SEATTLE (Scrap Monster): Newmont Corporation announced that it has delayed its full-funds investment decision for the $2 bilion Yanacocha Sulfides gold mine project in Peru to the second half of 2024.
The press release by the company stated that it has completed an extensive review of the project scope and schedule before revising the project timeline. The decision to delay the investment was mainly due to the unprecedented and evolving market conditions, including the ongoing war in Ukraine, rising inflation rates, the high prices for commodities and raw materials, extended supply chain disruptions and competitive labor markets.
Following the delay in investment, Newmont now expects the project to be developed over a period of three years from H2 2024, adding average annual production of approximately 525,000 gold equivalent ounces per year for the initial five years of operation. Meantime, the company will go ahead with advanced engineering and long-lead procurement activities, as planned before.
Tom Palmer, President and Chief Executive Officer, Newmont Corporation reiterated that Yanacocha is an important part of the company’s world-class portfolio and long-term strategy.
Also, Newmont appointed Dean Gehring as Chief Development Officer – Peru to lead the Company’s Yanacocha operations and the Sulfides project.