UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D. C. 20549

Form 10-Q

(Mark One)

☒     QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Quarterly Period Ended June 30, 2022

or

☐    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from__________to__________

Commission File Number: 001-31240

NEWMONT CORPORATION

(Exact name of registrant as specified in its charter)

Delaware	84-1611629
(State or Other Jurisdiction of Incorporation or Organization)	(I.R.S. Employer Identification No.)
6900 E Layton Ave
Denver, Colorado	80237
(Address of Principal Executive Offices)	(Zip Code)
Registrant’s telephone number, including area code (303) 863-7414

Securities registered or to be registered pursuant to Section 12(b) of the Act.

Title of each class	Trading Symbol	Name of each exchange on which registered
Common stock, par value $1.60 per share	NEM	New York Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.     ☒ Yes     ☐ No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).     ☒ Yes     ☐ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12-b2 of the Exchange Act.

Large accelerated filer	☒	Accelerated filer	☐
Non-accelerated filer	☐	Smaller reporting company	☐
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.     ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12-b2 of the Exchange Act).     ☐ Yes     ☒ No

There were 793,680,485 shares of common stock outstanding on July 18, 2022.

TABLE OF CONTENTS

		Page
	PART I – FINANCIAL INFORMATION
GLOSSARY OF ABBREVIATIONS		1
SECOND QUARTER 2022 RESULTS AND HIGHLIGHTS		2
ITEM 1.	FINANCIAL STATEMENTS	5
	Condensed Consolidated Statements of Operations	5
	Condensed Consolidated Statements of Comprehensive Income (Loss)	6
	Condensed Consolidated Statements of Cash Flows	7
	Condensed Consolidated Balance Sheets	8
	Condensed Consolidated Statements of Changes in Equity	9
	Notes to Condensed Consolidated Financial Statements	11
	Note 1 Basis of Presentation	11
	Note 2 Summary of Significant Accounting Policies	11
	Note 3 Segment Information	12
	Note 4 Sales	17
	Note 5 Reclamation and Remediation	21
	Note 6 Other Expense, Net	22
	Note 7 Other Income (Loss), Net	22
	Note 8 Income and Mining Taxes	23
	Note 9 Fair Value Accounting	23
	Note 10 Investments	25
	Note 11 Inventories	26
	Note 12 Stockpiles and Ore on Leach Pads	26
	Note 13 Debt	27
	Note 14 Other Liabilities	27
	Note 15 Accumulated Other Comprehensive Income (Loss)	28
	Note 16 Net Change in Operating Assets and Liabilities	28
	Note 17 Commitments and Contingencies	28
ITEM 2.	MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS	33
	Overview	33
	Consolidated Financial Results	33
	Results of Consolidated Operations	40
	Foreign Currency Exchange Rates	49
	Liquidity and Capital Resources	50
	Environmental	53
	Non-GAAP Financial Measures	54
	Accounting Developments	65
	Safe Harbor Statement	65
ITEM 3.	QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK	66
ITEM 4.	CONTROLS AND PROCEDURES	68
	PART II – OTHER INFORMATION
ITEM 1.	LEGAL PROCEEDINGS	69
ITEM 1A.	RISK FACTORS	69
ITEM 2.	UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS	69
ITEM 3.	DEFAULTS UPON SENIOR SECURITIES	69
ITEM 4.	MINE SAFETY DISCLOSURES	69
ITEM 5.	OTHER INFORMATION	70
ITEM 6.	EXHIBITS	70
SIGNATURES		71

