# NEWMONT Corp /DE/ (NEM) FY 2022 MD&A Verbatim Item 7 Management's Discussion and Analysis from NEWMONT Corp /DE/'s 10-K for fiscal year 2022. SEC filing source: https://www.sec.gov/Archives/edgar/data/1164727/000116472723000011/nem-20221231.htm Accession: 0001164727-23-000011 Filing date: 2023-02-23 Report date: 2022-12-31 Extracted structurally from real Item 7 body heading to real Item 7A/8 boundary. Published MD&A gate trimmed front/tail over-capture. Confidence: high Company profile: /company/NEM/ All MD&A years: /company/NEM/mda/ Previous year: /company/NEM/mda/fy2021/ (FY 2021) Next year: /company/NEM/mda/fy2023/ (FY 2023) ITEM 7.       MANAGEMENT’S DISCUSSION AND ANALYSIS OF CONSOLIDATED FINANCIAL CONDITION AND RESULTS OF OPERATIONS (dollars in millions, except per share, per ounce and per pound amounts) The following Management’s Discussion and Analysis of Consolidated Financial Condition and Results of Operations (“MD&A”) provides information that management believes is relevant to an assessment and understanding of the consolidated financial condition and results of operations of Newmont Corporation, a Delaware corporation, and its subsidiaries (collectively, “Newmont,” the “Company,” “our” and “we”). We use certain non-GAAP financial measures in our MD&A. For a detailed description of each of the non-GAAP measures used in this MD&A, please refer to the discussion under Non-GAAP Financial Measures. This item should be read in conjunction with our Consolidated Financial Statements and the notes thereto included in this annual report. The following MD&A generally discusses our consolidated financial condition and results of operations for 2022 and 2021 and year-to-year comparisons between 2022 and 2021. Discussions of our consolidated financial condition and results of operations for 2020 and year-to-year comparisons between 2021 and 2020 are included in Item 7, Management’s Discussion and Analysis of Consolidated Financial Condition and Results of Operations, in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2021, filed with the Securities and Exchange Commission on February 24, 2022. Overview Newmont is the world’s leading gold company and is the only gold company included in the S&P 500 Index and the Fortune 500 list of companies. We have been included in the Dow Jones Sustainability Index-World since 2007 and have adopted the World Gold Council’s Conflict-Free Gold Policy. Since 2015, Newmont has been ranked as the mining and metal sector’s top gold miner by the S&P Global Corporate Sustainability Assessment. Newmont has been ranked the top miner in 3BL Media’s 100 Best Corporate Citizens list which ranks the 1,000 largest publicly traded U.S. companies on ESG transparency and performance since 2020. We are primarily engaged in the exploration for and acquisition of gold properties, some of which may contain copper, silver, lead, zinc or other metals. We have significant operations and/or assets in the U.S., Canada, Mexico, Dominican Republic, Peru, Suriname, Argentina, Chile, Australia and Ghana. Our goal is to create value and improve lives through sustainable and responsible mining. Refer to the Consolidated Financial Results, Results of Consolidated Operations, Liquidity and Capital Resources and Non-GAAP Financial Measures for information about the continued impacts from the COVID-19 pandemic, the Russian invasion of Ukraine, and the resulting significant inflation experienced globally, as well as the effects of certain counter measures taken by central banks, on the Company. Also refer to discussion of Risk and Uncertainties within Note 2 of the Consolidated Financial Statements, relating to inflationary pressures and supply chain disruptions, with particular consideration on the outlook for increased costs specific to labor, materials, consumables and fuel and energy on operations, as well as impacts on the timing and cost of capital expenditures and the risk of potential impairment to certain assets. In the third quarter of 2022, as a result of these challenging market conditions, record inflation rates, the rising prices for commodities and raw materials, prolonged supply chain disruptions, competitive labor markets and consideration of capital allocation, the Company announced the delay of the full-funds investment decision for the Yanacocha Sulfides project in Peru. With the delay of the Yanacocha Sulfides project, management will focus its efforts on optimizing its allocation of funds to current operations and other capital commitments, while also assessing execution options and project plans options, up to and including transitioning Yanacocha operations into full closure. Refer to Note 2 of the Consolidated Financial Statements for further discussion In the first quarter of 2022, the Company completed the acquisition of Buenaventura's 43.65% noncontrolling interest in Minera Yanacocha S.R.L. ("Yanacocha") (the "Yanacocha Transaction") and sold its 46.94% ownership interest in Minera La Zanja S.R.L. ("La Zanja"). The Company acquired the remaining 5% interest previously held by Sumitomo in the second quarter of 2022. At December 31, 2022, the Company holds 100% ownership interest in Yanacocha. Refer to Note 1 of the Consolidated Financial Statements for further details regarding these transactions. For information on asset sales impacting comparability of below results, refer to Note 8 to the Consolidated Financial Statements. 73 Table of Contents Consolidated Financial Results The details of our Net income (loss) from continuing operations attributable to Newmont stockholders are set forth below: [[GREPCENT_TABLE]] [["","Year Ended December 31,","","Increase (decrease)"],["","2022","","2021"],["Net income (loss) from continuing operations attributable to Newmont stockholders","$","(459)","","","$","1,109","","","$","(1,568)"],["Net income (loss) from continuing operations attributable to Newmont stockholders per common share, diluted","$","(0.58)","","","$","1.39","","","$","(1.97)"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","Year Ended December 31,","","Increase (decrease)"],["","2021","","2020"],["Net income (loss) from continuing operations attributable to Newmont stockholders","$","1,109","","","$","2,666","","","$","(1,557)"],["Net income (loss) from continuing operations attributable to Newmont stockholders per common share, diluted","$","1.39","","","$","3.31","","","$","(1.92)"]] [[/GREPCENT_TABLE]] The decrease in Net income (loss) from continuing operations attributable to Newmont stockholders during the year ended December 31, 2022, compared to the same period in 2021, is primarily due to higher Impairment charges resulting from impairment of goodwill at Cerro Negro and Porcupine and impairment of long-lived assets at CC&V, higher Costs applicable to sales predominately resulting from cost inflation impacts and $70 related to the profit-sharing agreement entered into by the Company in 2022 at Peñasquito (the "Peñasquito Profit-Sharing Agreement") related to 2021 site performance, and lower sales volumes for all metals except copper, partially offset by lower Reclamation and remediation, lower income tax expense, and the Loss on assets held for sale in 2021 related to the Conga mill assets. For additional information, refer to the Notes of the Consolidated Financial Statements. The details and analyses of our Sales for all periods presented are set forth below. Refer to Note 4 of the Consolidated Financial Statements for additional information. [[GREPCENT_TABLE]] [["","Year Ended December 31,","","Increase (decrease)","","Percent Change"],["","2022","","2021"],["Gold","$","10,416","","","$","10,543","","","$","(127)","","","(1)","%"],["Copper","316","","","295","","","21","","","7"],["Silver","549","","","651","","","(102)","","","(16)"],["Lead","133","","","172","","","(39)","","","(23)"],["Zinc","501","","","561","","","(60)","","","(11)"],["","$","11,915","","","$","12,222","","","$","(307)","","","(3)","%"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","Year Ended December 31,","","Increase (decrease)","","Percent Change"],["","2021","","2020"],["Gold","$","10,543","","","$","10,350","","","$","193","","","2","%"],["Copper","295","","","155","","","140","","","90"],["Silver","651","","","510","","","141","","","28"],["Lead","172","","","134","","","38","","","28"],["Zinc","561","","","348","","","213","","","61"],["","$","12,222","","","$","11,497","","","$","725","","","6","%"]] [[/GREPCENT_TABLE]] 74 Table of Contents [[GREPCENT_TABLE]] [["","Year Ended December 31, 2022"],["","Gold","","Copper","","Silver","","Lead","","Zinc"],["","(ounces)","","(pounds)","","(ounces)","","(pounds)","","(pounds)"],["Consolidated sales:"],["Gross before provisional pricing and streaming impact","$","10,461","","","$","337","","","$","533","","","$","145","","","$","583"],["Provisional pricing mark-to-market","(2)","","","(11)","","","(11)","","","(1)","","","(9)"],["Silver streaming amortization","\u2014","","","\u2014","","","73","","","\u2014","","","\u2014"],["Gross after provisional pricing and streaming impact","10,459","","","326","","","595","","","144","","","574"],["Treatment and refining charges","(43)","","","(10)","","","(46)","","","(11)","","","(73)"],["Net","$","10,416","","","$","316","","","$","549","","","$","133","","","$","501"],["Consolidated ounces (thousands)/pounds (millions) sold","5,812","","","85","","","29,743","","","147","","","373"],["Average realized price (per ounce/pound): (1)"],["Gross before provisional pricing and streaming impact","$","1,800","","","$","3.94","","","$","17.90","","","$","0.98","","","$","1.56"],["Provisional pricing mark-to-market","\u2014","","","(0.13)","","","(0.35)","","","\u2014","","","(0.02)"],["Silver streaming amortization","\u2014","","","\u2014","","","2.45","","","\u2014","","","\u2014"],["Gross after provisional pricing and streaming impact","1,800","","","3.81","","","20.00","","","0.98","","","1.54"],["Treatment and refining charges","(8)","","","(0.12)","","","(1.55)","","","(0.07)","","","(0.20)"],["Net","$","1,792","","","$","3.69","","","$","18.45","","","$","0.91","","","$","1.34"]] [[/GREPCENT_TABLE]] ___________________________ (1)Per ounce/pound measures may not recalculate due to rounding. [[GREPCENT_TABLE]] [["","Year Ended December 31, 2021"],["","Gold","","Copper","","Silver","","Lead","","Zinc"],["","(ounces)","","(pounds)","","(ounces)","","(pounds)","","(pounds)"],["Consolidated sales:"],["Gross before provisional pricing and streaming impact","$","10,581","","","$","292","","","$","641","","","$","173","","","$","593"],["Provisional pricing mark-to-market","9","","","10","","","(12)","","","4","","","21"],["Silver streaming amortization","\u2014","","","\u2014","","","79","","","\u2014","","","\u2014"],["Gross after provisional pricing and streaming impact","10,590","","","302","","","708","","","177","","","614"],["Treatment and refining charges","(47)","","","(7)","","","(57)","","","(5)","","","(53)"],["Net","$","10,543","","","$","295","","","$","651","","","$","172","","","$","561"],["Consolidated ounces (thousands)/pounds (millions) sold","5,897","","","69","","","32,237","","","173","","","433"],["Average realized price (per ounce/pound): (1)"],["Gross before provisional pricing and streaming impact","$","1,794","","","$","4.24","","","$","19.92","","","$","1.00","","","$","1.37"],["Provisional pricing mark-to-market","2","","","0.15","","","(0.40)","","","0.02","","","0.05"],["Silver streaming amortization","\u2014","","","\u2014","","","2.44","","","\u2014","","","\u2014"],["Gross after provisional pricing and streaming impact","1,796","","","4.39","","","21.96","","","1.02","","","1.42"],["Treatment and refining charges","(8)","","","(0.10)","","","(1.77)","","","(0.02)","","","(0.12)"],["Net","$","1,788","","","$","4.29","","","$","20.19","","","$","1.00","","","$","1.30"]] [[/GREPCENT_TABLE]] ____________________________ (1)Per ounce/pounds measures may not recalculate due to rounding. 75 Table of Contents [[GREPCENT_TABLE]] [["","Year Ended December 31, 2020"],["","Gold","","Copper","","Silver","","Lead","","Zinc"],["","(ounces)","","(pounds)","","(ounces)","","(pounds)","","(pounds)"],["Consolidated sales:"],["Gross before provisional pricing and streaming impact","$","10,365","","","$","160","","","$","468","","","$","155","","","$","419"],["Provisional pricing mark-to-market","54","","","1","","","21","","","(2)","","","6"],["Silver streaming amortization","\u2014","","","\u2014","","","67","","","\u2014","","","\u2014"],["Gross after provisional pricing and streaming impact","10,419","","","161","","","556","","","153","","","425"],["Treatment and refining charges","(69)","","","(6)","","","(46)","","","(19)","","","(77)"],["Net","$","10,350","","","$","155","","","$","510","","","$","134","","","$","348"],["Consolidated ounces (thousands)/pounds (millions) sold","5,831","","56","","28,596","","185","","407"],["Average realized price (per ounce/pound): (1)"],["Gross before provisional pricing and streaming impact","$","1,778","","","$","2.88","","","$","16.37","","","$","0.84","","","$","1.03"],["Provisional pricing mark-to-market","9","","","0.01","","","0.74","","","(0.01)","","","0.01"],["Silver streaming amortization","\u2014","","","\u2014","","","2.34","","","\u2014","","","\u2014"],["Gross after provisional pricing and streaming impact","1,787","","","2.89","","","19.45","","","0.83","","","1.04"],["Treatment and refining charges","(12)","","","(0.11)","","","(1.59)","","","(0.11)","","","(0.18)"],["Net","$","1,775","","","$","2.78","","","$","17.86","","","$","0.72","","","$","0.86"]] [[/GREPCENT_TABLE]] ____________________________ (1)Per ounce/pound measures may not recalculate due to rounding. The change in consolidated sales is due to: [[GREPCENT_TABLE]] [["","Year Ended December 31,"],["","2022 vs. 2021"],["","Gold","","Copper","","Silver","","Lead","","Zinc"],["","(ounces)","","(pounds)","","(ounces)","","(pounds)","","(pounds)"],["Increase (decrease) in consolidated ounces/pounds sold","$","(153)","","","$","59","","","$","(55)","","","$","(28)","","","$","(85)"],["Increase (decrease) in average realized price","22","","","(35)","","","(58)","","","(5)","","","45"],["Decrease (increase) in treatment and refining charges","4","","","(3)","","","11","","","(6)","","","(20)"],["","$","(127)","","","$","21","","","$","(102)","","","$","(39)","","","$","(60)"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","Year Ended December 31,"],["","2021 vs. 2020"],["","Gold","","Copper","","Silver","","Lead","","Zinc"],["","(ounces)","","(pounds)","","(ounces)","","(pounds)","","(pounds)"],["Increase (decrease) in consolidated ounces/pounds sold","$","117","","","$","32","","","$","71","","","$","(9)","","","$","27"],["Increase (decrease) in average realized price","54","","","109","","","81","","","33","","","162"],["Decrease (increase) in treatment and refining charges","22","","","(1)","","","(11)","","","14","","","24"],["","$","193","","","$","140","","","$","141","","","$","38","","","$","213"]] [[/GREPCENT_TABLE]] For discussion regarding drivers impacting sales volumes by site, refer to Results of Consolidated Operations below. The details of our Costs applicable to sales are set forth below. Refer to Note 3 of the Consolidated Financial Statements for additional information. [[GREPCENT_TABLE]] [["","Year Ended December 31,","","Increase (decrease)","","Percent Change"],["","2022","","2021"],["Gold","$","5,423","","","$","4,628","","","$","795","","","17","%"],["Copper","181","","","143","","","38","","","27"],["Silver","454","","","332","","","122","","","37"],["Lead","94","","","76","","","18","","","24"],["Zinc","316","","","256","","","60","","","23"],["","$","6,468","","","$","5,435","","","$","1,033","","","19","%"]] [[/GREPCENT_TABLE]] 76 Table of Contents [[GREPCENT_TABLE]] [["","Year Ended December 31,","","Increase (decrease)","","Percent Change"],["","2021","","2020"],["Gold","$","4,628","","","$","4,408","","","$","220","","","5","%"],["Copper","143","","","107","","","36","","","34"],["Silver","332","","","201","","","131","","","65"],["Lead","76","","","77","","","(1)","","","(1)"],["Zinc","256","","","221","","","35","","","16"],["","$","5,435","","","$","5,014","","","$","421","","","8","%"]] [[/GREPCENT_TABLE]] The increase in Costs applicable to sales during the year ended December 31, 2022, compared to the same period in 2021, is primarily due to (i) impacts from cost inflation due to higher input commodity prices, notably fuel and energy costs, and increased labor costs (ii) higher inventory adjustments primarily at NGM, Yanacocha, CC&V, and Akyem (iii) the Peñasquito Profit-Sharing Agreement and (iv) lower by-product credits, partially offset by lower sales volumes. For discussion regarding other significant drivers impacting Costs applicable to sales by site, refer to Results of Consolidated Operations below. The details of our Depreciation and amortization are set forth below. Refer to Note 3 of the Consolidated Financial Statements for additional information. [[GREPCENT_TABLE]] [["","Year Ended December 31,","","Increase (decrease)","","Percent Change"],["","2022","","2021"],["Gold","$","1,838","","","$","1,935","","","$","(97)","","","(5)","%"],["Copper","34","","","23","","","11","","","48"],["Silver","151","","","169","","","(18)","","","(11)"],["Lead","32","","","39","","","(7)","","","(18)"],["Zinc","96","","","112","","","(16)","","","(14)"],["Other","34","","","45","","","(11)","","","(24)"],["","$","2,185","","","$","2,323","","","$","(138)","","","(6)","%"]] [[/GREPCENT_TABLE]] [[GREPCENT_TABLE]] [["","Year Ended December 31,","","Increase (decrease)","","Percent Change"],["","2021","","2020"],["Gold","$","1,935","","","$","1,942","","","$","(7)","","","\u2014","%"],["Copper","23","","","19","","","4","","","21"],["Silver","169","","","117","","","52","","","44"],["Lead","39","","","45","","","(6)","","","(13)"],["Zinc","112","","","121","","","(9)","","","(7)"],["Other","45","","","56","","","(11)","","","(20)"],["","$","2,323","","","$","2,300","","","$","23","","","1","%"]] [[/GREPCENT_TABLE]] The decrease in Depreciation and amortization during the year ended December 31, 2022, compared to the same period in 2021, is primarily due to the ramp down of mining at NGM for Long Canyon and lower production volumes at Peñasquito and Éléonore as a result of lower ore grade mined and at NGM as a result of lower leach pad production and ore grade mined, partially offset by higher production at Ahafo, Akyem, and Boddington as a result of higher ore grade milled. For discussion regarding other significant drivers impacting Depreciation and amortization by site, refer to Results of Consolidated Operations below. Exploration expense was $231, $209 and $187 in 2022, 2021 and 2020, respectively. Exploration expense increased in 2022, compared to 2021, primarily due to an increase in drilling projects in the current year, particularly at South America, NGM and Africa, as a result of projects being delayed from prior years due to COVID-19 and higher drilling costs due to cost inflation.     Advanced projects, research and development expense was $229, $154 and $122 in 2022, 2021 and 2020, respectively. Advanced projects, research and development expense increased in 2022 compared to 2021, primarily due to payments made as part of the strategic alliance with Caterpillar Inc. ("CAT") relating to the Company's climate change initiatives and project spend relating to certain development projects at Cerro Negro in South America and Galore Creek in Corporate and Other. Advanced projects, research and development expense includes development project management costs, feasibility studies and other project expenses that do not qualify for capitalization. 77 Table of Contents General and administrative expense was $276, $259 and $269 in 2022, 2021 and 2020, respectively. General and administrative expense increased in 2022, compared to 2021, primarily due to increased labor costs. General and administrative expense as a percentage of Sales was 2.3%, 2.1% and 2.3% for 2022, 2021 and 2020 respectively. Interest expense, net was $227, $274 and $308 in 2022, 2021 and 2020, respectively. Capitalized interest totaled $69, $38, and $24 in each year, respectively. Interest expense, net decreased in 2022, compared to 2021, as a result of the repayment of debt in 2021 and 2022 and higher capitalization of interest. Income and mining tax expense (benefit) was $455, $1,098, and $704 in 2022, 2021 and 2020, respectively. The effective tax rate is driven by a number of factors and the comparability of our income tax expense for the reported periods will be primarily affected by (i) variations in our income before income taxes; (ii) geographic distribution of that income; (iii) impacts of the changes in tax law; (iv) valuation allowances on tax assets; (v) percentage depletion; (vi) fluctuation in the value of the United States dollar and foreign currencies; and (vii) the impact of specific transactions and assessments including a significant impairment of goodwill during 2022. As a result, the effective tax rate will fluctuate, sometimes significantly, year to year. This trend is expected to continue in future periods. Refer to Note 10 to the Consolidated Financial Statements for further discussion of income taxes. [[GREPCENT_TABLE]] [["","Year Ended"],["","December 31, 2022","","December 31, 2021"],["","Income(Loss) (1)","","Effective Tax Rate","","Income Tax (Benefit) Provision","","Federal and State Cash Tax (Refund)","","Mining Cash Tax/(Refund)","","Income(Loss) (1)","","Effective Tax Rate","","Income Tax (Benefit) Provision","","Federal and State Cash Tax (Refund)","","Mining Cash Tax/(Refund)"],["Nevada","$","430","","","15","%","","$","66","","","$","\u2014","","","$","47","","","$","811","","","18","%","","$","150","","","$","\u2014","","","$","85"],["CC&V","(541)","","","21","","","(114)","","","\u2014","","","\u2014","","","61","","","5","","","3","","","\u2014","","","\u2014"],["Corporate & Other","(455)","","","31","","","(141)","","","17","","(5)","\u2014","","","(625)","","","14","","","(87)","","","8","","","\u2014"],["Total US","(566)","","","33","","","(189)","","","17","","","47","","","247","","","27","","","66","","","8","","","85"],["Australia","1,109","","","36","","","400","","","269","","","94","","","1,093","","","34","","","371","","","268","","","102"],["Ghana","483","","","36","","","172","","","194","","","\u2014","","","513","","","37","","","191","","","183","","","\u2014"],["Suriname","191","","","26","","","49","","","105","","","\u2014","","","301","","","28","","","84","","","79","","","\u2014"],["Peru","(644)","","","(1)","","","4","","(2)","33","","","4","","","(2,121)","","","(5)","","","106","","(2)","148","","(2)","10"],["Canada","(503)","","","3","","","(15)","","","(6)","","","16","","","101","","","(22)","","","(22)","","","8","","","42"],["Mexico","386","","","17","","","65","","(3)","233","","","111","","","951","","","30","","","284","","(3)","518","","","83"],["Argentina","(520)","","","7","","","(38)","","","7","","","\u2014","","","(14)","","","(71)","","","10","","","\u2014","","","\u2014"],["Other Foreign","13","","","54","","","7","","","\u2014","","","\u2014","","","37","","","22","","","8","","","\u2014","","","\u2014"],["Consolidated","$","(51)","","","(892)","%","(4)","$","455","","","$","852","","","$","272","","","$","1,108","","","99","%","(4)","$","1,098","","","$","1,212","","","$","322"]] [[/GREPCENT_TABLE]] ____________________________ (1)Represents income (loss) from continuing operations by geographic location before income taxes and equity in affiliates. These amounts will not reconcile to the Segment Information for the reasons stated in Note 3 of the Consolidated Financial Statements. (2)Includes tax expense of $— and $55 for the Yanacocha Tax Dispute. The federal and state cash tax payment includes $80 paid for the Yanacocha Tax Dispute. (3)Includes tax benefit of $(125) and $—, respectively related to a tax settlement. (4)The consolidated effective income tax rate is a function of the combined effective tax rates for the jurisdictions in which we operate. Variations in the relative proportions of jurisdictional income could result in fluctuations to our combined effective income tax rate. (5)Includes $16 of withholding tax. Recently Enacted Legislation. In August 2022, the U.S. government enacted the Inflation Reduction Act of 2022 (the "IRA") into law. The IRA introduced an excise tax on stock repurchases of 1% and a corporate alternative minimum tax (the "Corporate AMT") of 15% on the adjusted financial statement income ("AFSI") of corporations with average AFSI exceeding $1 billion over a three-year period. The IRA is effective for fiscal periods beginning 2023. While waiting on pending Department of Treasury regulatory guidance, we are continuing to monitor developments. Based upon information known to date, no material impacts are expected to the Consolidated Financial Statements, disclosures, or cash flows. Refer to Note 2 of the Consolidated Financial Statements for further information. Refer to the Notes of the Consolidated Financial Statements for explanations of other financial statement line items. 