Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2018 | Feb. 14, 2019 | Jun. 30, 2018 | |
Document And Entity Information | ||||
Entity Registrant Name | NEWMONT MINING CORP /DE/ | |||
Entity Central Index Key | 1,164,727 | |||
Document Type | 10-K | |||
Document Period End Date | Dec. 31, 2018 | |||
Amendment Flag | false | |||
Document Fiscal Year Focus | 2,018 | |||
Document Fiscal Period Focus | FY | |||
Current Fiscal Year End Date | --12-31 | |||
Entity Well Known Seasoned Issuer | Yes | |||
Entity Voluntary Filers | No | |||
Entity Current Reporting Status | Yes | |||
Entity Filer Category | Large Accelerated Filer | |||
Entity Shell Company | false | |||
Entity Small Business | false | |||
Entity Emerging Growth Company | false | |||
Entity Public Float | $ 20,052,691,396 | |||
Entity Common Stock, Shares Outstanding | 532,669,445 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Sales (Note 4) | $ 2,048 | $ 1,726 | $ 1,662 | $ 1,817 | $ 1,935 | $ 1,879 | $ 1,875 | $ 1,690 | $ 7,253 | $ 7,379 | $ 6,680 | ||
Costs and expenses | |||||||||||||
Costs applicable to sales (1) | 4,093 | 4,062 | 3,738 | ||||||||||
Depreciation and amortization | 1,215 | 1,261 | 1,213 | ||||||||||
Advanced projects, research and development | 153 | 143 | 134 | ||||||||||
General and administrative | 244 | 237 | 233 | ||||||||||
Impairment of long-lived assets (Note 6) | $ 1,003 | 369 | 14 | 1,003 | |||||||||
Other expense, net (Note 7) | 29 | 32 | 58 | ||||||||||
Total costs and expenses | 6,463 | 6,120 | 6,696 | ||||||||||
Other income (expense): | |||||||||||||
Other income, net (Note 8) | 155 | 54 | 69 | ||||||||||
Interest expense, net of capitalized interest of $37, $22 and $33, respectively | (207) | (241) | (273) | ||||||||||
Total other income (expense) | (52) | (187) | (204) | ||||||||||
Income (loss) before income and mining tax and other items | 738 | 1,072 | (220) | ||||||||||
Income and mining tax benefit (expense) (Note 9) | (386) | (1,127) | (579) | ||||||||||
Equity income (loss) of affiliates (Note 10) | (33) | (16) | (13) | ||||||||||
Net income (loss) from continuing operations | 319 | (71) | (812) | ||||||||||
Net income (loss) from discontinued operations (Note 11) | 61 | (38) | (131) | ||||||||||
Net income (loss) | 380 | (109) | (943) | ||||||||||
Net loss (income) attributable to noncontrolling interests: | |||||||||||||
Continuing operations (Note 12) | (39) | (5) | 586 | ||||||||||
Discontinued operations (Note 11) | (272) | ||||||||||||
Net loss (income) attributable to noncontrolling interests, net of tax | (39) | (5) | 314 | ||||||||||
Net income (loss) attributable to Newmont stockholders: | |||||||||||||
Net income (loss) attributable to Newmont stockholders | 2 | (145) | 292 | 192 | (542) | 206 | 175 | 47 | 341 | (114) | (629) | ||
Continuing operations | (3) | (161) | 274 | 170 | (549) | 213 | 190 | 70 | 280 | (76) | (226) | ||
Discontinued operations | $ 5 | $ 16 | $ 18 | $ 22 | $ 7 | $ (7) | $ (15) | $ (23) | $ 61 | $ (38) | $ (403) | ||
Net income (loss) per common share, Basic (Note 13): | |||||||||||||
Continuing operations (in dollars per share) | $ (0.31) | $ 0.52 | $ 0.32 | $ (1.02) | $ 0.39 | $ 0.36 | $ 0.13 | $ 0.53 | $ (0.14) | $ (0.43) | |||
Discontinued operations (in dollars per share) | 0.04 | 0.03 | 0.04 | 0.01 | (0.01) | (0.03) | (0.04) | 0.11 | (0.07) | (0.76) | |||
Net income (loss) per common share, basic (in dollars per share) | (0.27) | 0.55 | 0.36 | (1.01) | 0.38 | 0.33 | 0.09 | 0.64 | (0.21) | (1.19) | |||
Net income (loss) per common share - Diluted: | |||||||||||||
Continuing operations (in dollars per share) | (0.31) | 0.51 | 0.32 | (1.02) | 0.39 | 0.36 | 0.13 | 0.53 | (0.14) | (0.42) | |||
Discontinued operations (in dollars per share) | 0.04 | 0.03 | 0.04 | 0.01 | (0.01) | (0.03) | (0.04) | 0.11 | (0.07) | (0.76) | |||
Net income (loss) per common share, diluted (in dollars per share) | (0.27) | 0.54 | 0.36 | (1.01) | 0.38 | 0.33 | 0.09 | 0.64 | (0.21) | (1.18) | |||
Cash dividends declared per common share | $ 0.140 | $ 0.140 | $ 0.140 | $ 0.140 | $ 0.075 | $ 0.075 | $ 0.050 | $ 0.050 | $ 0.56 | $ 0.25 | $ 0.125 | ||
Costs applicable to sales, excluding Depreciation, Exploration and Remediation Expense | |||||||||||||
Costs and expenses | |||||||||||||
Costs applicable to sales (1) | [1] | $ 4,093 | $ 4,062 | $ 3,738 | |||||||||
Reclamation and remediation | |||||||||||||
Costs and expenses | |||||||||||||
Costs applicable to sales (1) | 163 | 192 | 169 | ||||||||||
Exploration | |||||||||||||
Costs and expenses | |||||||||||||
Costs applicable to sales (1) | $ 197 | $ 179 | $ 148 | ||||||||||
[1] | Excludes Depreciation and amortization and Reclamation and remediation. |
CONSOLIDATED STATEMENTS OF OP_2
CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
CONSOLIDATED STATEMENTS OF OPERATIONS | |||
Capitalized interest | $ 37 | $ 22 | $ 33 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) | |||
Net income (loss) | $ 380 | $ (109) | $ (943) |
Other comprehensive income (loss): | |||
Change in marketable securities, net of tax of $-, $- and $-, respectively | 1 | (15) | (58) |
Foreign currency translation adjustments | (12) | 12 | 2 |
Change in pension and other post-retirement benefits, net of tax of $2, $(8), and $9, respectively | (9) | 15 | (16) |
Change in fair value of cash flow hedge instruments, net of tax of $(4), $(15), and $(31), respectively | 9 | 30 | 72 |
Other comprehensive income (loss) | (11) | 42 | |
Comprehensive income (loss) | 369 | (67) | (943) |
Comprehensive income (loss) attributable to: | |||
Comprehensive income (loss) attributable to Newmont stockholders | 330 | (72) | (629) |
Noncontrolling interests | 39 | 5 | (314) |
Comprehensive income (loss) | $ 369 | $ (67) | $ (943) |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (Parentheticals) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) | |||
Change in pension and other post-retirement benefits, tax | $ 2 | $ (8) | $ 9 |
Change in fair value of cash flow hedge instruments, tax | $ (4) | $ (15) | $ (31) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Operating activities: | ||||
Net income (loss) | $ 380 | $ (109) | $ (943) | |
Adjustments: | ||||
Depreciation and amortization | 1,215 | 1,261 | 1,213 | |
Stock-based compensation (Note 15) | 76 | 70 | 70 | |
Reclamation and remediation | 146 | 180 | 158 | |
Loss (income) from discontinued operations (Note 11) | (61) | 38 | 131 | |
Deferred income taxes (Note 9) | 150 | 797 | 450 | |
Impairment of long-lived assets (Note 6) | 369 | 14 | 1,003 | |
Impairment of investments (Note 8) | 42 | 0 | 0 | |
Gain on asset and investment sales, net (Note 8) | (100) | (23) | (108) | |
Write-downs of inventory and stockpiles and ore on leach pads | 271 | 212 | 298 | |
Other operating adjustments | 92 | 91 | 138 | |
Net change in operating assets and liabilities (Note 26) | (743) | (392) | (493) | |
Net cash provided by (used in) operating activities of continuing operations | 1,837 | 2,139 | 1,917 | |
Net cash provided by (used in) operating activities of discontinued operations (1) | [1] | (10) | (15) | 869 |
Net cash provided by (used in) operating activities | 1,827 | 2,124 | 2,786 | |
Investing activities: | ||||
Additions to property, plant and mine development | (1,032) | (866) | (1,133) | |
Acquisitions, net | (140) | |||
Purchases of investments | (39) | (130) | (15) | |
Proceeds from sales of other assets | 24 | 5 | 9 | |
Proceeds from sales of investments | 18 | 35 | 195 | |
Proceeds from sale of Batu Hijau | 920 | |||
Other | (8) | 10 | (4) | |
Net cash provided by (used in) investing activities of continuing operations | (1,177) | (946) | (28) | |
Net cash provided by (used in) investing activities of discontinued operations | (46) | |||
Net cash provided by (used in) investing activities | (1,177) | (946) | (74) | |
Financing activities: | ||||
Dividends paid to common stockholders | (301) | (134) | (67) | |
Distributions to noncontrolling interests | (160) | (178) | (3) | |
Funding from noncontrolling interests | 100 | 94 | 66 | |
Repurchases of common stock | (98) | |||
Proceeds from sale of noncontrolling interests | 48 | |||
Payments for withholding of employee taxes related to stock-based compensation | (40) | (14) | (5) | |
Payments on lease and other financing obligations | (4) | (5) | (5) | |
Repayment of debt | (379) | (1,307) | ||
Acquisition of noncontrolling interests | (48) | (19) | ||
Dividends to noncontrolling interests | (146) | |||
Other | (4) | |||
Net cash provided by (used in) financing activities of continuing operations | (455) | (668) | (1,486) | |
Net cash provided by (used in) financing activities of discontinued operations | (331) | |||
Net cash provided by (used in) financing activities | (455) | (668) | (1,817) | |
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (4) | 6 | 2 | |
Net change in cash, cash equivalents and restricted cash | 191 | 516 | 897 | |
Less net cash provided by (used in) Batu Hijau discontinued operations | 503 | |||
Net change in cash and cash equivalents excluding cash and cash equivalents related to Batu Hijau discontinued operations | 191 | 516 | 394 | |
Cash, cash equivalents and restricted cash at beginning of period | 3,298 | 2,782 | 2,388 | |
Cash, cash equivalents and restricted cash at end of period | 3,489 | 3,298 | 2,782 | |
Discontinued operations disposed of by sale | ||||
Adjustments: | ||||
Loss (income) from discontinued operations (Note 11) | (61) | 38 | 131 | |
PTNNT | Discontinued operations disposed of by sale | ||||
Adjustments: | ||||
Loss (income) from discontinued operations (Note 11) | 81 | |||
Net cash provided by (used in) operating activities of discontinued operations (1) | 880 | |||
Investing activities: | ||||
Net cash provided by (used in) investing activities of discontinued operations | (46) | |||
Financing activities: | ||||
Net cash provided by (used in) financing activities of discontinued operations | (331) | |||
Holloway Mining Company | Discontinued operations disposed of by sale | ||||
Adjustments: | ||||
Net cash provided by (used in) operating activities of discontinued operations (1) | (10) | (12) | (11) | |
Holt Royalty obligation | Holloway Mining Company | Discontinued operations disposed of by sale | ||||
Adjustments: | ||||
Loss (income) from discontinued operations (Note 11) | $ (57) | $ 44 | $ 50 | |
[1] | Net cash provided by operating activities of discontinued operations includes $(10), $(12) and $(11) for 2018, 2017 and 2016, respectively, related to the Holt royalty obligation, all of which were paid out of Cash and cash equivalents, $(3) related to closing costs for the sale of Batu Hijau that were paid in 2017 and $880 related to the operating activities of Batu Hijau in 2016. For additional information regarding our discontinued operations, including cash flows from Batu Hijau, see Note 11. |
CONSOLIDATED STATEMENTS OF CA_2
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parentheticals) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Supplemental Cash Flow Information [Abstract] | ||||
Net cash provided by (used in) operating activities of discontinued operations (1) | [1] | $ (10) | $ (15) | $ 869 |
Reconciliation of cash, cash equivalents and restricted cash: | ||||
Cash and cash equivalents | 3,397 | 3,259 | 2,756 | |
Restricted cash included in Other current assets | $ 1 | $ 1 | $ 1 | |
Location of current restricted cash | us-gaap:OtherAssetsCurrent | us-gaap:OtherAssetsCurrent | us-gaap:OtherAssetsCurrent | |
Restricted cash included in Other noncurrent assets | $ 91 | $ 38 | $ 25 | |
Location of noncurrent restricted cash | us-gaap:OtherAssetsNoncurrent | us-gaap:OtherAssetsNoncurrent | us-gaap:OtherAssetsNoncurrent | |
Total cash, cash equivalents and restricted cash | $ 3,489 | $ 3,298 | $ 2,782 | |
Discontinued operations disposed of by sale | Holloway Mining Company | ||||
Supplemental Cash Flow Information [Abstract] | ||||
Net cash provided by (used in) operating activities of discontinued operations (1) | $ (10) | (12) | (11) | |
Discontinued operations disposed of by sale | PTNNT | ||||
Supplemental Cash Flow Information [Abstract] | ||||
Closing costs included in Net cash provided by operating activities of discontinued operations | $ (3) | |||
Net cash provided by (used in) operating activities of discontinued operations (1) | $ 880 | |||
[1] | Net cash provided by operating activities of discontinued operations includes $(10), $(12) and $(11) for 2018, 2017 and 2016, respectively, related to the Holt royalty obligation, all of which were paid out of Cash and cash equivalents, $(3) related to closing costs for the sale of Batu Hijau that were paid in 2017 and $880 related to the operating activities of Batu Hijau in 2016. For additional information regarding our discontinued operations, including cash flows from Batu Hijau, see Note 11. |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
ASSETS | ||
Cash and cash equivalents | $ 3,397 | $ 3,259 |
Trade receivables (Note 4) | 254 | 124 |
Other accounts receivables | 92 | 113 |
Investments (Note 18) | 48 | 62 |
Inventories (Note 19) | 630 | 679 |
Stockpiles and ore on leach pads (Note 20) | 697 | 676 |
Other current assets | 159 | 153 |
Current assets | 5,277 | 5,066 |
Property, plant and mine development, net (Note 21) | 12,258 | 12,338 |
Investments (Note 18) | 271 | 280 |
Stockpiles and ore on leach pads (Note 20) | 1,866 | 1,848 |
Deferred income tax assets (Note 9) | 401 | 549 |
Other non-current assets | 642 | 565 |
Total assets | 20,715 | 20,646 |
LIABILITIES | ||
Debt (Note 22) | 626 | |
Accounts payable | 303 | 375 |
Employee-related benefits (Note 14) | 305 | 309 |
Income and mining taxes payable | 71 | 248 |
Lease and other financing obligations, current (Note 23) | 27 | 4 |
Other current liabilities (Note 24) | 455 | 462 |
Current liabilities | 1,787 | 1,398 |
Debt (Note 22) | 3,418 | 4,040 |
Reclamation and remediation liabilities (Note 5) | 2,481 | 2,345 |
Deferred income tax liabilities (Note 9) | 612 | 595 |
Employee-related benefits (Note 14) | 401 | 386 |
Lease and other financing obligations, noncurrent (Note 23) | 190 | 21 |
Other non-current liabilities (Note 24) | 314 | 342 |
Total liabilities | 9,203 | 9,127 |
Contingently redeemable noncontrolling interest (Note 12) | 47 | |
EQUITY | ||
Common stock - $1.60 par value; Authorized - 750 million shares; Issued and outstanding - 533 million and 533 million shares, respectively | 855 | 855 |
Treasury stock, - 2 million and 1 million shares, respectively | (70) | (30) |
Additional paid-in capital | 9,618 | 9,592 |
Accumulated other comprehensive income (loss) (Note 25) | (284) | (292) |
Retained earnings | 383 | 410 |
Newmont stockholders' equity | 10,502 | 10,535 |
Noncontrolling interests | 963 | 984 |
Total equity | 11,465 | 11,519 |
Total liabilities and equity | $ 20,715 | $ 20,646 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares shares in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
CONSOLIDATED BALANCE SHEETS | ||
Common stock, par value | $ 1.60 | $ 1.60 |
Common stock, shares authorized | 750 | 750 |
Common stock, shares outstanding | 533 | 533 |
Treasury shares | 2 | 1 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY - USD ($) shares in Millions, $ in Millions | AdjustmentsAccumulated Other Comprehensive Income (Loss) | AdjustmentsRetained Earnings | Common Stock | Treasury Stock | Additional Paid-in Capital | Accumulated Other Comprehensive Income (Loss) | Retained Earnings | Noncontrolling Interests | Total |
Balance at beginning of period at Dec. 31, 2015 | $ 847 | $ (11) | $ 9,438 | $ (334) | $ 1,354 | $ 2,924 | $ 14,218 | ||
Balance at beginning of period, shares at Dec. 31, 2015 | 530 | ||||||||
Changes in Equity | |||||||||
Net income (loss) | (629) | (314) | (943) | ||||||
Dividends declared | (67) | (146) | (213) | ||||||
Distributions declared to noncontrolling interests | (21) | (21) | |||||||
Cash calls requested from noncontrolling interests | 81 | 81 | |||||||
Withholding of employee taxes related to stock-based compensation | (5) | (5) | |||||||
Stock-based awards and related share issuances | $ 3 | 67 | 70 | ||||||
Stock-based awards and related share issuances, shares | 1 | ||||||||
Divestiture of noncontrolling interests, net | (1,383) | (1,383) | |||||||
Acquisition of noncontrolling interests | (19) | (19) | |||||||
Balance at end of period at Dec. 31, 2016 | $ 850 | (16) | 9,505 | (334) | 658 | 1,122 | 11,785 | ||
Balance at end of period, shares at Dec. 31, 2016 | 531 | ||||||||
Changes in Equity | |||||||||
Net income (loss) | (114) | 5 | (109) | ||||||
Other comprehensive income (loss) | 42 | 42 | |||||||
Dividends declared | (134) | (134) | |||||||
Distributions declared to noncontrolling interests | (170) | (170) | |||||||
Cash calls requested from noncontrolling interests | 97 | 97 | |||||||
Withholding of employee taxes related to stock-based compensation | $ (14) | (14) | |||||||
Withholding of employee taxes related to stock-based compensation (in shares) | (1) | ||||||||
Stock-based awards and related share issuances | $ 5 | 65 | 70 | ||||||
Stock-based awards and related share issuances, shares | 3 | ||||||||
Acquisition of noncontrolling interests | 22 | (70) | (48) | ||||||
Balance at end of period at Dec. 31, 2017 | $ 855 | $ (30) | 9,592 | (292) | 410 | 984 | $ 11,519 | ||
Balance at end of period, shares at Dec. 31, 2017 | 534 | (1) | 533 | ||||||
Changes in Equity | |||||||||
Cumulative effect adjustment | ASU No. 2016-01 | $ 115 | $ (115) | 115 | ||||||
Cumulative effect adjustment | Accounting Standards Update 201802 [Member] | (96) | 96 | (96) | ||||||
Net income (loss) | $ (1) | ||||||||
Sale of noncontrolling interest | 48 | ||||||||
Contingently redeemable noncontrolling interest, Balance at end of period at Dec. 31, 2018 | 47 | ||||||||
Changes in Equity | |||||||||
Net income (loss) | 341 | 40 | 381 | ||||||
Other comprehensive income (loss) | (11) | (11) | |||||||
Dividends declared | (301) | (301) | |||||||
Distributions declared to noncontrolling interests | (160) | (160) | |||||||
Cash calls requested from noncontrolling interests | 99 | 99 | |||||||
Repurchase and retirement of common stock | $ (4) | (46) | (48) | $ (98) | |||||
Repurchase and retirement of common stock (in shares) | (2) | (2.7) | |||||||
Withholding of employee taxes related to stock-based compensation | $ (40) | $ (40) | |||||||
Withholding of employee taxes related to stock-based compensation (in shares) | (1) | 1 | |||||||
Stock-based awards and related share issuances | $ 4 | 72 | $ 76 | ||||||
Stock-based awards and related share issuances, shares | 3 | ||||||||
Balance at end of period at Dec. 31, 2018 | $ 855 | $ (70) | $ 9,618 | $ (284) | $ 383 | $ 963 | $ 11,465 | ||
Balance at end of period, shares at Dec. 31, 2018 | 535 | (2) | 533 | ||||||
Changes in Equity | |||||||||
Cumulative effect adjustment | Accounting Standards Update 201802 [Member] | $ (96) | $ 96 |
THE COMPANY
THE COMPANY | 12 Months Ended |
Dec. 31, 2018 | |
BASIS OF PRESENTATION | |
THE COMPANY | NOTE 1 THE COMPANY Newmont Mining Corporation and its affiliates and subsidiaries (collectively, “Newmont,” “we,” “us” or the “Company”) predominantly operate in the mining industry, focused on the production of and exploration for gold and copper. The Company has significant assets and/or operations in the United States (“U.S.”), Australia, Peru, Ghana and Suriname. The cash flow and profitability of the Company’s operations are significantly affected by the market price of gold and copper. The prices of gold and copper are affected by numerous factors beyond the Company’s control. References to “A$” refer to Australian currency and “C$” refer to Canadian currency. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2018 | |
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, the Company’s revenue, profitability and future rate of growth are substantially dependent on prevailing prices for gold and copper. 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 the Company’s financial position, results of operations, cash flows, access to capital and on the quantities of reserves that the Company can economically produce. The carrying value of the Company’s Property, plant and mine development, net ; Inventories ; Stockpiles and ore on leach pads ; and Deferred income tax assets are particularly sensitive to the outlook for commodity prices. A decline in the Company’s price outlook from current levels could result in material impairment charges related to these assets. In addition to changes in commodity prices, other factors such as changes in mine plans, increases in costs, geotechnical failures, and changes in social, environmental or regulatory requirements can adversely affect the Company’s ability to recover its investment in certain assets and result in impairment charges. Minera Yanacocha S.R.L. (“Yanacocha”) includes the mining operations at Yanacocha and the Conga project in Peru. Under the current social and political environment, the Company does not anticipate being able to develop Conga for at least the next five years. As a result of the uncertainty surrounding the Conga project, the Company has allocated its development capital to other projects. Should the Company be unable to develop the Conga project, the Company may have to consider other alternatives for the project, which may result in a future impairment charge. The total assets at Conga as of December 31, 2018 and 2017 were $1,621 and $1,650 respectively. Use of Estimates The Company’s Consolidated Financial Statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). The preparation of the Company’s Consolidated Financial Statements requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and the related disclosure of contingent assets and liabilities at the date of the Consolidated Financial Statements and the reported amounts of revenues and expenses during the reporting period. The more significant areas requiring the use of management estimates and assumptions relate to mineral reserves that are the basis for future cash flow estimates utilized in impairment calculations and units-of-production amortization calculations; environmental remediation, reclamation and closure obligations; estimates of recoverable gold and other minerals in stockpile and leach pad inventories; estimates of fair value for certain reporting units and asset impairments (including impairments of long-lived assets and investments); write-downs of inventory, stockpiles and ore on leach pads to net realizable value; post-employment, post-retirement and other employee benefit liabilities; valuation allowances for deferred tax assets; provisional amounts related to income tax effects of newly enacted tax laws; reserves for contingencies and litigation; and the fair value and accounting treatment of financial instruments including marketable securities and derivative instruments. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. Accordingly, actual results will differ from those amounts estimated in these financial statements. Principles of Consolidation The Consolidated Financial Statements include the accounts of Newmont Mining Corporation, more-than-50%-owned subsidiaries that it controls and variable interest entities where it is the primary beneficiary. The Company also includes its pro rata share of assets, liabilities and operations for unincorporated joint ventures in which it has an undivided interest. All significant intercompany balances and transactions have been eliminated. The functional currency for the majority of the Company’s operations is the U.S. dollar. The Company follows the Accounting Standards Codification (“ASC”) guidance for identification and reporting of entities over which control is achieved through means other than voting rights. The guidance defines such entities as Variable Interest Entities (“VIEs”). On November 22, 2013, Newmont entered into a Partnership Agreement with Staatsolie Maatschappij Suriname N.V. (“Staatsolie”) (a company wholly owned by the Republic of Suriname). The Partnership Agreement gave Staatsolie the option to participate in the Merian gold mine (“Merian”) for up to 25% of the partnership. Staatsolie exercised that option in November 2014. At December 31, 2018, Newmont has a 75.0% ownership in Merian. Newmont has identified Merian as a VIE under ASC guidance for consolidation. The Company has determined itself to be the primary beneficiary of this entity, as it is deemed to have a controlling interest over the operations of Merian and has the obligation to absorb losses and the right to receive benefits that are significant to Merian; therefore, the Company consolidates Merian in its financial statements. Cash and Cash Equivalents Cash and cash equivalents consist of all cash balances and highly liquid investments with an original maturity of three months or less. Because of the short maturity of these investments, the carrying amounts approximate their fair value. Cash and cash equivalents are held in overnight bank deposits or are invested in United States Treasury securities and money market securities. Restricted cash is excluded from cash and cash equivalents and is included in other current or non-current assets. Restricted cash is held primarily for the purpose of settling asset retirement obligations. Stockpiles, Ore on Leach Pads and Inventories As described below, costs that are incurred in or benefit the productive process are accumulated as stockpiles, ore on leach pads and inventories. Stockpiles, ore on leach pads and inventories are carried at the lower of average cost or net realizable value. Net realizable value represents the estimated future sales price of the product based on current and long-term metals prices, less the estimated costs to complete production and bring the product to sale. Write-downs of stockpiles, ore on leach pads and inventories to net realizable value are reported as a component of Costs applicable to sales and Depreciation and amortization . The current portion of stockpiles, ore on leach pads and inventories is determined based on the expected amounts to be processed within the next 12 months and utilize the short-term metal price assumption in estimating net realizable value. Stockpiles, ore on leach pads and inventories not expected to be processed within the next 12 months are classified as non-current and utilize the long-term metal price assumption in estimating net realizable value. The major classifications are as follows: Stockpiles Stockpiles represent ore that has been extracted from the mine and is available for further processing. Mine sequencing may result in mining material at a faster rate than can be processed. The Company generally processes the highest ore grade material first to maximize metal production; however, a blend of gold ore stockpiles may be processed to balance hardness and/or metallurgy in order to maximize throughput and recovery. Processing of lower grade stockpiled ore may continue after mining operations are completed. Sulfide copper ores are subject to oxidation over time which can reduce expected future recoveries. Stockpiles are measured by estimating the number of tons added and removed from the stockpile, the number of contained ounces or pounds (based on assay data) and the estimated metallurgical recovery rates (based on the expected processing method). Stockpile ore tonnages are verified by periodic surveys. Costs are added to stockpiles based on current mining costs incurred including applicable overhead and depreciation and amortization relating to mining operations and removed at each stockpile’s average cost per recoverable unit as material is processed. Stockpiles are recorded at the lower of average cost or net realizable value, and carrying values are evaluated at least quarterly. Net realizable value represents the estimated future sales price based on short-term and long-term metals price assumptions, less estimated costs to complete production and bring the product to sale. Ore on Leach Pads Ore on leach pads represent ore that has been mined and placed on leach pads where a solution is applied to the surface of the heap to dissolve the gold or extract the copper. The recovery of copper from leach pads is further described below in the Copper Cathode Inventory section. Costs are added to ore on leach pads based on current mining costs, including applicable depreciation and amortization relating to mining operations. Costs are removed from ore on leach pads as ounces are recovered based on the average cost per estimated recoverable ounce of gold or pound of copper on the leach pad. Estimates of recoverable ore on the leach pads are calculated from the quantities of ore placed on the leach pads (measured tons added to the leach pads), the grade of ore placed on the leach pads (based on assay data) and a recovery percentage (based on ore type). In general, leach pads recover between 50% and 95% of the recoverable ounces in the first year of leaching, declining each year thereafter until the leaching process is complete. Although the quantities of recoverable metal placed on the leach pads are reconciled by comparing the grades of ore placed on pads to the quantities of metal actually recovered (metallurgical balancing), the nature of the leaching process inherently limits the ability to precisely monitor inventory levels. As a result, the metallurgical balancing process is constantly monitored and estimates are refined based on actual results over time. Historically, the Company’s operating results have not been materially impacted by variations between the estimated and actual recoverable quantities of metal on its leach pads. Variations between actual and estimated quantities resulting from changes in assumptions and estimates that do not result in write-downs to net realizable value are accounted for on a prospective basis. In-process Inventory In-process inventories represent material that is currently in the process of being converted to a saleable product. Conversion processes vary depending on the nature of the ore and the specific processing facility, but include mill in-circuit, flotation, leach and carbon-in-leach. In-process material is measured based on assays of the material fed into the process and the projected recoveries of the respective processing plants. In-process inventories are valued at the average cost of the material fed into the process attributable to the source material coming from the mines, stockpiles and/or leach pads, plus the in-process conversion costs, including applicable amortization relating to the process facilities incurred to that point in the process. Precious Metals Inventory Precious metals inventories include gold doré and/or gold bullion. Precious metals that result from the Company’s mining and processing activities are valued at the average cost of the respective in-process inventories incurred prior to the refining process, plus applicable refining costs. Copper Cathode Inventory Copper heap leaching is performed on copper oxide ore and enriched copper sulfide ore to produce copper cathodes. Heap leaching is accomplished by stacking uncrushed ore onto synthetically lined pads where it is contacted with a dilute sulfuric acid solution, thus leaching the acid soluble minerals into a copper sulfate solution. The copper sulfate solution is then collected and pumped to the solvent extraction (“SX”) plant. The SX process consists of two steps. During the first step, the copper is extracted into an organic solvent solution. The loaded organic solution is then pumped to the second step where copper is stripped with a strong acid solution before being sent through the electrowinning process. Cathodes produced in electrowinning are 99.99% copper. Copper cathode is produced at the Company’s Phoenix operations by SX and electrowinning. The inventory is valued at the lower of average cost to produce the cathode or net realizable value. Concentrate Inventory Concentrate inventories represent copper and gold concentrate available for shipment or in transit for further processing when the sales process has not been completed. The Company values concentrate inventory at average cost, including an allocable portion of support costs and amortization. Costs are added and removed to the concentrate inventory based on metal in the concentrate and are valued at the lower of average cost or net realizable value. Materials and Supplies Materials and supplies are valued at the lower of average cost or net realizable value. Cost includes applicable taxes and freight. Property, Plant and Mine Development Facilities and Equipment Expenditures for new facilities or equipment and expenditures that extend the useful lives of existing facilities or equipment are capitalized and recorded at cost. Facilities and equipment acquired as a part of a capital lease, build-to-suit or other financing arrangement are capitalized and recorded based on the contractual lease terms. The facilities and equipment are depreciated using the straight-line method at rates sufficient to depreciate such capitalized costs over the estimated productive lives of such facilities. These estimated productive lives do not exceed the related estimated mine lives, which are based on proven and probable reserves. Mine Development Mine development costs include engineering and metallurgical studies, drilling and other related costs to delineate an ore body, the removal of overburden to initially expose an ore body at open pit surface mines and the building of access ways, shafts, lateral access, drifts, ramps and other infrastructure at underground mines. Costs incurred before mineralization is classified as proven and probable reserves are expensed and classified as Exploration or Advanced projects, research and development expense. Capitalization of mine development project costs that meet the definition of an asset begins once mineralization is classified as proven and probable reserves. Drilling and related costs are capitalized for an ore body where proven and probable reserves exist and the activities are directed at obtaining additional information on the ore body or converting mineralized material to proven and probable reserves. All other drilling and related costs are expensed as incurred. Drilling costs incurred during the production phase for operational ore control are allocated to inventory costs and then included as a component of Costs applicable to sales . The cost of removing overburden and waste materials to access the ore body at an open pit mine prior to the production phase are referred to as “pre-stripping costs.” Pre-stripping costs are capitalized during the development of an open pit mine. Where multiple open pits exist at a mining complex utilizing common processing facilities, pre-stripping costs are capitalized at each pit. The removal, production, and sale of de minimis saleable materials may occur during the development phase of an open pit mine and are assigned incremental mining costs related to the removal of that material. The production phase of an open pit mine commences when saleable minerals, beyond a de minimis amount, are produced. Stripping costs incurred during the production phase of a mine are variable production costs that are included as a component of inventory to be recognized in Costs applicable to sales in the same period as the revenue from the sale of inventory. The Company’s definition of a mine and the mine’s production phase may differ from that of other companies in the mining industry resulting in incomparable allocations of stripping costs to deferred mine development and production costs. Other mining companies may expense pre-stripping costs associated with subsequent pits within a mining complex. Other mining companies may capitalize stripping costs incurred in connection with the production phase. Mine development costs are amortized using the units-of-production method based on estimated recoverable ounces or pounds in proven and probable reserves. To the extent that these costs benefit an entire ore body, they are amortized over the estimated life of the ore body. Costs incurred to access specific ore blocks or areas that only provide benefit over the life of that area are amortized over the estimated life of that specific ore block or area. Mineral Interests Mineral interests include acquired interests in production, development and exploration stage properties. Mineral interests are capitalized at their fair value at the acquisition date, either as an individual asset purchase or as part of a business combination. The value of such assets is primarily driven by the nature and amount of mineralized material believed to be contained in such properties. Production stage mineral interests represent interests in operating properties that contain proven and probable reserves. Development stage mineral interests represent interests in properties under development that contain proven and probable reserves. Exploration stage mineral interests represent interests in properties that are believed to potentially contain mineralized material consisting of (i) mineralized material within pits; mineralized material with insufficient drill spacing to qualify as proven and probable reserves; and mineralized material in close proximity to proven and probable reserves; (ii) around-mine exploration potential not immediately adjacent to existing reserves and mineralization, but located within the immediate mine area; (iii) other mine-related exploration potential that is not part of current mineralized material and is comprised mainly of material outside of the immediate mine area; (iv) greenfield exploration potential that is not associated with any other production, development or exploration stage property, as described above; or (v) any acquired right to explore or extract a potential mineral deposit. The Company’s mineral rights generally are enforceable regardless of whether proven and probable reserves have been established. In certain limited situations, the nature of a mineral right changes from an exploration right to a mining right upon the establishment of proven and probable reserves. The Company has the ability and intent to renew mineral interests where the existing term is not sufficient to recover all identified and valued proven and probable reserves and/or undeveloped mineralized material. Impairment of Long-lived Assets The Company reviews and evaluates its long-lived assets for impairment at least annually, or when events or changes in circumstances indicate that the related carrying amounts may not be recoverable. An impairment loss is measured and recorded based on the estimated fair value of the long-lived assets being tested for impairment, and their carrying amounts. Fair value is typically determined through the use of an income approach utilizing estimates of discounted pre-tax future cash flows or a market approach utilizing recent transaction activity for comparable properties. These approaches are considered Level 3 fair value measurements. Occasionally, such as when an asset is held for sale, market prices are used. The Company believes its estimates and models used to determine fair value are similar to what a market participant would use. The estimated undiscounted cash flows used to assess recoverability of long-lived assets and to measure the fair value of the Company’s mining operations are derived from current business plans, which are developed using short-term price forecasts reflective of the current price environment and management’s projections for long-term average metal prices. In addition to short- and long-term metal price assumptions, other assumptions include estimates of commodity-based and other input costs; proven and probable mineral reserves estimates, including the timing and cost to develop and produce the reserves; value beyond proven and probable estimates; estimated future closure costs; and the use of appropriate discount rates. In estimating undiscounted cash flows, assets are grouped at the lowest level for which there are identifiable cash flows that are largely independent of undiscounted cash flows from other asset groups. The Company’s estimates of undiscounted cash flows are based on numerous assumptions and it is possible that actual cash flows may differ significantly from estimates, as actual produced reserves, metal prices, commodity-based and other costs, and closure costs are each subject to significant risks and uncertainties. Investments Management classifies investments at the acquisition date and re-evaluates the classification at each balance sheet date and when events or changes in circumstances indicate that there is a change in the Company’s ability to exercise significant influence. The Company accounts for its investments in entities over which the Company has significant influence, but not control, using the equity method of accounting. The ability to exercise significant influence is presumed when the Company possesses 20% or more of the voting interests in the investee. Other non-current assets . Additionally, the Company has certain marketable equity and debt securities. Marketable equity securities are measured at fair value with any changes in fair value recorded in Other income, net . The Company accounts for its restricted marketable debt securities as available-for-sale securities. Accumulated other comprehensive income (loss) in Total equity , unless such loss is deemed to be other-than-temporary. Declines in fair value that are deemed to be other-than-temporary are charged to Other income, net . Debt The Company carries its Senior Notes at amortized cost. Debt issuance costs and debt premiums and discounts, which are included in Debt , and unrealized gains or losses related to cash flow hedges using treasury rate lock contracts and forward starting swap contracts, which are included in Accumulated other comprehensive income (loss) , are amortized using the effective interest method over the terms of the respective Senior Notes as a component of Interest expense, net within the Consolidated Statements of Operations. When repurchasing its debt, the Company records the resulting gain or loss as well as the accelerated portion of related debt issuance costs, premiums and discounts, and any unrealized gains or losses from the associated treasury rate lock contracts and/or associated forward starting swap contracts, included in Accumulated other comprehensive income (loss) , in Other Income, net . Contingently Redeemable Noncontrolling Interest Certain noncontrolling interests in consolidated entities meet the definition of redeemable financial instruments if the ability to redeem the interest is outside of the control of the consolidating entity. In such cases, these financial instruments are required to be classified outside of permanent equity (referred to as temporary equity). Treasury Stock The Company records repurchases of common shares as Treasury stock at cost and records any subsequent retirements of treasury shares at cost. When treasury shares are retired, the Company’s policy is to allocate the excess of the repurchase price over the par value of shares acquired to both Retained earnings and Additional paid-in capital . The portion allocated to Additional paid-in capital is calculated on a pro rata basis of the shares to be retired and the total shares issued and outstanding as of the date of the retirement. Revenue Recognition Newmont generates revenue by selling gold and copper produced from its mining operations. Refer to Note 3 for further information regarding the Company’s operating segments. The majority of the Company’s Sales come from the sale of refined gold; however, the end product at the Company’s gold operations is generally doré bars. Doré is an alloy consisting primarily of gold but also containing silver and other metals. Doré is sent to refiners to produce bullion that meets the required market standard of 99.95% gold. Under the terms of the Company’s refining agreements, the doré bars are refined for a fee, and the Company’s share of the refined gold and the separately-recovered silver is credited to its bullion account. Gold from doré bars credited to its bullion account is typically sold to banks or refiners. A portion of gold sold from Phoenix in Nevada and Boddington and Kalgoorlie in Australia, is sold in the form of concentrate which includes copper and silver. The Company’s Sales also come from the sale of copper. Copper sales are generally in the form of concentrate, which is sold to smelters for further treatment and refining, and cathode. Copper sold from Boddington in Australia is sold in concentrate form and copper sold from Phoenix in Nevada is sold in either concentrate or cathode form. Generally, if a metal expected to be mined represents more than 10 to 20% of the life of mine sales value of all the metal expected to be mined, co-product accounting is applied. When the Company applies co-product accounting at an operation, revenue is recognized for each co-product metal sold, and shared costs applicable to sales are allocated based on the relative sales values of the co-product metals produced. Generally, if metal expected to be mined is less than the 10 to 20% of the life of mine sales value, by-product accounting is applied. Revenues from by-product sales, which are immaterial, are credited to Costs applicable to sales as a by-product credit. Copper is produced as a co-product at Phoenix and Boddington. Copper and silver is produced as a by-product at certain of the Company’s other operations. Gold Sales from Doré Production The Company recognizes revenue for gold from doré production when it satisfies the performance obligation of transferring gold inventory to the customer, which generally occurs upon transfer of gold bullion credits as this is the point at which the customer obtains the ability to direct the use and obtain substantially all of the remaining benefits of ownership of the asset. The Company generally recognizes the sale of gold bullion credits at the prevailing market price when gold bullion credits are delivered to the customer. The transaction price is determined based on the agreed upon market price and the number of ounces delivered. Payment is due upon delivery of gold bullion credits to the customer’s account. Gold and Copper Sales from Concentrate Production The Company recognizes revenue for gold and copper from concentrate production, net of treatment and refining charges, when it satisfies the performance obligation of transferring control of the concentrate to the customer. This generally occurs as material passes over the vessel's rail at the port of loading based on the date from the bill of lading, as the customer has the ability to direct the use of and obtain substantially all of the remaining benefits from the material and the customer has the risk of loss. Newmont has elected to account for shipping and handling costs for concentrate contracts as fulfillment activities and not as promised goods or services; therefore these activities are not considered separate performance obligations. The Company generally sells gold and copper concentrate based on the future monthly average market price for a future month, dependent on the relevant contract, following the month in which the delivery to the customer takes place. The amount of revenue recognized for concentrates is initially recorded on a provisional basis based on the forward prices for the estimated month of settlement and the Company’s estimated metal quantities based on assay data. The Company’s sales based on a provisional price 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 concentrates at the forward price at the time of sale. The embedded derivative, which does not qualify for hedge accounting, is marked to market through Sales each period prior to final settlement. The Company also adjusts estimated metal quantities used in computing provisional sales using new information and assay data from the smelter as it is received (if any). A provisional payment is generally due upon delivery of the concentrate to the customer. Final payment is due upon final settlement of price and quantity with the customer. The principal risks associated with recognition of sales on a provisional basis include metal price fluctuations and updated quantities between the date the sale is recorded and the date of final settlement. If a significant decline in metal prices occurs, or assay data results in a significant change in quantity between the provisional pricing date and the final settlement date, it is reasonably possible that the Company could be required to return a portion of the provisional payment received on the sale. Copper Sales from Cathode Production The Company recognizes revenue for copper from cathode production when it transfers control of copper cathode to the customer, which occurs when the material is picked up by the carrier. The Company generally sells copper cathode based on the weekly average market price for the week following production. The transaction price is determined based on this agreed upon price and the number of pounds delivered. Payment is due upon final settlement of price and quantity with the customer. Income and Mining Taxes The Company accounts for income taxes using the liability method, recognizing certain temporary differences between the financial reporting basis of the Company’s liabilities and assets and the related income tax basis for such liabilities and assets. This method generates either a net deferred income tax liability or asset for the Company, as measured by the statutory tax rates in effect. The Company derives its deferred income tax charge or benefit by recording the change in either the net deferred income tax liability or asset balance for the year. The financial statement effects of changes in tax law are recorded as discrete items in the period enacted as part of income tax expense or benefit from continuing operations, regardless of the category of income or loss to which the deferred taxes relate. The Company determines if the assessment of a particular income tax effect is “complete.” Those effects for which the accounting is determined to be complete are reported in the enactment period financial statements. For those effects determined to be incomplete, the Company determines whether a reasonable estimate of those effects can be made. If a reasonable estimate can be made, the estimate is recognized as a provisional amount. If a reasonable estimate cannot be made, no effects are recognized as provisional amounts until the first reporting period in which a reasonable estimate can be made. Provisional amounts are updated when additional information becomes available and the evaluation of such information is complete. The Company completes the accounting for all provisional amounts within a measurement period of up to one year from the enactment date. Mining taxes represent state and provincial taxes levied on mining operations and are classified as income taxes. As such, taxes are based on a percentage of mining profits. With respect to the earnings that the Company derives from the operations of its consolidated subsidiaries, in those situations where the earnings are indefinitely reinvested, no deferred taxes have been provided on the unremitted earnings (including the excess of the carrying value of the net equity of such entities for financial reporting purposes over the tax basis of such equity) of these consolidated companies. Newmont’s operations are in multiple jurisdictions where uncertainties arise in the application of complex tax regulations. Some of these tax regimes are defin |
SEGMENT INFORMATION
SEGMENT INFORMATION | 12 Months Ended |
Dec. 31, 2018 | |
SEGMENT INFORMATION | |
SEGMENT INFORMATION | NOTE 3 SEGMENT INFORMATION The Company has organized its operations into four geographic regions. The geographic regions include North America, South America, Australia and Africa and represent the Company’s operating segments. The results of these operating segments are reviewed by the Company’s chief operating decision maker to make decisions about resources to be allocated to the segments and assess their performance. As a result, these operating segments represent the Company’s reportable segments. Notwithstanding this structure, the Company internally reports information on a mine-by-mine basis for each mining operation and has chosen to disclose this information in the following tables. Income (loss) before income and mining tax and other items from reportable segments does not reflect general corporate expenses, interest (except project-specific interest) or income and mining taxes. Intercompany revenue and expense amounts have been eliminated within each segment in order to report on the basis that management uses internally for evaluating segment performance. Newmont’s business activities that are not considered operating segments are included in Corporate and Other. Although they are not required to be included in this footnote, they are provided for reconciliation purposes. Unless otherwise noted, we present only the reportable segments of our continuing operations in the tables below. The financial information relating to the Company’s segments is as follows: Advanced Income (Loss) Costs Depreciation Projects, Research before Income Applicable and and Development and Mining Tax Total Capital Sales to Sales Amortization and Exploration and Other Items Assets Expenditures (1) Years Ended December 31, 2018 Carlin $ 1,173 $ 782 $ 220 $ 34 $ 79 $ 2,242 $ 153 Phoenix: Gold 291 202 47 Copper 85 55 15 Total Phoenix 376 257 62 5 32 899 32 Twin Creeks 457 240 61 12 (146) 877 82 Long Canyon 215 72 76 23 44 1,008 11 CC&V 450 260 83 10 89 853 29 Other North America — — 2 23 (54) 857 15 North America 2,671 1,611 504 107 44 6,736 322 Yanacocha 659 425 108 54 (6) 1,518 119 Merian 677 275 90 13 300 1,036 78 Other South America — — 14 34 (61) 1,640 1 South America 1,336 700 212 101 233 4,194 198 Boddington: Gold 900 571 102 Copper 218 132 24 Total Boddington 1,118 703 126 — 293 2,113 57 Tanami 638 297 75 17 251 902 97 Kalgoorlie 410 232 24 10 170 402 22 Other Australia — — 6 12 (8) 72 6 Australia 2,166 1,232 231 39 706 3,489 182 Ahafo 553 323 105 17 99 1,869 264 Akyem 527 227 151 13 125 966 40 Other Africa — — — 5 (13) 2 — Africa 1,080 550 256 35 211 2,837 304 Corporate and Other — — 12 68 (456) 3,459 13 Consolidated $ 7,253 $ 4,093 $ 1,215 $ 350 $ 738 $ 20,715 $ 1,019 (1) Includes a decrease in accrued capital expenditures of $13; consolidated capital expenditures on a cash basis were $1,032. Advanced Income (Loss) Costs Depreciation Projects, Research before Income Applicable and and Development and Mining Tax Total Capital Sales to Sales Amortization and Exploration and Other Items Assets Expenditures (1) Years Ended December 31, 2017 Carlin $ 1,228 $ 810 $ 224 $ 18 $ 131 $ 2,299 $ 174 Phoenix: Gold 259 182 47 Copper 88 55 15 Total Phoenix 347 237 62 5 30 889 25 Twin Creeks 473 229 64 9 168 1,144 52 Long Canyon 219 59 74 23 63 1,083 10 CC&V 585 290 127 10 156 901 33 Other North America — — 1 26 (29) 676 9 North America 2,852 1,625 552 91 519 6,992 303 Yanacocha 671 504 134 41 (77) 1,420 51 Merian 643 238 91 14 297 967 105 Other South America — — 14 43 (72) 1,661 — South America 1,314 742 239 98 148 4,048 156 Boddington: Gold 981 562 116 Copper 227 108 22 Total Boddington 1,208 670 138 2 369 2,110 80 Tanami 514 251 67 21 181 690 108 Kalgoorlie 458 234 20 9 190 407 21 Other Australia — — 6 8 (37) 54 5 Australia 2,180 1,155 231 40 703 3,261 214 Ahafo 439 268 72 24 70 1,690 181 Akyem 594 272 155 10 152 1,057 26 Other Africa — — 1 6 (13) 1 — Africa 1,033 540 228 40 209 2,748 207 Corporate and Other — — 11 53 (507) 3,597 10 Consolidated $ 7,379 $ 4,062 $ 1,261 $ 322 $ 1,072 $ 20,646 $ 890 (1) Includes an increase in accrued capital expenditures of $24; consolidated capital expenditures on a cash basis were $866. Advanced Income (Loss) Costs Depreciation Projects, Research before Income Applicable and and Development and Mining Tax Total Capital Sales to Sales Amortization and Exploration and Other Items Assets Expenditures (1) Year Ended December 31, 2016 Carlin $ 1,171 $ 782 $ 199 $ 19 $ 160 $ 2,282 $ 173 Phoenix: Gold 246 163 51 Copper 86 89 27 Total Phoenix 332 252 78 1 (11) 923 22 Twin Creeks 555 231 50 8 261 1,132 37 Long Canyon 27 4 5 20 (3) 1,123 119 CC&V 481 211 105 11 147 1,041 59 Other North America — — 1 12 (11) 696 9 North America 2,566 1,480 438 71 543 7,197 419 Yanacocha 792 525 272 35 (1,171) 1,549 83 Merian 117 34 12 24 46 984 221 Other South America — — 14 36 (55) 1,677 — South America 909 559 298 95 (1,180) 4,210 304 Boddington: Gold 973 530 110 Copper 164 126 24 Total Boddington 1,137 656 134 1 328 2,078 65 Tanami 575 238 82 13 241 623 145 Kalgoorlie 467 257 19 5 185 381 20 Other Australia — — 9 8 (25) 63 4 Australia 2,179 1,151 244 27 729 3,145 234 Ahafo 436 313 94 28 (7) 1,739 87 Akyem 590 235 128 8 214 1,240 22 Other Africa — — 1 2 (8) 2 — Africa 1,026 548 223 38 199 2,981 109 Corporate and Other — — 10 51 (511) 3,538 11 Consolidated $ 6,680 $ 3,738 $ 1,213 $ 282 $ (220) $ 21,071 $ 1,077 (1) Includes a decrease in accrued capital expenditures of $56; consolidated capital expenditures on a cash basis were$1,133. Revenues from sales attributed to countries based on the customer’s location were as follows: Years Ended December 31, 2018 2017 2016 United Kingdom $ 5,448 $ 5,521 $ 5,382 Switzerland 677 657 148 Philippines 254 310 283 Korea 237 384 298 Germany 237 168 191 China 144 30 62 Japan 105 87 59 United States 52 91 70 Canada 40 96 124 Other 59 35 63 $ 7,253 $ 7,379 $ 6,680 As gold can be sold through numerous gold market traders worldwide, the Company is not economically dependent on a limited number of customers for the sale of its product. In 2018, sales to JPMorgan Chase were $2,295 (32%), Toronto Dominion Bank were $1,324 (18%) and Standard Chartered were $1,164 (16%) of total gold sales. In 2017, sales to Toronto Dominion Bank were $2,738 (37%) and JPMorgan Chase were $1,400 (19%) of total gold sales. In 2016, sales to Toronto Dominion Bank were $1,818 (27%), JPMorgan Chase were $1,451 (22%), Bank of Nova Scotia were $1,067 (16%) and HSBC were $952 (14%) of total gold sales. The Company sells copper predominantly in the form of copper concentrates which are sold directly to smelters located in Asia and to a lesser extent North America and Europe. The copper concentrates are sold under long-term supply contracts with processing fees based on the demand for these concentrates in the global market place. In Nevada, the Company also produces copper cathode which is sold to one customer in the North American market. Long-lived assets, excluding deferred tax assets, investments and restricted assets, were as follows: At December 31, 2018 2017 United States $ 6,162 $ 6,508 Australia 2,987 2,841 Ghana 2,515 2,414 Peru 2,117 2,040 Suriname 825 835 Other 12 11 $ 14,618 $ 14,649 |
SALES
SALES | 12 Months Ended |
Dec. 31, 2018 | |
SALES | |
