The Conversation (0)
October 30, 2024
Emu NL (ASX: EMU or the Company) is pleased to report on its activities for the quarter ending 30 September 2024. Throughout the quarter, EMU continued to advance its exploration programme at the Yataga Copper Project at Georgetown, in North Ǫueensland.
Highlights
- Updated geological modelling with multiple intra-pluton porphyry copper centres close to surface identified from surface geochemical surveys within the Yataga Copper Project
- Porphyry centres concentrated along a structural belt have been identified as analogous to the Highland Valley Copper Mine, where a series of porphyry copper deposits host Canada’s largest open pit copper mine (production of >130kt in 2021)
- Termite mound sampling programmes have identified a combined area of 8km2 of copper-in- soil anomalism with significant potential for expansion
- 220-line km airborne electromagnetic survey complete with results pending
- 20+-line km ground based Pole-Dipole Induced Polarisation (PDIP) and Magnetotelluric (MT) Survey underway
- Geochemistry and geophysics programme results will feed into upcoming optimised drilling program planned for early 2025
- Acclaimed ǪLD geologist, Dr Gregg Morrison appointed as Technical Advisor to the Project
- $1.5M Placement underway through issue of 61M fully paid ordinary shares at $0.025 per share to sophisticated and professional investors
Located within the Georgetown mining district, EMU’s Georgetown tenements cover a richly endowed but under-explored area of Far North Ǫueensland with a history of significant mining activity and mineral discoveries.
EMU is earning an 80% interest in 3 exploration permits for minerals (EPM’s), covering 850km2 in the Georgetown mining district, Ǫueensland, under a Heads of Agreement and Joint Venture Agreement with Rugby Resources Ltd (TSXV:RUG). The district has a substantial mineral endowment with more than 1,000 mines, prospects and identified mineral occurrences.1
Figure 1. Georgetown Tenements Location
Definitions and Nomenclature
Click here for the Quarterly Cashflow Report
Click here for the full ASX Release
This article includes content from EMU NL, licensed for the purpose of publishing on Investing News Australia. This article does not constitute financial product advice. It is your responsibility to perform proper due diligence before acting upon any information provided here. Please refer to our full disclaimer here.
EMU:AU
19 January
EMU NL
Investor Insight
EMU NL is an Australia-focused base and precious metals exploration company offering a compelling opportunity in the highly lucrative copper space. A strategic focus on delineating a large-scale copper porphyry system at its Yataga Copper Project at Georgetown in Northern Queensland, combined with a leadership team of significant global experience and expertise, and an upward trending copper market, all make EMU NL worthy of considerable consideration for any investors looking at the copper sector.
Overview
EMU NL (ASX:EMU) is an ASX-listed precious and base metals exploration company with two active projects in, Australia: Yataga Copper Project in Georgetown (Queensland) and the Badja gold, tungsten and lithium project (Western Australia). EMU’s primary focus is accelerating exploration at the highly promising Yataga Copper Project.
Australia is one of the most attractive regions for mining, according to the Fraser Institute. It ranks Queensland as the 13th most attractive destination for mining investment.
In 2023, Queensland's mines yielded 12.6 tons of gold, positioning it as Australia's fourth most prolific state for this precious metal. The company's presence in relatively attractive mining jurisdictions positions it to capitalize on opportunities in Australia's resource sector and deliver sustainable returns to its shareholders. The recent fundraises of AU$1.45 million have provided sufficient funding to advance its exploration projects and EMU is planning its maiden drilling programme at the Yataga Copper Project in 2025.
Gold and copper continue to demonstrate bullish trends. Various factors are driving the surge in copper prices, including demand patterns such as upgrades in utility grids, the increasing use of copper in electric vehicles, and housing construction. Additionally, the growing energy demand from data centres powering AI applications and servers contributes to the increased need for copper. Both gold and copper prices have hit their all-time high in 2024, enhancing the prospects for junior miners to progress their projects and potentially secure financing easily.
