2010, the Ministry of Energy & Mineral Resources, acting on behalf of the Indonesian government, accepted the offer to acquire the final 7% interest in PTNNT. Subsequently, the Indonesian government designated Pusat Investasi Pemerintah (“PIP”), an agency of the Ministry of Finance, as the entity that will buy the final stake. On May 6, 2011, PIP and the foreign shareholders entered into a definitive agreement for the sale and purchase of the final 7% divestiture stake, subject to receipt of approvals from certain Indonesian government ministries. Subsequent to signing the agreement, a disagreement arose between the Ministry of Finance and the Indonesian parliament in regard to whether parliamentary approval was needed to allow PIP to make the share purchase. In July 2012, the Constitutional Court ruled that parliament approval is required for PIP to use state funds to purchase the shares, which approval has not yet been obtained. Further disputes may arise in regard to the divestiture of the 2010 shares. Administrative Claim: On April 8, 2015, PTNNT received a summons for a hearing in Jakarta State Administrative Court in which PTNNT learned that two individual plaintiffs of NTB Province filed a claim with the Jakarta State Administrative Court against the Director General of Mineral and Coal of the Ministry of Energy and Mineral Resources of the Republic of Indonesia (“MEMR”). The claim alleges that the Memorandum of Understanding (“MOU”) between MEMR and PTNNT dated September 3, 2014, and the subsequent granting of an export permit violated Indonesian legal principles of good governance. The administrative claim requests suspension and annulment of the MOU and export permits. PTNNT intervened into the case, but cannot reasonably predict the outcome of the litigation. NWG Investments Inc. v. Fronteer Gold Inc. In April 2011, Newmont acquired Fronteer Gold Inc. (“Fronteer”). Fronteer acquired NewWest Gold Corporation (“NewWest Gold”) in September 2007. At the time of that acquisition, NWG Investments Inc. (“NWG”) owned approximately 86% of NewWest Gold and an individual named Jacob Safra owned or controlled 100% of NWG. Prior to its acquisition of NewWest Gold, Fronteer entered into a June 2007 lock-up agreement with NWG providing that, among other things, NWG would support Fronteer’s acquisition of NewWest Gold. At that time, Fronteer owned approximately 47% of Aurora Energy Resources Inc. (“Aurora”), which, among other things, had a uranium exploration project in Labrador, Canada. NWG contends that, during the negotiations leading up to the lock-up agreement, Fronteer represented to NWG that Aurora would commence uranium mining in Labrador by 2013, that this was a firm date, that Fronteer was not aware of any obstacle to doing so, that Aurora faced no serious environmental issues in Labrador and that Aurora’s competitors faced greater delays in commencing uranium mining. NWG further contends that it entered into the lock-up agreement and agreed to support Fronteer’s acquisition of NewWest Gold in reliance upon these purported representations. On October 11, 2007, less than three weeks after the Fronteer-NewWest Gold transaction closed, a member of the Nunatsiavut Assembly introduced a motion calling for the adoption of a moratorium on uranium mining in Labrador. On April 8, 2008, the Nunatsiavut Assembly adopted a three -year moratorium on uranium mining in Labrador. NWG contends that Fronteer was aware during the negotiations of the NWG/Fronteer lock-up agreement that the Nunatsiavut Assembly planned on adopting this moratorium and that its adoption would preclude Aurora from commencing uranium mining by 2013, but Fronteer nonetheless fraudulently induced NWG to enter into the lock-up agreement. On September 24, 2012, NWG served a summons and complaint on NMC, and then amended the complaint to add Newmont Canada Holdings ULC as a defendant. The complaint also named Fronteer Gold Inc. and Mark O’Dea as defendants. The complaint sought rescission of the merger between Fronteer and NewWest Gold and $750 in damages. In August 2013 the Supreme Court of New York, New York County issued an order granting the defendants’ motion to dismiss on forum non conveniens. Subsequently, NWG filed a notice of appeal of the decision and then a notice of dismissal of the appeal on March 24, 2014. On February 26, 2014, NWG filed a lawsuit in Ontario Superior Court of Justice against Fronteer Gold Inc., Newmont Mining Corporation, Newmont Canada Holdings ULC, Newmont FH B.V. and Mark O’Dea. The Ontario Complaint is based upon the same allegations contained in the New York lawsuit with claims for fraud and negligent misrepresentation. NWG seeks disgorgement of profits since the close of the NWG deal on September 24, 2007 and punitive damages. Newmont intends to vigorously defend this matter, but cannot reasonably predict the outcome. Other Commitments and Contingencies Tax contingencies are provided for in accordance with ASC income tax guidance. The Company has minimum royalty obligations on one of its producing mines in Nevada for the life of the mine. Amounts paid as a minimum royalty (where production royalties are less than the minimum obligation) in any year are recoverable in future years when the minimum royalty obligation is exceeded. Although the minimum royalty requirement may not be met in a particular year, the Company expects that over the mine life, gold production will be sufficient to meet the minimum royalty requirements. Minimum royalty payments payable are $30 in 2015 , $32 in 2016 through 2019 and $190 thereafter. As part of its ongoing business and operations, the Company and its affiliates are required to provide surety bonds, bank letters of credit and bank guarantees as financial support for various purposes, including environmental reclamation, exploration permitting, workers compensation programs and other general corporate purposes. At June 30, 2015 and December 31, 2014 , there were $1,962 and $1,865 , respectively, of outstanding letters of credit, surety bonds and bank guarantees. The surety bonds, letters of credit and bank guarantees reflect fair value as a condition of their underlying purpose and are subject to fees competitively determined in the market place. The obligations associated with these instruments are generally related to performance requirements that the Company addresses through its ongoing operations. As the specific requirements are met, the beneficiary of the associated instrument cancels and/or returns the instrument to the issuing entity. Certain of these instruments are associated with operating sites with long-lived assets and will remain outstanding until closure. Generally, bonding requirements associated with environmental regulation are becoming more restrictive. However, the Company believes it is in compliance with all applicable bonding obligations and will be able to satisfy future bonding requirements through existing or alternative means, as they arise. Newmont is from time to time involved in various legal proceedings related to its business. Except in the above described proceedings, management does not believe that adverse decisions in any pending or threatened proceeding or that amounts that may be required to be paid by reason thereof will have a material adverse effect on the Company’s financial condition or results of operations. |
SUMMARY OF SIGNIFICANT ACCOUN32
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2015 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Risks and Uncertainties | Risks and Uncertainties As a global mining company, our revenue, profitability and future rate of growth are substantially dependent on prevailing prices for gold, copper and, to a lesser extent, silver. Historically, the commodity markets have been very volatile, and there can be no assurance that commodity prices will not be subject to wide fluctuations in the future. A substantial or extended decline in commodity prices could have a material adverse effect on our financial position, results of operations, cash flows, access to capital and on the quantities of reserves that we can economically produce. The carrying value of our property, plant and mine development assets, inventories, stockpiles and ore on leach pads, and deferred tax assets are particularly sensitive to the outlook for commodity prices. A decline in our long term price outlook from current levels could result in material impairment charges related to these assets. In September 2014, PT Newmont Nusa Tenggara (“PTNNT”) and the Government of Indonesia signed a Memorandum of Understanding (“MoU”) that resulted in PTNNT receiving a six -month permit to export copper concentrate from the Batu Hijau mine (“Batu Hijau”) that expired in mid-March 2015. On March 30, 2015, the Company received a six -month permit extension to export copper concentrate that expires in late September 2015. Effective with the signing of the MoU, PTNNT agreed to pay certain export duties and royalties. The MoU also outlines terms for the six main elements of the Contract of Work renegotiation, which will be incorporated into an amendment of the Contract of Work. The six areas are: concession area size; royalties, taxes and export duties; domestic processing and refining; ownership divestment; utilization of local manpower, domestic goods and services; and duration of the Contract of Work. Negotiations between PTNNT and the Government of Indonesia to amend the Contract of Work remain on-going. No assurances can be made at this time with respect to the outcome of such negotiations and expiration of the export permit without its renewal may negatively impact future operations and financial results at Batu Hijau. As a result of the on-going Contract of Work renegotiations at Batu Hijau, we have evaluated, and will continue to evaluate, the need for asset impairments, inventory write-downs, tax valuation allowances and other applicable accounting charges due to the status of the mine. The total assets at Batu Hijau as of June 30, 2015 and December 31, 2014 were $3,367 and $3,107 , respectively. The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. |
Recently Adopted and Recently Issued Accounting Pronouncements | Recently Adopted Accounting Pronouncements Stock-based compensation In June 2014, the Financial Accounting Services Board (“FASB”) issued Accounting Standards Update (“ ASU”) guidance to resolve the diversity of practice relating to the accounting for stock-based performance awards that the performance target could be achieved after the employee completes the required service period. The update is effective prospectively or retrospectively beginning January 1, 2015. Adoption of the new guidance, effective for the fiscal year beginning January 1, 2015, had no impact on the consolidated financial position, results of operations or cash flows. Recently Issued Accounting Pronouncements Debt issuance costs In April 2015, ASU guidance was issued related to debt issuance costs. This update simplifies the presentation of debt issuance costs by requiring debt issuance costs to be presented as a deduction from the corresponding debt liability. The update is effective in fiscal years, including interim periods, beginning after December 15, 2015, and early adoption is permitted. The Company is currently evaluating this guidance and the impact it will have on the consolidated financial position, results of operations or cash flows. Consolidations In February 2015, ASU guidance was issued related to consolidations. This update makes some targeted changes to current consolidation guidance and impacts both the voting and the variable interest consolidation models. In particular, the update will change how companies determine whether limited partnerships or similar entities are variable interest entities. The update is effective in fiscal years, including interim periods, beginning after December 15, 2016, and early adoption is permitted. We currently consolidate certain variable interest entities and we do not expect the updated guidance to have an impact on the consolidated financial position, results of operations or cash flows. Revenue Recognition In May 2014, ASU guidance was issued related to revenue from contracts with customers. The new standard provides a five-step approach to be applied to all contracts with customers and also requires expanded disclosures about revenue recognition. The ASU is effective for annual reporting periods beginning after December 15, 2017, including interim periods and is to be retrospectively applied. Early adoption is not permitted. The Company is currently evaluating this guidance and the impact it will have on the consolidated financial position, results of operations or cash flows. |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
SEGMENT INFORMATION | |
Financial Information of Company's Segments | Costs Depreciation Advanced Pre ‑ Tax Applicable and Projects and Income Sales to Sales Amortization Exploration (Loss) Three Months Ended June 30, 2015 Carlin $ $ $ $ $ Phoenix: Gold Copper Total Phoenix Twin Creeks Other North America — — — North America Yanacocha Other South America — — South America Boddington: Gold Copper Total Boddington — Tanami Waihi Kalgoorlie Batu Hijau: Gold Copper Total Batu Hijau Other Asia Pacific — — Asia Pacific Ahafo Akyem Other Africa — — — — Africa Corporate and Other — — Consolidated $ $ $ $ $ Costs Depreciation Advanced Pre ‑ Tax Applicable and Projects and Income Sales to Sales Amortization Exploration (Loss) Three Months Ended June 30, 2014 Carlin $ $ $ $ $ Phoenix: Gold Copper Total Phoenix — Twin Creeks La Herradura (1) Other North America — — — North America Yanacocha Other South America — — — South America Boddington: Gold Copper Total Boddington — Tanami Jundee (2) — Waihi Kalgoorlie Batu Hijau: Gold Copper Total Batu Hijau Other Asia Pacific — — Asia Pacific Ahafo Akyem — Other Africa — — — Africa Corporate and Other — — Consolidated $ $ $ $ $ (1) On October 6, 2014, the Company sold its 44% interest in La Herradura. (2) The Jundee mine was sold July 1, 2014. Costs Depreciation Advanced Pre ‑Tax Applicable and Projects and Income Capital Sales to Sales Amortization Exploration (Loss) Expenditures (1) Six Months Ended June 30, 2015 Carlin $ $ $ $ $ $ Phoenix: Gold Copper Total Phoenix Twin Creeks Other North America — — — North America Yanacocha Other South America — — — South America Boddington: Gold Copper Total Boddington Tanami Waihi Kalgoorlie Batu Hijau: Gold Copper Total Batu Hijau Other Asia Pacific — — Asia Pacific Ahafo Akyem Other Africa — — — — Africa Corporate and Other — — Consolidated $ $ $ $ $ $ (1) Includes an increase in accrued capital expenditures of $11 ; consolidated capital expenditures on a cash basis were $606 . Costs Depreciation Advanced Pre ‑Tax Applicable and Projects and Income Capital Sales to Sales Amortization Exploration (Loss) Expenditures (1) Six Months Ended June 30, 2014 Carlin $ $ $ $ $ $ Phoenix: Gold Copper Total Phoenix Twin Creeks La Herradura (2) Other North America — — — North America Yanacocha Other South America — — — South America Boddington: Gold Copper Total Boddington — Tanami Jundee (3) Waihi Kalgoorlie Batu Hijau: Gold Copper Total Batu Hijau Other Asia Pacific — — Asia Pacific Ahafo Akyem — — Other Africa — — — — Africa Corporate and Other — — Consolidated $ $ $ $ $ $ (1) Includes a decrease in accrued capital expenditures of $24 ; consolidated capital expenditures on a cash basis were $489 . (2) On October 6, 2014, the Company sold its 44% interest in La Herradura. (3) The Jundee mine was sold July 1, 2014. |