Sales | NOTE 4 SALES The following table presents the Company’s Sales by mining operation, product and inventory type: Gold Sales Copper Sales Gold Sales from from Copper Sales from Doré Concentrate Concentrate from Cathode Production Production Production Production Total Sales Years Ended December 31, 2018 Carlin $ 1,173 $ — $ — $ — $ 1,173 Phoenix 127 164 33 52 376 Twin Creeks 457 — — — 457 Long Canyon 215 — — — 215 CC&V 450 — — — 450 North America 2,422 164 33 52 2,671 Yanacocha 659 — — — 659 Merian 677 — — — 677 South America 1,336 — — — 1,336 Boddington 243 657 218 — 1,118 Tanami 638 — — — 638 Kalgoorlie 410 — — — 410 Australia 1,291 657 218 — 2,166 Ahafo 553 — — — 553 Akyem 527 — — — 527 Africa 1,080 — — — 1,080 Consolidated $ 6,129 $ 821 $ 251 $ 52 $ 7,253 Gold Sales Copper Sales Gold Sales from from Copper Sales from Doré Concentrate Concentrate from Cathode Production Production Production Production Total Sales Years Ended December 31, 2017 Carlin $ 1,228 $ — $ — $ — $ 1,228 Phoenix 131 128 41 47 347 Twin Creeks 473 — — — 473 Long Canyon 219 — — — 219 CC&V 576 9 — — 585 North America 2,627 137 41 47 2,852 Yanacocha 671 — — — 671 Merian 643 — — — 643 South America 1,314 — — — 1,314 Boddington 237 744 227 — 1,208 Tanami 514 — — — 514 Kalgoorlie 449 9 — — 458 Australia 1,200 753 227 — 2,180 Ahafo 439 — — — 439 Akyem 594 — — — 594 Africa 1,033 — — — 1,033 Consolidated $ 6,174 $ 890 $ 268 $ 47 $ 7,379 Gold Sales Copper Sales Gold Sales from from Copper Sales from Doré Concentrate Concentrate from Cathode Production Production Production Production Total Sales Year Ended December 31, 2016 Carlin $ 1,171 $ — $ — $ — $ 1,171 Phoenix 106 140 46 40 332 Twin Creeks 555 — — — 555 Long Canyon 27 — — — 27 CC&V 459 22 — — 481 North America 2,318 162 46 40 2,566 Yanacocha 792 — — — 792 Merian 117 — — — 117 South America 909 — — — 909 Boddington 268 705 164 — 1,137 Tanami 575 — — — 575 Kalgoorlie 405 62 — — 467 Australia 1,248 767 164 — 2,179 Ahafo 436 — — — 436 Akyem 590 — — — 590 Africa 1,026 — — — 1,026 Consolidated $ 5,501 $ 929 $ 210 $ 40 $ 6,680 The following table details the receivables included within Trade receivables : At December 31, At December 31, 2018 2017 Receivables from Sales: Gold sales from doré $ 40 $ — Gold and copper sales from concentrate production 211 Copper sales from cathode production 3 Total receivables from Sales $ 254 $ The impact to Sales from revenue initially recognized in previous periods due to the changes in the final pricing is an increase (decrease) of $-, $23 and $19 and the impact to Sales from changes in quantities resulting from assays is an increase (decrease) of $1, $- and $(10) for the years ended December 31, 2018, 2017 and 2016, respectively. The following tables summarize the impacts of adopting ASC 606 on the Company’s Consolidated Financial Statements for the year ended December 31, 2018: Year Ended December 31, 2018 Balance without Effect of Adoption Condensed Consolidated Statement of Operations As Reported Change of ASC 606 Sales $ 7,253 $ (48) $ 7,205 Costs applicable to sales $ 4,093 $ (34) $ 4,059 Depreciation and amortization $ 1,215 $ (5) $ 1,210 Income (loss) before income and mining tax and other items $ 738 $ (9) $ 729 Income and mining tax benefit (expense) $ (386) $ 1 $ (385) Net income (loss) $ 380 $ (8) $ 372 Net income (loss) attributable to Newmont stockholders: Continuing operations $ 280 $ (8) $ 272 Discontinued operations 61 — 61 $ 341 $ (8) $ 333 Net income (loss) per common share Basic: Continuing operations $ 0.53 $ (0.01) $ 0.52 Discontinued operations 0.11 — 0.11 $ 0.64 $ (0.01) $ 0.63 Diluted: Continuing operations $ 0.53 $ (0.01) $ 0.52 Discontinued operations 0.11 — 0.11 $ 0.64 $ (0.01) $ 0.63 Year Ended December 31, 2018 Balance without Effect of Adoption Condensed Consolidated Statement of Cash Flows As Reported Change of ASC 606 Operating activities: Net income (loss) $ 380 $ (8) $ 372 Adjustments: Depreciation and amortization $ 1,215 $ (5) $ 1,210 Net change in operating assets and liabilities $ (743) $ 13 $ (730) Net cash provided by (used in) operating activities of continuing operations $ 1,837 $ — $ 1,837 At December 31, 2018 Balance without Effect of Adoption Condensed Consolidated Balance Sheet As Reported Change of ASC 606 Trade receivables $ 254 $ (48) $ 206 Inventories $ 630 $ 39 $ 669 Total assets $ 20,715 $ (9) $ 20,706 Income and mining taxes payable $ 71 $ (1) $ 70 Total liabilities $ 9,203 $ (1) $ 9,202 Retained earnings $ 383 $ (8) $ 375 Newmont stockholders' equity $ 10,502 $ (8) $ 10,494 Total equity $ 11,465 $ (8) $ 11,457 Total liabilities and equity $ 20,715 $ (9) $ 20,706 |
RECLAMATION AND REMEDIATION
RECLAMATION AND REMEDIATION | 12 Months Ended |
Dec. 31, 2018 | |
RECLAMATION AND REMEDIATION ABSTRACT | |
RECLAMATION AND REMEDIATION | NOTE 5 RECLAMATION AND REMEDIATION The Company’s mining and exploration activities are subject to various domestic and international 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 to protect public health and the 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 current legal and regulatory requirements. The Company’s Reclamation and remediation expense consisted of: Years Ended December 31, 2018 2017 2016 Reclamation adjustments $ 33 $ 51 $ 80 Reclamation accretion 99 93 66 Total reclamation expense 132 144 146 Remediation adjustments 26 44 19 Remediation accretion 5 4 4 Total remediation expense 31 48 23 $ 163 $ 192 $ 169 In 2018, reclamation adjustments primarily related to increased water management costs for operations no longer in production at Yanacocha, a revision in the closure plan for Lone Tree, resulting in increased monitoring costs, and increased water management costs for operations no longer in production at Carlin. In 2017, reclamation adjustments primarily related to revisions in the closure plan for the Rain mine, which is a non-operating site that is part of the Carlin mine complex. In 2016, reclamation adjustments primarily related to a revision in Yanacocha’s closure plan which resulted in an increase in reclamation expense related to operations no longer in production. In December 2016, the Company completed a comprehensive study of the Yanacocha long-term mining and closure plans as part of the requirement to submit an updated closure plan to Peruvian regulators every five years. As a result, the Company recorded an increase to the reclamation obligation at Yanacocha of $429. This increase to the reclamation obligation resulted in an increase to the recorded asset retirement cost asset of $351 related to the producing portions of the mine and a non-cash charge to reclamation expense for the quarter ended December 31, 2016 of $78 related to the areas of Yanacocha’s operations no longer in production. The increase to the reclamation obligation was primarily due to higher estimated long-term water management costs, heap leach earthworks and related support activities. There were minimal changes to the updated closure plan in 2017 prior to submitting to Peruvian regulators in September 2017. The regulators completed their review and approved the updated closure plan in November 2017. In 2018, remediation adjustments related to updated assumptions for future water management costs at the Idarado remediation site, increased costs for project activities at the Woodcutters remediation site, and increased water management costs at the Resurrection remediation site. In 2017, remediation adjustments were primarily related to increased water management and monitoring costs at the Resurrection and San Luis remediation sites, as well as increased costs for project activities at the Midnite mine and Dawn mill sites. In 2016, remediation adjustments related to increased costs for project activities at the Resurrection, Con Mine, and Idarado remediation sites. The following is a reconciliation of Reclamation and remediation obligations: Reclamation Remediation Total Balance at January 1, 2017 $ 1,913 $ 312 $ 2,225 Additions, changes in estimates and other 172 32 204 Payments and other (34) (44) (78) Accretion expense 93 4 97 Balance December 31, 2017 2,144 304 2,448 Additions, changes in estimates and other 106 9 115 Payments and other (33) (39) (72) Accretion expense 99 5 104 Balance December 31, 2018 $ 2,316 $ 279 $ 2,595 The current portion of reclamation was $65 and $60 at December 31, 2018 and 2017, respectively, and is included in Other current liabilities . The current portion of remediation was $49 and $43 at December 31, 2018 and 2017, respectively, and is included in Other current liabilities . At December 31, 2018 and 2017, $2,316 and $2,144, respectively, were accrued for reclamation obligations relating to operating and formerly operating properties. The Company is also involved in several matters concerning environmental remediation obligations associated with former, primarily historic, mining activities. Generally, these matters concern developing and implementing remediation plans at the various sites involved. At December 31, 2018 and 2017, $279 and $304, respectively, were accrued for such environmental remediation obligations. 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 40% greater or 0% lower than the amount accrued at December 31, 2018. These amounts are included in Other current liabilities and Reclamation and remediation liabilities . 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. Included in Other non-current assets at December 31, 2018 and 2017, are $42 and $38, respectively, of non-current restricted cash held for purposes of settling asset retirement obligations. Of the amount in 2018, $32 is related to the Ahafo and Akyem mines in Ghana, Africa, $8 is related to the Con mine in Yellowknife, NWT, Canada, and $2 is related to the San Jose Reservoir in Yanacocha, Peru. Of the amount in 2017, $25 is related to the Ahafo and Akyem mines, $6 is related to the Con mine, $6 is related to the San Jose Reservoir and $1 is related to the Midnite mine site. Included in Other non-current assets at December 31, 2018 and 2017, are $57 and $64, respectively, of non-current restricted investments, which are legally pledged for purposes of settling reclamation and remediation obligations. Of the amount in 2018, $31 is related to the Midnite mine site, $21 is related to the San Jose Reservoir, $5 is related to various locations in Nevada. Of the amount in 2017, $42 is related to the Midnite mine site, $17 is related to the San Jose Reservoir, $5 is related to various locations in Nevada. |
IMPAIRMENT OF LONG-LIVED ASSETS
IMPAIRMENT OF LONG-LIVED ASSETS | 12 Months Ended |
Dec. 31, 2018 | |
IMPAIRMENT OF LONG-LIVED ASSETS | |
IMPAIRMENT OF LONG-LIVED ASSETS | NOTE 6 IMPAIRMENT OF LONG-LIVED ASSETS Years Ended December 31, 2018 2017 2016 North America $ 366 $ — $ 1 South America — 4 1,002 Australia — 6 — Africa 2 — — Corporate and Other 1 4 — $ 369 $ 14 $ The 2018 impairments were primarily related to certain exploration properties of $331 and Emigrant, within the Carlin complex, of $35, both reported in the North America segment. The Company determined that an impairment indicator existed at certain North American exploration properties, due to the Company’s decision to focus on advancing other projects, and at Emigrant, due to a change in the mine plan that resulted in a significant decrease in mine life. In addition to the impairment of long-lived assets at Emigrant, the Company also recorded an adjustment to the carrying value of the ore on leach pads resulting from the change in mine plan, impacting Costs applicable to sales and Depreciation and amortization by $22 and $7, respectively. As a result of the impairment indicators, recoverability tests were performed and the Company concluded the Property, plant and mine development, net at certain North American exploration properties and Emigrant was impaired. The Company measured the impairment at the North American exploration properties using the market approach. The Company measured the impairment at Emigrant by comparing the total fair value of existing operations using the income approach. Refer to Note 16, Fair Value Accounting, for detail of the assumptions used in the determination of the fair value of the long-lived assets tested for impairment. The 2017 impairments related to assets in South America, Australia and Corporate. The 2016 impairments were primarily related to Yanacocha, reported in the South America segment. The Company determined that an impairment indicator existed as the Company completed a comprehensive study of the Yanacocha long-term mining and closure plans as part of the requirement to submit an updated closure plan to Peruvian regulators every five years. As a result of the impairment indicator, a recoverability test was performed and the Company concluded the Property, plant and mine development, net at Yanacocha was impaired. The Company measured the impairment by comparing the total fair value of existing operations using the income approach and the fair value of exploration potential using the income and market approach to the carrying value of the corresponding assets. Refer to Note 16, Fair Value Accounting, for detail of the assumptions used in the determination of the fair value of the long-lived assets tested for impairment. As a result, a non-cash impairment charge of $1,003 was recorded during the fourth quarter of 2016. For further information regarding management’s assessment of the Yanacocha closure plan, see Note 5. |
OTHER EXPENSE, NET
OTHER EXPENSE, NET | 12 Months Ended |
Dec. 31, 2018 | |
OTHER EXPENSE, NET | |
OTHER EXPENSE, NET | NOTE 7 OTHER EXPENSE, NET Years Ended December 31, 2018 2017 2016 Restructuring and other $ 20 $ 14 $ 32 Acquisition cost adjustments — 2 10 Other 9 16 16 $ 29 $ 32 $ 58 Restructuring and other . Restructuring and other represents certain costs associated with severance, legal and other settlements for all periods presented. The costs also include system integration costs during 2016 related to our acquisition of CC&V in August 2015. Acquisition cost adjustments. Acquisition cost adjustments represent net adjustments to the contingent consideration and related liabilities associated with the acquisition of the final 33.33% interest in Boddington in June 2009 for all periods presented. |
OTHER INCOME, NET
OTHER INCOME, NET | 12 Months Ended |
Dec. 31, 2018 | |
OTHER INCOME, NET. | |
OTHER INCOME, NET | NOTE 8 OTHER INCOME, NET Years Ended December 31, 2018 2017 2016 Gain on asset and investment sales, net $ 100 $ 23 $ 108 Interest 56 28 11 Change in fair value of marketable equity securities (50) — — Foreign currency exchange, net 42 (28) (9) Impairment of investments (42) — — Insurance proceeds 25 13 — Loss on debt repayment — — (55) Other 24 18 14 $ 155 $ 54 $ 69 Gain on asset and investment sales, net. In June 2018, the Company exchanged certain royalty interests carried at cost for cash consideration, an equity ownership in Maverix Metals Inc. ("Maverix") and warrants in Maverix, resulting in a pre-tax gain of $100. For additional information regarding this transaction, see Note 18. In June 2017, the Company exchanged its interest in the Fort á la Corne joint venture for equity ownership in Shore Gold Inc., resulting in a pre-tax gain of $15. In March 2016, the Company sold its investment in Regis Resources Ltd. (“Regis”) for $184, resulting in a pre-tax gain of $103. The cost of the investment sold was determined using the specific identification method. Foreign currency exchange, net. Although the majority of the Company’s balances are denominated in U.S. dollars, foreign currency exchange gains (losses) are recognized on balances to be satisfied in local currencies. These balances primarily relate to the timing of payments for employee-related benefits and other current liabilities in Australia, Peru and Suriname. Impairment of investments. In December 2018, the Company recognized investment impairments of $33 and $9 for other-than-temporary declines in value of an equity method investment and a cost method investment, respectively. Insurance proceeds. In September 2018, the Company recorded business interruption insurance proceeds of $25 associated with the East wall slips that occurred in the first half of 2018 at Kalgoorlie. In June 2017, the Company recorded business interruption insurance proceeds of $13 associated with the heavy rainfall at Tanami during the first quarter of 2017. Loss on debt repayment. In 2016, the Company recorded charges of $55 from the debt tender offer on its 2019 Senior Notes and 2039 Senior Notes in March 2016 and the extinguishment of its 2022 Senior Notes and associated forward starting swaps, reclassified from Other comprehensive income (loss) , in November 2016. |
INCOME AND MINING TAXES
INCOME AND MINING TAXES | 12 Months Ended |
Dec. 31, 2018 | |
INCOME AND MINING TAXES | |
INCOME AND MINING TAXES | NOTE 9 INCOME AND MINING TAXES The Company’s Income and mining tax benefit (expense) consisted of: Years Ended December 31, 2018 2017 2016 Current: United States $ (18) $ (40) $ 101 Foreign (218) (290) (230) (236) (330) (129) Deferred: United States (63) (775) (567) Foreign (87) (22) 117 (150) (797) (450) $ (386) $ (1,127) $ (579) The Company’s Income (loss) before income and mining tax and other items consisted of: Years Ended December 31, 2018 2017 2016 United States $ (247) $ 243 $ 65 Foreign 985 829 (285) $ 738 $ 1,072 $ (220) The Company’s Income and mining tax benefit (expense) differed from the amounts computed by applying the United States statutory corporate income tax rate for the following reasons: Years Ended December 31, 2018 2017 2016 Income (loss) before income and mining tax and other items $ 738 $ 1,072 $ (220) U.S. Federal statutory tax rate 21 % $ (155) 35 % $ (375) 35 % $ 77 Reconciling items: Re-measurement due to the Tax Cuts and Jobs Act (2) 14 29 (312) — — Tax restructuring related to the Tax Cuts and Jobs Act (4) 34 38 (394) — — Percentage depletion (7) 49 (8) 81 39 85 Change in valuation allowance on deferred tax assets 24 (175) 7 (80) (225) (497) Rate differential for foreign earnings indefinitely reinvested 15 (111) — — — — Mining and other taxes 9 (63) 4 (41) (28) (61) Uncertain tax position reserve adjustment (5) 34 — (4) 3 7 U.S. tax effect of noncontrolling interest attributable to non-U.S. investees (4) 26 — (1) (100) (219) Tax impact on sale of assets — — — — 16 36 Effect of foreign earnings, net of credits 2 (18) — (4) — — Other 3 (21) — 3 (3) (7) Income and mining tax expense 52 % $ (386) 105 % $ (1,127) (263) % $ (579) Factors that Significantly Impact Effective Tax Rate The Tax Cuts and Jobs Act and SEC Staff Accounting Bulletin 118 During the fourth quarter, the Company completed the analysis for the impact of the Tax Cuts and Jobs Act (“the Act”), enacted on December 22, 2017, within the 12 month timeframe provided under SEC Staff Accounting Bulletin 118. The Company recognized a $45 reduction to the provisional expense, recorded in 2017, in the second quarter. The Company recorded a further and final reduction of $3 in the fourth quarter. The total $48 reduction to the 2017 provisional expense includes a tax benefit of $14 for the re-measurement of deferred tax assets and a tax benefit of $34 relating to the impacts of the tax restructuring the Company undertook in response to the Act. Other Percentage depletion allowances (tax deductions for depletion that may exceed the tax basis in the mineral reserves) are available to the Company under the income tax laws of the United States for operations conducted in the United States or through branches and partnerships owned by U.S. subsidiaries included in the consolidated United States income tax return. These deductions are highly sensitive to the price of gold and other minerals produced by the Company. A valuation allowance is provided for those deferred income 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, we consider estimated future taxable income as well as feasible tax planning strategies in each jurisdiction. If we determine that we will not realize all or a portion of our deferred income tax assets, we will increase our valuation allowance. Conversely, if we determine that we 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. During the fourth quarter, the Company concluded that it is no longer more likely than not that the Company will realize the benefits of its U.S. net deferred tax assets other than those representing AMT credits. Therefore, the Company has placed a full valuation allowance of $150 on its net U.S. deferred tax assets excluding AMT credits of $26 that are expected to be recovered. In response to the Act, the Company underwent a restructuring of its foreign holdings and now designates its earnings from foreign operations as permanently reinvested. The Company operates in various jurisdictions around the world that have statutory tax rates that are significantly different than those of the U.S. These differences combine to move the overall effective tax rate higher than the U.S. statutory rate. A tax expense of $111 was recorded for 2018 as a result of this foreign rate differential. Mining taxes in Nevada, Peru and Australia represent state and provincial taxes levied on mining operations and are classified as income taxes as such taxes are based on a percentage of mining profits. The uncertain tax position reserve is analyzed on a quarterly basis with the changes impacting the tax expense or balance sheet. In the fourth quarter, a tax benefit of $34 was recognized mainly due to the settlement of a disputed tax position in Canada. The Company consolidates certain subsidiaries of which it does not own 100% of the outstanding equity. However, for tax purposes, the Company is only responsible for the income taxes on the portion of the taxable earnings attributable to its ownership interest of each consolidated entity. Components of the Company's deferred income tax assets (liabilities) are as follows: At December 31, 2018 2017 Deferred income tax assets: Property, plant and mine development $ 1,400 $ 1,350 Inventory 74 74 Reclamation and remediation 543 329 Net operating losses, capital losses and tax credits 1,078 1,276 Investment in partnerships and subsidiaries 121 86 Employee-related benefits 225 254 Derivative instruments and unrealized loss on investments 65 101 Other 186 263 3,692 3,733 Valuation allowances (2,994) (2,815) $ 698 $ 918 Deferred income tax liabilities: Property, plant and mine development $ (740) $ (841) Inventory (135) (64) Reclamation and remediation — (12) Derivative instruments and unrealized gain on investments (5) — Other (29) (47) (909) (964) Net deferred income tax assets (liabilities) $ (211) $ (46) These amounts reflect the classification and presentation that is reported for each tax jurisdiction in which the Company operates. Net deferred income tax assets and liabilities consist of: At December 31, 2018 2017 Non-current deferred income tax assets $ 401 $ 549 Non-current deferred income tax liabilities (612) (595) $ (211) $ (46) Valuation of Deferred Tax Assets The Company assesses the available positive and negative evidence to estimate if sufficient future taxable income will be generated to utilize the existing deferred tax assets. A significant piece of objective negative evidence evaluated was the recent pretax losses and/or expectations of future pretax losses. Such objective evidence limits the ability to consider other subjective evidence such as our projections for future growth. On the basis of this evaluation, a valuation allowance has been recorded in the U.S., Canada and Peru. However, the amount of the deferred tax asset considered realizable could be adjusted if estimates of future taxable income during the carryforward period are increased, if objective negative evidence in the form of cumulative losses is no longer present or if additional weight were given to subjective evidence such as our projections for growth. During 2018, the Company recorded a valuation allowance against its net deferred tax assets in the U.S., excluding the $26 related to AMT credits, of $150. The total valuation allowance on the U.S. deferred tax assets is $1,112 at December 31, 2018, which includes deferred tax assets related to capital losses and foreign tax credits. An additional valuation allowance of $20 on the deferred tax assets in Peru was recognized in 2018. The total valuation allowance on the deferred tax assets in Peru is $655 at December 31, 2018. In prior periods, the Company determined that the realization of deferred tax assets related to certain carry forward amounts such as tax losses and tax pools in Canada and capital losses and capital assets in Australia, do not meet the more likely than not standard. Accordingly, these assets continue to be subject to a valuation allowance. At December 31, 2018, the valuation allowance related to these assets was $1,130. The Company also carries valuation allowances on deferred tax assets in other foreign jurisdictions of $97. The re-measurement of the Company’s deferred tax assets due to the Tax Cuts and Jobs Act also impacted related valuation allowances. Refer to Note 2 for additional risk factors that could impact the Company’s ability to realize the deferred tax assets. Tax Loss Carryforwards, Foreign Tax Credits, and AMT Credits At December 31, 2018 and 2017, the Company had (i) $659 and $498 of net operating loss carry forwards, respectively; and (ii) $677 and $610 of tax credit carry forwards, respectively. At December 31, 2018 and 2017, $516 and $276, respectively, of net operating loss carry forwards are attributable to the U.S., Australia and France for which current tax law provides no expiration period. The remaining net operating loss carry forward in Canada will expire by 2037. Tax credit carry forwards for 2018 and 2017 of $651 and $558, respectively, consist of foreign tax credits available in the United States; substantially all such credits not utilized will expire at the end of 2028. Other credit carry forwards at the end of 2018 and 2017 in the amounts of $26 and $52, respectively, represent alternative minimum tax credits attributable to the Company’s U.S. operations for which the current tax law provides no period of expiration and which will be refunded by the end of 2023. Company’s Unrecognized Tax Benefits At December 31, 2018, 2017 and 2016, the Company had $43, $68 and $68 of total gross unrecognized tax benefits, respectively. A reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows: 2018 2017 2016 Total amount of gross unrecognized tax benefits at beginning of year $ 68 $ 68 $ 62 Additions for tax positions of prior years 1 (27) 48 Additions for tax positions of current year 2 30 — Reductions due to settlements with taxing authorities (28) — (23) Reductions due to lapse of statute of limitations — (3) (19) Total amount of gross unrecognized tax benefits at end of year $ 43 $ 68 $ 68 At December 31, 2018, 2017 and 2016, $11, $72 and $64, respectively, represent the amount of unrecognized tax benefits that, if recognized, would impact the Company’s effective income tax rate. The Company operates in numerous countries around the world and 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 paid the taxes reasonably 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. In December, 2018, the Company reached a settlement with the Canadian Revenue Authority relating to the pre-acquisition transaction of Fronteer Gold, Inc. and subsidiaries for which the Company previously carried an assessment of tax and interest of $55. As a result of the settlement, a tax benefit of $32 was recognized in the quarter. The Ghana Revenue Authority (“GRA”) is in the process of closing out their audit for tax years 2012-2017. No formal income tax assessment has been received to date. Based upon preliminary discussions, differences currently exist on the interpretation of the tax rules relating to the timing of certain deductions and the application of the Company’s investment agreement relating to the computation of the Ghanaian project’s net cash flow. Ongoing discussions are anticipated and the Company will continue to vigorously defend its position through all processes available. The Australian Taxation Office (“ATO”) is conducting a limited review of the Company’s prior year tax returns. The ATO is focused on reviewing an internal reorganization executed in 2011 when Newmont completed a restructure of the shareholding in the Company’s Australian subsidiaries. To date, the Company has responded to inquiries from the ATO and provided them with supporting documentation for the transaction and the Company’s associated tax positions. One aspect of the ATO review relates to an Australian capital gains tax that applies to sales or transfers of stock in certain types of entities. In the fourth quarter of 2017, the ATO notified the Company that it believes the 2011 reorganization is subject to capital gains tax of approximately $83 (including interest and penalties). The Company disputes this conclusion and intends to vigorously defend its position that the transaction is not subject to this tax. In the fourth quarter of 2017, the Company made a $25 payment to the ATO and lodged an Appeal with the Australian Federal Court to preserve its right to contest the ATO conclusions on this matter. The Company reflects this payment as a receivable as it believes that it will ultimately prevail in this dispute. The Company continues to monitor the status of the ATO’s review which it expects to continue into 2019. The Company and/or subsidiaries file income tax returns in the U.S. federal jurisdiction, and various state and foreign jurisdictions. With few exceptions, the Company is no longer subject to U.S. Federal, state and local, and non-U.S. income tax examinations by tax authorities for years before 2012. As a result of (i) statute of limitations that will begin to expire within the next 12 months in various jurisdictions, and (ii) possible settlements of audit-related issues with taxing authorities in various jurisdictions, the Company believes that it is reasonably possible that the total amount of its unrecognized income tax liability will decrease between $5 and $10 in the next 12 months. The Company’s practice is to recognize interest and/or penalties related to unrecognized tax benefits as part of its income and mining tax expense. At December 31, 2018 and 2017, the total amount of accrued income-tax-related interest and penalties included in the Consolidated Balance Sheets was $2 and $19, respectively. During 2018, 2017, and 2016 the Company released $17 and accrued $2 and $3 of interest and penalties, respectively, through the Consolidated Statements of Operations. Other No additional income taxes have been provided for any remaining undistributed foreign earnings not subject to the transition tax, or any additional outside basis difference inherent in these entities, as these amounts continue to be indefinitely reinvested in foreign operations. |
EQUITY INCOME (LOSS) OF AFFILIA
EQUITY INCOME (LOSS) OF AFFILIATES | 12 Months Ended |
Dec. 31, 2018 | |
EQUITY INCOME (LOSS) OF AFFILIATES | |
EQUITY INCOME (LOSS) OF AFFILIATES | NOTE 10 EQUITY INCOME (LOSS) OF AFFILIATES Years Ended December 31, 2018 2017 2016 TMAC Resources Inc. $ (16) $ (6) $ (7) Minera La Zanja S.R.L. (10) (5) — Euronimba Ltd. (7) (5) (6) $ $ $ TMAC Resources Inc. At December 31, 2018, Newmont held a 28.64% interest in TMAC Resources Inc. (“TMAC”). Refer to Note 18 for additional information. Minera La Zanja S.R.L. At December 31, 2018, Newmont held a 46.94% interest in Minera La Zanja, S.R.L. (“La Zanja”), a gold mine near the city of Cajamarca, Peru. The remaining interest is held by Compañia de Minas Buenaventura, S.A.A. (“ Buenaventura”). The mine commenced operations in September 2011 and is operated by Buenaventura. Euronimba Ltd. At December 31, 2018, Newmont held a 45% interest in Euronimba Ltd. (“Euronimba”), with the remaining interests held by BHP Billiton (45%) and Areva (10%). Euronimba owns 95% of the Nimba iron ore project located in the Republic of Guinea. Maverix Metals Inc. At December 31, 2018, Newmont held a 27.85% interest in Maverix. During the year ended December 31, 2018, there was nominal income. Refer to Note 8 and Note 18 for additional information. |
DISCONTINUED OPERATIONS
DISCONTINUED OPERATIONS | 12 Months Ended |
Dec. 31, 2018 | |
DISCONTINUED OPERATIONS | |
DISCONTINUED OPERATIONS | NOTE 11 DISCONTINUED OPERATIONS The details of our Net income (loss) from discontinued operations, net of tax are set forth below: Years Ended December 31, 2018 2017 2016 Holt royalty obligation $ 57 $ (44) $ (50) Batu Hijau contingent consideration and other 4 6 — Batu Hijau operations — — 514 Loss on sale of Batu Hijau — — (595) Net income (loss) from discontinued operations $ 61 $ (38) $ (131) The Holt Royalty Obligation Discontinued operations include a retained royalty obligation (“Holt”) to Holloway Mining Company. Holloway Mining Company, which owned the Holt-McDermott property, was sold to St. Andrew Goldfields Ltd. (“St. Andrew”) in 2006. St. Andrew was acquired by Kirkland Lake Gold Ltd. (formerly known as Kirkland Lake Gold Inc.) in January 2016. In 2009, the Superior Court issued a decision finding Newmont Canada Corporation (“Newmont Canada”) liable for a royalty on production from Holt, which Newmont Canada appealed. In May 2011, the Ontario Court of Appeal upheld the Superior Court ruling finding Newmont liable for the royalty obligation, which equals 0.013% of net smelter returns multiplied by the quarterly average gold price, minus a 0.013% of net smelter returns. There is no cap on the royalty and it will increase or decrease with changes in gold price, discount rate, and gold production scenarios. Refer to Note 16 for additional information on the Holt royalty. At December 31, 2018 and 2017, the estimated fair value of the Holt royalty obligation was $161 and $243, respectively. Changes to the estimated fair value resulting from periodic revaluations are recorded to Net income (loss) from discontinued operations, net of tax. For the years ended 2018, 2017 and 2016, the Company recorded a gain (loss) of $57, $(44) and $(50), net of tax benefit (expense) of $(15), $24 and $19, respectively, related to the Holt royalty obligation. During 2018, 2017 and 2016, the Company paid $10, $12 and $11, respectively, related to the Holt royalty obligation. The Batu Hijau Transaction On November 2, 2016, Nusa Tenggara Partnership B.V. (owned 56.25% by the Company and 43.75% by Nusa Tenggara Mining Corporation, majority owned by Sumitomo Corporation) completed the sale and purchase agreement with PT Amman Mineral Internasional (“PTAMI”) to sell its 56% ownership interest in PTNNT, which operated the Batu Hijau copper and gold mine in Indonesia. In addition, NVL (USA) Limited (“NVL”), a wholly owned subsidiary of the Company, (i) sold a loan made to PT Pukuafu Indah (“PTPI”), secured by PTPI’s 17.8% interest in PTNNT, to PTAMI, and (ii) consented to PT Indonesia Masabaga Investama (“PTIMI”) selling its 2.2% interest in PTNNT to PTAMI with sale proceeds applied toward repayment of an NVL loan to PTIMI. Through these transactions, Newmont effectively sold its 48.5% economic interest in PTNNT to PTAMI and has no remaining interest. The sales proceeds received by the Company for its 48.5% economic interest in PTNNT includes $920 in cash attributable to Newmont that was received, as well as contingent payments totaling up to $403 attributable to Newmont. The contingent payments include (i) a Metal Price Upside deferred payment of up to $133, (ii) an Elang Development deferred payment of $118 and (iii) a Contingent Payment of up to $152. The contingent payment amounts are determined based on certain metal price, shipment or project development criteria, as described below. The Metal Price Upside contingent payment of up to $133 is payable for any quarter in which the London Metal Exchange (“LME”) quarterly average copper price exceeds $3.75 per pound. It is calculated as 30% of the product of (i) the difference between the LME quarterly average copper price and $3.75 and (ii) 96.5% of the total pounds of copper contained in shipments of mineral products mined or produced from Batu Hijau that arrived in a buyers’ or customers’ designated port for delivery during the previous quarter. The Elang Development deferred payment totaling $118 is payable no later than the first anniversary of the first shipment of any form of saleable copper, gold or silver product produced from the Elang development area. The Contingent Payment of up to $152 is payable (i) as a payment of $76 if in any year after 2022 in which there is production from Phase 7 of the Batu Hijau mine and the LME annual average copper price is $2.75 or more per pound and (ii) if the full Contingent Payment amount has not already been paid, a payment of $76 in any year in which the LME annual average copper price in respect to such year is $3.25 or more per pound and after both the second anniversary of the first shipment of concentrate (or any other form of saleable copper, gold or silver product) produced from the Elang development area and December 31, 2023. The Contingent Payment and the Elang Development deferred payment deeds are derivatives under ASC 815 and were recorded at fair value of $26 and $23 as of December 31, 2018 and 2017, respectively. Changes to the estimated fair value resulting from periodic revaluations are recorded net of tax to Net income (loss) from discontinued operations . For the years ended December 31, 2018, 2017 and 2016, the Company recorded a gain (loss) of $2, $6 and $-, net, of tax benefit (expense) of $(1), $(4) and $-, respectively, related to the contingent consideration. For further information about the valuation of the Batu Hijau Contingent Consideration, see Note 16. Newmont recognized a loss on sale of $595 in 2016, calculated using the gross cash proceeds of $920 and certain contingent payments deemed to be derivatives, less the carrying value of the PTNNT disposal group and selling costs. Net income (loss) from discontinued operations, net of tax in the Consolidated Statements of Operations that relates to Batu Hijau consists of the following: Year Ended 2016 Sales $ 1,668 Costs and expenses: Costs applicable to sales (1) 668 Depreciation and amortization 139 Reclamation and remediation 12 Advanced projects, research and development 2 General and administrative 10 Other expense (income), net (1) 830 Interest expense, net (15) Income (loss) before income and mining tax and other items 823 Income and mining tax benefit (expense) (309) Net income (loss) from discontinued operations 514 Loss on sale of Batu Hijau, net of tax (595) (81) Net loss (income) attributable to noncontrolling interests (272) Net income (loss) from discontinued operations attributable to Newmont stockholders $ (353) (1) Excludes Depreciation and amortization and Reclamation and remediation. The Consolidated Statements of Comprehensive Income (Loss) were not impacted by discontinued operations as PTNNT did not have any Other comprehensive income (loss) . Cash flows from Batu Hijau consisted of the following: Year Ended 2016 Net cash provided by (used in) operating activities $ 880 Net cash provided by (used in) investing activities (46) Net cash provided by (used in) financing activities (331) Net cash provided by (used in) Batu Hijau discontinued operations $ 503 During the second quarter and third quarter of 2016, the Company paid $140 and $190, respectively, extinguishing the PTNNT revolving credit facility. |
NET INCOME (LOSS) ATTRIBUTABLE
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | 12 Months Ended |
Dec. 31, 2018 | |
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | |
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | NOTE 12 NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS FROM CONTINUING OPERATIONS Years Ended December 31, 2018 2017 2016 Merian $ 71 $ 69 $ 10 Yanacocha (1) (32) (63) (595) Other — (1) (1) $ 39 $ 5 $ (586) (1) Included in Yanacocha is $1 loss attributable to the Contingently redeemable noncontrolling interest for the year ended December 31, 2018. Newmont has a 75.0% economic interest in Suriname Gold Project C.V. (“Merian”), with the remaining interests held by Staatsolie Maatschappij Suriname N.V. (“Staatsolie”), a company wholly owned by the Republic of Suriname. Newmont consolidates Merian, through its wholly-owned subsidiary, Newmont Suriname LLC., in its Consolidated Financial Statements as the primary beneficiary of Merian, which is a variable interest entity. In December 2017, Yanacocha repurchased a 5% ownership interest from International Finance Corporation, which resulted in Newmont’s ownership in Yanacocha increasing from 51.35% to 54.05%, with the remaining interests held by Buenaventura (which increased from 43.65% to 45.95%). In June 2018, Yanacocha sold a 5% ownership interest to Summit Global Management II VB, a subsidiary of Sumitomo Corporation (“Sumitomo”), in exchange for $48 in cash, which resulted in Newmont’s and Buenaventura’s ownership returning to 51.35% and 43.65%, respectively. Under the terms of the transaction, Sumitomo has the option to require Yanacocha to repurchase the interest for $48 if the Yanacocha Sulfides project does not adequately progress by June 2022 or if the project is approved with an incremental rate of return below a contractually agreed upon rate. Consequently, Sumitomo’s interest has been classified outside of permanent equity as Contingently redeemable noncontrolling interest on the Consolidated Balance Sheets. Under the terms of the sales agreement, the cash paid by Sumitomo at closing has been placed in escrow for repayment in the event the option is exercised. The Company continues to consolidate Yanacocha in its Consolidated Financial Statements under the voting interest model. The following summarizes the assets and liabilities of Merian, (including noncontrolling interests): At December 31, 2018 2017 Current assets: Cash and cash equivalents $ 40 $ 27 Trade receivables 38 — Inventories 82 79 Stockpiles and ore on leach pads 35 21 Other current assets (1) 5 6 200 133 Non-current assets: Property, plant and mine development, net 766 769 Other non-current assets (2) 4 8 Total assets $ 970 $ 910 Current liabilities: Accounts payable $ 23 $ 22 Other current liabilities (3) 27 28 50 50 Non-current liabilities: Reclamation and remediation liabilities 25 17 Other non-current liabilities (4) 1 1 Total liabilities $ 76 $ 68 (1) Other current assets include other accounts receivable, prepaid assets and other current assets. (2) Other non-current assets include intangibles, stockpiles and ore on leach pads. (3) Other current liabilities include employee-related benefits and other current liabilities. (4) Other non-current liabilities include employee related benefits. Placeholder |
NEWMONT EQUITY AND NET INCOME (
NEWMONT EQUITY AND NET INCOME (LOSS) PER COMMON SHARE | 12 Months Ended |
Dec. 31, 2018 | |
NET INCOME (LOSS) PER COMMON SHARE | |
NEWMONT EQUITY AND NET INCOME (LOSS) PER COMMON SHARE | NOTE 13 NEWMONT EQUITY AND NET INCOME (LOSS) PER COMMON SHARE Newmont Common Stock In September 2018, Newmont filed a shelf registration statement on Form S-3 under which it can issue an indeterminate number or amount of common stock, preferred stock, debt securities, guarantees of debt securities and warrants from time to time at indeterminate prices, subject to the limitations of the Delaware General Corporation Law, our certification of incorporation and our bylaws. It also includes the ability to resell an indeterminate amount of common stock, preferred stock and debt securities from time to time upon exercise of warrants or conversion of convertible securities. Net Income (Loss) per Common Share Basic income (loss) 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 (loss) per common share is computed similarly except that weighted average common shares is increased to reflect all dilutive instruments, including employee stock awards and convertible debt instruments. The dilutive effects of Newmont’s dilutive securities are calculated using the treasury stock method and only those instruments that result in a reduction in income per share are included in the calculation. Years Ended December 31, 2018 2017 2016 Net income (loss) attributable to Newmont stockholders: Continuing operations $ 280 $ (76) $ (226) Discontinued operations 61 (38) (403) $ 341 $ (114) $ (629) Weighted average common shares (millions): Basic 533 533 530 Effect of employee stock-based awards 2 2 2 Diluted 535 535 532 Net income (loss) per common share attributable to Newmont stockholders: Basic: Continuing operations $ 0.53 $ (0.14) $ (0.43) Discontinued operations 0.11 (0.07) (0.76) $ 0.64 $ (0.21) $ (1.19) Diluted: Continuing operations $ 0.53 $ (0.14) $ (0.42) Discontinued operations 0.11 (0.07) (0.76) $ 0.64 $ (0.21) $ (1.18) The Company reported a loss from continuing operations attributable to Newmont stockholders for the years ended December 31, 2017 and 2016. Therefore, the potentially dilutive effects at December 31, 2017 and 2016 were not included in the computation of diluted loss per common share attributable to Newmont stockholders because their inclusion would have been anti-dilutive to the computation. During the year ended December 31, 2018, the Company repurchased and retired approximately 2.7 million shares of its common stock for $98, of which approximately 0.7 million shares related to common stock that was held by participants in the Retirement Savings Plan of Newmont and Retirement Savings Plan for hourly-Rated Employees of Newmont. During the year ended December 31,2018, the Company withheld 1.0 million shares for payments of employee withholding taxes related to the vesting of stock awards. In July 2007, Newmont issued $575 of Convertible Senior Notes due in 2017 that, if converted, may have had a dilutive effect on the Company’s weighted average number of common shares. The effect of contingently convertible instruments on diluted earnings per share was calculated under the net share settlement method in accordance with ASC guidance. The conversion price for the notes exceeded the Company’s share price for the years ended December 31, 2017 and 2016; therefore, no additional shares were included in the computation of diluted weighted average common shares. In July 2017, the 2017 Notes were retired. |
EMPLOYEE-RELATED BENEFITS
EMPLOYEE-RELATED BENEFITS | 12 Months Ended |
Dec. 31, 2018 | |
EMPLOYEE PENSION AND OTHER BENEFIT PLANS | |
EMPLOYEE-RELATED BENEFITS | NOTE 14 EMPLOYEE-RELATED BENEFITS At December 31, 2018 2017 Current: Accrued payroll and withholding taxes $ 263 $ 264 Peruvian workers’ participation and other bonuses 19 22 Employee pension benefits 5 7 Other post-retirement benefit plans 6 5 Accrued severance 2 1 Other employee-related payables 10 10 $ 305 $ 309 Non-current: Employee pension benefits $ 149 $ 129 Accrued severance 163 162 Other post-retirement benefit plans 76 81 Other employee-related payables 13 14 $ 401 $ 386 Pension and Other Benefit Plans The Company provides defined benefit pension plans to eligible employees. Benefits are generally based on years of service and the employee’s average annual compensation. Various international pension plans are based on local laws and requirements. Pension costs are determined annually by independent actuaries and pension contributions to the qualified plans are made based on funding standards established under the Employee Retirement Income Security Act of 1974, as amended. The following tables provide a reconciliation of changes in the plans’ benefit obligations and assets’ fair values for 2018 and 2017: Pension Benefits Other Benefits 2018 2017 2018 2017 Change in benefit obligation: Benefit obligation at beginning of year $ 1,121 $ 1,025 $ 86 $ 84 Service cost 31 29 1 1 Interest cost 41 44 3 4 Actuarial loss (gain) (87) 73 (5) 2 Amendments — — — (2) Settlement payments — (10) — — Benefits paid (43) (40) (3) (3) Projected benefit obligation at end of year $ 1,063 $ 1,121 N/A N/A Accumulated benefit obligation $ 1,038 $ 1,098 $ 82 $ 86 Change in fair value of assets: Fair value of assets at beginning of year $ 985 $ 833 $ — $ — Actual return on plan assets (62) 130 — — Employer contributions 29 72 3 3 Settlement payments — (10) — — Benefits paid (43) (40) (3) (3) Fair value of assets at end of year $ 909 $ 985 $ — $ — Unfunded status, net $ 154 $ 136 $ 82 $ 86 The Company’s qualified pension plans are funded with cash contributions in compliance with Internal Revenue Service rules and regulations. The Company’s non-qualified and other benefit plans are currently not funded, but exist as general corporate obligations. The information contained in the above tables presents the combined funded status of qualified and non-qualified plans. The Company reviews its retirement benefit programs on a regular basis and will consider market conditions and the funded status of its qualified pension plans in determining whether additional contributions are appropriate in calendar year 2019. The following table provides the net pension and other benefits amounts recognized in the Consolidated Balance Sheets at December 31: Pension Benefits Other Benefits 2018 2017 2018 2017 Accrued employee benefit liability $ 154 $ 136 $ 82 $ 86 Accumulated other comprehensive income (loss): Net actuarial gain (loss) Prior service credit Less: Income taxes $ (295) $ (236) $ 33 $ 28 The following table provides components of the net periodic pension and other benefits costs (credits) for the years ended December 31: Pension Benefit Costs (Credits) Other Benefit Costs (Credits) 2018 2017 2016 2018 2017 2016 Service cost $ 31 $ 29 $ 28 $ 1 $ 1 $ 2 Interest cost 41 44 45 3 4 Expected return on plan assets — — — Amortization, net 32 30 25 Net periodic benefit cost (credit) $ 36 $ $ $ (3) $ (2) $ — Settlements — 5 6 — — — Total benefit cost (credit) $ 36 $ 45 $ 46 $ (3) $ (2) $ — The following table provides the components recognized in Other comprehensive income (loss) for the years ended December 31: Pension Benefits Other Benefits 2018 2017 2016 2018 2017 2016 Net loss (gain) $ 42 $ 5 $ 61 $ (6) $ — $ (11) Amortization, net (32) (30) (25) 7 7 6 Settlements — (5) (6) — — — Total recognized in other comprehensive income (loss) $ 10 $ (30) $ 30 $ 1 $ 7 $ (5) Total recognized in net periodic benefit cost and other comprehensive income (loss) $ 46 $ 15 $ 76 $ (2) $ 5 $ (5) Actuarial losses in excess of 10 percent of the greater of the projected benefit obligation or market-related value of plan assets are amortized over the expected average remaining future service period of the current active participants. The expected recognition of amounts in Accumulated other comprehensive income (loss) is $30 and $(8) for net actuarial loss and prior service credit for pension benefits in 2019, respectively, and $(2) and $(6) for net actuarial gain and prior service credit for other benefits in 2019, respectively. The significant assumptions used in measuring the Company’s benefit obligation were mortality assumptions and discount rate. The mortality assumptions used to measure the pension and other post retirement obligation incorporate future mortality improvements from tables published by the Society of Actuaries. In October 2014, the Society of Actuaries released new RP-2014 mortality tables with MP-2014 generational projection scales. These mortality scales have been updated by the Society of Actuaries every year since 2014. The Company has utilized the respective years’ updated generational projection scales to measure the pension and other post retirement obligations as of December 31, 2018 and 2017. Yield curves matching the Company’s benefit obligations were derived using a model based on high quality corporate bond data from Bloomberg. The model develops a discount rate by selecting a portfolio of high quality corporate bonds whose projected cash flows match the projected benefit payments of the plan. The resulting curves were used to identify a weighted average discount rate for the Company of 4.40% and 3.77% at December 31, 2018 and 2017, respectively, based on the timing of future benefit payments. The significant assumptions used in measuring the Company’s net periodic benefit cost were discount rate and expected return on plan assets: Pension Benefits Other Benefits Years Ended December 31, Years Ended December 31, 2018 2017 2016 2018 2017 2016 Weighted average assumptions used in measuring the net periodic benefit cost: Discount rate % % % % % % Expected return on plan assets % % % N/A N/A N/A The expected long-term return on plan assets used for each period in the three years ended December 31, 2018 was determined based on an analysis of the asset returns over multiple time horizons for the Company’s actual plan and for other comparable U.S. corporations. At December 31, 2018, Newmont has estimated the expected long-term return on plan assets to be 6.75% which will be used in determining future net periodic benefit cost. The Company determines the long-term return on plan assets by considering the most recent capital market forecasts, the plans’ current asset allocation and the actual return on plan assets in comparison to the expected return on assets over the last 5 years. The average actual return on plan assets during the 30 years ended December 31, 2018 approximated 7.98%. Newmont has two pension calculations for salaried U.S. employees. The first is a “Final Average Pay” pension calculation which pays a monthly amount to employees in retirement based, in part, on their highest five year eligible earnings and years of credited service. The second is the “Stable Value” calculation which provides a lump sum payment to employees upon retirement. The amount of the lump sum is the total of annual accruals based on the employee’s eligible earnings and years of service during that year. The benefits accrued under the Final Average Pay formula were frozen on June 30, 2014 for those eligible employees. Beginning July 1, 2014, all future accruals are based on the terms and features of the Stable Value calculation. The pension plans employ an independent investment firm which invests the assets of the plans in certain approved funds that correspond to specific asset classes with associated target allocations. The goal of the pension fund investment program is to achieve prudent actuarial funding ratios while maintaining acceptable risk levels. The investment performance of the plans and that of the individual investment firms is measured against recognized market indices. The performance of the pension funds are monitored by an investment committee comprised of members of the Company’s management, which is advised by an independent investment consultant. With the exception of global capital market economic risks, the Company has identified no significant portfolio risks associated to asset classes. The following is a summary of the target asset allocations for 2018 and the actual asset allocation at December 31, 2018. Actual at December 31, Asset Allocation Target 2018 U.S. equity investments 11 % 11 % International equity investments 12 % 11 % World equity fund (U.S. and International equity investments) 20 % 19 % High yield fixed income investments 4 % 4 % Fixed income investments 45 % 47 % Other 8 % 8 % The following table sets forth the Company’s pension plan assets measured at fair value at December 31, 2018 and 2017: Fair Value at December 31, 2018 2017 Plan Assets: Cash and cash equivalents $ 3 $ 3 Commingled funds 906 982 $ 909 $ 985 Cash and cash equivalent instruments are valued based on quoted market prices in active markets, which are primarily invested in money market securities and U.S. Treasury securities. The pension plans’ commingled fund investments are managed by several fund managers and are valued at the net asset value per share for each fund. Although the majority of the underlying assets in the funds consist of actively traded equity securities and bonds, the unit of account is considered to be at the fund level. These funds require less than a month’s notice for redemptions and can be redeemed at the net asset value per share. The assumed health care trend rate used to measure the expected cost of benefits is 6.20% in 2019 and decreases gradually each year to 5.00% in 2023, which is used thereafter. A one percent change in the assumed health care cost trend rates would have the following effects: One-percentage-point One-percentage-point Increase Decrease Effect on total of service and interest cost components of net periodic post-retirement health care benefit cost $ — $ — Effect on the health care component of the accumulated post-retirement benefit obligation $ 2 $ (2) Cash Flows Benefit payments expected to be paid to pension plan participants are as follows: $58 in 2019, $62 in 2020, $67 in 2021, $70 in 2022, $73 in 2023, and $381 in total over the five years from 2024 through 2028. Benefit payments made to other benefit plan participants are expected to be as follows: $5 in 2019, $5 in 2020, $5 in 2021, $6 in 2022, $6 in 2023, and $29 in total over the five years from 2024 through 2028. Savings Plans The Company has two qualified defined contribution savings plans in the U.S.; one that covers salaried and non-union hourly employees and one that covers substantially all hourly union employees. In addition, the Company has one non-qualified supplemental savings plan for salaried employees whose benefits under the qualified plan are limited by federal regulations. When an employee meets eligibility requirements, the Company matches 100% of employee contributions of up to 6% of eligible earnings for the salaried and hourly union plans. Hourly non-union employees receive an additional retirement contribution to the participant’s retirement contribution account equal to an amount which is paid and determined by the Company. Matching contributions are made in cash. |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 12 Months Ended |
Dec. 31, 2018 | |
STOCK-BASED COMPENSATION | |
STOCK BASED COMPENSATION | NOTE 15 STOCK-BASED COMPENSATION The Company has stock incentive plans for directors, executives and eligible employees. Stock incentive awards include restricted stock units (“RSUs”), performance leveraged stock units (“PSUs”), and strategic stock units (“SSUs”). The SSU program was discontinued and no additional SSUs were granted after 2015. The Company issues new shares of common stock to satisfy exercises and vesting under all of its stock incentive awards. Prior to 2012, the Company also granted options to purchase shares of stock with exercise prices not less than fair market value of the underlying stock at the date of grant. At December 31, 2018, 8,932,698 shares were authorized for future stock incentive plan awards. Employee Stock Options Stock options granted under the Company’s stock incentive plans vest over periods of three years or more and are exercisable over a period of time not to exceed 10 years from the grant date. The value of each option award is estimated at the grant date using the Black-Scholes option pricing model. There were no options granted in 2018, 2017 or 2016. At December 31, 2018, there were 800,262 shares outstanding and exercisable, at a weighted average exercise price of $53.29, with a weighted average remaining contractual life of 2 years. Other Stock-Based Compensation The Company grants RSUs to executives and eligible employees. Awards are determined as a target percentage of base salary and, for eligible employees, are subject to a personal performance factor. RSUs vest over periods of three years or more, unless the employee becomes retirement eligible during the vesting period for all grants issued prior to February 2018. Starting with the February 2018 grant, if the employee becomes retirement eligible at any point during the vesting period, the entire award is considered earned after the later of the one-year service period from the grant date or the retirement eligible date. Prior to vesting, holders of RSUs do not have the right to vote the underlying shares; however, executives accrue dividend equivalents on their RSUs, which are paid at the time the RSUs vest. The accrued dividend equivalents are not paid if shares are forfeited. The RSUs are subject to forfeiture risk and other restrictions. Upon vesting, the employee is entitled to receive one share of the Company’s common stock for each restricted stock unit. The Company grants PSUs to eligible executives, based upon certain measures of shareholder return. These measures include absolute shareholder return and relative shareholder return compared to our proxy peer group. The actual number of PSUs that vest are determined at the end of a three year performance period. From 2013 to 2015, the Company granted SSUs to eligible executives, based upon certain measures of adjusted earnings before income tax, depreciation and amortization (“Adjusted EBITDA”), based on a targeted number of shares at the beginning of each performance period. At the end of the performance period, one third of the SSUs are issued without restriction in the form of common stock, and two-thirds of the award is paid in RSUs that vest in equal annual increments at the second and third anniversaries of the start of the performance period. A summary of the status and activity of non-vested RSUs and PSUs for the year ended December 31, 2018 is as follows: RSU PSU Weighted Weighted Average Average Number of Grant-Date Number of Grant-Date Shares Fair Value Shares Fair Value Non-vested at beginning of year 2,616,540 $ 30.39 2,594,570 $ 42.27 Granted 1,171,275 $ 38.84 1,531,842 $ 42.44 Vested (1,460,828) $ 30.23 (1,746,596) $ 41.79 Forfeited (160,289) $ 34.68 (135,785) $ 42.79 Non-vested at end of year 2,166,698 $ 34.75 2,244,031 $ 42.73 The total intrinsic value and fair value of RSUs that vested in 2018, 2017 and 2016 was $46, $43 and $27, respectively. The total intrinsic value and fair value of PSUs that vested in 2018, 2017 and 2016 was $68, $56 and $16, respectively. The total intrinsic value and fair value of SSUs that vested in 2018, 2017 and 2016 was $-, $6 and $7, respectively. Cash flows resulting from excess tax benefits are classified as part of cash flows from operating activities. Excess tax benefits are realized tax benefits from tax deductions for vested RSUs, settled PSUs, and exercised options in excess of the deferred tax asset attributable to stock compensation costs for such equity awards. The Company recorded $3 and $5 in excess tax benefits for the years ended December 31, 2018 and 2017, respectively, and no excess tax benefits for the year ended December 31, 2016. At December 31, 2018, there was $38 and $32 of unrecognized compensation costs related to the unvested RSU and PSUs, respectively. This cost is expected to be recognized over a weighted average period of approximately two years. The Company recognized stock-based compensation as follows: Years Ended December 31, 2018 2017 2016 Stock-based compensation: Restricted stock units $ 45 $ 34 $ 31 Performance leveraged stock units 31 35 34 Strategic stock units — 1 5 $ 76 $ 70 $ 70 |