78 Table of Contents Results of Consolidated Operations Newmont has developed gold equivalent ounces (“GEO”) metrics to provide a comparable basis for analysis and understanding of our operations and performance related to copper, silver, lead and zinc. Gold equivalent ounces are calculated as pounds or ounces produced or sold multiplied by the ratio of the other metals’ price to the gold price, using the metal prices in the table below: [[GREPCENT_TABLE]] [["","Gold","","Copper","","Silver","","Lead","","Zinc"],["","(ounce)","","(pound)","","(ounce)","","(pound)","","(pound)"],["2022 GEO Price","$","1,200","","","$","3.25","","","$","23.00","","","$","0.95","","","$","1.15"],["2021 GEO Price","$","1,200","","","$","2.75","","","$","22.00","","","$","0.90","","","$","1.05"],["2020 GEO Price","$","1,200","","","$","2.75","","","$","16.00","","","$","0.95","","","$","1.20"]] [[/GREPCENT_TABLE]] Our mines continued to incur costs related to health and safety measures taken to combat the on-going COVID-19 pandemic. For the years ended December 31, 2022, 2021 and 2020, we incurred $38, $87 and $92, respectively, of incremental direct costs related to our response to the COVID-19 pandemic, included in Other expense, net. [[GREPCENT_TABLE]] [["","Gold or Other Metals Produced","","Costs Applicable to Sales (1)","","Depreciation and Amortization (2)","","All-In Sustaining Costs (3)"],["","2022","","2021","","2020","","2022","","2021","","2020","","2022","","2021","","2020","","2022","","2021","","2020"],["Year Ended December 31,"],["Gold","(ounces in thousands)","","($ per ounce sold)","","($ per ounce sold)","","($ per ounce sold)"],["North America","1,416","","","1,598","","","1,457","","","$","999","","","$","796","","","$","773","","","$","368","","","$","363","","","$","385","","","$","1,287","","","$","1,016","","","$","1,049"],["South America","925","","","971","","","1,017","","","1,034","","","832","","","811","","","351","","","363","","","358","","","1,262","","","1,130","","","1,100"],["Australia","1,282","","","1,181","","","1,165","","","755","","","755","","","715","","","172","","","175","","","182","","","950","","","1,002","","","964"],["Africa","994","","","862","","","851","","","911","","","799","","","713","","","312","","","307","","","311","","","1,108","","","1,022","","","890"],["Nevada","1,169","","","1,272","","","1,334","","","989","","","755","","","757","","","404","","","432","","","434","","","1,220","","","918","","","920"],["Total/Weighted-Average (4)","5,786","","","5,884","","","5,824","","","$","933","","","$","785","","","$","756","","","$","322","","","$","336","","","$","343","","","$","1,211","","","$","1,062","","","$","1,045"],["Attributable to Newmont","5,671","","","5,646","","","5,543"],["Gold equivalent ounces - other metals","(ounces in thousands)","","($ per ounce sold)","","($ per ounce sold)","","($ per ounce sold)"],["North America (5)","1,048","","","1,089","","","893","","","$","828","","","$","603","","","$","535","","","$","267","","","$","291","","","$","302","","","$","1,115","","","$","826","","","$","828"],["Australia (6)","227","","","163","","","128","","","782","","","902","","","837","","","145","","","147","","","152","","","909","","","1,112","","","1,080"],["Total/Weighted-Average (4)","1,275","","","1,252","","","1,021","","","$","819","","","$","640","","","$","571","","","$","245","","","$","273","","","$","284","","","$","1,114","","","$","900","","","$","858"],["Attributable gold from equity method investments (7)","(ounces in thousands)"],["Pueblo Viejo (40%)","285","","","325","","","362"]] [[/GREPCENT_TABLE]] ____________________________ (1)Excludes Depreciation and amortization and Reclamation and remediation. (2)For the year ended December 31, 2021, Depreciation and amortization includes $3 at Australia relating to care and maintenance costs. For the year ended December 31, 2020, Depreciation and amortization includes $51 and $37 at North America and South America, respectively, relating to care and maintenance costs. There were no care and maintenance costs for the year ended December 31, 2022. (3)All-In Sustaining Costs is a non-GAAP financial measure. Refer to Non-GAAP Financial Measures below. For the year ended December 31, 2021, All-In Sustaining Costs includes $8 of care and maintenance costs included in Other expense, net at Australia. For the year ended December 31, 2020, All-In Sustaining Costs includes $92 and $86 of care and maintenance costs at North America and South America, respectively, included in Other expense, net. (4)All-In Sustaining Costs and Depreciation and amortization include expense for other regional projects. (5)For the year ended December 31, 2022, the Peñasquito mine in North America produced 29,667 thousand ounces of silver, 149 million pounds of lead and 377 million pounds of zinc. For the year ended December 31, 2021, the Peñasquito mine in North America produced 31,375 thousand ounces of silver, 177 million pounds of lead and 435 million pounds of zinc. For the year ended December 31, 2020, Peñasquito produced 27,801 thousand ounces of silver, 179 million pounds of lead and 381 million pounds of zinc. (6)For the year ended December 31, 2022, 2021 and 2020, the Boddington mine in Australia produced 84 million, 71 million and 56 million pounds of copper, respectively. (7)Income and expenses of equity method investments are included in Equity income (loss) of affiliates. Refer to Note 15 to the Consolidated Financial Statements for further discussion of our equity method investments. 2022 compared to 2021 Consolidated gold production and consolidated gold equivalent ounces - other metals production were generally in line with the prior year. 79 Table of Contents Costs applicable to sales per consolidated gold ounce increased 19% primarily due to impacts from cost inflation due to higher input commodity prices, notably fuel and energy costs, and increased labor costs, inventory write-downs, lower by-product credits, the Peñasquito Profit-Sharing Agreement and lower gold ounces sold. Costs applicable to sales per consolidated gold equivalent ounce – other metals increased 28% primarily due to impacts from cost inflation due to higher input commodity prices, notably fuel and energy costs, and increased labor cost and the Peñasquito Profit-Sharing Agreement in North America. Depreciation and amortization per consolidated gold ounce was generally in line with the prior year. Depreciation and amortization per consolidated gold equivalent ounce – other metals decreased 10% primarily due to lower depreciation rates due to a longer mill life at Peñasquito in North America and higher gold equivalent ounces - other metals sold at Boddington in Australia. All-In Sustaining Costs per consolidated gold ounce increased 14% primarily due to higher costs applicable to sales per gold ounce. All-In Sustaining Costs per consolidated gold equivalent ounce – other metals increased 24% primarily due to higher costs applicable to sales per gold equivalent ounce – other metals. North America Operations [[GREPCENT_TABLE]] [["","Gold or Other Metals Produced","","Costs Applicable to Sales (1)","","Depreciation and Amortization (2)","","All-In Sustaining Costs (3)"],["","2022","","2021","","2020","","2022","","2021","","2020","","2022","","2021","","2020","","2022","","2021","","2020"],["Year Ended December 31,"],["Gold","(ounces in thousands)","","($ per ounce sold)","","($ per ounce sold)","","($ per ounce sold)"],["CC&V","182","","","220","","","272","","","$","1,302","","","$","1,080","","","$","911","","","$","386","","","$","298","","","$","295","","","$","1,697","","","$","1,338","","","$","1,125"],["Red Lake (4)","\u2014","","","\u2014","","","38","","","\u2014","","","\u2014","","","1,066","","","\u2014","","","\u2014","","","44","","","\u2014","","","\u2014","","","1,182"],["Musselwhite","173","","","152","","","100","","","1,135","","","1,018","","","1,206","","","464","","","520","","","644","","","1,531","","","1,335","","","1,838"],["Porcupine","280","","","287","","","319","","","1,004","","","940","","","765","","","369","","","319","","","341","","","1,248","","","1,152","","","935"],["\u00c9l\u00e9onore","215","","","253","","","202","","","1,228","","","960","","","868","","","531","","","562","","","529","","","1,599","","","1,256","","","1,248"],["Pe\u00f1asquito","566","","","686","","","526","","","771","","","549","","","560","","","258","","","279","","","330","","","968","","","702","","","806"],["Total/Weighted-Average (5)","1,416","","","1,598","","","1,457","","","$","999","","","$","796","","","$","773","","","$","368","","","$","363","","","$","385","","","$","1,287","","","$","1,016","","","$","1,049"],["Gold equivalent ounces - other metals","(ounces in thousands)","","($ per ounce sold)","","($ per ounce sold)","","($ per ounce sold)"],["Pe\u00f1asquito (6)","1,048","","","1,089","","","893","","","$","828","","","$","603","","","$","535","","","$","267","","","$","291","","","$","302","","","$","1,112","","","$","824","","","$","828"],["Total/Weighted-Average (5)","1,048","","","1,089","","","893","","","$","828","","","$","603","","","$","535","","","$","267","","","$","291","","","$","302","","","$","1,115","","","$","826","","","$","828"]] [[/GREPCENT_TABLE]] ____________________________ (1)Excludes Depreciation and amortization and Reclamation and remediation. (2)For the year ended December 31, 2020, Depreciation and amortization includes $7, $16 and $28 of care and maintenance costs at Musselwhite, Éléonore and Peñasquito, respectively. (3)All-In Sustaining Costs is a non-GAAP financial measure. Refer to Non-GAAP Financial Measures below. For the year ended December 31, 2020, All-In Sustaining Costs includes $28, $26 and $38 of care and maintenance costs at Musselwhite, Éléonore and Peñasquito, respectively, included in Other expense, net. (4)The sale of the Red Lake complex to Evolution closed on March 31, 2020. Refer to Note 8 to the Consolidated Financial Statements for more information on asset sales. (5)All-In Sustaining Costs and Depreciation and amortization include expense for other regional projects. (6)For the year ended December 31, 2022, Peñasquito produced 29,667 thousand ounces of silver, 149 million pounds of lead and 377 million pounds of zinc. For the year ended December 31, 2021, Peñasquito produced 31,375 thousand ounces of silver, 177 million pounds of lead and 435 million pounds of zinc. For the year ended December 31, 2020, Peñasquito produced 27,801 thousand ounces of silver, 179 million pounds of lead and 381 million pounds of zinc. 2022 compared to 2021 CC&V, U.S. Gold production decreased 17% primarily due to lower ore milled from placing the mill in long-term care and maintenance in the current year and lower leach pad recoveries. Costs applicable to sales per gold ounce increased 21% primarily due to inventory write-downs and lower gold ounces sold. Depreciation and amortization per gold ounce increased 30% primarily due to lower gold ounces sold and inventory write-downs. All-In Sustaining Costs per gold ounce increased 27% primarily due to higher costs applicable to sales per gold ounce. Musselwhite, Canada. Gold production increased 14% primarily due to higher mill throughput. Costs applicable to sales per gold ounce increased 11% primarily due to higher contract labor costs and higher fuel and energy costs resulting from cost inflation, partially offset by higher gold ounces sold. Depreciation and amortization per gold ounce decreased 11% primarily due to lower depreciation rates due to a longer mine life and higher gold ounces sold. All-In Sustaining Costs per gold ounce increased 15% primarily due to higher costs applicable to sales per gold ounce and higher sustaining capital spend. Porcupine, Canada. Gold production was generally in line with the prior year. Costs applicable to sales per gold ounce increased 7% primarily due to higher fuel and energy costs resulting from cost inflation. Depreciation and amortization per gold ounce 80 Table of Contents increased 16% primarily due to higher depreciation rates from asset additions. All-In Sustaining Costs per gold ounce increased 8% primarily due to higher costs applicable to sales per gold ounce and higher sustaining capital spend. Éléonore, Canada. Gold production decreased 15% primarily due to lower ore grade milled and lower mill throughput. Costs applicable to sales per gold ounce increased 28% primarily due to lower gold ounces sold, higher fuel, energy and contract labor costs resulting from cost inflation and higher maintenance costs for underground equipment. Depreciation and amortization per gold ounce decreased 6% primarily due to lower depreciation rates due to a longer mill life, partially offset by lower gold ounces sold. All-In Sustaining Costs per gold ounce increased 27% primarily driven by higher costs applicable to sales per gold ounce. Peñasquito, Mexico. Gold production decreased 17% primarily due to lower ore grade milled and lower mill recovery. Gold equivalent ounces – other metals production was generally in line with the prior year. Costs applicable to sales per gold ounce increased 40% primarily due to the Peñasquito Profit-Sharing Agreement, higher fuel and energy costs resulting from cost inflation, and lower gold ounces sold. Costs applicable to sales per gold equivalent ounce – other metals increased 37% primarily due to higher fuel and energy costs resulting from cost inflation and the Peñasquito Profit-Sharing Agreement. Depreciation and amortization per gold ounce decreased 8% primarily due to lower depreciation rates due to a longer mill life, partially offset by lower gold ounces sold. Depreciation and amortization per gold equivalent ounce – other metals decreased 8% primarily due to a lower co-product allocation of depreciation and amortization to other metals, partially offset by lower gold equivalent ounces - other metals sold. All-In Sustaining Costs per gold ounce increased 38% primarily due to higher costs applicable to sales per gold ounce. All-In Sustaining Costs per gold equivalent ounce – other metals increased 35% primarily due to higher costs applicable to sales per gold equivalent ounce. South America Operations [[GREPCENT_TABLE]] [["","Gold or Other Metals Produced","","Costs Applicable to Sales (1)","","Depreciation and Amortization (2)","","All-In Sustaining Costs (3)"],["","2022","","2021","","2020","","2022","","2021","","2020","","2022","","2021","","2020","","2022","","2021","","2020"],["Year Ended December 31,","(ounces in thousands)","","($ per ounce sold)","","($ per ounce sold)","","($ per ounce sold)"],["Yanacocha","244","","","264","","","340","","","$","1,254","","","$","885","","","$","1,019","","","$","380","","","$","421","","","$","362","","","$","1,477","","","$","1,355","","","$","1,414"],["Merian","403","","","437","","","461","","","915","","","751","","","705","","","199","","","225","","","219","","","1,105","","","895","","","813"],["Cerro Negro","278","","","270","","","216","","","1,007","","","912","","","718","","","525","","","513","","","606","","","1,262","","","1,247","","","1,147"],["Total/Weighted Average (4)","925","","","971","","","1,017","","","$","1,034","","","$","832","","","$","811","","","$","351","","","$","363","","","$","358","","","$","1,262","","","$","1,130","","","$","1,100"],["Yanacocha (\u2014%, 48.65%, and 48.65%, respectively) (5)","(14)","","","(129)","","","(166)"],["Merian (25%)","(101)","","","(109)","","","(115)"],["Attributable to Newmont","810","","","733","","","736"],["Attributable gold from equity method investments (6)","(ounces in thousands)"],["Pueblo Viejo (40%)","285","","","325","","","362"]] [[/GREPCENT_TABLE]] ___________________________ (1)Excludes Depreciation and amortization and Reclamation and remediation. (2)For the year ended December 31, 2020, Depreciation and amortization includes $7 and $30 of care and maintenance costs at Yanacocha and Cerro Negro, respectively. (3)All-In Sustaining Costs is a non-GAAP financial measure. Refer to Non-GAAP Financial Measures below. For the year ended December 31, 2020, All-In Sustaining Costs includes $27, $56 and $3 of care and maintenance costs at Yanacocha, Cerro Negro and Other South America, respectively, included in Other expense, net. (4)All-In Sustaining Costs and Depreciation and amortization include expense for other regional projects. (5)The Company acquired the remaining interest in Yanacocha in 2022, resulting in 100% ownership interest at December 31, 2022. The Company recognized amounts attributable to non-controlling interests for Yanacocha for the periods prior to acquiring 100% ownership. Refer to Note 1 of the Consolidated Financial Statement for further information. (6)Income and expenses of equity method investments are included in Equity income (loss) of affiliates. Refer to Note 15 to the Consolidated Financial Statements for further discussion of our equity method investments. 2022 compared to 2021 Yanacocha, Peru. Gold production decreased 8% primarily due to lower leach pad recoveries in the current year. Costs applicable to sales per gold ounce increased 42% primarily due to lower by-product credits resulting from silver sale shipments in the prior year, higher energy and materials costs resulting from cost inflation and inventory write-downs, partially offset by lower worker participation costs. Depreciation and amortization per gold ounce decreased 10% primarily due to the amortization of the remaining asset retirement costs at La Quinua in the prior year, as production from this leach pad was completed during 2021. All-In Sustaining Costs per gold ounce increased 9% primarily due to higher costs applicable to sales per gold ounce, partially offset by lower reclamation costs and lower COVID-19 costs. 81 Table of Contents Merian, Suriname. Gold production decreased 8% primarily due to lower mill throughput as a result of mine sequencing and higher mill maintenance downtime. Costs applicable to sales per gold ounce increased 22% primarily due to higher fuel and energy costs resulting from cost inflation. Depreciation and amortization per gold ounce decreased 12% primarily due to lower depreciation rates due to a longer mine life. All-in sustaining costs per gold ounce increased 23% primarily due to higher costs applicable to sales per gold ounce and higher sustaining capital spend. Cerro Negro, Argentina. Gold production was generally in line with the prior year. Costs applicable to sales per gold ounce increased 10% primarily due to higher equipment maintenance costs and higher fuel, contracted service and materials costs resulting from cost inflation, partially offset by higher gold ounces sold. Depreciation and amortization per gold ounce was generally in line with the prior year. All-In Sustaining Costs per gold ounce was generally in line with the prior year. Pueblo Viejo, Dominican Republic. Gold production decreased 12% primarily due to lower ore grade milled, partially offset by higher mill throughput. Refer to Note 15 to our Consolidated Financial Statements for further discussion of our equity method investments. Australia Operations [[GREPCENT_TABLE]] [["","Gold or Other Metals Produced","","Costs Applicable to Sales (1)","","Depreciation and Amortization (2)","","All-In Sustaining Costs (3)"],["","2022","","2021","","2020","","2022","","2021","","2020","","2022","","2021","","2020","","2022","","2021","","2020"],["Year Ended December 31,"],["Gold","(ounces in thousands)","","($ per ounce sold)","","($ per ounce sold)","","($ per ounce sold)"],["Boddington","798","","","696","","","670","","","$","802","","","$","887","","","$","866","","","$","145","","","$","145","","","$","152","","","$","921","","","$","1,083","","","$","1,094"],["Tanami","484","","","485","","","495","","","675","","","570","","","511","","","207","","","205","","","208","","","960","","","855","","","745"],["Total/Weighted-Average (4)","1,282","","","1,181","","","1,165","","","$","755","","","$","755","","","$","715","","","$","172","","","$","175","","","$","182","","","$","950","","","$","1,002","","","$","964"],["Gold equivalent ounces - other metals","(ounces in thousands)","","($ per ounce sold)","","($ per ounce sold)","","($ per ounce sold)"],["Boddington (5)","227","","","163","","","128","","","$","782","","","$","902","","","$","837","","","$","145","","","$","147","","","$","152","","","$","894","","","$","1,098","","","$","1,080"],["Total/Weighted-Average (4)","227","","","163","","","128","","","$","782","","","$","902","","","$","837","","","$","145","","","$","147","","","$","152","","","$","909","","","$","1,112","","","$","1,080"]] [[/GREPCENT_TABLE]] ____________________________ (1)Excludes Depreciation and amortization and Reclamation and remediation. (2)For the year ended December 31, 2021, Depreciation and amortization includes $3 of care and maintenance costs at Tanami. (3)All-in sustaining costs is a non-GAAP financial measure. Refer to Non-GAAP Financial Measures below. For the year ended December 31, 2021, All-in sustaining costs includes $8 of care and maintenance costs included in Other expense, net at Tanami. (4)All-in sustaining costs and Depreciation and amortization include expense for other regional projects. (5)For the years ended December 31, 2022, 2021 and 2020, Boddington produced 84 million, 71 million and 56 million pounds of copper, respectively. 