RECLAMATION AND REMEDIATION (Ta
RECLAMATION AND REMEDIATION (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
RECLAMATION AND REMEDIATION | |
Reclamation and Remediation Expense | Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Reclamation $ $ — $ $ — Accretion - operating Accretion - non-operating $ $ $ $ |
Reconciliation of Reclamation and Remediation Liabilities | Six Months Ended June 30, 2015 2014 Balance at beginning of period $ $ Additions, changes in estimates and other Liabilities settled Accretion expense Balance at end of period $ $ |
OTHER EXPENSE, NET (Tables)
OTHER EXPENSE, NET (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
OTHER EXPENSE, NET | |
Other Expense, Net | Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Regional administration $ $ $ $ Community development Restructuring and other Acquisition costs — — Write-downs Western Australia power plant Other $ $ $ $ |
OTHER INCOME, NET (Tables)
OTHER INCOME, NET (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
OTHER INCOME, NET. | |
Other Income, Net | Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Gain (loss) on asset and investment sales, net $ $ $ $ Refinery income, net — Foreign currency exchange, net Impairment of investments — Other $ $ $ $ |
INCOME AND MINING TAXES (Tables
INCOME AND MINING TAXES (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
INCOME AND MINING TAXES | |
Income and Mining Tax Expense Reconciliation | Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Income before income and mining tax and other items $ $ $ $ Tax at statutory rate % $ % $ % $ % $ Reconciling items: Percentage depletion % % % % Change in valuation allowance on deferred tax assets % % % % Mining and other taxes % % % % Disallowed loss on Midas Sale — % — — % — — % — % Effect of foreign earnings, net of credits % % % % Other % % % % Income and mining tax expense (benefit) % $ % $ % $ % $ |
NET INCOME (LOSS) ATTRIBUTABL38
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | |
Disclosure of Net Income (Loss) Attributable to Noncontrolling Interests | Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Minera Yanacocha $ $ $ $ Batu Hijau TMAC Other $ $ $ $ |
Summary of Assets and Liabilities inclusive of Deferred Tax Assets and Deferred Tax Liabilities | At June 30, 2015 At December 31, 2014 Total Assets Total Liabilities Total Assets Total Liabilities TMAC $ $ $ $ Batu Hijau $ $ $ $ |
INCOME (LOSS) PER COMMON SHARE
INCOME (LOSS) PER COMMON SHARE (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
INCOME (LOSS) PER COMMON SHARE | |
Summary of Income (Loss) per Common Share, Basic and Diluted | Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Net income (loss) attributable to Newmont stockholders Continuing operations $ $ $ $ Discontinued operations $ $ $ $ Weighted average common shares (millions): Basic Effect of employee stock-based awards — Diluted Income (loss) per common share Basic: Continuing operations $ $ $ $ Discontinued operations $ $ $ $ Diluted: Continuing operations $ $ $ $ Discontinued operations $ $ $ $ |
EMPLOYEE RELATED BENEFITS (Tabl
EMPLOYEE RELATED BENEFITS (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
EMPLOYEE PENSION AND OTHER BENEFIT PLANS | |
Employee Pension and Other Benefit Plans | Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Pension benefit costs, net Service cost $ $ $ $ Interest cost Expected return on plan assets Amortization, net Settlements — — $ $ $ $ Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Other benefit costs, net Service cost $ $ — $ $ Interest cost $ $ $ $ |
STOCK BASED COMPENSATION (Table
STOCK BASED COMPENSATION (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
STOCK-BASED COMPENSATION | |
Stock Option and Other Stock Based Compensation | Three Months Ended Six Months Ended June 30, June 30, 2015 2014 2015 2014 Stock options $ — $ $ — $ Restricted stock units Performance leveraged stock units Strategic performance units $ $ $ $ |
FAIR VALUE ACCOUNTING (Tables)
FAIR VALUE ACCOUNTING (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
FAIR VALUE ACCOUNTING | |
Fair Value Measurement of Assets and Liabilities | Fair Value at June 30, 2015 Total Level 1 Level 2 Level 3 Assets: Cash equivalents $ $ $ — $ — Marketable equity securities: Extractive industries — — Other — — Marketable debt securities: Asset backed commercial paper — — Auction rate securities — — Trade receivable from provisional copper and gold concentrate sales, net — — $ $ $ — $ Liabilities: Derivative instruments, net: Foreign exchange forward contracts $ $ — $ $ — Diesel forward contracts — — Boddington contingent consideration — — Holt property royalty — — $ $ — $ $ |
Fair Value Inputs Assets Liabilities Quantitative Information | At June 30, Range/Weighted Description 2015 Valuation technique Unobservable input average Auction Rate Securities $ Discounted cash flow Weighted average recoverability rate % Asset Backed Commercial Paper Discounted cash flow Recoverability rate % Boddington Contingent Consideration Monte Carlo Discount rate % Long-term gold price $ Long-term copper price $ Holt property royalty Monte Carlo Weighted average discount rate % Long-term gold price $ |
Changes in the Fair Value of the Company's Level 3 Financial Assets | Asset Auction Backed Boddington Holt Rate Commercial Total Contingent Property Total Securities Paper Assets Royalty Royalty Liabilities Fair value at December 31, 2014 $ $ $ $ $ $ Settlements — — — — Revaluation — Fair value at June 30, 2015 $ $ $ $ $ $ |
Changes in the Fair Value of the Company's Level 3 Financial Liabilities | Asset Auction Backed Boddington Holt Rate Commercial Total Contingent Property Total Securities Paper Assets Royalty Royalty Liabilities Fair value at December 31, 2014 $ $ $ $ $ $ Settlements — — — — Revaluation — Fair value at June 30, 2015 $ $ $ $ $ $ |
DERIVATIVE INSTRUMENTS (Tables)
DERIVATIVE INSTRUMENTS (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
DERIVATIVE INSTRUMENTS | |
Foreign Currency Derivative Contracts Outstanding | Expected Maturity Date 2015 2016 2017 2018 Total/Average A$ Operating Fixed Forward Contracts: A$ notional (millions) Average rate ($/A$) Expected hedge ratio % % % % NZ$ Operating Fixed Forward Contracts: NZ$ notional (millions) — — Average rate ($/NZ$) — — Expected hedge ratio % % — — |
Diesel Derivative Contracts Outstanding | Expected Maturity Date 2015 2016 2017 Total/Average Diesel Fixed Forward Contracts: Diesel gallons (millions) Average rate ($/gallon) Expected hedge ratio % % % |
Fair Values of Derivative Instruments Designated as Hedges | Fair Values of Derivative Instruments At June 30, 2015 Other Other Other Other Current Long-Term Current Long-Term Assets Assets Liabilities Liabilities Foreign currency exchange contracts: A$ operating fixed forwards $ — $ — $ $ NZ$ operating fixed forwards — — — Diesel fixed forwards — — Total derivative instruments (Notes 18 and 20) $ — $ — $ $ Fair Values of Derivative Instruments At December 31, 2014 Other Other Other Other Current Long-Term Current Long-Term Assets Assets Liabilities Liabilities Foreign currency exchange contracts: A$ operating fixed forwards $ — $ — $ $ NZ$ operating fixed forwards — — Diesel fixed forwards — Total derivative instruments (Notes 18 and 20) $ $ — $ $ |
Location and Amount of Gains (Losses) Reported in Condensed Consolidated Financial Statements | Foreign Currency Diesel Fixed Forward Starting Exchange Contracts Forward Contracts Swap Contracts 2015 2014 2015 2014 2015 2014 For the three months ended June 30, Cash flow hedging relationships: Gain (loss) recognized in other comprehensive income $ $ $ $ $ — $ — Gain (loss) reclassified from Accumulated other comprehensive income into income (effective portion) (1) $ $ $ $ $ $ For the six months ended June 30, Cash flow hedging relationships: Gain (loss) recognized in other comprehensive income (loss) (effective portion) $ $ $ $ $ — $ — Gain (loss) reclassified from Accumulated other comprehensive income into income (loss) (effective portion) (1) $ $ $ $ $ $ Gain (loss) reclassified from Accumulated other comprehensive income into income (ineffective portion) (2) $ — $ — $ $ — $ — $ — (1) The gain (loss) recognized for the effective portion of cash flow hedges is included in Cost applicable to sales and Interest expense , net . (2) The ineffective portion recognized for cash flow hedges in included in Other Income, net . |
INVESTMENTS (Tables)
INVESTMENTS (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
INVESTMENTS | |
Schedule of reconciliation of cost to fair value for Available-for-sale and other investments | At June 30, 2015 Cost/Equity Unrealized Fair/Equity Basis Gain Loss Basis Current: Marketable Equity Securities: Gabriel Resources Ltd. $ $ — $ $ Other $ $ $ $ Long-term: Marketable Debt Securities: Asset backed commercial paper $ $ $ — $ Auction rate securities — Marketable Equity Securities: Regis Resources Ltd. — — Other — — Other investments, at cost — — Investment in Affiliates: Euronimba Ltd. — — Minera La Zanja S.R.L. — — Novo Resources Corp. — — $ $ $ $ At December 31, 2014 Cost/Equity Unrealized Fair/Equity Basis Gain Loss Basis Current: Marketable Equity Securities: Gabriel Resources Ltd. $ $ — $ $ Other Certificate of Deposit — — $ $ $ $ Long-term: Marketable Debt Securities: Asset backed commercial paper $ $ $ — $ Auction rate securities — Marketable Equity Securities: Regis Resources Ltd. — — Other — — Other investments, at cost — — Investment in Affiliates: Euronimba Ltd. Minera La Zanja S.R.L. — — Novo Resources Corp. — — $ $ $ $ |
Schedule of investments in a continuous unrealized loss position | Less than 12 Months 12 Months or Greater Total At June 30, 2015 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Marketable equity securities $ $ $ — $ — $ $ Auction rate securities — — $ $ $ $ $ $ Less than 12 Months 12 Months or Greater Total At December 31, 2014 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Marketable equity securities $ $ $ — $ — $ $ Auction rate securities — — $ $ $ $ $ $ |
INVENTORIES (Tables)
INVENTORIES (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
INVENTORIES | |
Summary of Inventories | At June 30, At December 31, 2015 2014 In-process $ $ Concentrate and copper cathode Precious metals Materials, supplies and other $ $ |
STOCKPILES AND ORE ON LEACH P46
STOCKPILES AND ORE ON LEACH PADS (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
STOCKPILES AND ORE ON LEACH PADS | |
Stockpiles and Ore on Leach Pads | At June 30, At December 31, 2015 2014 Current: Stockpiles $ $ Ore on leach pads $ $ Long-term: Stockpiles $ $ Ore on leach pads $ $ |
Stockpiles and Ore on Leach Pads, by Segment | At June 30, At December 31, 2015 2014 Stockpiles and ore on leach pads: Carlin $ $ Phoenix Twin Creeks Yanacocha Boddington Tanami Waihi Kalgoorlie Batu Hijau Ahafo Akyem $ $ |
OTHER ASSETS (Tables)
OTHER ASSETS (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
OTHER ASSETS | |
Other Assets | At June 30, At December 31, 2015 2014 Other current assets: Refinery metal inventory and receivable $ $ Prepaid assets Other refinery metal receivables Derivative instruments — Other $ $ Other long-term assets: Income tax receivable $ $ Restricted cash Prepaid royalties Goodwill Intangible assets Debt issuance costs Taxes other than income and mining Prepaid maintenance costs Other $ $ |
OTHER LIABILITIES (Tables)
OTHER LIABILITIES (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
OTHER LIABILITIES | |
Other Liabilities | At June 30, At December 31, 2015 2014 Other current liabilities: Refinery metal payable and liabilities $ $ Deferred income tax Accrued operating costs Interest Accrued capital expenditures Derivative instruments Reclamation and remediation liabilities Royalties Taxes other than income and mining Holt property royalty Other $ $ Other long-term liabilities: Holt property royalty $ $ Income and mining taxes Derivative instruments Power supply agreements Social development obligations Boddington contingent consideration Other $ $ |
CHANGES IN EQUITY (Tables)
CHANGES IN EQUITY (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
CHANGES IN EQUITY | |
Changes in Equity | Six Months Ended June 30, 2015 2014 Common stock: At beginning of period $ $ Redemptions of Exchangeable Shares — Stock based awards Stock issuance — At end of period Additional paid-in capital: At beginning of period Redemption of Exchangeable Shares — Stock based awards Sale of noncontrolling interests Stock issuance — At end of period Accumulated other comprehensive income (loss): At beginning of period Other comprehensive income (loss) At end of period Retained earnings: At beginning of period Net income (loss) attributable to Newmont stockholders Dividends Paid At end of period Noncontrolling interests: At beginning of period Net income (loss) attributable to noncontrolling interests Dividends paid to noncontrolling interests Sale of noncontrolling interests, net At end of period Total equity $ $ |
RECLASSIFICATIONS OUT OF ACCU50
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |
Change in Accumulated Other Comprehensive Income (Loss) | Pension and Changes in Unrealized Foreign other fair value of (loss) on currency post ‑retirement cash flow marketable translation benefit hedge securities, net adjustments adjustments instruments Total December 31, 2014 $ $ $ $ $ Change in other comprehensive income (loss) before reclassifications Reclassifications from accumulated other comprehensive income (loss) — Net current-period other comprehensive income (loss) June 30, 2015 $ $ $ $ $ |
Schedule of Reclassifications Out of Accumulated Other Comprehensive Income (Loss) | Details about Accumulated Other Comprehensive Income (Loss) Components Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Condensed Consolidated Statement of Income Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Marketable securities adjustments: Sale of marketable securities $ — $ $ $ Other income, net Impairment of marketable securities — Other income, net Total before tax Tax benefit (expense) — — — Net of tax $ $ $ $ Pension liability adjustments: Amortization, net $ $ $ $ (1) Total before tax Tax benefit (expense) Net of tax $ $ $ $ Hedge instruments adjustments: Operating cash flow hedges (effective portion) $ $ $ $ Costs applicable to sales Operating cash flow hedges (ineffective portion) — — — Other income, net Forward starting swap hedges Interest expense, net Total before tax Tax benefit (expense) Net of tax $ $ $ $ Total reclassifications for the period, net of tax $ $ $ $ (1) This accumulated other comprehensive income (loss) component is included in General and administrative and costs that benefit the inventory/production process. Refer to Note 2 to the Consolidated Financial Statements for the year ended December 31, 2014 filed February 20, 2015 on Form 10-K for information on costs that benefit the inventory/production process. |