FAIR VALUE ACCOUNTING
FAIR VALUE ACCOUNTING | 12 Months Ended |
Dec. 31, 2018 | |
FAIR VALUE ACCOUNTING | |
FAIR VALUE ACCOUNTING | NOTE 16 FAIR VALUE ACCOUNTING Fair value accounting establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below: Level 1 Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; Level 2 Quoted prices in markets that are not active, quoted prices for similar assets or liabilities in active markets, quoted prices or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability and model-based valuation techniques (e.g. the Black-Scholes model) for which all significant inputs are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and Level 3 Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity). The following tables set 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 U.S. GAAP, 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 December 31, 2018 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 3,397 $ 3,397 $ — $ — Restricted cash 92 92 — — Trade receivable from provisional gold and copper concentrate sales, net 209 — 209 — Marketable equity securities 127 114 13 — Restricted marketable debt securities 51 21 30 — Restricted other assets 6 6 — — Batu Hijau contingent consideration 26 — — 26 $ 3,908 $ 3,630 $ 252 $ 26 Liabilities: Debt (1) $ 4,229 $ — $ 4,229 $ — Diesel derivative contracts 5 — 5 — Holt royalty obligation 161 — — 161 $ 4,395 $ — $ 4,234 $ 161 Fair Value at December 31, 2017 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 3,259 $ 3,259 $ — $ — Restricted cash 39 39 — — Trade receivable from provisional gold and copper concentrate sales, net 111 — 111 — Diesel derivative contracts 6 — 6 — Marketable equity securities 165 165 — — Restricted marketable debt securities 55 17 38 — Restricted other assets 9 9 — — Batu Hijau contingent consideration 23 — — 23 $ 3,667 $ 3,489 $ 155 $ 23 Liabilities: Debt (1) $ 4,671 $ — $ 4,671 $ — Foreign exchange forward derivative contracts 1 — 1 — Holt royalty obligation 243 — — 243 $ 4,915 $ — $ 4,672 $ 243 (1) Debt, exclusive of capital leases, is carried at amortized cost. The outstanding carrying value was $4,044 and $4,040 at December 31, 2018 and 2017, respectively. The fair value measurement of debt was based on an independent third party pricing source. 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 Note 17. All other fair value disclosures in the above table are presented on a gross basis. The Company’s cash and cash equivalent and restricted cash (which includes restricted cash and cash equivalent) instruments are classified within Level 1 of the fair value hierarchy because they are valued using quoted market prices. The cash and cash equivalent instruments and restricted cash are valued based on quoted market prices in active markets and are primarily money market securities and U.S. Treasury securities. The Company’s net trade receivables from provisional copper and gold concentrate sales, which contain an embedded derivative and are subject to final pricing, are valued using quoted market prices in the futures market for the particular metal. As the contracts themselves are not traded on an exchange, these receivables are classified within Level 2 of the fair value hierarchy. The Company’s derivative instruments consist of fixed forward contracts and zero-cost collar contracts. Valuation models require a variety of inputs, including contractual terms, market prices, forward curves, measures of volatility, and correlations of such inputs. The Company’s derivative contracts are valued based on readily available information, and as such, model inputs can be verified and do not involve significant management judgment. Such instruments are classified within Level 2 of the fair value hierarchy. The Company’s marketable equity securities are valued using quoted market prices in active markets and as such are classified within Level 1 of the fair value hierarchy. The fair value of the marketable equity securities are calculated as the quoted market price of the marketable equity security multiplied by the quantity of shares held by the Company. The Company’s marketable equity securities without readily determinable fair values are primarily comprised of warrants in publicly traded companies and are valued using a Black-Scholes model using quoted market prices in active markets of the underlying securities. As the contracts themselves are not traded on the exchange, these equity securities are classified within Level 2 of the fair value hierarchy. The Company’s restricted marketable debt securities are primarily U.S. government issued bonds and international bonds. The Company’s South American debt securities are classified within Level 1 of the fair value hierarchy, and they are valued using published market prices of actively traded securities. The Company’s North American debt securities are classified within Level 2 of the fair value hierarchy as they are valued using pricing models which are based on prices of similar, actively traded securities. The Company’s restricted other assets primarily consist of bank issued certificate of deposits that have maturities over 90 days and marketable equity securities. Both are classified within Level 1 of the fair value hierarchy as their fair values are based on quoted prices available in active markets. The estimated value of the Batu Hijau contingent consideration was determined using (i) a discounted cash flow model, (ii) a Monte Carlo valuation model to simulate future copper prices using the Company’s long-term copper price, and (iii) estimated production and/or development dates for Batu Hijau Phase 7 and the Elang projects in Indonesia. The contingent consideration is classified within Level 3 of the fair value hierarchy. The estimated fair value of the Holt royalty obligation was determined using (i) a discounted cash flow model, (ii) a Monte Carlo valuation model to simulate future gold prices using the Company’s long-term gold price, (iii) various gold production scenarios from reserve and resource information and (iv) a weighted average discount rate. The royalty obligation is classified within Level 3 of the fair value hierarchy. The following tables set 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 December 31, 2018 and 2017: At December 31, Range/Weighted Description 2018 Valuation technique Unobservable input average Batu Hijau contingent consideration $ 26 Monte Carlo Discount rate 16.60 % Short-term copper price $ 2.80 Long-term copper price $ Holt royalty obligation $ 161 Monte Carlo Discount rate 4.11 % Short-term gold price $ 1,228 Long-term gold price $ 1,300 Gold production scenarios (in 000's of ounces) 302 - 1,544 At December 31, Range/Weighted Description 2017 Valuation technique Unobservable input average Batu Hijau contingent consideration $ 23 Monte Carlo Discount rate 17.50 % Short-term copper price $ 3.09 Long-term copper price $ 3.00 Holt royalty obligation $ 243 Monte Carlo Discount rate 3.32 % Short-term gold price $ 1,275 Long-term gold price $ 1,300 Gold production scenarios (in 000's of ounces) 402 - 1,779 The following tables set forth a summary of changes in the fair value of the Company’s Level 3 financial assets and liabilities: Asset Backed Batu Hijau Holt Commercial Contingent Total Royalty Total Paper (1) Consideration (2) Assets Obligation (2) Liabilities Fair value at December 31, 2016 $ 18 $ 13 $ 31 $ 187 $ 187 Settlements (18) — (18) (12) (12) Revaluation — 10 10 68 68 Fair value at December 31, 2017 $ — $ 23 $ 23 $ 243 $ 243 Settlements — — — (10) (10) Revaluation — 3 3 (72) (72) Fair value at December 31, 2018 $ — $ 26 $ 26 $ 161 $ 161 (1) The gain (loss) recognized is included in Other income, net. (2) The gain (loss) recognized is included in Net income (loss) from discontinued operations . During the third quarter of 2018, the Company performed a non-recurring fair value measurement (i.e. Level 3 of the fair value hierarchy) in connection with recoverability and impairment tests performed at certain North American exploration properties due to the Company’s decision to focus on advancing other projects and at Emigrant due to a change in the mine plan that resulted in a decrease in mine life. The estimated fair value of the North American exploration properties was determined using comparable transactions. The estimated fair value of Emigrant’s existing operations was determined using (i) a country specific discount rate of 5.2%, (ii) a short-term gold price of $1,213 based on the third quarter average of the London PM fix, (iii) a long-term gold price of $1,300, and (iv) updated cash flow information from the Company’s business plan. For further information regarding the impairment charges, see Note 6. During the year ended December 31, 2016, the Company performed a non-recurring fair value measurement (i.e. Level 3 of the fair value hierarchy) in connection with recoverability and impairment tests performed as a result of the updated Yanacocha long-term mining and closure plans and related increases in estimated future closure costs. The estimated fair value of Yanacocha’s existing operations was determined using (i) a country specific discount rate of 7.1%, (ii) a short-term gold price of $1,221 based on the fourth quarter average of the London PM fix, (iii) a long-term gold price of $1,300, and (iv) updated cash flow information from the Company’s business plan. The Company utilized an income and market approach for exploration potential. For further information regarding management’s assessment of the Yanacocha long-term mining and closure plans and the associated impairment charge, see Note 6. . |
DERIVATIVE INSTRUMENTS
DERIVATIVE INSTRUMENTS | 12 Months Ended |
Dec. 31, 2018 | |
DERIVATIVE INSTRUMENTS | |
DERIVATIVE INSTRUMENTS | NOTE 17 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 has and will continue to manage certain risks associated with commodity input costs, interest rates and foreign currencies using the derivative market. Cash Flow Hedges The Company uses hedge programs to mitigate the variability of its operating costs primarily related to diesel price fluctuations. Prior to adoption of ASU No. 2017-12, Newmont’s hedge portfolio consisted of Nevada diesel swaps and Australian dollar foreign currency forwards. Subsequent to the adoption of this ASU, the Company initiated new diesel hedge programs for all of its Nevada sites in North America, Merian in South America and Boddington, Tanami and Kalgoorlie in Australia. The following diesel contracts were transacted for risk management purposes and qualify as cash flow hedges. The unrealized changes in market value of hedging instruments have been recorded in Accumulated other comprehensive income (loss) and are reclassified to income during the period in which the hedged transaction affects earnings, or when the hedged transaction becomes probable of not occurring. The Company had the following diesel derivative contracts at December 31, 2018: Expected Maturity Date 2019 2020 2021 Total/ Diesel Fixed Forward Contracts: North America Diesel gallons (millions) 4 5 2 11 Average rate ($/gallon) 1.87 2.00 2.07 1.97 South America Diesel gallons (millions) — 2 — 2 Average rate ($/gallon) 2.07 1.89 2.05 1.93 Australia Diesel barrels (thousands) 18 93 60 171 Average rate ($/barrel) 85.96 78.86 84.76 81.68 The hedging instruments run through the third quarter of 2021 in South America and the fourth quarter of 2021 in both North America and Austr alia . Derivative Instrument Fair Values The Company had the following derivative instruments designated as cash flow hedges at December 31, 2018 and 2017: Fair Values of Derivative Instruments At December 31, 2018 Other Other Other Other Current Non-current Current Non-current Assets Assets Liabilities Liabilities Diesel derivatives $ — $ — $ 2 $ 3 Fair Values of Derivative Instruments At December 31, 2017 Other Other Other Other Current Non-current Current Non-current Assets Assets Liabilities Liabilities A$ operating fixed forwards $ — $ — $ 1 $ — Diesel derivatives 6 — — — $ 6 $ — $ 1 $ — As of December 31, 2018 and 2017, all hedging instruments held by the Company were subject to enforceable master netting arrangements held with various financial institutions. In general, the terms of the Company’s agreements provide for offsetting of amounts payable or receivable between it and the counterparty, at the election of both parties, for transactions that occur on the same date and in the same currency. The Company’s agreements also provide that in the event of an early termination, the counterparties have the right to offset amounts owed or owing under that and any other agreement with the same counterparty. The Company’s accounting policy is to not offset these positions in its accompanying balance sheets. As of December 31, 2018 and 2017 the potential effect of netting derivative assets against liabilities due to the master netting agreement was not significant. The following table shows the effect of cash flow hedge accounting in the Company’s Consolidated Statements of Operations. (Gain) Loss Recognized from Cash Flow Hedges Years Ended December 31, 2018 2017 2016 Total Costs applicable to sales $ 4,093 $ 4,062 $ 3,738 Amount of (gain) loss reclassified from Accumulated other comprehensive income (loss) into income (loss) from foreign currency hedging instruments $ 13 $ 25 $ Amount of (gain) loss reclassified from Accumulated other comprehensive income (loss) into income (loss) from diesel hedging instruments $ (7) $ 2 $ Total Interest expense, net of capitalized interest $ $ $ Amount of (gain) loss reclassified from Accumulated other comprehensive income (loss) into income (loss) from discontinued interest rate hedging instruments $ 10 $ 10 $ The following table shows the location and amount of gains (losses) reported in the Company’s Consolidated Financial Statements related to the Company’s hedges. Foreign Currency Diesel Fixed Interest Exchange Contracts Forward Contracts Rate Contracts 2018 2017 2016 2018 2017 2016 2018 2017 2016 For the year ended December 31, Cash flow hedging relationships: (Gain) loss recognized in Other comprehensive income (loss) $ — $ (5) $ (3) $ 3 $ (3) $ (9) $ — $ — $ — (Gain) loss reclassified from Accumulated other comprehensive income (loss) into income (loss) $ 13 $ 25 $ 37 $ (7) $ 2 $ 22 $ 10 $ 10 $ 33 Gain (loss) reclassified from Accumulated other comprehensive income (loss) into income (loss) (ineffective portion) $ — $ — $ — $ — $ — $ (1) $ — $ — $ — Over the next 12 months, the Company expects to reclassify from Accumulated other comprehensive income (loss) to income a loss of approximately $11, net of tax, related to unrealized hedge losses. Batu Hijau Contingent Consideration Consideration received by the Company in conjunction with the sale of PTNNT included the Contingent Payment and the Elang Development deferred payment deeds, and are classified as derivatives under ASC 815. See Note 11 for additional information regarding the sale and refer to Note 16 for more information regarding the inputs of the fair value determination. During the years ended December 31, 2018 and 2017, the estimated fair value of these derivatives increased by $3 and $10, to $26 and $23, respectively. This change, net of tax expense of $1 and $4, respectively, was included in Net income (loss) from discontinued operations in the Company’s Consolidated Statements of Comprehensive Income (Loss) and is recorded in Other non-current assets in the Company's Consolidated Balance Sheets. Provisional Gold and Copper Sales The Company’s provisional gold and copper concentrate 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 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. The impact to Sales from revenue recognized due to changes in the final pricing is a (decrease) increase of $(9), $24, and $18 for the years ended December 31, 2018, 2017, and 2016, respectively. At December 31, 2018, Newmont had gold and copper sales of 143,000 ounces and 20 million pounds priced at an average of $1,286 per ounce and $2.71 per pound, respectively, subject to final pricing over the next several months. |
INVESTMENTS
INVESTMENTS | 12 Months Ended |
Dec. 31, 2018 | |
INVESTMENTS | |
INVESTMENTS | NOTE 18 INVESTMENTS At December 31, 2018 Fair Value/ Equity Basis (1) Current: Marketable equity securities $ 48 Non-current: Marketable equity securities: Continental Gold Inc. $ 62 Warrants 13 Other marketable equity securities 4 79 Equity method investments: TMAC Resources Inc. (28.64%) 109 Maverix Metals Inc. (27.85%) 76 Minera La Zanja S.R.L. (46.94%) 7 192 $ 271 Non-current restricted investments: (2) Marketable debt securities (3) $ 51 Other assets 6 $ 57 At December 31, 2017 Cost/Equity Unrealized Fair Value/ Basis Gain Loss Equity Basis (1) Current: Marketable equity securities $ 38 $ 32 $ (8) $ 62 Non-current: Marketable equity securities: Continental Gold Inc. $ 109 $ — $ (8) $ 101 Warrants 7 — — 7 Other marketable equity securities 4 — (2) 2 120 — (10) 110 Other investments 5 — — 5 Equity method investments: TMAC Resources Inc. (28.79%) 115 — — 115 Minera La Zanja S.R.L. (46.94%) 50 — — 50 165 — — 165 $ 290 $ — $ (10) $ 280 Non-current restricted investments: (2) Marketable debt securities $ 58 $ — $ (3) $ 55 Other assets 8 1 — 9 $ 66 $ 1 $ (3) $ 64 (1) Subsequent to the adoption of ASU No. 2016-01 on January 1, 2018, unrealized gains and losses related to marketable equity securities are recorded in Other income, net . Previously, gains and losses related to unrealized marketable equity securities were recorded in Other comprehensive income (loss) . (2) Non-current restricted investments are legally pledged for purposes of settling reclamation and remediation obligations. These amounts are included in Other non-current assets . For further information regarding these amounts see Note 5. (3) There were nominal unrealized gains or losses recorded in Accumulated other comprehensive income (loss) as of December 31, 2018, related to marketable debt securities. In September 2018, Newmont participated in the TMAC offering acquiring approximately 6 million shares at a price of C$4.25 per share for $19, maintaining its approximate 28.6% ownership interest, which is diluted from 2017 due primarily to the exercise of warrants held by other shareholders. In November 2017, Newmont acquired 2 million shares at a price of C$7.00 per share for $12, maintaining its 28.79% ownership interest, which is diluted from 2016 due primarily to the exercise of warrants held by other shareholders. At December 31, 2016, Newmont’s ownership was diluted to 29.00% due primarily to the exercise of warrants held by other shareholders. In June 2018, Newmont sold $11 of restricted marketable debt securities as a result of remediation work completed at the Midnite Mine. In June 2018, Newmont exchanged certain royalty interests for cash consideration of $17, received in July 2018, and non-cash consideration comprised of 60 million common shares in Maverix and 10 million common share warrants in Maverix, with fair values upon closing of $78 and $5, respectively. Following the transaction, Newmont held a 27.98% equity ownership in Maverix. The Company determined the Maverix investment qualified as an equity method investment. In August 2017, Newmont sold approximately two-thirds of its interest in Novo Resources Corp. (“Novo”) for $15, resulting in a pre-tax gain of $5 recorded in Other income, net . Newmont continues to hold approximately 6 million common shares of Novo. The cost of the investment sold was determined using the specific identification method. In June 2017, Newmont exchanged its 31% interest in the Fort á la Corne joint venture in consideration for 54 million common shares and 1 million common share warrants in Shore Gold, valued at $15. Following the transaction, Newmont held a 19.9% equity ownership in Shore Gold. This investment has been classified as current. In May 2017, Newmont purchased 37 million common shares of Continental Gold Inc. (“Continental”) at C$4.00 per share. Continental is developing the high-grade Buriticá gold project in Colombia. Total consideration paid by Newmont was $109 for a 19.9% equity ownership in Continental. In April 2017, Newmont purchased 13 million units (one common share and one warrant per unit) of Goldstrike Resources Ltd. (“Goldstrike”) at a price of C$0.47 per share for $4. The investment secures rights to explore and develop the Plateau property located in a highly prospective mineralized trend in Canada’s Yukon Territory with Goldstrike, with the ability to earn additional ownership in the project through exploration investment. This investment has been classified as non-current. See Note 8 for discussion of investment impairments recognized during 2018. In 2017 and 2016, there were no investment impairments for other-than-temporary declines in value or significant changes in fair value on previously impaired available-for-sale securities. |
INVENTORIES
INVENTORIES | 12 Months Ended |
Dec. 31, 2018 | |
Inventories | |
INVENTORIES | |
INVENTORIES | NOTE 19 INVENTORIES At December 31, 2018 2017 Materials and supplies $ 439 $ 416 In-process 104 131 Concentrate and copper cathode 61 83 Precious metals 26 49 $ 630 $ 679 In 2018, the Company recorded write-downs of $14 and $2, classified as components of Costs applicable to sales and Depreciation and amortization, respectively. Of the write-downs in 2018, $2 is related to Carlin, $5 to Phoenix, $2 to Twin Creeks, $5 to CC&V and $2 to Yanacocha. In 2017, the Company recorded write-downs of $14 and $2, classified as components of Costs applicable to sales and Depreciation and amortization, respectively. Of the write-downs in 2017, $4 were related to Carlin, $4 to Phoenix, $4 to CC&V and $4 to Yanacocha. In 2016, the Company recorded write-downs of $15 and $3, classified as components of Costs applicable to sales and Depreciation and amortization , respectively. Of the write-downs in 2016, $2 were related to Carlin, $12 to Phoenix, $1 to Twin Creeks and $3 to Yanacocha. |
STOCKPILES AND ORE ON LEACH PAD
STOCKPILES AND ORE ON LEACH PADS | 12 Months Ended |
Dec. 31, 2018 | |
Stockpiles and ore on leach pads | |
STOCKPILES AND ORE ON LEACH PADS | |
STOCKPILES AND ORE ON LEACH PADS | NOTE 20 STOCKPILES AND ORE ON LEACH PADS At December 31, 2018 2017 Current: Stockpiles $ 395 $ 330 Ore on leach pads 302 346 $ 697 $ 676 Non-current: Stockpiles $ 1,429 $ 1,502 Ore on leach pads 437 346 $ 1,866 $ 1,848 Total: Stockpiles $ 1,824 $ 1,832 Ore on leach pads 739 692 $ 2,563 $ 2,524 Stockpiles Leach pads At December 31, At December 31, 2018 2017 2018 2017 Stockpiles and ore on leach pads: Carlin $ 263 $ 236 $ 186 $ 205 Phoenix 32 35 32 33 Twin Creeks 320 333 25 7 Long Canyon — — 45 34 CC&V 23 57 278 257 Yanacocha 71 114 173 156 Merian 35 25 — — Boddington 458 431 — — Tanami 2 4 — — Kalgoorlie 121 125 — — Ahafo 417 409 — — Akyem 82 63 — — $ 1,824 $ 1,832 $ 739 $ 692 In 2018, the Company recorded write-downs of $257 and $97, classified as components of Costs applicable to sales and Depreciation and amortization, respectively, to reduce the carrying value of stockpiles and ore on leach pads to net realizable value. Of the write-downs in 2018, $152 were related to Carlin, $42 to Twin Creeks, $7 to CC&V, $51 to Yanacocha, $46 to Ahafo and $56 to Akyem. In 2017, the Company recorded write-downs of $198 and $77, classified as components of Costs applicable to sales and Depreciation and amortization , respectively, to reduce the carrying value of stockpiles and ore on leach pads to net realizable value. Of the write-downs in 2017, $83 were related to Carlin, $46 to Twin Creeks, $70 to Yanacocha, $31 to Ahafo and $45 to Akyem. In 2016, the Company recorded write-downs of $283 and $131, classified as components of Costs applicable to sales and Depreciation and amortization , respectively, to reduce the carrying value of stockpiles and ore on leach pads to net realizable value. Of the write-downs in 2016, $105 were related to Carlin, $22 to Twin Creeks, $187 to Yanacocha and $100 to Ahafo. |
PROPERTY, PLANT AND MINE DEVELO
PROPERTY, PLANT AND MINE DEVELOPMENT | 12 Months Ended |
Dec. 31, 2018 | |
PROPERTY, PLANT AND MINE DEVELOPMENT | |
PROPERTY, PLANT AND MINE DEVELOPMENT | NOTE 21 PROPERTY, PLANT AND MINE DEVELOPMENT Depreciable At December 31, 2018 At December 31, 2017 Life Accumulated Net Book Accumulated Net Book (in years) Cost Depreciation Value Cost Depreciation Value Land $ 222 $ — $ 222 $ 222 $ — $ 222 Facilities and equipment - 27 16,300 (10,343) 5,957 15,979 (9,760) 6,219 Mine development - 18 5,598 (3,314) 2,284 5,260 (3,026) 2,234 Mineral interests - 22 1,876 (667) 1,209 1,975 (624) 1,351 Asset retirement cost - 22 1,143 (787) 356 1,069 (729) 340 Construction-in-progress 2,230 — 2,230 1,972 — 1,972 $ 27,369 $ (15,111) $ 12,258 $ 26,477 $ (14,139) $ 12,338 Leased assets included above in facilities and equipment - 20 $ 27 $ (17) $ 10 $ 27 $ (15) $ 12 Depreciable At December 31, 2018 At December 31, 2017 Life Accumulated Net Book Accumulated Net Book Mineral Interests (in years) Cost Depreciation Value Cost Depreciation Value Production stage - 22 $ 872 $ (667) $ 205 $ 865 $ (624) $ 241 Development stage (1) 59 — 59 39 — 39 Exploration stage (1) 945 — 945 1,071 — 1,071 $ 1,876 $ (667) $ 1,209 $ 1,975 $ (624) $ 1,351 (1) These amounts are currently non-depreciable as these mineral interests have not reached production stage. Construction-in-progress at December 31, 2018 of $2,230 included $100 at North America related to construction at Carlin, Twin Creeks and other infrastructure at Nevada, $1,373 at South America primarily related to engineering and construction at Conga and infrastructure at Yanacocha and Suriname, $324 at Australia related to infrastructure at Tanami, Boddington, Kalgoorlie and the Tanami Power project and $426 at Africa related to the Ahafo Mill expansion, Ahafo North project and other infrastructure at Akyem. There have been no costs capitalized during 2018 for the Conga project in South America, reported in Other South America. Construction-in-progress at December 31, 2017 of $1,972 included $121 at North America related to construction at Carlin, CC&V, Long Canyon and other infrastructure at Nevada, $1,389 at South America primarily related to engineering and construction at Conga and Suriname and infrastructure at Yanacocha, $139 at Australia related to infrastructure at Tanami, Boddington, and Kalgoorlie and the Tanami Power project and $316 at Africa related to the Subika underground project and Ahafo Mill expansion and other infrastructure at Akyem. There have been no costs capitalized during 2017 for the Conga project in South America, reported in Other South America. In July 2018, Newmont purchased a 50% interest in the Galore Creek Partnership (“Galore Creek”) from NovaGold Resources Inc. (“NovaGold”) for $100 in cash consideration paid on the transaction date; a deferred payment of $75, payable upon the earlier of three years or the completion of a prefeasibility study; a deferred payment of $25, payable upon the earlier of five years or the completion of a feasibility study; and a contingent payment of $75, payable upon the earlier of initiation or approval to construct a mine, mill and all related infrastructure for the Galore Creek project. The Company accounted for the purchase of Galore Creek as an asset acquisition, as the identifiable assets are primarily concentrated in a single mineral interest. The value of the consideration paid and payable of $189 was allocated to the acquired assets and assumed liabilities based on their estimated fair values on the acquisition date. At the acquisition date, the Company recorded mineral interests of $192, other noncurrent assets of $2, other current liabilities of $2 and noncurrent reclamation and remediation liabilities of $3 within the North America segment. Upon becoming probable of payment, the contingent payment of $75 will be accrued and allocated to the mineral interest. Refer to Note 29 for further details regarding the contingent payment. The Company includes its pro rata share of operations for Galore Creek in the Consolidated Financial Statements. During 2018, the Company recorded impairments of certain exploration properties and other long-lived assets. See Note 6 for further information. |
DEBT
DEBT | 12 Months Ended |
Dec. 31, 2018 | |
DEBT | |
DEBT | NOTE 22 DEBT At December 31, 2018 At December 31, 2017 Current Non-Current Current Non-Current 2019 Senior Notes, net 626 — — 625 2022 Senior Notes, net — — 985 2035 Senior Notes, net — — 594 2039 Senior Notes, net — — 859 2042 Senior Notes, net — — 984 Debt issuance costs on Corporate Revolving Credit Facilities — (6) — (7) $ 626 $ 3,418 $ — $ 4,040 All outstanding Senior Notes are unsecured and rank equally with one another. Scheduled minimum debt repayments are $626 in 2019, $- in 2020, $- in 2021, $992 in 2022, $- in 2023 and $2,474 thereafter. Corporate Revolving Credit Facilities In May 2011, the Company entered into a $2,500 revolving credit facility, which was increased to $3,000 in May 2012. The facility is with a syndicate of financial institutions, provides for borrowings in U.S. dollars and contains a letter of credit-sub facility. Facility fees vary based on the credit ratings of the Company’s senior, uncollateralized, non-current debt. Borrowings under the facility bear interest at a market based rate plus a margin determined by the Company’s credit rating. During 2017, the credit facility was extended to May 25, 2022. Fees and other debt issuance costs related to the extension of the facility were recorded as a reduction to the carrying value of debt and amortized over the term of the facility. At December 31, 2018, the Company had no borrowings outstanding under the facility. There was $86 and $80 outstanding on the sub-facility letters of credit at December 31, 2018 and 2017, respectively. In September 2013, the Company entered into a Letter of Credit Facility Agreement (“LC Agreement”) with BNP Paribas, New York Branch. The LC Agreement established a $175 letter of credit facility for a three year period to support reclamation obligations. In 2017, the agreement was extended to September 30, 2020. The LC Agreement had a balance of $172 at December 31, 2018 and 2017. 2017 Convertible Senior Notes In July 2017, the Company repaid the $575 outstanding aggregate principal amount of the 2017 Convertible Senior Notes at maturity. For the years ended December 31, 2018, 2017, and 2016, the Company recorded $-, $5, and $9 of interest expense for the contractual interest coupon and $-, $14, and $24 of amortization of the debt discount, respectively, related to the Convertible Senior Notes. 2019 and 2039 Senior Notes In September 2009, the Company completed a two part public offering of $900 and $1,100 uncollateralized Senior Notes maturing on October 1, 2019 and October 1, 2039, respectively. Net proceeds from the 2019 and 2039 Senior Notes were $895 and $1,080, respectively. The 2019 Senior Notes pay interest semi-annually at a rate of 5.125% per annum and the 2039 Senior Notes pay semi-annual interest of 6.25% per annum. In March 2016, the Company purchased approximately $274 of its 2019 Senior Notes and $226 of its 2039 Senior Notes through a debt tender offer. The Company recorded a net pre-tax loss of $4 in Other income, net as a result of the debt tender offer. Additionally, the Company reclassified $2 in Interest expense, net from Accumulated other comprehensive income (loss) related to the acceleration of the unrealized gains on the treasury rate lock contracts which were entered into upon issuance of the Senior Notes in 2009. Using prevailing interest rates on similar instruments, the estimated fair value of the 2019 and 2039 Senior Notes was $641 and $972, respectively, at December 31, 2018 and $662 and $1,132, respectively, at December 31, 2017. The foregoing fair value estimates were based on an independent third party pricing source and may or may not reflect the actual trading value of this debt. 2022 and 2042 Senior Notes In March 2012, the Company completed a two part public offering of $1,500 and $1,000 uncollateralized Senior Notes maturing on March 15, 2022 and March 15, 2042, respectively. Net proceeds from the 2022 and 2042 Senior Notes were $1,479 and $983, respectively. The 2022 Senior Notes pay interest semi-annually at a rate of 3.50% per annum and the 2042 Senior Notes pay semi-annual interest of 4.88% per annum. In November 2016, the Company purchased approximately $508 of its 2022 Senior Notes through a debt tender offer. The Company recorded a net pre-tax loss of $31 in Other income, net as a result of the debt tender offer. Additionally, the Company recognized a loss of $20 in Other income, net from Accumulated other comprehensive income (loss) related to the acceleration of the unrealized losses on the forward starting swap contracts which were previously settled with the issuance of the Senior Notes. Using prevailing interest rates on similar instruments, the estimated fair value of the 2022 and 2042 Senior Notes was $992 and $969, respectively, at December 31, 2018 and $1,021 and $1,117, respectively, at December 31, 2017. The foregoing fair value estimates were based on an independent third party pricing source and may or may not reflect the actual trading value of this debt. 2035 Senior Notes In March 2005, Newmont issued uncollateralized Senior Notes with a principal amount of $600 due April 2035 bearing an annual interest rate of 5.88%. Interest on the notes is paid semi-annually in April and October. Using prevailing interest rates on similar instruments, the estimated fair value of these Senior Notes was $655 and $739 at December 31, 2018 and 2017, respectively. The foregoing fair value estimate was based on an independent third party pricing source and may or may not reflect the actual trading value of this debt. Debt Covenants The Company’s senior notes and revolving credit facility contain various covenants and default provisions including payment defaults, limitation on liens, leases, sales and leaseback agreements and merger restrictions. The corporate revolving credit facility contains a financial ratio covenant requiring the Company to maintain a net debt (total debt net of cash and cash equivalents) to total capitalization ratio of less than or equal to 62.50% in addition to the covenants noted above. Furthermore, the corporate revolving credit facility contains covenants limiting the sale of all or substantially all of the Company’s assets, certain change of control provisions and a negative pledge on certain assets. At December 31, 2018 and 2017, the Company and its related entities were in compliance with all debt covenants and provisions related to potential defaults. |
LEASE AND OTHER FINANCING OBLIG
LEASE AND OTHER FINANCING OBLIGATIONS | 12 Months Ended |
Dec. 31, 2018 | |
Leases [Abstract] | |
LEASE AND OTHER FINANCING OBLIGATIONS | NOTE 23 LEASE AND OTHER FINANCING OBLIGATIONS Capital Leases and Other Financing Obligations Scheduled minimum capital lease and other financing obligations repayments are $27 in 2019, $26 in 2020, $27 in 2021, $27 in 2022, $27 in 2023 and $131 thereafter. In December 2017, the Company began the early phases of the Tanami Power project which includes the construction of a gas pipeline to the Tanami site, and construction and operation of two on-site power stations under agreements that qualify for build-to-suit lease accounting. As of December 31, 2018 and 2017, the financing obligations under the build-to-suit arrangements were $210 and $14, respectively, of which $24 was classified as current as of December 31, 2018. Operating Leases The Company leases certain assets, such as equipment and facilities, under operating leases expiring at various dates through 2058. Future minimum annual lease payments are $13 in 2019, $11 in 2020, $10 in 2021, $9 in 2022, $7 in 2023 and $60 thereafter, totaling $110. Rent expense for 2018, 2017 and 2016 was $51, $43 and $43, respectively. |
OTHER LIABILITIES
OTHER LIABILITIES | 12 Months Ended |
Dec. 31, 2018 | |
OTHER LIABILITIES | |
OTHER LIABILITIES | NOTE 24 OTHER LIABILITIES At December 31, At December 31, 2018 2017 Other current liabilities: Accrued operating costs $ 129 $ 124 Reclamation and remediation liabilities 114 103 Royalties 63 63 Accrued capital expenditures 61 77 Accrued interest 52 52 Holt royalty obligation 12 15 Taxes other than income and mining 8 7 Other 16 21 $ 455 $ 462 Other non-current liabilities: Holt royalty obligation $ 149 $ 228 Galore Creek deferred payments 89 — Power supply agreements 28 32 Social development obligations 18 22 Income and mining taxes 17 47 Other 13 13 $ 314 $ 342 |
RECLASSIFICATIONS OUT OF AOCI
RECLASSIFICATIONS OUT OF AOCI | 12 Months Ended |
Dec. 31, 2018 | |
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | NOTE 25 RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) Pension and Unrealized Gain Unrealized Gain Foreign Other (Loss) on (Loss) on Currency Post-retirement Cash flow Marketable Translation Benefit Hedge Securities, net Adjustments Adjustments Instruments Total Balance at December 31, 2016 $ (101) $ 118 $ (223) $ (128) $ (334) Change in other comprehensive income (loss) before reclassifications (10) 12 (3) 5 4 Reclassifications from accumulated other comprehensive income (loss) (5) — 18 25 38 Net current-period other comprehensive income (loss) (15) 12 15 30 42 Balance at December 31, 2017 $ (116) $ 130 $ (208) $ (98) $ (292) Cumulative effect adjustment of adopting ASU No. 2016-01 115 — — — 115 Cumulative effect adjustment of adopting ASU No. 2018-02 — — (45) (51) (96) Net current-period other comprehensive income (loss): Change in other comprehensive income (loss) before reclassifications 1 (12) (29) (3) (43) Reclassifications from accumulated other comprehensive income (loss) — — 20 12 32 Other comprehensive income (loss) 1 (12) (9) 9 (11) Balance at December 31, 2018 $ — $ 118 $ (262) $ (140) $ (284) Details about Accumulated Other Comprehensive Income (Loss) Components Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Affected Line Item in the Consolidated Statements of Operations Years Ended December 31, 2018 2017 2016 Marketable securities adjustments: Sale of marketable securities $ — $ (5) $ (103) Other income, net Total before tax — (5) (103) Tax — — — Net of tax $ — $ (5) $ (103) Pension and other post-retirement benefit adjustments: Amortization $ 25 $ 23 $ 19 Other income, net (1) Settlements — 5 6 Other income, net (2) Total before tax 25 28 25 Tax (5) (10) (9) Net of tax $ 20 $ 18 $ 16 Hedge instruments adjustments: Operating cash flow hedges $ 6 $ 27 $ 59 Costs applicable to sales Operating cash flow hedges (ineffective portion) — — (1) Other income, net Interest rate contracts 10 10 33 Interest expense, net Total before tax 16 37 91 Tax (4) (12) (30) Net of tax $ 12 $ 25 $ 61 Total reclassifications for the period, net of tax $ 32 $ 38 $ (26) (1) In 2018, this accumulated other comprehensive income (loss) component was included in Other income, net as a result of adopting ASU No. 2017-07. Refer to Note 2 for information about the adoption. In 2017 and 2016, this accumulated other comprehensive income (loss) component was included in General and administrative and costs that benefit the inventory/production process. Refer to Note 2 for information on costs that benefit the inventory/production process. (2) In 2018, this accumulated other comprehensive income (loss) component was included in Other income, net as a result of adopting ASU No. 2017-07. Refer to Note 2 for information about the adoption. In 2017 and 2016, this accumulated other comprehensive income (loss) component was included in Other expense, net . Placeholder |
NET CHANGE IN OPERATING ASSETS
NET CHANGE IN OPERATING ASSETS AND LIABILITIES | 12 Months Ended |
Dec. 31, 2018 | |
NET CHANGE IN OPERATING ASSETS AND LIABILITIES | |
NET CHANGE IN OPERATING ASSETS AND LIABILITIES | NOTE 26 NET CHANGE IN OPERATING ASSETS AND LIABILITIES Net cash provided by (used in) operating activities of continuing operations attributable to the net change in operating assets and liabilities is composed of the following: Years Ended December 31, 2018 2017 2016 Decrease (increase) in operating assets: Trade and other accounts receivables $ (109) $ 35 $ (99) Inventories, stockpiles and ore on leach pads (250) (204) (329) Other assets (49) (52) (83) Increase (decrease) in operating liabilities: Accounts payable and other accrued liabilities (73) 10 13 Reclamation and remediation liabilities (72) (78) (54) Payment of accreted interest from debt discount (1) — (196) — Accrued tax liabilities (190) 93 59 $ (743) $ (392) $ (493) (1) In July 2017, the Company repaid the $575 outstanding aggregate principal amount of the 2017 Convertible Senior Notes at maturity. This debt repayment included accreted interest of $196 from the debt discount at origination that is classified as a cash outflow from operating activities. Placeholder |
SUPPLEMENTAL CASH FLOW INFORMAT
SUPPLEMENTAL CASH FLOW INFORMATION | 12 Months Ended |
Dec. 31, 2018 | |
SUPPLEMENTAL CASH FLOW INFORMATION | |
SUPPLEMENTAL CASH FLOW INFORMATION | NOTE 27 SUPPLEMENTAL CASH FLOW INFORMATION Years Ended December 31, 2018 2017 2016 Income and mining taxes paid, net of refunds $ 429 $ 214 $ 85 Interest paid, net of amounts capitalized $ 188 $ 435 $ 276 Non-cash Investing Activities During 2018 and 2017, the Company recorded a non-cash increase to construction-in-progress included as part of Property, plant and mine development, net and a corresponding increase to financing obligations included in Lease and other financing obligations of $196 and $14, respectively under build-to-suit arrangements related to the Tanami Power project. During 2016 the Company entered into an agreement at Boddington waiving certain mining requirements which resulted in a non-cash increase to Other non-current assets of $22. Non-cash Financing Activities Cash calls requested from noncontrolling interests of $99, $97 and $81 for the years ended December 31, 2018, 2017 and 2016, respectively, represent cash calls requested from Staatsolie, of which $100, $94 and $66 had been paid as of December 31, 2018, 2017 and 2016, respectively. Differences are due to timing of receipts. Distributions declared to noncontrolling interests of $170 and $21 for the years ended December 31, 2017 and 2016, respectively, represent distributions declared to Staatsolie from Merian. The Company paid $178 and $3 in distributions during the years ended December 31, 2017 and 2016, respectively, related to current and prior period distributions declared. Differences are due to timing of payments. |
CONDENSED CONSOLIDATING FINANCI
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS | 12 Months Ended |
Dec. 31, 2018 | |
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS | |
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS | NOTE 28 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. Year Ended December 31, 2018 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Operation Corporation USA Subsidiaries Eliminations Consolidated Sales $ — $ 1,896 $ 5,357 $ — $ 7,253 Costs and expenses: Costs applicable to sales (1) — 1,206 2,887 — 4,093 Depreciation and amortization 4 349 862 — 1,215 Reclamation and remediation — 32 131 — 163 Exploration — 55 142 — 197 Advanced projects, research and development — 34 119 — 153 General and administrative — 82 162 — 244 Impairment of long-lived assets — 336 33 — 369 Other expense, net — 4 25 — 29 4 2,098 4,361 — 6,463 Other income (expense): Other income, net (56) 40 171 — 155 Interest income - intercompany 83 51 43 (177) — Interest expense - intercompany (6) — (171) 177 — Interest expense, net (190) (7) (10) — (207) (169) 84 33 — (52) Income (loss) before income and mining tax and other items (173) (118) 1,029 — 738 Income and mining tax benefit (expense) 14 (15) (385) — (386) Equity income (loss) of affiliates 500 (228) (33) (272) (33) Net income (loss) from continuing operations 341 (361) 611 (272) 319 Net income (loss) from discontinued operations — — 61 — 61 Net income (loss) 341 (361) 672 (272) 380 Net loss (income) attributable to noncontrolling interests — — (39) — (39) Net income (loss) attributable to Newmont stockholders $ 341 $ (361) $ 633 $ (272) $ 341 Comprehensive income (loss) $ 330 $ (440) $ 779 $ (300) $ 369 Comprehensive loss (income) attributable to noncontrolling interests — — (39) — (39) Comprehensive income (loss) attributable to Newmont stockholders $ 330 $ (440) $ 740 $ (300) $ 330 (1) Excludes Depreciation and amortization and Reclamation and remediation . Year Ended December 31, 2017 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Operation Corporation USA Subsidiaries Eliminations Consolidated Sales $ — $ 1,955 $ 5,424 $ — $ 7,379 Costs and expenses: Costs applicable to sales (1) — 1,209 2,853 — 4,062 Depreciation and amortization 4 355 902 — 1,261 Reclamation and remediation — 63 129 — 192 Exploration — 43 136 — 179 Advanced projects, research and development — 21 122 — 143 General and administrative — 80 157 — 237 Impairment of long-lived assets — — 14 — 14 Other expense, net — 12 20 — 32 4 1,783 4,333 — 6,120 Other income (expense): Other income, net 41 6 7 — 54 Interest income - intercompany 149 43 41 (233) — Interest expense - intercompany (39) (4) (190) 233 — Interest expense, net (222) (7) (12) — (241) (71) 38 (154) — (187) Income (loss) before income and mining tax and other items (75) 210 937 — 1,072 Income and mining tax benefit (expense) (34) (23) (1,070) — (1,127) Equity income (loss) of affiliates (5) (108) (16) 113 (16) Net income (loss) from continuing operations (114) 79 (149) 113 (71) Net income (loss) from discontinued operations — — (38) — (38) Net income (loss) (114) 79 (187) 113 (109) Net loss (income) attributable to noncontrolling interests — — (5) — (5) Net income (loss) attributable to Newmont stockholders $ (114) $ 79 $ (192) $ 113 $ (114) Comprehensive income (loss) $ (72) $ 90 $ (198) $ 113 $ (67) Comprehensive loss (income) attributable to noncontrolling interests — — (5) — (5) Comprehensive income (loss) attributable to Newmont stockholders $ (72) $ 90 $ (203) $ 113 $ (72) (1) Excludes Depreciation and amortization and Reclamation and remediation . Year Ended December 31, 2016 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Operation Corporation USA Subsidiaries Eliminations Consolidated Sales $ — $ 1,951 $ 4,729 $ — $ 6,680 Costs and expenses: Costs applicable to sales (1) — 1,198 2,540 — 3,738 Depreciation and amortization 4 333 876 — 1,213 Reclamation and remediation — 14 155 — 169 Exploration — 35 113 — 148 Advanced projects, research and development — 11 123 — 134 General and administrative — 90 143 — 233 Impairment of long-lived assets — 1 1,002 — 1,003 Other expense, net — 30 28 — 58 4 1,712 4,980 — 6,696 Other income (expense): Other income, net (69) 14 124 — 69 Interest income - intercompany 132 — 46 (178) — Interest expense - intercompany (45) — (133) 178 — Interest expense, net (254) (6) (13) — (273) (236) 8 24 — (204) Income (loss) before income and mining tax and other items (240) 247 (227) — (220) Income and mining tax benefit (expense) 232 (62) (749) — (579) Equity income (loss) of affiliates (621) (1,342) 411 1,539 (13) Net income (loss) from continuing operations (629) (1,157) (565) 1,539 (812) Net income (loss) from discontinued operations — — (131) — (131) Net income (loss) (629) (1,157) (696) 1,539 (943) Net loss (income) attributable to noncontrolling interests: Continuing operations — — 586 — 586 Discontinued operations — — (272) — (272) — — 314 — 314 Net income (loss) attributable to Newmont stockholders $ (629) $ (1,157) $ (382) $ 1,539 $ (629) Comprehensive income (loss) $ (629) $ (1,155) $ (698) $ 1,539 $ (943) Comprehensive loss (income) attributable to noncontrolling interests — — 314 — 314 Comprehensive income (loss) attributable to Newmont stockholders $ (629) $ (1,155) $ (384) $ 1,539 $ (629) (1) Excludes Depreciation and amortization and Reclamation and remediation. Year Ended December 31, 2018 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Cash Flows Corporation USA Subsidiaries Eliminations Consolidated Operating activities: Net cash provided by (used in) operating activities of continuing operations $ (147) $ 578 $ 1,406 $ — $ 1,837 Net cash provided by (used in) operating activities of discontinued operations — — (10) — (10) Net cash provided by (used in) operating activities (147) 578 1,396 — 1,827 Investing activities: Additions to property, plant and mine development — (274) (758) — (1,032) Acquisitions, net — — (140) — (140) Purchases of investments (6) — (33) — (39) Proceeds from sales of other assets — — 24 — 24 Proceeds from sales of investments — 13 5 — 18 Proceeds from sale of Batu Hijau — — — — — Other — (1) (7) — (8) Net cash provided by (used in) investing activities of continuing operations (6) (262) (909) — (1,177) Net cash provided by (used in) investing activities of discontinued operations — — — — — Net cash provided by (used in) investing activities (6) (262) (909) — (1,177) Financing activities: Dividends paid to common stockholders (301) — — — (301) Distributions to noncontrolling interests — — (160) — (160) Funding from noncontrolling interests — — 100 — 100 Repurchases of common stock (98) — — — (98) Proceeds from sale of noncontrolling interests — — 48 — 48 Payments for withholding of employee taxes related to stock-based compensation — (40) — — (40) Payments on lease and other financing obligations — (1) (3) — (4) Repayment of debt — — — — — Acquisition of noncontrolling interests — — — — — Dividends paid to noncontrolling interests — — — — — Net intercompany borrowings (repayments) 552 (275) (277) — — Other — — — — — Net cash provided by (used in) financing activities of continuing operations 153 (316) (292) — (455) Net cash provided by (used in) financing activities of discontinued operations — — — — — Net cash provided by (used in) financing activities 153 (316) (292) — (455) Effect of exchange rate changes on cash, cash equivalents and restricted cash — — (4) — (4) Net change in cash, cash equivalents and restricted cash — — 191 — 191 Less net cash provided by (used in) Batu Hijau discontinued operations — — — — — — — 191 — 191 Cash, cash equivalents and restricted cash at beginning of period — — 3,298 — 3,298 Cash, cash equivalents and restricted cash at end of period $ — $ — $ 3,489 $ — $ 3,489 Reconciliation of cash, cash equivalents and restricted cash: Cash and cash equivalents $ — $ — $ 3,397 $ — $ 3,397 Restricted cash included in Other current assets — — 1 — 1 Restricted cash included in Other noncurrent assets — — 91 — 91 Total cash, cash equivalents and restricted cash $ — $ — $ 3,489 $ — $ 3,489 Year Ended December 31, 2017 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Cash Flows Corporation USA Subsidiaries Eliminations Consolidated Operating activities: Net cash provided by (used in) operating activities of continuing operations $ (325) $ (207) $ 2,671 $ — $ 2,139 Net cash provided by (used in) operating activities of discontinued operations — — (15) — (15) Net cash provided by (used in) operating activities (325) (207) 2,656 — 2,124 Investing activities: Additions to property, plant and mine development — (253) (613) — (866) Acquisitions, net — — — — — Purchases of investments (114) — (16) — (130) Proceeds from sales of other assets — — 5 — 5 Proceeds from sales of investments — — 35 — 35 Proceeds from sale of Batu Hijau — — — — — Other — 2 8 — 10 Net cash provided by (used in) investing activities of continuing operations (114) (251) (581) — (946) Net cash provided by (used in) investing activities of discontinued operations — — — — — Net cash provided by (used in) investing activities (114) (251) (581) — (946) Financing activities: Dividends paid to common stockholders (134) — — — (134) Distributions to noncontrolling interests — — (178) — (178) Funding from noncontrolling interests — — 94 — 94 Repurchases of common stock — — — — — Proceeds from sale of noncontrolling interests — — — — — Payments for withholding of employee taxes related to stock-based compensation — (14) — — (14) Payments on lease and other financing obligations — (3) (2) — (5) Repayment of debt (379) — — — (379) Acquisition of noncontrolling interests — — (48) — (48) Dividends paid to noncontrolling interests — — — — — Net intercompany borrowings (repayments) 955 473 (1,428) — — Other (3) 1 (2) — (4) Net cash provided by (used in) financing activities of continuing operations 439 457 (1,564) — (668) Net cash provided by (used in) financing activities of discontinued operations — — — — — Net cash provided by (used in) financing activities 439 457 (1,564) — (668) Effect of exchange rate changes on cash, cash equivalents and restricted cash — — 6 — 6 Net change in cash, cash equivalents and restricted cash — (1) 517 — 516 Less net cash provided by (used in) Batu Hijau discontinued operations — — — — — — (1) 517 — 516 Cash, cash equivalents and restricted cash at beginning of period — 1 2,781 — 2,782 Cash, cash equivalents and restricted cash at end of period $ — $ — $ 3,298 $ — $ 3,298 Reconciliation of cash, cash equivalents and restricted cash: Cash and cash equivalents $ — $ — $ 3,259 $ — $ 3,259 Restricted cash included in Other current assets — — 1 — 1 Restricted cash included in Other noncurrent assets — — 38 — 38 Total cash, cash equivalents and restricted cash $ — $ — $ 3,298 $ — $ 3,298 Year Ended December 31, 2016 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Cash Flows Corporation USA Subsidiaries Eliminations Consolidated Operating activities: Net cash provided by (used in) operating activities of continuing operations $ 2,240 $ 1,342 $ 117 $ (1,782) $ 1,917 Net cash provided by (used in) operating activities of discontinued operations — — 869 — 869 Net cash provided by (used in) operating activities 2,240 1,342 986 (1,782) 2,786 Investing activities: Additions to property, plant and mine development — (261) (872) — (1,133) Acquisitions, net — — — — — Purchases of investments — — (15) — (15) Proceeds from sales of other assets — — 9 — 9 Proceeds from sales of investments — 8 187 — 195 Proceeds from sale of Batu Hijau — — 920 — 920 Other — — (4) — (4) Net cash provided by (used in) investing activities of continuing operations — (253) 225 — (28) Net cash provided by (used in) investing activities of discontinued operations — — (46) — (46) Net cash provided by (used in) investing activities — (253) 179 — (74) Financing activities: Dividends paid to common stockholders (67) (1,512) (270) 1,782 (67) Distributions of noncontrolling interests — — (3) — (3) Funding from noncontrolling interests — — 66 — 66 Repurchases of common stock — — — — — Proceeds from sale of noncontrolling interests — — — — — Payments for withholding of employee taxes related to stock-based compensation — (5) — — (5) Payments on lease and other financing obligations — (3) (2) — (5) Repayment of debt (1,307) — — — (1,307) Acquisition of noncontrolling interests — — (19) — (19) Dividends paid to noncontrolling interests — — (146) — (146) Net intercompany borrowings (repayments) (866) (748) 1,614 — — Other — (1) 1 — — Net cash provided by (used in) financing activities of continuing operations (2,240) (2,269) 1,241 1,782 (1,486) Net cash provided by (used in) financing activities of discontinued operations — — (331) — (331) Net cash provided by (used in) financing activities (2,240) (2,269) 910 1,782 (1,817) Effect of exchange rate changes on cash, cash equivalents and restricted cash — — 2 — 2 Net change in cash, cash equivalents and restricted cash — (1,180) 2,077 — 897 Less net cash provided by (used in) Batu Hijau discontinued operations — — 503 — 503 — (1,180) 1,574 — 394 Cash, cash equivalents and restricted cash at beginning of period — 1,181 1,207 — 2,388 Cash, cash equivalents and restricted cash at end of period $ — $ 1 $ 2,781 $ — $ 2,782 Reconciliation of cash, cash equivalents and restricted cash: Cash and cash equivalents $ — $ 1 $ 2,755 $ — $ 2,756 Restricted cash included in Other current assets — — 1 — 1 Restricted cash included in Other noncurrent assets — — 25 — 25 Total cash, cash equivalents and restricted cash $ — $ 1 $ 2,781 $ — $ 2,782 At December 31, 2018 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Balance Sheet Corporation USA Subsidiaries Eliminations Consolidated Assets: Cash and cash equivalents $ — $ — $ 3,397 $ — $ 3,397 Trade receivables — 63 191 — 254 Other accounts receivables — 1 91 — 92 Intercompany receivable 6,351 5,027 8,296 (19,674) — Investments — — 48 — 48 Inventories — 180 450 — 630 Stockpiles and ore on leach pads — 195 502 — 697 Other current assets — 29 130 — 159 Current assets 6,351 5,495 13,105 (19,674) 5,277 Property, plant and mine development, net 14 2,680 9,593 (29) 12,258 Investments 62 4 205 — 271 Investments in subsidiaries 13,083 — 3 (13,086) — Stockpiles and ore on leach pads — 658 1,208 — 1,866 Deferred income tax assets — — 401 — 401 Non-current intercompany receivable 653 704 6 (1,363) — Other non-current assets — 271 371 — 642 Total assets $ 20,163 $ 9,812 $ 24,892 $ (34,152) $ 20,715 Liabilities: Debt $ 626 $ — $ — $ — $ 626 Accounts payable — 83 220 — 303 Intercompany payable 5,554 2,741 11,379 (19,674) — Employee-related benefits — 138 167 — 305 Income and mining taxes — 19 52 — 71 Lease and other financing obligations — 1 26 — 27 Other current liabilities 52 135 268 — 455 Current liabilities 6,232 3,117 12,112 (19,674) 1,787 Debt 3,418 — — — 3,418 Reclamation and remediation liabilities — 325 2,156 — 2,481 Deferred income tax liabilities — 90 522 — 612 Employee-related benefits 3 236 162 — 401 Lease and other financing obligations — 3 187 — 190 Non-current intercompany payable 7 — 1,385 (1,392) — Other non-current liabilities 1 637 298 (622) 314 Total liabilities 9,661 4,408 16,822 (21,688) 9,203 Contingently redeemable noncontrolling interest — — 47 — 47 Equity: Newmont stockholders’ equity 10,502 5,404 7,060 (12,464) 10,502 Noncontrolling interests — — 963 — 963 Total equity 10,502 5,404 8,023 (12,464) 11,465 Total liabilities and equity $ 20,163 $ 9,812 $ 24,892 $ (34,152) $ 20,715 At December 31, 2017 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Balance Sheet Corporation USA Subsidiaries Eliminations Consolidated Assets: Cash and cash equivalents $ — $ — $ 3,259 $ — $ 3,259 Trade receivables — 18 106 — 124 Other accounts receivables — — 113 — 113 Intercompany receivable 2,053 4,601 3,484 (10,138) — Investments — — 62 — 62 Inventories — 181 498 — 679 Stockpiles and ore on leach pads — 196 480 — 676 Other current assets — 38 115 — 153 Current assets 2,053 5,034 8,117 (10,138) 5,066 Property, plant and mine development, net 17 3,082 9,266 (27) 12,338 Investments 106 4 170 — 280 Investments in subsidiaries 12,012 — — (12,012) — Stockpiles and ore on leach pads — 648 1,200 — 1,848 Deferred income tax assets 84 5 460 — 549 Non-current intercompany receivable 1,700 401 7 (2,108) — Other non-current assets — 255 310 — 565 Total assets $ 15,972 $ 9,429 $ 19,530 $ (24,285) $ 20,646 Liabilities: Accounts payable $ — $ 83 $ 292 $ — $ 375 Intercompany payable 1,338 2,145 6,655 (10,138) — Employee-related benefits — 143 166 — 309 Income and mining taxes — 18 230 — 248 Lease and other financing obligations — 1 3 — 4 Other current liabilities 52 163 247 — 462 Current liabilities 1,390 2,553 7,593 (10,138) 1,398 Debt 4,040 — — — 4,040 Reclamation and remediation liabilities — 309 2,036 — 2,345 Deferred income tax liabilities — 121 474 — 595 Employee-related benefits — 222 164 — 386 Lease and other financing obligations — 4 17 — 21 Non-current intercompany payable 7 — 2,128 (2,135) — Other non-current liabilities — 329 324 (311) 342 Total liabilities 5,437 3,538 12,736 (12,584) 9,127 Contingently redeemable noncontrolling interest — — — — — Equity: Newmont stockholders’ equity 10,535 5,891 5,810 (11,701) 10,535 Noncontrolling interests — — 984 — 984 Total equity 10,535 5,891 6,794 (11,701) 11,519 Total liabilities and equity $ 15,972 $ 9,429 $ 19,530 $ (24,285) $ 20,646 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2018 | |