2022 compared to 2021 Boddington, Australia. Gold production increased 15% primarily due to higher ore grade milled, partially offset by lower mill throughput. Gold equivalent ounces – other metals production increased 39% primarily due to higher ore grade milled, partially offset by lower mill throughput. Costs applicable to sales per gold ounce decreased 10% primarily due higher gold ounces sold and a favorable Australian dollar foreign currency exchange rate, partially offset by higher fuel and maintenance costs resulting from cost inflation. Costs applicable to sales per gold equivalent ounce – other metals decreased 13% primarily due to higher gold equivalent ounces - other metals sold and a favorable Australian dollar foreign currency exchange rate, partially offset by higher fuel and maintenance costs resulting from cost inflation. Depreciation and amortization per gold ounce and per gold equivalent ounce - other metals was generally in line with the prior year. All-In Sustaining Costs per gold ounce decreased 15% primarily due to lower costs applicable to sales per gold ounce and lower sustaining capital spend. All-In Sustaining Costs per gold equivalent ounce – other metals decreased 19% primarily due to lower costs applicable to sales per gold-equivalent ounce – other metals and lower sustaining capital spend. Tanami, Australia. Gold production was generally in line with the prior year. Costs applicable to sales per gold ounce increased 18% primarily due higher fuel, energy and materials costs resulting from cost inflation and a short-term increase in the cost of natural gas in the fourth quarter, partially offset by a favorable Australian dollar foreign currency exchange rate. Depreciation and amortization per gold ounce was generally in line with the prior year. All-In Sustaining Costs per gold ounce increased 12% primarily due to higher costs applicable to sales per gold ounce and higher sustaining capital spend, partially offset by lower COVID-19 and non-productive costs as a result of placing the mine under care and maintenance in the prior year. Significant rainfall and flooding have continued to impact the Northern Territory and surrounding areas in 2023, resulting in the closure of transportation routes leading into the Tanami mine. As a result, mining operations have been impacted by the Company’s inability to transport the required materials and supplies to Tanami. Remediation plans are being investigated, including the potential of delivering supplies by cargo flights. At this time, the estimated impact on Tanami’s production is not expected to be material. 82 Table of Contents Africa Operations [[GREPCENT_TABLE]] [["","Gold or Other Metals Produced","","Costs Applicable to Sales (1)","","Depreciation and Amortization","","All-In Sustaining Costs (2)"],["","2022","","2021","","2020","","2022","","2021","","2020","","2022","","2021","","2020","","2022","","2021","","2020"],["Year Ended December 31,","(ounces in thousands)","","($ per ounce sold)","","($ per ounce sold)","","($ per ounce sold)"],["Ahafo","574","","","481","","","480","","","$","990","","","$","884","","","$","787","","","$","292","","","$","298","","","$","304","","","$","1,178","","","$","1,084","","","$","980"],["Akyem","420","","","381","","","371","","","804","","","691","","","621","","","340","","","318","","","318","","","972","","","913","","","757"],["Total/Weighted Average (3)","994","","","862","","","851","","","$","911","","","$","799","","","$","713","","","$","312","","","$","307","","","$","311","","","$","1,108","","","$","1,022","","","$","890"]] [[/GREPCENT_TABLE]] ____________________________ (1)Excludes Depreciation and amortization and Reclamation and remediation. (2)All-In Sustaining Costs is a non-GAAP financial measure. Refer to Non-GAAP Financial Measures below. (3)All-In Sustaining Costs and Depreciation and amortization include expense for other regional projects. 2022 compared to 2021 Ahafo, Ghana. Gold production increased 19% primarily due to higher ore grade milled and higher mill throughput. Costs applicable to sales per gold ounce increased 12% primarily due to higher fuel, energy, and contracted service costs resulting from cost inflation, inventory write-downs and higher royalty payments, partially offset by higher gold ounces sold. Depreciation and amortization per gold ounce was generally in line with the prior year. All-In Sustaining Costs per gold ounce increased 9% primarily due to higher costs applicable to sales per gold ounce and higher sustaining capital spend. Akyem, Ghana. Gold production increased 10% primarily due to higher ore grade milled, higher mill throughput and a drawdown of in-circuit inventory compared to a build up in the prior year. Costs applicable to sales per gold ounce increased 16% primarily due to higher fuel, energy, and higher contracted service costs resulting from cost inflation, inventory write-downs and higher royalty payments partially offset by higher gold ounces sold. Depreciation and amortization per gold ounce increased 7% primarily due to higher amortization rates as a result of higher gold ounces mined. All-In Sustaining Costs per gold ounce increased 6% primarily due to higher costs applicable to sales per gold ounce, partially offset by lower sustaining capital spend. Nevada Operations [[GREPCENT_TABLE]] [["","Gold or Other Metals Produced","","Costs Applicable to Sales (1)","","Depreciation and Amortization","","All-In Sustaining Costs (2)"],["","2022","","2021","","2020","","2022","","2021","","2020","","2022","","2021","","2020","","2022","","2021","","2020"],["Year Ended December 31,"],["Gold","(ounces in thousands)","","($ per ounce sold)","","($ per ounce sold)","","($ per ounce sold)"],["Nevada Gold Mines","1,169","","","1,272","","","1,334","","","$","989","","","$","755","","","$","757","","","$","404","","","$","432","","","$","434","","","$","1,220","","","$","918","","","$","920"],["Total/Weighted-Average (3)","1,169","","","1,272","","","1,334","","","$","989","","","$","755","","","$","757","","","$","404","","","$","432","","","$","434","","","$","1,220","","","$","918","","","$","920"]] [[/GREPCENT_TABLE]] ____________________________ (1)Excludes Depreciation and amortization and Reclamation and remediation. (2)All-in sustaining costs is a non-GAAP financial measure. Refer to Non-GAAP Financial Measures below. (3)All-in sustaining costs and Depreciation and amortization include expense for other regional projects. 2022 compared to 2021 Nevada Gold Mines, U.S. Gold production decreased 8% primarily due to lower leach pad production at Long Canyon due to the ramp down of mining, lower ore grade milled at Carlin, and lower mill throughput at Turquoise Ridge and Cortez, partially offset by higher mill throughput at Carlin. Costs applicable to sales per gold ounce increased 31% primarily due to higher fuel, energy and contract labor costs resulting from cost inflation, inventory write-downs at Cortez and Carlin and lower by-product credits at Phoenix. Depreciation and amortization per gold ounce decreased 6% primarily due to lower depreciation rates as a result of lower gold ounces mined and a longer mine life. All-In Sustaining Costs per gold ounce increased 33% primarily due to higher costs applicable to sales per gold ounce and higher sustaining capital spend. Foreign Currency Exchange Rates Our foreign operations sell their gold, copper, silver, lead and zinc production based on USD metal prices. Therefore, fluctuations in foreign currency exchange rates do not have a material impact on our revenue. Despite selling gold and silver in London, we have no exposure to the euro or the British pound. 83 Table of Contents Foreign currency exchange rates can increase or decrease profits to the extent costs are paid in foreign currencies, including the Australian dollar, the Mexican peso, the Canadian dollar, the Argentine peso, the Peruvian sol, the Surinamese dollar and the Ghanaian cedi. In 2022, approximately 49% of Costs applicable to sales were paid in currencies other than the U.S. dollar as follows: [[GREPCENT_TABLE]] [["","Year Ended December 31, 2022"],["Australian Dollar","16","%"],["Mexican Peso","13","%"],["Canadian Dollar","12","%"],["Argentine Peso","4","%"],["Peruvian Sol","3","%"],["Surinamese Dollar","1","%"],["Ghanaian Cedi","\u2014","%"]] [[/GREPCENT_TABLE]] Variations in the local currency exchange rates in relation to the U.S. dollar at our foreign mining operations decreased Costs applicable to sales by $34 per ounce in 2022, compared to 2021, primarily in Argentina, Australia, and Canada. Our Cerro Negro mine, located in Argentina, is a USD functional currency entity. Argentina has a hyperinflationary economy with a cumulative inflation rate of over 216% for the last three years. In recent years, Argentina’s central bank enacted a number of foreign currency controls in an effort to stabilize the local currency, including requiring the Company to convert USD proceeds from metal sales to local currency within 60 days from shipment date or five business days from receipt of cash, whichever happens first, as well as restricting payments to foreign-related entities denominated in foreign currency, such as dividends or distributions to the parent and related companies and royalties and other payments to foreign beneficiaries. These restrictions directly impact Cerro Negro's ability to pay principal portions of intercompany debt to the Company. We continue to monitor the foreign currency exposure risk and the limitations of repatriating cash to the U.S. Currently, these currency controls are not expected to have a material impact on our financial statements. Our Merian mine, located in the country of Suriname, is a USD functional currency entity. Suriname has experienced significant inflation over the last three years and has a highly inflationary economy. In 2021, the Central Bank took steps to stabilize the local currency, while the government introduced new legislation to narrow the gap between government revenues and spending. The measures to increase government revenue mainly consist of tax increases; however, Newmont and the Republic of Suriname have a Mineral Agreement in place that supersedes such measures. The Central Bank of Suriname adopted a controlled floating rate system, which resulted in a concurrent devaluation of the Surinamese dollar. The majority of Merian’s activity has historically been denominated in USD; as a result, the devaluation of the Surinamese dollar has resulted in an immaterial impact on our financial statements. Therefore, future devaluation of the Surinamese dollar is not expected to have a material impact on our financial statements. Liquidity and Capital Resources Liquidity Overview We have a disciplined cash allocation strategy of maintaining financial flexibility to execute our capital priorities and generate long-term value for our shareholders. Consistent with that strategy, we aim to self-fund development projects and make strategic partnerships focused on profitable growth, while reducing our debt and returning cash to stockholders through dividends and share repurchases. The continued impacts from the COVID-19 pandemic, the Russian invasion of Ukraine, and the resulting significant inflation experienced globally, as well as the effects of certain countermeasures taken by central banks, have been and are expected to continue to adversely affect the Company. Depending on the duration and extent of the impact of these events, commodity prices and the prices for gold and other metals could continue to experience volatility; transportation industry disruptions could continue, including limitations on shipping produced metals; our supply chain could continue to experience disruption; cost inflation rates could further increase; or we could incur credit related losses of certain financial assets, which could materially impact the Company’s results of operations, cash flows and financial condition. As of December 31, 2022, we believe our available liquidity allows us to manage the short- and, possibly, long-term material adverse impacts of these events on our business. Refer to Note 2 of the Consolidated Financial Statements for further discussion on risks and uncertainties. At December 31, 2022, the Company had $2,877 in Cash and cash equivalents. The majority of our cash and cash equivalents are invested in a variety of highly liquid investments with original maturities of three months or less. During the third quarter of 2022, the Company began investing in time deposits with a maturity of more than three months but less than one year, and at December 31, 2022 the Company had $829 of these time deposits, which are included in Time deposits and other investments. Our Cash and cash equivalents and time deposits are highly liquid and low-risk investments that are able to fund our operations as necessary. We may have investments in prime money market funds that are classified as cash and cash equivalents; however, we continually monitor the need for reclassification under the SEC requirements for money market funds, and the potential that the shares of such funds could 84 Table of Contents have a net asset value less than their par value. We believe that our liquidity and capital resources are adequate to fund our operations and corporate activities. At December 31, 2022, $907 of Cash and cash equivalents was held in foreign subsidiaries and is primarily held in U.S. dollar denominated accounts with the remainder in foreign currencies readily convertible to USD. Cash and cash equivalents denominated in Argentine Peso are subject to regulatory restrictions. Refer to Foreign Currency Exchange Rates above for further information. At December 31, 2022, $658 in consolidated cash and cash equivalents was held at certain foreign subsidiaries that, if repatriated, may be subject to withholding taxes. We expect that there would be no additional tax burden upon repatriation after considering the cash cost associated with any potential withholding taxes. We believe our existing consolidated Cash and cash equivalents, time deposits, available capacity on our revolving credit facility, and cash generated from continuing operations will be adequate to satisfy working capital needs, fund future growth, meet debt obligations and meet other liquidity requirements for the foreseeable future. At December 31, 2022, our borrowing capacity on our revolving credit facility was $3,000, and we had no borrowings outstanding under the revolving credit facility. We continue to remain compliant with covenants and do not currently anticipate any events or circumstances that would impact our ability to access funds available on this facility. Refer to Note 20 of the Consolidated Financial Statements for further information on our Debt. Our financial position was as follows: [[GREPCENT_TABLE]] [["","At December 31, 2022","","At December 31, 2021"],["Cash and cash equivalents","$","2,877","","","$","4,992"],["Time deposits (1)","829","","","\u2014"],["Borrowing capacity on revolving credit facility","3,000","","","3,000"],["Total liquidity","$","6,706","","","$","7,992"],["Net debt (2)","$","2,426","","","$","1,310"]] [[/GREPCENT_TABLE]] ____________________________ (1)Time deposits are included within Time deposits and other investments on the Consolidated Balance Sheets. Refer to Note 15 of the Consolidated Financial Statements for further information. (2)Net debt is a non-GAAP financial measure used by management to evaluate financial flexibility and strength of the Company's balance sheet. Refer to Non-GAAP Financial Measures below. Cash Flows Net cash provided by (used in) operating activities of continuing operations was $3,198 in 2022, a decrease in cash provided of $1,068 from the year ended December 31, 2021, primarily due to an increase in operating cash expenditures resulting from the impacts of cost inflation due to higher input commodity prices, notably fuel and energy costs, and increased labor costs; lower sales volumes, and payments related to: (i) increased reclamation and remediation obligations, (ii) the Peñasquito Profit-Sharing Agreement, (iii) previously accrued employee severance resulting from a recent employment model change in Ghana, and (iv) our strategic alliance with CAT. Net cash provided by (used in) investing activities of continuing operations was $(2,983) in 2022, an increase in cash used of $1,115 from the year ended December 31, 2021, primarily due to an increase in the purchase of time deposits and higher capital expenditures in 2022, partially offset by the acquisition of GT Gold in 2021. Net cash provided by (used in) financing activities was $(2,356) in 2022, a decrease in cash used of $602 from the year ended December 31, 2021, primarily due to higher stock repurchases in 2021 and higher net repayments of debt in 2021, partially offset by the acquisition of non-controlling interest in Yanacocha in 2022. Capital Resources In February 2023, the Board declared a dividend of $0.40 per share, determined under the dividend framework. This framework is non-binding and is periodically reviewed and reassessed by the Board of Directors. The declaration and payment of future dividends remains at the full discretion of the Board and will depend on the Company’s financial results, cash requirements, future prospects and other factors deemed relevant by the Board. The Company's stock repurchase program for up to $1 billion of common stock expired on December 31, 2022. We repurchased $525 under the plan, all of which was completed in 2021. Capital Expenditures Cash generated from operations is used to execute our capital priorities, which include sustaining and developing our global portfolio of long-lived assets. Our near-term development capital projects include Tanami Expansion 2 and Ahafo North, which are being funded from existing liquidity and will continue to be funded from future operating cash flows. Capital costs are estimated to be 85 Table of Contents between $1,200 and $1,300 for Tanami Expansion 2 and between $950 and $1,050 for Ahafo North, with the first full year of commercial production expected to be 2026 for both projects. We consider sustaining capital as those capital expenditures that are necessary to maintain current production and execute the current mine plan. Capital expenditures to develop new operations or related to projects at existing operations, where these projects will enhance production or reserves, are considered non-sustaining or development capital. The Company’s decision to reprioritize, sell or abandon a development project, which may include returning mining concessions to host governments, could result in a future impairment charge. The Company continues to evaluate strategic priorities and deployment of capital to projects in the pipeline to ensure we execute on our capital priorities and provide long-term value to shareholders. Included in the Company's continuous evaluation is consideration of current market opportunities or pressures. In response to the current challenging market conditions, which include inflationary pressures and supply chain disruptions, in the third quarter of 2022 the Company announced the delay of the full-funds investment decision for the Yanacocha Sulfides project in Peru. Refer to Note 2 of the Consolidated Financial Statements for further information. In 2020, we announced climate targets to reduce GHG emissions and plans to invest in climate change initiatives in support of this goal, which may be capital in nature. As part of these initiatives, in November 2021, Newmont announced a strategic alliance with CAT with the aim to develop and implement a comprehensive all-electric autonomous mining system to achieve zero emissions mining. To support this alliance, Newmont pledged a preliminary investment of $100, of which $39 has been paid as of December 31, 2022 and is recognized in Advanced projects, research and development within our Consolidated Statements of Operations, to CAT in connection with automation and electrification goals for surface and underground mining infrastructures and haulage fleets. The remaining pledged amount is anticipated to be paid as certain milestones are reached through 2025. Other investments supporting our climate change initiatives are expected to include emissions reduction projects and renewable energy opportunities as we seek to achieve these climate targets. For risks related to climate-related capital expenditures, refer to Part I, Item 1A Risk Factors. For the years ended December 31, 2022, 2021 and 2020 we had Additions to property, plant and mine development as follows: [[GREPCENT_TABLE]] [["","2022","","2021","","2020"],["","Development Projects","","Sustaining Capital","","Total","","Development Projects","","Sustaining Capital","","Total","","Development Projects","","Sustaining Capital","","Total"],["North America","$","128","","","$","369","","","$","497","","","$","30","","","$","309","","","$","339","","","$","49","","","$","269","","","$","318"],["South America","497","","","133","","","630","","","201","","","127","","","328","","","93","","","111","","","204"],["Australia","236","","","189","","","425","","","257","","","228","","","485","","","132","","","248","","","380"],["Africa","185","","","121","","","306","","","154","","","125","","","279","","","44","","","103","","","147"],["Nevada","78","","","230","","","308","","","63","","","171","","","234","","","81","","","160","","","241"],["Corporate and other","7","","","17","","","24","","","3","","","25","","","28","","","7","","","42","","","49"],["Accrual basis","$","1,131","","","$","1,059","","","$","2,190","","","$","708","","","$","985","","","$","1,693","","","$","406","","","$","933","","","$","1,339"],["Decrease (increase) in non-cash adjustments","","","","","(59)","","","","","","","(40)","","","","","","","(37)"],["Cash basis","","","","","$","2,131","","","","","","","$","1,653","","","","","","","$","1,302"]] [[/GREPCENT_TABLE]] For the year ended December 31, 2022, development projects included Pamour in North America; Yanacocha Sulfides and Cerro Negro expansion projects in South America; Tanami Expansion 2 and Power Generation Civil Upgrade in Australia; Ahafo North and Subika Mining Method Change in Africa; and Goldrush Complex and the Turquoise Ridge 3rd Shaft in Nevada.  