nevada - newmont’s foundation

Nevada - Newmont’s Foundation

Trent Tempel, General Manager, Eastern NevadaAli Soltani, General Manager, Western NevadaJohn McKinstry, General Manager, Midas

June 2002

Nevada Tour – June 2002

June 12, 2002 –

Nevada Newmont’s Foundation

38 years of innovation Produced 36 million ounces 31 million ounces of reserves 2,600 employees Utilization of our asset base

2000 2001 2002EProduction 3.0 2.7 ~2.7Cash cost/oz $203 $222 $205-210

June 12, 2002 –

Newmont Mines and Property

~1.8 million acres

Twin Creeks

Deep Star

Gold Quarry

Checkerboard Property

Winnemucca

200Miles

NORTH

Elko

Carlin

80

Lone Tree

Trenton

PhoenixMule Canyon

1996 Newmont Gold Company1997 Santa Fe merger2001 Battle Mountain Gold merger2002 Normandy mergerBarrick/Homestake

NEVADA

Deep Post

Midas

June 12, 2002 –

Unparalleled mining and processing flexibility

9 open pit & 5 underground mines

15 processing facilities

Pipeline of new projects to sustain production

A Long-Lived Core Asset

June 12, 2002 –

Current Nevada Ore Flows

LT Flotation

Mill 6 Roaster

RefractoryDeep StarRefractory

Deep PostRefractory

Refractory

RefractoryOxide

Oxide

Oxide

Dump Leach

North Area

Lone Tree

South AreaEast Nevada

West Nevada

LT Autoclave

Mill 5

Dump Leach

Dump Leach

Sage Autoclave Juniper Mill

Refractory Oxide

Twin Creeks

Dump Leach

MidasOxide

Midas Mill

June 12, 2002 –

HighLowLow

ROM Dump Leach ($0.50-$0.65)

Twin CreeksLone Tree ComplexSouth Area Twin CreeksNorth Area

Low

Ore

Gra

d e (o

z/t)

Cost/ton

High

High

Refractory %

Gra

de o

z/t

Cost $/t

Generalized Processing Matrix

Crushed Dump Leach ($1.00-$1.40)South Area North Area

Direct Cyanide Mill ($3.00-$16.00)Mill 5 – South AreaJuniper – Twin CreeksSage – Twin CreeksMidas – Western Nevada

Dump Oxidation - Low-Ratio Leach ($1.50-$2.25)Twin CreeksLone TreeSouth AreaNorth Area

Bio-Milling ($7.00-$9.00)Mill 5 - South Area

Flotation to Autoclave or Roaster ($7.50-$8.00) Lone Tree

Refractory Milling ($16.00-$20.00) Sage Autoclave – Twin CreeksLone Tree AutoclaveMill 6 Roaster – South Area

June 12, 2002 –

Gold Production

Cash Cost $232 $205 $209 $211 $203 $222 ~$205-210

Total Cost $302 $268 $273 $263 $260 $269 ~$260-270

0.00

1.00

2.00

3.00

4.00

1996 1997 1998 1999 2000 2001 2002E

Leach Oxide Mill Ref. Mill

2.332.78 2.77

2.50

3.04

30%

35% 42%54%

67%

2.70

65%

~2.7

68%

(million ounces)

June 12, 2002 –

Gold Production

Cash Cost $232 $205 $209 $211 $203 $222 ~$205-210

Total Cost $302 $268 $273 $263 $260 $269 ~$260-270

0.00

1.00

2.00

3.00

4.00

1996 1997 1998 1999 2000 2001 2002E

Surface Underground

2.33

2.78 2.772.50

3.042.70 ~2.7

(million ounces)

June 12, 2002 –

Nevada Manpower

2,000

2,500

3,000

3,500

4,000

1997 1998 1999 2000 2001 2002E

Empl

oyee

s

0

200

400

600

800

1,000

1,200

1,400

Ounces per Em

ployee

Employees Ounces per Employee

June 12, 2002 –

Significant Initiatives

Electrical Power $65 million per year operating cost for Nevada (2nd to labor) Tiger Teams integral to reducing consumption (~10%)

Workforce Optimization Comprehensive review of organizational structure Natural extension of 5-year attrition mode

– Total employment down from 3,500 to 2,600 since 1997 Midas Integration

Accelerated integration Synergies of $8 million per annum

Other 80 – 100 teams focused on wide spectrum of change initiatives Key focus: safety, environmental, productivity, cost and cash flow

June 12, 2002 –

Capital Expenditures

451

231

9652 86 58

104

96 97 98 99 00 01 02E

PPE UG DMD CAP Mining($ million)

June 12, 2002 –

Production Pipeline

First Production Deep Post Underground 2001 Gold Quarry Chukar Underground 2002E Gold Quarry South Layback 2004E Leeville Underground 2005E Twin Creeks South Layback 2005E Phoenix Sulfide 2008E Emigrant Pit ????? Gold Margin Underground ????? Rain Saddle Underground ?????