COMMITMENTS AND CONTINGENCIES | |
COMMITMENTS AND CONTINGENCIES | NOTE 29 COMMITMENTS AND CONTINGENCIES General 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 and reportable segments are identified in Note 3. Except as noted in this paragraph, all of the Company’s commitments and contingencies specifically described herein are included in Corporate and Other in Note 3. The Yanacocha matters relate to the South America reportable segment. The Fronteer matters relate to the North America reportable segment. Environmental Matters In early 2015, the Peruvian government agency responsible for certain environmental regulations, the Ministry of the Environment (“MINAM”), issued proposed water quality criteria for designated beneficial uses which apply to mining companies, including Yanacocha. These criteria would modify the in-stream water quality criteria pursuant to which Yanacocha has been designing water treatment processes and infrastructure. In December 2015, MINAM issued the final regulation that modified the water quality standards. In response, in February 2017, Yanacocha submitted its proposed modification to the previously approved Environmental Impact Assessment to the Mining Ministry (“MINEM”), which is still under review. After approval, MINEM may allow up to three years to develop and implement the modifications to the water management system. In the event Yanacocha is unsuccessful in implementing the modifications in compliance with the new regulations and deadlines, it could result in fines and penalties relating to potential intermittent non-compliant exceedances. In addition, if accepted the treatment options will result in increased costs. These impacts may adversely impact the future cost and financial performance of our operations in Peru. Refer to Note 5 for further information regarding reclamation and remediation. Details about certain of the more significant matters are discussed below. Newmont USA Limited - 100% Newmont Owned Ross-Adams mine site. By letter dated June 5, 2007, the U.S. Forest Service (“USFS”) 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 agreed to perform the EE/CA pursuant to the requirements of an Administrative Settlement Agreement and Order on Consent (“ASAOC”) between the USFS and Newmont. The EE/CA was provided to the USFS in April 2015. During the first quarter of 2016, the USFS confirmed approval of the EE/CA, and Newmont issued written notice to the USFS certifying that all requirements of the ASAOC had been completed. During the third quarter of 2016, Newmont received a notice of completion of work per the ASAOC from the USFS, which finalized the ASAOC. The USFS issued an Action Memorandum in April 2018 to select the preferred Removal Action alternative identified in the EE/CA. Newmont is continuing to negotiate the terms of a future agreement with the USFS for Newmont to implement the approved Removal Action. No assurances can be made at this time with respect to the outcome of such negotiations and Newmont cannot predict the likelihood of additional expenditures related to this matter. Dawn Mining Company LLC (“Dawn”) - 51% Newmont Owned Midnite mine site and Dawn mill site . Dawn previously leased an open pit uranium mine, currently inactive, on the Spokane Indian Reservation in the State of Washington. The mine site is subject to regulation by agencies of the U.S. Department of Interior (the Bureau of Indian Affairs and the Bureau of Land Management), as well as the U.S. Environmental Protection Agency (“EPA”). As per the Consent Decree approved by the U.S. District Court for the Eastern District of Washington on January 17, 2012, the following actions were required of Newmont, Dawn, the Department of the Interior and the EPA: (i) Newmont and Dawn would design, construct and implement the cleanup plan selected by the EPA in 2006 for the Midnite mine site; (ii) Newmont and Dawn would reimburse the EPA for its costs associated with overseeing the work; (iii) the Department of the Interior would contribute a lump sum amount toward past EPA costs and future costs related to the cleanup of the Midnite mine site; (iv) Newmont and Dawn would be responsible for all other EPA oversight costs and Midnite mine site cleanup costs; and (v) Newmont would post a surety bond for work at the site. During 2012, the Department of Interior contributed its share of past EPA costs and future costs related to the cleanup of the Midnite mine site in a lump sum payment of $42, which Newmont classified as restricted assets with interest on the Condensed Consolidated Balance Sheets for all periods presented. In 2016, Newmont completed the remedial design process (with the exception of the new water treatment plant (“WTP”) design, which was completed in December 2018 and submitted to EPA for final review and approval). Approval of the new National Pollutant Discharge Elimination System (“NPDES”) permit was received in 2017 allowing the subsequent WTP design to be completed. Newmont is managing the remediation project to implement Phase 1 remedial actions with a focus on backfilling Pit 4. In June 2018, $11 was released from the trust account for remedial work completed. Newmont will continue to manage the remediation project through the 2019 construction season. The Dawn mill site is regulated by the Washington Department of Health and is in the process of being closed. Remediation at the Dawn mill site began in 2013. The Tailing Disposal Area 1-4 reclamation earthworks component was completed during 2017 with the embankment erosion protection completed in the second quarter of 2018. The remaining closure activity will consist primarily of addressing groundwater issues. The remediation liability for the Midnite mine site and Dawn mill site is approximately $150 at December 31, 2018. Other Legal Matters Minera Yanacocha S.R.L. – 51.35% Newmont Owned 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, 2013, 2015, 2016, 2017 and 2018, OEFA issued notices of alleged violations of OEFA standards to Yanacocha and Conga relating to past inspections. OEFA has resolved some alleged violations with minimal or no findings. In 2015 and 2016, the water authority of Cajamarca issued notices of alleged regulatory violations, and resolved some allegations in 2018 with no findings. The experience with OEFA and the water authority is that in the case of a finding of violation, remedial action is often the outcome rather than a significant fine. The alleged OEFA violations currently range from zero to 40,300 units and the water authority alleged violations range from zero to 10 units, with each unit having a potential fine equivalent to approximately $.001260 based on current exchange rates ($0 to $50). Yanacocha and Conga are responding to all notices of alleged violations, but cannot reasonably predict the outcome of the agency allegations. 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 the 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: (i) plaintiffs had not exhausted previous administrative proceedings; (ii) the directorial resolution approving the Conga EIA is valid, and was not challenged when issued in the administrative proceedings; (iii) there was inadequate evidence to conclude that the Conga project is a threat to the constitutional right of living in an adequate environment and; (iv) 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 has answered the claim. Neither the Company nor Yanacocha can reasonably predict the outcome of this litigation. Yanacocha Tax Dispute. In 2000, Yanacocha paid Buenaventura and Minas Conga S.R.L. a total of $29 to assume their respective contractual positions in mining concession agreements with Chaupiloma Dos de Cajamarca S.M.R.L. The contractual rights allowed Yanacocha the opportunity to conduct exploration on the concessions, but not a purchase of the concessions. The tax authority alleges that the payments to Buenaventura and Minas Conga S.R.L. were acquisitions of mining concessions requiring the amortization of the amounts under the Peru Mining Law over the life of the mine. Yanacocha expensed the amounts at issue in the initial year since the payments were not for the acquisition of a concession but rather these expenses represent the payment of an intangible and therefore, amortizable in a single year or proportionally for up to ten years according to Income Tax Law. In 2010, the tax court in Peru ruled in favor of Yanacocha and the tax authority appealed the issue to the judiciary. The first appellate court confirmed the ruling of the tax court in favor of Yanacocha. However, in November, 2015, a Superior Court in Peru made an appellate decision overturning the two prior findings in favor of Yanacocha. Yanacocha has appealed the Superior Court ruling to the Peru Supreme Court. On January 18, 2019, the Peru Supreme Court issued notice that three judges support the position of the tax authority and two judges support the position of Yanacocha. Because four votes are required for a final decision, an additional judge has been selected to issue a decision. The matter is set for oral argument in April 2019. The potential liability in this matter is in the form of fines and interest in an amount up to $83. It is not possible to fully predict the outcome of this 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, among other things, that Aurora would commence uranium mining in Labrador by 2013, that this was a firm date, that Aurora faced no current environmental issues in Labrador and that Aurora’s competitors faced 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 the Company, 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 substantially the same allegations contained in the New York lawsuit with claims for fraudulent and negligent misrepresentation. NWG seeks disgorgement of profits since the close of the NWG deal on September 24, 2007 and damages in the amount of C$1.2 billion. Newmont, along with other defendants, served the plaintiff with its statement of defense on October 17, 2014. Newmont intends to vigorously defend this matter, but cannot reasonably predict the outcome Other Commitments and Contingencies 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 remediation, reclamation, exploration permitting, workers compensation programs and other general corporate purposes. At December 31, 2018 and 2017, there were $2,514 and $2,321, respectively, of outstanding letters of credit, surety bonds and bank guarantees. 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. In connection with our investment in Galore Creek, Newmont will owe NovaGold Resources Inc. $75 upon the earlier of approval to construct a mine, mill and all related infrastructure for the Galore Creek project or the initiation of construction of a mine, mill or any related infrastructure. The amount due is non-interest bearing. The decision for an approval and commencement of construction is contingent on the results of a prefeasibility and feasibility study, neither of which have occurred. As such, this amount has not been accrued. |
UNAUDITED SUPPLEMENTARY DATA
UNAUDITED SUPPLEMENTARY DATA | 12 Months Ended |
Dec. 31, 2018 | |
UNAUDITED SUPPLEMENTARY DATA | |
UNAUDITED SUPPLEMENTARY DATA | NOTE 30 UNAUDITED SUPPLEMENTARY DATA Quarterly Data The following is a summary of selected quarterly financial information (unaudited): 2018 Three Months Ended March 31 June 30 September 30 December 31 Sales $ 1,817 $ 1,662 $ 1,726 $ 2,048 Gross profit (1) $ 459 $ 381 $ 401 $ 541 Income (loss) from continuing operations (2) $ 170 $ 274 $ (161) $ (3) Income (loss) from discontinued operations (2) 22 18 16 5 Net income (loss) attributable to Newmont stockholders $ 192 $ 292 $ (145) $ 2 Income (loss) per common share Basic: Continuing operations $ 0.32 $ 0.52 $ (0.31) $ — Discontinued operations 0.04 0.03 0.04 — $ 0.36 $ 0.55 $ (0.27) $ — Diluted: Continuing operations $ 0.32 $ 0.51 $ (0.31) $ — Discontinued operations 0.04 0.03 0.04 — $ 0.36 $ 0.54 $ (0.27) $ — Weighted average common shares (millions) Basic 534 533 533 533 Diluted 535 535 535 535 Cash dividends declared per common share $ 0.140 $ 0.140 $ 0.140 $ 0.140 Closing price of common stock $ 39.07 $ 37.71 $ 30.20 $ 34.65 2017 Three Months Ended March 31 June 30 September 30 December 31 Sales $ 1,690 $ 1,875 $ 1,879 $ 1,935 Gross profit (1) $ 404 $ 523 $ 472 $ 465 Income (loss) from continuing operations (2) $ 70 $ 190 $ 213 $ (549) Income (loss) from discontinued operations (2) (23) (15) (7) 7 Net income (loss) attributable to Newmont stockholders $ 47 $ 175 $ 206 $ (542) Income (loss) per common share Basic: Continuing operations $ 0.13 $ 0.36 $ 0.39 $ (1.02) Discontinued operations (0.04) (0.03) (0.01) 0.01 $ 0.09 $ 0.33 $ 0.38 $ (1.01) Diluted: Continuing operations $ 0.13 $ 0.36 $ 0.39 $ (1.02) Discontinued operations (0.04) (0.03) (0.01) 0.01 $ 0.09 $ 0.33 $ 0.38 $ (1.01) Weighted average common shares (millions) Basic 532 533 533 533 Diluted 533 535 536 536 Cash dividends declared per common share $ 0.050 $ 0.050 $ 0.075 $ 0.075 Closing price of common stock $ 32.96 $ 32.39 $ 37.51 $ 37.52 (1) Sales less Costs applicable to sales , Depreciation and amortization and Reclamation and remediation . (2) Attributable to Newmont stockholders. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2018 | |
SUBSEQUENT EVENTS | |
SUBSEQUENT EVENTS | NOTE 31 SUBSEQUENT EVENT On January 14, 2019, the Company entered into a definitive agreement (as amended by the first amendment to the arrangement agreement, dated as of February 19, 2019, the “Arrangement Agreement”) to acquire all outstanding common shares of Goldcorp, Inc. (“Goldcorp”) in a primarily stock transaction (the “Proposed Transaction”). Under the terms of the agreement, Goldcorp shareholders will receive 0.3280 shares of Newmont’s common stock and $0.02 in cash for each Goldcorp common share they own, for a total transaction value of approximately $10 billion as of the announcement date on January 14, 2019. The transaction, which is subject to approval by both Newmont and Goldcorp shareholders, and other customary conditions and regulatory approvals, is expected to close in the second quarter of 2019. Upon closing, the combined company will be known as Newmont Goldcorp . |
SCHEDULE II - VALUATION AND QUA
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended |
Dec. 31, 2018 | |
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS | |
SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS | SCHEDULE II—VALUATION AND QUALIFYING ACCOUNTS Years Ended December 31, 2018 2017 2016 (in millions) Deferred Income Tax Valuation Allowance Balance at beginning of year $ 2,815 $ 3,873 $ 2,742 Additions to deferred income tax expense 200 579 1,634 Reduction of deferred income tax expense (54) (443) (503) Additions due to Tax Cuts and Jobs Act 79 — — Reduction due to Tax Cuts and Jobs Act (46) (1,194) — Balance at end of year $ 2,994 $ 2,815 $ 3,873 Refer to Note 9 of the Consolidated Financial Statements for additional information. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Risks and Uncertainties | Risks and Uncertainties As a global mining company, the Company’s revenue, profitability and future rate of growth are substantially dependent on prevailing prices for gold and copper. 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 the Company’s financial position, results of operations, cash flows, access to capital and on the quantities of reserves that the Company can economically produce. The carrying value of the Company’s Property, plant and mine development, net ; Inventories ; Stockpiles and ore on leach pads ; and Deferred income tax assets are particularly sensitive to the outlook for commodity prices. A decline in the Company’s price outlook from current levels could result in material impairment charges related to these assets. In addition to changes in commodity prices, other factors such as changes in mine plans, increases in costs, geotechnical failures, and changes in social, environmental or regulatory requirements can adversely affect the Company’s ability to recover its investment in certain assets and result in impairment charges. Minera Yanacocha S.R.L. (“Yanacocha”) includes the mining operations at Yanacocha and the Conga project in Peru. Under the current social and political environment, the Company does not anticipate being able to develop Conga for at least the next five years. As a result of the uncertainty surrounding the Conga project, the Company has allocated its development capital to other projects. Should the Company be unable to develop the Conga project, the Company may have to consider other alternatives for the project, which may result in a future impairment charge. The total assets at Conga as of December 31, 2018 and 2017 were $1,621 and $1,650 respectively. |
Use of Estimates | Use of Estimates The Company’s Consolidated Financial Statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). The preparation of the Company’s Consolidated Financial Statements requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and the related disclosure of contingent assets and liabilities at the date of the Consolidated Financial Statements and the reported amounts of revenues and expenses during the reporting period. The more significant areas requiring the use of management estimates and assumptions relate to mineral reserves that are the basis for future cash flow estimates utilized in impairment calculations and units-of-production amortization calculations; environmental remediation, reclamation and closure obligations; estimates of recoverable gold and other minerals in stockpile and leach pad inventories; estimates of fair value for certain reporting units and asset impairments (including impairments of long-lived assets and investments); write-downs of inventory, stockpiles and ore on leach pads to net realizable value; post-employment, post-retirement and other employee benefit liabilities; valuation allowances for deferred tax assets; provisional amounts related to income tax effects of newly enacted tax laws; reserves for contingencies and litigation; and the fair value and accounting treatment of financial instruments including marketable securities and derivative instruments. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances. Accordingly, actual results will differ from those amounts estimated in these financial statements. |
Principles of Consolidation | Principles of Consolidation The Consolidated Financial Statements include the accounts of Newmont Mining Corporation, more-than-50%-owned subsidiaries that it controls and variable interest entities where it is the primary beneficiary. The Company also includes its pro rata share of assets, liabilities and operations for unincorporated joint ventures in which it has an undivided interest. All significant intercompany balances and transactions have been eliminated. The functional currency for the majority of the Company’s operations is the U.S. dollar. The Company follows the Accounting Standards Codification (“ASC”) guidance for identification and reporting of entities over which control is achieved through means other than voting rights. The guidance defines such entities as Variable Interest Entities (“VIEs”). On November 22, 2013, Newmont entered into a Partnership Agreement with Staatsolie Maatschappij Suriname N.V. (“Staatsolie”) (a company wholly owned by the Republic of Suriname). The Partnership Agreement gave Staatsolie the option to participate in the Merian gold mine (“Merian”) for up to 25% of the partnership. Staatsolie exercised that option in November 2014. At December 31, 2018, Newmont has a 75.0% ownership in Merian. Newmont has identified Merian as a VIE under ASC guidance for consolidation. The Company has determined itself to be the primary beneficiary of this entity, as it is deemed to have a controlling interest over the operations of Merian and has the obligation to absorb losses and the right to receive benefits that are significant to Merian; therefore, the Company consolidates Merian in its financial statements. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents consist of all cash balances and highly liquid investments with an original maturity of three months or less. Because of the short maturity of these investments, the carrying amounts approximate their fair value. Cash and cash equivalents are held in overnight bank deposits or are invested in United States Treasury securities and money market securities. Restricted cash is excluded from cash and cash equivalents and is included in other current or non-current assets. Restricted cash is held primarily for the purpose of settling asset retirement obligations. |
Stockpiles, Ore on Leach Pads and Inventories | Stockpiles, Ore on Leach Pads and Inventories As described below, costs that are incurred in or benefit the productive process are accumulated as stockpiles, ore on leach pads and inventories. Stockpiles, ore on leach pads and inventories are carried at the lower of average cost or net realizable value. Net realizable value represents the estimated future sales price of the product based on current and long-term metals prices, less the estimated costs to complete production and bring the product to sale. Write-downs of stockpiles, ore on leach pads and inventories to net realizable value are reported as a component of Costs applicable to sales and Depreciation and amortization . The current portion of stockpiles, ore on leach pads and inventories is determined based on the expected amounts to be processed within the next 12 months and utilize the short-term metal price assumption in estimating net realizable value. Stockpiles, ore on leach pads and inventories not expected to be processed within the next 12 months are classified as non-current and utilize the long-term metal price assumption in estimating net realizable value. The major classifications are as follows: Stockpiles Stockpiles represent ore that has been extracted from the mine and is available for further processing. Mine sequencing may result in mining material at a faster rate than can be processed. The Company generally processes the highest ore grade material first to maximize metal production; however, a blend of gold ore stockpiles may be processed to balance hardness and/or metallurgy in order to maximize throughput and recovery. Processing of lower grade stockpiled ore may continue after mining operations are completed. Sulfide copper ores are subject to oxidation over time which can reduce expected future recoveries. Stockpiles are measured by estimating the number of tons added and removed from the stockpile, the number of contained ounces or pounds (based on assay data) and the estimated metallurgical recovery rates (based on the expected processing method). Stockpile ore tonnages are verified by periodic surveys. Costs are added to stockpiles based on current mining costs incurred including applicable overhead and depreciation and amortization relating to mining operations and removed at each stockpile’s average cost per recoverable unit as material is processed. Stockpiles are recorded at the lower of average cost or net realizable value, and carrying values are evaluated at least quarterly. Net realizable value represents the estimated future sales price based on short-term and long-term metals price assumptions, less estimated costs to complete production and bring the product to sale. Ore on Leach Pads Ore on leach pads represent ore that has been mined and placed on leach pads where a solution is applied to the surface of the heap to dissolve the gold or extract the copper. The recovery of copper from leach pads is further described below in the Copper Cathode Inventory section. Costs are added to ore on leach pads based on current mining costs, including applicable depreciation and amortization relating to mining operations. Costs are removed from ore on leach pads as ounces are recovered based on the average cost per estimated recoverable ounce of gold or pound of copper on the leach pad. Estimates of recoverable ore on the leach pads are calculated from the quantities of ore placed on the leach pads (measured tons added to the leach pads), the grade of ore placed on the leach pads (based on assay data) and a recovery percentage (based on ore type). In general, leach pads recover between 50% and 95% of the recoverable ounces in the first year of leaching, declining each year thereafter until the leaching process is complete. Although the quantities of recoverable metal placed on the leach pads are reconciled by comparing the grades of ore placed on pads to the quantities of metal actually recovered (metallurgical balancing), the nature of the leaching process inherently limits the ability to precisely monitor inventory levels. As a result, the metallurgical balancing process is constantly monitored and estimates are refined based on actual results over time. Historically, the Company’s operating results have not been materially impacted by variations between the estimated and actual recoverable quantities of metal on its leach pads. Variations between actual and estimated quantities resulting from changes in assumptions and estimates that do not result in write-downs to net realizable value are accounted for on a prospective basis. In-process Inventory In-process inventories represent material that is currently in the process of being converted to a saleable product. Conversion processes vary depending on the nature of the ore and the specific processing facility, but include mill in-circuit, flotation, leach and carbon-in-leach. In-process material is measured based on assays of the material fed into the process and the projected recoveries of the respective processing plants. In-process inventories are valued at the average cost of the material fed into the process attributable to the source material coming from the mines, stockpiles and/or leach pads, plus the in-process conversion costs, including applicable amortization relating to the process facilities incurred to that point in the process. Precious Metals Inventory Precious metals inventories include gold doré and/or gold bullion. Precious metals that result from the Company’s mining and processing activities are valued at the average cost of the respective in-process inventories incurred prior to the refining process, plus applicable refining costs. Copper Cathode Inventory Copper heap leaching is performed on copper oxide ore and enriched copper sulfide ore to produce copper cathodes. Heap leaching is accomplished by stacking uncrushed ore onto synthetically lined pads where it is contacted with a dilute sulfuric acid solution, thus leaching the acid soluble minerals into a copper sulfate solution. The copper sulfate solution is then collected and pumped to the solvent extraction (“SX”) plant. The SX process consists of two steps. During the first step, the copper is extracted into an organic solvent solution. The loaded organic solution is then pumped to the second step where copper is stripped with a strong acid solution before being sent through the electrowinning process. Cathodes produced in electrowinning are 99.99% copper. Copper cathode is produced at the Company’s Phoenix operations by SX and electrowinning. The inventory is valued at the lower of average cost to produce the cathode or net realizable value. Concentrate Inventory Concentrate inventories represent copper and gold concentrate available for shipment or in transit for further processing when the sales process has not been completed. The Company values concentrate inventory at average cost, including an allocable portion of support costs and amortization. Costs are added and removed to the concentrate inventory based on metal in the concentrate and are valued at the lower of average cost or net realizable value. Materials and Supplies Materials and supplies are valued at the lower of average cost or net realizable value. Cost includes applicable taxes and freight. |
Property, Plant and Mine Development | Property, Plant and Mine Development Facilities and Equipment Expenditures for new facilities or equipment and expenditures that extend the useful lives of existing facilities or equipment are capitalized and recorded at cost. Facilities and equipment acquired as a part of a capital lease, build-to-suit or other financing arrangement are capitalized and recorded based on the contractual lease terms. The facilities and equipment are depreciated using the straight-line method at rates sufficient to depreciate such capitalized costs over the estimated productive lives of such facilities. These estimated productive lives do not exceed the related estimated mine lives, which are based on proven and probable reserves. Mine Development Mine development costs include engineering and metallurgical studies, drilling and other related costs to delineate an ore body, the removal of overburden to initially expose an ore body at open pit surface mines and the building of access ways, shafts, lateral access, drifts, ramps and other infrastructure at underground mines. Costs incurred before mineralization is classified as proven and probable reserves are expensed and classified as Exploration or Advanced projects, research and development expense. Capitalization of mine development project costs that meet the definition of an asset begins once mineralization is classified as proven and probable reserves. Drilling and related costs are capitalized for an ore body where proven and probable reserves exist and the activities are directed at obtaining additional information on the ore body or converting mineralized material to proven and probable reserves. All other drilling and related costs are expensed as incurred. Drilling costs incurred during the production phase for operational ore control are allocated to inventory costs and then included as a component of Costs applicable to sales . The cost of removing overburden and waste materials to access the ore body at an open pit mine prior to the production phase are referred to as “pre-stripping costs.” Pre-stripping costs are capitalized during the development of an open pit mine. Where multiple open pits exist at a mining complex utilizing common processing facilities, pre-stripping costs are capitalized at each pit. The removal, production, and sale of de minimis saleable materials may occur during the development phase of an open pit mine and are assigned incremental mining costs related to the removal of that material. The production phase of an open pit mine commences when saleable minerals, beyond a de minimis amount, are produced. Stripping costs incurred during the production phase of a mine are variable production costs that are included as a component of inventory to be recognized in Costs applicable to sales in the same period as the revenue from the sale of inventory. The Company’s definition of a mine and the mine’s production phase may differ from that of other companies in the mining industry resulting in incomparable allocations of stripping costs to deferred mine development and production costs. Other mining companies may expense pre-stripping costs associated with subsequent pits within a mining complex. Other mining companies may capitalize stripping costs incurred in connection with the production phase. Mine development costs are amortized using the units-of-production method based on estimated recoverable ounces or pounds in proven and probable reserves. To the extent that these costs benefit an entire ore body, they are amortized over the estimated life of the ore body. Costs incurred to access specific ore blocks or areas that only provide benefit over the life of that area are amortized over the estimated life of that specific ore block or area. Mineral Interests Mineral interests include acquired interests in production, development and exploration stage properties. Mineral interests are capitalized at their fair value at the acquisition date, either as an individual asset purchase or as part of a business combination. The value of such assets is primarily driven by the nature and amount of mineralized material believed to be contained in such properties. Production stage mineral interests represent interests in operating properties that contain proven and probable reserves. Development stage mineral interests represent interests in properties under development that contain proven and probable reserves. Exploration stage mineral interests represent interests in properties that are believed to potentially contain mineralized material consisting of (i) mineralized material within pits; mineralized material with insufficient drill spacing to qualify as proven and probable reserves; and mineralized material in close proximity to proven and probable reserves; (ii) around-mine exploration potential not immediately adjacent to existing reserves and mineralization, but located within the immediate mine area; (iii) other mine-related exploration potential that is not part of current mineralized material and is comprised mainly of material outside of the immediate mine area; (iv) greenfield exploration potential that is not associated with any other production, development or exploration stage property, as described above; or (v) any acquired right to explore or extract a potential mineral deposit. The Company’s mineral rights generally are enforceable regardless of whether proven and probable reserves have been established. In certain limited situations, the nature of a mineral right changes from an exploration right to a mining right upon the establishment of proven and probable reserves. The Company has the ability and intent to renew mineral interests where the existing term is not sufficient to recover all identified and valued proven and probable reserves and/or undeveloped mineralized material. |
Impairment of Long-lived Assets | Impairment of Long-lived Assets The Company reviews and evaluates its long-lived assets for impairment at least annually, or when events or changes in circumstances indicate that the related carrying amounts may not be recoverable. An impairment loss is measured and recorded based on the estimated fair value of the long-lived assets being tested for impairment, and their carrying amounts. Fair value is typically determined through the use of an income approach utilizing estimates of discounted pre-tax future cash flows or a market approach utilizing recent transaction activity for comparable properties. These approaches are considered Level 3 fair value measurements. Occasionally, such as when an asset is held for sale, market prices are used. The Company believes its estimates and models used to determine fair value are similar to what a market participant would use. The estimated undiscounted cash flows used to assess recoverability of long-lived assets and to measure the fair value of the Company’s mining operations are derived from current business plans, which are developed using short-term price forecasts reflective of the current price environment and management’s projections for long-term average metal prices. In addition to short- and long-term metal price assumptions, other assumptions include estimates of commodity-based and other input costs; proven and probable mineral reserves estimates, including the timing and cost to develop and produce the reserves; value beyond proven and probable estimates; estimated future closure costs; and the use of appropriate discount rates. In estimating undiscounted cash flows, assets are grouped at the lowest level for which there are identifiable cash flows that are largely independent of undiscounted cash flows from other asset groups. The Company’s estimates of undiscounted cash flows are based on numerous assumptions and it is possible that actual cash flows may differ significantly from estimates, as actual produced reserves, metal prices, commodity-based and other costs, and closure costs are each subject to significant risks and uncertainties. |
Investments | Investments Management classifies investments at the acquisition date and re-evaluates the classification at each balance sheet date and when events or changes in circumstances indicate that there is a change in the Company’s ability to exercise significant influence. The Company accounts for its investments in entities over which the Company has significant influence, but not control, using the equity method of accounting. The ability to exercise significant influence is presumed when the Company possesses 20% or more of the voting interests in the investee. Other non-current assets . Additionally, the Company has certain marketable equity and debt securities. Marketable equity securities are measured at fair value with any changes in fair value recorded in Other income, net . The Company accounts for its restricted marketable debt securities as available-for-sale securities. Accumulated other comprehensive income (loss) in Total equity , unless such loss is deemed to be other-than-temporary. Declines in fair value that are deemed to be other-than-temporary are charged to Other income, net . |
Debt | Debt The Company carries its Senior Notes at amortized cost. Debt issuance costs and debt premiums and discounts, which are included in Debt , and unrealized gains or losses related to cash flow hedges using treasury rate lock contracts and forward starting swap contracts, which are included in Accumulated other comprehensive income (loss) , are amortized using the effective interest method over the terms of the respective Senior Notes as a component of Interest expense, net within the Consolidated Statements of Operations. When repurchasing its debt, the Company records the resulting gain or loss as well as the accelerated portion of related debt issuance costs, premiums and discounts, and any unrealized gains or losses from the associated treasury rate lock contracts and/or associated forward starting swap contracts, included in Accumulated other comprehensive income (loss) , in Other Income, net . |
Contingently Redeemable Noncontrolling Interest | Contingently Redeemable Noncontrolling Interest Certain noncontrolling interests in consolidated entities meet the definition of redeemable financial instruments if the ability to redeem the interest is outside of the control of the consolidating entity. In such cases, these financial instruments are required to be classified outside of permanent equity (referred to as temporary equity). |
Treasury Stock | Treasury Stock The Company records repurchases of common shares as Treasury stock at cost and records any subsequent retirements of treasury shares at cost. When treasury shares are retired, the Company’s policy is to allocate the excess of the repurchase price over the par value of shares acquired to both Retained earnings and Additional paid-in capital . The portion allocated to Additional paid-in capital is calculated on a pro rata basis of the shares to be retired and the total shares issued and outstanding as of the date of the retirement. |
Revenue Recognition | Revenue Recognition Newmont generates revenue by selling gold and copper produced from its mining operations. Refer to Note 3 for further information regarding the Company’s operating segments. The majority of the Company’s Sales come from the sale of refined gold; however, the end product at the Company’s gold operations is generally doré bars. Doré is an alloy consisting primarily of gold but also containing silver and other metals. Doré is sent to refiners to produce bullion that meets the required market standard of 99.95% gold. Under the terms of the Company’s refining agreements, the doré bars are refined for a fee, and the Company’s share of the refined gold and the separately-recovered silver is credited to its bullion account. Gold from doré bars credited to its bullion account is typically sold to banks or refiners. A portion of gold sold from Phoenix in Nevada and Boddington and Kalgoorlie in Australia, is sold in the form of concentrate which includes copper and silver. The Company’s Sales also come from the sale of copper. Copper sales are generally in the form of concentrate, which is sold to smelters for further treatment and refining, and cathode. Copper sold from Boddington in Australia is sold in concentrate form and copper sold from Phoenix in Nevada is sold in either concentrate or cathode form. Generally, if a metal expected to be mined represents more than 10 to 20% of the life of mine sales value of all the metal expected to be mined, co-product accounting is applied. When the Company applies co-product accounting at an operation, revenue is recognized for each co-product metal sold, and shared costs applicable to sales are allocated based on the relative sales values of the co-product metals produced. Generally, if metal expected to be mined is less than the 10 to 20% of the life of mine sales value, by-product accounting is applied. Revenues from by-product sales, which are immaterial, are credited to Costs applicable to sales as a by-product credit. Copper is produced as a co-product at Phoenix and Boddington. Copper and silver is produced as a by-product at certain of the Company’s other operations. Gold Sales from Doré Production The Company recognizes revenue for gold from doré production when it satisfies the performance obligation of transferring gold inventory to the customer, which generally occurs upon transfer of gold bullion credits as this is the point at which the customer obtains the ability to direct the use and obtain substantially all of the remaining benefits of ownership of the asset. The Company generally recognizes the sale of gold bullion credits at the prevailing market price when gold bullion credits are delivered to the customer. The transaction price is determined based on the agreed upon market price and the number of ounces delivered. Payment is due upon delivery of gold bullion credits to the customer’s account. Gold and Copper Sales from Concentrate Production The Company recognizes revenue for gold and copper from concentrate production, net of treatment and refining charges, when it satisfies the performance obligation of transferring control of the concentrate to the customer. This generally occurs as material passes over the vessel's rail at the port of loading based on the date from the bill of lading, as the customer has the ability to direct the use of and obtain substantially all of the remaining benefits from the material and the customer has the risk of loss. Newmont has elected to account for shipping and handling costs for concentrate contracts as fulfillment activities and not as promised goods or services; therefore these activities are not considered separate performance obligations. The Company generally sells gold and copper concentrate based on the future monthly average market price for a future month, dependent on the relevant contract, following the month in which the delivery to the customer takes place. The amount of revenue recognized for concentrates is initially recorded on a provisional basis based on the forward prices for the estimated month of settlement and the Company’s estimated metal quantities based on assay data. The Company’s sales based on a provisional price 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 concentrates at the forward price at the time of sale. The embedded derivative, which does not qualify for hedge accounting, is marked to market through Sales each period prior to final settlement. The Company also adjusts estimated metal quantities used in computing provisional sales using new information and assay data from the smelter as it is received (if any). A provisional payment is generally due upon delivery of the concentrate to the customer. Final payment is due upon final settlement of price and quantity with the customer. The principal risks associated with recognition of sales on a provisional basis include metal price fluctuations and updated quantities between the date the sale is recorded and the date of final settlement. If a significant decline in metal prices occurs, or assay data results in a significant change in quantity between the provisional pricing date and the final settlement date, it is reasonably possible that the Company could be required to return a portion of the provisional payment received on the sale. Copper Sales from Cathode Production The Company recognizes revenue for copper from cathode production when it transfers control of copper cathode to the customer, which occurs when the material is picked up by the carrier. The Company generally sells copper cathode based on the weekly average market price for the week following production. The transaction price is determined based on this agreed upon price and the number of pounds delivered. Payment is due upon final settlement of price and quantity with the customer. |
Income and Mining Taxes and Valuation of Deferred Tax Assets | Income and Mining Taxes The Company accounts for income taxes using the liability method, recognizing certain temporary differences between the financial reporting basis of the Company’s liabilities and assets and the related income tax basis for such liabilities and assets. This method generates either a net deferred income tax liability or asset for the Company, as measured by the statutory tax rates in effect. The Company derives its deferred income tax charge or benefit by recording the change in either the net deferred income tax liability or asset balance for the year. The financial statement effects of changes in tax law are recorded as discrete items in the period enacted as part of income tax expense or benefit from continuing operations, regardless of the category of income or loss to which the deferred taxes relate. The Company determines if the assessment of a particular income tax effect is “complete.” Those effects for which the accounting is determined to be complete are reported in the enactment period financial statements. For those effects determined to be incomplete, the Company determines whether a reasonable estimate of those effects can be made. If a reasonable estimate can be made, the estimate is recognized as a provisional amount. If a reasonable estimate cannot be made, no effects are recognized as provisional amounts until the first reporting period in which a reasonable estimate can be made. Provisional amounts are updated when additional information becomes available and the evaluation of such information is complete. The Company completes the accounting for all provisional amounts within a measurement period of up to one year from the enactment date. Mining taxes represent state and provincial taxes levied on mining operations and are classified as income taxes. As such, taxes are based on a percentage of mining profits. With respect to the earnings that the Company derives from the operations of its consolidated subsidiaries, in those situations where the earnings are indefinitely reinvested, no deferred taxes have been provided on the unremitted earnings (including the excess of the carrying value of the net equity of such entities for financial reporting purposes over the tax basis of such equity) of these consolidated companies. Newmont’s operations are in multiple jurisdictions where uncertainties arise in the application of complex tax regulations. Some of these tax regimes are defined by contractual agreements with the local government, while others are defined by general tax laws and regulations. Newmont and its subsidiaries are subject to reviews of its income tax filings and other tax payments, and disputes can arise with the taxing authorities over the interpretation of its contracts or laws. The Company recognizes potential liabilities and records tax liabilities for anticipated tax audit issues in the U.S. and other tax jurisdictions based on its estimate of whether, and the extent to which, additional taxes will be due. The Company adjusts these reserves in light of changing facts and circumstances; however, due to the complexity of some of these uncertainties, the ultimate resolution may result in a payment that is materially different from the Company’s current estimate of the tax liabilities. If the Company’s estimate of tax liabilities proves to be less than the ultimate assessment, an additional charge to expense would result. If the estimate of tax liabilities proves to be greater than the ultimate assessment, a tax benefit would result. The Company recognizes interest and penalties, if any, related to unrecognized tax benefits in Income and mining tax benefit (expense). In certain jurisdictions, Newmont must pay a portion of the disputed amount to the local government in order to formally appeal the assessment. Such payment is recorded as a receivable if Newmont believes the amount is collectible. Valuation of Deferred Tax Assets The Company’s deferred income tax assets include certain future tax benefits. The Company records a valuation allowance against any portion of those deferred income tax assets when it believes, based on the weight of available evidence, it is more likely than not that some portion or all of the deferred income tax asset will not be realized. The Company reviews the likelihood that it will realize the benefit of its deferred tax assets and therefore the need for valuation allowances on a quarterly basis, or more frequently if events indicate that a review is required. In determining the requirement for a valuation allowance, the historical and projected financial results of the legal entity or consolidated group recording the net deferred tax asset is considered, along with all other available positive and negative evidence. Certain categories of evidence carry more weight in the analysis than others based upon the extent to which the evidence may be objectively verified. The Company looks to the nature and severity of cumulative pretax losses (if any) in the current three-year period ending on the evaluation date, recent pretax losses and/or expectations of future pretax losses. Other factors considered in the determination of the probability of the realization of the deferred tax assets include, but are not limited to: · Earnings history; · Projected future financial and taxable income based upon existing reserves and long-term estimates of commodity prices; · The duration of statutory carry forward periods; · Prudent and feasible t ax planning strategies readily available that may alter the timing of reversal of the temporary difference; · Nature of temporary differences and predictability of reversal patterns of existing temporary differences; and · The sensitivity of future forecasted results to commodity prices and other factors. Concluding that a valuation allowance is not required is difficult when there is significant negative evidence which is objective and verifiable, such as cumulative losses in recent years. The Company utilizes a rolling twelve quarters of pre-tax income or loss as a measure of its cumulative results in recent years. However, a cumulative three year loss is not solely determinative of the need for a valuation allowance. The Company also considers all other available positive and negative evidence in its analysis. |
Reclamation and Remediation Costs | Reclamation and Remediation Costs Reclamation obligations are recognized when incurred and recorded as liabilities at fair value. The liability is accreted over time through periodic charges to earnings. In addition, the asset retirement cost is capitalized as part of the asset’s carrying value and amortized over the life of the related asset. Reclamation costs are periodically adjusted to reflect changes in the estimated present value resulting from the passage of time and revisions to the estimates of either the timing or amount of the reclamation costs. Changes in reclamation estimates at non-operating mines are reflected in earnings in the period an estimate is revised. The estimated reclamation obligation is based on when spending for an existing disturbance is expected to occur. The Company reviews, on an annual basis, unless otherwise deemed necessary, the reclamation obligation at each mine site in accordance with ASC guidance for asset retirement obligations. Remediation costs are accrued based on management’s best estimate at the end of each period of the costs expected to be incurred at a site. Such cost estimates may include ongoing care, maintenance and monitoring costs. Changes in remediation estimates at legacy sites are reflected in earnings in the period an estimate is revised. Water treatment costs included in environmental remediation obligations are discounted to their present value as cash flows are readily estimable. All other costs of future expenditures for environmental remediation obligations are not discounted to their present value. |
Foreign Currency | Foreign Currency The functional currency for the majority of the Company’s operations is the U.S. dollar. Transaction gains and losses related to monetary assets and liabilities where the functional currency is the U.S. dollar are remeasured at current exchange rates and the resulting adjustments are included in Other income, net . The financial statements of our foreign entities with functional currencies other than the U.S. dollar are translated into U.S. dollars with the resulting adjustments charged or credited directly to Accumulated other comprehensive income (loss) in total equity. All assets and liabilities translated into the U.S. dollar using exchange rates in effect at the balance sheet date, while revenues and expenses are translated at the weighted average exchange rates for the period. The gains or losses on foreign currency rates on cash holdings in foreign currencies are included in Effect of exchange rate changes on cash in the Company’s Consolidated Statements of Cash Flows. |
Derivative Instruments | Derivative Instruments Newmont has fixed forward contracts and zero-cost collar contracts designated as cash flow hedges in place to hedge against changes in diesel prices. The fair value of derivative contracts qualifying as cash flow hedges are reflected as assets or liabilities in the Consolidated Balance Sheets. The changes in fair value of these hedges are deferred in Accumulated other comprehensive income (loss) . Amounts deferred in Accumulated other comprehensive income (loss) are reclassified to income when the hedged transaction has occurred in the same income statement line where the earnings effect of the hedged item is presented. Cash transactions related to the Company’s derivative contracts accounted for as hedges are classified in the same category as the item being hedged in the Consolidated Statements of Cash Flows. When derivative contracts qualifying as cash flow hedges are settled, accelerated or restructured before the maturity date of the contracts, the related amount in Accumulated other comprehensive income (loss) at the settlement date is deferred and reclassified to earnings, when the originally designated hedged transaction impacts earnings, unless the underlying hedge transaction becomes probable of not occurring. Newmont assesses the effectiveness of the derivative contracts using a regression analysis, both retrospectively and prospectively, to determine whether the hedging instruments have been highly effective in offsetting changes in the fair value of the hedged items. The Company also assesses whether the hedging instruments are expected to be highly effective in the future. If a hedging instrument is not expected to be highly effective, the Company will stop hedge accounting prospectively. In those instances, the gains or losses remain in Accumulated other comprehensive income (loss) until the hedged item affects earnings. For option contracts, the Company excludes the time value from the measurement of effectiveness. |
Stock Based Compensation | Stock-Based Compensation The Company records stock-based compensation awards exchanged for employee services at fair value on the date of the grant and expenses the awards in the Consolidated Statements of Operations over the requisite employee service period. The fair value of stock options is determined using the Black-Scholes valuation model. The fair value of restricted stock units (“RSUs”) are based on the Newmont stock price on the date of grant. The fair value of performance leverage stock units (“PSUs”) is determined using a Monte Carlo simulation model. Stock-based compensation expense related to all awards, including awards with a market or performance condition that cliff vest, is generally recognized ratably over the requisite service period of the award on a straight-line basis. The Company recognizes forfeitures as they occur. The Company's estimates may be impacted by certain variables including, but not limited to, stock price volatility, employee stock option exercise behaviors, additional stock option grants, employee retirement eligibility dates, the Company's performance and related tax impacts. |
Net Income (Loss) per Common Share | Net Income (Loss) per Common Share Basic and diluted income per share are presented for Net income (loss) attributable to Newmont stockholders . 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, including employee stock awards and convertible debt instruments. The dilutive effects of Newmont’s dilutive securities are excluded from the calculation of diluted weighted average common shares outstanding if their effect would be anti-dilutive based on the treasury stock method or due to a net loss from continuing operations. |