In October 2022, the Company entered into A$574 of AUD-denominated fixed forward contracts to mitigate variability in the USD functional cash flows related to the AUD-denominated capital expenditures expected to be incurred in 2023 and 2024 during the construction and development phase of the Tanami Expansion 2 project. The Company has designated the forward contracts as foreign currency cash flow hedges against the forecasted AUD-denominated Tanami Expansion 2 capital expenditures. Refer to Note 14 of the Consolidated Financial Statements for further information. For the year ended December 31, 2021, development projects included Pamour in North America; Yanacocha Sulfides, Quecher Main and Cerro Negro expansion projects in South America; Tanami Expansion 2 and Power Generation Civil Upgrade in Australia; Subika Mining Method Change and Ahafo North in Africa; and Goldrush Complex and Turquoise Ridge 3rd Shaft in Nevada. For the year ended December 31, 2020, development projects included Musselwhite Materials Handling, Pamour and Éléonore Lower Mine Material Handling System in North America; Quecher Main, Yanacocha Sulfides and Emilia in South America; Tanami Expansion 2 in Australia; Subika Mining Method Change and Ahafo North in Africa; and Goldrush Complex, Turquoise Ridge 3rd Shaft and Range Front Declines at Cortez in Nevada. 86 Table of Contents For the years ended December 31, 2022, 2021 and 2020, sustaining capital included the following: •North America. Capital expenditures primarily related to surface and underground mine development, tailings facility construction, mining equipment and capitalized component purchases; •South America. Capital expenditures primarily related to capitalized component purchases, mining equipment, reserves drilling conversion, underground mine development, tailings facility construction and infrastructure improvements; •Australia. Capital expenditures primarily related to haul truck purchases for the Autonomous Haulage System, equipment and capitalized component purchases, underground mine development and tailings, water storage and support facilities; •Africa. Capital expenditures primarily related to underground mine development, capitalized component purchases, water treatment plant construction and tailings facility expansion; and •Nevada. Capital expenditures primarily related to surface and underground mine development, tailings facility construction and equipment and capitalized component purchases. For the years ended December 31, 2022, 2021 and 2020, drilling and related costs capitalized and included in mine development costs were as follows: [[GREPCENT_TABLE]] [["","Year Ended December 31,"],["","2022","","2021","","2020"],["North America","$","17","","","$","18","","","$","9"],["South America","31","","","38","","","15"],["Australia","60","","","74","","","72"],["Africa","9","","","5","","","4"],["Nevada","27","","","21","","","17"],["","$","144","","","$","156","","","$","117"]] [[/GREPCENT_TABLE]] During 2022, 2021 and 2020, $11, $—, and $—, respectively, of pre-stripping costs were capitalized and included in mine development costs. Refer to Note 3 to our Consolidated Financial Statement and Non-GAAP Financial Measures below for further information. Debt Debt and Corporate Revolving Credit Facilities. The Company from time to time will redeem its outstanding senior notes ahead of their scheduled maturity dates utilizing Cash and cash equivalents. Additionally, depending upon market conditions and strategic considerations, we may choose to refinance debt in the capital markets. At December 31, 2022, our future debt maturities include $5,624 that mature beginning in 2029. We generally expect to be able to fund maturities of debt from Net cash provided by (used in) operating activities, Time deposits and other investments, existing cash balances and available credit facilities. Refer to Note 20 to the Consolidated Financial Statements for more information on redemptions and future debt maturities. Debt Covenants Our 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. Furthermore, our senior notes and corporate revolving credit facility contain covenants that include, limiting the sale of all or substantially all of our assets, certain change of control provisions and a negative pledge on certain assets. The corporate revolving credit facility contains a financial ratio covenant requiring us 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. At December 31, 2022 and 2021, we were in compliance with all existing debt covenants and provisions related to potential defaults. Letters of Credit and Other Guarantees We have off-balance sheet arrangements of $1,872 of outstanding surety bonds, bank letters of credit and bank guarantees (refer to Note 25 to the Consolidated Financial Statements). At December 31, 2022, $— of the $3,000 corporate revolving credit facility was used to secure the issuance of letters of credit. Refer to Note 20 to the Consolidated Financial Statements for additional information. 87 Table of Contents Supplemental Guarantor Information The Company filed a shelf registration statement with the SEC on Form S-3 under the Securities Act, of 1933, as amended, which enables us to issue an indeterminate number or amount of common stock, preferred stock, depository shares, debt securities, guarantees of debt securities, warrants and units (the “Shelf Registration Statement”). Under the Shelf Registration Statement, our debt securities may be guaranteed by Newmont USA Limited (“Newmont USA”), one of our consolidated subsidiaries (Newmont, as issuer, and Newmont USA, as guarantor, are collectively referred to here-within as the "Obligor Group"). These guarantees are full and unconditional, and none of our other subsidiaries guarantee any security issued and outstanding. The cash provided by operations of the Obligor Group, and all of its subsidiaries, is available to satisfy debt repayments as they become due, and there are no material restrictions on the ability of the Obligor Group to obtain funds from subsidiaries by dividend, loan, or otherwise, except to the extent of any rights noncontrolling interests, foreign currency or regulatory restrictions limiting repatriation of cash. Net assets attributable to noncontrolling interests were $179 at December 31, 2022. All noncontrolling interests relate to non-guarantor subsidiaries. Newmont and Newmont USA are primarily holding companies with no material operations, sources of income or assets other than equity interest in their subsidiaries and intercompany receivables or payables. Newmont USA’s primary investments are comprised of its 38.5% interest in NGM. For further information regarding these and our other operations, refer to Note 3 of the Consolidated Financial Statements and Results of Consolidated Operations, above. In addition to equity interests in subsidiaries, the Obligor Group’s balance sheets consisted primarily of the following intercompany assets, intercompany liabilities and external debt. The remaining assets and liabilities of the Obligor Group are considered immaterial at December 31, 2022. [[GREPCENT_TABLE]] [["","December 31, 2022"],["","Obligor Group","","Newmont USA"],["Current intercompany assets","$","13,982","","","$","5,815"],["Non-current intercompany assets","$","520","","","$","506"],["Current intercompany liabilities","$","13,118","","","$","1,907"],["Current external debt","$","\u2014","","","$","\u2014"],["Non-current external debt","$","5,564","","","$","\u2014"]] [[/GREPCENT_TABLE]] Newmont USA's subsidiary guarantees (the “subsidiary guarantees”) are general unsecured senior obligations of Newmont USA and rank equal in right of payment to all of Newmont USA's existing and future senior unsecured indebtedness and senior in right of payment to all of Newmont USA's future subordinated indebtedness. The subsidiary guarantees are effectively junior to any secured indebtedness of Newmont USA to the extent of the value of the assets securing such indebtedness. At December 31, 2022, Newmont USA had approximately $5,564 of consolidated indebtedness (including guaranteed debt), all of which relates to the guarantees of indebtedness of Newmont. Under the terms of the subsidiary guarantees, holders of Newmont’s securities subject to such subsidiary guarantees will not be required to exercise their remedies against Newmont before they proceed directly against Newmont USA. Newmont USA will be released and relieved from all its obligations under the subsidiary guarantees in certain specified circumstances, including, but not limited to, the following: •upon the sale or other disposition (including by way of consolidation or merger), in one transaction or a series of related transactions, of a majority of the total voting power of the capital stock or other interests of Newmont USA (other than to Newmont or any of Newmont’s affiliates); •upon the sale or disposition of all or substantially all the assets of Newmont USA (other than to Newmont or any of Newmont’s affiliates); or •upon such time as Newmont USA ceases to guarantee more than $75 aggregate principal amount of Newmont’s debt (at December 31, 2022, Newmont USA guaranteed $600 aggregate principal amount of debt of Newmont that did not contain a similar fall-away provision). Newmont’s debt securities are effectively junior to any secured indebtedness of Newmont to the extent of the value of the assets securing such indebtedness, and structurally subordinated to all debt and other liabilities of Newmont’s non-guarantor subsidiaries. At December 31, 2022, (i) Newmont’s total consolidated indebtedness was approximately $6,132, none of which was secured (other than $561 of Lease and other financing obligations), and (ii) Newmont’s non-guarantor subsidiaries had $5,211 of total liabilities (including trade payables, but excluding intercompany, external debt and reclamation and remediation liabilities), which would have been structurally senior to Newmont’s debt securities. For further information on our debt, refer to Note 20 of the Consolidated Financial Statements. 88 Table of Contents Contractual Obligations Our contractual obligations at December 31, 2022 are summarized as follows: [[GREPCENT_TABLE]] [["","Payments Due by Period"],["Contractual Obligations","Total","","Current","","Non-Current"],["Debt (1)","$","8,975","","","$","231","","","$","8,744"],["Finance lease and other financing obligations (2)","749","","","94","","","655"],["Remediation and reclamation liabilities (3)","8,720","","","495","","","8,225"],["Employee-related benefits (4)","626","","","127","","","499"],["Uncertain income tax liabilities and interest (5)","220","","","\u2014","","","220"],["Operating leases and other obligations (6)","137","","","29","","","108"],["Minimum royalty payments (7)","41","","","26","","","15"],["Purchase obligations (8)","969","","","276","","","693"],["Other (9)","184","","","63","","","121"],["","$","20,621","","","$","1,341","","","$","19,280"]] [[/GREPCENT_TABLE]] ____________________________ (1)Debt includes principal of $5,624 and estimated interest payments of $3,351 on Senior Notes, assuming no early extinguishment. (2)Finance lease and other financing obligations includes finance lease payments of $744 and additional payments of $5 for finance leases that have not yet commenced. (3)Mining operations are subject to extensive environmental regulations in the jurisdictions in which they operate. Pursuant to environmental regulations, we are required to close our operations and reclaim and remediate the lands that operations have disturbed. The estimated undiscounted cash outflows of these Reclamation and remediation liabilities are reflected here. For more information regarding reclamation and remediation liabilities, refer to Note 5 to the Consolidated Financial Statements. (4)Contractual obligations for Employee-related benefits include severance, workers’ participation, pension and other benefit plans. Pension plan and other benefit payments beyond 2032 cannot be reasonably estimated given variable market conditions and actuarial assumptions and are not included. (5)We are unable to reasonably estimate the timing of our uncertain income tax liabilities and interest payments due to uncertainties in the timing of the effective settlement of tax positions. (6)Operating lease and other obligations includes operating lease payments of $133 and additional payments of $4 for operating leases that have not yet commenced. (7)Minimum royalty payments are related to continuing operations and are presented net of recoverable amounts. (8)Purchase obligations are not recorded in the Consolidated Financial Statements. Purchase obligations represent contractual obligations for purchase of power, materials and supplies, consumables, inventories and capital projects. (9)Other includes service contracts and other obligations not recorded in our Consolidated Financial Statements, as well as the Norte Abierto and Galore Creek deferred payment obligations accrued in Other current liabilities and Other non-current liabilities. Environmental Our mining and exploration activities are subject to various federal and state laws and regulations governing the protection of the environment. We have made, and expect to make in the future, expenditures to comply with such laws and regulations, but cannot predict the full amount of such future expenditures. We perform a comprehensive review of our reclamation and remediation liabilities annually and review changes in facts and circumstances associated with these obligations at least quarterly. Notably, Newmont is committed to the implementation of GISTM and all tailing storage facilities are expected to be in conformance with the GISTM by 2025. Compliance with GISTM remains on-going and has and may continue to result in further increases to our estimated sustaining costs and closure costs for existing operations and non-operating sites. Additionally, laws, regulations and permit requirements focused on water management and discharge requirements for operations and water treatment in connection with closure are becoming increasingly stringent. Compliance with water management and discharge quality remains dynamic and has and may continue to result in further increases to our estimated closure costs. At December 31, 2022 and 2021, $6,731 and $5,768, respectively, were accrued for reclamation costs relating to currently or recently producing or development stage mineral properties, of which $482 and $213, respectively, were classified as current liabilities. In addition, we are involved in several matters concerning environmental obligations associated with former, primarily historic, mining activities. Based upon our best estimate of our liability for these matters, $373 and $344 were accrued for such obligations at December 31, 2022 and 2021, respectively, of which $44 and $60, respectively, were classified as current liabilities. We spent $56, $43 and $25 during 2022, 2021, and 2020, respectively, for environmental obligations related to the former mining activities. Reclamation and remediation adjustments during 2022 primarily related to (i) increased water management costs at portions of our Yanacocha and Porcupine site operations that are no longer in production and with no expected substantive future economic value (i.e., non-operating) (ii) increased costs due to closure plan design changes at our Porcupine site operations (iii) higher waste disposal costs and project execution delays at the Midnite mine and Dawn mill sites and (iv) higher estimated closure costs due to cost inflation. Reclamation and remediation adjustments during 2021 primarily related to (i) increased water treatment costs at non- 89 Table of Contents operating portions of our Yanacocha site operation and (ii) higher estimated closure costs at various other non-operating sites arising from recent tailings management review and monitoring requirements set forth by GISTM. During the year ended 2022, 2021, and 2020, capital expenditures were approximately $29, $13, and $23, respectively, to comply with environmental regulations. Our sustainability strategy is a foundational element in achieving our purpose to create value and improve lives through sustainable and responsible mining. Sustainability and safety are integrated into the business at all levels of the organization through our global policies, standards, strategies, business plans and remuneration plans. For more information on the Company’s reclamation and remediation liabilities, refer to Notes 5 and 25 to the Consolidated Financial Statements. For discussion of regulatory, tailings, water, climate and other environmental risks, refer to Part I, Item 1A. Risk Factors, for additional information. Forward-Looking Statements The foregoing discussion and analysis, as well as certain information contained elsewhere in this Annual Report, contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are intended to be covered by the safe harbor created thereby. For a more detailed discussion of risks and other factors that might impact forward-looking statements and other important information about forward-looking statements, refer to the discussion in Forward-Looking Statements in Part I, Item 1, Business and Part I, Item 1A, Risk Factors. Non-GAAP Financial Measures Non-GAAP financial measures are intended to provide additional information only and do not have any standard meaning prescribed by GAAP. These measures should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP. Unless otherwise noted, we present the Non-GAAP financial measures of our continuing operations in the tables below. For additional information regarding our discontinued operations, refer to Note 1 to the Consolidated Financial Statements. Earnings before interest, taxes and depreciation and amortization and Adjusted earnings before interest, taxes and depreciation and amortization Management uses earnings before interest, taxes and depreciation and amortization (“EBITDA”) and EBITDA adjusted for non-core or certain items that have a disproportionate impact on our results for a particular period (“Adjusted EBITDA”) as non-GAAP measures to evaluate the Company’s operating performance. EBITDA and Adjusted EBITDA do not represent, and should not be considered an alternative to, net income (loss), operating income (loss), or cash flow from operations as those terms are defined by GAAP, and do not necessarily indicate whether cash flows will be sufficient to fund cash needs. Although Adjusted EBITDA and similar measures are frequently used as measures of operations and the ability to meet debt service requirements by other companies, our calculation of Adjusted EBITDA is not necessarily comparable to such other similarly titled captions of other companies. The Company believes that Adjusted EBITDA provides useful information to investors and others in understanding and evaluating our operating results in the same manner as our management and Board of Directors. Management’s determination of the components of Adjusted EBITDA are evaluated periodically and based, in part, on a review of non-GAAP financial measures used by mining industry analysts. Net income (loss) attributable to Newmont stockholders is reconciled to EBITDA and Adjusted EBITDA as follows: 90 Table of Contents [[GREPCENT_TABLE]] [["","","","Year Ended December 31,"],["","","","","","2022","","2021","","2020"],["Net income (loss) attributable to Newmont stockholders","","","","","$","(429)","","","$","1,166","","","$","2,829"],["Net income (loss) attributable to noncontrolling interests","","","","","60","","","(933)","","","(38)"],["Net (income) loss from discontinued operations (1)","","","","","(30)","","","(57)","","","(163)"],["Equity loss (income) of affiliates","","","","","(107)","","","(166)","","","(189)"],["Income and mining tax expense (benefit)","","","","","455","","","1,098","","","704"],["Depreciation and amortization","","","","","2,185","","","2,323","","","2,300"],["Interest expense, net","","","","","227","","","274","","","308"],["EBITDA","","","","","$","2,361","","","$","3,705","","","$","5,751"],["Adjustments:"],["Impairment charges (2)","","","","","$","1,320","","","$","25","","","$","49"],["Reclamation and remediation charges (3)","","","","","713","","","1,696","","","213"],["Pension settlements (4)","","","","","137","","","4","","","92"],["Change in fair value of investments (5)","","","","","46","","","135","","","(252)"],["Gain on asset and investment sales (6)","","","","","(35)","","","(212)","","","(677)"],["Settlement costs (7)","","","","","22","","","11","","","58"],["Restructuring and severance (8)","","","","","4","","","11","","","18"],["COVID-19 specific costs (9)","","","","","3","","","5","","","92"],["Loss on assets held for sale (10)","","","","","\u2014","","","571","","","\u2014"],["Loss on debt extinguishment (11)","","","","","\u2014","","","11","","","77"],["Impairment of investments (12)","","","","","\u2014","","","1","","","93"],["Goldcorp transaction and integration costs (13)","","","","","\u2014","","","\u2014","","","23"],["Other (14)","","","","","(21)","","","\u2014","","","\u2014"],["Adjusted EBITDA (15)","","","","","$","4,550","","","$","5,963","","","$","5,537"]] [[/GREPCENT_TABLE]] ____________________________ (1)For additional information regarding our discontinued operations, refer to Note 1 to our Consolidated Financial Statements. (2)Impairment charges, included in Impairment charges represents non-cash write-downs of long-lived assets and goodwill. Refer to Note 6 to our Consolidated Financial Statements for further information. (3)Reclamation and remediation charges, included in Reclamation and remediation, represent revisions to the reclamation and remediation plans and cost estimates at the Company’s former operating properties and historic mining operations that have entered the closure phase and have no substantive future economic value. For additional information, refer to Note 5 in the Consolidated Financial Statements. (4)Pension settlements, included in Other income (loss), net, primarily represents pension settlement charges related to the annuitization of certain defined benefit plans and lump sum payments to participants in 2022 and related to lump sum payments to participants in 2021 and 2020. Refer to Note 11 to our Consolidated Financial Statements for further information. (5)Change in fair value of investments, included in Other income (loss), net, primarily represents unrealized gains and losses related to the Company's investments in current and non-current marketable and other equity securities. For additional information regarding our investments, refer to Note 15 to our Consolidated Financial Statements. (6)Gain on asset and investment sales, included in Gain on asset and investment sales, net, primarily represents gains recognized on the sale of the investment in MARA, on disposal of trucks at Boddington, and the sale of royalty interests at NGM, partially offset by the loss recognized on the sale of the La Zanja equity method investment in 2022; the gain on the sale of the Kalgoorlie Power business, gain on the NGM Lone Tree and South Arturo exchange transaction, and gain on the sale of TMAC in 2021; and gains on the sale of Kalgoorlie and Continental and a gain on the sale of certain royalty interests to Maverix in 2020. For additional information, refer to Note 8 to our Consolidated Financial Statements. (7)Settlement costs, included in Other expense, net, primarily represents a legal settlement and a voluntary contribution made to support humanitarian efforts in Ukraine in 2022; a voluntary contribution made to the Republic of Suriname in 2021; and costs related to the ecological tax obligation at Peñasquito in Mexico, mineral interest settlements at Ahafo and Akyem in Africa, the Cedros community agreement at Peñasquito in Mexico, a water related settlement at Yanacocha in Peru and other related costs in 2020. (8)Restructuring and severance, included in Other expense, net, primarily represents severance and related costs associated with significant organizational and operating model changes implemented by the Company for all periods presented. (9)COVID-19 specific costs, included in Other expense, net, primarily includes amounts distributed from Newmont Global Community Support Fund to help host communities, governments and employees combat the COVID-19 pandemic for all periods presented and includes incremental direct costs incurred as a result of actions taken to protect against the impacts of the COVID-19 pandemic in 2020. Refer to Note 7 to our Consolidated Financial Statements for further information. (10)Loss on assets held for sale, included in Loss on assets held for sale, represents the loss recognized due to the reclassification of the Conga mill assets as held for sale during 2021. The assets were remeasured to fair value less costs to sell. For additional information, refer to Note 1 to our Consolidated Financial Statements. (11)Loss on debt extinguishment, included in Other income (loss), net, primarily represents losses on the debt tender offer and subsequent extinguishment of the 2023 Newmont Senior Notes and the 2023 Goldcorp Senior Notes during 2021 and the extinguishment of a portion of the 2022 Senior Notes and 2023 Senior Notes during 2020. (12)Impairment of investments, included in Other income (loss), net, primarily represents other-than-temporary impairment of the TMAC investment in 2020. 