Objectives

In developing the scope of work for this review, the intent is to create value for Newmont, its shareholders, and local communities near its operations. Considering the approach described above, the objectives of the review are to:

• Assess and describe the current relationships between the selected Newmont operating sites and respective communities, and the contexts in which these relationships have developed;
• Conduct an assessment of future risk and opportunities to Newmont with regard to our relationships with local communities;
• Analyze the relevance of existing company policies, systems and controls and their effectiveness in guiding the company’s community development and community relations programs and activities, and;
• Identify the impact of the company’s resources, capacity and governance on the execution of policies and controls related to community development and community relations programs and activities.

To achieve these objectives, the review will use a number of different methodologies, including:

• Country-level analyses that will help describe the contexts in which these relationships have developed; ¹
• Interviews with local stakeholders;
• Examination of core company documents, including policies, standards, and prior assessments;
• Interviews with company personnel at the site, regional, and corporate management levels;
• Interviews with other external stakeholders.

Newmont operations span five continents and many cultural, environmental, social, economic and political conditions. All experience some challenges. To produce the greatest value for the initiative in the time given, the review will need to examine relationships with communities in diverse contexts and of different duration (relatively new mines as well as older operations). The following operations will be included in the review program:

• Minera Yanacocha, Peru
• Ahafo Mine, Ghana
• Martha Mine, New Zealand
• Batu Hijau Mine, Indonesia
• Carlin Operations, United States

The graphic below illustrates the relationships between the key actors involved in this project. Further information on each can be found by using the navigation menu to the left.

Results of the review will be compiled into a global report that summarizes the key findings. This report will be presented to the Board of Directors. The report will also be made available to the general public.

Project Milestones and Anticipated Schedule

This schedule will be updated as necessary as the project evolves.

July 11, 2007 ESR Committee approves outline of approach/project description (described on this page); commissions Working Group Study Director and chair of Advisory Panel Working Group drafts Scope of Work and Research Methodology August 2007 First meeting of Project Team: ESR Committee Chair, ESR Corporate Team, chair of Advisory Panel, Study Director. Discussion of approach, working relationships, draft Research Methodology, and project timeline Advisory Panel candidates contacted and confirmed. September 2007 First meeting of Advisory Panel Advisory Panel reviews Working Group Scope of Work and Research Methodology Working Group finalizes Scope of Work and Research Methodology September – November 2007 Working Group undertakes research (site visits, interviews, document analysis and workshops) October 11-12, 2007 Progress report meeting between ESR Committee, Working Group Study Director, and Advisory Panel Chair November– December 2007 First drafts of site reports are prepared Workshop of global stakeholders is held in Washington, DC Study Director continues work on corporate-level review December 9, 2007 Initiating Study Director resigns January 31, 2008 New Study Director appointed February 2008 ESR Committee and Advisory Panel meet with new Study Director for a general review of progress in the work program and discussion of path forward and key milestones May 12-13, 2008 Project meeting with members of the Working Group, Study Directors, Advisory Panel, and Newmont to discuss findings from interim reports and define the work schedule for the finalization of the global summary report and panel commentary June 2008 Review of first draft of global summary report July – August 2008 Review of second draft of global summary report September - October 2008 Finalization of global summary report and preparation of Advisory Panel commentary November 2008 Preparation of Board response to global summary report and panel commentary