Discontinued Operations | Discontinued Operations The Company reports the results of operations of a business as discontinued operations if a disposal represents a strategic shift that has (or will have) a major effect on the Company’s operations and financial results when the business is classified as held for sale, in accordance with ASC 360, Property, Plant and Equipment and ASC 205-20, Presentation of Financial Statements - Discontinued Operations. The results of discontinued operations are reported in Net income (loss) from discontinued operations , net of tax in the accompanying Consolidated Statements of Operations for current and prior periods, including any gain or loss recognized on closing or adjustment of the carrying amount to fair value less cost to sell. On November 2, 2016, Newmont completed the sale of its 48.5% economic interest in PT Newmont Nusa Tenggara (“PTNNT”), which operates the Batu Hijau copper and gold mine (“Batu Hijau”) in Indonesia (the “Batu Hijau Transaction”). As a result, Newmont presents Batu Hijau as a discontinued operation for all periods presented. Accordingly, (i) our Consolidated Statements of Operations and Cash Flows have been reclassified to present Batu Hijau as a discontinued operation for all periods presented and (ii) the amounts presented in these notes relate only to our continuing operations, unless otherwise noted. For additional information regarding our discontinued operations, see Note 11. |
Comprehensive Income (Loss) | Comprehensive Income (Loss) In addition to Net income (loss), Comprehensive income (loss) includes all changes in equity during a period, such as adjustments to minimum pension liabilities, foreign currency translation adjustments, changes in fair value of derivative instruments that qualify as cash flow hedges and cumulative unrecognized changes in fair value of marketable debt securities classified as available-for-sale, except those resulting from investments by and distributions to owners. |
Reclassifications | Reclassifications Certain amounts in prior years have been reclassified to conform to the 2018 presentation. Reclassified amounts were not material to the financial statements. |
Recently Adopted and Recently Issued Accounting Pronouncements | Recently Adopted Accounting Pronouncements Revenue recognition In May 2014, Accounting Standards Update (“ASU”) No. 2014-09 was issued which, together with subsequent amendments, is included in ASC 606, 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 company retrospectively adopted this standard as of January 1, 2018. As there were no contracts outstanding as of December 31, 2017, there was no cumulative effect adjustment required to be recognized at January 1, 2018. The comparative information has not been adjusted and continues to be reported under the accounting standards in effect for those periods. The adoption of this standard primarily impacts the timing of revenue recognition on certain concentrate contracts based on the Company’s determination of when control is transferred. Revenue related to concentrate shipments is now generally recognized upon completion of loading the material for shipment to the customer and satisfaction of the Company’s significant performance obligation. Prior to the adoption of this standard, revenue was recognized for these contracts when the price was determinable, the concentrate had been loaded on a vessel or received by the customer, risk and title had been transferred and collection of the sales price was reasonably assured. Investments In January 2016, ASU No. 2016-01 was issued related to financial instruments. This ASU was further amended in February 2018 by ASU No. 2018-03. The new guidance requires entities to measure equity investments that do not result in consolidation and are not accounted for under the equity method at fair value and recognize any changes in fair value in net income. This new guidance also updates certain disclosure requirements for these investments. This update is effective in fiscal years, including interim periods, beginning after December 15, 2017, and upon adoption, an entity should apply the amendments with the cumulative effect of initially applying the guidance recognized at January 1, 2018. The Company adopted this standard as of January 1, 2018. Upon adoption, the Company reclassified $115 of unrealized holding gains and losses and deferred income taxes related to investments in marketable equity securities from Accumulated other comprehensive income (loss) to Retained earnings in the Consolidated Balance Sheets. Intra-Entity Transfers In October 2016, ASU No. 2016-16 was issued related to the intra-entity transfers of assets other than inventory. This new guidance requires entities to recognize the income tax consequences of an intra-entity transfer of an asset other than inventory when the transfer occurs. This update is effective in fiscal years, including interim periods, beginning after December 15, 2017. The Company adopted this guidance as of January 1, 2018, and determined it had no impact on the Consolidated Financial Statements or disclosures. Employee Benefits In March 2017, ASU No. 2017-07 was issued related to the presentation of net periodic pension and postretirement cost. The new guidance requires the service cost component of net benefit costs to be classified similar to other compensation costs arising from services rendered by employees. Other components of net benefit costs are required to be classified separately from the service cost and outside income from operations. The Company adopted this guidance as of January 1, 2018. The adoption of this guidance resulted in the recognition of other components of net benefit costs within Other income, net rather than Costs applicable to sales or General and administrative and is no longer included in costs that benefit the inventory or production process. Adoption of this guidance did not have a material impact on the Consolidated Financial Statements or disclosures. Hedging In August 2017, ASU No. 2017-12 was issued related to hedge accounting. The new guidance expands the ability to hedge nonfinancial risk components, eliminates the current requirement to separately measure and report hedge ineffectiveness, and requires the entire change in fair value of a hedging instrument to be presented in the same income statement line as the hedged item, when reclassified from Accumulated other comprehensive income (loss) . The guidance also eases certain hedge effectiveness documentation and assessment requirements. This update is effective in fiscal years, including interim periods, beginning after December 15, 2018, and early adoption is permitted. The Company adopted this guidance as of January 1, 2018, and there was no material impact on the Consolidated Financial Statements or disclosures as a result of adoption. Other Comprehensive Income Reclassifications Related to Tax Reform In February 2018, ASU No. 2018-02 was issued allowing companies the option to reclassify to retained earnings the tax effects related to items in Accumulated other comprehensive income (loss) as a result of the Tax Cuts and Jobs Act (the “Act”) that was enacted on December 22, 2017. This guidance should be applied either in the period of adoption or retrospectively to each period in which the effects of the change in the U.S. federal income tax rate in the Act is recognized. The Company adopted this guidance as of December 31, 2018. Upon adoption, the Company reclassified $96 from Accumulated other comprehensive income (loss) to Retained earnings. Recently Issued Accounting Pronouncements Leases In February 2016, ASU No. 2016-02 was issued which, together with subsequent amendments, is included in ASC 842, Leases. The standard requires all leases with an initial term greater than one year to be recorded on the balance sheet as a right-of-use (”ROU”) asset and a lease liability. Certain qualitative and quantitative disclosures are also required. This update is effective in fiscal years, including interim periods, beginning after December 15, 2018. The Company will adopt ASU 2016-02 using the modified retrospective approach with a cumulative-effect adjustment recorded at the beginning of the period of adoption on January 1, 2019. Therefore, upon adoption, the Company will recognize and measure leases without revising comparative period information or disclosure. For certain leases with similar characteristics, the Company will apply a portfolio approach when measuring ROU assets and lease liabilities. The new standard provides a number of optional practical expedients and the Company will elect the following: Transition elections : The Company will elect the land easements practical expedient whereby existing land easements are not reassessed under the new standard. Ongoing accounting policy elections : The Company will elect the short-term lease recognition exemption whereby ROU assets and lease liabilities will not be recognized for leasing arrangements with terms less than one year. The Company will elect the practical expedient not to separate lease and non-lease components for the majority of underlying asset classes. The Company has substantially completed its assessment of the new standard including the impact on the Company’s Consolidated Financial Statements, processes and internal controls. Based on contracts outstanding at December 31, 2018, the adoption of the new standard will result in the recognition of additional right-of-use assets and lease liabilities related to operating leases of between $35 to $55 and $35 to $55, respectively, and finance leases of between $70 to $100 and $75 to $105, respectively. The Company does not expect a material impact to the Consolidated Statements of Operations or the Consolidated Statements of Cash Flows. The Company will provide additional qualitative and quantitative disclosures related to leasing arrangements beginning in the period of adoption. Fair Value Disclosure Requirements In August 2018, ASU No. 2018-13 was issued to modify and enhance the disclosure requirements for fair value measurements. This update is effective in fiscal years, including interim periods, beginning after December 15, 2019, and early adoption is permitted. The Company is still completing its assessment of the impacts and anticipated adoption date of this guidance. Defined Benefit Plan Disclosure Requirements In August 2018, ASU No. 2018-14 was issued to modify and enhance the required disclosures for defined benefit plans. This update is effective in fiscal years, including interim periods, ending after December 15, 2020, and early adoption is permitted. The Company is still completing its assessment of the impacts and anticipated adoption date of this guidance. Capitalization of Certain Cloud Computing Implementation Costs In August 2018, ASU No. 2018-15 was issued which allows for the capitalization for certain implementation costs incurred in a cloud computing arrangement that is considered a service contract. This update is effective in fiscal years, including interim periods, beginning after December 15, 2019, and early adoption is permitted. The Company is still completing its assessment of the impacts and anticipated adoption date of this guidance. |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
SEGMENT INFORMATION | |
Financial Information of Company's Segments | Advanced Income (Loss) Costs Depreciation Projects, Research before Income Applicable and and Development and Mining Tax Total Capital Sales to Sales Amortization and Exploration and Other Items Assets Expenditures (1) Years Ended December 31, 2018 Carlin $ 1,173 $ 782 $ 220 $ 34 $ 79 $ 2,242 $ 153 Phoenix: Gold 291 202 47 Copper 85 55 15 Total Phoenix 376 257 62 5 32 899 32 Twin Creeks 457 240 61 12 (146) 877 82 Long Canyon 215 72 76 23 44 1,008 11 CC&V 450 260 83 10 89 853 29 Other North America — — 2 23 (54) 857 15 North America 2,671 1,611 504 107 44 6,736 322 Yanacocha 659 425 108 54 (6) 1,518 119 Merian 677 275 90 13 300 1,036 78 Other South America — — 14 34 (61) 1,640 1 South America 1,336 700 212 101 233 4,194 198 Boddington: Gold 900 571 102 Copper 218 132 24 Total Boddington 1,118 703 126 — 293 2,113 57 Tanami 638 297 75 17 251 902 97 Kalgoorlie 410 232 24 10 170 402 22 Other Australia — — 6 12 (8) 72 6 Australia 2,166 1,232 231 39 706 3,489 182 Ahafo 553 323 105 17 99 1,869 264 Akyem 527 227 151 13 125 966 40 Other Africa — — — 5 (13) 2 — Africa 1,080 550 256 35 211 2,837 304 Corporate and Other — — 12 68 (456) 3,459 13 Consolidated $ 7,253 $ 4,093 $ 1,215 $ 350 $ 738 $ 20,715 $ 1,019 (1) Includes a decrease in accrued capital expenditures of $13; consolidated capital expenditures on a cash basis were $1,032. Advanced Income (Loss) Costs Depreciation Projects, Research before Income Applicable and and Development and Mining Tax Total Capital Sales to Sales Amortization and Exploration and Other Items Assets Expenditures (1) Years Ended December 31, 2017 Carlin $ 1,228 $ 810 $ 224 $ 18 $ 131 $ 2,299 $ 174 Phoenix: Gold 259 182 47 Copper 88 55 15 Total Phoenix 347 237 62 5 30 889 25 Twin Creeks 473 229 64 9 168 1,144 52 Long Canyon 219 59 74 23 63 1,083 10 CC&V 585 290 127 10 156 901 33 Other North America — — 1 26 (29) 676 9 North America 2,852 1,625 552 91 519 6,992 303 Yanacocha 671 504 134 41 (77) 1,420 51 Merian 643 238 91 14 297 967 105 Other South America — — 14 43 (72) 1,661 — South America 1,314 742 239 98 148 4,048 156 Boddington: Gold 981 562 116 Copper 227 108 22 Total Boddington 1,208 670 138 2 369 2,110 80 Tanami 514 251 67 21 181 690 108 Kalgoorlie 458 234 20 9 190 407 21 Other Australia — — 6 8 (37) 54 5 Australia 2,180 1,155 231 40 703 3,261 214 Ahafo 439 268 72 24 70 1,690 181 Akyem 594 272 155 10 152 1,057 26 Other Africa — — 1 6 (13) 1 — Africa 1,033 540 228 40 209 2,748 207 Corporate and Other — — 11 53 (507) 3,597 10 Consolidated $ 7,379 $ 4,062 $ 1,261 $ 322 $ 1,072 $ 20,646 $ 890 (1) Includes an increase in accrued capital expenditures of $24; consolidated capital expenditures on a cash basis were $866. Advanced Income (Loss) Costs Depreciation Projects, Research before Income Applicable and and Development and Mining Tax Total Capital Sales to Sales Amortization and Exploration and Other Items Assets Expenditures (1) Year Ended December 31, 2016 Carlin $ 1,171 $ 782 $ 199 $ 19 $ 160 $ 2,282 $ 173 Phoenix: Gold 246 163 51 Copper 86 89 27 Total Phoenix 332 252 78 1 (11) 923 22 Twin Creeks 555 231 50 8 261 1,132 37 Long Canyon 27 4 5 20 (3) 1,123 119 CC&V 481 211 105 11 147 1,041 59 Other North America — — 1 12 (11) 696 9 North America 2,566 1,480 438 71 543 7,197 419 Yanacocha 792 525 272 35 (1,171) 1,549 83 Merian 117 34 12 24 46 984 221 Other South America — — 14 36 (55) 1,677 — South America 909 559 298 95 (1,180) 4,210 304 Boddington: Gold 973 530 110 Copper 164 126 24 Total Boddington 1,137 656 134 1 328 2,078 65 Tanami 575 238 82 13 241 623 145 Kalgoorlie 467 257 19 5 185 381 20 Other Australia — — 9 8 (25) 63 4 Australia 2,179 1,151 244 27 729 3,145 234 Ahafo 436 313 94 28 (7) 1,739 87 Akyem 590 235 128 8 214 1,240 22 Other Africa — — 1 2 (8) 2 — Africa 1,026 548 223 38 199 2,981 109 Corporate and Other — — 10 51 (511) 3,538 11 Consolidated $ 6,680 $ 3,738 $ 1,213 $ 282 $ (220) $ 21,071 $ 1,077 (1) Includes a decrease in accrued capital expenditures of $56; consolidated capital expenditures on a cash basis were$1,133. |
Revenues from Sales Based on the Customer's Location | Years Ended December 31, 2018 2017 2016 United Kingdom $ 5,448 $ 5,521 $ 5,382 Switzerland 677 657 148 Philippines 254 310 283 Korea 237 384 298 Germany 237 168 191 China 144 30 62 Japan 105 87 59 United States 52 91 70 Canada 40 96 124 Other 59 35 63 $ 7,253 $ 7,379 $ 6,680 |
Long-Lived Assets, Excluding Deferred Tax Assets, Investments and Restricted Cash, by Country | At December 31, 2018 2017 United States $ 6,162 $ 6,508 Australia 2,987 2,841 Ghana 2,515 2,414 Peru 2,117 2,040 Suriname 825 835 Other 12 11 $ 14,618 $ 14,649 |
SALES (Tables)
SALES (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
SALES | |
Schedule of sales by mining operation, product and by inventory type | Gold Sales Copper Sales Gold Sales from from Copper Sales from Doré Concentrate Concentrate from Cathode Production Production Production Production Total Sales Years Ended December 31, 2018 Carlin $ 1,173 $ — $ — $ — $ 1,173 Phoenix 127 164 33 52 376 Twin Creeks 457 — — — 457 Long Canyon 215 — — — 215 CC&V 450 — — — 450 North America 2,422 164 33 52 2,671 Yanacocha 659 — — — 659 Merian 677 — — — 677 South America 1,336 — — — 1,336 Boddington 243 657 218 — 1,118 Tanami 638 — — — 638 Kalgoorlie 410 — — — 410 Australia 1,291 657 218 — 2,166 Ahafo 553 — — — 553 Akyem 527 — — — 527 Africa 1,080 — — — 1,080 Consolidated $ 6,129 $ 821 $ 251 $ 52 $ 7,253 Gold Sales Copper Sales Gold Sales from from Copper Sales from Doré Concentrate Concentrate from Cathode Production Production Production Production Total Sales Years Ended December 31, 2017 Carlin $ 1,228 $ — $ — $ — $ 1,228 Phoenix 131 128 41 47 347 Twin Creeks 473 — — — 473 Long Canyon 219 — — — 219 CC&V 576 9 — — 585 North America 2,627 137 41 47 2,852 Yanacocha 671 — — — 671 Merian 643 — — — 643 South America 1,314 — — — 1,314 Boddington 237 744 227 — 1,208 Tanami 514 — — — 514 Kalgoorlie 449 9 — — 458 Australia 1,200 753 227 — 2,180 Ahafo 439 — — — 439 Akyem 594 — — — 594 Africa 1,033 — — — 1,033 Consolidated $ 6,174 $ 890 $ 268 $ 47 $ 7,379 Gold Sales Copper Sales Gold Sales from from Copper Sales from Doré Concentrate Concentrate from Cathode Production Production Production Production Total Sales Year Ended December 31, 2016 Carlin $ 1,171 $ — $ — $ — $ 1,171 Phoenix 106 140 46 40 332 Twin Creeks 555 — — — 555 Long Canyon 27 — — — 27 CC&V 459 22 — — 481 North America 2,318 162 46 40 2,566 Yanacocha 792 — — — 792 Merian 117 — — — 117 South America 909 — — — 909 Boddington 268 705 164 — 1,137 Tanami 575 — — — 575 Kalgoorlie 405 62 — — 467 Australia 1,248 767 164 — 2,179 Ahafo 436 — — — 436 Akyem 590 — — — 590 Africa 1,026 — — — 1,026 Consolidated $ 5,501 $ 929 $ 210 $ 40 $ 6,680 |
Schedule of receivables included within Trade Receivables | At December 31, At December 31, 2018 2017 Receivables from Sales: Gold sales from doré $ 40 $ — Gold and copper sales from concentrate production 211 Copper sales from cathode production 3 Total receivables from Sales $ 254 $ |
Schedule of impact of adoption during period | Year Ended December 31, 2018 Balance without Effect of Adoption Condensed Consolidated Statement of Operations As Reported Change of ASC 606 Sales $ 7,253 $ (48) $ 7,205 Costs applicable to sales $ 4,093 $ (34) $ 4,059 Depreciation and amortization $ 1,215 $ (5) $ 1,210 Income (loss) before income and mining tax and other items $ 738 $ (9) $ 729 Income and mining tax benefit (expense) $ (386) $ 1 $ (385) Net income (loss) $ 380 $ (8) $ 372 Net income (loss) attributable to Newmont stockholders: Continuing operations $ 280 $ (8) $ 272 Discontinued operations 61 — 61 $ 341 $ (8) $ 333 Net income (loss) per common share Basic: Continuing operations $ 0.53 $ (0.01) $ 0.52 Discontinued operations 0.11 — 0.11 $ 0.64 $ (0.01) $ 0.63 Diluted: Continuing operations $ 0.53 $ (0.01) $ 0.52 Discontinued operations 0.11 — 0.11 $ 0.64 $ (0.01) $ 0.63 Year Ended December 31, 2018 Balance without Effect of Adoption Condensed Consolidated Statement of Cash Flows As Reported Change of ASC 606 Operating activities: Net income (loss) $ 380 $ (8) $ 372 Adjustments: Depreciation and amortization $ 1,215 $ (5) $ 1,210 Net change in operating assets and liabilities $ (743) $ 13 $ (730) Net cash provided by (used in) operating activities of continuing operations $ 1,837 $ — $ 1,837 At December 31, 2018 Balance without Effect of Adoption Condensed Consolidated Balance Sheet As Reported Change of ASC 606 Trade receivables $ 254 $ (48) $ 206 Inventories $ 630 $ 39 $ 669 Total assets $ 20,715 $ (9) $ 20,706 Income and mining taxes payable $ 71 $ (1) $ 70 Total liabilities $ 9,203 $ (1) $ 9,202 Retained earnings $ 383 $ (8) $ 375 Newmont stockholders' equity $ 10,502 $ (8) $ 10,494 Total equity $ 11,465 $ (8) $ 11,457 Total liabilities and equity $ 20,715 $ (9) $ 20,706 |
RECLAMATION AND REMEDIATION (Ta
RECLAMATION AND REMEDIATION (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
RECLAMATION AND REMEDIATION ABSTRACT | |
Reclamation and Remediation Expense | Years Ended December 31, 2018 2017 2016 Reclamation adjustments $ 33 $ 51 $ 80 Reclamation accretion 99 93 66 Total reclamation expense 132 144 146 Remediation adjustments 26 44 19 Remediation accretion 5 4 4 Total remediation expense 31 48 23 $ 163 $ 192 $ 169 |
Reconciliation of Reclamation Liabilities | Reclamation Remediation Total Balance at January 1, 2017 $ 1,913 $ 312 $ 2,225 Additions, changes in estimates and other 172 32 204 Payments and other (34) (44) (78) Accretion expense 93 4 97 Balance December 31, 2017 2,144 304 2,448 Additions, changes in estimates and other 106 9 115 Payments and other (33) (39) (72) Accretion expense 99 5 104 Balance December 31, 2018 $ 2,316 $ 279 $ 2,595 |
Reconciliation of Remediation Liabilities | Reclamation Remediation Total Balance at January 1, 2017 $ 1,913 $ 312 $ 2,225 Additions, changes in estimates and other 172 32 204 Payments and other (34) (44) (78) Accretion expense 93 4 97 Balance December 31, 2017 2,144 304 2,448 Additions, changes in estimates and other 106 9 115 Payments and other (33) (39) (72) Accretion expense 99 5 104 Balance December 31, 2018 $ 2,316 $ 279 $ 2,595 |
IMPAIRMENT OF LONG-LIVED ASSE_2
IMPAIRMENT OF LONG-LIVED ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
IMPAIRMENT OF LONG-LIVED ASSETS | |
Schedule of impairment of long-lived assets | Years Ended December 31, 2018 2017 2016 North America $ 366 $ — $ 1 South America — 4 1,002 Australia — 6 — Africa 2 — — Corporate and Other 1 4 — $ 369 $ 14 $ |
OTHER EXPENSE, NET (Tables)
OTHER EXPENSE, NET (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
OTHER EXPENSE, NET | |
Other Expense, Net | Years Ended December 31, 2018 2017 2016 Restructuring and other $ 20 $ 14 $ 32 Acquisition cost adjustments — 2 10 Other 9 16 16 $ 29 $ 32 $ 58 |
OTHER INCOME, NET (Tables)
OTHER INCOME, NET (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
OTHER INCOME, NET. | |
Other Income, Net | Years Ended December 31, 2018 2017 2016 Gain on asset and investment sales, net $ 100 $ 23 $ 108 Interest 56 28 11 Change in fair value of marketable equity securities (50) — — Foreign currency exchange, net 42 (28) (9) Impairment of investments (42) — — Insurance proceeds 25 13 — Loss on debt repayment — — (55) Other 24 18 14 $ 155 $ 54 $ 69 |
INCOME AND MINING TAXES (Tables
INCOME AND MINING TAXES (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
INCOME AND MINING TAXES | |
Income and Mining Tax (Expense) Benefit - Current vs Deferred | Years Ended December 31, 2018 2017 2016 Current: United States $ (18) $ (40) $ 101 Foreign (218) (290) (230) (236) (330) (129) Deferred: United States (63) (775) (567) Foreign (87) (22) 117 (150) (797) (450) $ (386) $ (1,127) $ (579) |
Income and Mining Tax (Expense) Benefit - Domestic Vs Foreign | Years Ended December 31, 2018 2017 2016 United States $ (247) $ 243 $ 65 Foreign 985 829 (285) $ 738 $ 1,072 $ (220) |
Income and Mining Tax Expense Reconciliation | Years Ended December 31, 2018 2017 2016 Income (loss) before income and mining tax and other items $ 738 $ 1,072 $ (220) U.S. Federal statutory tax rate 21 % $ (155) 35 % $ (375) 35 % $ 77 Reconciling items: Re-measurement due to the Tax Cuts and Jobs Act (2) 14 29 (312) — — Tax restructuring related to the Tax Cuts and Jobs Act (4) 34 38 (394) — — Percentage depletion (7) 49 (8) 81 39 85 Change in valuation allowance on deferred tax assets 24 (175) 7 (80) (225) (497) Rate differential for foreign earnings indefinitely reinvested 15 (111) — — — — Mining and other taxes 9 (63) 4 (41) (28) (61) Uncertain tax position reserve adjustment (5) 34 — (4) 3 7 U.S. tax effect of noncontrolling interest attributable to non-U.S. investees (4) 26 — (1) (100) (219) Tax impact on sale of assets — — — — 16 36 Effect of foreign earnings, net of credits 2 (18) — (4) — — Other 3 (21) — 3 (3) (7) Income and mining tax expense 52 % $ (386) 105 % $ (1,127) (263) % $ (579) |
Components of Deferred Tax Assets (Liabilities) | At December 31, 2018 2017 Deferred income tax assets: Property, plant and mine development $ 1,400 $ 1,350 Inventory 74 74 Reclamation and remediation 543 329 Net operating losses, capital losses and tax credits 1,078 1,276 Investment in partnerships and subsidiaries 121 86 Employee-related benefits 225 254 Derivative instruments and unrealized loss on investments 65 101 Other 186 263 3,692 3,733 Valuation allowances (2,994) (2,815) $ 698 $ 918 Deferred income tax liabilities: Property, plant and mine development $ (740) $ (841) Inventory (135) (64) Reclamation and remediation — (12) Derivative instruments and unrealized gain on investments (5) — Other (29) (47) (909) (964) Net deferred income tax assets (liabilities) $ (211) $ (46) These amounts reflect the classification and presentation that is reported for each tax jurisdiction in which the Company operates. Net deferred income tax assets and liabilities consist of: At December 31, 2018 2017 Non-current deferred income tax assets $ 401 $ 549 Non-current deferred income tax liabilities (612) (595) $ (211) $ (46) |
Reconciliation of Gross Unrecognized Tax Benefits | 2018 2017 2016 Total amount of gross unrecognized tax benefits at beginning of year $ 68 $ 68 $ 62 Additions for tax positions of prior years 1 (27) 48 Additions for tax positions of current year 2 30 — Reductions due to settlements with taxing authorities (28) — (23) Reductions due to lapse of statute of limitations — (3) (19) Total amount of gross unrecognized tax benefits at end of year $ 43 $ 68 $ 68 |
EQUITY INCOME (LOSS) OF AFFIL_2
EQUITY INCOME (LOSS) OF AFFILIATES (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
EQUITY INCOME (LOSS) OF AFFILIATES | |
Equity Income (Loss) of Affiliates | Years Ended December 31, 2018 2017 2016 TMAC Resources Inc. $ (16) $ (6) $ (7) Minera La Zanja S.R.L. (10) (5) — Euronimba Ltd. (7) (5) (6) $ $ $ |
DISCONTINUED OPERATIONS (Tables
DISCONTINUED OPERATIONS (Tables) - Discontinued operations disposed of by sale | 12 Months Ended |
Dec. 31, 2018 | |
DISPOSITIONS | |
Schedule of Net Income (Loss) from Discontinued Operations, Net of Tax | Years Ended December 31, 2018 2017 2016 Holt royalty obligation $ 57 $ (44) $ (50) Batu Hijau contingent consideration and other 4 6 — Batu Hijau operations — — 514 Loss on sale of Batu Hijau — — (595) Net income (loss) from discontinued operations $ 61 $ (38) $ (131) |
PTNNT | |
DISPOSITIONS | |
Schedule of Net Income (Loss) from Discontinued Operations, Net of Tax | Year Ended 2016 Sales $ 1,668 Costs and expenses: Costs applicable to sales (1) 668 Depreciation and amortization 139 Reclamation and remediation 12 Advanced projects, research and development 2 General and administrative 10 Other expense (income), net (1) 830 Interest expense, net (15) Income (loss) before income and mining tax and other items 823 Income and mining tax benefit (expense) (309) Net income (loss) from discontinued operations 514 Loss on sale of Batu Hijau, net of tax (595) (81) Net loss (income) attributable to noncontrolling interests (272) Net income (loss) from discontinued operations attributable to Newmont stockholders $ (353) (1) Excludes Depreciation and amortization and Reclamation and remediation. |
Schedule of Cash Flows | Year Ended 2016 Net cash provided by (used in) operating activities $ 880 Net cash provided by (used in) investing activities (46) Net cash provided by (used in) financing activities (331) Net cash provided by (used in) Batu Hijau discontinued operations $ 503 |
NET INCOME (LOSS) ATTRIBUTABL_2
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | |
Schedule of Net Income (Loss) Attributable to Noncontrolling Interests | Years Ended December 31, 2018 2017 2016 Merian $ 71 $ 69 $ 10 Yanacocha (1) (32) (63) (595) Other — (1) (1) $ 39 $ 5 $ (586) (1) Included in Yanacocha is $1 loss attributable to the Contingently redeemable noncontrolling interest for the year ended December 31, 2018. |
Schedule summarizing the consolidated assets and liabilities of VIE | At December 31, 2018 2017 Current assets: Cash and cash equivalents $ 40 $ 27 Trade receivables 38 — Inventories 82 79 Stockpiles and ore on leach pads 35 21 Other current assets (1) 5 6 200 133 Non-current assets: Property, plant and mine development, net 766 769 Other non-current assets (2) 4 8 Total assets $ 970 $ 910 Current liabilities: Accounts payable $ 23 $ 22 Other current liabilities (3) 27 28 50 50 Non-current liabilities: Reclamation and remediation liabilities 25 17 Other non-current liabilities (4) 1 1 Total liabilities $ 76 $ 68 (1) Other current assets include other accounts receivable, prepaid assets and other current assets. (2) Other non-current assets include intangibles, stockpiles and ore on leach pads. (3) Other current liabilities include employee-related benefits and other current liabilities. (4) Other non-current liabilities include employee related benefits. Placeholder |
NEWMONT EQUITY AND NET INCOME_2
NEWMONT EQUITY AND NET INCOME (LOSS) PER COMMON SHARE (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
NET INCOME (LOSS) PER COMMON SHARE | |
Summary of Income (Loss) per Common Share, Basic and Diluted | Years Ended December 31, 2018 2017 2016 Net income (loss) attributable to Newmont stockholders: Continuing operations $ 280 $ (76) $ (226) Discontinued operations 61 (38) (403) $ 341 $ (114) $ (629) Weighted average common shares (millions): Basic 533 533 530 Effect of employee stock-based awards 2 2 2 Diluted 535 535 532 Net income (loss) per common share attributable to Newmont stockholders: Basic: Continuing operations $ 0.53 $ (0.14) $ (0.43) Discontinued operations 0.11 (0.07) (0.76) $ 0.64 $ (0.21) $ (1.19) Diluted: Continuing operations $ 0.53 $ (0.14) $ (0.42) Discontinued operations 0.11 (0.07) (0.76) $ 0.64 $ (0.21) $ (1.18) |
EMPLOYEE-RELATED BENEFITS (Tabl
EMPLOYEE-RELATED BENEFITS (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
EMPLOYEE PENSION AND OTHER BENEFIT PLANS | |
Schedule of current and long-term employee-related benefits | At December 31, 2018 2017 Current: Accrued payroll and withholding taxes $ 263 $ 264 Peruvian workers’ participation and other bonuses 19 22 Employee pension benefits 5 7 Other post-retirement benefit plans 6 5 Accrued severance 2 1 Other employee-related payables 10 10 $ 305 $ 309 Non-current: Employee pension benefits $ 149 $ 129 Accrued severance 163 162 Other post-retirement benefit plans 76 81 Other employee-related payables 13 14 $ 401 $ 386 |
Schedule of reconciliation of changes in the obligations and fair value of pension and other benefits | Pension Benefits Other Benefits 2018 2017 2018 2017 Change in benefit obligation: Benefit obligation at beginning of year $ 1,121 $ 1,025 $ 86 $ 84 Service cost 31 29 1 1 Interest cost 41 44 3 4 Actuarial loss (gain) (87) 73 (5) 2 Amendments — — — (2) Settlement payments — (10) — — Benefits paid (43) (40) (3) (3) Projected benefit obligation at end of year $ 1,063 $ 1,121 N/A N/A Accumulated benefit obligation $ 1,038 $ 1,098 $ 82 $ 86 Change in fair value of assets: Fair value of assets at beginning of year $ 985 $ 833 $ — $ — Actual return on plan assets (62) 130 — — Employer contributions 29 72 3 3 Settlement payments — (10) — — Benefits paid (43) (40) (3) (3) Fair value of assets at end of year $ 909 $ 985 $ — $ — Unfunded status, net $ 154 $ 136 $ 82 $ 86 |
Schedule of net pension and other employee benefit amounts recognized in the consolidated balance sheets | Pension Benefits Other Benefits 2018 2017 2018 2017 Accrued employee benefit liability $ 154 $ 136 $ 82 $ 86 Accumulated other comprehensive income (loss): Net actuarial gain (loss) Prior service credit Less: Income taxes $ (295) $ (236) $ 33 $ 28 |
Schedule of components of the net periodic pension and other benefits costs | Pension Benefit Costs (Credits) Other Benefit Costs (Credits) 2018 2017 2016 2018 2017 2016 Service cost $ 31 $ 29 $ 28 $ 1 $ 1 $ 2 Interest cost 41 44 45 3 4 Expected return on plan assets — — — Amortization, net 32 30 25 Net periodic benefit cost (credit) $ 36 $ $ $ (3) $ (2) $ — Settlements — 5 6 — — — Total benefit cost (credit) $ 36 $ 45 $ 46 $ (3) $ (2) $ — |
Schedule of components recognized in Other comprehensive income (loss) | Pension Benefits Other Benefits 2018 2017 2016 2018 2017 2016 Net loss (gain) $ 42 $ 5 $ 61 $ (6) $ — $ (11) Amortization, net (32) (30) (25) 7 7 6 Settlements — (5) (6) — — — Total recognized in other comprehensive income (loss) $ 10 $ (30) $ 30 $ 1 $ 7 $ (5) Total recognized in net periodic benefit cost and other comprehensive income (loss) $ 46 $ 15 $ 76 $ (2) $ 5 $ (5) |
Schedule of significant assumptions used in measuring the benefit obligation and net periodic pension benefit cost | Pension Benefits Other Benefits Years Ended December 31, Years Ended December 31, 2018 2017 2016 2018 2017 2016 Weighted average assumptions used in measuring the net periodic benefit cost: Discount rate % % % % % % Expected return on plan assets % % % N/A N/A N/A |
Schedule of target and actual asset allocations | The following is a summary of the target asset allocations for 2018 and the actual asset allocation at December 31, 2018. Actual at December 31, Asset Allocation Target 2018 U.S. equity investments 11 % 11 % International equity investments 12 % 11 % World equity fund (U.S. and International equity investments) 20 % 19 % High yield fixed income investments 4 % 4 % Fixed income investments 45 % 47 % Other 8 % 8 % The following table sets forth the Company’s pension plan assets measured at fair value at December 31, 2018 and 2017: Fair Value at December 31, 2018 2017 Plan Assets: Cash and cash equivalents $ 3 $ 3 Commingled funds 906 982 $ 909 $ 985 |
Schedule of effect of one percentage point change in assumed health care cost trend rates | One-percentage-point One-percentage-point Increase Decrease Effect on total of service and interest cost components of net periodic post-retirement health care benefit cost $ — $ — Effect on the health care component of the accumulated post-retirement benefit obligation $ 2 $ (2) |
STOCK BASED COMPENSATION (Table
STOCK BASED COMPENSATION (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
STOCK-BASED COMPENSATION | |
Schedule of status and activity of non-vested RSUs, PSUs, and SSUs | RSU PSU Weighted Weighted Average Average Number of Grant-Date Number of Grant-Date Shares Fair Value Shares Fair Value Non-vested at beginning of year 2,616,540 $ 30.39 2,594,570 $ 42.27 Granted 1,171,275 $ 38.84 1,531,842 $ 42.44 Vested (1,460,828) $ 30.23 (1,746,596) $ 41.79 Forfeited (160,289) $ 34.68 (135,785) $ 42.79 Non-vested at end of year 2,166,698 $ 34.75 2,244,031 $ 42.73 |
Schedule of stock based compensation by award | Years Ended December 31, 2018 2017 2016 Stock-based compensation: Restricted stock units $ 45 $ 34 $ 31 Performance leveraged stock units 31 35 34 Strategic stock units — 1 5 $ 76 $ 70 $ 70 |
FAIR VALUE ACCOUNTING (Tables)
FAIR VALUE ACCOUNTING (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
FAIR VALUE ACCOUNTING | |
Fair Value Measurement of Assets and Liabilities | Fair Value at December 31, 2018 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 3,397 $ 3,397 $ — $ — Restricted cash 92 92 — — Trade receivable from provisional gold and copper concentrate sales, net 209 — 209 — Marketable equity securities 127 114 13 — Restricted marketable debt securities 51 21 30 — Restricted other assets 6 6 — — Batu Hijau contingent consideration 26 — — 26 $ 3,908 $ 3,630 $ 252 $ 26 Liabilities: Debt (1) $ 4,229 $ — $ 4,229 $ — Diesel derivative contracts 5 — 5 — Holt royalty obligation 161 — — 161 $ 4,395 $ — $ 4,234 $ 161 Fair Value at December 31, 2017 Total Level 1 Level 2 Level 3 Assets: Cash and cash equivalents $ 3,259 $ 3,259 $ — $ — Restricted cash 39 39 — — Trade receivable from provisional gold and copper concentrate sales, net 111 — 111 — Diesel derivative contracts 6 — 6 — Marketable equity securities 165 165 — — Restricted marketable debt securities 55 17 38 — Restricted other assets 9 9 — — Batu Hijau contingent consideration 23 — — 23 $ 3,667 $ 3,489 $ 155 $ 23 Liabilities: Debt (1) $ 4,671 $ — $ 4,671 $ — Foreign exchange forward derivative contracts 1 — 1 — Holt royalty obligation 243 — — 243 $ 4,915 $ — $ 4,672 $ 243 (1) Debt, exclusive of capital leases, is carried at amortized cost. The outstanding carrying value was $4,044 and $4,040 at December 31, 2018 and 2017, respectively. The fair value measurement of debt was based on an independent third party pricing source. |
Fair Value Inputs Assets Liabilities Quantitative Information | At December 31, Range/Weighted Description 2018 Valuation technique Unobservable input average Batu Hijau contingent consideration $ 26 Monte Carlo Discount rate 16.60 % Short-term copper price $ 2.80 Long-term copper price $ Holt royalty obligation $ 161 Monte Carlo Discount rate 4.11 % Short-term gold price $ 1,228 Long-term gold price $ 1,300 Gold production scenarios (in 000's of ounces) 302 - 1,544 At December 31, Range/Weighted Description 2017 Valuation technique Unobservable input average Batu Hijau contingent consideration $ 23 Monte Carlo Discount rate 17.50 % Short-term copper price $ 3.09 Long-term copper price $ 3.00 Holt royalty obligation $ 243 Monte Carlo Discount rate 3.32 % Short-term gold price $ 1,275 Long-term gold price $ 1,300 Gold production scenarios (in 000's of ounces) 402 - 1,779 |
Changes in the Fair Value of the Company's Level 3 Financial Assets | The following tables set forth a summary of changes in the fair value of the Company’s Level 3 financial assets and liabilities: Asset Backed Batu Hijau Holt Commercial Contingent Total Royalty Total Paper (1) Consideration (2) Assets Obligation (2) Liabilities Fair value at December 31, 2016 $ 18 $ 13 $ 31 $ 187 $ 187 Settlements (18) — (18) (12) (12) Revaluation — 10 10 68 68 Fair value at December 31, 2017 $ — $ 23 $ 23 $ 243 $ 243 Settlements — — — (10) (10) Revaluation — 3 3 (72) (72) Fair value at December 31, 2018 $ — $ 26 $ 26 $ 161 $ 161 (1) The gain (loss) recognized is included in Other income, net. (2) The gain (loss) recognized is included in Net income (loss) from discontinued operations . |
Changes in the Fair Value of the Company's Level 3 Financial Liabilities | The following tables set forth a summary of changes in the fair value of the Company’s Level 3 financial assets and liabilities: Asset Backed Batu Hijau Holt Commercial Contingent Total Royalty Total Paper (1) Consideration (2) Assets Obligation (2) Liabilities Fair value at December 31, 2016 $ 18 $ 13 $ 31 $ 187 $ 187 Settlements (18) — (18) (12) (12) Revaluation — 10 10 68 68 Fair value at December 31, 2017 $ — $ 23 $ 23 $ 243 $ 243 Settlements — — — (10) (10) Revaluation — 3 3 (72) (72) Fair value at December 31, 2018 $ — $ 26 $ 26 $ 161 $ 161 (1) The gain (loss) recognized is included in Other income, net. (2) The gain (loss) recognized is included in Net income (loss) from discontinued operations . |
DERIVATIVE INSTRUMENTS (Tables)
DERIVATIVE INSTRUMENTS (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
DERIVATIVE INSTRUMENTS | |
Fair Values of Derivative Instruments Designated as Hedges | Fair Values of Derivative Instruments At December 31, 2018 Other Other Other Other Current Non-current Current Non-current Assets Assets Liabilities Liabilities Diesel derivatives $ — $ — $ 2 $ 3 Fair Values of Derivative Instruments At December 31, 2017 Other Other Other Other Current Non-current Current Non-current Assets Assets Liabilities Liabilities A$ operating fixed forwards $ — $ — $ 1 $ — Diesel derivatives 6 — — — $ 6 $ — $ 1 $ — |
Schedule of Location and Amount of Gains (Losses) Reported Related to Cash Flow Hedges | Foreign Currency Diesel Fixed Interest Exchange Contracts Forward Contracts Rate Contracts 2018 2017 2016 2018 2017 2016 2018 2017 2016 For the year ended December 31, Cash flow hedging relationships: (Gain) loss recognized in Other comprehensive income (loss) $ — $ (5) $ (3) $ 3 $ (3) $ (9) $ — $ — $ — (Gain) loss reclassified from Accumulated other comprehensive income (loss) into income (loss) $ 13 $ 25 $ 37 $ (7) $ 2 $ 22 $ 10 $ 10 $ 33 Gain (loss) reclassified from Accumulated other comprehensive income (loss) into income (loss) (ineffective portion) $ — $ — $ — $ — $ — $ (1) $ — $ — $ — |
Location and Amount of Gains (Losses) Reported in Consolidated Financial Statements | (Gain) Loss Recognized from Cash Flow Hedges Years Ended December 31, 2018 2017 2016 Total Costs applicable to sales $ 4,093 $ 4,062 $ 3,738 Amount of (gain) loss reclassified from Accumulated other comprehensive income (loss) into income (loss) from foreign currency hedging instruments $ 13 $ 25 $ Amount of (gain) loss reclassified from Accumulated other comprehensive income (loss) into income (loss) from diesel hedging instruments $ (7) $ 2 $ Total Interest expense, net of capitalized interest $ $ $ Amount of (gain) loss reclassified from Accumulated other comprehensive income (loss) into income (loss) from discontinued interest rate hedging instruments $ 10 $ 10 $ |
Cash Flow Hedges | Diesel derivative contracts | |
DERIVATIVE INSTRUMENTS | |
Outstanding Derivative Contracts | Expected Maturity Date 2019 2020 2021 Total/ Diesel Fixed Forward Contracts: North America Diesel gallons (millions) 4 5 2 11 Average rate ($/gallon) 1.87 2.00 2.07 1.97 South America Diesel gallons (millions) — 2 — 2 Average rate ($/gallon) 2.07 1.89 2.05 1.93 Australia Diesel barrels (thousands) 18 93 60 171 Average rate ($/barrel) 85.96 78.86 84.76 81.68 |
INVESTMENTS (Tables)
INVESTMENTS (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
INVESTMENTS | |
Schedule of reconciliation of cost to fair value for Available-for-sale and other investments | At December 31, 2018 Fair Value/ Equity Basis (1) Current: Marketable equity securities $ 48 Non-current: Marketable equity securities: Continental Gold Inc. $ 62 Warrants 13 Other marketable equity securities 4 79 Equity method investments: TMAC Resources Inc. (28.64%) 109 Maverix Metals Inc. (27.85%) 76 Minera La Zanja S.R.L. (46.94%) 7 192 $ 271 Non-current restricted investments: (2) Marketable debt securities (3) $ 51 Other assets 6 $ 57 At December 31, 2017 Cost/Equity Unrealized Fair Value/ Basis Gain Loss Equity Basis (1) Current: Marketable equity securities $ 38 $ 32 $ (8) $ 62 Non-current: Marketable equity securities: Continental Gold Inc. $ 109 $ — $ (8) $ 101 Warrants 7 — — 7 Other marketable equity securities 4 — (2) 2 120 — (10) 110 Other investments 5 — — 5 Equity method investments: TMAC Resources Inc. (28.79%) 115 — — 115 Minera La Zanja S.R.L. (46.94%) 50 — — 50 165 — — 165 $ 290 $ — $ (10) $ 280 Non-current restricted investments: (2) Marketable debt securities $ 58 $ — $ (3) $ 55 Other assets 8 1 — 9 $ 66 $ 1 $ (3) $ 64 (1) Subsequent to the adoption of ASU No. 2016-01 on January 1, 2018, unrealized gains and losses related to marketable equity securities are recorded in Other income, net . Previously, gains and losses related to unrealized marketable equity securities were recorded in Other comprehensive income (loss) . (2) Non-current restricted investments are legally pledged for purposes of settling reclamation and remediation obligations. These amounts are included in Other non-current assets . For further information regarding these amounts see Note 5. (3) There were nominal unrealized gains or losses recorded in Accumulated other comprehensive income (loss) as of December 31, 2018, related to marketable debt securities. |
INVENTORIES (Tables)
INVENTORIES (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Inventories | |
Summary of Inventories | At December 31, 2018 2017 Materials and supplies $ 439 $ 416 In-process 104 131 Concentrate and copper cathode 61 83 Precious metals 26 49 $ 630 $ 679 |
STOCKPILES AND ORE ON LEACH P_2
STOCKPILES AND ORE ON LEACH PADS (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
STOCKPILES AND ORE ON LEACH PADS | |
Stockpiles and Ore on Leach Pads | At December 31, 2018 2017 Current: Stockpiles $ 395 $ 330 Ore on leach pads 302 346 $ 697 $ 676 Non-current: Stockpiles $ 1,429 $ 1,502 Ore on leach pads 437 346 $ 1,866 $ 1,848 Total: Stockpiles $ 1,824 $ 1,832 Ore on leach pads 739 692 $ 2,563 $ 2,524 |
Stockpiles and Ore on Leach Pads, by Segment | Stockpiles Leach pads At December 31, At December 31, 2018 2017 2018 2017 Stockpiles and ore on leach pads: Carlin $ 263 $ 236 $ 186 $ 205 Phoenix 32 35 32 33 Twin Creeks 320 333 25 7 Long Canyon — — 45 34 CC&V 23 57 278 257 Yanacocha 71 114 173 156 Merian 35 25 — — Boddington 458 431 — — Tanami 2 4 — — Kalgoorlie 121 125 — — Ahafo 417 409 — — Akyem 82 63 — — $ 1,824 $ 1,832 $ 739 $ 692 |
PROPERTY, PLANT AND MINE DEVE_2
PROPERTY, PLANT AND MINE DEVELOPMENT (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
PROPERTY, PLANT AND MINE DEVELOPMENT | |
Property, Plant and Mine Development | Depreciable At December 31, 2018 At December 31, 2017 Life Accumulated Net Book Accumulated Net Book (in years) Cost Depreciation Value Cost Depreciation Value Land $ 222 $ — $ 222 $ 222 $ — $ 222 Facilities and equipment - 27 16,300 (10,343) 5,957 15,979 (9,760) 6,219 Mine development - 18 5,598 (3,314) 2,284 5,260 (3,026) 2,234 Mineral interests - 22 1,876 (667) 1,209 1,975 (624) 1,351 Asset retirement cost - 22 1,143 (787) 356 1,069 (729) 340 Construction-in-progress 2,230 — 2,230 1,972 — 1,972 $ 27,369 $ (15,111) $ 12,258 $ 26,477 $ (14,139) $ 12,338 Leased assets included above in facilities and equipment - 20 $ 27 $ (17) $ 10 $ 27 $ (15) $ 12 Depreciable At December 31, 2018 At December 31, 2017 Life Accumulated Net Book Accumulated Net Book Mineral Interests (in years) Cost Depreciation Value Cost Depreciation Value Production stage - 22 $ 872 $ (667) $ 205 $ 865 $ (624) $ 241 Development stage (1) 59 — 59 39 — 39 Exploration stage (1) 945 — 945 1,071 — 1,071 $ 1,876 $ (667) $ 1,209 $ 1,975 $ (624) $ 1,351 (1) These amounts are currently non-depreciable as these mineral interests have not reached production stage. |
DEBT (Tables)
DEBT (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
DEBT | |
Debt | At December 31, 2018 At December 31, 2017 Current Non-Current Current Non-Current 2019 Senior Notes, net 626 — — 625 2022 Senior Notes, net — — 985 2035 Senior Notes, net — — 594 2039 Senior Notes, net — — 859 2042 Senior Notes, net — — 984 Debt issuance costs on Corporate Revolving Credit Facilities — (6) — (7) $ 626 $ 3,418 $ — $ 4,040 |
OTHER LIABILITIES (Tables)
OTHER LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
OTHER LIABILITIES | |
Other Liabilities | At December 31, At December 31, 2018 2017 Other current liabilities: Accrued operating costs $ 129 $ 124 Reclamation and remediation liabilities 114 103 Royalties 63 63 Accrued capital expenditures 61 77 Accrued interest 52 52 Holt royalty obligation 12 15 Taxes other than income and mining 8 7 Other 16 21 $ 455 $ 462 Other non-current liabilities: Holt royalty obligation $ 149 $ 228 Galore Creek deferred payments 89 — Power supply agreements 28 32 Social development obligations 18 22 Income and mining taxes 17 47 Other 13 13 $ 314 $ 342 |
RECLASSIFICATIONS OUT OF AOCI (
RECLASSIFICATIONS OUT OF AOCI (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |
Change in Accumulated Other Comprehensive Income (Loss) | Pension and Unrealized Gain Unrealized Gain Foreign Other (Loss) on (Loss) on Currency Post-retirement Cash flow Marketable Translation Benefit Hedge Securities, net Adjustments Adjustments Instruments Total Balance at December 31, 2016 $ (101) $ 118 $ (223) $ (128) $ (334) Change in other comprehensive income (loss) before reclassifications (10) 12 (3) 5 4 Reclassifications from accumulated other comprehensive income (loss) (5) — 18 25 38 Net current-period other comprehensive income (loss) (15) 12 15 30 42 Balance at December 31, 2017 $ (116) $ 130 $ (208) $ (98) $ (292) Cumulative effect adjustment of adopting ASU No. 2016-01 115 — — — 115 Cumulative effect adjustment of adopting ASU No. 2018-02 — — (45) (51) (96) Net current-period other comprehensive income (loss): Change in other comprehensive income (loss) before reclassifications 1 (12) (29) (3) (43) Reclassifications from accumulated other comprehensive income (loss) — — 20 12 32 Other comprehensive income (loss) 1 (12) (9) 9 (11) Balance at December 31, 2018 $ — $ 118 $ (262) $ (140) $ (284) |
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 Consolidated Statements of Operations Years Ended December 31, 2018 2017 2016 Marketable securities adjustments: Sale of marketable securities $ — $ (5) $ (103) Other income, net Total before tax — (5) (103) Tax — — — Net of tax $ — $ (5) $ (103) Pension and other post-retirement benefit adjustments: Amortization $ 25 $ 23 $ 19 Other income, net (1) Settlements — 5 6 Other income, net (2) Total before tax 25 28 25 Tax (5) (10) (9) Net of tax $ 20 $ 18 $ 16 Hedge instruments adjustments: Operating cash flow hedges $ 6 $ 27 $ 59 Costs applicable to sales Operating cash flow hedges (ineffective portion) — — (1) Other income, net Interest rate contracts 10 10 33 Interest expense, net Total before tax 16 37 91 Tax (4) (12) (30) Net of tax $ 12 $ 25 $ 61 Total reclassifications for the period, net of tax $ 32 $ 38 $ (26) (1) In 2018, this accumulated other comprehensive income (loss) component was included in Other income, net as a result of adopting ASU No. 2017-07. Refer to Note 2 for information about the adoption. In 2017 and 2016, this accumulated other comprehensive income (loss) component was included in General and administrative and costs that benefit the inventory/production process. Refer to Note 2 for information on costs that benefit the inventory/production process. (2) In 2018, this accumulated other comprehensive income (loss) component was included in Other income, net as a result of adopting ASU No. 2017-07. Refer to Note 2 for information about the adoption. In 2017 and 2016, this accumulated other comprehensive income (loss) component was included in Other expense, net . |
NET CHANGE IN OPERATING ASSET_2
NET CHANGE IN OPERATING ASSETS AND LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
NET CHANGE IN OPERATING ASSETS AND LIABILITIES | |
Net cash provided by (used in) operating activities of continuing operations attributable to the net change in operating assets and liabilities | Years Ended December 31, 2018 2017 2016 Decrease (increase) in operating assets: Trade and other accounts receivables $ (109) $ 35 $ (99) Inventories, stockpiles and ore on leach pads (250) (204) (329) Other assets (49) (52) (83) Increase (decrease) in operating liabilities: Accounts payable and other accrued liabilities (73) 10 13 Reclamation and remediation liabilities (72) (78) (54) Payment of accreted interest from debt discount (1) — (196) — Accrued tax liabilities (190) 93 59 $ (743) $ (392) $ (493) (1) In July 2017, the Company repaid the $575 outstanding aggregate principal amount of the 2017 Convertible Senior Notes at maturity. This debt repayment included accreted interest of $196 from the debt discount at origination that is classified as a cash outflow from operating activities. P |
SUPPLEMENTAL CASH FLOW INFORM_2
SUPPLEMENTAL CASH FLOW INFORMATION (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
SUPPLEMENTAL CASH FLOW INFORMATION | |
Supplemental Cash Flow Information | Years Ended December 31, 2018 2017 2016 Income and mining taxes paid, net of refunds $ 429 $ 214 $ 85 Interest paid, net of amounts capitalized $ 188 $ 435 $ 276 |
CONDENSED CONSOLIDATING FINAN_2
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS | |
Condensed Consolidating Statement of Operation | Year Ended December 31, 2018 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Operation Corporation USA Subsidiaries Eliminations Consolidated Sales $ — $ 1,896 $ 5,357 $ — $ 7,253 Costs and expenses: Costs applicable to sales (1) — 1,206 2,887 — 4,093 Depreciation and amortization 4 349 862 — 1,215 Reclamation and remediation — 32 131 — 163 Exploration — 55 142 — 197 Advanced projects, research and development — 34 119 — 153 General and administrative — 82 162 — 244 Impairment of long-lived assets — 336 33 — 369 Other expense, net — 4 25 — 29 4 2,098 4,361 — 6,463 Other income (expense): Other income, net (56) 40 171 — 155 Interest income - intercompany 83 51 43 (177) — Interest expense - intercompany (6) — (171) 177 — Interest expense, net (190) (7) (10) — (207) (169) 84 33 — (52) Income (loss) before income and mining tax and other items (173) (118) 1,029 — 738 Income and mining tax benefit (expense) 14 (15) (385) — (386) Equity income (loss) of affiliates 500 (228) (33) (272) (33) Net income (loss) from continuing operations 341 (361) 611 (272) 319 Net income (loss) from discontinued operations — — 61 — 61 Net income (loss) 341 (361) 672 (272) 380 Net loss (income) attributable to noncontrolling interests — — (39) — (39) Net income (loss) attributable to Newmont stockholders $ 341 $ (361) $ 633 $ (272) $ 341 Comprehensive income (loss) $ 330 $ (440) $ 779 $ (300) $ 369 Comprehensive loss (income) attributable to noncontrolling interests — — (39) — (39) Comprehensive income (loss) attributable to Newmont stockholders $ 330 $ (440) $ 740 $ (300) $ 330 (1) Excludes Depreciation and amortization and Reclamation and remediation . Year Ended December 31, 2017 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Operation Corporation USA Subsidiaries Eliminations Consolidated Sales $ — $ 1,955 $ 5,424 $ — $ 7,379 Costs and expenses: Costs applicable to sales (1) — 1,209 2,853 — 4,062 Depreciation and amortization 4 355 902 — 1,261 Reclamation and remediation — 63 129 — 192 Exploration — 43 136 — 179 Advanced projects, research and development — 21 122 — 143 General and administrative — 80 157 — 237 Impairment of long-lived assets — — 14 — 14 Other expense, net — 12 20 — 32 4 1,783 4,333 — 6,120 Other income (expense): Other income, net 41 6 7 — 54 Interest income - intercompany 149 43 41 (233) — Interest expense - intercompany (39) (4) (190) 233 — Interest expense, net (222) (7) (12) — (241) (71) 38 (154) — (187) Income (loss) before income and mining tax and other items (75) 210 937 — 1,072 Income and mining tax benefit (expense) (34) (23) (1,070) — (1,127) Equity income (loss) of affiliates (5) (108) (16) 113 (16) Net income (loss) from continuing operations (114) 79 (149) 113 (71) Net income (loss) from discontinued operations — — (38) — (38) Net income (loss) (114) 79 (187) 113 (109) Net loss (income) attributable to noncontrolling interests — — (5) — (5) Net income (loss) attributable to Newmont stockholders $ (114) $ 79 $ (192) $ 113 $ (114) Comprehensive income (loss) $ (72) $ 90 $ (198) $ 113 $ (67) Comprehensive loss (income) attributable to noncontrolling interests — — (5) — (5) Comprehensive income (loss) attributable to Newmont stockholders $ (72) $ 90 $ (203) $ 113 $ (72) (1) Excludes Depreciation and amortization and Reclamation and remediation . Year Ended December 31, 2016 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Operation Corporation USA Subsidiaries Eliminations Consolidated Sales $ — $ 1,951 $ 4,729 $ — $ 6,680 Costs and expenses: Costs applicable to sales (1) — 1,198 2,540 — 3,738 Depreciation and amortization 4 333 876 — 1,213 Reclamation and remediation — 14 155 — 169 Exploration — 35 113 — 148 Advanced projects, research and development — 11 123 — 134 General and administrative — 90 143 — 233 Impairment of long-lived assets — 1 1,002 — 1,003 Other expense, net — 30 28 — 58 4 1,712 4,980 — 6,696 Other income (expense): Other income, net (69) 14 124 — 69 Interest income - intercompany 132 — 46 (178) — Interest expense - intercompany (45) — (133) 178 — Interest expense, net (254) (6) (13) — (273) (236) 8 24 — (204) Income (loss) before income and mining tax and other items (240) 247 (227) — (220) Income and mining tax benefit (expense) 232 (62) (749) — (579) Equity income (loss) of affiliates (621) (1,342) 411 1,539 (13) Net income (loss) from continuing operations (629) (1,157) (565) 1,539 (812) Net income (loss) from discontinued operations — — (131) — (131) Net income (loss) (629) (1,157) (696) 1,539 (943) Net loss (income) attributable to noncontrolling interests: Continuing operations — — 586 — 586 Discontinued operations — — (272) — (272) — — 314 — 314 Net income (loss) attributable to Newmont stockholders $ (629) $ (1,157) $ (382) $ 1,539 $ (629) Comprehensive income (loss) $ (629) $ (1,155) $ (698) $ 1,539 $ (943) Comprehensive loss (income) attributable to noncontrolling interests — — 314 — 314 Comprehensive income (loss) attributable to Newmont stockholders $ (629) $ (1,155) $ (384) $ 1,539 $ (629) (1) Excludes Depreciation and amortization and Reclamation and remediation. |