91 Table of Contents (13)Goldcorp transaction and integration costs, included in Other expense, net, primarily represents costs incurred in 2020 related to Newmont's acquisition of Goldcorp completed in 2019 as well as subsequent integration costs. (14)Primarily represents an $11 reimbursement of certain historical Goldcorp operational expenses related to a legacy project that reached commercial production in the second quarter of 2022 and $7 of penalty income from an energy vendor early terminating a contract in 2022, included Other income (loss), net. (15)Adjusted EBITDA has not been adjusted for $—, $8, and $178 of cash care and maintenance costs, included in Other expense, net, which primarily represent costs incurred associated with certain mine sites being temporarily placed into care and maintenance in response to the COVID-19 pandemic for the years ended December 31, 2022, 2021, and 2020, respectively. Adjusted net income (loss) Management uses Adjusted Net Income (Loss) to evaluate the Company’s operating performance and for planning and forecasting future business operations. The Company believes the use of Adjusted Net Income (Loss) allows investors and analysts to understand the results of the continuing operations of the Company and its direct and indirect subsidiaries relating to the sale of products, by excluding certain items that have a disproportionate impact on our results for a particular period. Adjustments to continuing operations are presented before tax and net of our partners’ noncontrolling interests, when applicable. The tax effect of adjustments is presented in the Tax effect of adjustments line and is calculated using the applicable regional tax rate. Management’s determination of the components of Adjusted Net Income (Loss) are evaluated periodically and based, in part, on a review of non-GAAP financial measures used by mining industry analysts. Net income (loss) attributable to Newmont stockholders is reconciled to Adjusted net income (loss) as follows: [[GREPCENT_TABLE]] [["","","","Year Ended December 31, 2022"],["","","","","","","","per share data (1)"],["","","","","","","","","","basic","","diluted"],["Net income (loss) attributable to Newmont stockholders","","","","","","","$","(429)","","","$","(0.54)","","","$","(0.54)"],["Net loss (income) attributable to Newmont stockholders from discontinued operations (2)","","","","","","","(30)","","","(0.04)","","","(0.04)"],["Net income (loss) attributable to Newmont stockholders from continuing operations (3)","","","","","","","(459)","","","(0.58)","","","(0.58)"],["Impairment charges (4)","","","","","","","1,320","","","1.66","","","1.66"],["Reclamation and remediation charges (5)","","","","","","","713","","","0.90","","","0.90"],["Pension settlements (6)","","","","","","","137","","","0.17","","","0.17"],["Change in fair value of investments (7)","","","","","","","46","","","0.06","","","0.06"],["Gain on asset and investment sales (8)","","","","","","","(35)","","","(0.04)","","","(0.04)"],["Settlement costs (9)","","","","","","","22","","","0.03","","","0.03"],["Restructuring and severance (10)","","","","","","","4","","","0.01","","","0.01"],["COVID-19 specific costs (11)","","","","","","","3","","","\u2014","","","\u2014"],["Other (12)","","","","","","","(21)","","","(0.03)","","","(0.03)"],["Tax effect of adjustments (13)","","","","","","","(344)","","","(0.44)","","","(0.44)"],["Valuation allowance and other tax adjustments, net (14)","","","","","","","82","","","0.11","","","0.11"],["Adjusted net income (loss)","","","","","","","$","1,468","","","$","1.85","","","$","1.85"],["Weighted average common shares (millions): (3)","","","","","","","","","794","","","795"]] [[/GREPCENT_TABLE]] ____________________________ (1)Per share measures may not recalculate due to rounding. (2)For additional information regarding our discontinued operations, refer to Note 1 to our Consolidated Financial Statements. (3)Adjusted net income (loss) per diluted share is calculated using diluted common shares, which are calculated in accordance with GAAP. For the year ended December 31, 2022, potentially dilutive shares of 1 million were excluded from the computation of diluted loss per common share attributable to Newmont stockholders in the Consolidated Statement of Operations as they were antidilutive. These shares were included in the computation of adjusted net income per diluted share for the year ended December 31, 2022. (4)Impairment charges, included in Impairment charges represents non-cash write-downs of long-lived assets and goodwill. Refer to Note 6 to our Consolidated Financial Statements for further information. (5)Reclamation and remediation charges, net, included in Reclamation and remediation, represent revisions to the reclamation and remediation plans and cost estimates at the Company’s former operating properties and historic mining operations that have entered the closure phase and have no substantive future economic value. Refer to Note 5 to our Consolidated Financial Statements for further information. (6)Pension settlements, included in Other income (loss), net, represents pension settlement charges related to the annuitization of certain defined benefit plans. Refer to Note 11 to our Consolidated Financial Statements for further information. (7)Change in fair value of investments, included in Other income (loss), net, primarily represents unrealized gains and losses related to the Company's investment in current and non-current marketable and other equity securities. For additional information regarding our investments, refer to Note 15 to our Consolidated Financial Statements. (8)Gain on asset and investment sales, included in Gain on asset and investment sales, net, primarily represents gains recognized on the sale of the investment in MARA, disposal of trucks at Boddington, and the sale of royalty interests at NGM, partially offset by the loss recognized on the sale of the La Zanja equity method investment. For additional information, refer to Note 8 to our Consolidated Financial Statements. 92 Table of Contents (9)Settlement costs, included in Other expense, net, primarily represents a legal settlement and a voluntary contribution made to support humanitarian efforts in Ukraine. (10)Restructuring and severance, net, included in Other expense, net, primarily represents severance and related costs associated with significant organizational and operating model changes implemented by the Company. (11)COVID-19 specific costs, included in Other expense, net, represents amounts distributed from the Newmont Global Community Fund to help host communities, governments and employees combat the COVID-19 pandemic. Adjusted net income (loss) has not been adjusted for $35 of incremental COVID-19 costs incurred as a result of actions taken to protect against the impacts of the COVID-19 pandemic at our operational sites. Refer to Note 7 to our Consolidated Financial Statements for further information. (12)Primarily represents a $11 reimbursement of certain historical Goldcorp operational expenses related to a legacy project that reached commercial production in the second quarter of 2022 and $7 of penalty income from an energy vendor early terminating a contract in 2022, included Other income (loss), net. (13)The tax effect of adjustments, included in Income and mining tax benefit (expense), represents the tax effect of adjustments in footnotes (4) through (12), as described above, and are calculated using the applicable regional tax rate. (14)Valuation allowance and other tax adjustments, net, included in Income and mining tax benefit (expense), is recorded for items such as foreign tax credits, alternative minimum tax credits, capital losses, disallowed foreign losses, and the effects of changes in foreign currency exchange rates on deferred tax assets and deferred tax liabilities. The adjustment reflects the net increase or (decrease) to net operating losses, capital losses, tax credit carryovers, and other deferred tax assets subject to valuation allowance of $246, the expiration of U.S. foreign tax credit carryovers of $31, the effects of changes in foreign exchange rates on deferred tax assets and liabilities of $(86), net removal to the reserve for uncertain tax positions of $(8), a tax settlement in Mexico of $(125) and other tax adjustments of $24. Total amount is presented net of income (loss) attributable to noncontrolling interests of $82. [[GREPCENT_TABLE]] [["","","","Year Ended December 31, 2021"],["","","","","","","","per share data (1)"],["","","","","","","","","","basic","","diluted"],["Net income (loss) attributable to Newmont stockholders","","","","","","","$","1,166","","","$","1.46","","","$","1.46"],["Net loss (income) attributable to Newmont stockholders from discontinued operations (2)","","","","","","","(57)","","","(0.07)","","","(0.07)"],["Net income (loss) attributable to Newmont stockholders from continuing operations","","","","","","","1,109","","","1.39","","","1.39"],["Reclamation and remediation charges, net (3)","","","","","","","983","","","1.23","","","1.23"],["Loss on assets held for sale, net (4)","","","","","","","372","","","0.47","","","0.46"],["Gain on asset and investment sales (5)","","","","","","","(212)","","","(0.27)","","","(0.27)"],["Change in fair value of investments (6)","","","","","","","135","","","0.17","","","0.17"],["Impairment charges (7)","","","","","","","25","","","0.03","","","0.03"],["Loss on debt extinguishment (8)","","","","","","","11","","","0.01","","","0.01"],["Settlement costs (9)","","","","","","","11","","","0.01","","","0.01"],["Restructuring and severance, net (10)","","","","","","","9","","","0.01","","","0.01"],["COVID-19 specific costs (11)","","","","","","","5","","","\u2014","","","\u2014"],["Pension settlement (12)","","","","","","","4","","","\u2014","","","\u2014"],["Impairment of investments (13)","","","","","","","1","","","\u2014","","","\u2014"],["Tax effect of adjustments (14)","","","","","","","(413)","","","(0.51)","","","(0.51)"],["Valuation allowance and other tax adjustments, net (15)","","","","","","","331","","","0.43","","","0.43"],["Adjusted net income (loss) (16)","","","","","","","$","2,371","","","$","2.97","","","$","2.96"],["Weighted average common shares (millions): (17)","","","","","","","","","799","","","801"]] [[/GREPCENT_TABLE]] ____________________________ (1)Per share measures may not recalculate due to rounding. (2)For additional information regarding our discontinued operations, refer to Note 1 to our Consolidated Financial Statements. (3)Reclamation and remediation charges, net, included in Reclamation and remediation, represent revisions to reclamation and remediation plans and cost estimates at the Company’s former operating properties and historic mining operations that have entered the closure phase and have no substantive future economic value. Refer to Note 5 to our Consolidated Financial Statements for further information. Amount is presented net of pre-tax income (loss) attributable to noncontrolling interests of $(713). (4)Loss on assets held for sale, net, included in Loss on assets held for sale, represents the loss recognized due to the reclassification of the Conga mill assets as held for sale during the third quarter of 2021. The assets were remeasured to fair value less costs to sell. Amounts are presented net of income (loss) attributable to noncontrolling interests of $(199). For additional information, refer to Note 1 to our Consolidated Financial Statements. (5)Gain on asset and investment sales, included in Gain on asset and investment sales, net, primarily represents the gain on the sale of the Kalgoorlie Power business, gain on the NGM Lone Tree and South Arturo exchange, and gain on the sale of TMAC. For additional information, refer to Note 8 to our Consolidated Financial Statements. (6)Change in fair value of investments, included in Other income (loss), net, primarily represents unrealized gains and losses related to the Company's investment in current and non-current marketable and other equity securities. For additional information regarding our investments, refer to Note 15 to our Consolidated Financial Statements. (7)Impairment charges, included in Impairment charges represents non-cash write-downs of various assets that are no longer in use and materials and supplies inventories. Refer to Note 6 to our Consolidated Financial Statements for further information. 93 Table of Contents (8)Loss on debt extinguishment, included in Other income (loss), net, primarily represents losses on the debt tender offer and subsequent extinguishment of the 2023 Newmont Senior Notes and the 2023 Goldcorp Senior Notes. (9)Settlement costs, included in Other expense, net, primarily are comprised of a voluntary contribution made to the Republic of Suriname. (10)Restructuring and severance, net, included in Other expense, net, primarily represents severance and related costs associated with significant organizational and operating model changes implemented by the Company. Amounts are presented net of income (loss) attributable to noncontrolling interests of $(2). (11)COVID-19 specific costs, included in Other expense, net, primarily includes amounts distributed from the Newmont Global Community Fund to help host communities, governments and employees combat the COVID-19 pandemic. Adjusted net income (loss) has not been adjusted for $82 of incremental COVID-19 costs incurred as a result of actions taken to protect against the impacts of the COVID-19 pandemic at our operational sites. Refer to Note 7 to our Consolidated Financial Statements for further information. (12)Pension settlements, included in Other income (loss), net, represents pension settlement charges due to lump sum payments to participants. Refer to Note 11 to our Consolidated Financial Statements for further information. (13)Impairment of investments, included in Other income (loss), net, primarily represents other-than-temporary impairment of other investments. (14)The tax effect of adjustments, included in Income and mining tax benefit (expense), represents the tax effect of adjustments in footnotes (3) through (13), as described above, and are calculated using the applicable regional tax rate. (15)Valuation allowance and other tax adjustments, net, included in Income and mining tax benefit (expense), is recorded for items such as foreign tax credits, alternative minimum tax credits, capital losses, disallowed foreign losses, and the effects of changes in foreign currency exchange rates on deferred tax assets and deferred tax liabilities. The adjustment reflects the net increase or (decrease) to net operating losses, capital losses, tax credit carryovers, and other deferred tax assets subject to valuation allowance of $419, the expiration of U.S. capital loss carryovers of $152, the effects of changes in foreign exchange rates on deferred tax assets and liabilities of $(17), net additions to the reserve for uncertain tax positions of $99, and other tax adjustments of $5. Total amount is presented net of income (loss) attributable to noncontrolling interests of $(327). (16)Adjusted net income (loss) has not been adjusted for $8 of cash and $3 of non-cash care and maintenance costs, included in Other expense, net and Depreciation and amortization, respectively, which represent costs associated with our Tanami site being temporarily placed into care and maintenance in response to the COVID-19 pandemic during the year ended December 31, 2021, respectively. (17)Adjusted net income (loss) per diluted share is calculated using diluted common shares, which are calculated in accordance with GAAP. [[GREPCENT_TABLE]] [["","","","Year Ended December 31, 2020"],["","","","","","","","per share data (1)"],["","","","","","","","","","basic","","diluted"],["Net income (loss) attributable to Newmont stockholders","","","","","","","$","2,829","","","$","3.52","","","$","3.51"],["Net loss (income) attributable to Newmont stockholders from discontinued operations (2)","","","","","","","(163)","","","(0.20)","","","(0.20)"],["Net income (loss) attributable to Newmont stockholders from continuing operations","","","","","","","2,666","","","3.32","","","3.31"],["Gain on asset and investment sales (3)","","","","","","","(677)","","","(0.84)","","","(0.84)"],["Change in fair value of investments (4)","","","","","","","(252)","","","(0.31)","","","(0.31)"],["Reclamation and remediation charges, net (5)","","","","","","","160","","","0.20","","","0.20"],["Impairment of investments (6)","","","","","","","93","","","0.11","","","0.11"],["Pension settlement (7)","","","","","","","92","","","0.11","","","0.11"],["COVID-19 specific costs, net (8)","","","","","","","84","","","0.10","","","0.10"],["Loss on debt extinguishment (9)","","","","","","","77","","","0.09","","","0.09"],["Settlement costs, net (10)","","","","","","","55","","","0.07","","","0.07"],["Impairment charges (11)","","","","","","","49","","","0.06","","","0.06"],["Goldcorp transaction and integration costs (12)","","","","","","","23","","","0.03","","","0.03"],["Restructuring and severance, net (13)","","","","","","","17","","","0.02","","","0.02"],["Tax effect of adjustments (14)","","","","","","","62","","","0.08","","","0.08"],["Valuation allowance and other tax adjustments, net (15)","","","","","","","(309)","","","(0.38)","","","(0.37)"],["Adjusted net income (loss) (16)","","","","","","","$","2,140","","","$","2.66","","","$","2.66"],["Weighted average common shares (millions): (17)","","","","","","","","","804","","","806"]] [[/GREPCENT_TABLE]] ____________________________ (1)Per share measures may not recalculate due to rounding. (2)For additional information regarding our discontinued operations, refer to Note 1 to our Consolidated Financial Statements. (3)(Gain) loss on asset and investment sales, included in Gain on asset and investment sales, net, primarily represents gains on the sale of Kalgoorlie and Continental and a gain on the sale of royalty interests to Maverix. For additional information, refer to Note 8 to our Consolidated Financial Statements. (4)Change in fair value of investments, included in Other income (loss), net, primarily represents unrealized gains and losses related to the Company's investment in current and non-current marketable and other equity securities. For additional information regarding our investments, refer to Note 15 to our Consolidated Financial Statements. (5)Reclamation and remediation charges, net, included in Reclamation and remediation, represent revisions to remediation plans at the Company’s former operating properties and historic mining operations that have entered the closure phase and have no substantive future economic value, including adjustments related to increased lime consumption and water treatment costs at inactive Yanacocha sites and updated project cost estimates at inactive Porcupine sites, the Midnite mine site and Dawn mill site. Amount is presented net of income (loss) attributable to noncontrolling interests of $(53). 