Newcrest Mining’s chairman believes the gold miner is well positioned for growth.
Peter Hay, speaking at the company’s annual general meeting (AGM), said with the business turnaround progressing well and the company’s balance sheet strengthened, Newcrest was in a position “to start pivoting more towards growth.”
He explained that Newcrest had made good progress in building a growth pipeline over the past year.
“Our highly-experienced exploration team is targeting ore bodies that fit our skill set,” Hay said.
“This includes shallow, open pit potential in West Africa, but also involves looking deeper for gold/copper porphyries in Central and South America and the Asia Pacific area.
“Our most advanced exploration project is of course at Wafi-Golpu – a world-class gold and copper-gold deposit in Papua New Guinea.”
Newcrest is targeting completion of an update to the Wafi-Golpu feasibility study by the end of the March 2018 quarter, Hay added.
He said, more broadly, brownfield exploration, brownfield expansions and de-bottling offered some of the lowest cost, lowest risk and highest return growth opportunities for Newcrest.
“We are currently pursuing initiatives and projects to add extra process capacity at Cadia and to increase mill throughput at Lihir,” Hay said.
“We also continue to explore, conduct studies and pursue improvement at our other operations.
Hay said innovation would be central to both Newcrest’s current operations and potential for growth.
“Whether that is innovation in mine design and processing, innovation in the way we approach big data to analyse and understand our operations, or innovation in our systems and processes, Newcrest actively seeks out new and creative ways of delivering results,” he said.