Condensed Consolidating Statement of Cash Flows | Year Ended December 31, 2018 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Cash Flows Corporation USA Subsidiaries Eliminations Consolidated Operating activities: Net cash provided by (used in) operating activities of continuing operations $ (147) $ 578 $ 1,406 $ — $ 1,837 Net cash provided by (used in) operating activities of discontinued operations — — (10) — (10) Net cash provided by (used in) operating activities (147) 578 1,396 — 1,827 Investing activities: Additions to property, plant and mine development — (274) (758) — (1,032) Acquisitions, net — — (140) — (140) Purchases of investments (6) — (33) — (39) Proceeds from sales of other assets — — 24 — 24 Proceeds from sales of investments — 13 5 — 18 Proceeds from sale of Batu Hijau — — — — — Other — (1) (7) — (8) Net cash provided by (used in) investing activities of continuing operations (6) (262) (909) — (1,177) Net cash provided by (used in) investing activities of discontinued operations — — — — — Net cash provided by (used in) investing activities (6) (262) (909) — (1,177) Financing activities: Dividends paid to common stockholders (301) — — — (301) Distributions to noncontrolling interests — — (160) — (160) Funding from noncontrolling interests — — 100 — 100 Repurchases of common stock (98) — — — (98) Proceeds from sale of noncontrolling interests — — 48 — 48 Payments for withholding of employee taxes related to stock-based compensation — (40) — — (40) Payments on lease and other financing obligations — (1) (3) — (4) Repayment of debt — — — — — Acquisition of noncontrolling interests — — — — — Dividends paid to noncontrolling interests — — — — — Net intercompany borrowings (repayments) 552 (275) (277) — — Other — — — — — Net cash provided by (used in) financing activities of continuing operations 153 (316) (292) — (455) Net cash provided by (used in) financing activities of discontinued operations — — — — — Net cash provided by (used in) financing activities 153 (316) (292) — (455) Effect of exchange rate changes on cash, cash equivalents and restricted cash — — (4) — (4) Net change in cash, cash equivalents and restricted cash — — 191 — 191 Less net cash provided by (used in) Batu Hijau discontinued operations — — — — — — — 191 — 191 Cash, cash equivalents and restricted cash at beginning of period — — 3,298 — 3,298 Cash, cash equivalents and restricted cash at end of period $ — $ — $ 3,489 $ — $ 3,489 Reconciliation of cash, cash equivalents and restricted cash: Cash and cash equivalents $ — $ — $ 3,397 $ — $ 3,397 Restricted cash included in Other current assets — — 1 — 1 Restricted cash included in Other noncurrent assets — — 91 — 91 Total cash, cash equivalents and restricted cash $ — $ — $ 3,489 $ — $ 3,489 Year Ended December 31, 2017 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Cash Flows Corporation USA Subsidiaries Eliminations Consolidated Operating activities: Net cash provided by (used in) operating activities of continuing operations $ (325) $ (207) $ 2,671 $ — $ 2,139 Net cash provided by (used in) operating activities of discontinued operations — — (15) — (15) Net cash provided by (used in) operating activities (325) (207) 2,656 — 2,124 Investing activities: Additions to property, plant and mine development — (253) (613) — (866) Acquisitions, net — — — — — Purchases of investments (114) — (16) — (130) Proceeds from sales of other assets — — 5 — 5 Proceeds from sales of investments — — 35 — 35 Proceeds from sale of Batu Hijau — — — — — Other — 2 8 — 10 Net cash provided by (used in) investing activities of continuing operations (114) (251) (581) — (946) Net cash provided by (used in) investing activities of discontinued operations — — — — — Net cash provided by (used in) investing activities (114) (251) (581) — (946) Financing activities: Dividends paid to common stockholders (134) — — — (134) Distributions to noncontrolling interests — — (178) — (178) Funding from noncontrolling interests — — 94 — 94 Repurchases of common stock — — — — — Proceeds from sale of noncontrolling interests — — — — — Payments for withholding of employee taxes related to stock-based compensation — (14) — — (14) Payments on lease and other financing obligations — (3) (2) — (5) Repayment of debt (379) — — — (379) Acquisition of noncontrolling interests — — (48) — (48) Dividends paid to noncontrolling interests — — — — — Net intercompany borrowings (repayments) 955 473 (1,428) — — Other (3) 1 (2) — (4) Net cash provided by (used in) financing activities of continuing operations 439 457 (1,564) — (668) Net cash provided by (used in) financing activities of discontinued operations — — — — — Net cash provided by (used in) financing activities 439 457 (1,564) — (668) Effect of exchange rate changes on cash, cash equivalents and restricted cash — — 6 — 6 Net change in cash, cash equivalents and restricted cash — (1) 517 — 516 Less net cash provided by (used in) Batu Hijau discontinued operations — — — — — — (1) 517 — 516 Cash, cash equivalents and restricted cash at beginning of period — 1 2,781 — 2,782 Cash, cash equivalents and restricted cash at end of period $ — $ — $ 3,298 $ — $ 3,298 Reconciliation of cash, cash equivalents and restricted cash: Cash and cash equivalents $ — $ — $ 3,259 $ — $ 3,259 Restricted cash included in Other current assets — — 1 — 1 Restricted cash included in Other noncurrent assets — — 38 — 38 Total cash, cash equivalents and restricted cash $ — $ — $ 3,298 $ — $ 3,298 Year Ended December 31, 2016 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Statement of Cash Flows Corporation USA Subsidiaries Eliminations Consolidated Operating activities: Net cash provided by (used in) operating activities of continuing operations $ 2,240 $ 1,342 $ 117 $ (1,782) $ 1,917 Net cash provided by (used in) operating activities of discontinued operations — — 869 — 869 Net cash provided by (used in) operating activities 2,240 1,342 986 (1,782) 2,786 Investing activities: Additions to property, plant and mine development — (261) (872) — (1,133) Acquisitions, net — — — — — Purchases of investments — — (15) — (15) Proceeds from sales of other assets — — 9 — 9 Proceeds from sales of investments — 8 187 — 195 Proceeds from sale of Batu Hijau — — 920 — 920 Other — — (4) — (4) Net cash provided by (used in) investing activities of continuing operations — (253) 225 — (28) Net cash provided by (used in) investing activities of discontinued operations — — (46) — (46) Net cash provided by (used in) investing activities — (253) 179 — (74) Financing activities: Dividends paid to common stockholders (67) (1,512) (270) 1,782 (67) Distributions of noncontrolling interests — — (3) — (3) Funding from noncontrolling interests — — 66 — 66 Repurchases of common stock — — — — — Proceeds from sale of noncontrolling interests — — — — — Payments for withholding of employee taxes related to stock-based compensation — (5) — — (5) Payments on lease and other financing obligations — (3) (2) — (5) Repayment of debt (1,307) — — — (1,307) Acquisition of noncontrolling interests — — (19) — (19) Dividends paid to noncontrolling interests — — (146) — (146) Net intercompany borrowings (repayments) (866) (748) 1,614 — — Other — (1) 1 — — Net cash provided by (used in) financing activities of continuing operations (2,240) (2,269) 1,241 1,782 (1,486) Net cash provided by (used in) financing activities of discontinued operations — — (331) — (331) Net cash provided by (used in) financing activities (2,240) (2,269) 910 1,782 (1,817) Effect of exchange rate changes on cash, cash equivalents and restricted cash — — 2 — 2 Net change in cash, cash equivalents and restricted cash — (1,180) 2,077 — 897 Less net cash provided by (used in) Batu Hijau discontinued operations — — 503 — 503 — (1,180) 1,574 — 394 Cash, cash equivalents and restricted cash at beginning of period — 1,181 1,207 — 2,388 Cash, cash equivalents and restricted cash at end of period $ — $ 1 $ 2,781 $ — $ 2,782 Reconciliation of cash, cash equivalents and restricted cash: Cash and cash equivalents $ — $ 1 $ 2,755 $ — $ 2,756 Restricted cash included in Other current assets — — 1 — 1 Restricted cash included in Other noncurrent assets — — 25 — 25 Total cash, cash equivalents and restricted cash $ — $ 1 $ 2,781 $ — $ 2,782 |
Condensed Consolidating Balance Sheet | At December 31, 2018 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Balance Sheet Corporation USA Subsidiaries Eliminations Consolidated Assets: Cash and cash equivalents $ — $ — $ 3,397 $ — $ 3,397 Trade receivables — 63 191 — 254 Other accounts receivables — 1 91 — 92 Intercompany receivable 6,351 5,027 8,296 (19,674) — Investments — — 48 — 48 Inventories — 180 450 — 630 Stockpiles and ore on leach pads — 195 502 — 697 Other current assets — 29 130 — 159 Current assets 6,351 5,495 13,105 (19,674) 5,277 Property, plant and mine development, net 14 2,680 9,593 (29) 12,258 Investments 62 4 205 — 271 Investments in subsidiaries 13,083 — 3 (13,086) — Stockpiles and ore on leach pads — 658 1,208 — 1,866 Deferred income tax assets — — 401 — 401 Non-current intercompany receivable 653 704 6 (1,363) — Other non-current assets — 271 371 — 642 Total assets $ 20,163 $ 9,812 $ 24,892 $ (34,152) $ 20,715 Liabilities: Debt $ 626 $ — $ — $ — $ 626 Accounts payable — 83 220 — 303 Intercompany payable 5,554 2,741 11,379 (19,674) — Employee-related benefits — 138 167 — 305 Income and mining taxes — 19 52 — 71 Lease and other financing obligations — 1 26 — 27 Other current liabilities 52 135 268 — 455 Current liabilities 6,232 3,117 12,112 (19,674) 1,787 Debt 3,418 — — — 3,418 Reclamation and remediation liabilities — 325 2,156 — 2,481 Deferred income tax liabilities — 90 522 — 612 Employee-related benefits 3 236 162 — 401 Lease and other financing obligations — 3 187 — 190 Non-current intercompany payable 7 — 1,385 (1,392) — Other non-current liabilities 1 637 298 (622) 314 Total liabilities 9,661 4,408 16,822 (21,688) 9,203 Contingently redeemable noncontrolling interest — — 47 — 47 Equity: Newmont stockholders’ equity 10,502 5,404 7,060 (12,464) 10,502 Noncontrolling interests — — 963 — 963 Total equity 10,502 5,404 8,023 (12,464) 11,465 Total liabilities and equity $ 20,163 $ 9,812 $ 24,892 $ (34,152) $ 20,715 At December 31, 2017 (Issuer) (Guarantor) (Non-Guarantor) Newmont Newmont Mining Mining Newmont Other Corporation Condensed Consolidating Balance Sheet Corporation USA Subsidiaries Eliminations Consolidated Assets: Cash and cash equivalents $ — $ — $ 3,259 $ — $ 3,259 Trade receivables — 18 106 — 124 Other accounts receivables — — 113 — 113 Intercompany receivable 2,053 4,601 3,484 (10,138) — Investments — — 62 — 62 Inventories — 181 498 — 679 Stockpiles and ore on leach pads — 196 480 — 676 Other current assets — 38 115 — 153 Current assets 2,053 5,034 8,117 (10,138) 5,066 Property, plant and mine development, net 17 3,082 9,266 (27) 12,338 Investments 106 4 170 — 280 Investments in subsidiaries 12,012 — — (12,012) — Stockpiles and ore on leach pads — 648 1,200 — 1,848 Deferred income tax assets 84 5 460 — 549 Non-current intercompany receivable 1,700 401 7 (2,108) — Other non-current assets — 255 310 — 565 Total assets $ 15,972 $ 9,429 $ 19,530 $ (24,285) $ 20,646 Liabilities: Accounts payable $ — $ 83 $ 292 $ — $ 375 Intercompany payable 1,338 2,145 6,655 (10,138) — Employee-related benefits — 143 166 — 309 Income and mining taxes — 18 230 — 248 Lease and other financing obligations — 1 3 — 4 Other current liabilities 52 163 247 — 462 Current liabilities 1,390 2,553 7,593 (10,138) 1,398 Debt 4,040 — — — 4,040 Reclamation and remediation liabilities — 309 2,036 — 2,345 Deferred income tax liabilities — 121 474 — 595 Employee-related benefits — 222 164 — 386 Lease and other financing obligations — 4 17 — 21 Non-current intercompany payable 7 — 2,128 (2,135) — Other non-current liabilities — 329 324 (311) 342 Total liabilities 5,437 3,538 12,736 (12,584) 9,127 Contingently redeemable noncontrolling interest — — — — — Equity: Newmont stockholders’ equity 10,535 5,891 5,810 (11,701) 10,535 Noncontrolling interests — — 984 — 984 Total equity 10,535 5,891 6,794 (11,701) 11,519 Total liabilities and equity $ 15,972 $ 9,429 $ 19,530 $ (24,285) $ 20,646 |
UNAUDITED SUPPLEMENTARY DATA (T
UNAUDITED SUPPLEMENTARY DATA (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
UNAUDITED SUPPLEMENTARY DATA | |
Quarterly Financial Information Tables | 2018 Three Months Ended March 31 June 30 September 30 December 31 Sales $ 1,817 $ 1,662 $ 1,726 $ 2,048 Gross profit (1) $ 459 $ 381 $ 401 $ 541 Income (loss) from continuing operations (2) $ 170 $ 274 $ (161) $ (3) Income (loss) from discontinued operations (2) 22 18 16 5 Net income (loss) attributable to Newmont stockholders $ 192 $ 292 $ (145) $ 2 Income (loss) per common share Basic: Continuing operations $ 0.32 $ 0.52 $ (0.31) $ — Discontinued operations 0.04 0.03 0.04 — $ 0.36 $ 0.55 $ (0.27) $ — Diluted: Continuing operations $ 0.32 $ 0.51 $ (0.31) $ — Discontinued operations 0.04 0.03 0.04 — $ 0.36 $ 0.54 $ (0.27) $ — Weighted average common shares (millions) Basic 534 533 533 533 Diluted 535 535 535 535 Cash dividends declared per common share $ 0.140 $ 0.140 $ 0.140 $ 0.140 Closing price of common stock $ 39.07 $ 37.71 $ 30.20 $ 34.65 2017 Three Months Ended March 31 June 30 September 30 December 31 Sales $ 1,690 $ 1,875 $ 1,879 $ 1,935 Gross profit (1) $ 404 $ 523 $ 472 $ 465 Income (loss) from continuing operations (2) $ 70 $ 190 $ 213 $ (549) Income (loss) from discontinued operations (2) (23) (15) (7) 7 Net income (loss) attributable to Newmont stockholders $ 47 $ 175 $ 206 $ (542) Income (loss) per common share Basic: Continuing operations $ 0.13 $ 0.36 $ 0.39 $ (1.02) Discontinued operations (0.04) (0.03) (0.01) 0.01 $ 0.09 $ 0.33 $ 0.38 $ (1.01) Diluted: Continuing operations $ 0.13 $ 0.36 $ 0.39 $ (1.02) Discontinued operations (0.04) (0.03) (0.01) 0.01 $ 0.09 $ 0.33 $ 0.38 $ (1.01) Weighted average common shares (millions) Basic 532 533 533 533 Diluted 533 535 536 536 Cash dividends declared per common share $ 0.050 $ 0.050 $ 0.075 $ 0.075 Closing price of common stock $ 32.96 $ 32.39 $ 37.51 $ 37.52 (1) Sales less Costs applicable to sales , Depreciation and amortization and Reclamation and remediation . Attributable to Newmont stockholders. |
SUMMARY OF POLICIES - Risks and
SUMMARY OF POLICIES - Risks and Uncertainties (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Risks and Uncertainties | |||
Assets | $ 20,715 | $ 20,646 | $ 21,071 |
Conga | Political and financial results contingencies | |||
Risks and Uncertainties | |||
Assets | $ 1,621 | $ 1,650 | |
Conga | Political and financial results contingencies | Minimum | |||
Risks and Uncertainties | |||
Pre-development period | 5 years |
SUMMARY OF POLICIES - Consolida
SUMMARY OF POLICIES - Consolidation - Other (Details) - Merian | 1 Months Ended | 12 Months Ended |
Nov. 30, 2014 | Dec. 31, 2018 | |
Principles of Consolidation | ||
Option to participate, maximum (as a percent) | 25.00% | |
Primary Beneficiary | ||
Principles of Consolidation | ||
Ownership interest held (as a percent) | 75.00% |
SUMMARY OF POLICIES - Stockpile
SUMMARY OF POLICIES - Stockpiles and Ore on Leach Pads (Details) | 12 Months Ended |
Dec. 31, 2018 | |
Stockpiles, Ore on Leach Pads and Inventories | |
Percentage of copper in cathodes produced in electrowinning | 99.99% |
Minimum | |
Stockpiles, Ore on Leach Pads and Inventories | |
Leach pad recovery rate | 50.00% |
Maximum | |
Stockpiles, Ore on Leach Pads and Inventories | |
Leach pad recovery rate | 95.00% |
SUMMARY OF POLICIES - Revenue R
SUMMARY OF POLICIES - Revenue Recognition (Details) | 12 Months Ended |
Dec. 31, 2018 | |
Revenue recognition | |
Dore' market standard for percentage of gold | 99.95% |
Minimum | |
Revenue recognition | |
Co-product accounting, percent of metal mined as a percent of the life of mine sales value | 10.00% |
Product accounting, percent of metal mined as a percent of the life of mine sales value | 10.00% |
Maximum | |
Revenue recognition | |
Co-product accounting, percent of metal mined as a percent of the life of mine sales value | 20.00% |
Product accounting, percent of metal mined as a percent of the life of mine sales value | 20.00% |
SUMMARY OF POLICIES - Income an
SUMMARY OF POLICIES - Income and Mining Taxes (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Income and Mining Taxes | |
Deferred tax on unremitted earnings | $ 0 |
Look-back period | 3 years |
SUMMARY OF POLICIES - Discontin
SUMMARY OF POLICIES - Discontinued Operations (Details) | Nov. 02, 2016 |
PTNNT | Discontinued operations disposed of by sale | |
Agreement terms and other information | |
Ownership interest sold (as a percent) | 48.50% |
SUMMARY OF POLICIES - Recently
SUMMARY OF POLICIES - Recently Adopted - Cumulative Effect Revenue Recognition (Details) - ASU No. 2014-09 Revenue Recognition $ in Millions | Jan. 01, 2018USD ($) | Dec. 31, 2017contract |
Revenue Recognition | ||
Number of contracts outstanding | contract | 0 | |
Effect of Change | ||
Revenue Recognition | ||
Cumulative effect adjustment | $ | $ 0 |
SUMMARY OF POLICIES - Recentl_2
SUMMARY OF POLICIES - Recently Adopted - Investments and Tax Act (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 |
ASU No. 2016-01 | Accumulated Other Comprehensive Income (Loss) | |||
Recently Adopted Accounting Pronouncements | |||
Cumulative effect adjustment | $ 115 | ||
ASU No. 2016-01 | Adjustments | Accumulated Other Comprehensive Income (Loss) | |||
Recently Adopted Accounting Pronouncements | |||
Cumulative effect adjustment | $ 115 | 115 | |
ASU No. 2016-01 | Adjustments | Retained Earnings | |||
Recently Adopted Accounting Pronouncements | |||
Cumulative effect adjustment | $ (115) | (115) | |
Accounting Standards Update 201802 [Member] | Accumulated Other Comprehensive Income (Loss) | |||
Recently Adopted Accounting Pronouncements | |||
Cumulative effect adjustment | (96) | ||
Accounting Standards Update 201802 [Member] | Adjustments | Accumulated Other Comprehensive Income (Loss) | |||
Recently Adopted Accounting Pronouncements | |||
Cumulative effect adjustment | $ (96) | (96) | |
Accounting Standards Update 201802 [Member] | Adjustments | Retained Earnings | |||
Recently Adopted Accounting Pronouncements | |||
Cumulative effect adjustment | $ 96 | $ 96 |
SUMMARY OF POLICIES - Recentl_3
SUMMARY OF POLICIES - Recently Issued - Leases (Details) - Accounting Standards Update 2016-02 [Member] - Forecast adjustment $ in Millions | Jan. 01, 2019USD ($) |
Leases [Abstract] | |
Lease, Practical Expedients, Package [true false] | true |
Minimum | |
Leases [Abstract] | |
Operating Lease, Right-of-Use Asset | $ 35 |
Operating Lease, Liability | 35 |
Finance Lease, Right-of-Use Asset | 70 |
Finance Lease, Liability | 75 |
Maximum | |
Leases [Abstract] | |
Operating Lease, Right-of-Use Asset | 55 |
Operating Lease, Liability | 55 |
Finance Lease, Right-of-Use Asset | 100 |
Finance Lease, Liability | $ 105 |
SEGMENT INFORMATION - Financial
SEGMENT INFORMATION - Financial Information Table (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018USD ($) | Sep. 30, 2018USD ($) | Jun. 30, 2018USD ($) | Mar. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Sep. 30, 2017USD ($) | Jun. 30, 2017USD ($) | Mar. 31, 2017USD ($) | Dec. 31, 2018USD ($)segment | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Segment Information | |||||||||||
Number of operating segments | segment | 4 | ||||||||||
Sales (Note 4) | $ 2,048 | $ 1,726 | $ 1,662 | $ 1,817 | $ 1,935 | $ 1,879 | $ 1,875 | $ 1,690 | $ 7,253 | $ 7,379 | $ 6,680 |
Costs applicable to sales | 4,093 | 4,062 | 3,738 | ||||||||
Depreciation and amortization | 1,215 | 1,261 | 1,213 | ||||||||
Advanced Projects, Research and Development, and Exploration | 350 | 322 | 282 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | 738 | 1,072 | (220) | ||||||||
Total Assets | 20,715 | 20,646 | 20,715 | 20,646 | 21,071 | ||||||
Capital Expenditures | 1,019 | 890 | 1,077 | ||||||||
Additional disclosures | |||||||||||
Increase (decrease) in accrued capital expenditures | (13) | 24 | 56 | ||||||||
Consolidated capital expenditures on a cash basis | 1,032 | 866 | 1,133 | ||||||||
Corporate and other | |||||||||||
Segment Information | |||||||||||
Depreciation and amortization | 11 | 10 | |||||||||
Advanced Projects, Research and Development, and Exploration | 53 | 51 | |||||||||
Income (Loss) before Income and Mining Tax and Other Items | (507) | (511) | |||||||||
Total Assets | 3,597 | 3,597 | 3,538 | ||||||||
Capital Expenditures | 10 | 11 | |||||||||
North America | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 2,671 | 2,852 | 2,566 | ||||||||
North America | Carlin | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 1,173 | 1,228 | 1,171 | ||||||||
North America | Phoenix | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 376 | 347 | 332 | ||||||||
North America | Twin Creeks | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 457 | 473 | 555 | ||||||||
North America | Long Canyon | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 215 | 219 | 27 | ||||||||
North America | Cripple Creek and Victor mine | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 450 | 585 | 481 | ||||||||
North America | Operating Segments | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 2,671 | 2,852 | 2,566 | ||||||||
Costs applicable to sales | 1,611 | 1,625 | 1,480 | ||||||||
Depreciation and amortization | 504 | 552 | 438 | ||||||||
Advanced Projects, Research and Development, and Exploration | 107 | 91 | 71 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | 44 | 519 | 543 | ||||||||
Total Assets | 6,736 | 6,992 | 6,736 | 6,992 | 7,197 | ||||||
Capital Expenditures | 322 | 303 | 419 | ||||||||
North America | Operating Segments | Carlin | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 1,173 | 1,228 | 1,171 | ||||||||
Costs applicable to sales | 782 | 810 | 782 | ||||||||
Depreciation and amortization | 220 | 224 | 199 | ||||||||
Advanced Projects, Research and Development, and Exploration | 34 | 18 | 19 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | 79 | 131 | 160 | ||||||||
Total Assets | 2,242 | 2,299 | 2,242 | 2,299 | 2,282 | ||||||
Capital Expenditures | 153 | 174 | 173 | ||||||||
North America | Operating Segments | Phoenix | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 376 | 347 | 332 | ||||||||
Costs applicable to sales | 257 | 237 | 252 | ||||||||
Depreciation and amortization | 62 | 62 | 78 | ||||||||
Advanced Projects, Research and Development, and Exploration | 5 | 5 | 1 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | 32 | 30 | (11) | ||||||||
Total Assets | 899 | 889 | 899 | 889 | 923 | ||||||
Capital Expenditures | 32 | 25 | 22 | ||||||||
North America | Operating Segments | Phoenix | Gold | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 291 | 259 | 246 | ||||||||
Costs applicable to sales | 202 | 182 | 163 | ||||||||
Depreciation and amortization | 47 | 47 | 51 | ||||||||
North America | Operating Segments | Phoenix | Copper | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 85 | 88 | 86 | ||||||||
Costs applicable to sales | 55 | 55 | 89 | ||||||||
Depreciation and amortization | 15 | 15 | 27 | ||||||||
North America | Operating Segments | Twin Creeks | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 457 | 473 | 555 | ||||||||
Costs applicable to sales | 240 | 229 | 231 | ||||||||
Depreciation and amortization | 61 | 64 | 50 | ||||||||
Advanced Projects, Research and Development, and Exploration | 12 | 9 | 8 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | (146) | 168 | 261 | ||||||||
Total Assets | 877 | 1,144 | 877 | 1,144 | 1,132 | ||||||
Capital Expenditures | 82 | 52 | 37 | ||||||||
North America | Operating Segments | Long Canyon | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 215 | 219 | 27 | ||||||||
Costs applicable to sales | 72 | 59 | 4 | ||||||||
Depreciation and amortization | 76 | 74 | 5 | ||||||||
Advanced Projects, Research and Development, and Exploration | 23 | 23 | 20 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | 44 | 63 | (3) | ||||||||
Total Assets | 1,008 | 1,083 | 1,008 | 1,083 | 1,123 | ||||||
Capital Expenditures | 11 | 10 | 119 | ||||||||
North America | Operating Segments | Cripple Creek and Victor mine | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 450 | 585 | 481 | ||||||||
Costs applicable to sales | 260 | 290 | 211 | ||||||||
Depreciation and amortization | 83 | 127 | 105 | ||||||||
Advanced Projects, Research and Development, and Exploration | 10 | 10 | 11 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | 89 | 156 | 147 | ||||||||
Total Assets | 853 | 901 | 853 | 901 | 1,041 | ||||||
Capital Expenditures | 29 | 33 | 59 | ||||||||
North America | Operating Segments | Other North America | |||||||||||
Segment Information | |||||||||||
Depreciation and amortization | 2 | 1 | 1 | ||||||||
Advanced Projects, Research and Development, and Exploration | 23 | 26 | 12 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | (54) | (29) | (11) | ||||||||
Total Assets | 857 | 676 | 857 | 676 | 696 | ||||||
Capital Expenditures | 15 | 9 | 9 | ||||||||
South America | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 1,336 | 1,314 | 909 | ||||||||
South America | Yanacocha | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 659 | 671 | 792 | ||||||||
South America | Merian | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 677 | 643 | 117 | ||||||||
South America | Operating Segments | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 1,336 | 1,314 | 909 | ||||||||
Costs applicable to sales | 700 | 742 | 559 | ||||||||
Depreciation and amortization | 212 | 239 | 298 | ||||||||
Advanced Projects, Research and Development, and Exploration | 101 | 98 | 95 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | 233 | 148 | (1,180) | ||||||||
Total Assets | 4,194 | 4,048 | 4,194 | 4,048 | 4,210 | ||||||
Capital Expenditures | 198 | 156 | 304 | ||||||||
South America | Operating Segments | Yanacocha | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 659 | 671 | 792 | ||||||||
Costs applicable to sales | 425 | 504 | 525 | ||||||||
Depreciation and amortization | 108 | 134 | 272 | ||||||||
Advanced Projects, Research and Development, and Exploration | 54 | 41 | 35 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | (6) | (77) | (1,171) | ||||||||
Total Assets | 1,518 | 1,420 | 1,518 | 1,420 | 1,549 | ||||||
Capital Expenditures | 119 | 51 | 83 | ||||||||
South America | Operating Segments | Merian | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 677 | 643 | 117 | ||||||||
Costs applicable to sales | 275 | 238 | 34 | ||||||||
Depreciation and amortization | 90 | 91 | 12 | ||||||||
Advanced Projects, Research and Development, and Exploration | 13 | 14 | 24 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | 300 | 297 | 46 | ||||||||
Total Assets | 1,036 | 967 | 1,036 | 967 | 984 | ||||||
Capital Expenditures | 78 | 105 | 221 | ||||||||
South America | Operating Segments | Other South America | |||||||||||
Segment Information | |||||||||||
Depreciation and amortization | 14 | 14 | 14 | ||||||||
Advanced Projects, Research and Development, and Exploration | 34 | 43 | 36 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | (61) | (72) | (55) | ||||||||
Total Assets | 1,640 | 1,661 | 1,640 | 1,661 | 1,677 | ||||||
Capital Expenditures | 1 | ||||||||||
Australia | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 2,166 | 2,180 | 2,179 | ||||||||
Australia | Boddington | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 1,118 | 1,208 | 1,137 | ||||||||
Australia | Tanami | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 638 | 514 | 575 | ||||||||
Australia | Kalgoorlie | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 410 | 458 | 467 | ||||||||
Australia | Operating Segments | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 2,166 | 2,180 | 2,179 | ||||||||
Costs applicable to sales | 1,232 | 1,155 | 1,151 | ||||||||
Depreciation and amortization | 231 | 231 | 244 | ||||||||
Advanced Projects, Research and Development, and Exploration | 39 | 40 | 27 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | 706 | 703 | 729 | ||||||||
Total Assets | 3,489 | 3,261 | 3,489 | 3,261 | 3,145 | ||||||
Capital Expenditures | 182 | 214 | 234 | ||||||||
Australia | Operating Segments | Boddington | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 1,118 | 1,208 | 1,137 | ||||||||
Costs applicable to sales | 703 | 670 | 656 | ||||||||
Depreciation and amortization | 126 | 138 | 134 | ||||||||
Advanced Projects, Research and Development, and Exploration | 2 | 1 | |||||||||
Income (Loss) before Income and Mining Tax and Other Items | 293 | 369 | 328 | ||||||||
Total Assets | 2,113 | 2,110 | 2,113 | 2,110 | 2,078 | ||||||
Capital Expenditures | 57 | 80 | 65 | ||||||||
Australia | Operating Segments | Boddington | Gold | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 900 | 981 | 973 | ||||||||
Costs applicable to sales | 571 | 562 | 530 | ||||||||
Depreciation and amortization | 102 | 116 | 110 | ||||||||
Australia | Operating Segments | Boddington | Copper | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 218 | 227 | 164 | ||||||||
Costs applicable to sales | 132 | 108 | 126 | ||||||||
Depreciation and amortization | 24 | 22 | 24 | ||||||||
Australia | Operating Segments | Tanami | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 638 | 514 | 575 | ||||||||
Costs applicable to sales | 297 | 251 | 238 | ||||||||
Depreciation and amortization | 75 | 67 | 82 | ||||||||
Advanced Projects, Research and Development, and Exploration | 17 | 21 | 13 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | 251 | 181 | 241 | ||||||||
Total Assets | 902 | 690 | 902 | 690 | 623 | ||||||
Capital Expenditures | 97 | 108 | 145 | ||||||||
Australia | Operating Segments | Kalgoorlie | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 410 | 458 | 467 | ||||||||
Costs applicable to sales | 232 | 234 | 257 | ||||||||
Depreciation and amortization | 24 | 20 | 19 | ||||||||
Advanced Projects, Research and Development, and Exploration | 10 | 9 | 5 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | 170 | 190 | 185 | ||||||||
Total Assets | 402 | 407 | 402 | 407 | 381 | ||||||
Capital Expenditures | 22 | 21 | 20 | ||||||||
Australia | Operating Segments | Other Australia | |||||||||||
Segment Information | |||||||||||
Depreciation and amortization | 6 | 6 | 9 | ||||||||
Advanced Projects, Research and Development, and Exploration | 12 | 8 | 8 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | (8) | (37) | (25) | ||||||||
Total Assets | 72 | 54 | 72 | 54 | 63 | ||||||
Capital Expenditures | 6 | 5 | 4 | ||||||||
Africa | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 1,080 | 1,033 | 1,026 | ||||||||
Africa | Ahafo | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 553 | 439 | 436 | ||||||||
Africa | Akyem | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 527 | 594 | 590 | ||||||||
Africa | Operating Segments | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 1,080 | 1,033 | 1,026 | ||||||||
Costs applicable to sales | 550 | 540 | 548 | ||||||||
Depreciation and amortization | 256 | 228 | 223 | ||||||||
Advanced Projects, Research and Development, and Exploration | 35 | 40 | 38 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | 211 | 209 | 199 | ||||||||
Total Assets | 2,837 | 2,748 | 2,837 | 2,748 | 2,981 | ||||||
Capital Expenditures | 304 | 207 | 109 | ||||||||
Africa | Operating Segments | Ahafo | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 553 | 439 | 436 | ||||||||
Costs applicable to sales | 323 | 268 | 313 | ||||||||
Depreciation and amortization | 105 | 72 | 94 | ||||||||
Advanced Projects, Research and Development, and Exploration | 17 | 24 | 28 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | 99 | 70 | (7) | ||||||||
Total Assets | 1,869 | 1,690 | 1,869 | 1,690 | 1,739 | ||||||
Capital Expenditures | 264 | 181 | 87 | ||||||||
Africa | Operating Segments | Akyem | |||||||||||
Segment Information | |||||||||||
Sales (Note 4) | 527 | 594 | 590 | ||||||||
Costs applicable to sales | 227 | 272 | 235 | ||||||||
Depreciation and amortization | 151 | 155 | 128 | ||||||||
Advanced Projects, Research and Development, and Exploration | 13 | 10 | 8 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | 125 | 152 | 214 | ||||||||
Total Assets | 966 | 1,057 | 966 | 1,057 | 1,240 | ||||||
Capital Expenditures | 40 | 26 | 22 | ||||||||
Africa | Operating Segments | Other Africa | |||||||||||
Segment Information | |||||||||||
Depreciation and amortization | 1 | 1 | |||||||||
Advanced Projects, Research and Development, and Exploration | 5 | 6 | 2 | ||||||||
Income (Loss) before Income and Mining Tax and Other Items | (13) | (13) | (8) | ||||||||
Total Assets | 2 | $ 1 | 2 | $ 1 | $ 2 | ||||||
Africa | Corporate and other | Akyem | |||||||||||
Segment Information | |||||||||||
Depreciation and amortization | 12 | ||||||||||
Advanced Projects, Research and Development, and Exploration | 68 | ||||||||||
Income (Loss) before Income and Mining Tax and Other Items | (456) | ||||||||||
Total Assets | $ 3,459 | 3,459 | |||||||||
Capital Expenditures | $ 13 |
SEGMENT INFORMATION - Revenues
SEGMENT INFORMATION - Revenues by Location (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Segment Information | |||||||||||
Sales | $ 2,048 | $ 1,726 | $ 1,662 | $ 1,817 | $ 1,935 | $ 1,879 | $ 1,875 | $ 1,690 | $ 7,253 | $ 7,379 | $ 6,680 |
United Kingdom | |||||||||||
Segment Information | |||||||||||
Sales | 5,448 | 5,521 | 5,382 | ||||||||
Switzerland | |||||||||||
Segment Information | |||||||||||
Sales | 677 | 657 | 148 | ||||||||
Philippines | |||||||||||
Segment Information | |||||||||||
Sales | 254 | 310 | 283 | ||||||||
Korea | |||||||||||
Segment Information | |||||||||||
Sales | 237 | 384 | 298 | ||||||||
Germany | |||||||||||
Segment Information | |||||||||||
Sales | 237 | 168 | 191 | ||||||||
CHINA | |||||||||||
Segment Information | |||||||||||
Sales | 144 | 30 | 62 | ||||||||
Japan | |||||||||||
Segment Information | |||||||||||
Sales | 105 | 87 | 59 | ||||||||
U.S. | |||||||||||
Segment Information | |||||||||||
Sales | 52 | 91 | 70 | ||||||||
Canada | |||||||||||
Segment Information | |||||||||||
Sales | 40 | 96 | 124 | ||||||||
Other Countries | |||||||||||
Segment Information | |||||||||||
Sales | $ 59 | $ 35 | $ 63 |
SEGMENT INFORMATION - Concentra
SEGMENT INFORMATION - Concentration Risk (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018USD ($) | Sep. 30, 2018USD ($) | Jun. 30, 2018USD ($) | Mar. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Sep. 30, 2017USD ($) | Jun. 30, 2017USD ($) | Mar. 31, 2017USD ($) | Dec. 31, 2018USD ($)customer | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Segment Information | |||||||||||
Sales | $ 2,048 | $ 1,726 | $ 1,662 | $ 1,817 | $ 1,935 | $ 1,879 | $ 1,875 | $ 1,690 | $ 7,253 | $ 7,379 | $ 6,680 |
North America | |||||||||||
Segment Information | |||||||||||
Sales | 2,671 | 2,852 | 2,566 | ||||||||
Copper Sales from Cathode Production | |||||||||||
Segment Information | |||||||||||
Sales | 52 | 47 | 40 | ||||||||
Copper Sales from Cathode Production | North America | |||||||||||
Segment Information | |||||||||||
Sales | $ 52 | 47 | 40 | ||||||||
Sales Revenue, Product Line | Customers | Copper Sales from Cathode Production | North America | |||||||||||
Segment Information | |||||||||||
Number of customers | customer | 1 | ||||||||||
Sales Revenue, Product Line | Toronto Dominion Bank | Customers | Gold | |||||||||||
Segment Information | |||||||||||
Sales | $ 1,324 | $ 2,738 | $ 1,818 | ||||||||
Percentage of sales by customer | 18.00% | 37.00% | 27.00% | ||||||||
Sales Revenue, Product Line | JPMorgan Chase | Customers | Gold | |||||||||||
Segment Information | |||||||||||
Sales | $ 2,295 | $ 1,400 | $ 1,451 | ||||||||
Percentage of sales by customer | 32.00% | 19.00% | 22.00% | ||||||||
Sales Revenue, Product Line | Standard Chartered [Member] | Customers | Gold | |||||||||||
Segment Information | |||||||||||
Sales | $ 1,164 | ||||||||||
Percentage of sales by customer | 16.00% | ||||||||||
Sales Revenue, Product Line | Bank Of Nova Scotia | Customers | Gold | |||||||||||
Segment Information | |||||||||||
Sales | $ 1,067 | ||||||||||
Percentage of sales by customer | 16.00% | ||||||||||
Sales Revenue, Product Line | HSBC | Customers | Gold | |||||||||||
Segment Information | |||||||||||
Sales | $ 952 | ||||||||||
Percentage of sales by customer | 14.00% |
SEGMENT INFORMATION - Long-live
SEGMENT INFORMATION - Long-lived Assets (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Segment Information | ||
Long-Lived Assets | $ 14,618 | $ 14,649 |
U.S. | ||
Segment Information | ||
Long-Lived Assets | 6,162 | 6,508 |
Australia | ||
Segment Information | ||
Long-Lived Assets | 2,987 | 2,841 |
Ghana | ||
Segment Information | ||
Long-Lived Assets | 2,515 | 2,414 |
Peru | ||
Segment Information | ||
Long-Lived Assets | 2,117 | 2,040 |
Suriname | ||
Segment Information | ||
Long-Lived Assets | 825 | 835 |
Other Countries | ||
Segment Information | ||
Long-Lived Assets | $ 12 | $ 11 |
SALES - Disaggregation of reven
SALES - Disaggregation of revenue (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
SALES | |||||||||||
Total sales | $ 2,048 | $ 1,726 | $ 1,662 | $ 1,817 | $ 1,935 | $ 1,879 | $ 1,875 | $ 1,690 | $ 7,253 | $ 7,379 | $ 6,680 |
Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 6,129 | 6,174 | 5,501 | ||||||||
Gold Sales from Concentrate Production | |||||||||||
SALES | |||||||||||
Total sales | 821 | 890 | 929 | ||||||||
Copper Sales from Concentrate Production | |||||||||||
SALES | |||||||||||
Total sales | 251 | 268 | 210 | ||||||||
Copper Sales from Cathode Production | |||||||||||
SALES | |||||||||||
Total sales | 52 | 47 | 40 | ||||||||
North America | |||||||||||
SALES | |||||||||||
Total sales | 2,671 | 2,852 | 2,566 | ||||||||
North America | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 2,422 | 2,627 | 2,318 | ||||||||
North America | Gold Sales from Concentrate Production | |||||||||||
SALES | |||||||||||
Total sales | 164 | 137 | 162 | ||||||||
North America | Copper Sales from Concentrate Production | |||||||||||
SALES | |||||||||||
Total sales | 33 | 41 | 46 | ||||||||
North America | Copper Sales from Cathode Production | |||||||||||
SALES | |||||||||||
Total sales | 52 | 47 | 40 | ||||||||
North America | Carlin | |||||||||||
SALES | |||||||||||
Total sales | 1,173 | 1,228 | 1,171 | ||||||||
North America | Carlin | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 1,173 | 1,228 | 1,171 | ||||||||
North America | Phoenix | |||||||||||
SALES | |||||||||||
Total sales | 376 | 347 | 332 | ||||||||
North America | Phoenix | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 127 | 131 | 106 | ||||||||
North America | Phoenix | Gold Sales from Concentrate Production | |||||||||||
SALES | |||||||||||
Total sales | 164 | 128 | 140 | ||||||||
North America | Phoenix | Copper Sales from Concentrate Production | |||||||||||
SALES | |||||||||||
Total sales | 33 | 41 | 46 | ||||||||
North America | Phoenix | Copper Sales from Cathode Production | |||||||||||
SALES | |||||||||||
Total sales | 52 | 47 | 40 | ||||||||
North America | Twin Creeks | |||||||||||
SALES | |||||||||||
Total sales | 457 | 473 | 555 | ||||||||
North America | Twin Creeks | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 457 | 473 | 555 | ||||||||
North America | Long Canyon | |||||||||||
SALES | |||||||||||
Total sales | 215 | 219 | 27 | ||||||||
North America | Long Canyon | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 215 | 219 | 27 | ||||||||
North America | Cripple Creek and Victor mine | |||||||||||
SALES | |||||||||||
Total sales | 450 | 585 | 481 | ||||||||
North America | Cripple Creek and Victor mine | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 450 | 576 | 459 | ||||||||
North America | Cripple Creek and Victor mine | Gold Sales from Concentrate Production | |||||||||||
SALES | |||||||||||
Total sales | 9 | 22 | |||||||||
South America | |||||||||||
SALES | |||||||||||
Total sales | 1,336 | 1,314 | 909 | ||||||||
South America | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 1,336 | 1,314 | 909 | ||||||||
South America | Yanacocha | |||||||||||
SALES | |||||||||||
Total sales | 659 | 671 | 792 | ||||||||
South America | Yanacocha | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 659 | 671 | 792 | ||||||||
South America | Merian | |||||||||||
SALES | |||||||||||
Total sales | 677 | 643 | 117 | ||||||||
South America | Merian | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 677 | 643 | 117 | ||||||||
Australia | |||||||||||
SALES | |||||||||||
Total sales | 2,166 | 2,180 | 2,179 | ||||||||
Australia | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 1,291 | 1,200 | 1,248 | ||||||||
Australia | Gold Sales from Concentrate Production | |||||||||||
SALES | |||||||||||
Total sales | 657 | 753 | 767 | ||||||||
Australia | Copper Sales from Concentrate Production | |||||||||||
SALES | |||||||||||
Total sales | 218 | 227 | 164 | ||||||||
Australia | Boddington | |||||||||||
SALES | |||||||||||
Total sales | 1,118 | 1,208 | 1,137 | ||||||||
Australia | Boddington | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 243 | 237 | 268 | ||||||||
Australia | Boddington | Gold Sales from Concentrate Production | |||||||||||
SALES | |||||||||||
Total sales | 657 | 744 | 705 | ||||||||
Australia | Boddington | Copper Sales from Concentrate Production | |||||||||||
SALES | |||||||||||
Total sales | 218 | 227 | 164 | ||||||||
Australia | Tanami | |||||||||||
SALES | |||||||||||
Total sales | 638 | 514 | 575 | ||||||||
Australia | Tanami | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 638 | 514 | 575 | ||||||||
Australia | Kalgoorlie | |||||||||||
SALES | |||||||||||
Total sales | 410 | 458 | 467 | ||||||||
Australia | Kalgoorlie | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 410 | 449 | 405 | ||||||||
Australia | Kalgoorlie | Gold Sales from Concentrate Production | |||||||||||
SALES | |||||||||||
Total sales | 9 | 62 | |||||||||
Africa | |||||||||||
SALES | |||||||||||
Total sales | 1,080 | 1,033 | 1,026 | ||||||||
Africa | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 1,080 | 1,033 | 1,026 | ||||||||
Africa | Ahafo | |||||||||||
SALES | |||||||||||
Total sales | 553 | 439 | 436 | ||||||||
Africa | Ahafo | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 553 | 439 | 436 | ||||||||
Africa | Akyem | |||||||||||
SALES | |||||||||||
Total sales | 527 | 594 | 590 | ||||||||
Africa | Akyem | Gold Sales from Dore' Production | |||||||||||
SALES | |||||||||||
Total sales | 527 | 594 | 590 | ||||||||
Operating Segments | North America | |||||||||||
SALES | |||||||||||
Total sales | 2,671 | 2,852 | 2,566 | ||||||||
Operating Segments | North America | Carlin | |||||||||||
SALES | |||||||||||
Total sales | 1,173 | 1,228 | 1,171 | ||||||||
Operating Segments | North America | Phoenix | |||||||||||
SALES | |||||||||||
Total sales | 376 | 347 | 332 | ||||||||
Operating Segments | North America | Twin Creeks | |||||||||||
SALES | |||||||||||
Total sales | 457 | 473 | 555 | ||||||||
Operating Segments | North America | Long Canyon | |||||||||||
SALES | |||||||||||
Total sales | 215 | 219 | 27 | ||||||||
Operating Segments | North America | Cripple Creek and Victor mine | |||||||||||
SALES | |||||||||||
Total sales | 450 | 585 | 481 | ||||||||
Operating Segments | South America | |||||||||||
SALES | |||||||||||
Total sales | 1,336 | 1,314 | 909 | ||||||||
Operating Segments | South America | Yanacocha | |||||||||||
SALES | |||||||||||
Total sales | 659 | 671 | 792 | ||||||||
Operating Segments | South America | Merian | |||||||||||
SALES | |||||||||||
Total sales | 677 | 643 | 117 | ||||||||
Operating Segments | Australia | |||||||||||
SALES | |||||||||||
Total sales | 2,166 | 2,180 | 2,179 | ||||||||
Operating Segments | Australia | Boddington | |||||||||||
SALES | |||||||||||
Total sales | 1,118 | 1,208 | 1,137 | ||||||||
Operating Segments | Australia | Tanami | |||||||||||
SALES | |||||||||||
Total sales | 638 | 514 | 575 | ||||||||
Operating Segments | Australia | Kalgoorlie | |||||||||||
SALES | |||||||||||
Total sales | 410 | 458 | 467 | ||||||||
Operating Segments | Africa | |||||||||||
SALES | |||||||||||
Total sales | 1,080 | 1,033 | 1,026 | ||||||||
Operating Segments | Africa | Ahafo | |||||||||||
SALES | |||||||||||
Total sales | 553 | 439 | 436 | ||||||||
Operating Segments | Africa | Akyem | |||||||||||
SALES | |||||||||||
Total sales | $ 527 | $ 594 | $ 590 |
SALES - Receivables Balance (De
SALES - Receivables Balance (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Receivables from Sales: | ||
Total receivables from Sales | $ 254 | $ 124 |
Gold Sales from Dore' Production | ||
Receivables from Sales: | ||
Total receivables from Sales | 40 | |
Gold and copper sales from concentrate production | ||
Receivables from Sales: | ||
Total receivables from Sales | 211 | 117 |
Copper Sales from Cathode Production | ||
Receivables from Sales: | ||
Total receivables from Sales | $ 3 | $ 7 |
SALES - Impact of changes (Deta
SALES - Impact of changes (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
SALES | |||
Increase (decrease) in Sales due to changes in final pricing | $ 23 | $ 19 | |
Impact to Sales due to changes in quantities resulting from assays | $ 1 | (10) | |
Increase (decrease) to Sales from provisional pricing mark-to-market | $ (9) | $ 24 | $ 18 |
SALES - Impact of adoption - St
SALES - Impact of adoption - Statement of Operations (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Condensed Consolidated Statement of Operations | |||||||||||
Sales | $ 2,048 | $ 1,726 | $ 1,662 | $ 1,817 | $ 1,935 | $ 1,879 | $ 1,875 | $ 1,690 | $ 7,253 | $ 7,379 | $ 6,680 |
Costs applicable to sales | 4,093 | 4,062 | 3,738 | ||||||||
Depreciation and amortization | 1,215 | 1,261 | 1,213 | ||||||||
Income (loss) before income and mining tax and other items | 738 | 1,072 | (220) | ||||||||
Income and mining tax benefit (expense) | (386) | (1,127) | (579) | ||||||||
Net income (loss) | 380 | (109) | (943) | ||||||||
Net income (loss) attributable to Newmont stockholders: | |||||||||||
Continuing operations | (3) | (161) | 274 | 170 | (549) | 213 | 190 | 70 | 280 | (76) | (226) |
Discontinued operations | 5 | 16 | 18 | 22 | 7 | (7) | (15) | (23) | 61 | (38) | (403) |
Net income (loss) attributable to Newmont stockholders | $ 2 | $ (145) | $ 292 | $ 192 | $ (542) | $ 206 | $ 175 | $ 47 | $ 341 | $ (114) | $ (629) |
Net income (loss) per common share - Basic: | |||||||||||
Continuing operations (in dollars per share) | $ (0.31) | $ 0.52 | $ 0.32 | $ (1.02) | $ 0.39 | $ 0.36 | $ 0.13 | $ 0.53 | $ (0.14) | $ (0.43) | |
Discontinued operations (in dollars per share) | 0.04 | 0.03 | 0.04 | 0.01 | (0.01) | (0.03) | (0.04) | 0.11 | (0.07) | (0.76) | |
Net income (loss) per common share, basic (in dollars per share) | (0.27) | 0.55 | 0.36 | (1.01) | 0.38 | 0.33 | 0.09 | 0.64 | (0.21) | (1.19) | |
Net income (loss) per common share - Diluted: | |||||||||||
Continuing operations (in dollars per share) | (0.31) | 0.51 | 0.32 | (1.02) | 0.39 | 0.36 | 0.13 | 0.53 | (0.14) | (0.42) | |
Discontinued operations (in dollars per share) | 0.04 | 0.03 | 0.04 | 0.01 | (0.01) | (0.03) | (0.04) | 0.11 | (0.07) | (0.76) | |
Net income (loss) per common share, diluted (in dollars per share) | $ (0.27) | $ 0.54 | $ 0.36 | $ (1.01) | $ 0.38 | $ 0.33 | $ 0.09 | $ 0.64 | $ (0.21) | $ (1.18) | |
Effect of Change | ASU No. 2014-09 Revenue Recognition | |||||||||||
Condensed Consolidated Statement of Operations | |||||||||||
Sales | $ (48) | ||||||||||
Costs applicable to sales | (34) | ||||||||||
Depreciation and amortization | (5) | ||||||||||
Income (loss) before income and mining tax and other items | (9) | ||||||||||
Income and mining tax benefit (expense) | 1 | ||||||||||
Net income (loss) | (8) | ||||||||||
Net income (loss) attributable to Newmont stockholders: | |||||||||||
Continuing operations | (8) | ||||||||||
Net income (loss) attributable to Newmont stockholders | $ (8) | ||||||||||
Net income (loss) per common share - Basic: | |||||||||||
Continuing operations (in dollars per share) | $ (0.01) | ||||||||||
Net income (loss) per common share, basic (in dollars per share) | (0.01) | ||||||||||
Net income (loss) per common share - Diluted: | |||||||||||
Continuing operations (in dollars per share) | (0.01) | ||||||||||
Net income (loss) per common share, diluted (in dollars per share) | $ (0.01) | ||||||||||
Balance without Adoption of ASC 606 | |||||||||||
Condensed Consolidated Statement of Operations | |||||||||||
Sales | $ 7,205 | ||||||||||
Costs applicable to sales | 4,059 | ||||||||||
Depreciation and amortization | 1,210 | ||||||||||
Income (loss) before income and mining tax and other items | 729 | ||||||||||
Income and mining tax benefit (expense) | (385) | ||||||||||
Net income (loss) | 372 | ||||||||||
Net income (loss) attributable to Newmont stockholders: | |||||||||||
Continuing operations | 272 | ||||||||||
Discontinued operations | 61 | ||||||||||
Net income (loss) attributable to Newmont stockholders | $ 333 | ||||||||||
Net income (loss) per common share - Basic: | |||||||||||
Continuing operations (in dollars per share) | $ 0.52 | ||||||||||
Discontinued operations (in dollars per share) | 0.11 | ||||||||||
Net income (loss) per common share, basic (in dollars per share) | 0.63 | ||||||||||
Net income (loss) per common share - Diluted: | |||||||||||
Continuing operations (in dollars per share) | 0.52 | ||||||||||
Discontinued operations (in dollars per share) | 0.11 | ||||||||||
Net income (loss) per common share, diluted (in dollars per share) | $ 0.63 |
SALES - Impact of adoption - Ca
SALES - Impact of adoption - Cash flow changes (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Operating activities: | |||
Net income (loss) | $ 380 | $ (109) | $ (943) |
Adjustments: | |||
Depreciation and amortization | 1,215 | 1,261 | 1,213 |
Net change in operating assets and liabilities (Note 26) | (743) | (392) | (493) |
Net cash provided by (used in) continuing operating activities | 1,837 | $ 2,139 | $ 1,917 |
Effect of Change | ASU No. 2014-09 Revenue Recognition | |||
Operating activities: | |||
Net income (loss) | (8) | ||
Adjustments: | |||
Depreciation and amortization | (5) | ||
Net change in operating assets and liabilities (Note 26) | 13 | ||
Balance without Adoption of ASC 606 | |||
Operating activities: | |||
Net income (loss) | 372 | ||
Adjustments: | |||
Depreciation and amortization | 1,210 | ||
Net change in operating assets and liabilities (Note 26) | (730) | ||
Net cash provided by (used in) continuing operating activities | $ 1,837 |
SALES - Impact of adoption - Co
SALES - Impact of adoption - Condensed Consolidated Balance Sheet (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Condensed Consolidated Balance Sheet | ||||
Trade receivables | $ 254 | $ 124 | ||
Inventories | 630 | 679 | ||
Total assets | 20,715 | 20,646 | $ 21,071 | |
Income and mining taxes payable | 71 | 248 | ||
Total liabilities | 9,203 | 9,127 | ||
Retained earnings | 383 | 410 | ||
Newmont stockholders' equity | 10,502 | 10,535 | ||
Total equity | 11,465 | 11,519 | $ 11,785 | $ 14,218 |
Total liabilities and equity | 20,715 | $ 20,646 | ||
Effect of Change | ASU No. 2014-09 Revenue Recognition | ||||
Condensed Consolidated Balance Sheet | ||||
Trade receivables | (48) | |||
Inventories | 39 | |||
Total assets | (9) | |||
Income and mining taxes payable | (1) | |||
Total liabilities | (1) | |||
Retained earnings | (8) | |||
Newmont stockholders' equity | (8) | |||
Total equity | (8) | |||
Total liabilities and equity | (9) | |||
Balance without Adoption of ASC 606 | ||||
Condensed Consolidated Balance Sheet | ||||
Trade receivables | 206 | |||
Inventories | 669 | |||
Total assets | 20,706 | |||
Income and mining taxes payable | 70 | |||
Total liabilities | 9,202 | |||
Retained earnings | 375 | |||
Newmont stockholders' equity | 10,494 | |||
Total equity | 11,457 | |||
Total liabilities and equity | $ 20,706 |
RECLAMATION AND REMEDIATION - I
RECLAMATION AND REMEDIATION - Impairment Assessment (Details) - Yanacocha $ in Millions | 3 Months Ended |
Dec. 31, 2016USD ($) | |
Reclamation and remediation expense | |
Frequency of closure plan updates (in years) | 5 years |
Increase in asset retirement obligation | $ 429 |
Increase to the recorded asset retirement cost asset | 351 |
Non-cash charge to reclamation expense | $ 78 |
RECLAMATION AND REMEDIATION - E
RECLAMATION AND REMEDIATION - Expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Reclamation and remediation expense | |||
Reclamation adjustment | $ 33 | $ 51 | $ 80 |
Reclamation accretion | 99 | 93 | 66 |
Total reclamation expense | 132 | 144 | 146 |
Remediation adjustment | 26 | 44 | 19 |
Remediation accretion | 5 | 4 | 4 |
Total remediation expense | 31 | 48 | 23 |
Reclamation and remediation expense | 4,093 | 4,062 | 3,738 |
Reclamation and remediation | |||
Reclamation and remediation expense | |||
Reclamation and remediation expense | $ 163 | $ 192 | $ 169 |
RECLAMATION AND REMEDIATION - R
RECLAMATION AND REMEDIATION - Reconciliation of Obligation (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Change in reclamation liability | |||
Balance at beginning of period | $ 2,144 | $ 1,913 | |
Additions, changes in estimates and other | 106 | 172 | |
Payments, net | (33) | (34) | |
Accretion expense | 99 | 93 | $ 66 |
Balance at end of period | 2,316 | 2,144 | 1,913 |
Change in remediation liability | |||
Balance at beginning of period | 304 | 312 | |
Additions, changes in estimates and other | 9 | 32 | |
Payments, net | (39) | (44) | |
Accretion expense | 5 | 4 | 4 |
Balance at end of period | 279 | 304 | 312 |
Accrual For Environmental Loss Contingencies And Asset Retirement Obligations [RollForward] | |||
Balance at beginning of period | 2,448 | 2,225 | |
Additions, changes in estimates and other | 115 | 204 | |
Payments and other | (72) | (78) | |
Accretion expense | 104 | 97 | |
Balance at end of period | $ 2,595 | $ 2,448 | $ 2,225 |
RECLAMATION AND REMEDIATION - A
RECLAMATION AND REMEDIATION - Additional Information (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Reclamation and remediation | |||
Asset retirement obligation | $ 2,316 | $ 2,144 | $ 1,913 |
Environmental remediation obligations | $ 279 | 304 | $ 312 |
Minimum | |||
Reclamation and remediation | |||
Loss accrual possible shortfall, as a percent | 0.00% | ||
Maximum | |||
Reclamation and remediation | |||
Loss accrual possible shortfall, as a percent | 40.00% | ||
Other current liabilities | |||
Reclamation and remediation | |||
Reclamation obligation, current | $ 65 | 60 | |
Remediation obligation, current | 49 | 43 | |
Other noncurrent assets | |||
Reclamation and remediation | |||
Asset retirement obligation restricted assets | 42 | 38 | |
Environmental remediation obligation restricted assets | 57 | 64 | |
Other noncurrent assets | Ahafo and Akyem Mines | |||
Reclamation and remediation | |||
Asset retirement obligation restricted assets | 32 | 25 | |
Other noncurrent assets | Con Mine | |||
Reclamation and remediation | |||
Asset retirement obligation restricted assets | 8 | 6 | |
Other noncurrent assets | San Jose Reservoir | |||
Reclamation and remediation | |||
Asset retirement obligation restricted assets | 2 | 6 | |
Environmental remediation obligation restricted assets | 21 | 17 | |
Other noncurrent assets | Midnite Mine | |||
Reclamation and remediation | |||
Asset retirement obligation restricted assets | 1 | ||
Environmental remediation obligation restricted assets | 31 | 42 | |
Other noncurrent assets | Nevada Locations [Member] | |||
Reclamation and remediation | |||
Environmental remediation obligation restricted assets | $ 5 | $ 5 |
IMPAIRMENT OF LONG-LIVED ASSE_3
IMPAIRMENT OF LONG-LIVED ASSETS (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
IMPAIRMENT OF LONG-LIVED ASSETS | ||||
Impairment of long-lived assets | $ 1,003 | $ 369 | $ 14 | $ 1,003 |
Inventory write-downs | 271 | 212 | 298 | |
Depreciation and amortization | ||||
IMPAIRMENT OF LONG-LIVED ASSETS | ||||
Inventory write-downs | 2 | 2 | 3 | |
Emigrant | Costs applicable to sales | ||||
IMPAIRMENT OF LONG-LIVED ASSETS | ||||
Inventory write-downs | 22 | |||
Emigrant | Depreciation and amortization | ||||
IMPAIRMENT OF LONG-LIVED ASSETS | ||||
Inventory write-downs | 7 | |||
Yanacocha | ||||
IMPAIRMENT OF LONG-LIVED ASSETS | ||||
Inventory write-downs | 2 | 4 | 3 | |
Frequency of closure plan updates (in years) | 5 years | |||
North America | ||||
IMPAIRMENT OF LONG-LIVED ASSETS | ||||
Impairment of long-lived assets | 366 | 1 | ||
North America | Emigrant | ||||
IMPAIRMENT OF LONG-LIVED ASSETS | ||||
Impairment of long-lived assets | 35 | |||
North America | Exploration Property | ||||
IMPAIRMENT OF LONG-LIVED ASSETS | ||||
Impairment of long-lived assets | 331 | |||
South America | ||||
IMPAIRMENT OF LONG-LIVED ASSETS | ||||
Impairment of long-lived assets | 4 | $ 1,002 | ||
Australia | ||||
IMPAIRMENT OF LONG-LIVED ASSETS | ||||
Impairment of long-lived assets | 6 | |||
Africa | ||||
IMPAIRMENT OF LONG-LIVED ASSETS | ||||
Impairment of long-lived assets | 2 | |||
Corporate and other | ||||
IMPAIRMENT OF LONG-LIVED ASSETS | ||||
Impairment of long-lived assets | $ 1 | $ 4 |
OTHER EXPENSE, NET (Details)
OTHER EXPENSE, NET (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
OTHER EXPENSE, NET | |||
Restructuring and other | $ 20 | $ 14 | $ 32 |
Acquisition cost adjustments | 2 | 10 | |
Other | 9 | 16 | 16 |
Other expense, net | $ 29 | $ 32 | $ 58 |
OTHER EXPENSE, NET - Other info
OTHER EXPENSE, NET - Other information (Details) | Jun. 30, 2009 |
Boddington | |
Acquisition cost adjustments | |
Boddington final interest acquired | 33.33% |
OTHER INCOME, NET - Summary (De
OTHER INCOME, NET - Summary (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | |||
Dec. 31, 2018 | Jun. 30, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
OTHER INCOME, NET | |||||
Gain (loss) on asset and investment sales, net | $ 100 | $ 23 | $ 108 | ||
Interest | 56 | 28 | 11 | ||
Change in fair value of marketable securities | (50) | ||||
Foreign currency exchange, net | 42 | (28) | (9) | ||
Impairment of investments | $ (9) | (42) | 0 | 0 | |
Insurance proceeds | $ 13 | 25 | 13 | ||
Loss on debt repayment | (55) | ||||
Other | 24 | 18 | 14 | ||
Other Income, net | $ 155 | $ 54 | $ 69 |
OTHER INCOME, NET - Other infor
OTHER INCOME, NET - Other information (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Jun. 30, 2017 | Mar. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Other information | ||||||||
Gain (loss) on asset and investment sales, net | $ 100 | $ 23 | $ 108 | |||||
Insurance proceeds | $ 13 | 25 | 13 | |||||
Impairment, equity method investments | $ 33 | |||||||
Impairment of investments (Note 8) | $ 9 | $ 42 | $ 0 | 0 | ||||
Loss on debt repayment | $ 55 | |||||||
Kalgoorlie | ||||||||
Other information | ||||||||
Insurance proceeds | $ 25 | |||||||
Maverix [Member] | ||||||||
Other information | ||||||||
Gain (loss) on asset and investment sales, net | $ 100 | |||||||
Fort a' la Corne | ||||||||
Other information | ||||||||
Gain (loss) on asset and investment sales, net | $ 15 | |||||||
Regis Resources Ltd. | ||||||||
Other information | ||||||||
Gain (loss) on asset and investment sales, net | $ 103 | |||||||
Proceeds from sale of assets and investments | $ 184 |
INCOME AND MINING TAXES - Tax b
INCOME AND MINING TAXES - Tax benefit (expense) - Current vs Deferred (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Current: | |||
Current: United States | $ (18) | $ (40) | $ 101 |
Current: Foreign | (218) | (290) | (230) |
Current income taxes | (236) | (330) | (129) |
Deferred: | |||
Deferred: United States | (63) | (775) | (567) |
Deferred: Foreign | (87) | (22) | 117 |
Deferred income taxes | (150) | (797) | (450) |
Income and mining tax expense | $ (386) | $ (1,127) | $ (579) |
INCOME AND MINING TAXES - Domes
INCOME AND MINING TAXES - Domestic Vs Foreign (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income (loss) before income and mining tax and other items | |||
United States | $ (247) | $ 243 | $ 65 |
Foreign | 985 | 829 | (285) |
Income (loss) before income and mining tax and other items | $ 738 | $ 1,072 | $ (220) |
INCOME AND MINING TAXES - Tax E
INCOME AND MINING TAXES - Tax Expense Reconciliation (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Reconciling item, percentage | |||
U.S. Federal statutory tax rate (as a percent) | 21.00% | 35.00% | 35.00% |
Re-measurement due to the Tax Cuts and Jobs Act (as a percent) | (2.00%) | 29.00% | |
Tax Restructuring related to the Tax Cuts and Jobs Act (as a percent) | (4.00%) | 38.00% | |
Percentage depletion (as a percent) | (7.00%) | (8.00%) | 39.00% |
Change in valuation allowance on deferred tax assets (as a percent) | 24.00% | 7.00% | (225.00%) |
Rate differential for foreign earnings indefinitely reinvested (as a percent) | 15.00% | ||
Mining and other taxes (as a percent) | 9.00% | 4.00% | (28.00%) |
Uncertain tax position reserve adjustment (as a percent) | (5.00%) | 3.00% | |
U.S. tax effect of noncontrolling interest attributable to non-U.S. investees | (4.00%) | (100.00%) | |
Tax impact on sale of assets (as a percent) | 16.00% | ||
Effect of foreign earnings, net of credits (as a percent) | 2.00% | ||
Other (as a percent) | 3.00% | (3.00%) | |
Income and mining tax expense (as a percent) | 52.00% | 105.00% | (263.00%) |
Reconciling item, amount | |||
Income (loss) before income and mining tax and other items | $ 738 | $ 1,072 | $ (220) |
Tax at statutory rate | (155) | (375) | 77 |
Re-measurement due to the Tax Cuts and Jobs Act | 14 | (312) | |
Tax restructuring related to the Tax Cuts and Jobs Act | 34 | (394) | |
Percentage depletion | 49 | 81 | 85 |
Change in valuation allowance on deferred tax assets | (175) | (80) | (497) |
Rate differential for foreign earnings indefinitely reinvested | (111) | ||
Mining and other taxes | (63) | (41) | (61) |
Uncertain tax position reserve adjustment | 34 | (4) | 7 |
U.S. tax effect of noncontrolling interest attributable to non-U.S. investees | 26 | (1) | (219) |
Tax impact on sale of assets | 36 | ||
Effect of foreign earnings, net of credits | (18) | (4) | |
Other | (21) | 3 | (7) |
Income and mining tax expense | $ (386) | $ (1,127) | $ (579) |
INCOME AND MINING TAXES - Facto
INCOME AND MINING TAXES - Factors that impact tax rate (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2018 | Jun. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
The Tax Cuts and Jobs Act | |||||
Measurement period | 12 months | ||||
Tax benefit for release of AMT credits | $ 3 | $ 45 | $ 48 | ||
Provisional income tax expense, impact of change in rate on deferred taxes | 14 | ||||
Provisional income tax expense, impact of restructuring | 34 | ||||
Rate differential for foreign earnings indefinitely reinvested | 111 | ||||
Uncertain tax position reserve adjustment | $ (34) | $ 4 | $ (7) | ||
Consolidation of subsidiaries for tax purposes, ownership percentage considered | 100.00% | ||||
U.S. Federal statutory tax rate (as a percent) | 21.00% | 35.00% | 35.00% | ||
Deferred tax assets, valuation allowance | 2,994 | $ 2,994 | $ 2,815 | ||
U.S. | |||||
The Tax Cuts and Jobs Act | |||||
Increase in overall valuation allowance | 150 | 150 | |||