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Potential for large-scale copper porphyry discovery in Queensland, Australia
31 July
Quarterly Activities/Appendix 5B Cash Flow Report
30 April
Quarterly Activities/Appendix 5B Cash Flow Report
1h
Editor's Picks: Gold Knocks Out Inflation-Adjusted High, Silver Breaks US$42
Gold's record-setting price run continued this week, with yet another new all-time high in the books. Silver also fared well, breaking US$42 per ounce.
According to Bloomberg, gold has now also surpassed its inflation-adjusted all-time high of US$850 per ounce, which it set more than 45 years ago on January 21, 1980. The news outlet notes that at the time the US was dealing with currency issues, inflation and recession concerns.
These are problems that sound all too familiar today. This week brought the release of the latest US consumer price index (CPI) data, which shows a 0.4 percent month-on-month increase for the all-items index — that's ahead of estimates and the most since the start of 2025.
Meanwhile, core CPI, which excludes the food and energy categories, was up 0.3 percent from July. On an annual basis, core CPI was up 3.1 percent, while overall CPI rose 2.9 percent.
US producer price index (PPI) data also came out this week.
The index, which measures costs at a wholesale level, showed an unexpected 0.1 percent month-on-month decrease for August; the result was the same for core PPI.
Attention is now shifting to the US Federal Reserve's next meeting, which is set to run from September 16 to 17. For weeks now the central bank has been widely expected to cut interest rates, and experts believe this week's CPI and PPI numbers support that idea.
“Today’s CPI may appear to offset yesterday’s PPI, but it wasn’t hot enough to distract the Fed from the softening jobs picture. That translates into a rate cut next week — and, likely, more to come" — Ellen Zentner, Morgan Stanley Wealth Management
CME Group's (NASDAQ:CME) FedWatch tool now shows odds of 93.9 percent for a 25 basis point cut, while the likelihood of a 50 basis point reduction stands at 6.1 percent.
Bullet briefing — Mining majors in mega M&A, Newmont to exit TSX
Anglo, Teck to merge in US$53 billion deal
Anglo American (LSE:AAL,OTCQX:AAUKF) and Teck Resources (TSX:TECK.A,TSX:TECK.B,NYSE:TECK) announced that they plan to merge in a US$53 billion transaction.
The new entity, which the companies say will be one of the world's largest copper producers, will have assets in Canada, the US, Latin America and Southern Africa.
Its primary listing will be in London, but its headquarters will be in Canada — a commitment that Teck CEO Jonathan Price told BNN Bloomberg will be "perpetual." In a bid to safeguard its critical minerals sector, Canada said last year that it will only greenlight foreign takeovers of large critical minerals miners in "exceptional circumstances."
The companies expect annual pre-tax synergies of about US$800 million by the end of the fourth year following the completion of the arrangement.
Experts say the zero-premium, all-share tie up is the second largest mining deal ever, and the biggest in more than a decade. It comes not long after other high-profile M&A attempts involving both companies — Teck rejected a bid from (LSE:GLEN,OTC Pink:GLCNF) in 2023, and Anglo turned down an offer from BHP (ASX:BHP,NYSE:BHP,LSE:BHP) last year.
Newmont to delist from TSX
While the Anglo-Teck deal puts Canada front and center, major miner Newmont (TSX:NGT,NYSE:NEM,ASX:NEM) is backing away from the northern nation. The company said it has applied to voluntarily delist its shares from the TSX amid low volumes.
Newmont also said the move will help boost administrative efficiency and reduce expenses. The firm has faced increasing costs since acquiring Newcrest Mining in 2023, and sources familiar with the matter recently told Bloomberg that it's looking to lower costs by around 20 percent.
Newmont will retain its primary listing in New York, as well as listings in Australia and Papua New Guinea. Its TSX delisting is expected to be effective on September 24.