GLOSSARY OF ABBREVIATIONS

AISC (1)	All-In Sustaining Costs
ARC	Asset Retirement Cost
ASC	FASB Accounting Standard Codification
ASU	FASB Accounting Standard Update
CAS	Costs Applicable to Sales
EBITDA (1)	Earnings Before Interest, Taxes, Depreciation and Amortization
EIA	Environmental Impact Assessment
EPA	U.S. Environmental Protection Agency
ESG	Environmental, Social and Governance
Exchange Act	U.S. Securities Exchange Act of 1934
FASB	Financial Accounting Standards Board
GAAP	U.S. Generally Accepted Accounting Principles
GEO (2)	Gold Equivalent Ounces
GHG	Greenhouse Gases, which are defined by the EPA as gases that trap heat in the atmosphere
IFRS	International Financial Reporting Standards
IRC	International Royalty Corporation
MINAM	Ministry of the Environment of Peru
Mine Act	U.S. Federal Mine Safety and Health Act of 1977
MINEM	Ministry of Energy and Mines of Peru
MSHA	Federal Mine Safety and Health Administration
NPDES	National Pollutant Discharge Elimination System
SEC	U.S. Securities and Exchange Commission
Securities Act	U.S. Securities Act of 1933
U.S.	The United States of America
WTP	Water Treatment Plant

____________________________

(1)See Non-GAAP Financial Measures within Part I, Item 2, Management's Discussion and Analysis.

(2)See Results of Consolidated Operations within Part I, Item 2, Management's Discussion and Analysis.

1

NEWMONT CORPORATION

SECOND QUARTER 2022 RESULTS AND HIGHLIGHTS

(unaudited, in millions, except per share, per ounce and per pound)

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Financial Results:
Sales	$	3,058	$	3,065	$	6,081	$	5,937
Gold	$	2,722	$	2,630	$	5,236	$	5,112
Copper	$	76	$	80	$	175	$	132
Silver	$	140	$	175	$	296	$	343
Lead	$	28	$	43	$	72	$	87
Zinc	$	92	$	137	$	302	$	263
Costs applicable to sales (1)	$	1,708	$	1,281	$	3,143	$	2,528
Gold	$	1,381	$	1,091	$	2,565	$	2,156
Copper	$	49	$	38	$	95	$	65
Silver	$	155	$	75	$	252	$	150
Lead	$	29	$	18	$	51	$	37
Zinc	$	94	$	59	$	180	$	120
Net income (loss) from continuing operations	$	392	$	651	$	845	$	1,209
Net income (loss)	$	400	$	661	$	869	$	1,240
Net income (loss) from continuing operations attributable to Newmont stockholders	$	379	$	640	$	811	$	1,178
Per common share, diluted:
Net income (loss) from continuing operations attributable to Newmont stockholders	$	0.48	$	0.80	$	1.02	$	1.47
Net income (loss) attributable to Newmont stockholders	$	0.49	$	0.81	$	1.05	$	1.51
Adjusted net income (loss) (2)	$	362	$	670	$	908	$	1,264
Adjusted net income (loss) per share, diluted (2)	$	0.46	$	0.83	$	1.14	$	1.58
Earnings before interest, taxes and depreciation and amortization (2)	$	1,024	$	1,572	$	2,261	$	2,942
Adjusted earnings before interest, taxes and depreciation and amortization (2)	$	1,149	$	1,591	$	2,539	$	3,048
Net cash provided by (used in) operating activities of continuing operations					$	1,722	$	1,834
Free Cash Flow (2)					$	766	$	1,020
Cash dividends paid per common share in the period ended June 30	$	0.55	$	0.55	$	1.10	$	1.10
Cash dividends declared per common share for the period ended June 30	$	0.55	$	0.55	$	1.10	$	1.10

____________________________

(1)Excludes Depreciation and amortization and Reclamation and remediation.

(2)See Non-GAAP Financial Measures within Part I, Item 2, Management's Discussion and Analysis.

2

NEWMONT CORPORATION

SECOND QUARTER 2022 RESULTS AND HIGHLIGHTS

(unaudited, in millions, except per share, per ounce and per pound)