Amount of expected refund of AMT credits | 26 | 26 | |||
Deferred tax assets, valuation allowance | 1,112 | 1,112 | |||
Canada | |||||
The Tax Cuts and Jobs Act | |||||
Uncertain tax position reserve adjustment | (34) | ||||
Australia And Canada [Member] | |||||
The Tax Cuts and Jobs Act | |||||
Deferred tax assets, valuation allowance | 1,130 | 1,130 | |||
Other Countries | |||||
The Tax Cuts and Jobs Act | |||||
Deferred tax assets, valuation allowance | 97 | 97 | |||
Peru | |||||
The Tax Cuts and Jobs Act | |||||
Increase in overall valuation allowance | 20 | ||||
Deferred tax assets, valuation allowance | $ 655 | $ 655 |
INCOME AND MINING TAXES - Compo
INCOME AND MINING TAXES - Components of Deferred Tax Assets (Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred income tax assets: | ||
Property, plant and mine development | $ 1,400 | $ 1,350 |
Inventory | 74 | 74 |
Reclamation and remediation | 543 | 329 |
Net operating losses, capital losses and tax credits | 1,078 | 1,276 |
Investment in partnerships and subsidiaries | 121 | 86 |
Employee-related benefits | 225 | 254 |
Derivative instruments and unrealized loss on investments | 65 | 101 |
Other | 186 | 263 |
Deferred tax assets gross | 3,692 | 3,733 |
Valuation allowances | (2,994) | (2,815) |
Deferred tax assets net | 698 | 918 |
Deferred income tax liabilities: | ||
Property, plant and mine development | (740) | (841) |
Inventory | 135 | 64 |
Reclamation and remediation | (12) | |
Net undistributed earnings of subsidiaries | 0 | |
Derivative instruments and unrealized gain on investments | (5) | |
Other | (29) | (47) |
Deferred tax liabilities | 909 | 964 |
Net deferred income tax assets (liabilities) | (211) | (46) |
Net deferred income tax assets and liabilities consist of: | ||
Non-current deferred income tax assets | 401 | 549 |
Non-current deferred income tax liabilities | (612) | (595) |
Net deferred income tax assets (liabilities) | $ (211) | $ (46) |
INCOME AND MINING TAXES - Valua
INCOME AND MINING TAXES - Valuation of Deferred Tax Assets (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | |
Valuation of Deferred Tax Assets | |||
Look-back period | 3 years | ||
Deferred tax assets, valuation allowance | $ 2,994 | $ 2,994 | $ 2,815 |
U.S. | |||
Valuation of Deferred Tax Assets | |||
Amount of expected refund of AMT credits | 26 | 26 | |
Change in valuation allowance | 150 | 150 | |
Deferred tax assets, valuation allowance | 1,112 | 1,112 | |
Peru | |||
Valuation of Deferred Tax Assets | |||
Change in valuation allowance | 20 | ||
Deferred tax assets, valuation allowance | 655 | 655 | |
Australia And Canada [Member] | |||
Valuation of Deferred Tax Assets | |||
Deferred tax assets, valuation allowance | 1,130 | 1,130 | |
Other Countries | |||
Valuation of Deferred Tax Assets | |||
Deferred tax assets, valuation allowance | $ 97 | $ 97 |
INCOME AND MINING TAXES - Tax L
INCOME AND MINING TAXES - Tax Loss Carryforwards, Foreign Tax Credits, and AMT Credits (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Carryforwards | |||
Operating loss carryforwards | $ 659 | $ 498 | |
Tax credit carryforwards | 677 | 610 | |
United States, Australia And France Tax Authorities [Member] | |||
Carryforwards | |||
Operating loss carryforwards | $ 516 | 276 | |
U.S. Tax Authority | Foreign Tax Credits | |||
Carryforwards | |||
Tax credit carryforwards | 651 | $ 558 | |
U.S. Tax Authority | AMT | |||
Carryforwards | |||
Tax credit carryforwards | $ 26 | $ 52 |
INCOME AND MINING TAXES - Unrec
INCOME AND MINING TAXES - Unrecognized Tax Benefits (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Reconciliation Of Unrecognized Tax Benefits | |||
Total amount of gross unrecognized tax benefits at beginning of year | $ 68 | $ 68 | $ 62 |
Decreases for tax positions of prior years | (27) | ||
Additions for tax positions of prior years | 1 | 48 | |
Additions for tax positions of current year | 2 | 30 | |
Reductions due to settlements with taxing authorities | (28) | (23) | |
Reductions due to lapse of statute of limitations | (3) | (19) | |
Total amount of gross unrecognized tax benefits at end of year | $ 43 | $ 68 | $ 68 |
INCOME AND MINING TAXES - Unr_2
INCOME AND MINING TAXES - Unrecognized Tax Benefits - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2015 | Nov. 30, 2018 | Dec. 31, 2016 | |
Unrecognized Tax Benefits, other information | |||||||
Unrecognized tax benefits affecting effective tax rate | $ 11 | $ 72 | $ 11 | $ 72 | $ 64 | ||
Accrued income-tax-related interest and penalties | 2 | 2 | $ 19 | ||||
Increase (decrease) in income tax expense for adjustments to previous accruals for interest and penalties | (17) | 2 | $ (3) | ||||
Canadian Revenue Authority | |||||||
Unrecognized Tax Benefits, other information | |||||||
Tax, penalties and interest accrued | $ 55 | ||||||
Tax benefit from settlement | 32 | ||||||
Australian Taxation Office ("ATO") | |||||||
Unrecognized Tax Benefits, other information | |||||||
Tax, penalties and interest accrued | 83 | $ 83 | |||||
Amount paid to preserve right to contest conclusions of ATO | $ 25 | ||||||
Minimum | |||||||
Unrecognized Tax Benefits, other information | |||||||
Significant decrease in unrecognized tax benefits is reasonably possible, estimated range of change | 5 | 5 | |||||
Maximum | |||||||
Unrecognized Tax Benefits, other information | |||||||
Significant decrease in unrecognized tax benefits is reasonably possible, estimated range of change | $ 10 | $ 10 |
EQUITY INCOME (LOSS) OF AFFIL_3
EQUITY INCOME (LOSS) OF AFFILIATES (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Equity method investments | |||
Equity income (loss) of affiliates | $ (33) | $ (16) | $ (13) |
TMAC | |||
Equity method investments | |||
Equity income (loss) of affiliates | (16) | (6) | (7) |
Minera La Zanja S.R.L. | |||
Equity method investments | |||
Equity income (loss) of affiliates | (10) | (5) | |
Euronimba Ltd | |||
Equity method investments | |||
Equity income (loss) of affiliates | $ (7) | $ (5) | $ (6) |
EQUITY INCOME (LOSS) OF AFFIL_4
EQUITY INCOME (LOSS) OF AFFILIATES - Additional Information (Details) | Dec. 31, 2018 | Sep. 30, 2018 | Dec. 31, 2017 | Nov. 30, 2017 | Dec. 31, 2016 |
Minera La Zanja S.R.L. | |||||
Ownership interests | |||||
Equity interest ownership (as a percent) | 46.94% | 46.94% | |||
Euronimba Ltd | |||||
Ownership interests | |||||
Equity interest ownership (as a percent) | 45.00% | ||||
TMAC | |||||
Ownership interests | |||||
Equity interest ownership (as a percent) | 28.64% | 28.60% | 28.79% | 28.79% | 29.00% |
Maverix [Member] | |||||
Ownership interests | |||||
Equity interest ownership (as a percent) | 27.85% | ||||
BHP Billiton | Euronimba Ltd | |||||
Ownership interests | |||||
Ownership interest (as a percent) | 45.00% | ||||
Areva | Euronimba Ltd | |||||
Ownership interests | |||||
Ownership interest (as a percent) | 10.00% | ||||
Euronimba Ltd | Nimba Project | |||||
Ownership interests | |||||
Ownership/Economic interest (as a percent) | 95.00% |
DISCONTINUED OPERATIONS - Summa
DISCONTINUED OPERATIONS - Summary (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Net income (loss) from discontinued operations, net of tax | |||
Net income (loss) from discontinued operations (Note 11) | $ 61 | $ (38) | $ (131) |
Discontinued operations disposed of by sale | |||
Net income (loss) from discontinued operations, net of tax | |||
Net income (loss) from discontinued operations (Note 11) | 61 | (38) | (131) |
PTNNT | Discontinued operations disposed of by sale | |||
Net income (loss) from discontinued operations, net of tax | |||
Batu Hijau operations | 514 | ||
Loss on sale of Batu Hijau | (595) | ||
Net income (loss) from discontinued operations (Note 11) | (81) | ||
Holt Royalty obligation | Holloway Mining Company | Discontinued operations disposed of by sale | |||
Net income (loss) from discontinued operations, net of tax | |||
Net income (loss) from discontinued operations (Note 11) | 57 | (44) | $ (50) |
Batu Hijau contingent consideration | PTNNT | Discontinued operations disposed of by sale | |||
Net income (loss) from discontinued operations, net of tax | |||
Net income (loss) from discontinued operations (Note 11) | $ 4 | $ 6 |
DISCONTINUED OPERATIONS - Holt
DISCONTINUED OPERATIONS - Holt Royalty Obligation (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||
May 31, 2011 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disposal group | ||||
Net income (loss) from discontinued operations (Note 11) | $ 61 | $ (38) | $ (131) | |
Holt Royalty obligation | ||||
Disposal group | ||||
Sliding scale royalty, percentage of net smelter returns | 0.013% | |||
Discontinued operations disposed of by sale | ||||
Disposal group | ||||
Net income (loss) from discontinued operations (Note 11) | 61 | (38) | (131) | |
Holloway Mining Company | Discontinued operations disposed of by sale | Holt Royalty obligation | ||||
Disposal group | ||||
Fair value of royalty obligation | 161 | 243 | ||
Net income (loss) from discontinued operations (Note 11) | 57 | (44) | (50) | |
Income and mining tax benefit (expense) | (15) | 24 | 19 | |
Royalty paid | $ 10 | $ 12 | $ 11 |
DISCONTINUED OPERATIONS - Batu
DISCONTINUED OPERATIONS - Batu Hijau Terms (Details) $ in Millions | Nov. 02, 2016USD ($)$ / lb | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) |
Agreement terms and other information | ||||
Cash proceeds from sale of ownership interest | $ 920 | |||
PTNNT | Discontinued operations disposed of by sale | ||||
Agreement terms and other information | ||||
Ownership interest held before transaction (as a percent) | 48.50% | |||
Cash proceeds from sale of ownership interest | $ 920 | |||
Batu Hijau contingent consideration | $ 23 | |||
Loss on sale of Batu Hijau | $ 595 | |||
Increase in fair value of contingent payments receivable | $ 2 | 6 | ||
Tax expense related to change in fair value of contingent consideration | 1 | $ 4 | ||
PTNNT | Discontinued operations disposed of by sale | Maximum | ||||
Agreement terms and other information | ||||
Contingent payments receivable | $ 403 | |||
PTNNT | Discontinued operations disposed of by sale | Metal Price Upside contingent payment | ||||
Agreement terms and other information | ||||
Minimum quarterly average copper price per pound threshold (dollars per pound) | $ / lb | 3.75 | |||
Contingent consideration, percentage of the product of the difference used in calculation | 30.00% | |||
Pounds of copper shipped, percentage threshold for contingent consideration | 96.50% | |||
PTNNT | Discontinued operations disposed of by sale | Metal Price Upside contingent payment | Maximum | ||||
Agreement terms and other information | ||||
Contingent payments receivable | $ 133 | |||
PTNNT | Discontinued operations disposed of by sale | Elang Development deferred payment | ||||
Agreement terms and other information | ||||
Contingent payments receivable | 118 | |||
PTNNT | Discontinued operations disposed of by sale | Contingent Payment | ||||
Agreement terms and other information | ||||
Batu Hijau contingent consideration | $ 26 | |||
PTNNT | Discontinued operations disposed of by sale | Contingent Payment | Maximum | ||||
Agreement terms and other information | ||||
Contingent payments receivable | 152 | |||
PTNNT | Discontinued operations disposed of by sale | Contingent Payment, Phase 7 Production | ||||
Agreement terms and other information | ||||
Contingent consideration, partial payment due, Phase 7 and Copper Price thresholds are met | $ 76 | |||
Minimum annual average copper price per pound threshold (dollars per pound) | $ / lb | 2.75 | |||
PTNNT | Discontinued operations disposed of by sale | Contingent Payment, Concentrate Shipment Requirement | ||||
Agreement terms and other information | ||||
Minimum annual average copper price per pound threshold (dollars per pound) | $ / lb | 3.25 | |||
Contingent Consideration, payment due after both the second anniversary of the first shipment of concentrate is produced and in which the LME annual average copper price exceeds threshold | $ 76 | |||
Nusa Tenggara Partnership | PTNNT | Discontinued operations disposed of by sale | ||||
Agreement terms and other information | ||||
Percent ownership held by Newmont | 56.25% | |||
Nusa Tenggara Partnership | PTNNT | Nusa Tenggara Mining Corporation | Discontinued operations disposed of by sale | ||||
Agreement terms and other information | ||||
Ownership interest (as a percent) | 43.75% | |||
PTNNT | PTNNT | Discontinued operations disposed of by sale | ||||
Agreement terms and other information | ||||
Ownership interest held after transaction (as a percent) | 0.00% | |||
PTNNT | PTNNT | Nusa Tenggara Partnership | Discontinued operations disposed of by sale | ||||
Agreement terms and other information | ||||
Ownership interest held before transaction (as a percent) | 56.00% | |||
PTNNT | PTNNT | PTPI | Discontinued operations disposed of by sale | ||||
Agreement terms and other information | ||||
Ownership interest provided as security for loan, percentage | 17.80% | |||
PTNNT | PTNNT | PTIMI | Discontinued operations disposed of by sale | ||||
Agreement terms and other information | ||||
Ownership interest held before transaction (as a percent) | 2.20% |
DISCONTINUED OPERATIONS - Bat_2
DISCONTINUED OPERATIONS - Batu Hijau Net Income (Loss) (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Costs and expenses | |||||||||||
Net income (loss) from discontinued operations, net of tax | $ 61 | $ (38) | $ (131) | ||||||||
Net loss (income) attributable to noncontrolling interests, net of tax | (272) | ||||||||||
Net income (loss) from discontinued operations attributable to Newmont stockholders | $ 5 | $ 16 | $ 18 | $ 22 | $ 7 | $ (7) | $ (15) | $ (23) | 61 | (38) | (403) |
Discontinued operations disposed of by sale | |||||||||||
Costs and expenses | |||||||||||
Net income (loss) from discontinued operations, net of tax | $ 61 | $ (38) | (131) | ||||||||
PTNNT | Discontinued operations disposed of by sale | |||||||||||
Net income (loss) from discontinued operations, net of tax | |||||||||||
Sales | 1,668 | ||||||||||
Costs and expenses | |||||||||||
Costs applicable to sales (1) | 668 | ||||||||||
Depreciation and amortization | 139 | ||||||||||
Reclamation and remediation | 12 | ||||||||||
Advanced projects, research and development | 2 | ||||||||||
General and administrative | 10 | ||||||||||
Other expense (income), net | (1) | ||||||||||
Total Costs and expenses | 830 | ||||||||||
Interest expense, net | (15) | ||||||||||
Income (loss) before income and mining tax and other items | 823 | ||||||||||
Income and mining tax benefit (expense) | (309) | ||||||||||
Net income (loss) from discontinued operations | 514 | ||||||||||
Loss on sale of Batu Hijau, net of tax | 595 | ||||||||||
Net income (loss) from discontinued operations, net of tax | (81) | ||||||||||
Net loss (income) attributable to noncontrolling interests, net of tax | (272) | ||||||||||
Net income (loss) from discontinued operations attributable to Newmont stockholders | $ (353) |
DISCONTINUED OPERATIONS - PTNNT
DISCONTINUED OPERATIONS - PTNNT Cash Flow (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||
Jul. 31, 2017 | Sep. 30, 2016 | Jun. 30, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Cash flows | |||||||
Net cash provided by (used in) operating activities | [1] | $ (10) | $ (15) | $ 869 | |||
Net cash provided by (used in) investing activities | (46) | ||||||
Net cash provided by (used in) financing activities | (331) | ||||||
Repayments of Long-term Debt | $ 575 | $ 379 | 1,307 | ||||
Discontinued operations disposed of by sale | PTNNT | |||||||
Cash flows | |||||||
Net cash provided by (used in) operating activities | 880 | ||||||
Net cash provided by (used in) investing activities | (46) | ||||||
Net cash provided by (used in) financing activities | (331) | ||||||
Net cash provided by (used in) discontinued operations | $ 503 | ||||||
Discontinued operations disposed of by sale | PTNNT | Ptnnt Revolving Credit Facility [Member] | |||||||
Cash flows | |||||||
Repayments of Long-term Debt | $ 190 | $ 140 | |||||
[1] | Net cash provided by operating activities of discontinued operations includes $(10), $(12) and $(11) for 2018, 2017 and 2016, respectively, related to the Holt royalty obligation, all of which were paid out of Cash and cash equivalents, $(3) related to closing costs for the sale of Batu Hijau that were paid in 2017 and $880 related to the operating activities of Batu Hijau in 2016. For additional information regarding our discontinued operations, including cash flows from Batu Hijau, see Note 11. |
NET INCOME (LOSS) ATTRIBUTABL_3
NET INCOME (LOSS) ATTRIBUTABLE TO NCI - Net Income (Loss) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | |||
Net income (loss) attributable to noncontrolling interests | $ 39 | $ 5 | $ (586) |
Merian | |||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | |||
Net income (loss) attributable to noncontrolling interests | (32) | (63) | (595) |
Minera Yanacocha | |||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | |||
Net income (loss) attributable to noncontrolling interests | 71 | 69 | 10 |
Net income (loss) attributable to redeemable noncontrolling interest | $ 1 | ||
Other | |||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | |||
Net income (loss) attributable to noncontrolling interests | $ (1) | $ (1) |
NET INCOME (LOSS) ATTRIBUTABL_4
NET INCOME (LOSS) ATTRIBUTABLE TO NCI - Ownership (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Jun. 30, 2018 | Dec. 31, 2017 | Dec. 31, 2018 | Nov. 30, 2017 | |
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | ||||
Contingently redeemable noncontrolling interest (Note 12) | $ 47 | |||
Minera Yanacocha | ||||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | ||||
Percentage of total shares repurchased | 5.00% | |||
Minera Yanacocha | Summit Global Management II V B [Member] | ||||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | ||||
Proceeds from sale of stock | $ 48 | |||
Percentage of total shares reissued | 5.00% | |||
Amount required for repurchase of interest under terms of the transaction | $ 48 | |||
Minera Yanacocha | ||||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | ||||
Ownership/Economic interest in subsidiaries | 51.35% | 54.05% | 51.35% | 51.35% |
Minera Yanacocha | Buenaventura | ||||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | ||||
Ownership/Economic interest in subsidiaries | 43.65% | |||
Noncontrolling interest, ownership percentage by noncontrolling owners | 45.95% | 43.65% | ||
Primary Beneficiary | Merian | ||||
NET INCOME (LOSS) ATTRIBUTABLE TO NONCONTROLLING INTERESTS | ||||
Ownership interest held (as a percent) | 75.00% |
NET INCOME (LOSS) ATTRIBUTABL_5
NET INCOME (LOSS) ATTRIBUTABLE TO NCI - Consolidated Assets and Liabilities of VIE (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Assets and liabilities of VIE | |||
Cash and cash equivalents | $ 3,397 | $ 3,259 | $ 2,756 |
Trade receivables | 254 | 124 | |
Inventories | 630 | 679 | |
Stockpiles and ore on leach pads | 697 | 676 | |
Other current assets | 159 | 153 | |
Current assets | 5,277 | 5,066 | |
Property, plant and mine development, net | 12,258 | 12,338 | |
Other non-current assets | 642 | 565 | |
Total assets | 20,715 | 20,646 | $ 21,071 |
Accounts payable | 303 | 375 | |
Other current liabilities | 455 | 462 | |
Current liabilities | 1,787 | 1,398 | |
Reclamation and remediation liabilities | 2,481 | 2,345 | |
Other non-current liabilities | 314 | 342 | |
Total liabilities | 9,203 | 9,127 | |
Primary Beneficiary | Reportable Legal Entities | |||
Assets and liabilities of VIE | |||
Cash and cash equivalents | 40 | 27 | |
Trade receivables | 38 | ||
Inventories | 82 | 79 | |
Stockpiles and ore on leach pads | 35 | 21 | |
Other current assets | 5 | 6 | |
Current assets | 200 | 133 | |
Property, plant and mine development, net | 766 | 769 | |
Other non-current assets | 4 | 8 | |
Total assets | 970 | 910 | |
Accounts payable | 23 | 22 | |
Other current liabilities | 27 | 28 | |
Current liabilities | 50 | 50 | |
Reclamation and remediation liabilities | 25 | 17 | |
Other non-current liabilities | 1 | 1 | |
Total liabilities | $ 76 | $ 68 |
NEWMONT EQUITY AND NET INCOME_3
NEWMONT EQUITY AND NET INCOME (LOSS) PER COMMON SHARE - Basic and Diluted (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Net income (loss) attributable to Newmont stockholders: | |||||||||||
Continuing operations | $ (3) | $ (161) | $ 274 | $ 170 | $ (549) | $ 213 | $ 190 | $ 70 | $ 280 | $ (76) | $ (226) |
Discontinued operations | $ 5 | $ 16 | $ 18 | $ 22 | $ 7 | $ (7) | $ (15) | $ (23) | 61 | (38) | (403) |
Net income (loss) attributable to Newmont stockholders | $ 341 | $ (114) | $ (629) | ||||||||
Weighted average common shares (millions): | |||||||||||
Basic | 533 | 533 | 533 | 534 | 533 | 533 | 533 | 532 | 533 | 533 | 530 |
Effect of employee stock-based awards | 2 | 2 | 2 | ||||||||
Diluted | 535 | 535 | 535 | 535 | 536 | 536 | 535 | 533 | 535 | 535 | 532 |
Net income (loss) per common share - Basic: | |||||||||||
Continuing operations (in dollars per share) | $ (0.31) | $ 0.52 | $ 0.32 | $ (1.02) | $ 0.39 | $ 0.36 | $ 0.13 | $ 0.53 | $ (0.14) | $ (0.43) | |
Discontinued operations (in dollars per share) | 0.04 | 0.03 | 0.04 | 0.01 | (0.01) | (0.03) | (0.04) | 0.11 | (0.07) | (0.76) | |
Net income (loss) per common share, basic | (0.27) | 0.55 | 0.36 | (1.01) | 0.38 | 0.33 | 0.09 | 0.64 | (0.21) | (1.19) | |
Net income (loss) per common share - Diluted: | |||||||||||
Continuing operations (in dollars per share) | (0.31) | 0.51 | 0.32 | (1.02) | 0.39 | 0.36 | 0.13 | 0.53 | (0.14) | (0.42) | |
Discontinued operations (in dollars per share) | 0.04 | 0.03 | 0.04 | 0.01 | (0.01) | (0.03) | (0.04) | 0.11 | (0.07) | (0.76) | |
Net income (loss) per common share, diluted | $ (0.27) | $ 0.54 | $ 0.36 | $ (1.01) | $ 0.38 | $ 0.33 | $ 0.09 | $ 0.64 | $ (0.21) | $ (1.18) |
NEWMONT EQUITY AND NET INCOME_4
NEWMONT EQUITY AND NET INCOME (LOSS) PER COMMON SHARE - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Convertible Debt - impact on earnings (loss) per share | |||
Repurchase and retirement of common stock (in shares) | 2,700,000 | ||
Repurchase and retirement of common stock | $ 98 | ||
Repurchase and retirement of common stock from Retirement Savings Plan participants (in shares) | 700,000 | ||
Withholding of employee taxes related to stock-based compensation (in shares) | 1,000,000 | ||
2017 Convertible Senior Notes, net | |||
Convertible Debt - impact on earnings (loss) per share | |||
Potentially dilutive securities | 575,000,000 | 575,000,000 | |
2017 Convertible Senior Notes, net | Common shares | |||
Convertible Debt - impact on earnings (loss) per share | |||
Convertible debt, number of additional shares included in diluted weighted-average shares | 0 | 0 |
EMPLOYEE-RELATED BENEFITS - Cur
EMPLOYEE-RELATED BENEFITS - Current and Long-Term Employee-Related Benefits (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Current: | ||
Accrued payroll and withholding taxes | $ 263 | $ 264 |
Peruvian workers' participation | 19 | 22 |
Employee pension benefits | 5 | 7 |
Other post-retirement benefit plans | 6 | 5 |
Accrued severance | 2 | 1 |
Other employee-related payables | 10 | 10 |
Employee-related benefits, Current | 305 | 309 |
Non-current: | ||
Employee pension benefits | 149 | 129 |
Accrued severance | 163 | 162 |
Other post-retirement benefit plans | 76 | 81 |
Other employee-related payables | 13 | 14 |
Employee-related benefits, Non-current | $ 401 | $ 386 |
EMPLOYEE-RELATED BENEFITS - Ben
EMPLOYEE-RELATED BENEFITS - Benefit Obligations and Assets (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Pension Benefits | |||
Change in Benefit Obligation: | |||
Benefit obligation at beginning of year | $ 1,121 | $ 1,025 | |
Service cost | 31 | 29 | $ 28 |
Interest cost | 41 | 44 | 45 |
Actuarial loss (gain) | (87) | 73 | |
Settlement payments | (10) | ||
Benefits paid | (43) | (40) | |
Projected benefit obligation at end of year | 1,063 | 1,121 | 1,025 |
Accumulated benefit obligation | 1,038 | 1,098 | |
Change in Fair Value of Assets: | |||
Fair value of assets at beginning of year | 985 | 833 | |
Actual return on plan assets | (62) | 130 | |
Employer contributions | 29 | 72 | |
Settlement payments | (10) | ||
Benefits paid | (43) | (40) | |
Fair value of assets at end of year | 909 | 985 | 833 |
Unfunded status, net | 154 | 136 | |
Other Benefits | |||
Change in Benefit Obligation: | |||
Benefit obligation at beginning of year | 86 | 84 | |
Service cost | 1 | 1 | 2 |
Interest cost | 3 | 4 | 4 |
Actuarial loss (gain) | (5) | 2 | |
Amendments | (2) | ||
Benefits paid | (3) | (3) | |
Projected benefit obligation at end of year | 86 | 84 | |
Accumulated benefit obligation | 82 | 86 | |
Change in Fair Value of Assets: | |||
Fair value of assets at beginning of year | 0 | 0 | |
Employer contributions | 3 | 3 | |
Benefits paid | (3) | (3) | |
Fair value of assets at end of year | 0 | $ 0 | |
Unfunded status, net | $ 82 | $ 86 |
EMPLOYEE-RELATED BENEFITS - Net
EMPLOYEE-RELATED BENEFITS - Net Pension Amounts Recognized in the Consolidated Balance Sheets (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Accumulated other comprehensive income (loss): | ||||
Total equity | $ 11,465 | $ 11,519 | $ 11,785 | $ 14,218 |
Pension Benefits | ||||
Pension and other post-retirement costs, net | ||||
Accrued employee benefit liability | 154 | 136 | ||
Pension Benefits | Net pension and other benefits included in AOCI | ||||
Accumulated other comprehensive income (loss): | ||||
Net actuarial gain (loss) | (412) | (409) | ||
Prior service credit | 39 | 46 | ||
Accumulated other comprehensive income (loss) before tax | (373) | (363) | ||
Less: Income taxes | 78 | 127 | ||
Total equity | (295) | (236) | ||
Other Benefits | ||||
Pension and other post-retirement costs, net | ||||
Accrued employee benefit liability | 82 | 86 | ||
Other Benefits | Net pension and other benefits included in AOCI | ||||
Accumulated other comprehensive income (loss): | ||||
Net actuarial gain (loss) | 19 | 14 | ||
Prior service credit | 23 | 29 | ||
Accumulated other comprehensive income (loss) before tax | 42 | 43 | ||
Less: Income taxes | (9) | (15) | ||
Total equity | $ 33 | $ 28 |
EMPLOYEE-RELATED BENEFITS - N_2
EMPLOYEE-RELATED BENEFITS - Net Periodic Pension Costs and Components Recognized in OCI (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Pension Benefits | |||
Net periodic pension and other benefits costs | |||
Service cost | $ 31 | $ 29 | $ 28 |
Interest cost | 41 | 44 | 45 |
Expected return on plan assets | (68) | (63) | (58) |
Amortization, net | 32 | 30 | 25 |
Net periodic benefit cost (credit) | 36 | 40 | 40 |
Settlements | 5 | 6 | |
Total benefit cost (credit) | 36 | 45 | 46 |
Components recognized in Other comprehensive income (loss) | |||
Net loss (gain) | 42 | 5 | 61 |
Amortization, net | (32) | (30) | (25) |
Settlements | (5) | (6) | |
Total recognized in Other comprehensive income (loss) | 10 | (30) | 30 |
Total recognized in net periodic benefit cost and other comprehensive income (loss) | 46 | 15 | 76 |
Expected recognition of amounts in AOCI | |||
Expected recognition of amounts in AOCI for net actuarial (gain) loss | 30 | ||
Expected recognition of amounts in AOCI for prior service credit | (8) | ||
Other Benefits | |||
Net periodic pension and other benefits costs | |||
Service cost | 1 | 1 | 2 |
Interest cost | 3 | 4 | 4 |
Amortization, net | (7) | (7) | (6) |
Net periodic benefit cost (credit) | (3) | (2) | |
Total benefit cost (credit) | (3) | (2) | |
Components recognized in Other comprehensive income (loss) | |||
Net loss (gain) | (6) | (11) | |
Amortization, net | 7 | 7 | 6 |
Total recognized in Other comprehensive income (loss) | 1 | 7 | (5) |
Total recognized in net periodic benefit cost and other comprehensive income (loss) | (2) | $ 5 | $ (5) |
Expected recognition of amounts in AOCI | |||
Expected recognition of amounts in AOCI for net actuarial (gain) loss | (2) | ||
Expected recognition of amounts in AOCI for prior service credit | $ (6) |
EMPLOYEE-RELATED BENEFITS - Sig
EMPLOYEE-RELATED BENEFITS - Significant Assumptions (Details) - item | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Other information | |||
Expected long term return on plan assets for calculating benefit obligation | 6.75% | ||
Period for look-back of average actual return on plan assets | 30 years | ||
Actual return on plan assets | 7.98% | ||
Pension Benefits | |||
Weighted-average assumptions used in measuring the Company?s benefit obligation: | |||
Discount rate (as a percent) | 4.40% | 3.77% | |
Weighted-average assumptions used in measuring the net periodic pension benefit cost: | |||
Discount long-term rate | 3.77% | 4.36% | 4.80% |
Expected return on plan assets | 7.25% | 7.25% | 7.25% |
Other information | |||
Number of calculation methods for salaried U.S. employees | 2 | ||
Final Average Pay, number of years included in calculation | 5 years | ||
Other Benefits | |||
Weighted-average assumptions used in measuring the net periodic pension benefit cost: | |||
Discount long-term rate | 3.77% | 4.36% | 4.80% |
EMPLOYEE-RELATED BENEFITS - Ass
EMPLOYEE-RELATED BENEFITS - Asset Allocation (Details) - Pension Benefits | Dec. 31, 2018 |
U.S. equity investments | |
Pension and other post-retirement costs, net | |
Target asset allocation | 11.00% |
Actual asset allocation (as a percent) | 11.00% |
International equity investments | |
Pension and other post-retirement costs, net | |
Target asset allocation | 12.00% |
Actual asset allocation (as a percent) | 11.00% |
World Equity Fund [Member] | |
Pension and other post-retirement costs, net | |
Target asset allocation | 20.00% |
Actual asset allocation (as a percent) | 19.00% |
Fixed income investments | |
Pension and other post-retirement costs, net | |
Target asset allocation | 45.00% |
Actual asset allocation (as a percent) | 47.00% |
High Yield Fixed Income Investments [Member] | |
Pension and other post-retirement costs, net | |
Target asset allocation | 4.00% |
Actual asset allocation (as a percent) | 4.00% |
Other assets (combined) | |
Pension and other post-retirement costs, net | |
Target asset allocation | 8.00% |
Actual asset allocation (as a percent) | 8.00% |
EMPLOYEE-RELATED BENEFITS - Fai
EMPLOYEE-RELATED BENEFITS - Fair Value of Plan Assets (Details) - Pension Benefits - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Plan Assets: | |||
Fair value of assets | $ 909 | $ 985 | $ 833 |
Cash and Cash Equivalents | |||
Plan Assets: | |||
Fair value of assets | 3 | 3 | |
Commingled Funds | |||
Plan Assets: | |||
Fair value of assets | $ 906 | $ 982 |
EMPLOYEE-RELATED BENEFITS - Cha
EMPLOYEE-RELATED BENEFITS - Change in Assumed Health Care Cost Trend Rates (Details) - Other Benefits $ in Millions | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Assumed health care trend rates | |
Assumed health care cost trend rate for next fiscal year | 6.20% |
Assumed ultimate health care cost trend rate | 5.00% |
Year when health care costs reach ultimate trend rate | 2,023 |
Assumed health care trend rates, one-percent change | |
One-percentage-point increase effect on the health care component of the accumulated post-retirement benefit obligation | $ 2 |
One-percentage-point decrease effect on the health care component of the accumulated post-retirement benefit obligation | $ (2) |
EMPLOYEE-RELATED BENEFITS - Hea
EMPLOYEE-RELATED BENEFITS - Health Care Trend Rates (Details) $ in Millions | Dec. 31, 2018USD ($) |
Pension Benefits | |
Cash Flows | |
2,019 | $ 58 |
2,020 | 62 |
2,021 | 67 |
2,022 | 70 |
2,023 | 73 |
2024 - 2028 | 381 |
Other Benefits | |
Cash Flows | |
2,019 | 5 |
2,020 | 5 |
2,021 | 5 |
2,022 | 6 |
2,023 | 6 |
2024 - 2028 | $ 29 |
EMPLOYEE-RELATED BENEFITS - Def
EMPLOYEE-RELATED BENEFITS - Defined Contribution Plans (Details) - U.S. | 12 Months Ended |
Dec. 31, 2018plan | |
Qualified Plans | |
Savings Plans | |
Number of plans | 2 |
Percentage of employee contributions matched | 100.00% |
Qualified Plans | Maximum | |
Savings Plans | |
Maximum employer match, as a percentage of eligible earnings | 6.00% |
Qualified Defined Contribution Plan - Salaried and other non-union employees | |
Savings Plans | |
Number of plans | 1 |
Qualified Defined Contribution Plan - Hourly union employees | |
Savings Plans | |
Number of plans | 1 |
Non-qualified plan | |
Savings Plans | |
Number of plans | 1 |
Percentage of employee contributions matched | 100.00% |
Non-qualified plan | Maximum | |
Savings Plans | |
Maximum employer match, as a percentage of eligible earnings | 6.00% |
STOCK-BASED COMPENSATION - Stoc
STOCK-BASED COMPENSATION - Stock Option and General Information (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Stock-based compensation | |||
Shares authorized for future stock incentive plan awards | 8,932,698 | ||
Employee Stock Options | |||
Options granted (in shares) | 0 | 0 | 0 |
Options outstanding (in shares) | 800,262 | ||
Options exercisable (in shares) | 800,262 | ||
Options outstanding - weighted-average exercise price (in dollars per share) | $ 53.29 | ||
Options exercisable - weighted-average exercise price | $ 53.29 | ||
Options outstanding - weighted average remaining contractual life | 2 years | ||
Options exercisable - weighted average remaining contractual life | 2 years | ||
Minimum | Stock options | |||
Employee Stock Options | |||
Stock award vesting period | 3 years | ||
Maximum | Stock options | |||
Employee Stock Options | |||
Stock award expiration period | 10 years |
STOCK-BASED COMPENSATION - Othe
STOCK-BASED COMPENSATION - Other Stock Based Compensation (Details) | 12 Months Ended | 36 Months Ended |
Dec. 31, 2018 | Dec. 31, 2015 | |
PSU | ||
Other Stock Based Compensation | ||
Stock award vesting period | 3 years | |
SSU | ||
Other Stock Based Compensation | ||
Percentage of vested awards issued without restriction in common shares | 33.30% | |
Percentage of vested awards issued with restrictions | 66.70% | |
Common shares | RSU | ||
Other Stock Based Compensation | ||
Common shares received per each unit vested under award | 1 | |
Minimum | RSU | ||
Other Stock Based Compensation | ||
Stock award vesting period | 3 years |
STOCK-BASED COMPENSATION - Non-
STOCK-BASED COMPENSATION - Non-option Award Activity (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
RSU | |||
Number of Shares | |||
Non-vested at beginning of year (in shares) | 2,616,540 | ||
Granted (in shares) | 1,171,275 | ||
Vested (in shares) | (1,460,828) | ||
Forfeited (in shares) | (160,289) | ||
Non-vested at end of year (in shares) | 2,166,698 | 2,616,540 | |
Weighted Average Grant-Date Fair Value | |||
Nonvested at beginning of year (in dollars per share) | $ 30.39 | ||
Granted (in dollars per share) | 38.84 | ||
Vested (in dollars per share) | 30.23 | ||
Forfeited (in dollars per share) | 34.68 | ||
Nonvested at end of year (in dollars per share) | $ 34.75 | $ 30.39 | |
Other information | |||
Total intrinsic value, vested shares (in dollars) | $ 46 | $ 43 | $ 27 |
Total fair value, vested shares (in dollars) | $ 46 | $ 43 | 27 |
PSU | |||
Number of Shares | |||
Non-vested at beginning of year (in shares) | 2,594,570 | ||
Granted (in shares) | 1,531,842 | ||
Vested (in shares) | (1,746,596) | ||
Forfeited (in shares) | (135,785) | ||
Non-vested at end of year (in shares) | 2,244,031 | 2,594,570 | |
Weighted Average Grant-Date Fair Value | |||
Nonvested at beginning of year (in dollars per share) | $ 42.27 | ||
Granted (in dollars per share) | 42.44 | ||
Vested (in dollars per share) | 41.79 | ||
Forfeited (in dollars per share) | 42.79 | ||
Nonvested at end of year (in dollars per share) | $ 42.73 | $ 42.27 | |
Other information | |||
Total intrinsic value, vested shares (in dollars) | $ 68 | $ 56 | 16 |
Total fair value, vested shares (in dollars) | $ 68 | 56 | 16 |
SSU | |||
Other information | |||
Total intrinsic value, vested shares (in dollars) | 6 | 7 | |
Total fair value, vested shares (in dollars) | $ 6 | $ 7 |
STOCK-BASED COMPENSATION - Comp
STOCK-BASED COMPENSATION - Compensation Costs (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Stock-based compensation | |||
Excess tax benefit recognized | $ 3 | $ 5 | $ 0 |
Stock-based compensation: | |||
Stock-based compensation | 76 | 70 | 70 |
PSU | |||
Unrecognized compensation | |||
Unrecognized compensation cost related to unvested stock | $ 32 | ||
Unrecognized compensation cost expected to be recognized on a weighted-average basis, period | 2 years | ||
Stock-based compensation: | |||
Stock-based compensation | $ 31 | 35 | 34 |
RSU | |||
Unrecognized compensation | |||
Unrecognized compensation cost related to unvested stock | $ 38 | ||
Unrecognized compensation cost expected to be recognized on a weighted-average basis, period | 2 years | ||
Stock-based compensation: | |||
Stock-based compensation | $ 45 | 34 | 31 |
SSU | |||
Stock-based compensation: | |||
Stock-based compensation | $ 1 | $ 5 |
FAIR VALUE ACCOUNTING - Recurri
FAIR VALUE ACCOUNTING - Recurring Basis (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value | Recurring | ||
Assets: | ||
Cash and cash equivalents | $ 3,397 | $ 3,259 |
Restricted cash | 92 | 39 |
Total assets | 3,908 | 3,667 |
Liabilities: | ||
Debt (1) | 4,229 | 4,671 |
Total liabilities | 4,395 | 4,915 |
Fair Value | Recurring | Holt Royalty obligation | ||
Liabilities: | ||
Holt royalty obligation | 161 | 243 |
Fair Value | Recurring | Other Assets | ||
Assets: | ||
Restricted assets | 6 | 9 |
Fair Value | Recurring | Provisional copper and gold concentrate receivables | ||
Assets: | ||
Trade receivable, net | 209 | 111 |
Fair Value | Recurring | Contingent Payment | Batu Hijau contingent consideration | ||
Assets: | ||
Batu Hijau contingent consideration | 26 | 23 |
Fair Value | Recurring | Foreign exchange forward contracts | ||
Liabilities: | ||
Derivative instruments, net | 1 | |
Fair Value | Recurring | Diesel derivative contracts | ||
Assets: | ||
Derivative assets | 6 | |
Liabilities: | ||
Derivative instruments, net | 5 | |
Fair Value | Recurring | Level 1 | ||
Assets: | ||
Cash and cash equivalents | 3,397 | 3,259 |
Restricted cash | 92 | 39 |
Total assets | 3,630 | 3,489 |
Fair Value | Recurring | Level 1 | Other Assets | ||
Assets: | ||
Restricted assets | 6 | 9 |
Fair Value | Recurring | Level 2 | ||
Assets: | ||
Total assets | 252 | 155 |
Liabilities: | ||
Debt (1) | 4,229 | 4,671 |
Total liabilities | 4,234 | 4,672 |
Fair Value | Recurring | Level 2 | Provisional copper and gold concentrate receivables | ||
Assets: | ||
Trade receivable, net | 209 | 111 |
Fair Value | Recurring | Level 2 | Foreign exchange forward contracts | ||
Liabilities: | ||
Derivative instruments, net | 1 | |
Fair Value | Recurring | Level 2 | Diesel derivative contracts | ||
Assets: | ||
Derivative assets | 6 | |
Liabilities: | ||
Derivative instruments, net | 5 | |
Fair Value | Recurring | Level 3 | ||
Assets: | ||
Total assets | 26 | 23 |
Liabilities: | ||
Total liabilities | 161 | 243 |
Fair Value | Recurring | Level 3 | Holt Royalty obligation | ||
Liabilities: | ||
Holt royalty obligation | 161 | 243 |
Fair Value | Recurring | Level 3 | Contingent Payment | Batu Hijau contingent consideration | ||
Assets: | ||
Batu Hijau contingent consideration | 26 | 23 |
Fair Value | Recurring | Marketable equity securities | ||
Assets: | ||
Marketable securities | 127 | 165 |
Fair Value | Recurring | Marketable equity securities | Level 1 | ||
Assets: | ||
Marketable securities | 114 | 165 |
Fair Value | Recurring | Marketable equity securities | Level 2 | ||
Assets: | ||
Marketable securities | 13 | |
Fair Value | Recurring | Marketable debt securities | ||
Assets: | ||
Restricted assets | 51 | 55 |
Fair Value | Recurring | Marketable debt securities | Level 1 | ||
Assets: | ||
Restricted assets | 21 | 17 |
Fair Value | Recurring | Marketable debt securities | Level 2 | ||
Assets: | ||
Restricted assets | 30 | 38 |
Carrying value | ||
Liabilities: | ||
Debt (1) | $ 4,044 | $ 4,040 |
FAIR VALUE ACCOUNTING - Quantit
FAIR VALUE ACCOUNTING - Quantitative Information (Details) $ in Millions | Dec. 31, 2018USD ($)ozitem | Dec. 31, 2017USD ($)ozitem | Dec. 31, 2016USD ($) |
Quantitative and Qualitative Information - Unobservable Inputs | |||
Financial assets, fair value | $ 26 | $ 23 | $ 31 |
Financial liabilities, fair value | $ 161 | $ 243 | 187 |
Derivative Asset, Valuation Technique [Extensible List] | nem:MonteCarloMember | nem:MonteCarloMember | |
Derivative Liability, Valuation Technique [Extensible List] | nem:MonteCarloMember | nem:MonteCarloMember | |
Holt Royalty obligation | |||
Quantitative and Qualitative Information - Unobservable Inputs | |||
Financial liabilities, fair value | $ 161 | $ 243 | 187 |
Asset-backed commercial paper | |||
Quantitative and Qualitative Information - Unobservable Inputs | |||
Financial assets, fair value | 0 | 18 | |
Batu Hijau contingent consideration | |||
Quantitative and Qualitative Information - Unobservable Inputs | |||
Financial assets, fair value | 26 | 23 | $ 13 |
Level 3 | Holt Royalty obligation | |||
Quantitative and Qualitative Information - Unobservable Inputs | |||
Financial liabilities, fair value | $ 161 | $ 243 | |
Level 3 | Holt Royalty obligation | Discount Rate (as a percent) | |||
Quantitative and Qualitative Information - Unobservable Inputs | |||
Holt royalty obligation liability, measurement input | item | 0.0411 | 0.0332 | |
Level 3 | Holt Royalty obligation | Short-term price (in dollars per ounce or pound) | |||
Quantitative and Qualitative Information - Unobservable Inputs | |||
Holt royalty obligation liability, measurement input | item | 1,228 | 1,275 | |
Level 3 | Holt Royalty obligation | Long-term price (in dollars per ounce or pound) | |||
Quantitative and Qualitative Information - Unobservable Inputs | |||
Holt royalty obligation liability, measurement input | item | 1,300 | 1,300 | |
Level 3 | Holt Royalty obligation | Minimum | Production scenario | |||
Quantitative and Qualitative Information - Unobservable Inputs | |||
Holt royalty obligation liability, measurement input | oz | 302 | 402 | |
Level 3 | Holt Royalty obligation | Maximum | Production scenario | |||
Quantitative and Qualitative Information - Unobservable Inputs | |||
Holt royalty obligation liability, measurement input | oz | 1,544 | 1,779 | |
Contingent Payment | Level 3 | Batu Hijau contingent consideration | |||
Quantitative and Qualitative Information - Unobservable Inputs | |||
Financial assets, fair value | $ 26 | $ 23 | |
Contingent Payment | Level 3 | Batu Hijau contingent consideration | Discount Rate (as a percent) | |||
Quantitative and Qualitative Information - Unobservable Inputs | |||
Batu Hijau contingent consideration asset, measurement input | item | 0.1660 | 0.1750 | |
Contingent Payment | Level 3 | Batu Hijau contingent consideration | Short-term price (in dollars per ounce or pound) | |||
Quantitative and Qualitative Information - Unobservable Inputs | |||
Batu Hijau contingent consideration asset, measurement input | item | 2.80 | 3.09 | |
Contingent Payment | Level 3 | Batu Hijau contingent consideration | Long-term price (in dollars per ounce or pound) | |||
Quantitative and Qualitative Information - Unobservable Inputs | |||
Batu Hijau contingent consideration asset, measurement input | item | 3 | 3 |
FAIR VALUE ACCOUNTING - Changes
FAIR VALUE ACCOUNTING - Changes in the Fair Value of Level 3 Financial Assets and Liabilities (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Summary of changes in Level 3 financial assets | ||
Balance at beginning of period, assets | $ 23 | $ 31 |
Settlements | (18) | |
Revaluation | 3 | 10 |
Balance at end of period, assets | 26 | 23 |
Summary of changes in Level 3 financial liabilities | ||
Balance at beginning of period, liabilities | 243 | 187 |
Settlements | (10) | (12) |
Revaluation | (72) | 68 |
Balance at end of period, liabilities | 161 | 243 |
Holt Royalty obligation | ||
Summary of changes in Level 3 financial liabilities | ||
Balance at beginning of period, liabilities | 243 | 187 |
Settlements | (10) | (12) |
Revaluation | (72) | 68 |
Balance at end of period, liabilities | 161 | 243 |
Asset-backed commercial paper | ||
Summary of changes in Level 3 financial assets | ||
Balance at beginning of period, assets | 18 | |
Settlements | (18) | |
Balance at end of period, assets | 0 | |
Batu Hijau contingent consideration | ||
Summary of changes in Level 3 financial assets | ||
Balance at beginning of period, assets | 23 | 13 |
Revaluation | 3 | 10 |
Balance at end of period, assets | $ 26 | $ 23 |
FAIR VALUE ACCOUNTING - Nonrecu
FAIR VALUE ACCOUNTING - Nonrecurring measurement (Details) - Nonrecurring | Dec. 31, 2018 | Dec. 31, 2016 |
Emigrant | Discount Rate (as a percent) | ||
Fair Value Measurements, Nonrecurring Value Measurement [Abstract] | ||
Derivative Asset, Measurement Input | 0.052 | |
Emigrant | Short-term price (in dollars per ounce or pound) | ||
Fair Value Measurements, Nonrecurring Value Measurement [Abstract] | ||
Derivative Asset, Measurement Input | 1,213 | |
Emigrant | Long-term price (in dollars per ounce or pound) | ||
Fair Value Measurements, Nonrecurring Value Measurement [Abstract] | ||
Derivative Asset, Measurement Input | 1,300 | |
Yanacocha | Discount Rate (as a percent) | ||
Fair Value Measurements, Nonrecurring Value Measurement [Abstract] | ||
Derivative Asset, Measurement Input | 0.071 | |
Yanacocha | Short-term price (in dollars per ounce or pound) | ||
Fair Value Measurements, Nonrecurring Value Measurement [Abstract] | ||
Derivative Asset, Measurement Input | 1,221 | |
Yanacocha | Long-term price (in dollars per ounce or pound) | ||
Fair Value Measurements, Nonrecurring Value Measurement [Abstract] | ||
Derivative Asset, Measurement Input | 1,300 |
DERIVATIVE INSTRUMENTS - Diesel
DERIVATIVE INSTRUMENTS - Diesel Derivative Contracts Outstanding (Details) - Cash Flow Hedges bbl in Thousands, gal in Millions | 12 Months Ended |
Dec. 31, 2018$ / galgalbbl | |
North America | |
Derivative contracts | |
Diesel gallons (millions) or barrels (thousands) | gal | 11 |
Average rate ($/gallon or $/barrel) | 1.97 |
South America | |
Derivative contracts | |
Diesel gallons (millions) or barrels (thousands) | gal | 2 |
Average rate ($/gallon or $/barrel) | 1.93 |
Australia | |
Derivative contracts | |
Diesel gallons (millions) or barrels (thousands) | bbl | 171 |
Average rate ($/gallon or $/barrel) | 81.68 |
Diesel forward contracts maturing in 2019 | North America | |
Derivative contracts | |
Diesel gallons (millions) or barrels (thousands) | gal | 4 |
Average rate ($/gallon or $/barrel) | 1.87 |
Diesel forward contracts maturing in 2019 | South America | |
Derivative contracts | |
Average rate ($/gallon or $/barrel) | 2.07 |
Diesel forward contracts maturing in 2019 | Australia | |
Derivative contracts | |
Diesel gallons (millions) or barrels (thousands) | bbl | 18 |
Average rate ($/gallon or $/barrel) | 85.96 |
Diesel forward contracts maturing in 2020 | North America | |
Derivative contracts | |
Diesel gallons (millions) or barrels (thousands) | gal | 5 |
Average rate ($/gallon or $/barrel) | 2 |
Diesel forward contracts maturing in 2020 | South America | |
Derivative contracts | |
Diesel gallons (millions) or barrels (thousands) | gal | 2 |
Average rate ($/gallon or $/barrel) | 1.89 |
Diesel forward contracts maturing in 2020 | Australia | |
Derivative contracts | |
Diesel gallons (millions) or barrels (thousands) | bbl | 93 |
Average rate ($/gallon or $/barrel) | 78.86 |
Diesel forward contracts maturing in 2021 | North America | |
Derivative contracts | |
Diesel gallons (millions) or barrels (thousands) | gal | 2 |
Average rate ($/gallon or $/barrel) | 2.07 |
Diesel forward contracts maturing in 2021 | South America | |
Derivative contracts | |
Average rate ($/gallon or $/barrel) | 2.05 |
Diesel forward contracts maturing in 2021 | Australia | |
Derivative contracts | |
Diesel gallons (millions) or barrels (thousands) | bbl | 60 |
Average rate ($/gallon or $/barrel) | 84.76 |
DERIVATIVE INSTRUMENTS - Fair V
DERIVATIVE INSTRUMENTS - Fair Values of Instruments Designated as Hedges (Details) - Cash Flow Hedges - Designated Hedge - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Other current assets | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Assets | $ 6 | |
Other current assets | Diesel derivative contracts | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Assets | 6 | |
Other current liabilities | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Liabilities | 1 | |
Other current liabilities | Foreign exchange forward contracts | AUD | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Liabilities | $ 1 | |
Other current liabilities | Diesel derivative contracts | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Liabilities | $ 2 | |
Other non-current liabilities | Diesel derivative contracts | ||
Derivative contracts | ||
Fair Value of Derivative Instruments, Liabilities | $ 3 |
DERIVATIVE INSTRUMENTS - Locati
DERIVATIVE INSTRUMENTS - Location and Amount of Gains (Losses) Reported in Financial Statements (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Derivative contracts | |||
Costs applicable to sales | $ 4,093 | $ 4,062 | $ 3,738 |
Interest expense, net of capitalized interest | 207 | 241 | 273 |
Approximate loss amount to be reclassified from accumulated other comprehensive income (loss), net of tax to income | 11 | ||
Cash Flow Hedges | Foreign exchange forward contracts | |||
Derivative contracts | |||
(Gain) loss recognized in Other comprehensive income (loss) | (5) | (3) | |
(Gain) loss reclassified from Accumulated other comprehensive income (loss) into income (loss) | 13 | 25 | 37 |
Cash Flow Hedges | Diesel derivative contracts | |||
Derivative contracts | |||
(Gain) loss recognized in Other comprehensive income (loss) | 3 | (3) | (9) |
(Gain) loss reclassified from Accumulated other comprehensive income (loss) into income (loss) | (7) | 2 | 22 |
Gain (loss) reclassified from Accumulated other comprehensive income (loss) into income (loss) (ineffective portion) | (1) | ||
Cash Flow Hedges | Interest rate contracts | |||
Derivative contracts | |||
(Gain) loss reclassified from Accumulated other comprehensive income (loss) into income (loss) | 10 | 10 | 33 |
Costs applicable to sales | Cash Flow Hedges | Foreign exchange forward contracts | |||
Derivative contracts | |||
Reclassifications from accumulated other comprehensive income (loss) | 13 | 25 | 37 |
Costs applicable to sales | Cash Flow Hedges | Diesel derivative contracts | |||
Derivative contracts | |||
Reclassifications from accumulated other comprehensive income (loss) | (7) | 2 | 22 |
Interest expense, net | Cash Flow Hedges | Interest rate contracts | |||
Derivative contracts | |||
Reclassifications from accumulated other comprehensive income (loss) | $ 10 | $ 10 | $ 33 |
DERIVATIVE INSTRUMENTS - Batu H
DERIVATIVE INSTRUMENTS - Batu Hijau Contingent Consideration (Details) - Contingent Payment - Not Designated as Hedging Instrument - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Discontinued Operations Income Loss [Member] | ||
Batu Hijau Contingent Consideration | ||
Change in value of contingent consideration | $ 3 | $ 10 |
Tax effect | 1 | |
Other noncurrent assets | ||
Batu Hijau Contingent Consideration | ||
Batu Hijau contingent consideration | 26 | 23 |
Tax effect | $ 1 | $ 4 |
DERIVATIVE INSTRUMENTS - Embedd
DERIVATIVE INSTRUMENTS - Embedded Derivatives (Details) oz in Thousands, lb in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2018USD ($)lboz$ / oz$ / lb | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Provisional Gold and Copper Sales - Embedded derivatives | |||
Increase (decrease) to Sales from provisional pricing mark-to-market | $ | $ (9) | $ 24 | $ 18 |
Gold Contracts - Embedded Derivative | |||
Provisional Gold and Copper Sales - Embedded derivatives | |||
Provisional pricing quantity sales (in ounces or pounds) | oz | 143 | ||
Average price, subject to final pricing (in USD per ounce or pound) | $ / oz | 1,286 | ||
Copper Contracts - Embedded Derivative | |||
Provisional Gold and Copper Sales - Embedded derivatives | |||
Provisional pricing quantity sales (in ounces or pounds) | lb | 20 | ||
Average price, subject to final pricing (in USD per ounce or pound) | $ / lb | 2.71 |
INVESTMENTS - Marketable Securi
INVESTMENTS - Marketable Securities - ASU 2016-01 Amortized Cost and Fair Value (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Sep. 30, 2018 | Dec. 31, 2017 | Nov. 30, 2017 | Dec. 31, 2016 |
Fair/Equity Basis (1) | |||||
Total unrestricted investments | $ 271 | $ 280 | |||
TMAC | |||||
Investments | |||||
Ownership interest (as a percent) | 28.64% | 28.60% | 28.79% | 28.79% | 29.00% |
Minera La Zanja S.R.L. | |||||
Investments | |||||
Ownership interest (as a percent) | 46.94% | 46.94% | |||
Maverix [Member] | |||||
Investments | |||||
Ownership interest (as a percent) | 27.85% | ||||
Investments - noncurrent | |||||
Fair/Equity Basis (1) | |||||
Equity method investments | $ 192 | $ 165 | |||
Total unrestricted investments | 271 | 280 | |||
Investments - noncurrent | TMAC | |||||
Fair/Equity Basis (1) | |||||
Equity method investments | 109 | 115 | |||
Investments - noncurrent | Minera La Zanja S.R.L. | |||||
Fair/Equity Basis (1) | |||||
Equity method investments | 7 | $ 50 | |||
Investments - noncurrent | Maverix [Member] | |||||
Fair/Equity Basis (1) | |||||
Equity method investments | 76 | ||||
Investments - noncurrent | Other Assets | |||||
Fair/Equity Basis (1) | |||||
Equity method investments | 6 | ||||
Investments - noncurrent | Marketable equity securities | |||||
Fair/Equity Basis (1) | |||||
Marketable equity securities | 79 | ||||
Investments - noncurrent | Marketable equity securities | Continental | |||||
Fair/Equity Basis (1) | |||||
Marketable equity securities | 62 | ||||
Investments - noncurrent | Marketable equity securities | Warrant [Member] | |||||
Fair/Equity Basis (1) | |||||
Marketable equity securities | 13 | ||||
Investments - noncurrent | Marketable equity securities | Other marketable equity securities | |||||
Fair/Equity Basis (1) | |||||
Marketable equity securities | $ 4 |
INVESTMENTS - Marketable Secu_2
INVESTMENTS - Marketable Securities - Amortized Cost/Fair Value (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Sep. 30, 2018 | Dec. 31, 2017 | Nov. 30, 2017 | Dec. 31, 2016 |
Investments | |||||
Investments, Fair/Equity Basis | $ 271 | $ 280 | |||
TMAC | |||||
Investments | |||||
Ownership interest (as a percent) | 28.64% | 28.60% | 28.79% | 28.79% | 29.00% |
Minera La Zanja S.R.L. | |||||
Investments | |||||
Ownership interest (as a percent) | 46.94% | 46.94% | |||
Maverix [Member] | |||||
Investments | |||||
Ownership interest (as a percent) | 27.85% | ||||
Investments - current | Marketable equity securities | |||||
Investments | |||||
Cost/Equity Basis | $ 38 | ||||
Unrealized Gain | 32 | ||||
Unrealized Loss | (8) | ||||
Fair/Equity Basis - Current Marketable Equity Securities | $ 48 | 62 | |||
Investments - noncurrent | |||||
Investments | |||||
Other investments, at cost | 5 | ||||
Investments, Cost/Equity Basis | 290 | ||||
Unrealized Loss | (10) | ||||
Investments, Fair/Equity Basis | 271 | 280 | |||
Equity method investments | 192 | 165 | |||
Investments - noncurrent | TMAC | |||||
Investments | |||||
Equity method investments | 109 | 115 | |||
Investments - noncurrent | Minera La Zanja S.R.L. | |||||
Investments | |||||
Equity method investments | 7 | 50 | |||
Investments - noncurrent | Maverix [Member] | |||||
Investments | |||||
Equity method investments | 76 | ||||
Investments - noncurrent | Other Assets | |||||
Investments | |||||
Equity method investments | 6 | ||||
Investments - noncurrent | Marketable equity securities | |||||
Investments | |||||
Cost/Equity Basis | 120 | ||||
Unrealized Loss | (10) | ||||
Fair/Equity Basis - Long-Term Marketable Securities | 110 | ||||
Investments - noncurrent | Marketable equity securities | Continental | |||||
Investments | |||||
Cost/Equity Basis | 109 | ||||
Unrealized Loss | (8) | ||||
Fair/Equity Basis - Long-Term Marketable Securities | 101 | ||||
Investments - noncurrent | Marketable equity securities | Warrant [Member] | |||||
Investments | |||||
Cost/Equity Basis | 7 | ||||
Fair/Equity Basis - Long-Term Marketable Securities | 7 | ||||
Investments - noncurrent | Marketable equity securities | Other marketable equity securities | |||||
Investments | |||||
Cost/Equity Basis | 4 | ||||
Unrealized Loss | (2) | ||||
Fair/Equity Basis - Long-Term Marketable Securities | 2 | ||||
Other noncurrent assets | |||||
Investments | |||||
Non-current restricted investments, Cost/Equity Basis | 66 | ||||
Unrealized Gain | 1 | ||||
Unrealized Loss | (3) | ||||
Investments, Fair/Equity Basis | 57 | ||||
Restricted assets | 64 | ||||
Other noncurrent assets | Other Assets | |||||
Investments | |||||
Non-current restricted investments, Cost/Equity Basis | 8 | ||||
Unrealized Gain | 1 | ||||
Restricted assets | 9 | ||||
Other noncurrent assets | Marketable debt securities | |||||
Investments | |||||
Non-current restricted investments, Cost/Equity Basis | 58 | ||||
Unrealized Loss | (3) | ||||
Restricted assets | $ 51 | $ 55 |
INVESTMENTS - Equity Method (De
INVESTMENTS - Equity Method (Details) - USD ($) shares in Millions, $ in Millions | 1 Months Ended | |
Jul. 31, 2018 | Jun. 30, 2018 | |
Schedule of Investments [Line Items] | ||
Cash consideration | $ 17 | |
Maverix [Member] | ||
Schedule of Investments [Line Items] | ||
Ownership interest held after sale (as a percent) | 27.98% | |
Maverix [Member] | Common Stock | ||
Schedule of Investments [Line Items] | ||
Shares issued in subsidiary sale of stock | 60 | |
Fair value upon closing of shares issued | $ 78 | |
Maverix [Member] | Warrant [Member] | ||
Schedule of Investments [Line Items] | ||
Shares issued in subsidiary sale of stock | 10 | |
Fair value upon closing of shares issued | $ 5 | |
Marketable debt securities | ||
Schedule of Investments [Line Items] | ||
Restricted investments sold as a result of remediation work completed | $ 11 |
INVESTMENTS - Purchases, Sales,
INVESTMENTS - Purchases, Sales, and Exchanges (Details) $ in Millions | 1 Months Ended | 12 Months Ended | |||||||||||
Sep. 30, 2018USD ($)shares | Nov. 30, 2017USD ($)shares | Aug. 31, 2017USD ($)shares | Jun. 30, 2017USD ($)shares | May 31, 2017USD ($)shares | Apr. 30, 2017USD ($)shares | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Sep. 30, 2018$ / shares | Nov. 30, 2017$ / shares | May 31, 2017$ / shares | Apr. 30, 2017$ / shares | |
Investments acquired | |||||||||||||
Total consideration paid | $ | $ 39 | $ 130 | $ 15 | ||||||||||
TMAC | |||||||||||||
Investments acquired | |||||||||||||
Shares acquired | 6,000,000 | 2,000,000 | |||||||||||
Price paid per share | $ / shares | $ 4.25 | $ 7 | |||||||||||
Equity method investment acquired | $ | $ 19 | $ 12 | |||||||||||
Equity interest ownership (as a percent) | 28.64% | 28.79% | 29.00% | 28.60% | 28.79% | ||||||||
Novo Resources Corp | |||||||||||||
Investments sold or matured or called at par | |||||||||||||
Percentage of interest sold | 66.70% | ||||||||||||
Proceeds from sale of equity investment | $ | $ 15 | ||||||||||||
Gain on sale of equity, before tax | $ | $ 5 | ||||||||||||
Shares held after transaction | 6,000,000 | ||||||||||||
Fort a' la Corne | |||||||||||||
Investments acquired | |||||||||||||
Shares received from sale of investment | 54,000,000 | ||||||||||||
Investments sold or matured or called at par | |||||||||||||
Ownership interest held before transaction (as a percent) | 31.00% | ||||||||||||
Shore Gold | |||||||||||||
Investments acquired | |||||||||||||
Warrants received from sale of investment | 1,000,000 | ||||||||||||
Fair value upon closing of shares issued | $ | $ 15 | ||||||||||||
Investments sold or matured or called at par | |||||||||||||
Ownership interest held after transaction (as a percent) | 19.90% | ||||||||||||
Continental | |||||||||||||
Investments acquired | |||||||||||||
Shares acquired | 37,000,000 | ||||||||||||
Price paid per share | $ / shares | $ 4 | ||||||||||||