Barrick to sell Hemlo for US$1.09 billion
Also making a move away from Canada this week was Barrick Mining (TSX:ABX,NYSE:B), which has agreed to sell its Hemlo gold mine to Carcetti Capital (TSXV:CART.H) for US$1.09 billion.
Located in Ontario, Hemlo has operated for 30 years, producing over 21 million ounces of gold during that time. The sale comes as Barrick divests non-core assets and pivots toward copper.
The company put Hemlo up for sale earlier this year, and in July was rumored to be selling the operation to Discovery Silver (TSX:DSV,OTCQX:DSVSF); that deal ultimately didn't pan out.
Carcetti will be renamed Hemlo Mining once the transaction closes, and is expected to uplist from the TSX Venture Exchange's NEX Board. Its backers include Robert Quartermain, who is known for leading SSR Mining (TSX:SSRM,NASDAQ:SSRM) and Pretium Resources.
Want more YouTube content? Check out our expert market commentary playlist, which features interviews with key figures in the resource space. If there's someone you'd like to see us interview, please send an email to cmcleod@investingnews.com.
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Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.
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6h
Admission to Trading on the OTCQB Market
Hamak Gold Limited (LSE: HAMA / OTCQB: HASTF), a company combining traditional gold exploration in West Africa with a Digital Asset Treasury Management strategy, is pleased to announce that the Company's shares have been admitted to trading on the OTC Venture Market ("OTCQB") in the United States, under the symbol "HASTF". No new Ordinary Shares have been issued by the Company for this parallel trading of its shares.
The purpose of the listing of shares on the OTCQB is to broaden the Company's exposure to the North American investor markets and to increase trading liquidity in a drive to deliver shareholder value.
The OTCQB is a middle-tier market for entrepreneurial and development U.S. and International companies, and is recognised by the Securities and Exchange Commission ("SEC") as an established public market.
Nick Thurlow, Executive Chairman of Hamak Gold, commented:
"We are pleased to announce approval from the Financial Industry Regulatory Authority for Hamak to list on the OTCQB market. This is an important first step in a larger U.S. strategy designed to widen the investor base for Hamak."
For further information you are invited to view the Company's website at www.hamakgold.com or please contact:
Hamak Gold Limited Nick Thurlow Karl Smithson | n.thurlow@hamakgold.com k.smithson@hamakgold.com |
Peterhouse Capital Limited (Corporate Broker) Yellow Jersey PR Annabelle Wills | +44 (0) 20 7469 0930 +44 (0) 20 3004 9512 |
About Hamak Gold Limited
Hamak Gold Limited (LSE: HAMA) is a UK listed company focussed on gold exploration in Africa and with a strategy of pursuing a BTC/ crypto treasury management policy. Through its LSE main board listing investors underweight crypto can get professional exposure to this asset class.
Important Notice
The Company maintains some of its treasury reserves and surplus cash in Bitcoin, a form of cryptocurrency. The Company is not authorised or regulated by The Financial Conduct Authority (FCA) and Bitcoin investments are generally not subject to regulaton by the FCA or otherwise in the United Kingdom. Neither the Company nor investors in the Company's shares are protected by the UK's Financial Ombudsman Service or the Financial Services Compensation Scheme.
However the FCA considers Bitcoin investments to be high-risk. The value of Bitcoin can go up as well as down, leading to fluctuations in the value of the Company's Bitcoin holdings, and the Company may not be able to realise its Bitcoin holdings for the same amount it paid to acquire them, or even for the value the Company currently attributes to its Bitcoin positions.
The Company's Board of Directors have identified the following risks in relation to the holding of Bitcoin, which are not exhaustive:
- The value of Bitcoin can be highly volatile, with its value falling as quickly as it rises. Investors in Bitcoin must be prepared to lose all money invested.
- The Bitcoin market is largely unregulated. There is a risk of losing money due to factors such as cyber-attacks, financial crime, and counterparty failure.
