Newmont Mining Corporation

Boddington, Western Australia

After years in the making, Newmont's new $3 billion Boddington operation poured its first gold and shipped its first batch of copper concentrate to a port in Bunbury. This historic milestone was achieved thanks to the 14 million man-hours invested by 4,000 employees and contractors since 2006

At full production, which is expected in the second half of 2010, the mine will employ up to 900 people, create indirect employment of another 1,100 in the region, and contribute an estimated A $770 million per year to the Western Australia economy. Boddington achieved commercial production in November.

"We wish to thank the Boddington team for their tireless efforts on a complex project, which was constructed during a very difficult time," said Guy Lansdown, executive vice president, Discovery & Development, and Brian Hill, executive vice president, Operations, "and we appreciate the efforts the team is putting forth to ramp up to full production as quickly as possible. As a company, we should all be proud of our accomplishment with Boddington."

Sole Ownership
Newmont formally closed the acquisition of AngloGold Ashanti's one-third interest in the Boddington operation in June 2009 as construction activity at the project peaked. Newmont paid $990 million for Anglo's share using net proceeds from a combination of common stock and convertible notes offerings. The operation, which began first production in mid-August, is now 100 percent Newmont-owned and operated.

"This acquisition fits well with our strategy of providing sustainable and profitable production in favorable geopolitical jurisdictions," said Randy Engel, executive vice president, Strategic Development.

Commercial Production Begins
While now producing commercially, at full production, Boddington will be Australia's largest gold producer. Annual gold production is estimated at approximately 1 million ounces a year for the first full five years with costs applicable to sales of about US $300 per ounce (including copper credits). With gold reserves of 20.1 million ounces and a mine life of more than 24 years, Boddington will be a significant contributor to Newmont's global portfolio for many years to come.

We commend those employees and contractors alike from around the globe who, in the spirit of One Newmont, played a critical role in this signature achievement for our company. 

December 1, 2009