In 2004, Newmont grew its reserves to a record 92.4 million equity ounces using a conservative gold price assumption of $350 per ounce. Using a $400 per ounce assumption would increase reserves to approximately 101 million equity ounces. Newmont’s exploration team drilled 2.8 million feet (542 miles) during the year, resulting in discoveries and conversions that added 8.6 million equity ounces to reserves plus an additional 3.8 million equity ounces from the $25 higher gold price assumption.

Nevada, Newmont’s oldest district, grew reserves net of depletion for a second consecutive year, to a record 34 million equity ounces. Phoenix, which commenced construction in November 2004, added 2.3 million ounces to reserves. In Peru, Yanacocha’s reserves totaled 12.1 million equity ounces, while Batu Hijau in Indonesia replaced equity gold reserves, net of depletion. Finally, Ghana increased reserves by over 4 million equity ounces, bringing total reserves in the region to 16 million equity ounces.

OUTLOOK

In Nevada, the 2005 drilling program focuses on Phoenix and Leeville for potential reserve additions. Additional drilling in Peru, particularly at Minas Conga, is designed to define new targets, expand the known pits and further optimize the mine plan and project economics.

In Ghana at Ahafo, mineralization remains open at depth and along strike in the southern and northern regions of the district. Exploration efforts in Australia/New Zealand will concentrate on new discoveries and expanding existing mineralized zones at Tanami’s Callie deposit, Jundee, Pajingo and Martha.

Further drilling in 2005 at the Elang copper-gold project within the Batu Hijau Contract of Work area will target expansion of the known mineralization, while the Martabe gold project in Sumatra is undergoing a feasibility study with exploration continuing in the broader Contract of Work area.

In 2005, Newmont expects to spend approximately $185 million on exploration, research and development, with approximately 70% directed towards advancing near mine prospects and roughly 30% focused on greenfield projects. With over 51,000 square miles of land in some of the world’s richest gold belts, the Company will continue to focus on replacing and growing reserves with the aid of proprietary technology in geophysics and geochemistry.

EQUITY GOLD RESERVES

millions of ounces