NET CHANGE IN OPERATING ASSET51
NET CHANGE IN OPERATING ASSETS AND LIABILITIES (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
NET CHANGE IN OPERATING ASSETS AND LIABILITIES | |
Net Cash Provided from Operations Attributable to the Net Change in Operating Assets and Liabilities | Six Months Ended June 30, 2015 2014 Decrease (increase) in operating assets: Trade and other accounts receivables $ $ Inventories, stockpiles and ore on leach pads EGR refinery and other assets Other assets Increase (decrease) in operating liabilities: Accounts payable and other accrued liabilities EGR refinery and other liabilities Reclamation liabilities $ $ |
CONDENSED CONSOLIDATING FINAN52
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Tables) | 6 Months Ended |
Jun. 30, 2015 | |
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS | |
Condensed Consolidating Statement of Operation | Three Months Ended June 30, 2015 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Operation Corporation USA Subsidiaries Eliminations Consolidated Sales $ — $ $ $ — $ Costs and expenses Costs applicable to sales (1) — — Depreciation and amortization — Reclamation and remediation — — Exploration — — Advanced projects, research and development — — General and administrative — — Other expense, net — — — Other income (expense) Other income, net — Interest income - intercompany — Interest expense - intercompany — — Interest expense, net — — Income (loss) before income and mining tax and other items — Income and mining tax benefit (expense) — Equity income (loss) of affiliates Income (loss) from continuing operations Income (loss) from discontinued operations — — — Net income (loss) Net loss (income) attributable to noncontrolling interests — — Net income (loss) attributable to Newmont stockholders $ $ $ $ $ Comprehensive income (loss) Comprehensive loss (income) attributable to noncontrolling interests — — Comprehensive income (loss) attributable to Newmont stockholders $ $ $ $ $ (1) Excludes Depreciation and amortization and Reclamation and remediation . Three Months Ended June 30, 2014 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Operation Corporation USA Subsidiaries Eliminations Consolidated Sales $ — $ $ $ — $ Costs and expenses Costs applicable to sales (1) — — Depreciation and amortization — Reclamation and remediation — — Exploration — — Advanced projects, research and development — — General and administrative — — Other expense, net — — — Other income (expense) Other income, net — Interest income - intercompany — — Interest expense - intercompany — — Interest expense, net — — Income (loss) before income and mining tax and other items — Income and mining tax benefit (expense) — Equity income (loss) of affiliates Income (loss) from continuing operations Income (loss) from discontinued operations — — — Net income (loss) Net loss (income) attributable to noncontrolling interests — — Net income (loss) attributable to Newmont stockholders $ $ $ $ $ Comprehensive income (loss) Comprehensive loss (income) attributable to noncontrolling interests — — Comprehensive income (loss) attributable to Newmont stockholders $ $ $ $ $ (1) Excludes Depreciation and amortization and Reclamation and remediation . Six Months Ended June 30, 2015 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Operation Corporation USA Subsidiaries Eliminations Consolidated Sales $ — $ $ $ — $ Costs and expenses Costs applicable to sales (1) — — Depreciation and amortization — Reclamation and remediation — — Exploration — — Advanced projects, research and development — — General and administrative — — Other expense, net — — — Other income (expense) Other income, net — Interest income - intercompany — Interest expense - intercompany — — Interest expense, net — — Income (loss) before income and mining tax and other items — Income and mining tax benefit (expense) — Equity income (loss) of affiliates Income (loss) from continuing operations Income (loss) from discontinued operations — — — Net income (loss) Net loss (income) attributable to noncontrolling interests — — Net income (loss) attributable to Newmont stockholders $ $ $ $ $ Comprehensive income (loss) Comprehensive loss (income) attributable to noncontrolling interests — — Comprehensive income (loss) attributable to Newmont stockholders $ $ $ $ $ (1) Excludes Depreciation and amortization and Reclamation and remediation . Six Months Ended June 30, 2014 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Operation Corporation USA Subsidiaries Eliminations Consolidated Sales $ — $ $ $ — $ Costs and expenses Costs applicable to sales (1) — — Depreciation and amortization — Reclamation and remediation — — Exploration — — Advanced projects, research and development — — General and administrative — — Other expense, net — — — Other income (expense) Other income, net — Interest income - intercompany — — Interest expense - intercompany — — Interest expense, net — — Income (loss) before income and mining tax and other items — Income and mining tax benefit (expense) — Equity income (loss) of affiliates Income (loss) from continuing operations Income (loss) from discontinued operations — — — Net income (loss) Net loss (income) attributable to noncontrolling interests — — Net income (loss) attributable to Newmont stockholders $ $ $ $ $ Comprehensive income (loss) Comprehensive loss (income) attributable to noncontrolling interests — — Comprehensive income (loss) attributable to Newmont stockholders $ $ $ $ $ (1) Excludes Depreciation and amortization and Reclamation and remediation . |
Condensed Consolidating Statement of Cash Flows | Six Months Ended June 30, 2015 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Cash Flows Corporation USA Subsidiaries Eliminations Consolidated Operating activities: Net income (loss) $ $ $ $ $ Adjustments Net change in operating assets and liabilities — Net cash provided by continuing operations — Net cash used in discontinued operations — — — Net cash provided by operations — Investing activities: Additions to property, plant and mine development — — Sales of investments — — Proceeds from sale of other assets — — Other — — — Net cash used in investing activities — — Financing activities: Repayment of debt — Net intercompany borrowings (repayments) — — Proceeds from stock issuance, net — — — Sale of noncontrolling interests — — Funding from noncontrolling interests — — — Acquisition of noncontrolling interests — — — Dividends paid to noncontrolling interests — — — Dividends paid to common stockholders — — — Restricted cash and other — Net cash used in financing activities — Effect of exchange rate changes on cash — — — Net change in cash and cash equivalents — — Cash and cash equivalents at beginning of period — — Cash and cash equivalents at end of period $ — $ $ $ — $ Six Months Ended June 30, 2014 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Cash Flows Corporation USA Subsidiaries Eliminations Consolidated Operating activities: Net income (loss) $ $ $ $ $ Adjustments Net change in operating assets and liabilities — Net cash provided by (used in) continuing operations — Net cash used in discontinued operations — — — Net cash provided by (used in) operations — Investing activities: Additions to property, plant and mine development — — Acquisitions, net — — — Sales of investments — — — Purchases of investments — — — Proceeds from sale of other assets — — Other — — — Net cash provided by (used in) investing activities — Financing activities: Proceeds from debt, net — — Repayment of debt — — — Net intercompany borrowings (repayments) — — Sale of noncontrolling interests — — — Acquisition of noncontrolling interests — — — Dividends paid to noncontrolling interests — — — Dividends paid to common stockholders — — — Restricted cash and other — — — Net cash provided by (used in) financing activities — Effect of exchange rate changes on cash — — — Net change in cash and cash equivalents — — Cash and cash equivalents at beginning of period — — Cash and cash equivalents at end of period $ — $ $ $ — $ |
Condensed Consolidating Balance Sheet | At June 30, 2015 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Balance Sheet Corporation USA Subsidiaries Eliminations Consolidated Assets Cash and cash equivalents $ — $ $ $ — $ Trade receivables — — Other accounts receivables — — Intercompany receivable — Investments — — — Inventories — — Stockpiles and ore on leach pads — — Deferred income tax assets — Other current assets — — Current assets Property, plant and mine development, net Investments — — Investments in subsidiaries — Stockpiles and ore on leach pads — — Deferred income tax assets Long-term intercompany receivable — Other long-term assets — Total assets $ $ $ $ $ Liabilities Debt $ — $ $ $ — $ Accounts payable — — Intercompany payable — Employee-related benefits — — Income and mining taxes — — — Other current liabilities — Current liabilities Debt — Reclamation and remediation liabilities — — Deferred income tax liabilities — Employee-related benefits — — Long-term intercompany payable — — Other long-term liabilities — — Total liabilities Equity Newmont stockholders’ equity Noncontrolling interests — — Total equity Total liabilities and equity $ $ $ $ $ At December 31, 2014 Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Balance Sheet Corporation USA Subsidiaries Eliminations Consolidated Assets Cash and cash equivalents $ — $ $ $ — $ Trade receivables — — Other accounts receivables — — Intercompany receivable — Investments — — Inventories — — Stockpiles and ore on leach pads — — Deferred income tax assets — Other current assets — — Current assets Property, plant and mine development, net Investments — — Investments in subsidiaries — Stockpiles and ore on leach pads — — Deferred income tax assets Long-term intercompany receivable — Other long-term assets — Total assets $ $ $ $ $ Liabilities Debt $ — $ $ $ — $ Accounts payable — — Intercompany payable — Employee-related benefits — — Income and mining taxes — — — Other current liabilities — Current liabilities Debt — Reclamation and remediation liabilities — — Deferred income tax liabilities — Employee-related benefits — — Long-term intercompany payable — — Other long-term liabilities — — Total liabilities Equity Newmont stockholders’ equity Noncontrolling interests — — Total equity Total liabilities and equity $ $ $ $ $ |
BASIS OF PRESENTATION (Details)
BASIS OF PRESENTATION (Details) - USD ($) $ in Millions | Jun. 08, 2015 | Jun. 30, 2015 |
Common stock issuance | ||
Net proceeds from common stock issuance | $ 675 | |
Cripple Creek & Victor mine | ||
Business combination, terms | ||
Purchase price per agreement | $ 820 | |
Cripple Creek & Victor mine | Smelter Return Royalty | ||
Business combination, terms | ||
Net smelter return royalty (as a percent) | 2.50% |
Summary of Significant Accoun54
Summary of Significant Accounting Policies (Details) - USD ($) $ in Millions | Mar. 30, 2015 | Sep. 30, 2014 | Jun. 30, 2015 | Dec. 31, 2014 |
Risks and Uncertainties | ||||
Total Assets | $ 25,961 | $ 24,916 | ||
Batu Hijau | Copper concentrate export permit | ||||
Risks and Uncertainties | ||||
Contract of work negotiations term | 6 months | |||
Additional contract of work negotiations term | 6 months | |||
Total Assets | $ 3,367 | $ 3,107 |
Segment Information - Dispositi
Segment Information - Dispositions (Details) - Waihi - Waihi Mine - Disposal Group, Held-for-sale, Not Discontinued Operations - USD ($) $ in Millions | Jun. 30, 2015 | Jun. 05, 2015 |
Disposal group | ||
Sale price per agreement | $ 101 | |
Balance sheet information | ||
Total assets | $ 125 | |
Total liabilities | $ 49 |
Segment Information - Financial
Segment Information - Financial Information Table (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | Oct. 06, 2014 | ||
Segment Information | ||||||
Sales | $ 1,908 | $ 1,765 | $ 3,880 | $ 3,529 | ||
Costs applicable to sales | [1] | 1,019 | 1,060 | 2,038 | 2,143 | |
Depreciation and amortization | 276 | 306 | 565 | 604 | ||
Advanced Projects and Exploration | 81 | 83 | 142 | 159 | ||
Pre-Tax Income (Loss) | 298 | 92 | 721 | 235 | ||
Capital Expenditures | 617 | 465 | ||||
Additional disclosures | ||||||
Increase (decrease) in accrued capital expenditures | 11 | (24) | ||||
Consolidated capital expenditures on a cash basis | 606 | 489 | ||||
Corporate and other | ||||||
Segment Information | ||||||
Depreciation and amortization | 3 | 7 | 7 | 10 | ||
Advanced Projects and Exploration | 27 | 30 | 50 | 59 | ||
Pre-Tax Income (Loss) | (186) | (175) | (349) | (324) | ||
Capital Expenditures | 194 | 12 | ||||
North America | Operating Segments | ||||||
Segment Information | ||||||
Sales | 467 | 563 | 987 | 1,121 | ||
Costs applicable to sales | 300 | 349 | 603 | 672 | ||
Depreciation and amortization | 69 | 76 | 143 | 138 | ||
Advanced Projects and Exploration | 15 | 18 | 26 | 34 | ||
Pre-Tax Income (Loss) | 74 | 108 | 202 | 303 | ||
Capital Expenditures | 187 | 199 | ||||
North America | Operating Segments | Carlin | ||||||
Segment Information | ||||||
Sales | 243 | 268 | 519 | 561 | ||
Costs applicable to sales | 186 | 209 | 364 | 401 | ||
Depreciation and amortization | 46 | 43 | 91 | 78 | ||
Advanced Projects and Exploration | 4 | 7 | 7 | 11 | ||
Pre-Tax Income (Loss) | 3 | 3 | 50 | 64 | ||
Capital Expenditures | 115 | 103 | ||||
North America | Operating Segments | Phoenix | ||||||
Segment Information | ||||||
Sales | 74 | 111 | 169 | 213 | ||
Costs applicable to sales | 49 | 65 | 115 | 125 | ||
Depreciation and amortization | 11 | 14 | 27 | 22 | ||
Advanced Projects and Exploration | 1 | 2 | 1 | |||
Pre-Tax Income (Loss) | 9 | 30 | 17 | 59 | ||
Capital Expenditures | 15 | 16 | ||||
North America | Operating Segments | Phoenix | Gold | ||||||
Segment Information | ||||||
Sales | 50 | 72 | 111 | 142 | ||
Costs applicable to sales | 32 | 35 | 73 | 69 | ||
Depreciation and amortization | 8 | 9 | 18 | 14 | ||
North America | Operating Segments | Phoenix | Copper | ||||||
Segment Information | ||||||
Sales | 24 | 39 | 58 | 71 | ||
Costs applicable to sales | 17 | 30 | 42 | 56 | ||
Depreciation and amortization | 3 | 5 | 9 | 8 | ||
North America | Operating Segments | Twin Creeks | ||||||
Segment Information | ||||||
Sales | 150 | 125 | 299 | 257 | ||
Costs applicable to sales | 65 | 49 | 124 | 104 | ||
Depreciation and amortization | 12 | 9 | 25 | 20 | ||
Advanced Projects and Exploration | 3 | 3 | 5 | 4 | ||
Pre-Tax Income (Loss) | 68 | 62 | 142 | 173 | ||
Capital Expenditures | 31 | 60 | ||||
North America | Operating Segments | La Herradura | ||||||
Segment Information | ||||||
Sales | 59 | 90 | ||||
Costs applicable to sales | 26 | 42 | ||||
Depreciation and amortization | 10 | 18 | ||||
Advanced Projects and Exploration | 2 | 6 | ||||
Pre-Tax Income (Loss) | 20 | 23 | ||||
Capital Expenditures | 14 | |||||
North America | Operating Segments | La Herradura | La Herradura PLC | ||||||