Equity interest ownership (as a percent) | 19.90% | ||||||||||||
Total consideration paid | $ | $ 109 | ||||||||||||
Goldstrike Resources | |||||||||||||
Investments acquired | |||||||||||||
Price paid per share | $ / shares | $ 0.47 | ||||||||||||
Total consideration paid | $ | $ 4 | ||||||||||||
Number of units acquired | 13,000,000 | ||||||||||||
Number of common shares included in each unit acquired | 1 | ||||||||||||
Number of warrants included in each unit acquired | 1 |
INVESTMENTS - Impairments and O
INVESTMENTS - Impairments and Other (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Impairments | ||||
Investment impairment for other than temporary declines in value | $ 9 | $ 42 | $ 0 | $ 0 |
INVENTORIES - Summary of Invent
INVENTORIES - Summary of Inventories (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Inventory, net | ||
Materials and supplies | $ 439 | $ 416 |
In-process | 104 | 131 |
Concentrate and copper cathode | 61 | 83 |
Precious metals | 26 | 49 |
Total inventories | $ 630 | $ 679 |
INVENTORIES - Additional Inform
INVENTORIES - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
INVENTORIES | |||
Inventory write-downs | $ 271 | $ 212 | $ 298 |
Cripple Creek and Victor mine | |||
INVENTORIES | |||
Inventory write-downs | 5 | ||
Carlin | |||
INVENTORIES | |||
Inventory write-downs | 2 | 4 | 2 |
Phoenix | |||
INVENTORIES | |||
Inventory write-downs | 5 | 4 | 12 |
Twin Creeks | |||
INVENTORIES | |||
Inventory write-downs | 2 | 4 | 1 |
Yanacocha | |||
INVENTORIES | |||
Inventory write-downs | 2 | 4 | 3 |
Costs applicable to sales | |||
INVENTORIES | |||
Inventory write-downs | 14 | 14 | 15 |
Depreciation and amortization | |||
INVENTORIES | |||
Inventory write-downs | $ 2 | $ 2 | $ 3 |
STOCKPILES AND ORE ON LEACH P_3
STOCKPILES AND ORE ON LEACH PADS - By location (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Stockpiles And Ore On Leach Pads | ||
Current stockpiles and ore on leach pads | $ 697 | $ 676 |
Long-term stockpiles and ore on leach pads | 1,866 | 1,848 |
Stockpiles and ore on leach pads | 2,563 | 2,524 |
Stockpiles | ||
Stockpiles And Ore On Leach Pads | ||
Current stockpiles and ore on leach pads | 395 | 330 |
Long-term stockpiles and ore on leach pads | 1,429 | 1,502 |
Stockpiles and ore on leach pads | 1,824 | 1,832 |
Stockpiles | Carlin | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 263 | 236 |
Stockpiles | Phoenix | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 32 | 35 |
Stockpiles | Twin Creeks | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 320 | 333 |
Stockpiles | Cripple Creek and Victor mine | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 23 | 57 |
Stockpiles | Yanacocha | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 71 | 114 |
Stockpiles | Merian | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 35 | 25 |
Stockpiles | Boddington | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 458 | 431 |
Stockpiles | Tanami | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 2 | 4 |
Stockpiles | Kalgoorlie | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 121 | 125 |
Stockpiles | Ahafo | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 417 | 409 |
Stockpiles | Akyem | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 82 | 63 |
Ore on Leach Pads | ||
Stockpiles And Ore On Leach Pads | ||
Current stockpiles and ore on leach pads | 302 | 346 |
Long-term stockpiles and ore on leach pads | 437 | 346 |
Stockpiles and ore on leach pads | 739 | 692 |
Ore on Leach Pads | Carlin | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 186 | 205 |
Ore on Leach Pads | Phoenix | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 32 | 33 |
Ore on Leach Pads | Twin Creeks | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 25 | 7 |
Ore on Leach Pads | Long Canyon | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 45 | 34 |
Ore on Leach Pads | Cripple Creek and Victor mine | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | 278 | 257 |
Ore on Leach Pads | Yanacocha | ||
Stockpiles And Ore On Leach Pads | ||
Stockpiles and ore on leach pads | $ 173 | $ 156 |
STOCKPILES AND ORE ON LEACH P_4
STOCKPILES AND ORE ON LEACH PADS - Write-downs (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Write-downs | |||
Inventory write-downs | $ 271 | $ 212 | $ 298 |
Carlin | |||
Write-downs | |||
Inventory write-downs | 2 | 4 | 2 |
Twin Creeks | |||
Write-downs | |||
Inventory write-downs | 2 | 4 | 1 |
Cripple Creek and Victor mine | |||
Write-downs | |||
Inventory write-downs | 5 | ||
Yanacocha | |||
Write-downs | |||
Inventory write-downs | 2 | 4 | 3 |
Phoenix | |||
Write-downs | |||
Inventory write-downs | 5 | 4 | 12 |
Costs applicable to sales | Emigrant | |||
Write-downs | |||
Inventory write-downs | 22 | ||
Depreciation and amortization | |||
Write-downs | |||
Inventory write-downs | 2 | 2 | 3 |
Depreciation and amortization | Emigrant | |||
Write-downs | |||
Inventory write-downs | 7 | ||
Stockpiles and ore on leach pads | Carlin | |||
Write-downs | |||
Inventory write-downs | 152 | 83 | 105 |
Stockpiles and ore on leach pads | Twin Creeks | |||
Write-downs | |||
Inventory write-downs | 42 | 46 | 22 |
Stockpiles and ore on leach pads | Cripple Creek and Victor mine | |||
Write-downs | |||
Inventory write-downs | 7 | ||
Stockpiles and ore on leach pads | Yanacocha | |||
Write-downs | |||
Inventory write-downs | 51 | 70 | 187 |
Stockpiles and ore on leach pads | Ahafo | |||
Write-downs | |||
Inventory write-downs | 46 | 31 | 100 |
Stockpiles and ore on leach pads | Akyem | |||
Write-downs | |||
Inventory write-downs | 56 | 45 | |
Stockpiles and ore on leach pads | Costs applicable to sales | |||
Write-downs | |||
Inventory write-downs | 257 | 198 | 283 |
Stockpiles and ore on leach pads | Depreciation and amortization | |||
Write-downs | |||
Inventory write-downs | $ 97 | $ 77 | $ 131 |
PROPERTY, PLANT AND MINE DEVE_3
PROPERTY, PLANT AND MINE DEVELOPMENT (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Property, Plant and Equipment | ||
Cost | $ 27,369 | $ 26,477 |
Accumulated Depreciation | (15,111) | (14,139) |
Property, Plant and Equipment, Net, Total | 12,258 | 12,338 |
Land | ||
Property, Plant and Equipment | ||
Cost | 222 | 222 |
Property, Plant and Equipment, Net, Total | 222 | 222 |
Facilities and equipment | ||
Property, Plant and Equipment | ||
Cost | 16,300 | 15,979 |
Accumulated Depreciation | (10,343) | (9,760) |
Property, Plant and Equipment, Net, Total | $ 5,957 | 6,219 |
Facilities and equipment | Minimum | ||
Property, Plant and Equipment | ||
Depreciable Life | 1 year | |
Facilities and equipment | Maximum | ||
Property, Plant and Equipment | ||
Depreciable Life | 27 years | |
Mine development | ||
Property, Plant and Equipment | ||
Cost | $ 5,598 | 5,260 |
Accumulated Depreciation | (3,314) | (3,026) |
Property, Plant and Equipment, Net, Total | $ 2,284 | 2,234 |
Mine development | Minimum | ||
Property, Plant and Equipment | ||
Depreciable Life | 1 year | |
Mine development | Maximum | ||
Property, Plant and Equipment | ||
Depreciable Life | 18 years | |
Mineral interests | ||
Property, Plant and Equipment | ||
Cost | $ 1,876 | 1,975 |
Accumulated Depreciation | (667) | (624) |
Property, Plant and Equipment, Net, Total | 1,209 | 1,351 |
Mineral Interests, Cost | 1,876 | 1,975 |
Mineral Interests Accumulated Depreciation | (667) | (624) |
Mineral Interests Net Book Value | $ 1,209 | 1,351 |
Mineral interests | Minimum | ||
Property, Plant and Equipment | ||
Depreciable Life | 1 year | |
Mineral interests | Maximum | ||
Property, Plant and Equipment | ||
Depreciable Life | 22 years | |
Production stage | ||
Property, Plant and Equipment | ||
Mineral Interests, Cost | $ 872 | 865 |
Mineral Interests Accumulated Depreciation | (667) | (624) |
Mineral Interests Net Book Value | $ 205 | 241 |
Production stage | Minimum | ||
Property, Plant and Equipment | ||
Depreciable Life | 1 year | |
Production stage | Maximum | ||
Property, Plant and Equipment | ||
Depreciable Life | 22 years | |
Development stage | ||
Property, Plant and Equipment | ||
Mineral Interests, Cost | $ 59 | 39 |
Mineral Interests Net Book Value | 59 | 39 |
Exploration stage | ||
Property, Plant and Equipment | ||
Mineral Interests, Cost | 945 | 1,071 |
Mineral Interests Net Book Value | 945 | 1,071 |
Asset retirement cost | ||
Property, Plant and Equipment | ||
Cost | 1,143 | 1,069 |
Accumulated Depreciation | (787) | (729) |
Property, Plant and Equipment, Net, Total | $ 356 | 340 |
Asset retirement cost | Minimum | ||
Property, Plant and Equipment | ||
Depreciable Life | 1 year | |
Asset retirement cost | Maximum | ||
Property, Plant and Equipment | ||
Depreciable Life | 22 years | |
Construction-in-progress | ||
Property, Plant and Equipment | ||
Cost | $ 2,230 | 1,972 |
Property, Plant and Equipment, Net, Total | 2,230 | 1,972 |
Leased assets included above in facilities and equipment | ||
Property, Plant and Equipment | ||
Cost | 27 | 27 |
Accumulated Depreciation | (17) | (15) |
Property, Plant and Equipment, Net, Total | $ 10 | $ 12 |
Leased assets included above in facilities and equipment | Minimum | ||
Property, Plant and Equipment | ||
Depreciable Life | 8 years | |
Leased assets included above in facilities and equipment | Maximum | ||
Property, Plant and Equipment | ||
Depreciable Life | 20 years |
PROPERTY, PLANT AND MINE DEVE_4
PROPERTY, PLANT AND MINE DEVELOPMENT - Acquisition (Details) - USD ($) $ in Millions | 1 Months Ended | ||
Jul. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | |
Business Acquisition [Line Items] | |||
Other non-current assets | $ 642 | $ 565 | |
Other current liabilities | $ 455 | $ 462 | |
Galore Creek [Member] | |||
Business Acquisition [Line Items] | |||
Ownership interest acquired | 50.00% | ||
Cash consideration | $ 100 | ||
Contingent consideration liability | 75 | ||
Net assets acquired | 189 | ||
Mineral Interests, Cost | 192 | ||
Other non-current assets | 2 | ||
Other current liabilities | 2 | ||
Noncurrent reclamation and remediation liabilities | 3 | ||
Galore Creek [Member] | Scenario Related To Completion Of Prefeasibility Study [Member] | |||
Business Acquisition [Line Items] | |||
Deferred payments | $ 75 | ||
Maximum period for payment of liability | 3 years | ||
Galore Creek [Member] | Scenario Related To Completion Of Feasibility Study [Member] | |||
Business Acquisition [Line Items] | |||
Deferred payments | $ 25 | ||
Maximum period for payment of liability | 5 years |
PROPERTY, PLANT AND MINE DEVE_5
PROPERTY, PLANT AND MINE DEVELOPMENT - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Property, Plant And Mine Development | |||
Construction-in-progress | $ 2,230 | $ 1,972 | |
Costs capitalized during period | 1,019 | 890 | $ 1,077 |
North America | |||
Property, Plant And Mine Development | |||
Construction-in-progress | 100 | 121 | |
South America | |||
Property, Plant And Mine Development | |||
Construction-in-progress | 1,373 | 1,389 | |
Australia | |||
Property, Plant And Mine Development | |||
Construction-in-progress | 324 | 139 | |
Africa | |||
Property, Plant And Mine Development | |||
Construction-in-progress | 426 | 316 | |
Conga | |||
Property, Plant And Mine Development | |||
Costs capitalized during period | $ 0 | $ 0 |
DEBT - Long-term Debt (Details)
DEBT - Long-term Debt (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Debt | ||
Financing obligation, current | $ 626 | |
Total Debt Non-Current | 3,418 | $ 4,040 |
2019 Senior Notes, net | ||
Debt | ||
Financing obligation, current | 626 | |
Total Debt Non-Current | 625 | |
2022 Senior Notes, net | ||
Debt | ||
Total Debt Non-Current | 987 | 985 |
2035 Senior Notes, net | ||
Debt | ||
Total Debt Non-Current | 594 | 594 |
2039 Senior Notes, net | ||
Debt | ||
Total Debt Non-Current | 859 | 859 |
2042 Senior Notes, net | ||
Debt | ||
Total Debt Non-Current | 984 | 984 |
Corporate Revolving Credit Facility | ||
Debt | ||
Debt issuance costs | $ (6) | $ (7) |
DEBT - Maturities (Details)
DEBT - Maturities (Details) $ in Millions | Dec. 31, 2018USD ($) |
Scheduled minimum debt repayments | |
2,019 | $ 626 |
2,022 | 992 |
Debt repayments, thereafter | $ 2,474 |
DEBT - Corporate Revolving Cred
DEBT - Corporate Revolving Credit Facilities (Details) - USD ($) $ in Millions | 1 Months Ended | ||||
Sep. 30, 2013 | Dec. 31, 2018 | Dec. 31, 2017 | May 31, 2012 | May 31, 2011 | |
Corporate Revolving Credit Facility | |||||
Debt | |||||
Line of credit facility maximum borrowing capacity | $ 3,000 | $ 2,500 | |||
Credit facility, amount outstanding | $ 0 | ||||
Corporate Revolving Credit Facility | Revolver sub-facility | |||||
Debt | |||||
Letters of credit outstanding | 86 | $ 80 | |||
Letter of Credit [Member] | BNP Paribas | |||||
Debt | |||||
Line of credit facility maximum borrowing capacity | 175 | ||||
Credit facility, amount outstanding | $ 172 | $ 172 | |||
Debt term | 3 years |
DEBT - 2017 Convertible Senior
DEBT - 2017 Convertible Senior Notes (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | |
Jul. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | |
Debt | |||
Debt payments | $ 575 | $ 379 | $ 1,307 |
2017 Convertible Senior Notes, net | |||
Debt | |||
Debt payments | $ 575 | ||
Interest expense, net | 5 | 9 | |
Amortization of debt discount | $ 14 | $ 24 |
DEBT - 2019 and 2039 Senior Not
DEBT - 2019 and 2039 Senior Notes (Details) | 1 Months Ended | 12 Months Ended | |||
Mar. 31, 2016USD ($) | Sep. 30, 2009USD ($)item | Dec. 31, 2016USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | |
Debt | |||||
Pre-tax loss on debt repurchased | $ 55,000,000 | ||||
2019 and 2039 Notes | |||||
Debt | |||||
Number of public offerings | item | 2 | ||||
Pre-tax loss on debt repurchased | $ 4,000,000 | ||||
2019 and 2039 Notes | Reclassification Out of Accumulated Other Comprehensive Income Member | |||||
Debt | |||||
Interest expense, net | 2,000,000 | ||||
2019 Senior Notes, net | |||||
Debt | |||||
Principal amount | $ 900,000,000 | ||||
Net proceeds | 895,000,000 | ||||
Debt instrument, interest rate, stated percentage | 5.125% | ||||
Amount of debt repurchased | 274,000,000 | ||||
Estimated fair value of outstanding debt | $ 641,000,000 | $ 662,000,000 | |||
2039 Senior Notes, net | |||||
Debt | |||||
Principal amount | 1,100,000,000 | ||||
Net proceeds | $ 1,080,000,000 | ||||
Debt instrument, interest rate, stated percentage | 6.25% | ||||
Amount of debt repurchased | $ 226,000,000 | ||||
Estimated fair value of outstanding debt | $ 972,000,000 | $ 1,132,000,000 |
DEBT - 2022 and 2042 Senior Not
DEBT - 2022 and 2042 Senior Notes (Details) | 1 Months Ended | 12 Months Ended | |||
Nov. 30, 2016USD ($) | Mar. 31, 2012USD ($)item | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Debt | |||||
Pre-tax loss on debt repurchased | $ 55,000,000 | ||||
Other income, net | $ (155,000,000) | $ (54,000,000) | $ (69,000,000) | ||
2022 and 2042 Senior Notes | |||||
Debt | |||||
Number of public offerings | item | 2 | ||||
2022 Senior Notes, net | |||||
Debt | |||||
Debt instrument principal amount | $ 1,500,000,000 | ||||
Net proceeds | 1,479,000,000 | ||||
Debt instrument, interest rate, stated percentage | 3.50% | ||||
Amount of debt repurchased | $ 508,000,000 | ||||
Pre-tax loss on debt repurchased | 31,000,000 | ||||
Estimated fair value of outstanding debt | $ 992,000,000 | 1,021,000,000 | |||
2022 Senior Notes, net | Reclassification Out of Accumulated Other Comprehensive Income Member | |||||
Debt | |||||
Other income, net | $ 20,000,000 | ||||
2042 Senior Notes, net | |||||
Debt | |||||
Debt instrument principal amount | 1,000,000,000 | ||||
Net proceeds | $ 983,000,000 | ||||
Debt instrument, interest rate, stated percentage | 4.88% | ||||
Estimated fair value of outstanding debt | $ 969,000,000 | $ 1,117,000,000 |
DEBT - 2035 Senior Notes (Detai
DEBT - 2035 Senior Notes (Details) - 2035 Senior Notes, net - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2005 |
Debt | |||
Debt instrument principal amount | $ 600,000,000 | ||
Debt instrument, interest rate, stated percentage | 5.88% | ||
Estimated fair value of outstanding debt | $ 655,000,000 | $ 739,000,000 |
DEBT - Debt Covenants (Details)
DEBT - Debt Covenants (Details) | Dec. 31, 2018 |
Corporate Revolving Credit Facility | Maximum | |
Information pertaining to debt | |
Debt to capitalization ratio, maximum allowed under covenant | 0.625 |
LEASE AND OTHER FINANCING OBL_2
LEASE AND OTHER FINANCING OBLIGATIONS (Details) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Dec. 31, 2017USD ($)facility | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Scheduled minimum capital lease payments | ||||
2,019 | $ 27 | |||
2,020 | 26 | |||
2,021 | 27 | |||
2,022 | 27 | |||
2,023 | 27 | |||
Capital lease repayments, thereafter | 131 | |||
Other information | ||||
Financing obligation, current | $ 4 | 27 | $ 4 | |
Scheduled minimum operating lease payments | ||||
2,019 | 13 | |||
2,020 | 11 | |||
2,021 | 10 | |||
2,023 | 9 | |||
2,024 | 7 | |||
Thereafter | 60 | |||
Total | 110 | |||
Operating Leases Rent Expense | ||||
Rent expense | 51 | 43 | $ 43 | |
Tanami Power project | ||||
Other information | ||||
Number of on-site power stations | facility | 2 | |||
Financing obligation | $ 14 | 210 | $ 14 | |
Financing obligation, current | $ 24 |
OTHER LIABILITIES (Details)
OTHER LIABILITIES (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Other current liabilities: | ||
Accrued operating costs | $ 129 | $ 124 |
Reclamation and remediation liabilities | 114 | 103 |
Royalties | 63 | 63 |
Accrued capital expenditures | 61 | 77 |
Accrued interest | 52 | 52 |
Holt royalty obligation | 12 | 15 |
Taxes other than income and mining | 8 | 7 |
Other | 16 | 21 |
Other current liabilities, total | 455 | 462 |
Other non-current liabilities: | ||
Holt property royalty | 149 | 228 |
Galore Creek deferred payment | 89 | |
Power supply agreements | 28 | 32 |
Social development obligations | 18 | 22 |
Income and mining taxes | 17 | 47 |
Other | 13 | 13 |
Other long-term liabilities, total | $ 314 | $ 342 |
RECLASSIFICATIONS OUT OF AOCI -
RECLASSIFICATIONS OUT OF AOCI - Components of AOCI (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |||
Balance at beginning of period | $ 11,519 | $ 11,785 | $ 14,218 |
Other comprehensive income (loss) | (11) | 42 | |
Balance at end of period | 11,465 | 11,519 | 11,785 |
Unrealized gain (loss) on marketable securities, net | |||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |||
Balance at beginning of period | (116) | (101) | |
Change in other comprehensive income (loss) before reclassifications | 1 | (10) | |
Reclassifications from accumulated other comprehensive income (loss) | (5) | ||
Other comprehensive income (loss) | 1 | (15) | |
Balance at end of period | (116) | (101) | |
Foreign Currency Translation Adjustments | |||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |||
Balance at beginning of period | 130 | 118 | |
Change in other comprehensive income (loss) before reclassifications | (12) | 12 | |
Other comprehensive income (loss) | (12) | 12 | |
Balance at end of period | 118 | 130 | 118 |
Pension and other post-retirement benefit adjustments | |||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |||
Balance at beginning of period | (208) | (223) | |
Change in other comprehensive income (loss) before reclassifications | (29) | (3) | |
Reclassifications from accumulated other comprehensive income (loss) | 20 | 18 | |
Other comprehensive income (loss) | (9) | 15 | |
Balance at end of period | (262) | (208) | (223) |
Unrealized Gain (Loss) on Cash flow Hedge Instruments | |||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |||
Balance at beginning of period | (98) | (128) | |
Change in other comprehensive income (loss) before reclassifications | (3) | 5 | |
Reclassifications from accumulated other comprehensive income (loss) | 12 | 25 | |
Other comprehensive income (loss) | 9 | 30 | |
Balance at end of period | (140) | (98) | (128) |
Accumulated Other Comprehensive Income (Loss) | |||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |||
Balance at beginning of period | (292) | (334) | (334) |
Change in other comprehensive income (loss) before reclassifications | (43) | 4 | |
Reclassifications from accumulated other comprehensive income (loss) | 32 | 38 | |
Other comprehensive income (loss) | (11) | 42 | |
Balance at end of period | $ (284) | (292) | $ (334) |
ASU No. 2016-01 | Unrealized gain (loss) on marketable securities, net | |||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |||
Cumulative effect adjustment | 115 | ||
ASU No. 2016-01 | Accumulated Other Comprehensive Income (Loss) | |||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |||
Cumulative effect adjustment | 115 | ||
Accounting Standards Update 201802 [Member] | Pension and other post-retirement benefit adjustments | |||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |||
Cumulative effect adjustment | (45) | ||
Accounting Standards Update 201802 [Member] | Unrealized Gain (Loss) on Cash flow Hedge Instruments | |||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |||
Cumulative effect adjustment | (51) | ||
Accounting Standards Update 201802 [Member] | Accumulated Other Comprehensive Income (Loss) | |||
RECLASSIFICATIONS OUT OF ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |||
Cumulative effect adjustment | $ (96) |
RECLASSIFICATIONS OUT OF AOCI_2
RECLASSIFICATIONS OUT OF AOCI - Reclassifications (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||
Other income, net | $ (155) | $ (54) | $ (69) |
Costs applicable to sales | 4,093 | 4,062 | 3,738 |
Depreciation and amortization | 1,215 | 1,261 | 1,213 |
Interest expense, net | 207 | 241 | 273 |
Total before tax | (738) | (1,072) | 220 |
Tax | 386 | 1,127 | 579 |
Net of tax | (380) | 109 | 943 |
Unrealized gain (loss) on marketable securities, net | |||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||
Reclassifications from accumulated other comprehensive income (loss) | (5) | ||
Pension and other post-retirement benefit adjustments | |||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||
Reclassifications from accumulated other comprehensive income (loss) | 20 | 18 | |
Unrealized Gain (Loss) on Cash flow Hedge Instruments | |||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||
Reclassifications from accumulated other comprehensive income (loss) | 12 | 25 | |
Reclassification Out of Accumulated Other Comprehensive Income Member | |||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||
Reclassifications from accumulated other comprehensive income (loss) | 32 | 38 | (26) |
Reclassification Out of Accumulated Other Comprehensive Income Member | Unrealized gain (loss) on marketable securities, net | |||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||
Total before tax | (5) | (103) | |
Net of tax | (5) | (103) | |
Reclassification Out of Accumulated Other Comprehensive Income Member | Accumulated net marketable securities adjustments - Sale of marketable securities | |||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||
Other income, net | (5) | (103) | |
Reclassification Out of Accumulated Other Comprehensive Income Member | Pension and other post-retirement benefit adjustments | |||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||
Total before tax | 25 | 28 | 25 |
Tax | (5) | (10) | (9) |
Net of tax | 20 | 18 | 16 |
Reclassification Out of Accumulated Other Comprehensive Income Member | Accumulated defined benefit pension plans adjustment, amortization | |||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||
Other income, net | 25 | 23 | 19 |
Reclassification Out of Accumulated Other Comprehensive Income Member | Accumulated defined benefit pension plans adjustment, settlements | |||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||
Other income, net | 5 | 6 | |
Reclassification Out of Accumulated Other Comprehensive Income Member | Unrealized Gain (Loss) on Cash flow Hedge Instruments | |||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||
Total before tax | 16 | 37 | 91 |
Tax | (4) | (12) | (30) |
Net of tax | 12 | 25 | 61 |
Reclassification Out of Accumulated Other Comprehensive Income Member | Operating cash flow hedges | Unrealized Gain (Loss) on Cash flow Hedge Instruments | |||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||
Other income, net | (1) | ||
Costs applicable to sales | 6 | 27 | 59 |
Reclassification Out of Accumulated Other Comprehensive Income Member | Interest rate contracts | Unrealized Gain (Loss) on Cash flow Hedge Instruments | |||
Amount Reclassified from Accumulated Other Comprehensive Income (Loss) | |||
Interest expense, net | $ 10 | $ 10 | $ 33 |
NET CHANGE IN OPERATING ASSET_3
NET CHANGE IN OPERATING ASSETS AND LIABILITIES (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Jul. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Decrease (increase) in operating assets: | ||||
Trade and other accounts receivables | $ (109) | $ 35 | $ (99) | |
Inventories, stockpiles and ore on leach pads | (250) | (204) | (329) | |
Other assets | (49) | (52) | (83) | |
Increase (decrease) in operating liabilities: | ||||
Accounts payable and other accrued liabilities | (73) | 10 | 13 | |
Reclamation and remediation liabilities | (72) | (78) | (54) | |
Payment of accreted interest from debt discount | $ (196) | (196) | ||
Accrued tax liabilities | (190) | 93 | 59 | |
Net change in operating assets and liabilities | $ (743) | (392) | (493) | |
Term loan repaid | $ 575 | $ 379 | $ 1,307 |
SUPPLEMENTAL CASH FLOW INFORM_3
SUPPLEMENTAL CASH FLOW INFORMATION (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
SUPPLEMENTAL CASH FLOW INFORMATION | |||
Income and mining taxes, net of refunds | $ 429 | $ 214 | $ 85 |
Interest, net of amounts capitalized | $ 188 | $ 435 | $ 276 |
SUPPLEMENTAL CASH FLOW INFORM_4
SUPPLEMENTAL CASH FLOW INFORMATION - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Non-cash Investing Activities | |||
Non-cash assets received | $ 22 | ||
Financing obligation, current | $ 27 | 4 | |
Non-cash Financing Activities | |||
Payments of distributions to noncontrolling interests | 160 | 178 | $ 3 |
Cash calls requested from noncontrolling interest | 99 | 97 | 81 |
Funding from noncontrolling interests | 100 | 94 | 66 |
Tanami Power project | |||
Non-cash Investing Activities | |||
Construction in progress under built-to-suit arrangements | 196 | 14 | |
Financing obligation, current | $ 24 | ||
Noncontrolling Interests | |||
Non-cash Financing Activities | |||
Dividends Payable | $ 170 | $ 21 |
CONDENSED CONSOLIDATING FINAN_3
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS - Additional Information (Details) | Dec. 31, 2018 |
Newmont USA | |
Condensed Financial Statements | |
Percent ownership held by Newmont | 100.00% |
CONDENSED CONSOLIDATING FINAN_4
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS - Statement of Operations (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Condensed Consolidating Statement of Operations | |||||||||||||
Sales | $ 2,048 | $ 1,726 | $ 1,662 | $ 1,817 | $ 1,935 | $ 1,879 | $ 1,875 | $ 1,690 | $ 7,253 | $ 7,379 | $ 6,680 | ||
Costs and expenses | |||||||||||||
Costs applicable to sales (1) | 4,093 | 4,062 | 3,738 | ||||||||||
Depreciation and amortization | 1,215 | 1,261 | 1,213 | ||||||||||
Advanced projects, research and development | 153 | 143 | 134 | ||||||||||
General and administrative | 244 | 237 | 233 | ||||||||||
Impairment of long-lived assets | $ 1,003 | 369 | 14 | 1,003 | |||||||||
Other expense, net | 29 | 32 | 58 | ||||||||||
Total costs and expenses | 6,463 | 6,120 | 6,696 | ||||||||||
Other income (expense): | |||||||||||||
Other income, net | 155 | 54 | 69 | ||||||||||
Interest expense, net of capitalized interest | (207) | (241) | (273) | ||||||||||
Total other income (expense) | (52) | (187) | (204) | ||||||||||
Income (loss) before income and mining tax and other items | 738 | 1,072 | (220) | ||||||||||
Income and mining tax benefit (expense) | (386) | (1,127) | (579) | ||||||||||
Equity income (loss) of affiliates | (33) | (16) | (13) | ||||||||||
Net income (loss) from continuing operations | 319 | (71) | (812) | ||||||||||
Net income (loss) from discontinued operations (Note 11) | 61 | (38) | (131) | ||||||||||
Net income (loss) | 380 | (109) | (943) | ||||||||||
Continuing operations | (39) | (5) | 586 | ||||||||||
Discontinued operations | (272) | ||||||||||||
Net income (loss) attributable to noncontrolling interests | (39) | (5) | 314 | ||||||||||
Net income (loss) attributable to Newmont stockholders | $ 2 | $ (145) | $ 292 | $ 192 | $ (542) | $ 206 | $ 175 | $ 47 | 341 | (114) | (629) | ||
Comprehensive income (loss) | 369 | (67) | (943) | ||||||||||
Comprehensive loss (income) attributable to noncontrolling interests | (39) | (5) | 314 | ||||||||||
Comprehensive income (loss) attributable to Newmont stockholders | 330 | (72) | (629) | ||||||||||
Eliminations | |||||||||||||
Other income (expense): | |||||||||||||
Interest income - intercompany | (177) | (233) | (178) | ||||||||||
Interest expense - intercompany | 177 | 233 | 178 | ||||||||||
Equity income (loss) of affiliates | (272) | 113 | 1,539 | ||||||||||
Net income (loss) from continuing operations | (272) | 113 | 1,539 | ||||||||||
Net income (loss) | (272) | 113 | 1,539 | ||||||||||
Net income (loss) attributable to Newmont stockholders | (272) | 113 | 1,539 | ||||||||||
Comprehensive income (loss) | (300) | 113 | 1,539 | ||||||||||
Comprehensive income (loss) attributable to Newmont stockholders | (300) | 113 | 1,539 | ||||||||||
Costs applicable to sales, excluding Depreciation, Exploration and Remediation Expense | |||||||||||||
Costs and expenses | |||||||||||||
Costs applicable to sales (1) | [1] | 4,093 | 4,062 | 3,738 | |||||||||
Exploration | |||||||||||||
Costs and expenses | |||||||||||||
Costs applicable to sales (1) | 197 | 179 | 148 | ||||||||||
Reclamation and remediation | |||||||||||||
Costs and expenses | |||||||||||||
Costs applicable to sales (1) | 163 | 192 | 169 | ||||||||||
Newmont Mining Corporation | Reportable Legal Entities | |||||||||||||
Costs and expenses | |||||||||||||
Depreciation and amortization | 4 | 4 | 4 | ||||||||||
Total costs and expenses | 4 | 4 | 4 | ||||||||||
Other income (expense): | |||||||||||||
Other income, net | (56) | 41 | (69) | ||||||||||
Interest income - intercompany | 83 | 149 | 132 | ||||||||||
Interest expense - intercompany | (6) | (39) | (45) | ||||||||||
Interest expense, net of capitalized interest | (190) | (222) | (254) | ||||||||||
Total other income (expense) | (169) | (71) | (236) | ||||||||||
Income (loss) before income and mining tax and other items | (173) | (75) | (240) | ||||||||||
Income and mining tax benefit (expense) | 14 | (34) | 232 | ||||||||||
Equity income (loss) of affiliates | 500 | (5) | (621) | ||||||||||
Net income (loss) from continuing operations | 341 | (114) | (629) | ||||||||||
Net income (loss) | 341 | (114) | (629) | ||||||||||
Net income (loss) attributable to Newmont stockholders | 341 | (114) | (629) | ||||||||||
Comprehensive income (loss) | 330 | (72) | (629) | ||||||||||
Comprehensive income (loss) attributable to Newmont stockholders | 330 | (72) | (629) | ||||||||||
Newmont USA | Reportable Legal Entities | |||||||||||||
Condensed Consolidating Statement of Operations | |||||||||||||
Sales | 1,896 | 1,955 | 1,951 | ||||||||||
Costs and expenses | |||||||||||||
Depreciation and amortization | 349 | 355 | 333 | ||||||||||
Advanced projects, research and development | 34 | 21 | 11 | ||||||||||
General and administrative | 82 | 80 | 90 | ||||||||||
Impairment of long-lived assets | 336 | 1 | |||||||||||
Other expense, net | 4 | 12 | 30 | ||||||||||
Total costs and expenses | 2,098 | 1,783 | 1,712 | ||||||||||
Other income (expense): | |||||||||||||
Other income, net | 40 | 6 | 14 | ||||||||||
Interest income - intercompany | 51 | 43 | |||||||||||
Interest expense - intercompany | (4) | ||||||||||||
Interest expense, net of capitalized interest | (7) | (7) | (6) | ||||||||||
Total other income (expense) | 84 | 38 | 8 | ||||||||||
Income (loss) before income and mining tax and other items | (118) | 210 | 247 | ||||||||||
Income and mining tax benefit (expense) | (15) | (23) | (62) | ||||||||||
Equity income (loss) of affiliates | (228) | (108) | (1,342) | ||||||||||
Net income (loss) from continuing operations | (361) | 79 | (1,157) | ||||||||||
Net income (loss) | (361) | 79 | (1,157) | ||||||||||
Net income (loss) attributable to Newmont stockholders | (361) | 79 | (1,157) | ||||||||||
Comprehensive income (loss) | (440) | 90 | (1,155) | ||||||||||
Comprehensive income (loss) attributable to Newmont stockholders | (440) | 90 | (1,155) | ||||||||||
Newmont USA | Costs applicable to sales, excluding Depreciation, Exploration and Remediation Expense | Reportable Legal Entities | |||||||||||||
Costs and expenses | |||||||||||||
Costs applicable to sales (1) | 1,206 | 1,209 | 1,198 | ||||||||||
Newmont USA | Exploration | Reportable Legal Entities | |||||||||||||
Costs and expenses | |||||||||||||
Costs applicable to sales (1) | 55 | 43 | 35 | ||||||||||
Newmont USA | Reclamation and remediation | Reportable Legal Entities | |||||||||||||
Costs and expenses | |||||||||||||
Costs applicable to sales (1) | 32 | 63 | 14 | ||||||||||
Other Subsidiaries | Reportable Legal Entities | |||||||||||||
Condensed Consolidating Statement of Operations | |||||||||||||
Sales | 5,357 | 5,424 | 4,729 | ||||||||||
Costs and expenses | |||||||||||||
Depreciation and amortization | 862 | 902 | 876 | ||||||||||
Advanced projects, research and development | 119 | 122 | 123 | ||||||||||
General and administrative | 162 | 157 | 143 | ||||||||||
Impairment of long-lived assets | 33 | 14 | 1,002 | ||||||||||
Other expense, net | 25 | 20 | 28 | ||||||||||
Total costs and expenses | 4,361 | 4,333 | 4,980 | ||||||||||
Other income (expense): | |||||||||||||
Other income, net | 171 | 7 | 124 | ||||||||||
Interest income - intercompany | 43 | 41 | 46 | ||||||||||
Interest expense - intercompany | (171) | (190) | (133) | ||||||||||
Interest expense, net of capitalized interest | (10) | (12) | (13) | ||||||||||
Total other income (expense) | 33 | (154) | 24 | ||||||||||
Income (loss) before income and mining tax and other items | 1,029 | 937 | (227) | ||||||||||
Income and mining tax benefit (expense) | (385) | (1,070) | (749) | ||||||||||
Equity income (loss) of affiliates | (33) | (16) | 411 | ||||||||||
Net income (loss) from continuing operations | 611 | (149) | (565) | ||||||||||
Net income (loss) from discontinued operations (Note 11) | 61 | (38) | (131) | ||||||||||
Net income (loss) | 672 | (187) | (696) | ||||||||||
Continuing operations | 586 | ||||||||||||
Discontinued operations | (272) | ||||||||||||
Net income (loss) attributable to noncontrolling interests | (39) | (5) | 314 | ||||||||||
Net income (loss) attributable to Newmont stockholders | 633 | (192) | (382) | ||||||||||
Comprehensive income (loss) | 779 | (198) | (698) | ||||||||||
Comprehensive loss (income) attributable to noncontrolling interests | (39) | (5) | 314 | ||||||||||
Comprehensive income (loss) attributable to Newmont stockholders | 740 | (203) | (384) | ||||||||||
Other Subsidiaries | Costs applicable to sales, excluding Depreciation, Exploration and Remediation Expense | Reportable Legal Entities | |||||||||||||
Costs and expenses | |||||||||||||
Costs applicable to sales (1) | 2,887 | 2,853 | 2,540 | ||||||||||
Other Subsidiaries | Exploration | Reportable Legal Entities | |||||||||||||
Costs and expenses | |||||||||||||
Costs applicable to sales (1) | 142 | 136 | 113 | ||||||||||
Other Subsidiaries | Reclamation and remediation | Reportable Legal Entities | |||||||||||||
Costs and expenses | |||||||||||||
Costs applicable to sales (1) | $ 131 | $ 129 | $ 155 | ||||||||||
[1] | Excludes Depreciation and amortization and Reclamation and remediation. |
CONDENSED CONSOLIDATING FINAN_5
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS - Cash Flows (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||||||
Jul. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Operating activities: | ||||||||
Net cash provided by (used in) continuing operating activities | $ 1,837 | $ 2,139 | $ 1,917 | |||||
Net cash provided by (used in) operating activities of discontinued operations | [1] | (10) | (15) | 869 | ||||
Net cash provided by (used in) operating activities | 1,827 | 2,124 | 2,786 | |||||
Investing activities: | ||||||||
Additions to property, plant and mine development | (1,032) | (866) | (1,133) | |||||
Acquisitions, net | (140) | |||||||
Purchases of investments | (39) | (130) | (15) | |||||
Proceeds from sales of other assets | 24 | 5 | 9 | |||||
Proceeds from sales of investments | 18 | 35 | 195 | |||||
Proceeds from sale of Batu Hijau | 920 | |||||||
Other | (8) | 10 | (4) | |||||
Net cash provided by (used in) investing activities of continuing operations | (1,177) | (946) | (28) | |||||
Net cash provided by (used in) investing activities of discontinued operations | (46) | |||||||
Net cash provided by (used in) investing activities | (1,177) | (946) | (74) | |||||
Financing activities: | ||||||||
Dividends paid to common stockholders | (301) | (134) | (67) | |||||
Distributions to noncontrolling interests | (160) | (178) | (3) | |||||
Funding from noncontrolling interests | 100 | 94 | 66 | |||||
Repurchases of common stock | (98) | |||||||
Proceeds from sale of noncontrolling interests | 48 | |||||||
Payments for withholding of employee taxes related to stock-based compensation | (40) | (14) | (5) | |||||
Payments on lease and other financing obligations | (4) | (5) | (5) | |||||
Repayment of debt | $ (575) | (379) | (1,307) | |||||
Acquisition of noncontrolling interests | (48) | (19) | ||||||
Dividends paid to noncontrolling interests | (146) | |||||||
Other | (4) | |||||||
Net cash provided by (used in) financing activities of continuing operations | (455) | (668) | (1,486) | |||||
Net cash provided by (used in) financing activities of discontinued operations | (331) | |||||||
Net cash provided by (used in) financing activities | (455) | (668) | (1,817) | |||||
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (4) | 6 | 2 | |||||
Net change in cash, cash equivalents and restricted cash | 191 | 516 | 897 | |||||
Less net cash provided by (used in) Batu Hijau discontinued operations | 503 | |||||||
Net change in cash and cash equivalents excluding cash and cash equivalents related to Batu Hijau discontinued operations | 191 | 516 | 394 | |||||
Cash, cash equivalents and restricted cash at beginning of period | 3,298 | 2,782 | 2,388 | |||||
Cash, cash equivalents and restricted cash at end of period | 3,489 | 3,298 | 2,782 | |||||
Reconciliation of cash, cash equivalents and restricted cash: | ||||||||
Cash and cash equivalents | $ 3,397 | $ 3,259 | $ 2,756 | |||||
Restricted cash included in Other current assets | $ 1 | $ 1 | $ 1 | |||||
Location of current restricted cash | us-gaap:OtherAssetsCurrent | us-gaap:OtherAssetsCurrent | us-gaap:OtherAssetsCurrent | |||||
Restricted cash included in Other noncurrent assets | $ 91 | $ 38 | $ 25 | |||||
Location of noncurrent restricted cash | us-gaap:OtherAssetsNoncurrent | us-gaap:OtherAssetsNoncurrent | us-gaap:OtherAssetsNoncurrent | |||||
Total cash, cash equivalents and restricted cash | 3,298 | 2,782 | 2,388 | $ 3,489 | $ 3,298 | $ 2,782 | ||
Eliminations | ||||||||
Operating activities: | ||||||||
Net cash provided by (used in) continuing operating activities | (1,782) | |||||||
Net cash provided by (used in) operating activities | (1,782) | |||||||
Financing activities: | ||||||||
Dividends paid to common stockholders | 1,782 | |||||||
Net cash provided by (used in) financing activities of continuing operations | 1,782 | |||||||
Net cash provided by (used in) financing activities | 1,782 | |||||||
Newmont Mining Corporation | Reportable Legal Entities | ||||||||
Operating activities: | ||||||||
Net cash provided by (used in) continuing operating activities | (147) | (325) | 2,240 | |||||
Net cash provided by (used in) operating activities | (147) | (325) | 2,240 | |||||
Investing activities: | ||||||||
Purchases of investments | (6) | (114) | ||||||
Net cash provided by (used in) investing activities of continuing operations | (6) | (114) | ||||||
Net cash provided by (used in) investing activities | (6) | (114) | ||||||
Financing activities: | ||||||||
Dividends paid to common stockholders | (301) | (134) | (67) | |||||
Repurchases of common stock | (98) | |||||||
Repayment of debt | (379) | (1,307) | ||||||
Net intercompany borrowings (repayments) | 552 | 955 | (866) | |||||
Other | (3) | |||||||
Proceeds From Repayments Of Related Party Debt | 552 | 955 | (866) | |||||
Net cash provided by (used in) financing activities of continuing operations | 153 | 439 | (2,240) | |||||
Net cash provided by (used in) financing activities | 153 | 439 | (2,240) | |||||
Newmont USA | Reportable Legal Entities | ||||||||
Operating activities: | ||||||||
Net cash provided by (used in) continuing operating activities | 578 | (207) | 1,342 | |||||
Net cash provided by (used in) operating activities | 578 | (207) | 1,342 | |||||
Investing activities: | ||||||||
Additions to property, plant and mine development | (274) | (253) | (261) | |||||
Proceeds from sales of investments | 13 | 8 | ||||||
Other | (1) | 2 | ||||||
Net cash provided by (used in) investing activities of continuing operations | (262) | (251) | (253) | |||||
Net cash provided by (used in) investing activities | (262) | (251) | (253) | |||||
Financing activities: | ||||||||
Dividends paid to common stockholders | (1,512) | |||||||
Payments for withholding of employee taxes related to stock-based compensation | (40) | (14) | (5) | |||||
Payments on lease and other financing obligations | (1) | (3) | (3) | |||||
Net intercompany borrowings (repayments) | (275) | 473 | (748) | |||||
Other | 1 | (1) | ||||||
Proceeds From Repayments Of Related Party Debt | (275) | 473 | (748) | |||||
Net cash provided by (used in) financing activities of continuing operations | (316) | 457 | (2,269) | |||||
Net cash provided by (used in) financing activities | (316) | 457 | (2,269) | |||||
Net change in cash, cash equivalents and restricted cash | (1) | (1,180) | ||||||
Net change in cash and cash equivalents excluding cash and cash equivalents related to Batu Hijau discontinued operations | (1) | (1,180) | ||||||
Cash, cash equivalents and restricted cash at beginning of period | 1 | 1,181 | ||||||
Cash, cash equivalents and restricted cash at end of period | 1 | |||||||
Reconciliation of cash, cash equivalents and restricted cash: | ||||||||
Cash and cash equivalents | 1 | |||||||
Total cash, cash equivalents and restricted cash | 1 | 1,181 | 1 | |||||
Other Subsidiaries | Reportable Legal Entities | ||||||||
Operating activities: | ||||||||
Net cash provided by (used in) continuing operating activities | 1,406 | 2,671 | 117 | |||||
Net cash provided by (used in) operating activities of discontinued operations | (10) | (15) | 869 | |||||
Net cash provided by (used in) operating activities | 1,396 | 2,656 | 986 | |||||
Investing activities: | ||||||||
Additions to property, plant and mine development | (758) | (613) | (872) | |||||
Acquisitions, net | (140) | |||||||
Purchases of investments | (33) | (16) | (15) | |||||
Proceeds from sales of other assets | 24 | 5 | 9 | |||||
Proceeds from sales of investments | 5 | 35 | 187 | |||||
Proceeds from sale of Batu Hijau | 920 | |||||||
Other | (7) | 8 | (4) | |||||
Net cash provided by (used in) investing activities of continuing operations | (909) | (581) | 225 | |||||
Net cash provided by (used in) investing activities of discontinued operations | (46) | |||||||
Net cash provided by (used in) investing activities | (909) | (581) | 179 | |||||
Financing activities: | ||||||||
Dividends paid to common stockholders | (270) | |||||||
Distributions to noncontrolling interests | (160) | (178) | (3) | |||||
Funding from noncontrolling interests | 100 | 94 | 66 | |||||
Proceeds from sale of noncontrolling interests | 48 | |||||||
Payments on lease and other financing obligations | (3) | (2) | (2) | |||||
Acquisition of noncontrolling interests | (48) | (19) | ||||||
Dividends paid to noncontrolling interests | (146) | |||||||
Net intercompany borrowings (repayments) | (277) | (1,428) | 1,614 | |||||
Other | (2) | 1 | ||||||
Proceeds From Repayments Of Related Party Debt | (277) | (1,428) | 1,614 | |||||
Net cash provided by (used in) financing activities of continuing operations | (292) | (1,564) | 1,241 | |||||
Net cash provided by (used in) financing activities of discontinued operations | (331) | |||||||
Net cash provided by (used in) financing activities | (292) | (1,564) | 910 | |||||
Effect of exchange rate changes on cash, cash equivalents and restricted cash | (4) | 6 | 2 | |||||
Net change in cash, cash equivalents and restricted cash | 191 | 517 | 2,077 | |||||
Less net cash provided by (used in) Batu Hijau discontinued operations | 503 | |||||||
Net change in cash and cash equivalents excluding cash and cash equivalents related to Batu Hijau discontinued operations | 191 | 517 | 1,574 | |||||
Cash, cash equivalents and restricted cash at beginning of period | 3,298 | 2,781 | 1,207 | |||||
Cash, cash equivalents and restricted cash at end of period | 3,489 | 3,298 | 2,781 | |||||
Reconciliation of cash, cash equivalents and restricted cash: | ||||||||
Cash and cash equivalents | 3,397 | 3,259 | 2,755 | |||||
Restricted cash included in Other current assets | 1 | 1 | 1 | |||||
Restricted cash included in Other noncurrent assets | 91 | 38 | 25 | |||||
Total cash, cash equivalents and restricted cash | $ 3,298 | $ 2,781 | $ 1,207 | $ 3,489 | $ 3,298 | $ 2,781 | ||
[1] | Net cash provided by operating activities of discontinued operations includes $(10), $(12) and $(11) for 2018, 2017 and 2016, respectively, related to the Holt royalty obligation, all of which were paid out of Cash and cash equivalents, $(3) related to closing costs for the sale of Batu Hijau that were paid in 2017 and $880 related to the operating activities of Batu Hijau in 2016. For additional information regarding our discontinued operations, including cash flows from Batu Hijau, see Note 11. |
CONDENSED CONSOLIDATING FINAN_6
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS - Balance Sheet (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Assets | ||||
Cash and cash equivalents | $ 3,397 | $ 3,259 | $ 2,756 | |
Trade receivables (Note 4) | 254 | 124 | ||
Other accounts receivables | 92 | 113 | ||
Investments | 48 | 62 | ||
Inventories | 630 | 679 | ||
Stockpiles and ore on leach pads | 697 | 676 | ||
Other current assets | 159 | 153 | ||
Current assets | 5,277 | 5,066 | ||
Property, plant and mine development, net | 12,258 | 12,338 | ||
Investments | 271 | 280 | ||
Stockpiles and ore on leach pads | 1,866 | 1,848 | ||
Deferred income tax assets | 401 | 549 | ||
Other non-current assets | 642 | 565 | ||
Total assets | 20,715 | 20,646 | 21,071 | |
Liabilities | ||||
Debt | 626 | |||
Lease and other financing obligations, current | 27 | 4 | ||
Accounts payable | 303 | 375 | ||
Employee-related benefits | 305 | 309 | ||
Income and mining taxes | 71 | 248 | ||
Other current liabilities | 455 | 462 | ||
Current liabilities | 1,787 | 1,398 | ||
Debt | 3,418 | 4,040 | ||
Lease and other financing obligations, noncurrent | 190 | 21 | ||
Reclamation and remediation liabilities | 2,481 | 2,345 | ||
Deferred income tax liabilities | 612 | 595 | ||
Employee-related benefits | 401 | 386 | ||
Other non-current liabilities | 314 | 342 | ||
Total liabilities | 9,203 | 9,127 | ||
Contingently redeemable noncontrolling interest | 47 | |||
Equity | ||||
Newmont stockholders' equity | 10,502 | 10,535 | ||
Noncontrolling interests | 963 | 984 | ||
Total equity | 11,465 | 11,519 | 11,785 | $ 14,218 |
Total liabilities and equity | 20,715 | 20,646 | ||
Eliminations | ||||
Assets | ||||
Intercompany receivable | (19,674) | (10,138) | ||
Current assets | (19,674) | (10,138) | ||
Property, plant and mine development, net | (29) | (27) | ||
Investments in subsidiaries | (13,086) | (12,012) | ||
Non-current intercompany receivable | (1,363) | (2,108) | ||
Total assets | (34,152) | (24,285) | ||
Liabilities | ||||
Intercompany payable | (19,674) | (10,138) | ||
Current liabilities | (19,674) | (10,138) | ||
Non-current intercompany payable | (1,392) | (2,135) | ||
Other non-current liabilities | (622) | (311) | ||
Total liabilities | (21,688) | (12,584) | ||
Equity | ||||
Newmont stockholders' equity | (12,464) | (11,701) | ||
Total equity | (12,464) | (11,701) | ||
Total liabilities and equity | (34,152) | (24,285) | ||
Newmont Mining Corporation | Reportable Legal Entities | ||||
Assets | ||||
Intercompany receivable | 6,351 | 2,053 | ||
Current assets | 6,351 | 2,053 | ||
Property, plant and mine development, net | 14 | 17 | ||
Investments | 62 | 106 | ||
Investments in subsidiaries | 13,083 | 12,012 | ||
Deferred income tax assets | 84 | |||
Non-current intercompany receivable | 653 | 1,700 | ||
Total assets | 20,163 | 15,972 | ||
Liabilities | ||||
Debt | 626 | |||
Intercompany payable | 5,554 | 1,338 | ||
Other current liabilities | 52 | 52 | ||
Current liabilities | 6,232 | 1,390 | ||
Debt | 3,418 | 4,040 | ||
Employee-related benefits | 3 | |||
Non-current intercompany payable | 7 | 7 | ||
Other non-current liabilities | 1 | |||
Total liabilities | 9,661 | 5,437 | ||
Equity | ||||
Newmont stockholders' equity | 10,502 | 10,535 | ||
Total equity | 10,502 | 10,535 | ||
Total liabilities and equity | 20,163 | 15,972 | ||
Newmont USA | Reportable Legal Entities | ||||
Assets | ||||
Cash and cash equivalents | 1 | |||
Trade receivables (Note 4) | 63 | 18 | ||
Other accounts receivables | 1 | |||
Intercompany receivable | 5,027 | 4,601 | ||
Inventories | 180 | 181 | ||
Stockpiles and ore on leach pads | 195 | 196 | ||
Other current assets | 29 | 38 | ||
Current assets | 5,495 | 5,034 | ||
Property, plant and mine development, net | 2,680 | 3,082 | ||
Investments | 4 | 4 | ||
Stockpiles and ore on leach pads | 658 | 648 | ||
Deferred income tax assets | 5 | |||
Non-current intercompany receivable | 704 | 401 | ||
Other non-current assets | 271 | 255 | ||
Total assets | 9,812 | 9,429 | ||
Liabilities | ||||
Lease and other financing obligations, current | 1 | 1 | ||
Accounts payable | 83 | 83 | ||
Intercompany payable | 2,741 | 2,145 | ||
Employee-related benefits | 138 | 143 | ||
Income and mining taxes | 19 | 18 | ||
Other current liabilities | 135 | 163 | ||
Current liabilities | 3,117 | 2,553 | ||
Lease and other financing obligations, noncurrent | 3 | 4 | ||
Reclamation and remediation liabilities | 325 | 309 | ||
Deferred income tax liabilities | 90 | 121 | ||
Employee-related benefits | 236 | 222 | ||
Other non-current liabilities | 637 | 329 | ||
Total liabilities | 4,408 | 3,538 | ||
Equity | ||||
Newmont stockholders' equity | 5,404 | 5,891 | ||
Total equity | 5,404 | 5,891 | ||
Total liabilities and equity | 9,812 | 9,429 | ||
Other Subsidiaries | Reportable Legal Entities | ||||
Assets | ||||
Cash and cash equivalents | 3,397 | 3,259 | $ 2,755 | |
Trade receivables (Note 4) | 191 | 106 | ||
Other accounts receivables | 91 | 113 | ||
Intercompany receivable | 8,296 | 3,484 | ||
Investments | 48 | 62 | ||
Inventories | 450 | 498 | ||
Stockpiles and ore on leach pads | 502 | 480 | ||
Other current assets | 130 | 115 | ||
Current assets | 13,105 | 8,117 | ||
Property, plant and mine development, net | 9,593 | 9,266 | ||
Investments | 205 | 170 | ||
Investments in subsidiaries | 3 | |||
Stockpiles and ore on leach pads | 1,208 | 1,200 | ||
Deferred income tax assets | 401 | 460 | ||
Non-current intercompany receivable | 6 | 7 | ||
Other non-current assets | 371 | 310 | ||
Total assets | 24,892 | 19,530 | ||
Liabilities | ||||
Lease and other financing obligations, current | 26 | 3 | ||
Accounts payable | 220 | 292 | ||
Intercompany payable | 11,379 | 6,655 | ||
Employee-related benefits | 167 | 166 | ||
Income and mining taxes | 52 | 230 | ||
Other current liabilities | 268 | 247 | ||
Current liabilities | 12,112 | 7,593 | ||
Lease and other financing obligations, noncurrent | 187 | 17 | ||
Reclamation and remediation liabilities | 2,156 | 2,036 | ||
Deferred income tax liabilities | 522 | 474 | ||
Employee-related benefits | 162 | 164 | ||
Non-current intercompany payable | 1,385 | 2,128 | ||
Other non-current liabilities | 298 | 324 | ||
Total liabilities | 16,822 | 12,736 | ||
Contingently redeemable noncontrolling interest | 47 | |||
Equity | ||||
Newmont stockholders' equity | 7,060 | 5,810 | ||
Noncontrolling interests | 963 | 984 | ||
Total equity | 8,023 | 6,794 | ||
Total liabilities and equity | $ 24,892 | $ 19,530 |
COMMITMENTS AND CONTINGENCIES -
COMMITMENTS AND CONTINGENCIES - Environmental Matters by Site (Details) - USD ($) $ in Millions | Jun. 05, 2007 | Jun. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2012 |
Loss contingencies | ||||||
Modification period | 3 years | |||||
Reclamation and remediation | $ 31 | $ 48 | $ 23 | |||
Environmental remediation obligations | 279 | $ 304 | $ 312 | |||
Midnite Mine | ||||||
Loss contingencies | ||||||
Department of Interior contribution for past and future cleanup costs | $ 42 | |||||
Reclamation and remediation | $ 11 | |||||
Environmental remediation | Ross-Adams Mine Site | ||||||
Loss contingencies | ||||||
Damages sought | $ 0.3 | |||||
Environmental remediation | Midnite Mine | ||||||
Loss contingencies | ||||||
Environmental remediation obligations | $ 150 | |||||
Newmont USA | ||||||
Loss contingencies | ||||||
Percent ownership held by Newmont | 100.00% | |||||
Dawn Mining Company | ||||||
Loss contingencies | ||||||
Percent ownership held by Newmont | 51.00% |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES - Other Legal Matters - Administrative Matters (Details) $ in Millions | 1 Months Ended | 12 Months Ended | ||||
Nov. 30, 2015judgment | Dec. 31, 2018USD ($)item$ / item | Dec. 31, 2000USD ($) | Jun. 30, 2018 | Dec. 31, 2017 | Nov. 30, 2017 | |
Minera Yanacocha | ||||||
Loss contingencies | ||||||
Percent ownership held by Newmont | 51.35% | 51.35% | 54.05% | 51.35% | ||
Contractual right to conduct exploration | Maximum | ||||||
Loss contingencies | ||||||
Intangible asset, useful life | 10 years | |||||
Buenaventura and Minas Conga | Contractual right to conduct exploration | ||||||
Loss contingencies | ||||||
Intangible asset acquired | $ | $ 29 | |||||
Yanacocha Tax Dispute | ||||||
Loss contingencies | ||||||
Number of rulings overturned | judgment | 2 | |||||
Number of judges supporting tax authority | 3 | |||||
Number of judges supporting Yanacocha position | 2 | |||||
Number of votes required | 4 | |||||
Yanacocha Tax Dispute | Maximum | ||||||
Loss contingencies | ||||||
Potential liability, including fines and interest | $ | $ 83 | |||||
Minera Yanacocha | ||||||
Loss contingencies | ||||||
Potential fine for each unit alleged violations (in dollars per unit) | $ / item | 0.001260 | |||||
Minera Yanacocha | Minimum | ||||||
Loss contingencies | ||||||
Potential fine for alleged violations | $ | $ 0 | |||||
Minera Yanacocha | Maximum | ||||||
Loss contingencies | ||||||
Potential fine for alleged violations | $ | $ 50 | |||||
Minera Yanacocha | OEFA | Minimum | ||||||
Loss contingencies | ||||||
Number of units with alleged violations | 0 | |||||
Minera Yanacocha | OEFA | Maximum | ||||||
Loss contingencies | ||||||
Number of units with alleged violations | 40,300 | |||||
Minera Yanacocha | Water Authority | Minimum | ||||||
Loss contingencies | ||||||
Number of units with alleged violations | 0 | |||||
Minera Yanacocha | Water Authority | Maximum | ||||||
Loss contingencies | ||||||
Number of units with alleged violations | 10 |
COMMITMENTS AND CONTINGENCIES_3
COMMITMENTS AND CONTINGENCIES - NWG Investments Inc v. Fronteer Gold Inc. (Details) $ in Millions, $ in Billions | Feb. 24, 2014CAD ($) | Sep. 24, 2012USD ($) | Apr. 08, 2008 | Sep. 30, 2007 | Jun. 30, 2007 |
North America | Pending Litigation | |||||
Loss contingencies | |||||
Uranium mining moratorium term | 3 years | ||||
Jacob Safra | NWG Investments Inc | |||||
Loss contingencies | |||||
Ownership/Economic interest (as a percent) | 100.00% | ||||
NWG Investments Inc | NewWest Gold | |||||
Loss contingencies | |||||
Ownership/Economic interest (as a percent) | 86.00% | ||||
NWG Investments Inc | NWG New York Case | Pending Litigation | |||||
Loss contingencies | |||||
Damages sought | $ 750 | ||||
NWG Investments Inc | NWG Ontario Complaint | Pending Litigation | |||||
Loss contingencies | |||||
Damages sought | $ 1.2 | ||||
Fronteer | Aurora | |||||
Loss contingencies | |||||
Ownership/Economic interest (as a percent) | 47.00% |
COMMITMENTS AND CONTINGENCIES_4
COMMITMENTS AND CONTINGENCIES - Other Commitments (Details) - USD ($) $ in Millions | Dec. 31, 2018 | Jul. 31, 2018 | Dec. 31, 2017 |
Other commitments | |||
Letters of credit surety bonds and bank guarantees, outstanding | $ 2,514 | $ 2,321 | |
Galore Creek [Member] | |||
Other commitments | |||
Contingent consideration liability | $ 75 |
UNAUDITED SUPPLEMENTARY DATA (D
UNAUDITED SUPPLEMENTARY DATA (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
UNAUDITED SUPPLEMENTARY DATA | |||||||||||
Sales | $ 2,048 | $ 1,726 | $ 1,662 | $ 1,817 | $ 1,935 | $ 1,879 | $ 1,875 | $ 1,690 | $ 7,253 | $ 7,379 | $ 6,680 |
Gross profit | 541 | 401 | 381 | 459 | 465 | 472 | 523 | 404 | |||
Income (loss) from continuing operations | (3) | (161) | 274 | 170 | (549) | 213 | 190 | 70 | 280 | (76) | (226) |
Income (loss) from discontinued operations | 5 | 16 | 18 | 22 | 7 | (7) | (15) | (23) | 61 | (38) | (403) |
Net income (loss) attributable to Newmont stockholders | $ 2 | $ (145) | $ 292 | $ 192 | $ (542) | $ 206 | $ 175 | $ 47 | $ 341 | $ (114) | $ (629) |
Income (loss) from continuing operations, per common share, basic | $ (0.31) | $ 0.52 | $ 0.32 | $ (1.02) | $ 0.39 | $ 0.36 | $ 0.13 | $ 0.53 | $ (0.14) | $ (0.43) | |
Income (loss) from discontinued operations, per common share, basic | 0.04 | 0.03 | 0.04 | 0.01 | (0.01) | (0.03) | (0.04) | 0.11 | (0.07) | (0.76) | |
Net income (loss) per common share, basic | (0.27) | 0.55 | 0.36 | (1.01) | 0.38 | 0.33 | 0.09 | 0.64 | (0.21) | (1.19) | |
Income (loss) from continuing operations, per common share, diluted | (0.31) | 0.51 | 0.32 | (1.02) | 0.39 | 0.36 | 0.13 | 0.53 | (0.14) | (0.42) | |
Income (loss) from discontinued operations, per common share, diluted | 0.04 | 0.03 | 0.04 | 0.01 | (0.01) | (0.03) | (0.04) | 0.11 | (0.07) | (0.76) | |
Net income (loss) per common share, diluted | $ (0.27) | $ 0.54 | $ 0.36 | $ (1.01) | $ 0.38 | $ 0.33 | $ 0.09 | $ 0.64 | $ (0.21) | $ (1.18) | |
Basic weighted-average shares outstanding | 533 | 533 | 533 | 534 | 533 | 533 | 533 | 532 | 533 | 533 | 530 |
Diluted weighted-average shares outstanding | 535 | 535 | 535 | 535 | 536 | 536 | 535 | 533 | 535 | 535 | 532 |
Cash dividends declared per common share | $ 0.140 | $ 0.140 | $ 0.140 | $ 0.140 | $ 0.075 | $ 0.075 | $ 0.050 | $ 0.050 | $ 0.56 | $ 0.25 | $ 0.125 |
Closing price of common stock | $ 34.65 | $ 30.20 | $ 37.71 | $ 39.07 | $ 37.52 | $ 37.51 | $ 32.39 | $ 32.96 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - Subsequent Event [Member] - Goldcorp [Member] $ / shares in Units, $ in Billions | Jan. 14, 2019USD ($)$ / sharesshares |
Subsequent Event [Line Items] | |
Newmont shares issued per Goldcorp share | shares | 0.3280 |
Cash paid per share | $ / shares | $ 0.02 |
Total transaction value | $ | $ 10 |
SCHEDULE II_VALUATION AND QUALI
SCHEDULE II—VALUATION AND QUALIFYING ACCOUNTS (Details) - Valuation Allowance of Deferred Tax Assets - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
SCHEDULE II—VALUATION AND QUALIFYING ACCOUNTS | |||
Balance at beginning of year | $ 2,815 | $ 3,873 | $ 2,742 |
Additions to deferred income tax expense | 200 | 579 | 1,634 |
Reduction of deferred income tax expense | (54) | (443) | (503) |
Additions due to Tax Cuts and Jobs Act | 79 | ||
Reduction due to Tax Cuts and Jobs Act | (46) | (1,194) | |
Balance at end of year | $ 2,994 | $ 2,815 | $ 3,873 |