Capital rationing and flexible scheduling to sustain Nevada production.

June 12, 2002 –

Deep Post Underground Mine

Life-of-mine: 3.1 million ounces @ 0.76 opt

Commenced production: 2Q 2001 – ahead of schedule

Annualized mining rate: 1,500 tpd

Average annual production: 416,000 ounce (2003-2006)

Total cash costs: $159/ounce

Recent developments: Increased production due to higher grade Better ground conditions Exploration upside

June 12, 2002 –

Chukar Underground

Chukar Underground Currently in development ~ $6 million capital cost

Au Reserves (300/ounce) 278,000 tons at 0.49 ounces/ton containing 138,000 ounces NRM: 115,000 tons at 0.46 opt

Production 2 - 4 years at approximately 80,000 ounce ~ $180 - $184/ounce cash cost High grade feed for Carlin roaster

June 12, 2002 –

Gold Quarry South Layback

Au Reserves ($300/ounce) 60.1 million tons 0.063 opt containing 3.8 million ounces

Production 6 years totaling 2.6 million ounces ~$230/ounce cash cost First full year of production begins 2004 Open pit mining

Capital Cost $26 million

Recent Developments Concurrent reclamation Improved mine design with phased approach

June 12, 2002 –

Leeville Underground

Au Reserves ($300/ounce) 6.5 million tons at 0.46 opt containing 3.0 million ounces NRM: 1.6 million tons at 0.53 opt

Production 7+ years at approximately 500,000 ounces per annum ~$195/ounce cash cost Production would begin in 2005 High grade feed for the Carlin roaster

Capital Cost $170 million

Recent Developments Change in mining method Change in mining sequence

June 12, 2002 –

Twin Creeks South Layback

Au Reserves ($300/ounce) 29.3 million tons at 0.066 opt containing 1.9 million ounces Non-reserve material: 5.9 million tons at 0.051 opt

Production 7 years totaling 1.6 million ounces ~$210/ounce cash cost Production begins 2005 Open pit mining Feed Juniper Oxide Mill for 6 years

Capital Cost $15 million - $20 million

Recent Developments Ability to backfill Positive model reconciliation

June 12, 2002 –

Phoenix Sulfide

Au Reserves ($300/ounce) 174 million tons at 0.034 opt containing 6.0 million ounces NRM: 142 million tons at 0.024 opt

Copper Reserves 461 million pounds

Production 13 years at average of 390,000 ounces Au, 27.5 million pounds Cu ~$150/ounce cash cost (after by-product credits) Production begins 2008 Feed for Lone Tree autoclave

Capital Cost $200 million - $225 million Including $35 million for SX-EW / upgrading Lone Tree

June 12, 2002 –

% Total NevadaReserves 15.1 million ounces 48% Mining 52 million tons/year 35% 2002E mine production – ~ 1.2 million ounces 36% 2002E process production – ~1 million ounces 36%

Eastern Nevada

Cornerstone of our Nevada Foundation

Carlin Roaster

June 12, 2002 –

Carlin Highlights

Roaster Lower temperatures result in higher recovery Improved availability

Bio-Mill Improved heap permeability Improved CIL efficiency

Deep Post Exploration upside

Stockpile Management Drilling and kreiging stockpiles Maximizing cash flow

Concurrent Reclamation

June 12, 2002 –

Improving Roaster Productivity

Throughput (000 tons) Availability %

Ounces Produced (000)

98 99 00 01 02E

Grade opt 0.23 0.25 0.30 0.24 0.24

Recovery 90% 90% 88% 90% 91%

Grade and Recovery630

470590 680 591

1998 1999 2000 2001 2002E

89.0072.00

85.00 85.60 88.70

1998 1999 2000 2001 2002E

2,9002,325

2,800 2,673 2,774

1998 1999 2000 2001 2002E

June 12, 2002 –

Western Nevada

Featuring Million-Ounce

Producer Twin Creeks

% Total NV Reserves 16.2 million ounces 52%Mining 100 million tons/yr 65%2002E mine production - ~2.1 million ounces 64%2002E process production - ~1.7 million ounces 64%

Twin Creeks

June 12, 2002 –

Manpower flexibility

Equipment utilization

Toll milling

Oxide mine plan at Phoenix

Synergies Carbon handling (Carlin, Mesquite)

Refining (Carlin, Mesquite, Midas)