Additional disclosures | ||||||
Ownership interest sold (as a percent) | 44.00% | |||||
North America | Operating Segments | Other North America | ||||||
Segment Information | ||||||
Advanced Projects and Exploration | 7 | 6 | 12 | 12 | ||
Pre-Tax Income (Loss) | (6) | (7) | (7) | (16) | ||
Capital Expenditures | 26 | 6 | ||||
South America | Operating Segments | ||||||
Segment Information | ||||||
Sales | 242 | 240 | 543 | 505 | ||
Costs applicable to sales | 128 | 184 | 242 | 405 | ||
Depreciation and amortization | 68 | 84 | 142 | 185 | ||
Advanced Projects and Exploration | 20 | 18 | 35 | 33 | ||
Pre-Tax Income (Loss) | 4 | (77) | 85 | (172) | ||
Capital Expenditures | 34 | 50 | ||||
South America | Operating Segments | Yanacocha | ||||||
Segment Information | ||||||
Sales | 242 | 240 | 543 | 505 | ||
Costs applicable to sales | 128 | 184 | 242 | 405 | ||
Depreciation and amortization | 66 | 84 | 137 | 185 | ||
Advanced Projects and Exploration | 8 | 9 | 13 | 16 | ||
Pre-Tax Income (Loss) | 20 | (53) | 114 | (140) | ||
Capital Expenditures | 34 | 35 | ||||
South America | Operating Segments | Other South America | ||||||
Segment Information | ||||||
Depreciation and amortization | 2 | 5 | ||||
Advanced Projects and Exploration | 12 | 9 | 22 | 17 | ||
Pre-Tax Income (Loss) | (16) | (24) | (29) | (32) | ||
Capital Expenditures | 15 | |||||
Asia Pacific | Operating Segments | ||||||
Segment Information | ||||||
Sales | 967 | 661 | 1,857 | 1,308 | ||
Costs applicable to sales | 498 | 418 | 1,001 | 858 | ||
Depreciation and amortization | 99 | 101 | 199 | 196 | ||
Advanced Projects and Exploration | 9 | 9 | 14 | 14 | ||
Pre-Tax Income (Loss) | 321 | 96 | 586 | 159 | ||
Capital Expenditures | 138 | 144 | ||||
Asia Pacific | Operating Segments | Boddington | ||||||
Segment Information | ||||||
Sales | 243 | 228 | 529 | 487 | ||
Costs applicable to sales | 151 | 165 | 347 | 347 | ||
Depreciation and amortization | 29 | 30 | 66 | 61 | ||
Advanced Projects and Exploration | 1 | |||||
Pre-Tax Income (Loss) | 51 | 27 | 109 | 64 | ||
Capital Expenditures | 29 | 46 | ||||
Asia Pacific | Operating Segments | Boddington | Gold | ||||||
Segment Information | ||||||
Sales | 202 | 190 | 441 | 410 | ||
Costs applicable to sales | 122 | 133 | 279 | 275 | ||
Depreciation and amortization | 24 | 24 | 54 | 49 | ||
Asia Pacific | Operating Segments | Boddington | Copper | ||||||
Segment Information | ||||||
Sales | 41 | 38 | 88 | 77 | ||
Costs applicable to sales | 29 | 32 | 68 | 72 | ||
Depreciation and amortization | 5 | 6 | 12 | 12 | ||
Asia Pacific | Operating Segments | Tanami | ||||||
Segment Information | ||||||
Sales | 138 | 119 | 258 | 224 | ||
Costs applicable to sales | 59 | 63 | 116 | 118 | ||
Depreciation and amortization | 22 | 18 | 41 | 35 | ||
Advanced Projects and Exploration | 2 | 4 | 3 | 5 | ||
Pre-Tax Income (Loss) | 53 | 33 | 98 | 61 | ||
Capital Expenditures | 46 | 38 | ||||
Asia Pacific | Operating Segments | Jundee | ||||||
Segment Information | ||||||
Sales | 97 | 179 | ||||
Costs applicable to sales | 43 | 85 | ||||
Depreciation and amortization | 17 | 34 | ||||
Advanced Projects and Exploration | 1 | |||||
Pre-Tax Income (Loss) | 37 | 58 | ||||
Capital Expenditures | 15 | |||||
Asia Pacific | Operating Segments | Waihi | ||||||
Segment Information | ||||||
Sales | 39 | 52 | 89 | 85 | ||
Costs applicable to sales | 17 | 19 | 36 | 38 | ||
Depreciation and amortization | 3 | 7 | 8 | 12 | ||
Advanced Projects and Exploration | 1 | 1 | 2 | 1 | ||
Pre-Tax Income (Loss) | 14 | 24 | 39 | 31 | ||
Capital Expenditures | 10 | 5 | ||||
Asia Pacific | Operating Segments | Kalgoorlie | ||||||
Segment Information | ||||||
Sales | 100 | 96 | 174 | 214 | ||
Costs applicable to sales | 78 | 65 | 138 | 142 | ||
Depreciation and amortization | 6 | 4 | 11 | 10 | ||
Advanced Projects and Exploration | 1 | 2 | 1 | 3 | ||
Pre-Tax Income (Loss) | 13 | 22 | 24 | 55 | ||
Capital Expenditures | 11 | 5 | ||||
Asia Pacific | Operating Segments | Batu Hijau | ||||||
Segment Information | ||||||
Sales | 447 | 69 | 807 | 119 | ||
Costs applicable to sales | 193 | 63 | 364 | 128 | ||
Depreciation and amortization | 35 | 20 | 65 | 35 | ||
Advanced Projects and Exploration | 4 | 1 | 5 | 2 | ||
Pre-Tax Income (Loss) | 202 | (33) | 337 | (84) | ||
Capital Expenditures | 40 | 31 | ||||
Asia Pacific | Operating Segments | Batu Hijau | Gold | ||||||
Segment Information | ||||||
Sales | 178 | 10 | 292 | 18 | ||
Costs applicable to sales | 72 | 9 | 122 | 17 | ||
Depreciation and amortization | 14 | 3 | 23 | 5 | ||
Asia Pacific | Operating Segments | Batu Hijau | Copper | ||||||
Segment Information | ||||||
Sales | 269 | 59 | 515 | 101 | ||
Costs applicable to sales | 121 | 54 | 242 | 111 | ||
Depreciation and amortization | 21 | 17 | 42 | 30 | ||
Asia Pacific | Operating Segments | Other Asia Pacific | ||||||
Segment Information | ||||||
Depreciation and amortization | 4 | 5 | 8 | 9 | ||
Advanced Projects and Exploration | 1 | 1 | 2 | 2 | ||
Pre-Tax Income (Loss) | (12) | (14) | (21) | (26) | ||
Capital Expenditures | 2 | 4 | ||||
Africa | Operating Segments | ||||||
Segment Information | ||||||
Sales | 232 | 301 | 493 | 595 | ||
Costs applicable to sales | 93 | 109 | 192 | 208 | ||
Depreciation and amortization | 37 | 38 | 74 | 75 | ||
Advanced Projects and Exploration | 10 | 8 | 17 | 19 | ||
Pre-Tax Income (Loss) | 85 | 140 | 197 | 269 | ||
Capital Expenditures | 64 | 60 | ||||
Africa | Operating Segments | Ahafo | ||||||
Segment Information | ||||||
Sales | 87 | 156 | 208 | 297 | ||
Costs applicable to sales | 43 | 65 | 98 | 126 | ||
Depreciation and amortization | 13 | 17 | 28 | 33 | ||
Advanced Projects and Exploration | 5 | 5 | 11 | 14 | ||
Pre-Tax Income (Loss) | 22 | 71 | 66 | 115 | ||
Capital Expenditures | 45 | 60 | ||||
Africa | Operating Segments | Akyem | ||||||
Segment Information | ||||||
Sales | 145 | 145 | 285 | 298 | ||
Costs applicable to sales | 50 | 44 | 94 | 82 | ||
Depreciation and amortization | 24 | 21 | 46 | 42 | ||
Advanced Projects and Exploration | 4 | 4 | ||||
Pre-Tax Income (Loss) | 63 | 74 | 134 | 162 | ||
Capital Expenditures | 19 | |||||
Africa | Operating Segments | Other Africa | ||||||
Segment Information | ||||||
Advanced Projects and Exploration | $ 1 | 3 | 2 | 5 | ||
Pre-Tax Income (Loss) | $ (5) | $ (3) | $ (8) | |||
[1] | Excludes Depreciation and amortization and Reclamation and remediation. |
Reclamation and Remediation - E
Reclamation and Remediation - Expense (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Reclamation and remediation expense | ||||
Reclamation | $ 4 | $ 5 | ||
Accretion expense | 44 | $ 41 | ||
Reclamation and remediation | 26 | $ 21 | 49 | 41 |
Continuing Operations - Operating | ||||
Reclamation and remediation expense | ||||
Accretion expense | 18 | 18 | 36 | 36 |
Continuing Operations - Non-Operating | ||||
Reclamation and remediation expense | ||||
Accretion expense | $ 4 | $ 3 | $ 8 | $ 5 |
Reclamation and Remediation - R
Reclamation and Remediation - Reconciliation of Liabilities (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Change in reclamation and remediation liability | ||
Balance at beginning of period | $ 1,689 | $ 1,611 |
Additions, changes in estimates and other | 22 | (7) |
Liabilities settled | (38) | (23) |
Accretion expense | 44 | 41 |
Balance at end of period | $ 1,717 | $ 1,622 |
Reclamation and Remediation - A
Reclamation and Remediation - Additional Information (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 | Jun. 30, 2014 | Dec. 31, 2013 |
Reclamation and remediation liability | ||||
Reclamation and remediation obligations | $ 1,717 | $ 1,689 | $ 1,622 | $ 1,611 |
Current portion of reclamation and remediation liabilities | 64 | 83 | ||
Other current liabilities | ||||
Reclamation and remediation liability | ||||
Current portion of reclamation and remediation liabilities | 64 | 83 | ||
Continuing Operations - Operating | ||||
Reclamation and remediation liability | ||||
Reclamation and remediation obligations | 1,547 | 1,497 | ||
Continuing Operations - Operating | Other current liabilities | ||||
Reclamation and remediation liability | ||||
Current portion of reclamation and remediation liabilities | 38 | 42 | ||
Continuing Operations - Non-Operating | ||||
Reclamation and remediation liability | ||||
Reclamation and remediation obligations | $ 170 | $ 192 |
Other Expense, Net (Details)
Other Expense, Net (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
OTHER EXPENSE, NET | ||||
Regional administration | $ 17 | $ 16 | $ 31 | $ 31 |
Community development | 8 | 15 | 16 | 26 |
Restructuring and other | 9 | 6 | 14 | 13 |
Acquisition costs | 8 | 8 | ||
Write-downs | 2 | 13 | 3 | 13 |
Western Australia power plant | 1 | 1 | 3 | 7 |
Other | 7 | 13 | 16 | 26 |
Other expense, net | $ 52 | $ 64 | $ 91 | $ 116 |
Other Income, Net (Details)
Other Income, Net (Details) - Entity - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Gain on asset and investment sales, net | $ (1) | $ 2 | $ 43 | $ 52 |
Refinery Income, net | 5 | 8 | 9 | |
Foreign currency exchange, net | (9) | (10) | 3 | (24) |
Impairment of investments | (16) | (73) | (1) | |
Other | 3 | 6 | 7 | 13 |
Other Income, net | $ (23) | $ 3 | $ (12) | $ 49 |
Income and Mining Taxes - Tax E
Income and Mining Taxes - Tax Expense Reconciliation (Details) - Entity - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Reconciling item, percentage | ||||
Tax at statutory rate | 35.00% | 35.00% | 35.00% | 35.00% |
Percentage depletion | (6.00%) | (21.00%) | (5.00%) | (13.00%) |
Change in valuation allowance on deferred tax assets | 13.00% | (81.00%) | 12.00% | (27.00%) |
Mining and other taxes | 5.00% | 5.00% | 3.00% | 3.00% |
Disallowed loss on Midas Sale | 6.00% | |||
Effect of foreign earnings, net of credits | 2.00% | 3.00% | 1.00% | 4.00% |
Other | 2.00% | 1.00% | 2.00% | 2.00% |
Income and mining tax expense (benefit) | 51.00% | (58.00%) | 48.00% | 10.00% |
Reconciling item, amount | ||||
Income (loss) before income and mining tax and other items | $ 298 | $ 92 | $ 721 | $ 235 |
Tax at statutory rate | 104 | 32 | 252 | 82 |
Percentage depletion | 19 | 19 | 34 | 30 |
Change in valuation allowance on deferred tax assets | (40) | 75 | (84) | 62 |
Mining and other taxes | (16) | (5) | (24) | (8) |
Disallowed loss on Midas Sale | (13) | |||
Effect of foreign earnings, net of credits | (5) | (3) | (8) | (9) |
Other | (6) | (1) | (11) | (5) |
Income and mining tax expense (benefit) | $ 152 | $ (53) | $ 345 | $ 25 |
Income and Mining Taxes - Unrec
Income and Mining Taxes - Unrecognized tax benefit (Details) $ in Millions | Jun. 30, 2015USD ($) |
Total unrecognized tax benefit | $ 399 |
Unrecognized tax benefits affecting effective tax rate | 81 |
Minimum | |
Significant change in unrecognized tax benefits is reasonably possible, estimated range of change | 50 |
Maximum | |
Significant change in unrecognized tax benefits is reasonably possible, estimated range of change | $ 55 |
Discontinued Operations (Detail
Discontinued Operations (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Disposal group | ||||
Income (loss) from discontinued operations | $ 9 | $ (2) | $ 17 | $ (19) |
Net operating cash used in discontinued operations | (6) | (6) | ||
Holloway Mining Company | Discontinued operations disposed of by sale | ||||
Disposal group | ||||
Income (loss) from discontinued operations | 9 | (2) | 17 | (19) |
Discontinued operations, income tax expense (benefit) | $ 4 | $ (1) | 8 | (9) |
Net operating cash used in discontinued operations | $ (6) | $ (6) |
Net Income (Loss) Attributabl65
Net Income (Loss) Attributable to Noncontrolling Interests - Net Income (Loss) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | ||||
Net income (loss) attributable to noncontrolling interests | $ 76 | $ (35) | $ 122 | $ (87) |
Minera Yanacocha S.R.L. | ||||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | ||||
Net income (loss) attributable to noncontrolling interests | 18 | (20) | 23 | (49) |
PTNNT - Batu Hijau | ||||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | ||||
Net income (loss) attributable to noncontrolling interests | 66 | (10) | 111 | (33) |
TMAC | ||||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | ||||
Net income (loss) attributable to noncontrolling interests | (7) | (6) | (13) | (7) |
Other | ||||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | ||||
Net income (loss) attributable to noncontrolling interests | $ (1) | $ 1 | $ 1 | $ 2 |
Net Income (Loss) Attributabl66
Net Income (Loss) Attributable to Noncontrolling Interests - Ownership (Details) | Jul. 07, 2015 | Jun. 30, 2015 | Apr. 30, 2015 | Jan. 31, 2015 | Dec. 31, 2014 |
Minera Yanacocha S.R.L. | |||||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | |||||
Ownership/Economic interest in subsidiaries | 51.35% | ||||
Minera Yanacocha S.R.L. | Compania de Minas Buenaventura SAA | |||||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | |||||
Noncontrolling interest, ownership percentage by noncontrolling owners | 43.65% | ||||
Minera Yanacocha S.R.L. | International Finance Corporation | |||||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | |||||
Noncontrolling interest, ownership percentage by noncontrolling owners | 5.00% | ||||
PTNNT - Batu Hijau | Primary Beneficiary | |||||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | |||||
Ownership/Economic interest in subsidiaries | 48.50% | ||||
TMAC | Primary Beneficiary | |||||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | |||||
Ownership/Economic interest in subsidiaries | 30.72% | 36.96% | 37.79% | 44.69% |
Net Income (Loss) Attributabl67
Net Income (Loss) Attributable to Noncontrolling Interests - Assets and Liabilities of Consolidated VIEs (Details) - USD ($) $ in Thousands | Jun. 30, 2015 | Dec. 31, 2014 |
TMAC | ||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | ||
Total Assets | $ 59 | $ 38 |
Total Liabilities | 20 | 17 |
PTNNT - Batu Hijau | ||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | ||
Total Assets | 3,429 | 3,150 |
Total Liabilities | $ 1,216 | $ 1,155 |
Income (Loss) Per Common Shar68
Income (Loss) Per Common Share - Basic and Diluted (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Net income (loss) attributable to Newmont stockholders: | ||||
Continuing operations | $ 63 | $ 182 | $ 238 | $ 299 |
Discontinued operations | 9 | (2) | 17 | (19) |
Net income (loss) attributable to Newmont stockholders | $ 72 | $ 180 | $ 255 | $ 280 |
Weighted average common shares (millions): | ||||
Basic | 505 | 499 | 502 | 498 |
Effect of employee stock-based awards | 1 | 1 | 1 | |
Diluted | 506 | 499 | 503 | 499 |
Basic: | ||||
Continuing operations | $ 0.13 | $ 0.37 | $ 0.48 | $ 0.60 |
Discontinued operations | 0.01 | (0.01) | 0.03 | (0.04) |
Income (loss) per common share, basic | 0.14 | 0.36 | 0.51 | 0.56 |
Diluted: | ||||
Continuing operations | 0.13 | 0.37 | 0.48 | 0.60 |
Discontinued operations | 0.01 | (0.01) | 0.03 | (0.04) |
Income (loss) per common share, diluted | $ 0.14 | $ 0.36 | $ 0.51 | $ 0.56 |
Income (Loss) Per Common Shar69
Income (Loss) Per Common Share - Anti-dilutive Shares (Details) - Options - $ / shares shares in Millions | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Antidilutive securities | ||