- The Company may not be able to sell its Bitcoin at will. The ability to sell Bitcoin depends on various factors, including the supply and demand in the market at the relevant time. Operational failings such as technology outages, cyber-attacks, and comingling of funds could cause unwanted delays.
- Cryptoassets carry a perception of fraud, money laundering, and financial crime.
An investment in the Company is not an investment in Bitcoin itself, but prospective investors in the Company are encouraged to conduct their own research before investing and should be aware that they will have indirect exposure to the high-risk nature of cryptoassets, including their volatility, and could therefore sustain large or total losses of their investment.
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7h
Barrick’s Plan to Sell Hemlo Mine for US$1 Billion Marks Canadian Exit
Barrick Mining (TSX:ABX,NYSE:B) has agreed to sell its Hemlo gold mine in Ontario for up to US$1.09 billion, transferring one of Canada’s most storied gold operations to a new owner and continuing Barrick’s shift away from non-core assets.
The company announced on Thursday (September 11) that Carcetti Capital (TSXV:CART.H,LSE:ORUG), which will be renamed Hemlo Mining (HMC), will acquire the mine under terms that include US$875 million in cash, US$50 million in HMC shares, and as much as US$165 million in contingent payments tied to future gold prices and production.
Barrick president and chief executive Mark Bristow said that the sale is part of the company’s ongoing capital allocation approach, noting that proceeds will help bolster the company’s balance sheet and fund returns to shareholders.
“The sale of Hemlo at an attractive valuation marks the close of Barrick’s long and successful chapter at the mine and underscores our disciplined focus on building value through our Tier One gold and copper portfolio,” Bristow said.
Hemlo, located near Marathon, Ontario, has produced more than 25 million ounces of gold over three decades of continuous operation.
Once hailed as a cornerstone of Canadian gold production, the mine transitioned from open-pit to underground operations in 2020. Its future will now rest with HMC, a vehicle backed by a group of well-known industry investors and leaders.
The incoming HMC board will include Robert Quartermain, founder of Pretium Resources (TSX:PVG) and former CEO of SSR Mining Inc. (NASDAQ:SSRM,TSX:SSRM), who played a key role in the original discovery of Hemlo while at Teck Resources (TSX:TECK.B,NYSE:TECK,OTC:TCKRF).
The company will also be led by Jason Kosec, named incoming CEO, and supported by a consortium that includes Wheaton Precious Metals (TSX:WPM,NYSE:WPM) and Orion Mine Finance.
To finance the acquisition, HMC has secured a US$1 billion package comprised of US$400 million in gold streaming from Wheaton, US$415 million in equity, and US$200 million in debt. Wheaton will also take up to US$50 million of the equity raise.
“Hemlo offers a unique opportunity to add immediate, accretive gold ounces from a politically stable jurisdiction, backed by a long history of production and a capable operating team,” Wheaton CEO Randy Smallwood said in a company press release.
Under the streaming agreement, Wheaton will initially purchase 13.5 percent of Hemlo’s payable gold until 181,000 ounces are delivered, after which the rate will fall to 9 percent for another 157,330 ounces, and then to 6 percent for the remainder of the mine’s life.
Wheaton’s attributable production is expected to average around 20,000 ounces annually for the first decade and more than 17,000 ounces annually over the life of mine, which is forecast to extend for at least 14 years.
For Barrick, the sale continues a multi-year effort to trim smaller, less profitable operations in favor of large, long-life assets that meet its “Tier One” criteria.
Earlier this year, the company also divested its stakes in Donlin and Alturas, bringing expected gross proceeds from non-core asset sales in 2025 to more than US$2 billion.
While Barrick emphasized that Canada remains an important exploration jurisdiction, the Hemlo deal effectively ends its role as a mine operator in its home country.
Reports of a potential sale had circulated since mid-2024, spurring rumors that Barrick was in advanced talks with Discovery Silver (TSX:DSV,OTCQX:DSVSF) to divest Hemlo.
