Shares in Newmont Corp fell nearly 5% on Friday as the globe's biggest gold miner reported rising costs and lower production had led to a fall in profit in the first quarter.
In the three months to end-March, the group said its attributable gold production came in at 1.34 million ounces in the quarter, an 8% decrease compared to the year earlier period.
All-in-sustaining (AISC) costs rose to US$1,156 per ounce of gold produced in the quarter, compared to US$1,039 in 1Q 2021. Net income fell to US$432 million versus US$538 million a year earlier.
Newmont had warned in February this year that Omicron-related issues could impact its gold production by as much as 150,000 ounces in the first quarter.
Newmont incurred US$17 million in COVID-specific expenses in the three months, it also revealed.
Shares in New York shed 4.79% on Friday to stand at US$73.33.
Contact the writer at giles@proactiveinvestors.com