Name of the Project
Havieron gold/copper project.

Location
Western Australia, 45 km east of Newcrest Mining’s existing Telfer operation.

Project Owner/s
Newmont Mining (70%) and Greatland Gold (30%).

Project Description
The high-grade, low capital intensity project has significant expansion potential.

Initial ore reserves are estimated at 14-million tonnes grading 3.7 g/t gold and 0.54% copper for 1.6-million ounces of gold and 73 000 t of copper. The prefeasibility study (PFS) does not consider the 37-million tonnes of inferred mineral resources.

The project received the necessary regulatory approvals for the construction of a boxcut, exploration decline and associated surface infrastructure, with these works having officially started in January 2021. The PFS assessed the next stage of the project, which comprises the underground and surface development to establish the initial mining area at Havieron and ore-processing modifications at Telfer.

The PFS envisages a capital-efficient, low-intensity development using existing Telfer processing infrastructure.

Telfer currently operates two processing trains with a total capacity of about 22-million tonnes a year. The Havieron ore is expected to be processed through a modified Telfer processing plant, which will operate a single train at six-million tonnes a year on a campaign basis.

The plant modifications are expected to include magnetic separation within the flotation circuit to reduce the amount of pyrrhotite in the final copper concentrate, and a carbon-in-pulp circuit on the flotation tail and cyanide detoxification circuit. A single-train operation also provides optionality if higher mining rates are achieved from Havieron or through the extension of Telfer’s current mine life. Tailings from ore processed will be deposited at the existing Telfer tailings storage facility.

Life-of-mine (LoM) average gold production is estimated at 160 000 oz/y of gold and 6 900 t/y of copper over an initial nine-year mine life. The project is expected to produce 1.43-million ounces of gold and 62 000 t of copper over the LoM.

The growth drilling programme continues to identify and expand high-grade extensions to the mineralisation in the Eastern Breccia, South East Crescent Zone and Northern Breccia.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The project has an after-tax net present value, at a 4.5% (real) discount rate, of A$304-million and an internal rate of return of 16%, with a payback of four years from first production.

Capital Expenditure
The PFS estimated capital expenditure (capex) at A$529-million, which includes the expected cost of the Telfer plant modifications.

Planned Start/End Date
First production is anticipated in 2024.

Latest Developments
Greatland Gold is contemplating reclaiming full ownership of the Havieron project, should Newmont Mining divest of its stake in the project.

Newmont announced in February 2024 that it was considering selling its interests in Havieron and Telfer, which were inherited through its acquisition of Newcrest in 2023.

Greatland CEO Shaun Day has said that the company believes there is significant option value in acquiring full ownership of the deposit that it discovered in 2018.

In terms of a joint venture agreement, Greatland holds a right of last refusal in respect of any sale by Newmont.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Newcrest Mining, tel +61 3 9522 5333 or email investor.relations@newcrest.com.au.