Newmont Mining Corporation of Canada Ltd (TSX:NGT) on Thursday reported third-quarter 2023 adjusted earnings per share (EPS) of $0.36, missing the analyst consensus estimate of $0.43.
The world’s biggest gold miner also saw its attributable gold production decline 13.4% year-over-year to 1.29 million ounces, due primarily to lower production at the Peñasquito mine in Mexico and the Akyem and Ahafo mines in Ghana.
A labour strike that began in June at its Mexico mine had impacted operations there, although Newmont said it has reached a resolution with the National Union of Mine and Metal Workers of the Mexican Republic regarding Peñasquito earlier this month. It expects to reach full operating capacity at the mine by the end of 4Q.
As well, Newmont lowered its 2023 gold production forecast to 5.3 million ounces from a range of 5.7 million to 6.3 million ounces outlined in the previous quarter.
The company noted that its all-in-sustaining cost (AISC) for gold output for the full year is expected to increase to US$1,400 per ounce from estimates of $1,150 to $1,250 previously.
The company ended the quarter with $3.2 billion of consolidated cash and $6.2 billion of liquidity as of September 30, 2023.
Shares of Newmont rose 1.1% to $51.23 in late-morning trading on Thursday but have fallen 24% year to date.
Contact Sean at sean@proactiveinvestors.com