94 Table of Contents (6)Impairment of investments, included in Other income (loss), net, primarily represents the other-than-temporary impairment of the TMAC investment. (7)Pension settlements, included in Other income (loss), net, represents pension settlement charges due to lump sum payments to participants. Refer to Note 11 to our Consolidated Financial Statements for further information. (8)COVID-19 specific costs, net, included in Other expense, net, represents incremental direct costs incurred as a result of actions taken to protect against the impacts of the COVID-19 pandemic and includes amounts distributed from the Newmont Global Community Fund to help host communities, governments and employees combat the COVID-19 pandemic. Amount is presented net of income (loss) attributable to noncontrolling interests of $(8). Refer to Note 7 to our Consolidated Financial Statements for further information. (9)Loss on debt extinguishment, included in Other income (loss), net, primarily represents losses on the extinguishment of a portion of the 2022 Senior Notes and 2023 Senior Notes during 2020. (10)Settlement costs, net, included in Other expense, net, primarily represents costs related to the ecological tax obligation at Peñasquito in Mexico, mineral interest settlements at Ahafo and Akyem in Africa, the Cedros community agreement at Peñasquito in Mexico, a water related settlement at Yanacocha in Peru and other related costs. Amount is presented net of income (loss) attributable to noncontrolling interests of $(3). (11)Impairment charges, included in Impairment charges represents non-cash write-downs of various assets that are no longer in use and materials and supplies inventories. Refer to Note 6 to our Consolidated Financial Statements for further information. (12)Goldcorp transaction and integration costs, included in Other expense, net, primarily represents costs incurred related to Newmont's acquisition of Goldcorp completed in 2019 as well as subsequent integration costs. (13)Restructuring and severance, net, included in Other expense, net, primarily represents severance and related costs associated with significant organizational and operating model changes implemented by the Company. Amounts are presented net of income (loss) attributable to noncontrolling interests of $(1). (14)The tax effect of adjustments, included in Income and mining tax benefit (expense), represents the tax effect of adjustments in footnotes (3) through (13), as described above, and are calculated using the applicable regional tax rate. (15)Valuation allowance and other tax adjustments, net, included in Income and mining tax benefit (expense), is recorded for items such as foreign tax credits, alternative minimum tax credits, capital losses, disallowed foreign losses, and the effects of changes in foreign currency exchange rates on deferred tax assets and deferred tax liabilities. The adjustment is due to the benefit recognized on the sale of Kalgoorlie and related tax capital loss of $(353), net increase or (decrease) to net operating losses, tax credit carryovers and other deferred tax assets subject to valuation allowance of $186, the effects of changes in foreign exchange rates on deferred tax assets and liabilities of $(98), net reductions to the reserve for uncertain tax positions of $(21) and other tax adjustments of $39. Total amount is presented net of income (loss) attributable to noncontrolling interests of $(62). (16)Adjusted net income (loss) has not been adjusted for $165 of cash and $85 of non-cash care and maintenance costs, included in Other expense, net and Depreciation and amortization, respectively, which primarily represent costs associated with our Musselwhite, Éléonore, Peñasquito, Yanacocha and Cerro Negro sites being temporarily placed into care and maintenance in response to the COVID-19 pandemic during a portion of the year ended December 31, 2020, respectively. Amounts are presented net of income (loss) attributable to noncontrolling interests of $13 and $3, respectively. (17)Adjusted net income (loss) per diluted share is calculated using diluted common shares, which are calculated in accordance with GAAP. Free Cash Flow Management uses Free Cash Flow as a non-GAAP measure to analyze cash flows generated from operations. Free Cash Flow is Net cash provided by (used in) operating activities less Net cash provided by (used in) operating activities of discontinued operations less Additions to property, plant and mine development as presented on the Consolidated Statements of Cash Flows. The Company believes Free Cash Flow is also useful as one of the bases for comparing the Company’s performance with its competitors. Although Free Cash Flow and similar measures are frequently used as measures of cash flows generated from operations by other companies, the Company’s calculation of Free Cash Flow is not necessarily comparable to such other similarly titled captions of other companies. The presentation of non-GAAP Free Cash Flow is not meant to be considered in isolation or as an alternative to net income as an indicator of the Company’s performance, or as an alternative to cash flows from operating activities as a measure of liquidity as those terms are defined by GAAP, and does not necessarily indicate whether cash flows will be sufficient to fund cash needs. The Company’s definition of Free Cash Flow is limited in that it does not represent residual cash flows available for discretionary expenditures due to the fact that the measure does not deduct the payments required for debt service and other contractual obligations or payments made for business acquisitions. Therefore, the Company believes it is important to view Free Cash Flow as a measure that provides supplemental information to the Company’s Consolidated Statements of Cash Flows. The following table sets forth a reconciliation of Free Cash Flow, a non-GAAP financial measure, to Net cash provided by (used in) operating activities, which the Company believes to be the GAAP financial measure most directly comparable to Free Cash Flow, as well as information regarding Net cash provided by (used in) investing activities and Net cash provided by (used in) financing activities. 95 Table of Contents [[GREPCENT_TABLE]] [["","Year Ended December 31,"],["","2022","","2021","","2020"],["Net cash provided by (used in) operating activities","$","3,220","","","$","4,279","","","$","4,882"],["Less: Net cash used in (provided by) operating activities of discontinued operations","(22)","","","(13)","","","8"],["Net cash provided by (used in) operating activities of continuing operations","3,198","","","4,266","","","4,890"],["Less: Additions to property, plant and mine development","(2,131)","","","(1,653)","","","(1,302)"],["Free Cash Flow","$","1,067","","","$","2,613","","","$","3,588"],["Net cash provided by (used in) investing activities (1)","$","(2,983)","","","$","(1,868)","","","$","91"],["Net cash provided by (used in) financing activities","$","(2,356)","","","$","(2,958)","","","$","(1,680)"]] [[/GREPCENT_TABLE]] ____________________________ (1)Net cash provided by (used in) investing activities includes Additions to property, plant and mine development, which is included in the Company’s computation of Free Cash Flow. Net Debt Management uses Net Debt to measure the Company’s liquidity and financial position. Net Debt is calculated as Debt and Lease and other financing obligations less Cash and cash equivalents and time deposits included in Time deposits and other investments, as presented on the Consolidated Balance Sheets. Cash and cash equivalents and time deposits are subtracted from Debt and Lease and other financing obligations as these are highly liquid, low-risk investments and could be used to reduce the Company's debt obligations. The Company believes the use of Net Debt allows investors and others to evaluate financial flexibility and strength of the Company's balance sheet. Net Debt is intended to provide additional information only and does not have any standardized meaning prescribed by GAAP and should not be considered in isolation or as a substitute for measures of liquidity prepared in accordance with GAAP. Other companies may calculate this measure differently. The following table sets forth a reconciliation of Net Debt, a non-GAAP financial measure, to Debt and Lease and other financing obligations, which the Company believes to be the GAAP financial measures most directly comparable to Net Debt. [[GREPCENT_TABLE]] [["","At December 31, 2022","","At December 31, 2021"],["Debt","$","5,571","","","$","5,652"],["Lease and other financing obligations","561","","","650"],["Less: Cash and cash equivalents","(2,877)","","","(4,992)"],["Less: Time deposits (1)","(829)","","","\u2014"],["Net debt","$","2,426","","","$","1,310"]] [[/GREPCENT_TABLE]] ____________________________ (1)Refer to Note 15 of the Consolidated Financial Statements for further information. Costs applicable to sales per ounce/gold equivalent ounce Costs applicable to sales per ounce/gold equivalent ounce are non-GAAP financial measures. These measures are calculated by dividing the costs applicable to sales of gold and other metals by gold ounces or gold equivalent ounces sold, respectively. These measures are calculated for the periods presented on a consolidated basis. We believe that these measures provide additional information to management, investors and others that aids in the understanding of the economics of our operations and performance compared to other producers and provides investors visibility into the direct and indirect costs related to production, excluding depreciation and amortization, on a per ounce/gold equivalent ounce basis. Costs applicable to sales per ounce/gold equivalent ounce statistics are intended to provide additional information only and do not have any standardized meaning prescribed by GAAP and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP. The measures are not necessarily indicative of operating profit or cash flow from operations as determined under GAAP. Other companies may calculate these measures differently. The following tables reconcile these non-GAAP measures to the most directly comparable GAAP measures. 96 Table of Contents [[GREPCENT_TABLE]] [["","Gold (1)","","GEO (2)"],["","Year Ended December 31,","","Year Ended December 31,"],["","2022","","2021","","2020","","2022","","2021","","2020"],["Costs applicable to sales (3)","$","5,423","","","$","4,628","","","$","4,408","","","$","1,045","","","$","807","","","$","606"],["Gold/GEO sold (thousand ounces) (4)","5,812","","","5,897","","","5,831","","","1,275","","","1,258","","","1,062"],["Costs applicable to sales per ounce (5)","$","933","","","$","785","","","$","756","","","$","819","","","$","640","","","$","571"]] [[/GREPCENT_TABLE]] ____________________________ (1)Includes by-product credits of $109, $187 and $128 in 2022, 2021, and 2020, respectively. (2)Includes by-product credits of $8, $7 and $2 in 2022, 2021, and 2020, respectively. (3)Excludes Depreciation and amortization and Reclamation and remediation. (4)Gold equivalent ounces is calculated as pounds or ounces produced multiplied by the ratio of the other metals price to the gold price, using Gold ($1,200/oz.), Copper ($3.25/lb.), Silver ($23.00/oz.), Lead ($0.95/lb.) and Zinc ($1.15/lb.) pricing for 2022, Gold ($1,200/oz.), Copper ($2.75/lb.), Silver ($22.00/oz.), Lead ($0.90/lb.) and Zinc ($1.05/lb.) pricing for 2021 and Gold ($1,200/oz.), Copper ($2.75/lb.), Silver ($16.00/oz.), Lead ($0.95/lb.) and Zinc ($1.20/lb.) pricing for 2020. (5)Per ounce measures may not recalculate due to rounding. All-In Sustaining Costs Current GAAP measures used in the mining industry, such as cost of goods sold, do not capture all of the expenditures incurred to discover, develop and sustain production. Therefore, Newmont calculates All-In Sustaining Costs (“AISC”) based on the definition published by the World Gold Council. The World Gold Council is a market development organization for the gold industry comprised of and funded by gold mining companies around the world and a regulatory organization. AISC is a metric that expands on GAAP measures, such as cost of goods sold, and non-GAAP measures, such as costs applicable to sales per ounce, to provide visibility into the economics of our mining operations related to expenditures, operating performance and the ability to generate cash flow from our continuing operations. We believe that AISC is a non-GAAP measure that provides additional information to management, investors and others that aids in the understanding of the economics of our operations and performance compared to other producers and provides investors visibility by better defining the total costs associated with production. AISC amounts are intended to provide additional information only and do not have any standardized meaning prescribed by GAAP and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP. The measures are not necessarily indicative of operating profit or cash flow from operations as determined under GAAP. Other companies may calculate these measures differently as a result of differences in the underlying accounting principles, policies applied and in accounting frameworks such as in IFRS, or by reflecting the benefit from selling non-gold metals as a reduction to AISC. Differences may also arise related to definitional differences of sustaining versus development (i.e. non-sustaining) activities based upon each company’s internal policies. The following disclosure provides information regarding the adjustments made in determining the All-In Sustaining Costs measure: Costs applicable to sales. Includes all direct and indirect costs related to current production incurred to execute the current mine plan. We exclude certain exceptional or unusual amounts from CAS, such as significant revisions to recovery amounts. CAS includes by-product credits from certain metals obtained during the process of extracting and processing the primary ore-body. CAS is accounted for on an accrual basis and excludes Depreciation and amortization and Reclamation and remediation, which is consistent with our presentation of CAS on the Consolidated Statements of Operations. In determining AISC, only the CAS associated with producing and selling an ounce of gold is included in the measure. Therefore, the amount of gold CAS included in AISC is derived from the CAS presented in the Company’s Consolidated Statements of Operations less the amount of CAS attributable to the production of other metals. The other metals' CAS at those mine sites is disclosed in Note 3 of the Consolidated Financial Statements. The allocation of CAS between gold and other metals is based upon the relative sales value of gold and other metals produced during the period. Reclamation costs. Includes accretion expense related to reclamation liabilities and the amortization of the related ARC for the Company’s operating properties. Accretion related to the reclamation liabilities and the amortization of the ARC assets for reclamation does not reflect annual cash outflows but are calculated in accordance with GAAP. The accretion and amortization reflect the periodic costs of reclamation associated with current production and are therefore included in the measure. The allocation of these costs to gold and other metals is determined using the same allocation used in the allocation of CAS between gold and other metals. Advanced projects, research and development and exploration. Includes incurred expenses related to projects that are designed to sustain current production and exploration. We note that as current resources are depleted, exploration and advanced projects are necessary for us to replace the depleting reserves or enhance the recovery and processing of the current reserves to sustain production at existing operations. As these costs relate to sustaining our production, and are considered a continuing cost of a mining company, these costs are included in the AISC measure. These costs are derived from the Advanced projects, research and development and Exploration amounts presented in the Consolidated Statements of Operations less incurred expenses related to the 97 Table of Contents development of new operations, or related to major projects at existing operations where these projects will materially benefit the operation in the future. The allocation of these costs to gold and other metals is determined using the same allocation used in the allocation of CAS between gold and other metals. We also allocate these costs incurred at the Other North America, Other Australia and Corporate and Other locations using the proportion of CAS between gold and other metals. General and administrative. Includes costs related to administrative tasks not directly related to current production, but rather related to supporting our corporate structure and fulfilling our obligations to operate as a public company. Including these expenses in the AISC metric provides visibility of the impact that general and administrative activities have on current operations and profitability on a per ounce basis. We allocate these costs to gold and other metals at the Other North America, Other Australia and Corporate and Other locations using the proportion of CAS between gold and other metals. Other expense, net. For Other expense, net we include care and maintenance costs relating to direct operating costs incurred at the mine sites during the period that these sites were temporarily placed into care and maintenance in response to the COVID-19 pandemic and exclude certain exceptional or unusual expenses, such as restructuring, as these are not indicative to sustaining our current operations. Furthermore, this adjustment to Other expense, net is also consistent with the nature of the adjustments made to Net income (loss) attributable to Newmont stockholders as disclosed in the Company’s non-GAAP financial measure Adjusted net income (loss). The allocation of these costs to gold and other metals is determined using the same allocation used in the allocation of CAS between gold and other metals. Treatment and refining costs. Includes costs paid to smelters for treatment and refining of our concentrates to produce the salable metal. These costs are presented net as a reduction of Sales on the Consolidated Statements of Operations. The allocation of these costs to gold and other metals is determined using the same allocation used in the allocation of CAS between gold and other metals. Sustaining capital and finance lease payments. We determined sustaining capital and finance lease payments as those capital expenditures and finance lease payments that are necessary to maintain current production and execute the current mine plan. We determined development (i.e. non-sustaining) capital expenditures and finance lease payments to be those payments used to develop new operations or related to projects at existing operations where those projects will materially benefit the operation and are excluded from the calculation of AISC. The classification of sustaining and development capital projects and finance leases is based on a systematic review of our project portfolio in light of the nature of each project. Sustaining capital and finance lease payments are relevant to the AISC metric as these are needed to maintain the Company’s current operations and provide improved transparency related to our ability to finance these expenditures from current operations. The allocation of these costs to gold and other metals is determined using the same allocation used in the allocation of CAS between gold and other metals. We also allocate these costs incurred at the Other North America, Other Australia and Corporate and Other locations using the proportion of CAS between gold and other metals. 98 Table of Contents [[GREPCENT_TABLE]] [["Year Ended December 31, 2022","Costs Applicable to Sales (1)(2)(3)","","Reclamation Costs (4)","","Advanced Projects, Research and Development and Exploration (5)","","General and Administrative","","Other Expense, Net (6)(7)","","Treatment and Refining Costs","","Sustaining Capital and Lease Related Costs (8)(9)","","All-In Sustaining Costs","","Ounces (000) Sold","","All-In Sustaining Costs Per oz. (11)"],["Gold"],["CC&V","$","241","","","$","16","","","$","10","","","$","\u2014","","","$","3","","","$","\u2014","","","$","45","","","$","315","","","185","","","$","1,697"],["Musselwhite","195","","","5","","","8","","","\u2014","","","1","","","\u2014","","","53","","","262","","","172","","","1,531"],["Porcupine","281","","","6","","","11","","","\u2014","","","\u2014","","","\u2014","","","52","","","350","","","280","","","1,248"],["\u00c9l\u00e9onore","266","","","9","","","5","","","\u2014","","","3","","","\u2014","","","63","","","346","","","217","","","1,599"],["Pe\u00f1asquito (10)","442","","","10","","","4","","","1","","","3","","","23","","","72","","","555","","","573","","","968"],["Other North America","\u2014","","","\u2014","","","1","","","6","","","1","","","\u2014","","","\u2014","","","8","","","\u2014","","","\u2014"],["North America","1,425","","","46","","","39","","","7","","","11","","","23","","","285","","","1,836","","","1,427","","","1,287"],["Yanacocha","313","","","19","","","2","","","1","","","11","","","\u2014","","","23","","","369","","","250","","","1,477"],["Merian","369","","","6","","","11","","","\u2014","","","2","","","\u2014","","","57","","","445","","","403","","","1,105"],["Cerro Negro","283","","","5","","","1","","","2","","","10","","","\u2014","","","54","","","355","","","281","","","1,262"],["Other South America","\u2014","","","\u2014","","","\u2014","","","9","","","\u2014","","","\u2014","","","\u2014","","","9","","","\u2014","","","\u2014"],["South America","965","","","30","","","14","","","12","","","23","","","\u2014","","","134","","","1,178","","","934","","","1,262"],["Boddington","652","","","17","","","5","","","\u2014","","","2","","","16","","","56","","","748","","","813","","","921"],["Tanami","328","","","2","","","7","","","\u2014","","","6","","","\u2014","","","124","","","467","","","486","","","960"],["Other Australia","\u2014","","","\u2014","","","2","","","8","","","\u2014","","","\u2014","","","9","","","19","","","\u2014","","","\u2014"],["Australia","980","","","19","","","14","","","8","","","8","","","16","","","189","","","1,234","","","1,299","","","950"],["Ahafo","566","","","11","","","5","","","\u2014","","","2","","","\u2014","","","90","","","674","","","572","","","1,178"],["Akyem","334","","","35","","","2","","","\u2014","","","1","","","\u2014","","","32","","","404","","","415","","","972"],["Other Africa","\u2014","","","\u2014","","","3","","","9","","","1","","","\u2014","","","3","","","16","","","\u2014","","","\u2014"],["Africa","900","","","46","","","10","","","9","","","4","","","\u2014","","","125","","","1,094","","","987","","","1,108"],["NGM","1,153","","","9","","","15","","","10","","","\u2014","","","4","","","230","","","1,421","","","1,165","","","1,220"],["Nevada","1,153","","","9","","","15","","","10","","","\u2014","","","4","","","230","","","1,421","","","1,165","","","1,220"],["Corporate and Other","\u2014","","","\u2014","","","70","","","192","","","1","","","\u2014","","","12","","","275","","","\u2014","","","\u2014"],["Total Gold","$","5,423","","","$","150","","","$","162","","","$","238","","","$","47","","","$","43","","","$","975","","","$","7,038","","","5,812","","","$","1,211"],["Gold equivalent ounces - other metals (12)"],["Pe\u00f1asquito (10)","$","864","","","$","19","","","$","10","","","$","1","","","$","5","","","$","130","","","$","132","","","$","1,161","","","1,044","","","$","1,112"],["Other North America","\u2014","","","\u2014","","","\u2014","","","2","","","\u2014","","","\u2014","","","\u2014","","","2","","","\u2014","","","\u2014"],["North America","864","","","19","","","10","","","3","","","5","","","130","","","132","","","1,163","","","1,044","","","1,115"],["Boddington","181","","","2","","","2","","","\u2014","","","\u2014","","","10","","","12","","","207","","","231","","","894"],["Other Australia","\u2014","","","\u2014","","","\u2014","","","2","","","\u2014","","","\u2014","","","1","","","3","","","\u2014","","","\u2014"],["Australia","181","","","2","","","2","","","2","","","\u2014","","","10","","","13","","","210","","","231","","","909"],["Corporate and Other","\u2014","","","\u2014","","","11","","","33","","","1","","","\u2014","","","3","","","48","","","\u2014","","","\u2014"],["Total Gold Equivalent Ounces","$","1,045","","","$","21","","","$","23","","","$","38","","","$","6","","","$","140","","","$","148","","","$","1,421","","","1,275","","","$","1,114"],["Consolidated","$","6,468","","","$","171","","","$","185","","","$","276","","","$","53","","","$","183","","","$","1,123","","","$","8,459"]] [[/GREPCENT_TABLE]] ____________________________ (1)Excludes Depreciation and amortization and Reclamation and remediation. (2)Includes by-product credits of $117 and excludes co-product revenues of $1,499. (3)Includes stockpile and leach pad inventory adjustments of $37 at CC&V, $37 at Yanacocha, $3 at Merian, $9 at Ahafo, $19 at Akyem, and $51 at NGM. (4)Reclamation costs include operating accretion and amortization of asset retirement costs of $65 and $106, respectively, and exclude accretion and reclamation and remediation adjustments at former operating properties and historic mining operations that have entered the closure phase and have no substantive future economic value of $114 and $742, respectively. 