Anti-dilutive shares | 2 | 3 |
Options to purchase common shares average exercise price (in dollars per share) | $ 48 | $ 48 |
Employee Pension and Other Be70
Employee Pension and Other Benefit Plans - Employee Pension and Other Benefit Plans (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Pension Plans | ||||
Pension and other post-retirement costs, net | ||||
Service cost | $ 7 | $ 7 | $ 15 | $ 13 |
Interest cost | 11 | 10 | 22 | 20 |
Expected return on plan assets | (14) | (13) | (29) | (26) |
Amortization, net | 7 | 4 | 14 | 7 |
Settlements | 3 | 3 | ||
Benefit costs, net | 11 | 11 | 22 | 17 |
Other Benefit Plans | ||||
Pension and other post-retirement costs, net | ||||
Service cost | 1 | 2 | 1 | |
Interest cost | 1 | 1 | 3 | 3 |
Benefit costs, net | $ 2 | $ 1 | $ 5 | $ 4 |
Employee Pension and Other Be71
Employee Pension and Other Benefit Plans - Plan Amendment (Details) - Jun. 30, 2015 - Other Benefit Plans - Post-Retirement Medical and Life Insurance Plan - USD ($) $ in Millions | Total |
Re-measurement assumptions and related information | |
Discount rate (as a percent) | 4.74% |
Decrease in post-retirement benefit plan liability, pre-tax | $ 52 |
Decrease in post-retirement benefit plan liability, net of tax | $ 34 |
Stock Based Compensation - Stoc
Stock Based Compensation - Stock Option and Other Stock Based Compensation (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Stock-based compensation | ||||
Stock-based compensation | $ 20 | $ 13 | $ 40 | $ 27 |
Stock options | ||||
Stock-based compensation | ||||
Stock-based compensation | 1 | 2 | ||
Restricted stock units | ||||
Stock-based compensation | ||||
Stock-based compensation | 8 | 8 | 16 | 15 |
Performance leveraged stock units | ||||
Stock-based compensation | ||||
Stock-based compensation | 11 | 2 | 21 | 5 |
Strategic performance units | ||||
Stock-based compensation | ||||
Stock-based compensation | $ 1 | $ 2 | $ 3 | $ 5 |
Fair Value Accounting - Fair Va
Fair Value Accounting - Fair Value on a Recurring Basis (Details) - Recurring $ in Millions | Jun. 30, 2015USD ($) |
Level 1 | |
Assets: | |
Cash equivalents | $ 2,164 |
Assets | 2,561 |
Level 1 | Provisional copper and gold concentrate receivables | |
Assets: | |
Trade receivable, net | 263 |
Level 2 | |
Liabilities: | |
Liabilities | 104 |
Level 2 | Foreign exchange forward contracts | |
Liabilities: | |
Derivative instruments, net | 81 |
Level 2 | Diesel forward contracts | |
Liabilities: | |
Derivative instruments, net | 23 |
Level 3 | |
Assets: | |
Assets | 29 |
Liabilities: | |
Liabilities | 158 |
Level 3 | Boddington Contingent Consideration | |
Liabilities: | |
Contingent consideration | 10 |
Level 3 | Holt property royalty | |
Liabilities: | |
Royalty | 148 |
Marketable Equity Securities | Extractive industries | Level 1 | |
Assets: | |
Marketable securities | 117 |
Marketable Equity Securities | Other industries | Level 1 | |
Assets: | |
Marketable securities | 17 |
Asset backed commercial paper | Level 3 | |
Assets: | |
Marketable securities | 22 |
Auction rate securities | Level 3 | |
Assets: | |
Marketable securities | 7 |
Total | |
Assets: | |
Cash equivalents | 2,164 |
Assets | 2,590 |
Liabilities: | |
Liabilities | 262 |
Total | Boddington Contingent Consideration | |
Liabilities: | |
Contingent consideration | 10 |
Total | Holt property royalty | |
Liabilities: | |
Royalty | 148 |
Total | Provisional copper and gold concentrate receivables | |
Assets: | |
Trade receivable, net | 263 |
Total | Foreign exchange forward contracts | |
Liabilities: | |
Derivative instruments, net | 81 |
Total | Diesel forward contracts | |
Liabilities: | |
Derivative instruments, net | 23 |
Total | Marketable Equity Securities | Extractive industries | |
Assets: | |
Marketable securities | 117 |
Total | Marketable Equity Securities | Other industries | |
Assets: | |
Marketable securities | 17 |
Total | Asset backed commercial paper | |
Assets: | |
Marketable securities | 22 |
Total | Auction rate securities | |
Assets: | |
Marketable securities | $ 7 |
Fair Value Accounting - Additio
Fair Value Accounting - Additional Information (Details) $ in Millions | Jun. 30, 2015USD ($) |
Carrying value and Fair value | |
Carrying value of debt | $ 6,369 |
Level 2 | |
Carrying value and Fair value | |
Estimated fair value of outstanding debt | $ 6,221 |
Fair Value Accounting - Quantit
Fair Value Accounting - Quantitative Information (Details) $ in Millions | 6 Months Ended | |
Jun. 30, 2015USD ($)$ / oz | Dec. 31, 2014USD ($) | |
Quantitative and Qualitative Information - Unobservable Inputs | ||
Financial assets, fair value | $ 29 | $ 30 |
Financial liabilities, fair value | 158 | 189 |
Boddington Contingent Consideration | ||
Quantitative and Qualitative Information - Unobservable Inputs | ||
Financial liabilities, fair value | 10 | 10 |
Holt property royalty | ||
Quantitative and Qualitative Information - Unobservable Inputs | ||
Financial liabilities, fair value | 148 | 179 |
Auction rate securities | ||
Quantitative and Qualitative Information - Unobservable Inputs | ||
Financial assets, fair value | 7 | 6 |
Asset backed commercial paper | ||
Quantitative and Qualitative Information - Unobservable Inputs | ||
Financial assets, fair value | 22 | $ 24 |
Level 3 | Discounted Cash Flow | Auction rate securities | ||
Quantitative and Qualitative Information - Unobservable Inputs | ||
Financial assets, fair value | $ 7 | |
Level 3 | Discounted Cash Flow | Auction rate securities | Weighted Average | ||
Quantitative and Qualitative Information - Unobservable Inputs | ||
Fair Value Inputs, Recoverability Rate | 85.00% | |
Level 3 | Discounted Cash Flow | Asset backed commercial paper | ||
Quantitative and Qualitative Information - Unobservable Inputs | ||
Financial assets, fair value | $ 22 | |
Fair Value Inputs, Recoverability Rate | 90.00% | |
Level 3 | Monte Carlo | Boddington Contingent Consideration | ||
Quantitative and Qualitative Information - Unobservable Inputs | ||
Financial liabilities, fair value | $ 10 | |
Fair Value Inputs, Discount Rate | 4.00% | |
Fair Value Inputs, Long-term gold price | $ / oz | 1,300 | |
Fair Value Inputs, Long-term copper price | $ / oz | 3 | |
Level 3 | Monte Carlo | Holt property royalty | ||
Quantitative and Qualitative Information - Unobservable Inputs | ||
Financial liabilities, fair value | $ 148 | |
Fair Value Inputs, Long-term gold price | $ / oz | 1,300 | |
Level 3 | Monte Carlo | Holt property royalty | Weighted Average | ||
Quantitative and Qualitative Information - Unobservable Inputs | ||
Fair Value Inputs, Discount Rate | 4.00% |
Fair Value Accounting - Changes
Fair Value Accounting - Changes in the Fair Value of Level 3 Financial Assets (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2015USD ($) | |
Summary of changes in Level 3 financial assets | |
Balance at beginning of period, assets | $ 30 |
Revaluation | (1) |
Balance at end of period, assets | 29 |
Auction rate securities | |
Summary of changes in Level 3 financial assets | |
Balance at beginning of period, assets | 6 |
Revaluation | 1 |
Balance at end of period, assets | 7 |
Asset backed commercial paper | |
Summary of changes in Level 3 financial assets | |
Balance at beginning of period, assets | 24 |
Revaluation | (2) |
Balance at end of period, assets | $ 22 |
Fair Value Accounting - Chang77
Fair Value Accounting - Changes in the Fair Value of Level 3 Financial Liabilities (Details) - Jun. 30, 2015 - USD ($) $ in Millions | Total |
Summary of changes in Level 3 financial liabilities | |
Balance at beginning of period, liabilities | $ 189 |
Settlements | (6) |
Revaluation | (25) |
Balance at end of period, liabilities | 158 |
Boddington Contingent Consideration | |
Summary of changes in Level 3 financial liabilities | |
Balance at beginning of period, liabilities | 10 |
Balance at end of period, liabilities | 10 |
Holt property royalty | |
Summary of changes in Level 3 financial liabilities | |
Balance at beginning of period, liabilities | 179 |
Settlements | (6) |
Revaluation | (25) |
Balance at end of period, liabilities | $ 148 |
Level 3 | |
Other Level 3 information | |
Assets measured at fair value hierarchy, percent of total assets measured at fair value | 1.00% |
Liabilities measured at fair value hierarchy, percent of total liabilities measured at fair value | 60.00% |
Derivative Instruments - Foreig
Derivative Instruments - Foreign Currency Derivative Contracts Outstanding (Details) - Jun. 30, 2015 - Cash Flow Hedges NZD in Millions, AUD in Millions | NZD | AUD |
Foreign exchange forward contracts | AUD | ||
Derivative contracts | ||
Derivative notional amount | AUD 397 | |
Average rate | 0.95 | 0.95 |
Foreign exchange forward contracts | NZD | ||
Derivative contracts | ||
Derivative notional amount | NZD | NZD 34 | |
Average rate | 0.80 | 0.80 |
Expected Maturity Date - 2015 | AUD | ||
Derivative contracts | ||
Derivative notional amount | AUD 128 | |
Average rate | 0.97 | 0.97 |
Expected hedge ratio | 20.00% | 20.00% |
Expected Maturity Date - 2015 | NZD | ||
Derivative contracts | ||
Derivative notional amount | NZD | NZD 23 | |
Average rate | 0.80 | 0.80 |
Expected hedge ratio | 42.00% | 42.00% |
Expected Maturity Date - 2016 | AUD | ||
Derivative contracts | ||
Derivative notional amount | AUD 158 | |
Average rate | 0.95 | 0.95 |
Expected hedge ratio | 12.00% | 12.00% |
Expected Maturity Date - 2016 | NZD | ||
Derivative contracts | ||
Derivative notional amount | NZD | NZD 11 | |
Average rate | 0.80 | 0.80 |
Expected hedge ratio | 15.00% | 15.00% |
Expected Maturity Date - 2017 | AUD | ||
Derivative contracts | ||
Derivative notional amount | AUD 105 | |
Average rate | 0.93 | 0.93 |
Expected hedge ratio | 8.00% | 8.00% |
Expected Maturity Date - 2018 | AUD | ||
Derivative contracts | ||
Derivative notional amount | AUD 6 | |
Average rate | 0.92 | 0.92 |
Expected hedge ratio | 4.00% | 4.00% |
Derivative Instruments - Diesel
Derivative Instruments - Diesel Derivative Contracts Outstanding (Details) - Jun. 30, 2015 - Cash Flow Hedges gal in Millions | $ / galgal |
Diesel forward contracts | |
Derivative contracts | |
Diesel gallons (millions) | 32 |
Average rate ($/gallon) | $ / gal | 2.58 |
Diesel forward contracts maturing in 2015 | |
Derivative contracts | |
Diesel gallons (millions) | 11 |
Average rate ($/gallon) | $ / gal | 2.63 |
Expected hedge ratio | 60.00% |
Diesel forward contracts maturing in 2016 | |
Derivative contracts | |
Diesel gallons (millions) | 17 |
Average rate ($/gallon) | $ / gal | 2.53 |
Expected hedge ratio | 42.00% |
Diesel forward contracts maturing in 2017 | |
Derivative contracts | |
Diesel gallons (millions) | 4 |
Average rate ($/gallon) | $ / gal | 2.69 |
Expected hedge ratio | 12.00% |
Derivative Instruments - Fair V
Derivative Instruments - Fair Values of Instruments Designated as Hedges (Details) - Cash Flow Hedges - Designated - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Other Current Assets | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Assets | $ 1 | |
Other Current Assets | Diesel forward contracts | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Assets | 1 | |
Other current liabilities | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Liabilities | $ 64 | 72 |
Other current liabilities | Foreign exchange forward contracts | AUD | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Liabilities | 43 | 45 |
Other current liabilities | Foreign exchange forward contracts | NZD | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Liabilities | 4 | 2 |
Other current liabilities | Diesel forward contracts | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Liabilities | 17 | 25 |
Other Long-Term Liabilities | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Liabilities | 40 | 53 |
Other Long-Term Liabilities | Foreign exchange forward contracts | AUD | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Liabilities | 34 | 40 |
Other Long-Term Liabilities | Foreign exchange forward contracts | NZD | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Liabilities | 1 | |
Other Long-Term Liabilities | Diesel forward contracts | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Liabilities | $ 6 | $ 12 |
Derivative Instruments - Locati
Derivative Instruments - Location and Amount of Gains (Losses) Reported in Financial Statements (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Derivative contracts | ||||
Approximate loss amount to be reclassified from accumulated other comprehensive income (loss), net of tax to income | $ (51) | |||
Cash Flow Hedges | Foreign exchange forward contracts | ||||
Derivative contracts | ||||
Gain (loss) recognized in other comprehensive income | $ 3 | $ 18 | (24) | $ 52 |
Gain (loss) reclassified from Accumulated other comprehensive income into income (effective portion) | (6) | 22 | (13) | 27 |
Cash Flow Hedges | Diesel forward contracts | ||||
Derivative contracts | ||||
Gain (loss) recognized in other comprehensive income | 4 | 3 | (1) | 1 |
Gain (loss) reclassified from Accumulated other comprehensive income into income (effective portion) | (6) | 1 | (13) | 1 |
Cash Flow Hedges | Forward starting swap contracts | ||||
Derivative contracts | ||||
Gain (loss) reclassified from Accumulated other comprehensive income into income (effective portion) | $ (4) | $ (4) | (9) | $ (9) |
Other income, net | Cash Flow Hedges | Diesel forward contracts | ||||
Derivative contracts | ||||
Gain (loss) reclassified from Accumulated other comprehensive income into income (ineffective portion) | $ 1 |
Derivative Instruments - Additi
Derivative Instruments - Additional Information (Details) - Jun. 30, 2015 oz in Thousands, lb in Millions | ozlb$ / lb$ / oz |
Gold Contracts - Embedded Derivative | |
Provisional Gold and Copper Sales - Embedded derivatives | |
Provisional pricing quantity sales | 210 |
Average price, subject to final pricing | $ / oz | 1,173 |
Copper Contracts - Embedded Derivative | |
Provisional Gold and Copper Sales - Embedded derivatives | |
Provisional pricing quantity sales | lb | 133 |
Average price, subject to final pricing | $ / lb | 2.60 |
Investments - Marketable Securi
Investments - Marketable Securities - Amortized Cost/Fair Value (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Investments | ||
Unrealized Gain | $ 4 | |
Unrealized Loss | (2) | |
Investments, Cost/Equity Basis | 332 | |
Investments, total | $ 249 | 334 |
Marketable Equity Securities | ||
Investments | ||
Cost/Equity Basis | 99 | |
Unrealized Gain | 2 | |
Fair/Equity Basis - Long-Term Marketable Securities | 101 | |
Marketable Equity Securities | Regis Resources Ltd. | ||
Investments | ||
Cost/Equity Basis | 81 | |
Fair/Equity Basis - Long-Term Marketable Securities | 81 | |
Marketable Equity Securities | Other Marketable Equity Securities | ||
Investments | ||
Cost/Equity Basis | 18 | |
Unrealized Gain | 2 | |
Fair/Equity Basis - Long-Term Marketable Securities | 20 | |
Current | ||
Investments | ||
Unrealized Gain | 3 | |
Unrealized Loss | (19) | |
Certificate of deposit | 25 | |
Marketable securities and certificates of deposit | 89 | |