While those discussions did not result in a deal, Thursday’s announcement confirms the company’s intent to fully exit the Canadian mining landscape.
Don't forget to follow us @INN_Resource for real-time news updates!
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
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11 September
Top 5 Australian Mining Stocks This Week: Zenith Minerals Strikes Gold at Red Mountain
Welcome to the Investing News Network's weekly round-up of the top-performing mining stocks listed on the ASX, starting with news in Australia's resource sector.
Companies focused on a mix of minerals and resources once again form this week’s top stocks list, including ones searching for gold, rutile, graphite, lithium and oil.
Significant news, including broad mineralisation discoveries and new acquisitions, drove the top performers this week, which you can learn more about in the list below.
Looking at the bigger picture, Australian lithium stocks took a hit this week following the announcement of Chinese battery giant Contemporary Amperex Technology's (SZSE:300750,HKEX:3750) reported production restart at its Jianxiawo lithium mine in Yichun. Lithium prices and mining companies had previously been lifted in mid-August after the mine was suspended.
Market and commodities price round-up
The S&P/ASX 200 (INDEXASX:XJO) posted a 0.75 percent decrease this week, opening at 8,871.20 on Monday (September 8) and closing at 8,805.00 on Thursday (September 11).
As for precious metals, gold increased 1.3 percent increase in US dollars, going from US$3,586.27 per ounce on Monday to US$3,632.87 by the close of Australian trading on Thursday. The metal also saw an increase in Australian dollars, climbing 0.5 percent from AU$5,468.95 to AU$5,496.45 over the same period.
Silver ended the period flat in US dollars, starting on Monday and closing on Thursday at US$41.07, but fell 0.77 percent in Australian dollars, moving from AU$62.63 to AU$62.15.
Top ASX mining stocks this week
How did ASX mining stocks perform against this backdrop?
Take a look at this week’s five best-performing Australian mining stocks below as the Investing News Network breaks down their operations and why these companies are up this week.
Stocks data for this article was retrieved at 4:00 p.m. AEST on Thursday (September 11) using TradingView's stock screener and reflects price movements between Monday and Thursday. Only companies trading on the ASX with market capitalisations greater than AU$10 million are included. Mineral companies within the non-energy minerals, energy minerals, process industry and producer manufacturing sectors were considered.
1. Zenith Minerals (ASX:ZNC)
Weekly gain: 83.33 percent
Market cap: AU$31.77 million
Share price: AU$0.11
Zenith Minerals is an exploration company based in West Perth, Australia. Previously focused on lithium, this year the company has pivoted strategically to focus on gold at its Red Mountain and Dulcie gold projects. It still owns three lithium projects across its portfolio, alongside one zinc project.
Pending the release of significant news, Zenith requested a trading halt on Tuesday (September 9), and normal trading recommenced Thursday alongside its release.
That day, Zenith announced the first gold assay results from its Red Mountain gold project in Queensland. The results from its 2025 drilling campaign included one core that intersected a broad mineralized gold zone, extending 139.7 metres at an average grade of 1.05 grams per tonne gold. The interval, which started at a depth of 214.9 metres, included semi-massive sulphide mineralisation. Further assays are expected in the coming weeks.
Zenith added that it is preparing to start a fully funded 9,000 to 12,000 metre reverse circulation drilling program at its Dulcie gold project in Western Australia by the end of September.
Shares of the company gained significantly once trading recommenced, closing at AU$0.11 on Thursday.
At the start of the week, the company announced a share sale facility of unmarketable parcels under a value of AU$500 based on a share price of AU$0.06. The 1,233 shareholders with these small holdings can opt out by October 20, but otherwise the company will purchase the shares back automatically.