99 Table of Contents (5)Advanced projects, research and development and Exploration excludes development expenditures of $1 at CC&V, $3 at Porcupine, $5 at Peñasquito, $3 at Other North America, $20 at Yanacocha, $10 at Merian, $24 at Cerro Negro, $40 at Other South America, $21 at Tanami, $16 at Other Australia, $21 at Ahafo, $12 at Akyem, $17 at NGM and $82 at Corporate and Other, totaling $275 related to developing new operations or major projects at existing operations where these projects will materially benefit the operation. (6)Other expense, net includes incremental COVID-19 costs incurred as a result of actions taken to protect against the impacts of the COVID-19 pandemic at our operational sites of $11 for North America, $16 for South America and $8 for Australia, totaling $35. (7)Other expense, net is adjusted for settlement costs of $22, restructuring and severance costs of $4 and distributions from the Newmont Global Community Support Fund of $3. (8)Includes sustaining capital expenditures of $369 for North America, $133 for South America, $189 for Australia, $121 for Africa, $230 for Nevada, and $17 for Corporate and Other, totaling $1,059 and excludes development capital expenditures, capitalized interest and the change in accrued capital totaling $1,072. Refer to Liquidity and Capital Resources above for discussion of major development projects. (9)Includes finance lease payments for sustaining projects of $64 and excludes finance lease payments for development projects of $36. (10)Costs applicable to sales includes $70 related to the Peñasquito Profit-Sharing Agreement associated with 2021 site performance. For further information, refer to Note 3 of the Consolidated Financial Statements. (11)Per ounce measures may not recalculate due to rounding. (12)Gold equivalent ounces is calculated as pounds or ounces produced multiplied by the ratio of the other metals price to the gold price, using Gold ($1,200/oz.), Copper ($3.25/lb.), Silver ($23.00/oz.), Lead ($0.95/lb.) and Zinc ($1.15/lb.) pricing for 2022. 100 Table of Contents [[GREPCENT_TABLE]] [["Year Ended December 31, 2021","Costs Applicable to Sales (1)(2)(3)","","Reclamation Costs (4)","","Advanced Projects, Research and Development and Exploration (5)","","General and Administrative","","Other Expense, Net (6)(7)(8)","","Treatment and Refining Costs","","Sustaining Capital and Lease Related Costs (9)(10)","","All-In Sustaining Costs","","Ounces (000) Sold","","All-In Sustaining Costs Per oz. (11)"],["Gold"],["CC&V","$","238","","","$","7","","","$","9","","","$","\u2014","","","$","\u2014","","","$","\u2014","","","$","41","","","$","295","","","220","","","$","1,338"],["Musselwhite","157","","","2","","","7","","","\u2014","","","1","","","\u2014","","","39","","","206","","","154","","","1,335"],["Porcupine","269","","","5","","","13","","","\u2014","","","\u2014","","","\u2014","","","43","","","330","","","287","","","1,152"],["\u00c9l\u00e9onore","237","","","3","","","2","","","\u2014","","","5","","","\u2014","","","63","","","310","","","247","","","1,256"],["Pe\u00f1asquito","395","","","6","","","1","","","\u2014","","","7","","","31","","","65","","","505","","","720","","","702"],["Other North America","\u2014","","","\u2014","","","\u2014","","","5","","","3","","","\u2014","","","\u2014","","","8","","","\u2014","","","\u2014"],["North America","1,296","","","23","","","32","","","5","","","16","","","31","","","251","","","1,654","","","1,628","","","1,016"],["Yanacocha","232","","","66","","","6","","","\u2014","","","30","","","1","","","20","","","355","","","263","","","1,355"],["Merian","326","","","5","","","5","","","\u2014","","","5","","","\u2014","","","47","","","388","","","434","","","895"],["Cerro Negro","243","","","6","","","\u2014","","","\u2014","","","23","","","\u2014","","","60","","","332","","","267","","","1,247"],["Other South America","\u2014","","","\u2014","","","1","","","10","","","2","","","\u2014","","","\u2014","","","13","","","\u2014","","","\u2014"],["South America","801","","","77","","","12","","","10","","","60","","","1","","","127","","","1,088","","","964","","","1,130"],["Boddington","607","","","11","","","7","","","\u2014","","","\u2014","","","13","","","102","","","740","","","685","","","1,083"],["Tanami","278","","","2","","","5","","","\u2014","","","17","","","\u2014","","","116","","","418","","","488","","","855"],["Other Australia","\u2014","","","\u2014","","","\u2014","","","9","","","1","","","\u2014","","","6","","","16","","","\u2014","","","\u2014"],["Australia","885","","","13","","","12","","","9","","","18","","","13","","","224","","","1,174","","","1,173","","","1,002"],["Ahafo","425","","","8","","","5","","","\u2014","","","5","","","\u2014","","","79","","","522","","","480","","","1,084"],["Akyem","261","","","30","","","4","","","\u2014","","","1","","","\u2014","","","49","","","345","","","378","","","913"],["Other Africa","\u2014","","","\u2014","","","2","","","8","","","1","","","\u2014","","","\u2014","","","11","","","\u2014","","","\u2014"],["Africa","686","","","38","","","11","","","8","","","7","","","\u2014","","","128","","","878","","","858","","","1,022"],["NGM","960","","","8","","","13","","","10","","","3","","","2","","","172","","","1,168","","","1,274","","","918"],["Nevada","960","","","8","","","13","","","10","","","3","","","2","","","172","","","1,168","","","1,274","","","918"],["Corporate and Other","\u2014","","","\u2014","","","94","","","181","","","1","","","\u2014","","","22","","","298","","","\u2014","","","\u2014"],["Total Gold","$","4,628","","","$","159","","","$","174","","","$","223","","","$","105","","","$","47","","","$","924","","","$","6,260","","","5,897","","","$","1,062"],["Gold equivalent ounces - other metals (12)"],["Pe\u00f1asquito","$","664","","","$","9","","","$","2","","","$","1","","","$","11","","","$","115","","","$","106","","","$","908","","","1,100","","","$","824"],["Other North America","\u2014","","","\u2014","","","\u2014","","","2","","","\u2014","","","\u2014","","","\u2014","","","2","","","\u2014","","","\u2014"],["North America","664","","","9","","","2","","","3","","","11","","","115","","","106","","","910","","","1,100","","","826"],["Boddington","143","","","2","","","1","","","\u2014","","","\u2014","","","7","","","19","","","172","","","158","","","1,098"],["Other Australia","\u2014","","","\u2014","","","\u2014","","","1","","","\u2014","","","\u2014","","","1","","","2","","","\u2014","","","\u2014"],["Australia","143","","","2","","","1","","","1","","","\u2014","","","7","","","20","","","174","","","158","","","1,112"],["Corporate and Other","\u2014","","","\u2014","","","14","","","32","","","\u2014","","","\u2014","","","3","","","49","","","\u2014","","","\u2014"],["Total Gold Equivalent Ounces","$","807","","","$","11","","","$","17","","","$","36","","","$","11","","","$","122","","","$","129","","","$","1,133","","","1,258","","","$","900"],["Consolidated","$","5,435","","","$","170","","","$","191","","","$","259","","","$","116","","","$","169","","","$","1,053","","","$","7,393"]] [[/GREPCENT_TABLE]] ____________________________ (1)Excludes Depreciation and amortization and Reclamation and remediation. (2)Includes by-product credits of $194 and excludes co-product revenues of $1,679. (3)Includes stockpile and leach pad inventory adjustments of $16 at CC&V, $18 at Yanacocha and $11 at NGM. (4)Reclamation costs include operating accretion and amortization of asset retirement costs of $79 and $91, respectively, and exclude accretion and reclamation and remediation adjustments at former operating properties and historic mining operations that have entered the closure phase and have no substantive future economic value of $52 and $1,715, respectively. 101 Table of Contents (5)Advanced projects, research and development and Exploration excludes development expenditures of $9 at CC&V, $4 at Porcupine, $3 at Éléonore, $5 at Peñasquito, $5 at Other North America, $12 at Yanacocha, $6 at Merian, $9 at Cerro Negro, $34 at Other South America, $19 at Tanami, $16 at Other Australia, $17 at Ahafo, $6 at Akyem, $17 at NGM and $10 at Corporate and Other, totaling $172 related to developing new operations or major projects at existing operations where these projects will materially benefit the operation. (6)Other expense, net includes $8 at Tanami of cash care and maintenance costs associated with the sites temporarily being placed into care and maintenance or operating at reduced levels in response to the COVID-19 pandemic, during the period ended December 31, 2021 that we would have continued to incur if the sites were not temporarily placed into care and maintenance. (7)Other expense, net includes incremental COVID-19 costs incurred as a result of actions taken to protect against the impacts of the COVID-19 pandemic at our operational sites of $23 for North America, $46 for South America, $8 for Australia and $5 for Africa, totaling $82. (8)Other expense, net is adjusted for settlement costs of $11, restructuring and severance costs of $11 and incremental costs of responding to the COVID-19 pandemic of $5. (9)Includes sustaining capital expenditures of $309 for North America, $127 for South America, $228 for Australia, $125 for Africa, $171 for Nevada, and $25 for Corporate and Other, totaling $985 and excludes development capital expenditures, capitalized interest and the change in accrued capital totaling $668. Refer to Liquidity and Capital Resources above for discussion of major development projects. (10)Includes finance lease payments for sustaining projects of $68 and excludes finance lease payments for development projects of $41. (11)Per ounce measures may not recalculate due to rounding. (12)Gold equivalent ounces is calculated as pounds or ounces produced multiplied by the ratio of the other metals price to the gold price, using Gold ($1,200/oz.), Copper ($2.75/lb.), Silver ($22.00/oz.), Lead ($0.90/lb.) and Zinc ($1.05/lb.) pricing for 2021. 102 Table of Contents [[GREPCENT_TABLE]] [["Year Ended December 31, 2020","Costs Applicable to Sales (1)(2)(3)","","Reclamation Costs (4)","","Advanced Projects, Research and Development and Exploration (5)","","General and Administrative","","Other Expense, Net (6)(7)","","Treatment and Refining Costs","","Sustaining Capital and Lease Related Costs (8)(9)","","All-In Sustaining Costs","","Ounces (000) Sold","","All-In Sustaining CostsPer oz. (10)"],["Gold"],["CC&V","$","245","","","$","6","","","$","11","","","$","\u2014","","","$","1","","","$","\u2014","","","$","41","","","$","304","","","270","","","$","1,125"],["Red Lake","45","","","\u2014","","","1","","","\u2014","","","\u2014","","","\u2014","","","4","","","50","","","42","","","1,182"],["Musselwhite","117","","","2","","","7","","","\u2014","","","25","","","\u2014","","","27","","","178","","","97","","","1,838"],["Porcupine","244","","","2","","","14","","","\u2014","","","\u2014","","","\u2014","","","39","","","299","","","319","","","935"],["\u00c9l\u00e9onore","181","","","2","","","4","","","\u2014","","","26","","","\u2014","","","45","","","258","","","208","","","1,248"],["Pe\u00f1asquito","286","","","4","","","\u2014","","","\u2014","","","20","","","48","","","53","","","411","","","512","","","806"],["Other North America","\u2014","","","\u2014","","","4","","","10","","","3","","","\u2014","","","1","","","18","","","\u2014","","","\u2014"],["North America","1,118","","","16","","","41","","","10","","","75","","","48","","","210","","","1,518","","","1,448","","","1,049"],["Yanacocha","345","","","57","","","9","","","1","","","30","","","\u2014","","","37","","","479","","","339","","","1,414"],["Merian","328","","","4","","","4","","","1","","","\u2014","","","\u2014","","","41","","","378","","","464","","","813"],["Cerro Negro","166","","","3","","","2","","","\u2014","","","60","","","\u2014","","","33","","","264","","","231","","","1,147"],["Other South America","\u2014","","","\u2014","","","3","","","10","","","3","","","\u2014","","","\u2014","","","16","","","\u2014","","","\u2014"],["South America","839","","","64","","","18","","","12","","","93","","","\u2014","","","111","","","1,137","","","1,034","","","1,100"],["Boddington","579","","","13","","","3","","","\u2014","","","\u2014","","","11","","","125","","","731","","","668","","","1,094"],["Tanami","251","","","1","","","10","","","\u2014","","","\u2014","","","\u2014","","","104","","","366","","","492","","","745"],["Other Australia","\u2014","","","\u2014","","","1","","","12","","","1","","","\u2014","","","7","","","21","","","\u2014","","","\u2014"],["Australia","830","","","14","","","14","","","12","","","1","","","11","","","236","","","1,118","","","1,160","","","964"],["Ahafo","375","","","9","","","2","","","1","","","2","","","\u2014","","","78","","","467","","","476","","","980"],["Akyem","234","","","24","","","1","","","\u2014","","","1","","","\u2014","","","26","","","286","","","377","","","757"],["Other Africa","\u2014","","","\u2014","","","\u2014","","","7","","","\u2014","","","\u2014","","","\u2014","","","7","","","\u2014","","","\u2014"],["Africa","609","","","33","","","3","","","8","","","3","","","\u2014","","","104","","","760","","","853","","","890"],["NGM","1,012","","","12","","","23","","","10","","","2","","","10","","","160","","","1,229","","","1,336","","","920"],["Nevada","1,012","","","12","","","23","","","10","","","2","","","10","","","160","","","1,229","","","1,336","","","920"],["Corporate and Other","\u2014","","","\u2014","","","75","","","217","","","\u2014","","","\u2014","","","42","","","334","","","\u2014","","","\u2014"],["Total Gold","$","4,408","","","$","139","","","$","174","","","$","269","","","$","174","","","$","69","","","$","863","","","$","6,096","","","5,831","","","$","1,045"],["Gold equivalent ounces - other metals (11)"],["Pe\u00f1asquito","$","499","","","$","7","","","$","1","","","$","\u2014","","","$","19","","","$","142","","","$","106","","","$","774","","","934","","","$","828"],["Boddington","107","","","2","","","\u2014","","","\u2014","","","\u2014","","","6","","","23","","","138","","","128","","","1,080"],["Total Gold Equivalent Ounces","$","606","","","$","9","","","$","1","","","$","\u2014","","","$","19","","","$","148","","","$","129","","","$","912","","","1,062","","","$","858"],["Consolidated","$","5,014","","","$","148","","","$","175","","","$","269","","","$","193","","","$","217","","","$","992","","","$","7,008"]] [[/GREPCENT_TABLE]] ____________________________ (1)Excludes Depreciation and amortization and Reclamation and remediation. (2)Includes by-product credits of $130 and excludes co-product revenues of $1,147. (3)Includes stockpile and leach pad inventory adjustments of $18 at Yanacocha and $24 at NGM. (4)Reclamation costs include operating accretion and amortization of asset retirement costs of $88 and $60, respectively, and exclude accretion and reclamation and remediation adjustments at former operating properties and historic mining operations that have entered the closure phase and have no substantive future economic value of $52 and $226, respectively. (5)Advanced projects, research and development and Exploration excludes development expenditures of $4 at CC&V, $3 at Porcupine, $1 at Éléonore, $2 at Peñasquito, $4 at Other North America, $3 at Yanacocha, $7 at Merian, $2 at Cerro Negro, $28 at Other South America, $6 at Tanami, $15 at Other Australia, $20 at Ahafo, $8 at Akyem, $3 at Other Africa, $19 at NGM and $9 at Corporate and Other, totaling $134 related to developing new operations or major projects at existing operations where these projects will materially benefit the operation. (6)Other expense, net includes $28 at Musselwhite, $26 at Éléonore, $38 at Peñasquito, $27 at Yanacocha, $56 at Cerro Negro and $3 at Other South America of cash care and maintenance costs associated with the sites temporarily being placed into care and maintenance or operating at reduced levels in response to the COVID-19 pandemic, during the period ended December 31, 2020 that we would have continued to incur if the sites were not temporarily placed into care and maintenance. 103 Table of Contents (7)Other expense, net is adjusted for incremental costs of responding to the COVID-19 pandemic of $92, settlement costs of $58, Goldcorp transaction and integration costs of $23 and restructuring and severance of $18. (8)Includes sustaining capital expenditures of $269 for North America, $111 for South America, $248 for Australia, $103 for Africa, $160 for Nevada, and $42 for Corporate and Other, totaling $933 and excludes development capital expenditures, capitalized interest and the change in accrued capital totaling $369. Refer to Liquidity and Capital Resources above for discussion of major development projects. (9)Includes finance lease payments for sustaining projects of $59 and excludes finance lease payments for development projects of $38. (10)Per ounce measures may not recalculate due to rounding. (11)Gold equivalent ounces is calculated as pounds or ounces produced multiplied by the ratio of the other metals price to the gold price, using Gold ($1,200/oz.), Copper ($2.75/lb.), Silver ($16.00/oz.), Lead ($0.95/lb.) and Zinc ($1.20/lb.) pricing for 2020. Accounting Developments For a discussion of Recently Adopted and Recently Issued Accounting Pronouncements, refer to Note 2 to the Consolidated Financial Statements. Critical Accounting Estimates Our discussion of financial condition and results of operations is based upon the information reported in our Consolidated Financial Statements. The preparation of these Consolidated Financial Statements in conformity with GAAP requires us to make assumptions and estimates that affect the reported amounts of assets, liabilities, revenues, and expenses, as well as the disclosure of contingent assets and liabilities as of the date of our financial statements. We have identified the accounting estimates listed below as critical to understanding and evaluating the financial results reported in our Consolidated Financial Statements. These accounting estimates require the application of significant management judgment and are critical due to the significant level of estimation uncertainty regarding the assumptions involved and the magnitude of the asset, liability, revenue or expense being reported. We base our assumptions and estimates on historical experience and various other sources that we believe to be reasonable under the circumstances. We review the underlying factors used in our estimates regularly, including reviewing the significant accounting policies impacting the estimates, to ensure compliance with GAAP. However, due to the uncertainty inherent in our estimates, actual results may materially differ from the estimates we calculate due to changes in circumstances, global economics and politics, and general business conditions. A summary of our significant accounting policies is detailed in Note 2 to the Consolidated Financial Statements.  