Marketable securities and certificates of deposit, Fair/Equity Basis | 73 | |
Current | Marketable Equity Securities | ||
Investments | ||
Cost/Equity Basis | 57 | 64 |
Unrealized Gain | 3 | 3 |
Unrealized Loss | (27) | (19) |
Fair/Equity Basis - Current Marketable Equity Securities | 33 | 48 |
Current | Marketable Equity Securities | Gabriel Resources Ltd | ||
Investments | ||
Cost/Equity Basis | 31 | 34 |
Unrealized Loss | (20) | (17) |
Fair/Equity Basis - Current Marketable Equity Securities | 11 | 17 |
Current | Marketable Equity Securities | Other Marketable Equity Securities | ||
Investments | ||
Cost/Equity Basis | 26 | 30 |
Unrealized Gain | 3 | 3 |
Unrealized Loss | (7) | (2) |
Fair/Equity Basis - Current Marketable Equity Securities | 22 | 31 |
Noncurrent | ||
Investments | ||
Unrealized Gain | 4 | |
Unrealized Loss | (1) | |
Other investments, at cost | 14 | 14 |
Investments, Cost/Equity Basis | 246 | |
Investments, total | 249 | |
Noncurrent | Euronimba Ltd | ||
Investments | ||
Equity Method Investments | 1 | 2 |
Noncurrent | Minera La Zanja S.R.L. | ||
Investments | ||
Equity Method Investments | 89 | 101 |
Noncurrent | Novo Resources Corp | ||
Investments | ||
Equity Method Investments | 15 | 15 |
Noncurrent | Marketable Equity Securities | ||
Investments | ||
Cost/Equity Basis | 170 | |
Unrealized Gain | 2 | |
Fair/Equity Basis - Long-Term Marketable Securities | 172 | |
Noncurrent | Marketable Equity Securities | Regis Resources Ltd. | ||
Investments | ||
Cost/Equity Basis | 153 | |
Fair/Equity Basis - Long-Term Marketable Securities | 153 | |
Noncurrent | Marketable Equity Securities | Other Marketable Equity Securities | ||
Investments | ||
Cost/Equity Basis | 17 | |
Unrealized Gain | 2 | |
Fair/Equity Basis - Long-Term Marketable Securities | 19 | |
Noncurrent | Asset backed commercial paper | ||
Investments | ||
Cost/Equity Basis | 20 | 22 |
Unrealized Gain | 2 | 2 |
Fair/Equity Basis - Long-Term Marketable Securities | 22 | 24 |
Noncurrent | Auction rate securities | ||
Investments | ||
Cost/Equity Basis | 8 | 8 |
Unrealized Loss | (1) | (2) |
Fair/Equity Basis - Long-Term Marketable Securities | 7 | 6 |
Noncurrent | Marketable Debt Securities | ||
Investments | ||
Cost/Equity Basis | 28 | 30 |
Unrealized Gain | 2 | 2 |
Unrealized Loss | (1) | (2) |
Fair/Equity Basis - Long-Term Marketable Securities | $ 29 | $ 30 |
Investments - Additional Inform
Investments - Additional Information (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2015 | Feb. 28, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2015 | Jun. 30, 2014 | |
Investments | ||||||
Maturities of certificates of deposit | $ 25 | |||||
Impairment of investments | $ 16 | $ 73 | $ 1 | |||
Paladin Energy Ltd | ||||||
Investments | ||||||
Proceeds from sale of available for sale securities equity | $ 25 | |||||
Paladin Energy Ltd | Other income, net' | ||||||
Investments | ||||||
Gain on sale of investments, net | $ 4 | |||||
Leyshon Energy Ltd [Member] | ||||||
Investments | ||||||
Proceeds from sale of available for sale securities equity | $ 1 | |||||
Leyshon Energy Ltd [Member] | Other income, net' | ||||||
Investments | ||||||
Gain on sale of investments, net | $ 1 | |||||
Regis Resources Ltd. | ||||||
Investments | ||||||
Impairment of investments | $ 16 | $ 73 |
Investments - Gross Unrealized
Investments - Gross Unrealized Losses and Fair Value of the Company's Investments (Detail) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Investments | ||
Securities continuous unrealized losses less than 12 months - fair value | $ 24 | $ 33 |
Securities continuous unrealized losses less than 12 months - Unrealized Losses | 27 | 19 |
Securities continuous unrealized losses greater than 12 months - fair value | 7 | 6 |
Securities continuous unrealized losses greater than 12 months - Unrealized Losses | 1 | 2 |
Total Fair Value | 31 | 39 |
Total Unrealized Loss | 28 | 21 |
Marketable Equity Securities | ||
Investments | ||
Securities continuous unrealized losses less than 12 months - fair value | 24 | 33 |
Securities continuous unrealized losses less than 12 months - Unrealized Losses | 27 | 19 |
Total Fair Value | 24 | 33 |
Total Unrealized Loss | 27 | 19 |
Auction rate securities | ||
Investments | ||
Securities continuous unrealized losses greater than 12 months - fair value | 7 | 6 |
Securities continuous unrealized losses greater than 12 months - Unrealized Losses | 1 | 2 |
Total Fair Value | 7 | 6 |
Total Unrealized Loss | $ 1 | $ 2 |
Inventories - Summary of Invent
Inventories - Summary of Inventories (Detail) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Inventory, net | ||
In-process | $ 127 | $ 127 |
Concentrate and copper cathode | 155 | 110 |
Precious metals | 20 | 12 |
Materials, supplies and other | 446 | 451 |
Total inventories | $ 748 | $ 700 |
Stockpiles and Ore on Leach P87
Stockpiles and Ore on Leach Pads - by location (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Stockpiles And Ore On Leach Pads | ||
Current stockpiles and ore on leach pads | $ 791 | $ 666 |
Long-term stockpiles and ore on leach pads | 2,823 | 2,820 |
Stockpiles and ore on leach pads | 3,614 | 3,486 |
Carlin | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 425 | 399 |
Phoenix | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 104 | 103 |
Twin Creeks | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 296 | 285 |
Yanacocha | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 492 | 459 |
Boddington | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 401 | 390 |
Tanami | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 6 | 14 |
Waihi | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 2 | 2 |
Kalgoorlie | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 117 | 116 |
Batu Hijau | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 1,241 | 1,242 |
Ahafo | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 418 | 376 |
Akyem | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 112 | 100 |
Stockpiles | ||
Stockpiles And Ore On Leach Pads | ||
Current stockpiles and ore on leach pads | 565 | 445 |
Long-term stockpiles and ore on leach pads | 2,559 | 2,599 |
Ore on Leach Pads | ||
Stockpiles And Ore On Leach Pads | ||
Current stockpiles and ore on leach pads | 226 | 221 |
Long-term stockpiles and ore on leach pads | $ 264 | $ 221 |
Stockpiles and Ore on Leach P88
Stockpiles and Ore on Leach Pads - Write-downs (Details) - STOCKPILES AND ORE ON LEACH PADS $ in Millions | 6 Months Ended |
Jun. 30, 2015USD ($) | |
Carlin | |
Write-downs | |
Inventory write-downs | $ 74 |
Twin Creeks | |
Write-downs | |
Inventory write-downs | 7 |
Boddington | |
Write-downs | |
Inventory write-downs | 21 |
Yanacocha | |
Write-downs | |
Inventory write-downs | 39 |
Costs applicable to sales | |
Write-downs | |
Inventory write-downs | 97 |
Depreciation and Amortization | |
Write-downs | |
Inventory write-downs | $ 44 |
Other Assets (Details)
Other Assets (Details) - Entity - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Other current assets: | ||
Refinery metal inventory and receivable | $ 711 | $ 606 |
Prepaid assets | 96 | 147 |
Other refinery metal receivables | 81 | 124 |
Derivative instruments | 1 | |
Other | 21 | 3 |
Other current assets, total | 909 | 881 |
Other long-term assets: | ||
Income tax receivable | 212 | 215 |
Restricted cash | 181 | 127 |
Prepaid royalties | 125 | 125 |
Goodwill | 105 | 105 |
Intangible assets | 104 | 109 |
Debt issuance costs | 53 | 58 |
Taxes other than income and mining | 46 | 59 |
Prepaid maintenance costs | 37 | 30 |
Other | 47 | 55 |
Other long-term assets, total | $ 910 | $ 883 |
Debt - Additional Information (
Debt - Additional Information (Detail) - USD ($) $ in Millions | Jun. 17, 2015 | Mar. 03, 2015 | Jun. 30, 2015 | Jun. 30, 2015 | Jun. 30, 2014 |
Information pertaining to debt | |||||
Long-term debt, Maturities, repayments of principal in remainder of fiscal year | $ 100 | $ 100 | |||
Long-term debt, Maturities, repayments of principal in year two | 212 | 212 | |||
Long-term debt, Maturities, repayments of principal in year three | 765 | 765 | |||
Long-term debt, Maturities, repayments of principal in year four | 0 | 0 | |||
Long-term debt, Maturities, repayments of principal in year five | 1,175 | 1,175 | |||
Long-term debt, Maturities, repayments of principal after year five | 4,200 | 4,200 | |||
Capital leases, maturities, repayments of principal in remainder of fiscal year | 1 | 1 | |||
Capital leases, maturities, repayments of principal in year two | 3 | 3 | |||
Capital leases, maturities, repayments of principal in year three | 3 | 3 | |||
Capital leases, maturities, repayments of principal in year four | 1 | 1 | |||
Capital leases, maturities, repayments of principal in year five | 1 | 1 | |||
Capital leases, maturities, repayments of principal thereafter | 3 | 3 | |||
Debt payments | 281 | $ 5 | |||
Maturity Period, March 3, 2020 | |||||
Information pertaining to debt | |||||
Credit facility, amounts extended under amendment | $ 175 | ||||
Term Loan Facility | |||||
Information pertaining to debt | |||||
Debt payments | 200 | ||||
Credit facility, amount outstanding | 275 | 275 | |||
Corporate Revolving Credit Facility | |||||
Information pertaining to debt | |||||
Line of credit facility maximum borrowing capacity | $ 3,000 | ||||
Credit facility, amount outstanding | 0 | 0 | |||
Corporate Revolving Credit Facility | Maturity Period, March 3, 2020 | |||||
Information pertaining to debt | |||||
Credit facility, amounts extended under amendment | $ 2,725 | ||||
Debt instrument maturity date | Mar. 3, 2020 | ||||
Corporate Revolving Credit Facility | Maturity Period, March 31, 2019 | |||||
Information pertaining to debt | |||||
Line of credit facility maximum borrowing capacity | $ 100 | ||||
Debt instrument maturity date | Mar. 31, 2019 | ||||
Ahafo Project Facility | |||||
Information pertaining to debt | |||||
Debt payments | 25 | ||||
PTNNT Revolving Credit Facility | |||||
Information pertaining to debt | |||||
Debt payments | 55 | ||||
Credit facility, amount outstanding | $ 500 | $ 500 |
Other Liabilities (Details)
Other Liabilities (Details) - Entity - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 |
Other current liabilities: | ||
Refinery metal payable and liabilities | $ 711 | $ 606 |
Deferred income tax | 125 | 132 |
Accrued operating costs | 110 | 99 |
Interest | 72 | 71 |
Accrued capital expenditures | 68 | 59 |
Derivative instruments | 64 | 72 |
Reclamation and remediation liabilities | 64 | 83 |
Royalties | 52 | 67 |
Taxes other than income and mining | 12 | 21 |
Holt property royalty | 12 | 12 |
Other | 41 | 23 |
Other current liabilities, total | 1,331 | 1,245 |
Other long-term liabilities: | ||
Holt property royalty | 136 | 167 |
Income and mining taxes | 63 | 79 |
Derivative instruments | 40 | 53 |
Power supply agreements | 33 | 35 |
Social development obligations | 29 | 29 |
Boddington contingent consideration | 10 | 10 |
Other | 22 | 22 |
Other long-term liabilities, total | $ 333 | $ 395 |
Changes in Equity (Details)
Changes in Equity (Details) - Entity - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Changes in Equity | ||||
At beginning of period | $ 13,089 | |||
Net income (loss) attributable to Newmont stockholders | $ 72 | $ 180 | 255 | $ 280 |
Net income (loss) attributable to noncontrolling interests | 76 | (35) | 122 | (87) |
Other comprehensive income (loss) | 52 | (35) | 38 | (60) |
At end of period | 14,268 | 13,091 | 14,268 | 13,091 |
Common Stock | ||||
Changes in Equity | ||||
At beginning of period | 798 | 789 | ||
Redemptions of Exchangeable Shares | (8) | |||
Stock-based awards | 2 | 1 | ||
Stock issuance | 46 | |||
At end of period | 846 | 798 | 846 | 798 |
Additional Paid-in Capital | ||||
Changes in Equity | ||||
At beginning of period | 8,712 | 8,538 | ||
Redemptions of Exchangeable Shares | 8 | |||
Stock-based awards | 38 | 74 | ||
Sale of noncontrolling interests, net | 12 | 32 | ||
Stock issuance | 629 | |||
At end of period | 9,391 | 8,636 | 9,391 | 8,636 |
Accumulated Other Comprehensive (Loss) Income | ||||
Changes in Equity | ||||
At beginning of period | (478) | (182) | ||
Other comprehensive income (loss) | 38 | (60) | ||
At end of period | (440) | (242) | (440) | (242) |
Retained Earnings | ||||
Changes in Equity | ||||
At beginning of period | 1,242 | 848 | ||
Net income (loss) attributable to Newmont stockholders | 255 | 280 | ||
Dividends Paid | (23) | (89) | ||
At end of period | 1,474 | 1,039 | 1,474 | 1,039 |
Noncontrolling Interests | ||||
Changes in Equity | ||||
At beginning of period | 2,815 | 2,916 | ||
Sale of noncontrolling interests, net | 63 | 35 | ||
Net income (loss) attributable to noncontrolling interests | 122 | (87) | ||
Dividends paid to noncontrolling interests | (3) | (4) | ||
At end of period | $ 2,997 | $ 2,860 | $ 2,997 | $ 2,860 |
Reclassifications Out of Accu93
Reclassifications Out of Accumulated Other Comprehensive Income (Loss) - Components of AOCI (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | ||||
At beginning of period | $ 13,089 | |||
Other comprehensive income (loss) | $ 52 | $ (35) | 38 | $ (60) |
At end of period | 14,268 | 13,091 | 14,268 | 13,091 |
Accumulated Other Comprehensive (Loss) Income | ||||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | ||||
At beginning of period | (478) | (182) | ||
Change in other comprehensive income (loss) before reclassifications | (67) | |||
Reclassifications from accumulated other comprehensive income (loss) | 105 | |||
Other comprehensive income (loss) | 38 | (60) | ||
At end of period | (440) | (242) | (440) | (242) |
Marketable securities adjustments | ||||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | ||||
At beginning of period | (142) | |||
Change in other comprehensive income (loss) before reclassifications | (79) | |||
Reclassifications from accumulated other comprehensive income (loss) | 72 | |||
Other comprehensive income (loss) | (7) | |||
At end of period | (149) | (149) | ||
Foreign currency translation adjustments | ||||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | ||||
At beginning of period | 127 | |||
Change in other comprehensive income (loss) before reclassifications | (5) | |||
Other comprehensive income (loss) | (5) | |||
At end of period | 122 | 122 | ||
Pension and other post-retirement benefit adjustments | ||||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | ||||
At beginning of period | (249) | |||
Change in other comprehensive income (loss) before reclassifications | 34 | |||
Reclassifications from accumulated other comprehensive income (loss) | 5 | $ 3 | 10 | $ 5 |
Other comprehensive income (loss) | 44 | |||
At end of period | (205) | (205) | ||
Changes in fair value of cash flow hedge instruments | ||||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | ||||
At beginning of period | (214) | |||
Change in other comprehensive income (loss) before reclassifications | (17) | |||
Reclassifications from accumulated other comprehensive income (loss) | 23 | |||
Other comprehensive income (loss) | 6 | |||
At end of period | $ (208) | $ (208) |
Reclassifications Out of Accu94