2. Fortuna Metals (ASX:FUN)
Weekly gain: 81.82 percent
Market cap: AU$13.11 million
Share price: AU$0.10
Fortuna Metals is an exploration company focused on rutile-graphite projects in Malawi following acquisition news this week. Its portfolio also includes rare earth and base metal assets in Western Australia and South Australia. The company changed its name from Lanthanein Resources last month.
Fortuna announced the acquisition agreement for the Mkanda and Kampini rutile-graphite projects on Thursday. The projects sit south of Sovereign Metals’ (ASX:SVM) Kasiya rutile and flake graphite deposit.
“The projects cover some of the most prospective geology outside of Kasiya, which hosts the world’s largest rutile and second largest flake graphite resource,” CEO Tom Langley commented. The mineral rutile is a high-grade source of titanium.
In its acquisition presentation, the company shared next steps, including data review and Phase 1 soil sampling and hand auger drilling, for which results are expected in Q4. Further exploration at identified targets will begin in 2026.
Fortuna requested a trading halt on Wednesday pending the acquisition news, which it released during pre-market trading Thursday. Its share price spiked to AU$0.125 at Thursday’s open and closed at a weekly high of AU$0.10.
3. IRIS Metals (ASX:IR1)
Weekly gain: 70.33 percent
Market cap: AU$32.39 million
Share price: AU$0.155
US-focused IRIS Metals is a hard-rock lithium explorer and developer that is currently advancing near-term production through its Beecher and Tin Mountain lithium projects on private land in the Black Hills of South Dakota. The company aims to develop a hub-and-spoke model in the state, with multiple mines and centralised processing.
Adding to its holdings in the state, the company said on Wednesday that it acquired a portfolio of private lands and federal mineral claims in the region from Rapid Critical Metals (ASX:RCM). The acquisition includes the Ingersoll project, which hosts the past-producing Bob Ingersoll lithium-beryllium mine. IRIS intends to start drilling at the Ingersoll project towards the end of 2025.
“Combined with our Beecher, Tin Mountain and Edison projects, (Ingersoll) establishes a robust foundation for IRIS’ near-term lithium production ambitions and enhances our exposure to critical minerals such as beryllium and tantalum,” US Operations President Matt Hartmann stated.
He added that private land ownership is strategically advantageous as it positions IRIS as “the leading lithium explorer in the region.” The acquisition brought the company’s private land holdings to over 41 hectares.
Shares of the company climbed to AU$0.14 by Wednesday’s close and closed even higher Thursday at AU$0.155.
4. Red Sky Energy (ASX:ROG)
Weekly gain: 66.67 percent
Market cap: AU$27.11 million
Share price: AU$0.005
Established in 2001, Red Sky Energy is an oil and gas exploration company headquartered in Melbourne.
Its flagship asset is its wholly owned Killanoola oil project in Otway Basin, South Australia, which covers an area of 17.5 square kilometres and has recorded rates of 300 barrels per day.
On Thursday, Red Sky Energy reported that construction has commenced at Killanoola’s KN2 well site following approval from the South Australian Department for Energy and Mining (DEM).
Drilling and completion costs for the KN2 well are being 75 percent funded by Condor Energy Services, Chawla Group and VB Energy through a farm-in agreement. Once complete, the companies will hold a 45 percent working interest in the well, and Red Sky will retain 55 percent.
Completion of construction is expected within the next two weeks, with initial activities including the removal and stockpiling of topsoil. The company added that installation of the access gate and fencing will follow after construction is complete.
Red Sky Energy shares climbed on the news, closing at AU$0.005 on Thursday.
5. Resources & Energy Group (ASX:REZ)
Weekly gain: 45 percent
Market cap: AU$20.93 million
Share price: AU$0.029
Resources & Energy Group is a gold explorer and miner headquartered in Sydney.
It is currently performing small-scale gold production at its East Menzies gold project in Western Australia, which is located 130 kilometres north of Kalgoorlie and consists of over 50 tenements.
The company performed its second gold doré pour in Q2, with 34.14 ounces of gold minted at the Perth Mint.