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Operating Results:
Consolidated gold ounces (thousands):
Produced	1,453		1,430		2,764		2,852
Sold	1,482		1,444		2,811		2,861
Attributable gold ounces (thousands):
Produced (1)	1,495		1,449		2,839		2,904
Sold (2)	1,455		1,383		2,746		2,744
Consolidated and attributable gold equivalent ounces - other metals (thousands) (3)
Produced	330		303		680		620
Sold	333		302		683		629
Consolidated and attributable - other metals:
Produced copper (million pounds)	24		19		43		33
Sold copper (million pounds)	25		19		46		31
Produced silver (thousand ounces)	7,733		7,428		15,813		15,590
Sold silver (thousand ounces)	8,066		7,615		15,718		16,146
Produced lead (million pounds)	35		44		79		94
Sold lead (million pounds)	35		42		77		92
Produced zinc (million pounds)	94		105		208		216
Sold zinc (million pounds)	85		102		205		221
Average realized price:
Gold (per ounce)	$	1,836	$	1,823	$	1,863	$	1,788
Copper (per pound)	$	2.99	$	4.37	$	3.81	$	4.30
Silver (per ounce)	$	17.42	$	23.00	$	18.85	$	21.27
Lead (per pound)	$	0.80	$	1.02	$	0.94	$	0.95
Zinc (per pound)	$	1.08	$	1.34	$	1.47	$	1.19
Consolidated costs applicable to sales: (4)(5)
Gold (per ounce)	$	932	$	755	$	912	$	754
Gold equivalent ounces - other metals (per ounce) (3)	$	983	$	629	$	846	$	590
All-in sustaining costs: (5)
Gold (per ounce)	$	1,199	$	1,035	$	1,179	$	1,037
Gold equivalent ounces - other metals (per ounce) (3)	$	1,286	$	886	$	1,138	$	851

____________________________

(1)Attributable gold ounces produced includes 70 and 78 thousand ounces for the three months ended June 30, 2022 and 2021, respectively, and 139 and 169 thousand ounces for the six months ended June 30, 2022 and 2021, respectively, related to the Pueblo Viejo mine, which is 40% owned by Newmont and accounted for as an equity method investment.

(2)Attributable gold ounces sold excludes ounces related to the Pueblo Viejo mine, which is 40% owned by Newmont and accounted for as an equity method investment.

(3)For the definition of gold equivalent ounces see Results of Consolidated Operations within Part I, Item 2, Management's Discussion and Analysis.

(4)Excludes Depreciation and amortization and Reclamation and remediation.

(5)See Non-GAAP Financial Measures within Part I, Item 2, Management's Discussion and Analysis.

3

Second Quarter 2022 Highlights (dollars in millions, except per share, per ounce and per pound amounts)

•Net income: Reported Net income (loss) from continuing operations attributable to Newmont stockholders of $379 or $0.48 per diluted share, a decrease of $261 from the prior-year quarter primarily due to higher Costs applicable to sales predominately resulting from impacts due to cost inflation from increased input commodity prices, notably fuel and energy costs, as well as $70 related to the profit-sharing agreement entered into by the Company during the second quarter of 2022 with the workforce at the Peñasquito mine related to 2021 site performance, and unrealized losses on marketable and other equity securities, partially offset by lower income tax expense.

•Adjusted net income: Reported Adjusted net income of $362 or $0.46 per diluted share, a decrease of $0.37 per diluted share from the prior-year quarter (see Non-GAAP Financial Measures within Part I, Item 2, Management's Discussion and Analysis).

•Adjusted EBITDA: Generated $1,149 in Adjusted EBITDA, a decrease of 28% from the prior-year quarter (see Non-GAAP Financial Measures within Part I, Item 2, Management's Discussion and Analysis).

•Cash Flow: Reported Net cash provided by (used in) operating activities of continuing operations of $1,722, a decrease of 6% from the prior year, and free cash flow of $766 (see Non-GAAP Financial Measures within Part I, Item 2, Management's Discussion and Analysis).

•ESG: Published 2nd annual climate report in May 2022 providing a view on how the Company understands and is addressing climate change; contributed $34 in July 2022 as part of the Company's strategic alliance with Caterpillar Inc. to develop and deliver electric autonomous mining systems to reduce emissions supporting Newmont’s climate change targets and ambition.

•Portfolio Updates: Acquired remaining 5% ownership interest in Yanacocha from Sumitomo, resulting in 100% ownership interest.

•Attributable production: Produced 1.5 million attributable ounces of gold and 330 thousand attributable gold equivalent ounces from co-products.

•Financial strength: Ended the quarter with $4.3 billion of consolidated cash and $7.3 billion of liquidity; declared a dividend of $0.55 per share in July 2022.