Reclassifications Out of Accumulated Other Comprehensive Income (Loss) - Reclassifications (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | ||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||||
Other income, net | $ (23) | $ 3 | $ (12) | $ 49 | |
Amortization, net, included in General and administrative and costs benefitting inventory/production process | 1,505 | 1,582 | 2,980 | 3,156 | |
Costs applicable to sales | [1] | 1,019 | 1,060 | 2,038 | 2,143 |
Interest expense, net | (82) | (94) | (167) | (187) | |
Income (loss) before income and mining tax and other items | 298 | 92 | 721 | 235 | |
Tax benefit (expense) | 152 | (53) | 345 | 25 | |
Net income (loss) | 148 | 145 | 377 | 193 | |
Net income (loss) attributable to Newmont stockholders | 72 | 180 | 255 | 280 | |
Marketable securities adjustments | |||||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||||
Net of tax | 72 | ||||
Pension and other post-retirement benefit adjustments | |||||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||||
Total before tax | 7 | 4 | 14 | 7 | |
Tax benefit (expense) | 2 | 1 | 4 | 2 | |
Net of tax | 5 | 3 | 10 | 5 | |
Accumulated defined benefit pension plans adjustment | |||||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||||
Total before tax | (7) | (4) | (14) | (7) | |
Changes in fair value of cash flow hedge instruments | |||||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||||
Net of tax | 23 | ||||
Reclassification Out of Accumulated Other Comprehensive Income | |||||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||||
Net of tax | 32 | (11) | 105 | (11) | |
Reclassification Out of Accumulated Other Comprehensive Income | Marketable securities adjustments | |||||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||||
Income (loss) before income and mining tax and other items | 16 | (1) | 72 | (4) | |
Tax benefit (expense) | 1 | ||||
Net income (loss) attributable to Newmont stockholders | 16 | (1) | 72 | (3) | |
Reclassification Out of Accumulated Other Comprehensive Income | Accumulated net marketable securities adjustments - sale of marketable securities | |||||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||||
Other income, net | (1) | (1) | (5) | ||
Reclassification Out of Accumulated Other Comprehensive Income | Accumulated net marketable securities adjustments - Impairment of marketable securities | |||||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||||
Other income, net | 16 | 73 | 1 | ||
Reclassification Out of Accumulated Other Comprehensive Income | Changes in fair value of cash flow hedge instruments | |||||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||||
Income (loss) before income and mining tax and other items | 16 | (19) | 34 | (19) | |
Tax benefit (expense) | (5) | 6 | (11) | 6 | |
Net income (loss) attributable to Newmont stockholders | 11 | (13) | 23 | (13) | |
Reclassification Out of Accumulated Other Comprehensive Income | Operating cash flow hedges | Changes in fair value of cash flow hedge instruments | |||||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||||
Other income, net | (1) | ||||
Costs applicable to sales | 12 | (23) | 26 | (28) | |
Reclassification Out of Accumulated Other Comprehensive Income | Forward starting swap contracts | Changes in fair value of cash flow hedge instruments | |||||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||||
Interest expense, net | $ 4 | $ 4 | $ 9 | $ 9 | |
[1] | Excludes Depreciation and amortization and Reclamation and remediation. |
Net Change in Operating Asset95
Net Change in Operating Assets and Liabilities (Details) - Entity - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2015 | Jun. 30, 2014 | |
Decrease (increase) in operating assets: | ||
Trade and other accounts receivables | $ (89) | $ 68 |
Inventories, stockpiles and ore on leach pads | (179) | (359) |
EGR refinery and other assets | (82) | (123) |
Other assets | 78 | (47) |
Increase (decrease) in operating liabilities: | ||
Accounts payable and other accrued liabilities | (40) | (92) |
EGR refinery and other liabilities | 82 | 123 |
Reclamation liabilities | (38) | (23) |
Net change in operating assets and liabilities | $ (268) | $ (453) |
Condensed Consolidating Finan96
Condensed Consolidating Financial Statements - Statement of Operation (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | ||
Condensed Consolidating Statement of Operation | |||||
Sales (Note 3) | $ 1,908 | $ 1,765 | $ 3,880 | $ 3,529 | |
Costs and expenses | |||||
Costs applicable to sales (Note 3) | [1] | 1,019 | 1,060 | 2,038 | 2,143 |
Depreciation and amortization | 276 | 306 | 565 | 604 | |
Reclamation and remediation (Note 4) | 26 | 21 | 49 | 41 | |
Exploration | 48 | 41 | 81 | 75 | |
Advanced projects, research and development | 33 | 42 | 61 | 84 | |
General and administrative | 51 | 48 | 95 | 93 | |
Other expense, net (Note 5) | 52 | 64 | 91 | 116 | |
Total costs and expenses | 1,505 | 1,582 | 2,980 | 3,156 | |
Other income (expense) | |||||
Other income, net (Note 6) | (23) | 3 | (12) | 49 | |
Interest expense, net | (82) | (94) | (167) | (187) | |
Total other income (expense) | (105) | (91) | (179) | (138) | |
Income (loss) before income and mining tax and other items | 298 | 92 | 721 | 235 | |
Income and mining tax benefit (expense) | (152) | 53 | (345) | (25) | |
Equity income (loss) of affiliates | (7) | 2 | (16) | 2 | |
Income (loss) from continuing operations | 139 | 147 | 360 | 212 | |
Income (loss) from discontinued operations | 9 | (2) | 17 | (19) | |
Net income (loss) | 148 | 145 | 377 | 193 | |
Net loss (income) attributable to noncontrolling interests | (76) | 35 | (122) | 87 | |
Net income (loss) attributable to Newmont stockholders | 72 | 180 | 255 | 280 | |
Comprehensive income (loss) | 200 | 110 | 415 | 133 | |
Noncontrolling interests | (76) | 33 | (122) | 87 | |
Comprehensive income (loss) attributable to Newmont stockholders | 124 | 143 | 293 | 220 | |
Reportable Legal Entities | Newmont Mining Corporation | |||||
Costs and expenses | |||||
Depreciation and amortization | 1 | 1 | 2 | 2 | |
Total costs and expenses | 1 | 1 | 2 | 2 | |
Other income (expense) | |||||
Other income, net (Note 6) | 19 | (3) | (9) | (4) | |
Interest income - intercompany | 33 | 30 | 66 | 60 | |
Interest expense - intercompany | (4) | (3) | (7) | (5) | |
Interest expense, net | (71) | (83) | (148) | (165) | |
Total other income (expense) | (23) | (59) | (98) | (114) | |
Income (loss) before income and mining tax and other items | (24) | (60) | (100) | (116) | |
Income and mining tax benefit (expense) | 10 | 11 | 35 | 40 | |
Equity income (loss) of affiliates | 86 | 229 | 320 | 356 | |
Income (loss) from continuing operations | 72 | 180 | 255 | 280 | |
Net income (loss) | 72 | 180 | 255 | 280 | |
Net income (loss) attributable to Newmont stockholders | 72 | 180 | 255 | 280 | |
Comprehensive income (loss) | 124 | 143 | 293 | 220 | |
Comprehensive income (loss) attributable to Newmont stockholders | 124 | 143 | 293 | 220 | |
Reportable Legal Entities | Newmont USA | |||||
Condensed Consolidating Statement of Operation | |||||
Sales (Note 3) | 445 | 485 | 947 | 985 | |
Costs and expenses | |||||
Costs applicable to sales (Note 3) | 282 | 304 | 570 | 602 | |
Depreciation and amortization | 72 | 71 | 149 | 125 | |
Reclamation and remediation (Note 4) | 4 | 3 | 7 | 5 | |
Exploration | 10 | 5 | 16 | 9 | |
Advanced projects, research and development | 3 | 10 | 6 | 21 | |
General and administrative | 20 | 27 | 32 | 46 | |
Other expense, net (Note 5) | 10 | 9 | 16 | 15 | |
Total costs and expenses | 401 | 429 | 796 | 823 | |
Other income (expense) | |||||
Other income, net (Note 6) | 1 | (2) | 10 | 58 | |
Interest income - intercompany | 10 | 10 | |||
Interest expense, net | (2) | (1) | (3) | (2) | |
Total other income (expense) | 9 | (3) | 17 | 56 | |
Income (loss) before income and mining tax and other items | 53 | 53 | 168 | 218 | |
Income and mining tax benefit (expense) | (8) | (8) | (37) | (46) | |
Equity income (loss) of affiliates | (22) | 58 | (33) | (93) | |
Income (loss) from continuing operations | 23 | 103 | 98 | 79 | |
Net income (loss) | 23 | 103 | 98 | 79 | |
Net income (loss) attributable to Newmont stockholders | 23 | 103 | 98 | 79 | |
Comprehensive income (loss) | 67 | 112 | 149 | 90 | |
Comprehensive income (loss) attributable to Newmont stockholders | 67 | 112 | 149 | 90 | |
Reportable Legal Entities | Other Subsidiaries | |||||
Condensed Consolidating Statement of Operation | |||||
Sales (Note 3) | 1,463 | 1,280 | 2,933 | 2,544 | |
Costs and expenses | |||||
Costs applicable to sales (Note 3) | 737 | 756 | 1,468 | 1,541 | |
Depreciation and amortization | 203 | 234 | 414 | 477 | |
Reclamation and remediation (Note 4) | 22 | 18 | 42 | 36 | |
Exploration | 38 | 36 | 65 | 66 | |
Advanced projects, research and development | 30 | 32 | 55 | 63 | |
General and administrative | 31 | 21 | 63 | 47 | |
Other expense, net (Note 5) | 42 | 55 | 75 | 101 | |
Total costs and expenses | 1,103 | 1,152 | 2,182 | 2,331 | |
Other income (expense) | |||||
Other income, net (Note 6) | (43) | 8 | (13) | (5) | |
Interest income - intercompany | 3 | 3 | 8 | 5 | |
Interest expense - intercompany | (42) | (30) | (77) | (60) | |
Interest expense, net | (9) | (10) | (16) | (20) | |
Total other income (expense) | (91) | (29) | (98) | (80) | |
Income (loss) before income and mining tax and other items | 269 | 99 | 653 | 133 | |
Income and mining tax benefit (expense) | (154) | 50 | (343) | (19) | |
Equity income (loss) of affiliates | 20 | 23 | 43 | 6 | |
Income (loss) from continuing operations | 135 | 172 | 353 | 120 | |
Income (loss) from discontinued operations | 9 | (2) | 17 | (19) | |
Net income (loss) | 144 | 170 | 370 | 101 | |
Net loss (income) attributable to noncontrolling interests | (102) | 23 | (179) | 89 | |
Net income (loss) attributable to Newmont stockholders | 42 | 193 | 191 | 190 | |
Comprehensive income (loss) | 151 | 145 | 352 | 61 | |
Noncontrolling interests | (102) | 24 | (173) | 89 | |
Comprehensive income (loss) attributable to Newmont stockholders | 49 | 169 | 179 | 150 | |
Eliminations | |||||
Other income (expense) | |||||
Interest income - intercompany | (46) | (33) | (84) | (65) | |
Interest expense - intercompany | 46 | 33 | 84 | 65 | |
Equity income (loss) of affiliates | (91) | (308) | (346) | (267) | |
Income (loss) from continuing operations | (91) | (308) | (346) | (267) | |
Net income (loss) | (91) | (308) | (346) | (267) | |
Net loss (income) attributable to noncontrolling interests | 26 | 12 | 57 | (2) | |
Net income (loss) attributable to Newmont stockholders | (65) | (296) | (289) | (269) | |
Comprehensive income (loss) | (142) | (290) | (379) | (238) | |
Noncontrolling interests | 26 | 9 | 51 | (2) | |
Comprehensive income (loss) attributable to Newmont stockholders | $ (116) | $ (281) | $ (328) | $ (240) | |
[1] | Excludes Depreciation and amortization and Reclamation and remediation. |
Condensed Consolidating Finan97
Condensed Consolidating Financial Statements - Statement of Cash Flows (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2015 | Jun. 30, 2014 | Jun. 30, 2015 | Jun. 30, 2014 | |
Operating activities: | ||||
Net income (loss) | $ 148 | $ 145 | $ 377 | $ 193 |
Adjustments | 960 | 821 | ||
Net change in operating assets and liabilities | (268) | (453) | ||
Net cash provided by continuing operations | 1,069 | 561 | ||
Net cash used in discontinued operations | (6) | (6) | ||
Net cash provided by operations | 1,063 | 555 | ||
Investing activities: | ||||
Additions to property, plant and mine development | (606) | (489) | ||
Sales of investments | 29 | 25 | ||
Proceeds from sale of other assets | 44 | 76 | ||
Other | (6) | (11) | ||
Acquisitions, net | (28) | |||
Purchases of investments | (1) | |||
Net cash used in investing activities | (539) | (428) | ||
Financing activities: | ||||
Proceeds from debt, net | 18 | |||
Repayment of debt | (281) | (5) | ||
Net proceeds from common stock issuance | 675 | |||
Sale of noncontrolling interests | 37 | 68 | ||
Funding from noncontrolling interests | 62 | |||
Acquisition of noncontrolling interests | (6) | (4) | ||
Dividends paid to noncontrolling interests | (3) | (4) | ||
Dividends paid to common stockholders | (23) | (89) | ||
Restricted cash and other | (61) | (11) | ||
Net cash provided by (used in) financing activities | 400 | (27) | ||
Effect of exchange rate changes on cash | (19) | (2) | ||
Net change in cash and cash equivalents | 905 | 98 | ||
Cash and cash equivalents at beginning of period | 2,403 | 1,555 | ||
Cash and cash equivalents at end of period | 3,308 | 1,653 | 3,308 | 1,653 |
Reportable Legal Entities | Newmont Mining Corporation | ||||
Operating activities: | ||||
Net income (loss) | 72 | 180 | 255 | 280 |
Adjustments | (270) | (343) | ||
Net change in operating assets and liabilities | 84 | (39) | ||
Net cash provided by continuing operations | 69 | (102) | ||
Net cash provided by operations | 69 | (102) | ||
Investing activities: | ||||
Sales of investments | 25 | |||
Net cash used in investing activities | 25 | |||
Financing activities: | ||||
Proceeds from debt, net | (7) | |||
Repayment of debt | (200) | |||
Net intercompany borrowings (repayments) | (518) | 173 | ||
Net proceeds from common stock issuance | 675 | |||
Dividends paid to common stockholders | (23) | (89) | ||
Restricted cash and other | (3) | |||
Net cash provided by (used in) financing activities | (69) | 77 | ||
Reportable Legal Entities | Newmont USA | ||||
Operating activities: | ||||
Net income (loss) | 23 | 103 | 98 | 79 |
Adjustments | 294 | 363 | ||
Net change in operating assets and liabilities | (217) | (22) | ||
Net cash provided by continuing operations | 175 | 420 | ||
Net cash provided by operations | 175 | 420 | ||
Investing activities: | ||||
Additions to property, plant and mine development | (160) | (172) | ||
Sales of investments | 25 | |||
Proceeds from sale of other assets | 6 | 3 | ||
Net cash used in investing activities | (129) | (169) | ||
Financing activities: | ||||
Repayment of debt | (1) | |||
Net intercompany borrowings (repayments) | 619 | (123) | ||
Sale of noncontrolling interests | 3 | |||
Restricted cash and other | 1 | |||
Net cash provided by (used in) financing activities | 622 | (123) | ||
Net change in cash and cash equivalents | 668 | 128 | ||
Cash and cash equivalents at beginning of period | 1,097 | 428 | ||
Cash and cash equivalents at end of period | 1,765 | 556 | 1,765 | 556 |
Reportable Legal Entities | Other Subsidiaries | ||||
Operating activities: | ||||
Net income (loss) | 144 | 170 | 370 | 101 |
Adjustments | 590 | 534 | ||
Net change in operating assets and liabilities | (135) | (392) | ||
Net cash provided by continuing operations | 825 | 243 | ||
Net cash used in discontinued operations | (6) | (6) | ||
Net cash provided by operations | 819 | 237 | ||
Investing activities: | ||||
Additions to property, plant and mine development | (446) | (317) | ||
Sales of investments | 4 | |||
Proceeds from sale of other assets | 38 | 73 | ||
Other | (6) | (11) | ||
Acquisitions, net | (28) | |||
Purchases of investments | (1) | |||
Net cash used in investing activities | (410) | (284) | ||