Depreciation and amortization Expenditures for new facilities or equipment and expenditures that extend the useful lives of existing facilities or equipment are capitalized and depreciated using the straight-line method at rates sufficient to amortize such costs over the estimated future lives of such facilities or equipment and their components. Facilities and equipment acquired as a part of a finance lease, build-to-suit or other financing arrangement are recorded based on the contractual lease terms. The facilities and equipment are depreciated using the straight-line method at rates sufficient to depreciate such costs over the lesser of the lease terms or the estimated productive lives of such facilities. These lives do not exceed the estimated mine life based on proven and probable reserves as the useful lives of these assets are considered to be limited to the life of the relevant mine. Costs incurred to develop new properties are capitalized as incurred where it has been determined that the property can be economically developed based on the existence of proven and probable reserves. At our surface mines, these costs include costs to further delineate the ore body and remove overburden to initially expose the ore body. At our underground mines, these costs include the cost of building access ways, shaft sinking and access, lateral development, drift development, ramps and infrastructure development. All such costs are amortized using the UOP method over the estimated life of the ore body based on estimated recoverable ounces or pounds to be produced from proven and probable reserves. Major mine development costs incurred after the commencement of production that are capitalized are amortized using the UOP method based on estimated recoverable ounces or pounds to be produced from proven and probable reserves. To the extent that such costs benefit the entire ore body, they are amortized over the estimated recoverable ounces or pounds in proven and probable reserves of the entire ore body. Costs incurred to access specific ore blocks or areas that only provide benefit over the life of that block or area are amortized over the estimated recoverable ounces or pounds in proven and probable reserves of that specific ore block or area. Capitalized asset retirement costs incurred are amortized according to how the related assets are being depreciated. Open pit and underground mining costs are amortized using the UOP method based on recoverable ounces by source. Other costs, including leaching facilities, tailing facilities, and mills and other infrastructure costs, are amortized using the straight-line method over the same estimated future lives of the associated assets. The calculation of the UOP rate of amortization, and therefore the annual amortization charge to operations, could be materially impacted to the extent that actual production in the future is different from current forecasts of production based on proven and probable reserves. This would generally occur to the extent that there were significant changes in any of the factors or assumptions used in determining reserves. These changes could include: (i) an expansion of proven and probable reserves through exploration activities; (ii) differences between estimated and actual costs of production, due to differences in grade, metal recovery rates and foreign currency exchange rates; and (iii) differences between actual commodity prices and commodity price assumptions 104 Table of Contents used in the estimation of reserves. If reserves decreased significantly, amortization charged to operations would increase; conversely, if reserves increased significantly, amortization charged to operations would decrease. Such changes in reserves could similarly impact the useful lives of assets depreciated on a straight-line basis, where those lives are limited to the life of the mine, which in turn is limited to the life of the proven and probable reserves. The expected useful lives used in depreciation and amortization calculations are determined based on applicable facts and circumstances, as described above. Significant judgment is involved in the determination of useful lives, and no assurance can be given that actual useful lives will not differ significantly from the useful lives assumed for the purpose of depreciation and amortization calculations. Carrying value of 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. We generally process the highest ore grade material first to maximize metal production; however, a blend of 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, 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. We record stockpiles 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 that are applied to expected short-term (12 months or less) and long-term sales from stockpiles, less estimated costs to complete production and bring the product to sale. The primary factors that influence the need to record write-downs of stockpiles include declines in short-term or long-term metals prices, increases in costs for production inputs such as labor, fuel and energy, materials and supplies, as well as realized mineral grades and recovery rates. The significant assumption in determining the stockpile net realizable value for each mine site at December 31, 2022 is a long-term gold price of $1,600 per ounce. A decrease of $100 per ounce in the long-term gold price assumption could result in an impairment of the carrying value of our stockpiles of up to approximately $70. Other assumptions include future operating and capital costs, metal recoveries, production levels, commodity prices, proven and probable reserve quantities, engineering data and other factors unique to each operation based on the life of mine plans, as well as long-term commodity prices and applicable U.S. dollar long-term exchange rates. If short-term and long-term commodity prices decrease, estimated future processing costs increase, or other negative factors occur, it may be necessary to record a write-down of stockpiles. A high degree of judgment is involved in determining such assumptions and estimates and no assurance can be given that actual results will not differ significantly from those estimates and assumptions. Refer to Note 17 of the Consolidated Financial Statements for further information regarding stockpiles. Carrying value of 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, copper or silver. 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 or pounds are recovered based on the average cost per estimated recoverable ounce of gold or silver 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, our operating results have not been materially impacted by variations between the estimated and actual recoverable quantities of metal on our 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. The significant assumption in determining the net realizable value for each mine site at December 31, 2022 is a long-term gold price of $1,600 per ounce. A decrease of $100 per ounce in the long-term gold price assumption would not result in a material write-down of the carrying value of the leach pads. Other assumptions include future operating and capital costs, metal recoveries, production levels, proven and probable reserve quantities, engineering data and other factors unique to each operation based on the life of mine plans, as well as a long-term metal 105 Table of Contents prices. If short-term and long-term commodity prices decrease, estimated future processing costs increase, or other negative factors occur, it may be necessary to record a write-down of ore on leach pads to net realizable value. Refer to Note 17 of the Consolidated Financial Statements for further information regarding ore on leach pads. Carrying value of long-lived assets We review and evaluate our long-lived assets for impairment when events or changes in circumstances indicate that the related carrying amounts may not be recoverable. Significant negative industry or economic trends, adverse social or political developments, declines in our market capitalization, geotechnical difficulties, reduced estimates of future cash flows from our reporting segments or other disruptions to our business are a few examples of events that we monitor, as they could indicate that the carrying value of the Company’s long-lived assets, including development projects, may not be recoverable. In such cases, a recoverability test may be necessary to determine if an impairment charge is required. For development projects, including our Conga project which is discussed further below, we review and evaluate changes to project plans and timing to determine continued technical, economic and social viability of the projects. If the Company determines to sell or abandon a project due to uncertainty from changes in circumstances related to technical, economic, social, political or community factors, or other evolving circumstances indicate that the carrying value may not be recoverable, then a recoverability test is performed to determine if an impairment charge should be recorded. 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 primarily considered Level 3 fair value measurements. Occasionally, such as when an asset is held for sale, market prices are used. We believe our 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 our mining operations are derived from current business plans, which are developed using short-term price forecasts reflective of the current price environment and our 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 reserve estimates; estimated future closure costs; the use of appropriate discount rates; and applicable U.S. dollar long-term exchange rates. Refer to Item 7A, Quantitative and Qualitative Disclosures About Market Risk. The significant assumption in determining the future cash flows for each mine site at December 31, 2022 is a long-term gold price of $1,600 per ounce. A decrease of $100 per ounce in the long-term gold price assumption could result in an impairment of our long-lived assets, including goodwill, of up to approximately $2,800 before consideration of other value beyond proven and probable reserves which may significantly decrease the amount of any potential impairment charge. As discussed above under Depreciation and amortization, various factors could impact our ability to achieve our forecasted production schedules from proven and probable reserves which could impact the carrying value of our long-lived assets. The ability to achieve the estimated quantities of recoverable minerals from exploration stage mineral interests involves further risks in addition to those factors applicable to mineral interests where proven and probable reserves have been identified, due to the lower level of confidence that the identified measured, indicated and inferred resources could ultimately be mined economically. Assets classified as exploration potential have the highest level of risk that the carrying value of the asset can be ultimately realized, due to the still lower level of geological confidence and economic modeling. Events that could result in additional impairment of our long-lived assets include, but are not limited to, decreases in future metal prices, unfavorable changes in foreign exchange rates, increases in future closure costs, and any event that might otherwise have a material adverse effect on mine site cash flows. Goodwill Goodwill represents the excess of the purchase price over the estimated fair value of the net assets acquired in a business acquisition. Goodwill is allocated to reporting units and tested for impairment annually as of December 31, 2022 and when events or changes in circumstances indicate that the carrying value of a reporting unit exceeds its fair value. Each operating mine is considered a distinct reporting unit for purposes of goodwill impairment testing. The Company may elect to perform a qualitative assessment when it is more likely than not that the fair value of a reporting unit is higher than its carrying value. At the Company's election or if it is determined to be more likely than not that the fair value is less than the carrying value, a quantitative goodwill impairment test is performed to determine the fair value of the reporting unit. The fair value of a reporting unit is determined using either the income approach utilizing estimates of discounted future cash flows or the market valuation approach utilizing recent transaction activity for comparable properties. These approaches are considered Level 3 fair value measurements. If the carrying amount of the reporting unit exceeds its fair value, an impairment loss is recognized in an amount equal to that excess, limited to the total amount of goodwill allocated to that reporting unit. Any impairment loss recognized in the 106 Table of Contents current period is not reversed in future periods. The Company recognizes its pro rata share of Goodwill and any subsequent goodwill impairment losses recorded by entities that are proportionately consolidated. When the income approach is utilized to determine fair value, the estimated cash flows used to assess the fair value of a reporting unit are derived from the Company’s 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. The significant assumption in determining the future cash flows for each mine site at December 31, 2022 is a long-term gold price of $1,600 per ounce. 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; the use of appropriate discount rates; and applicable U.S. dollar long-term exchange rates. Refer to Item 7A, Quantitative and Qualitative Disclosures About Market Risk.. Fair value determinations require considerable judgment and are sensitive to changes in underlying assumptions and factors. For testing purposes of our reporting units, management's best estimates of the expected future results are the primary driver in determining the fair value. However, there can be no assurance that the estimates and assumptions made for purposes of the goodwill impairment tests will prove to be an accurate prediction of the future. Examples of events or circumstances that could reasonably be expected to negatively affect the underlying key assumptions and ultimately impact the estimated fair value of our reporting units include, but are not limited to, such items as: (i) a decrease in forecasted production levels if we are unable to realize the mineable reserves, resources and exploration potential at our mining properties and extend the life of mine (ii) increased production or capital costs (iii) adverse changes in macroeconomic conditions including the market price of metals and changes in the equity and debt markets or country specific factors which could result in higher discount rates, (iv) significant unfavorable changes in tax rates including increased corporate income or mining tax rates, and (v) negative changes in regulation, legislation, and political environments which could impact our ability to operate in the future. While historical performance and current expectations have resulted in fair values of our reporting units equal to or in excess of carrying values, if our assumptions are not realized, it is possible that an impairment charge may need to be recorded in the future. Carrying value of Conga We review and evaluate the Company’s Conga development project for recoverability whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. We have considered a variety of technical, economic, social and political developments related to the Conga project during our evaluation of impairment indicators since November 2011, when construction and development activities at the project were largely suspended. Project activities in recent years have focused on continued engagement with the local communities and maintaining and protecting existing project infrastructure and equipment through our active care and maintenance program. Although we have reclassified Conga reserves to resources and reallocated exploration and development capital to other projects, we continue to evaluate long-term options to progress development of the Conga project and improve social and political acceptance. While we have reprioritized the Yanacocha Sulfides project ahead of the Conga project, we have delayed the full-funds decision and are currently in the process of assessing project plan options for the Yanacocha Sulfides project. The Company also periodically updates the economic model for its Conga project to understand changes to the estimated capital costs, cash flows, and economic returns from the project. As of December 31, 2022, we have not identified events or changes in circumstances that indicate that the carrying value of the Conga project is not recoverable. Derivative Instruments All financial instruments that meet the definition of a derivative are recorded on the balance sheet at fair value. Changes in the fair value of derivatives are recorded in the Consolidated Statements of Operations, except for the portion of the change in fair value of derivatives that are designated as cash flow hedges. Management applies judgment in estimating the fair value of instruments that are highly sensitive to assumptions such as commodity prices, market volatilities, foreign currency exchange rates and interest rates. Variations in these factors could materially affect amounts credited or charged to earnings to reflect the changes in fair value of derivatives. Certain derivative contracts are designated as effective cash flow hedges, whereby the changes in fair value of these instruments are deferred in Accumulated other comprehensive income (loss) and are reclassified to income in the Consolidated Statements of Operations when the underlying transaction designated as the hedged item impacts earnings. To the extent that management determines that the forecasted transactions are no longer probable of occurring, gains and losses deferred in Accumulated other comprehensive income (loss) would be reclassified to the Consolidated Statements of Operations immediately. Refer to Note 14 of the Consolidated Financial Statements for further information regarding derivative instruments. Reclamation and remediation obligations The Company records the estimated asset retirement obligations associated with operating and non-operating mine sites when an obligation is incurred and the fair value can be reasonably estimated. Fair value is measured as the present value of expected cash flow estimates, after considering inflation, our credit-adjusted risk-free rates and a market risk premium appropriate for our operations. Reclamation costs are allocated to expense over the life of the related assets and 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. Reclamation obligations are based on our best estimate of when the expected spending for an existing environmental disturbance will occur. Our cost estimates are reflected on a third-party cost basis and comply with our legal obligation 107 Table of Contents to retire long-lived assets in the period incurred. Changes in reclamation estimates at non-operating mines where the mine or portion of the mine site has entered the closure phase and has no substantive future economic value are reflected in earnings in the period an estimate is revised. Costs included in estimated asset retirement obligations are discounted to their present value and are estimated over a period of up to fifty years. We review, on at least an annual basis, the reclamation obligation at each mine. Remediation costs are accrued when it is probable that an obligation has been incurred and the cost can be reasonably estimated. Such cost estimates may include ongoing care, maintenance and monitoring costs. Changes in remediation estimates at non-operating mines 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 and are estimated over a period of up to fifty years. Accounting for reclamation and remediation obligations requires management to make estimates unique to each mining operation of the future costs the Company expects to incur to complete the reclamation and remediation work required to comply with existing laws and regulations. These estimates require considerable judgment and are sensitive to changes in underlying inputs and assumptions. Such changes, including, but not limited to, (i) changes to environmental laws and regulations, which could increase the scope and extent of work required, (ii) changes in the timing of reclamation and remediation activities, which could occur over an extended future period and (iii) changes in the methods and technology utilized to settle reclamation and remediation obligations, could have a material impact on our business, financial condition, results of operations and cash flows. Refer to Note 5 of the Consolidated Financial Statements for further information regarding reclamation and remediation obligations. Income and mining taxes We account for income taxes using the liability method, recognizing certain temporary differences between the financial reporting basis of our 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 us, as measured by the statutory tax rates in effect. We derive our 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. We have exposure to the impact of foreign exchange fluctuations on tax positions in certain jurisdictions, such movements are recorded within Income and mining tax benefit (expense) related to deferred income tax assets and liabilities, as well as non-current uncertain tax positions, while foreign exchange fluctuations impacting current tax positions are recorded within Other income (loss), net as foreign currency exchange gains (losses). With respect to the earnings that we derive from the operations of our 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. 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. Our 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. We are subject to reviews of our income tax filings and other tax payments, and disputes can arise with the taxing authorities over the interpretation of its contracts or laws. We recognize potential liabilities and record tax liabilities for anticipated tax audit issues in the U.S. and other tax jurisdictions based on our estimate of whether it is more likely than not, and the extent to which, additional taxes will be due. We adjust 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 our current estimate of the tax liabilities. If our 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. We recognize interest and penalties, if any, related to unrecognized tax benefits in Income and mining tax benefit (expense). In certain jurisdictions, we 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 we believe the amount is ultimately collectible. Valuation of deferred tax assets Our deferred income tax assets include certain future tax benefits. We record a valuation allowance against any portion of those deferred income tax assets when we believe, 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. We review the likelihood that we will realize the benefit of our 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. 108 Table of Contents Certain categories of evidence carry more weight in the analysis than others based upon the extent to which the evidence may be objectively verified. We look to the nature and severity of cumulative pretax losses (if any) in the current three-year period ending on the evaluation date or the expectation of future pretax losses and the existence and frequency of prior cumulative pretax losses. We utilize a rolling twelve quarters of pre-tax income or loss as a measure of our cumulative results in recent years. 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. However, a cumulative three year loss is not solely determinative of the need for a valuation allowance. We also consider all other available positive and negative evidence in our analysis. 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 tax 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. The Company assesses 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 is recent pretax losses and/or expectations of future pretax losses. Such objective evidence limits the ability to consider other subjective evidence including projections for future growth. On the basis of this evaluation, a valuation allowance has been recorded in Peru. The amount of the deferred tax asset considered realizable, however, could be adjusted if estimates of future taxable income during the carryforward period are increased or if objective negative evidence in the form of cumulative losses is no longer present and additional weight may be given to subjective evidence such as our projections for growth. Refer to Note 10 to the Consolidated Financial Statements for additional detail on the valuation allowance. For additional risk factors that could impact the Company’s ability to realize the deferred tax assets, refer to Note 2 to the Consolidated Financial Statements.