Health & Safety Update

Our operations continue to be affected by a range of external factors related to the COVID-19 pandemic that are not within our control. Refer to Consolidated Financial Results, Results of Consolidated Operations, Liquidity and Capital Resources and Non-GAAP Financial Measures within Part I, Item 2, Management’s Discussion and Analysis of this report for additional information about the continued impacts of COVID-19 on our business and operations.

For a discussion of the precautions we are taking to protect our workforce and nearby communities, while also taking steps to preserve the long-term value of our business, refer to "COVID-19 Pandemic" within Part I, Item 1, Business on our Form 10-K filed with the SEC on February 24, 2022. For a discussion of COVID-19 related risks to the business, see Part I, Item 1A, Risk Factors on our Form 10-K filed with the SEC on February 24, 2022.

4

PART I—FINANCIAL INFORMATION

ITEM 1.       FINANCIAL STATEMENTS.

NEWMONT CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited, in millions except per share)

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Sales (Note 4)	$	3,058	$	3,065	$	6,081	$	5,937
Costs and expenses:
Costs applicable to sales (1)	1,708		1,281		3,143		2,528
Depreciation and amortization	559		561		1,106		1,114
Reclamation and remediation (Note 5)	49		57		110		103
Exploration	62		52		100		87
Advanced projects, research and development	45		37		89		68
General and administrative	73		64		137		129
Other expense, net (Note 6)	22		52		57		91
	2,518		2,104		4,742		4,120
Other income (expense):
Other income (loss), net (Note 7)	(75)		50		(184)		11
Interest expense, net of capitalized interest	(57)		(68)		(119)		(142)
	(132)		(18)		(303)		(131)
Income (loss) before income and mining tax and other items	408		943		1,036		1,686
Income and mining tax benefit (expense) (Note 8)	(33)		(341)		(247)		(576)
Equity income (loss) of affiliates	17		49		56		99
Net income (loss) from continuing operations	392		651		845		1,209
Net income (loss) from discontinued operations	8		10		24		31
Net income (loss)	400		661		869		1,240
Net loss (income) attributable to noncontrolling interests	(13)		(11)		(34)		(31)
Net income (loss) attributable to Newmont stockholders	$	387	$	650	$	835	$	1,209
Net income (loss) attributable to Newmont stockholders:
Continuing operations	$	379	$	640	$	811	$	1,178
Discontinued operations	8		10		24		31
	$	387	$	650	$	835	$	1,209
Weighted average common shares (millions):
Basic	794		801		793		801
Effect of employee stock-based awards	1		2		2		1
Diluted	795		803		795		802
Net income (loss) attributable to Newmont stockholders per common share
Basic:
Continuing operations	$	0.48	$	0.80	$	1.02	$	1.47
Discontinued operations	0.01		0.01		0.03		0.04
	$	0.49	$	0.81	$	1.05	$	1.51
Diluted:
Continuing operations	$	0.48	$	0.80	$	1.02	$	1.47
Discontinued operations	0.01		0.01		0.03		0.04
	$	0.49	$	0.81	$	1.05	$	1.51

____________________________

(1)Excludes Depreciation and amortization and Reclamation and remediation.

The accompanying notes are an integral part of the Condensed Consolidated Financial Statements.

5

NEWMONT CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(unaudited, in millions)

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Net income (loss)	$	400	$	661	$	869	$	1,240
Other comprehensive income (loss):
Change in marketable securities, net of tax of $—, $—, $—, and $— respectively	(1)		—		(2)		—
Foreign currency translation adjustments	2		(1)		1		1
Change in pension and other post-retirement benefits, net of tax of $—, $(1), $(32), and $(2) respectively	(1)		6		121		12
Change in fair value of cash flow hedge instruments, net of tax of $— and $(1), $—, and $(2) respectively	1		2		2		5
Other comprehensive income (loss)	1		7		122		18
Comprehensive income (loss)	$	401	$	668	$	991	$	1,258
Comprehensive income (loss) attributable to:
Newmont stockholders	$	388	$	657	$	957	$	1,227
Noncontrolling interests	13		11		34		31
	$	401	$	668	$	991	$	1,258

The accompanying notes are an integral part of the Condensed Consolidated Financial Statements.