On Tuesday, Resources & Energy Group announced that an amendment to its mining proposal for the Maranoa deposit at East Menzies has been approved, meaning it can construct eight additional vat leach cells with combined processing capacity of 40,000 tonnes of ore. The approval allows the company to move from small-scale trial to full-scale vat leach production at the deposit.
“Ultimately, cash flow from production will directly support resource drilling, exploration, and further development across the entire East Menzies gold project. This marks the beginning of a new growth phase for REZ,” Managing Director J. Daniel Moore said.
Shares of Resources & Energy Group climbed through the week after the announcement, closing at AU$0.029 on Thursday.
Don’t forget to follow us @INN_Australia for real-time news updates!
Securities Disclosure: I, Gabrielle de la Cruz, hold no direct investment interest in any company mentioned in this article.
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11 September
Newmont to Exit Toronto Stock Exchange as Cost Cuts Deepen
Newmont (TSX:NGT,NYSE:NEM,ASX:NEM) is preparing to withdraw from the Toronto Stock Exchange later this month, the latest in a string of moves to streamline operations and rein in costs following its US$15 billion takeover of Newcrest Mining in 2023.
The Denver-based miner said Wednesday it has applied for a voluntary delisting of its common shares from the TSX, effective at the close of trading on September 24.
The company cited “low trading volumes” on the Canadian exchange and said the decision is expected to “improve administrative efficiency and reduce costs for the benefit of Newmont’s shareholders.”
Newmont’s shares will continue to trade on the New York Stock Exchange, where it maintains its primary listing, as well as on the Australian Securities Exchange and the Papua New Guinea Stock Exchange under the ticker symbol NEM.
Rising costs and restructuring plans
Newmont’s all-in sustaining costs reached record levels earlier this year, eroding profits even as bullion prices hit all-time highs above US$3,500 an ounce in April and remained above US$3,300 through most of the summer.
The company has acknowledged that its cost base has outpaced peers. In the second quarter, Newmont’s costs were nearly 25 percent higher than those of Agnico Eagle Mines, a Canadian rival considered one of the industry’s leanest producers.
Costs have also risen more than 50 percent over the past five years, driven by higher energy, labor, and material prices, as well as integration expenses tied to Newcrest’s operations.
Chief Executive Officer Tom Palmer told investors in July that Newmont was pursuing additional measures to lower its expenses.
Behind the scenes, Newmont has been preparing for more aggressive measures.
People familiar with the matter told Bloomberg News that management has set an internal target to lower costs by as much as US$300 per ounce, or roughly 20 percent.
Meeting that benchmark could require thousands of layoffs across the company’s global workforce of about 22,000, excluding contractors.
While Newmont has not disclosed the scope of planned reductions, some employees have already been informed of redundancies, according to the report. Managers have also been briefed on potential curbs to long-term incentive programs as part of a broader restructuring.
A company spokesperson confirmed earlier this year that Newmont launched a cost and productivity improvement program in February.
Alongside cost cutting, Newmont has moved swiftly to divest non-core assets acquired in the Newcrest deal.
Since late 2024, the company has sold multiple Canadian operations: the Eleonore mine for about US$795 million, the Musselwhite mine in Ontario for $850 million, and its stake in the Porcupine operations for US$425 million.
The asset sales are intended not only to cut debt but also to sharpen focus on higher-margin operations, particularly in North America and Australia.
Despite higher costs, Newmont shares have surged 95 percent this year, followed by also announcing a US$3 billion share repurchase program in July.
Don't forget to follow us @INN_Resource for real-time news updates!
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
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11 September
ESG Headwinds Threaten to Shake Global Gold Industry: Report
Gold miners are under intensifying scrutiny over their environmental and social footprints as progress in cutting emissions was overshadowed by worsening sustainability risks in 2024.
The findings of the latest Gold ESG Focus 2025 review highlight a sector struggling to reconcile profitability with the global shift toward climate accountability and responsible resource use.