Financing activities: | ||||
Proceeds from debt, net | 25 | |||
Repayment of debt | (80) | (5) | ||
Net intercompany borrowings (repayments) | (101) | (50) | ||
Sale of noncontrolling interests | 34 | 68 | ||
Funding from noncontrolling interests | 62 | |||
Acquisition of noncontrolling interests | (6) | (4) | ||
Dividends paid to noncontrolling interests | (3) | (4) | ||
Restricted cash and other | (59) | (11) | ||
Net cash provided by (used in) financing activities | (153) | 19 | ||
Effect of exchange rate changes on cash | (19) | (2) | ||
Net change in cash and cash equivalents | 237 | (30) | ||
Cash and cash equivalents at beginning of period | 1,306 | 1,127 | ||
Cash and cash equivalents at end of period | 1,543 | 1,097 | 1,543 | 1,097 |
Eliminations | ||||
Operating activities: | ||||
Net income (loss) | $ (91) | $ (308) | (346) | (267) |
Adjustments | $ 346 | $ 267 |
Condensed Consolidating Finan98
Condensed Consolidating Financial Statements - Balance Sheet (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 | Jun. 30, 2014 | Dec. 31, 2013 |
Assets | ||||
Cash and cash equivalents | $ 3,308 | $ 2,403 | $ 1,653 | $ 1,555 |
Trade receivables | 369 | 186 | ||
Other accounts receivables | 186 | 290 | ||
Investments (Note 15) | 33 | 73 | ||
Inventories | 748 | 700 | ||
Stockpiles and ore on leach pads | 791 | 666 | ||
Deferred income tax assets | 212 | 240 | ||
Other current assets | 909 | 881 | ||
Current assets | 6,556 | 5,439 | ||
Property, plant and mine development, net | 13,646 | 13,650 | ||
Investments, Fair/Equity Basis | 249 | 334 | ||
Stockpiles and ore on leach pads | 2,823 | 2,820 | ||
Deferred income tax assets | 1,777 | 1,790 | ||
Other long-term assets | 910 | 883 | ||
Total assets | 25,961 | 24,916 | ||
Liabilities | ||||
Debt | 243 | 166 | ||
Accounts payable | 397 | 406 | ||
Employee-related benefits | 227 | 307 | ||
Income and mining taxes | 158 | 74 | ||
Other current liabilities | 1,331 | 1,245 | ||
Current liabilities | 2,356 | 2,198 | ||
Debt | 6,140 | 6,480 | ||
Reclamation and remediation liabilities | 1,653 | 1,606 | ||
Deferred income tax liabilities | 759 | 656 | ||
Employee-related benefits | 452 | 492 | ||
Other long-term liabilities | 333 | 395 | ||
Total liabilities | 11,693 | 11,827 | ||
Equity | ||||
Newmont stockholders’ equity | 11,271 | 10,274 | ||
Noncontrolling interests | 2,997 | 2,815 | ||
Total equity | 14,268 | 13,089 | 13,091 | |
Total liabilities and equity | 25,961 | 24,916 | ||
Reportable Legal Entities | Newmont Mining Corporation | ||||
Assets | ||||
Intercompany receivable | 4,369 | 4,058 | ||
Deferred income tax assets | 3 | 3 | ||
Current assets | 4,372 | 4,061 | ||
Property, plant and mine development, net | 28 | 28 | ||
Investments in subsidiaries | 14,795 | 14,553 | ||
Deferred income tax assets | 189 | 275 | ||
Long-term intercompany receivable | 1,838 | 1,968 | ||
Other long-term assets | 44 | 48 | ||
Total assets | 21,266 | 20,933 | ||
Liabilities | ||||
Intercompany payable | 3,973 | 4,299 | ||
Other current liabilities | 73 | 67 | ||
Current liabilities | 4,046 | 4,366 | ||
Debt | 5,867 | 6,055 | ||
Long-term intercompany payable | 82 | 238 | ||
Total liabilities | 9,995 | 10,659 | ||
Equity | ||||
Newmont stockholders’ equity | 11,271 | 10,274 | ||
Total equity | 11,271 | 10,274 | ||
Total liabilities and equity | 21,266 | 20,933 | ||
Reportable Legal Entities | Newmont USA | ||||
Assets | ||||
Cash and cash equivalents | 1,765 | 1,097 | 556 | 428 |
Trade receivables | 24 | 23 | ||
Other accounts receivables | 9 | 21 | ||
Intercompany receivable | 5,511 | 6,027 | ||
Investments (Note 15) | 25 | |||
Inventories | 174 | 157 | ||
Stockpiles and ore on leach pads | 241 | 201 | ||
Deferred income tax assets | 136 | 153 | ||
Other current assets | 57 | 95 | ||
Current assets | 7,917 | 7,799 | ||
Property, plant and mine development, net | 3,192 | 3,190 | ||
Investments, Fair/Equity Basis | 15 | 13 | ||
Investments in subsidiaries | 4,112 | 4,121 | ||
Stockpiles and ore on leach pads | 575 | 580 | ||
Deferred income tax assets | 571 | 535 | ||
Long-term intercompany receivable | 324 | 220 | ||
Other long-term assets | 239 | 238 | ||
Total assets | 16,945 | 16,696 | ||
Liabilities | ||||
Debt | 3 | 1 | ||
Accounts payable | 71 | 60 | ||
Intercompany payable | 5,233 | 5,034 | ||
Employee-related benefits | 94 | 141 | ||
Other current liabilities | 148 | 176 | ||
Current liabilities | 5,549 | 5,412 | ||
Debt | 9 | 5 | ||
Reclamation and remediation liabilities | 240 | 236 | ||
Deferred income tax liabilities | 46 | 43 | ||
Employee-related benefits | 298 | 343 | ||
Other long-term liabilities | 24 | 37 | ||
Total liabilities | 6,166 | 6,076 | ||
Equity | ||||
Newmont stockholders’ equity | 10,779 | 10,620 | ||
Total equity | 10,779 | 10,620 | ||
Total liabilities and equity | 16,945 | 16,696 | ||
Reportable Legal Entities | Other Subsidiaries | ||||
Assets | ||||
Cash and cash equivalents | 1,543 | 1,306 | $ 1,097 | $ 1,127 |
Trade receivables | 345 | 163 | ||
Other accounts receivables | 177 | 269 | ||
Intercompany receivable | 7,360 | 6,698 | ||
Investments (Note 15) | 33 | 48 | ||
Inventories | 574 | 543 | ||
Stockpiles and ore on leach pads | 550 | 465 | ||
Deferred income tax assets | 73 | 84 | ||
Other current assets | 852 | 786 | ||
Current assets | 11,507 | 10,362 | ||
Property, plant and mine development, net | 10,465 | 10,473 | ||
Investments, Fair/Equity Basis | 234 | 321 | ||
Investments in subsidiaries | 2,869 | 2,822 | ||
Stockpiles and ore on leach pads | 2,248 | 2,240 | ||
Deferred income tax assets | 1,507 | 1,470 | ||
Long-term intercompany receivable | 512 | 700 | ||
Other long-term assets | 627 | 597 | ||
Total assets | 29,969 | 28,985 | ||
Liabilities | ||||
Debt | 240 | 165 | ||
Accounts payable | 326 | 346 | ||
Intercompany payable | 8,034 | 7,450 | ||
Employee-related benefits | 133 | 166 | ||
Income and mining taxes | 158 | 74 | ||
Other current liabilities | 1,110 | 1,002 | ||
Current liabilities | 10,001 | 9,203 | ||
Debt | 264 | 420 | ||
Reclamation and remediation liabilities | 1,413 | 1,370 | ||
Deferred income tax liabilities | 1,203 | 1,103 | ||
Employee-related benefits | 154 | 149 | ||
Long-term intercompany payable | 2,631 | 2,691 | ||
Other long-term liabilities | 309 | 358 | ||
Total liabilities | 15,975 | 15,294 | ||
Equity | ||||
Newmont stockholders’ equity | 9,287 | 9,225 | ||
Noncontrolling interests | 4,707 | 4,466 | ||
Total equity | 13,994 | 13,691 | ||
Total liabilities and equity | 29,969 | 28,985 | ||
Eliminations | ||||
Assets | ||||
Intercompany receivable | (17,240) | (16,783) | ||
Current assets | (17,240) | (16,783) | ||
Property, plant and mine development, net | (39) | (41) | ||
Investments in subsidiaries | (21,776) | (21,496) | ||
Deferred income tax assets | (490) | (490) | ||
Long-term intercompany receivable | (2,674) | (2,888) | ||
Total assets | (42,219) | (41,698) | ||
Liabilities | ||||
Intercompany payable | (17,240) | (16,783) | ||
Current liabilities | (17,240) | (16,783) | ||
Deferred income tax liabilities | (490) | (490) | ||
Long-term intercompany payable | (2,713) | (2,929) | ||
Total liabilities | (20,443) | (20,202) | ||
Equity | ||||
Newmont stockholders’ equity | (20,066) | (19,845) | ||
Noncontrolling interests | (1,710) | (1,651) | ||
Total equity | (21,776) | (21,496) | ||
Total liabilities and equity | $ (42,219) | $ (41,698) |
Commitments and Contingencies -
Commitments and Contingencies - Environmental Matters (Details) - USD ($) $ in Millions | Jun. 30, 2015 | Dec. 31, 2014 | Jun. 30, 2014 | Dec. 31, 2013 |
Accrual for future reclamation costs | ||||
Reclamation and remediation obligations | $ 1,717 | $ 1,689 | $ 1,622 | $ 1,611 |
Current portion of reclamation and remediation liabilities | 64 | 83 | ||
Continuing Operations - Non-Operating | ||||
Accrual for future reclamation costs | ||||
Reclamation and remediation obligations | 170 | 192 | ||
Continuing Operations - Operating | ||||
Accrual for future reclamation costs | ||||
Reclamation and remediation obligations | 1,547 | 1,497 | ||
Other current liabilities | ||||
Accrual for future reclamation costs | ||||
Current portion of reclamation and remediation liabilities | 64 | 83 | ||
Other current liabilities | Continuing Operations - Operating | ||||
Accrual for future reclamation costs | ||||
Current portion of reclamation and remediation liabilities | $ 38 | $ 42 | ||
Reclamation and remediation liabilities | Continuing Operations - Non-Operating | ||||
Accrual for future reclamation costs | ||||
Range of reclamation and remediation liabilities upper limit | 131.00% | |||
Range of reclamation and remediation liabilities lower limit | 1.00% |
Commitments and Contingencie100
Commitments and Contingencies - Ross Adams Mine Site (Details) - USD ($) $ in Millions | Jun. 05, 2007 | Jun. 30, 2015 |
Newmont USA Limited | ||
Loss contingencies | ||
Percent ownership of Newmont USA by Newmont Mining Corporation | 100.00% | 100.00% |
Corporate and other | Newmont USA Limited | Environmental remediation | Ross-Adams Mine Site | ||
Loss contingencies | ||
Damages sought | $ 0.3 |
Commitments and Contingencie101
Commitments and Contingencies - Other Legal Matters (Details) $ in Millions | 1 Months Ended | ||||||
Apr. 30, 2008plaintiff | May. 31, 2002plaintiff | Aug. 31, 2000PEN | Aug. 31, 2000USD ($) | Jun. 30, 2000communitykg | Jun. 30, 2015plaintiff | Dec. 31, 2011complaint | |
Newmont Mining Corporation | Minera Yanacocha S.R.L. | |||||||
Loss contingencies | |||||||
Newmont equity interest ownership (as a percent) | 51.35% | ||||||
Minera Yanacocha S.R.L. | Yanacocha | Choropampa | |||||||
Loss contingencies | |||||||
Elemental mercury spilled (in kilograms) | kg | 151 | ||||||
Minera Yanacocha S.R.L. | Yanacocha | Environmental remediation | Choropampa | |||||||
Loss contingencies | |||||||
Fine paid under protest for spill of elementary mercury | PEN 1,740,000 | $ 0.5 | |||||
Number of communities impacted by incident | community | 3 | ||||||
Minera Yanacocha S.R.L. | Yanacocha | Environmental remediation | Cajamarca, Peru local courts | Choropampa | |||||||
Loss contingencies | |||||||
Remaining plaintiffs in the Yanacocha matters | 200 | ||||||
Minera Yanacocha S.R.L. | Yanacocha | Environmental remediation | Cajamarca, Peru local courts | Settled Litigation | Minimum | Choropampa | |||||||
Loss contingencies | |||||||
Loss contingency number of plaintiffs | 900 | ||||||
Number of settlement agreements entered into by Yanacocha | 350 | ||||||
Minera Yanacocha S.R.L. | Yanacocha | Environmental remediation | Cajamarca, Peru local courts | Pending Litigation | Choropampa | |||||||
Loss contingencies | |||||||
Number of complaints to nullify settlements | complaint | 23 |
Commitments and Contingencie102
Commitments and Contingencies - Administrative Matters (Details) - 6 months ended Jun. 30, 2015 - Minera Yanacocha S.R.L. - Yanacocha $ in Millions | USD ($)item$ / item |
OEFA | Minimum | |
Loss contingencies | |
Number of units with alleged violations | 0 |
OEFA | Maximum | |
Loss contingencies | |
Number of units with alleged violations | 100,120 |
Water Authority | Minimum | |
Loss contingencies | |
Number of units with alleged violations | 0 |
Water Authority | Maximum | |
Loss contingencies | |
Number of units with alleged violations | 20,000 |
Environmental remediation | |
Loss contingencies | |
Potential fine for each unit alleged violations (in dollars per unit) | $ / item | 0.00130 |
Environmental remediation | Minimum | |
Loss contingencies | |
Potential fine for alleged violations | $ | $ 0 |
Environmental remediation | Maximum | |
Loss contingencies | |
Potential fine for alleged violations | $ | $ 156 |
Commitments and Contingencie103
Commitments and Contingencies - PT Newmont Nusa Tenggara (Details) - PTNNT - Batu Hijau | May. 06, 2011 | Dec. 17, 2010 | Feb. 28, 2010 | Dec. 31, 2006 | Dec. 31, 2010 | Mar. 31, 2010 | Dec. 31, 2010 | Jun. 30, 2015 | Mar. 31, 2009 | Mar. 31, 2008 | Mar. 31, 2007 | Mar. 31, 2006 |
Newmont Mining Corporation | ||||||||||||
Loss contingencies | ||||||||||||
Newmont equity interest ownership (as a percent) | 31.50% | |||||||||||
Newmont Mining Corporation | Batu Hijau | Required divestiture | ||||||||||||
Loss contingencies | ||||||||||||
Interest to be offered (as a percent) | 3.00% | 7.00% | ||||||||||
Aggregate interest to be offered | 31.00% | |||||||||||
Newmont Mining Corporation | Batu Hijau | Required divestiture | Minimum | ||||||||||||
Loss contingencies | ||||||||||||
Percentage of ownership shares by the Indonesian government or Indonesian nationals in PTNNT | 51.00% | 44.00% | 23.00% | |||||||||
Newmont Mining Corporation | Batu Hijau | Required divestiture | Ministry of Energy and Mineral Resources | ||||||||||||
Loss contingencies | ||||||||||||
Sale and transfer of shares of interest percent | 7.00% | |||||||||||
Newmont Mining Corporation | Batu Hijau | Required divestiture | PIP | ||||||||||||
Loss contingencies | ||||||||||||
Sale and transfer of shares of interest percent | 7.00% | |||||||||||
PTNNT - Batu Hijau | Batu Hijau | Required divestiture | Minimum | ||||||||||||
Loss contingencies | ||||||||||||
Percentage of ownership shares by the Indonesian government or Indonesian nationals in PTNNT | 37.00% | 30.00% | ||||||||||
PTPI | ||||||||||||
Loss contingencies | ||||||||||||
Other company ownership percentage in affiliate | 20.00% | |||||||||||
PTMDB | Batu Hijau | Required divestiture | ||||||||||||
Loss contingencies | ||||||||||||
PTMDB's ownership in PTNNT | 24.00% |
Commitments and Contingencie104
Commitments and Contingencies - NWG Investments Inc v. Fronteer Gold Inc. (Details) - USD ($) $ in Millions | Sep. 24, 2012 | Oct. 11, 2007 | Sep. 30, 2007 |
Other North America | Pending Litigation | |||
Loss contingencies | |||
Uranium mining moratorium term | 3 years | ||
NWG Investments Inc. | NewWest Gold | |||
Loss contingencies | |||
Other company ownership percentage in affiliate | 86.00% | ||
NWG Investments Inc. | Other North America | NWG New York Summons and Complaint | Pending Litigation | |||
Loss contingencies | |||
Damages sought | $ 750 | ||
NWG Investments Inc. | Jacob Safra | |||
Loss contingencies | |||
Ownership interest held by majority shareholder of parent of acquiree entity | 100.00% | ||
Fronteer | Aurora | |||
Loss contingencies | |||
Ownership interest in Aurora Energy Resources Inc. held by Fronteer | 47.00% |
Commitments and Contingencie105
Commitments and Contingencies - Royalty Obligations (Details) - Corporate and other $ in Millions | 6 Months Ended | |
Jun. 30, 2015USD ($)location | Dec. 31, 2014USD ($) | |
Other commitments | ||
Letters of credit surety bonds and bank guarantees, outstanding | $ 1,962 | $ 1,865 |
Minimum Royalty Obligations | ||
Minimum Royalty Obligations | ||
Number of mines subject to minimum royalty obligations | location | 1 | |
Minimum royalty obligation for remainder of current year | $ 30 | |
Minimum royalty obligation in year two | 32 | |
Minimum royalty obligation in year three | 32 | |
Minimum royalty obligation in year four | 32 | |
Minimum royalty obligation in year five | 32 | |
Minimum royalty obligation in total thereafter | $ 190 |