6

NEWMONT CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(unaudited, in millions)

	Six Months Ended June 30,
	2022		2021
Operating activities:
Net income (loss)	$	869	$	1,240
Non-cash adjustments:
Depreciation and amortization	1,106		1,114
Net loss (income) from discontinued operations	(24)		(31)
Charges from pension settlement (Note 7)	130		—
Deferred income taxes	(111)		14
Reclamation and remediation	103		96
Change in fair value of investments (Note 7)	96		84
Stock-based compensation	40		38
Other non-cash adjustments	15		(130)
Net change in operating assets and liabilities (Note 16)	(502)		(591)
Net cash provided by (used in) operating activities of continuing operations	1,722		1,834
Net cash provided by (used in) operating activities of discontinued operations	15		2
Net cash provided by (used in) operating activities	1,737		1,836
Investing activities:
Additions to property, plant and mine development	(956)		(814)
Contributions to equity method investees	(91)		(72)
Payment relating to sale of La Zanja (Note 1)	(45)		—
Proceeds from asset and investment sales	41		85
Return of investment from equity method investees	39		18
Acquisitions, net	(15)		(328)
Purchases of investments	(8)		(16)
Other	1		—
Net cash provided by (used in) investing activities	(1,034)		(1,127)
Financing activities:
Dividends paid to common stockholders	(873)		(881)
Acquisition of noncontrolling interests (Note 1)	(348)		—
Distributions to noncontrolling interests	(103)		(97)
Repayment of debt (Note 13)	(89)		(550)
Funding from noncontrolling interests	56		48
Payments for withholding of employee taxes related to stock-based compensation	(36)		(29)
Payments on lease and other financing obligations	(34)		(36)
Repurchases of common stock	—		(134)
Other	10		13
Net cash provided by (used in) financing activities	(1,417)		(1,666)
Effect of exchange rate changes on cash, cash equivalents and restricted cash	(9)		—
Net change in cash, cash equivalents and restricted cash	(723)		(957)
Cash, cash equivalents and restricted cash at beginning of period	5,093		5,648
Cash, cash equivalents and restricted cash at end of period	$	4,370	$	4,691
Reconciliation of cash, cash equivalents and restricted cash:
Cash and cash equivalents	$	4,307	$	4,583
Restricted cash included in Other current assets	—		1
Restricted cash included in Other non-current assets	63		107
Total cash, cash equivalents and restricted cash	$	4,370	$	4,691

The accompanying notes are an integral part of the Condensed Consolidated Financial Statements.

7

NEWMONT CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(unaudited, in millions)

	At June 30, 2022		At December 31, 2021
ASSETS
Cash and cash equivalents	$	4,307	$	4,992
Trade receivables (Note 4)	364		337
Investments (Note 10)	51		82
Inventories (Note 11)	922		930
Stockpiles and ore on leach pads (Note 12)	752		857
Other current assets	511		498
Current assets	6,907		7,696
Property, plant and mine development, net	24,131		24,124
Investments (Note 10)	3,203		3,243
Stockpiles and ore on leach pads (Note 12)	1,788		1,775
Deferred income tax assets	209		269
Goodwill	2,771		2,771
Other non-current assets	681		686
Total assets	$	39,690	$	40,564
LIABILITIES
Accounts payable	$	583	$	518
Employee-related benefits	471		386
Income and mining taxes payable	178		384
Lease and other financing obligations	98		106
Debt (Note 13)	—		87
Other current liabilities (Note 14)	1,121		1,173
Current liabilities	2,451		2,654
Debt (Note 13)	5,568		5,565
Lease and other financing obligations	507		544
Reclamation and remediation liabilities (Note 5)	5,844		5,839
Deferred income tax liabilities	1,976		2,144
Employee-related benefits	371		439
Silver streaming agreement	868		910
Other non-current liabilities (Note 14)	506		608
Total liabilities	18,091		18,703
Contingently redeemable noncontrolling interest (Note 1)	—		48
Commitments and contingencies (Note 17)
EQUITY
Common stock	1,278		1,276
Treasury stock	(236)		(200)
Additional paid-in capital	17,334		17,981
Accumulated other comprehensive income (loss) (Note 15)	(