Western Nevada Opportunities

June 12, 2002 –

Newmont’s largest Nevada mine % Total NV

Reserves 6.0 million ounces 19%Mining 50 million tons/yr 33%2002E mine production - 1.30 million ounces 39%2002E process production - 1.03 million ounces* 36%

Processing 2 autoclaves 2 oxide mills 3 oxide leach pads

*Includes other ore sources

Twin Creeks Profile

June 12, 2002 –

Autoclaves - 3,454 k tons @ 0.243 opt - 89% Recovery = ~ 747,000 ounces*

Twin Creeks Autoclaves Production Summary 2002

Twin Creeks Sulfide

86%

Lone Tree Flotation

2%Twin Creeks Oxide

9%

Deep Star/Deep

Post3%

*Excludes Getchell toll milling

June 12, 2002 –

%Total NV

Reserves 2.1 million ounce 7%

Mining 50 million tons/year 32%

2002E mine production - 582,000 ounces 18%

2002E process production - 573,000 ounces 21%

Lone Tree Complex Profile

June 12, 2002 –

Deep Post48%

Lone Tree Sulfide

13%

LT Flotation

31%

Mule Canyon

3%

Lone Tree Oxide

5%

875 k tons @ 0.566 opt - 94.6% recovery = ~ 469,000 ounces

Lone Tree AutoclaveProduction Summary 2002

June 12, 2002 –

Midas Profile

Au Reserves ($300/ounces) 2.1 million ounces

Production (10.5 months of 2002) ~ 200,000 ounces ~ 970 tpd ~ 1.7 million ounces Ag by-product

Cash Cost ~$100/ounce Free Milling

June 12, 2002 –

Midas Mining

High grade (0.67oz/t) Quartz vein Low sulfides Narrow, steep dipping Selective mining Decline access

June 12, 2002 –

Midas Milling

Specialty mill High recoveries Merrill Crowe Environmentally sound Optimization study initiated

June 12, 2002 –

Midas Synergies Production Staff Hourly Procurement Ore Haulage Bussing Assays Other

Annual Savings ~$8 million

Midas Opportunities

June 12, 2002 –

Midas HighlightsAdditional Opportunities

Utilizing spare capacity at Twin Creeks for

treating low grade ore Increased production and efficiency Exploration upside potential

June 12, 2002 –


Equipment utilization Lone Tree pit backfill

Reduced LOM mining cost 20%

Twin Creeks pit backfill Reduced LOM mining cost 15%

Truck Transfer

June 12, 2002 –


Sloping of leach pads Phoenix Project

Focus on capital reduction Utilize idle Newmont milling assets Review cost of crushing vs SAG milling Use of Echo Bay-McCoy Cove assets High pressure grinding rolls

Twin Creeks North Leach Pad Sloping

June 12, 2002 –


Getchell Ores Tolling agreement 125,850 tons 0.417 opt 49,234 recovered ounces to

Placer Dome

Headframe at Getchell Property

June 12, 2002 –

Nevada OperationsOn-going Optimization

Optimize people: retention and development

Optimize equipment

Ore transport/processing synergies

Optimize procurement practices

Focus on technical staff and technology

June 12, 2002 –

Cautionary Statement

PRIVATE SECURITIES LITIGATION REFORM ACT SAFE HARBOR STATEMENT

This presentation contains “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, that are intended to be covered by the safe harbor created by such section. Such forward-looking statements include, without limitation, (i) estimates of future earnings, and the sensitivity of earnings to the gold and other metals prices; (ii) estimates of future gold and other metals production and sales, (iii) estimates of future cash costs and total production costs; (iv) estimates regarding future synergy savings from acquisitions; (v) estimates of future cash flows, and the sensitivity of cash flows to the gold and other metals prices; (vi) statements regarding future debt repayments and the restructuring or refinancing of credit facilities and other indebtedness; (vii) estimates of future capital expenditures; (viii) statements regarding future exploration results and the replacement of reserves; (ix) statements regarding future asset sales or rationalization efforts; and (x) statements regarding modifications to the company's hedge position. Where the company expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. However, such forward-looking statements are subject to risks, uncertainties and other factors which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Such risks include, but are not limited to, gold and other metals price volatility, increased production costs and variances in ore grade or recovery rates from those assumed in mining plans, as well as political and operational risks and governmental regulation and judicial outcomes. For a more detailed discussion of such risks and other factors, see Page 8 of the company's 2001 Annual Report on Form 10-K, which is on file with the Securities and Exchange Commission, as well as the company's other SEC filings. The company disclaims any intention to update any forward looking statement.

nevada - newmont’s foundation

Documents

nevada production

gold productioncash

total cost

gold margin underground

nevada manpowerjune

nevada tour

nevada newmonts foundation

south areaflotation