The report’s message is blunt: ESG performance is no longer a reputational add-on but a determinant of who secures financing, project permits, and social license.
Investors are increasingly benchmarking miners against frameworks like the UN Sustainable Development Goals and the Global Reporting Initiative, and weak performance is translating into financial and political risks.
Carbon reductions but intensity climbs
For the first time in a decade, aggregate scope 1 and 2 emissions among leading producers fell below 30,000 kilotons of carbon dioxide equivalent, a 2 percent year-on-year drop. This reflects efficiency drives such as ventilation-on-demand systems, mine electrification, and greater use of renewables.
Yet the picture is less rosy when viewed per ounce of gold. Emissions intensity rose 3 percent in 2024 as lower ore grades forced miners to process more rock for the same yield.
This dynamic of absolute cuts but worsening intensity illustrates why gold mining is considered a “hard-to-abate” sector in global climate policy. Even as miners electrify fleets and decarbonize grids, declining ore quality means each ounce is increasingly carbon and energy-heavy.
The dilemma makes the industry’s net-zero commitments harder to achieve without the use of disruptive technologies such as hydrogen-powered trucks or low-carbon processing.
Energy lags, water risks sharpen in stressed regions
Energy use remained uneven. Average intensity stabilized at 9.3 gigajoules per ounce, but this was still nearly one-third higher than a decade ago.
Renewables only supplied 10 percent of sector electricity—far below levels in industries like steel or power utilities. Rollouts in the US and Australia showed glimpses of progress, but most African and Latin American projects remain tethered to fossil-heavy grids.
Meanwhile, water use fell slightly in absolute terms, but intensity rose as recycling slipped from 72 to 70 percent.
The uneven results matter because many mines operate in arid regions or near farming communities. Disputes over water have already delayed or derailed projects from Chile to West Africa, and the report warns that miners who fail to improve efficiency risk escalating conflicts with host communities.
Waste climbs as grades fall
While waste rock and tailings surged in 2024, pushing waste intensity to its highest level in a decade, another lateral issue driving up emissions intensity emerged: declining ore grades.
With more earth moved for less gold, the environmental footprint widens even when overall production holds steady.
Furthermore, the constant use of cyanide means community trust remains fragile after past related disasters.
Some miners have turned to circular-economy initiatives, such as recycling textiles, plastics, or scrap metals to improve optics, but the scale pales in comparison to the millions of tons of mine waste generated annually.
Biodiversity and land pressure
Mining’s land footprint declined modestly last year but remains far above 2015 levels.
More alarming is the rise in threatened species near mining sites, up 16 percent to 628. This trend is colliding with a surge in “nature-positive” regulations worldwide.
The EU, for instance, is moving toward mandatory biodiversity disclosures, and insurers are beginning to price ecosystem risks into coverage.
China’s rising footprint
The inclusion of Zijin Mining Group (OTC Pink:ZIJMF,HKEX:2899,SHA:601899) and Shandong (SHA:600547) among the world’s top 15 producers signals China’s growing sway in the global ESG debate.
Zijin's emissions were the highest of any single company, while its waste rock output—nearly a billion tons—was double Barrick Mining's (TSX:ABX,NYSE:B), one of the world’s largest mining firms.
At the same time, it reported some of the largest community payments and socio-economic investments, suggesting a state-driven emphasis on balancing extractive impact with local benefits.
Shandong, by contrast, reported lower totals but high intensity figures and weaker disclosure. For Western investors, this lack of comparability complicates ESG assessments.
A reckoning point
The Gold ESG Focus 2025 review depicts an industry struggling to hold gains on emissions while backsliding on its sustainability goals.
With financing, permits, and public trust increasingly tied to ESG performance, miners face mounting pressure to show results beyond targets.
In 2025 and beyond, the report emphasizes that gold’s future will be defined as much by how responsibly it is mined as by how much of it is produced.
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Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
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