NEWMONT MINING CORP /DE/, 10-Q filed on 4/26/2012
Quarterly Report
Document and Entity Information
3 Months Ended
Mar. 31, 2012
Apr. 18, 2012
Document and Entity Information [Abstract]
 
 
Entity Registrant Name
NEWMONT MINING CORP /DE/ 
 
Entity Central Index Key
0001164727 
 
Document Type
10-Q 
 
Document Period End Date
Mar. 31, 2012 
 
Amendment Flag
false 
 
Document Fiscal Year Focus
2012 
 
Document Fiscal Period Focus
Q1 
 
Current Fiscal Year End Date
--12-31 
 
Entity Well-known Seasoned Issuer
Yes 
 
Entity Voluntary Filers
No 
 
Entity Current Reporting Status
Yes 
 
Entity Filer Category
Large Accelerated Filer 
 
Entity Common Stock, Shares Outstanding
 
490,629,352 
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (unaudited) (USD $)
In Millions, except Per Share data, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (unaudited) [Abstract]
 
 
Sales
$ 2,683 
$ 2,465 
Costs and expenses
 
 
Costs applicable to sales
1,017 
940 
Amortization
231 
256 
Reclamation and remediation
16 
14 
Exploration
88 
62 
Advanced projects, research and development
102 
68 
General and administrative
54 
45 
Other expense, net
120 
73 
Total costs and expenses
1,628 
1,458 
Other income (expense)
 
 
Other income, net
33 
31 
Interest expense, net
(52)
(65)
Total other income (expense)
(19)
(34)
Income before income and mining tax and other items
1,036 
973 
Income and mining tax expense
(343)
(305)
Equity income (loss) of affiliates
(19)
Income from continuing operations
674 
670 
Loss from discontinued operations
(71)
Net income
603 
670 
Net income attributable to noncontrolling interests
(113)
(156)
Net income attributable to Newmont stockholders
490 
514 
Net income attributable to Newmont stockholders:
 
 
Continuing operations
561 
514 
Discontinued operations
(71)
Net income attributable to Newmont stockholders
$ 490 
$ 514 
Income per common share, basic
 
 
Continuing operations
$ 1.13 
$ 1.04 
Discontinued operations
$ (0.14)
$ 0 
Income per common share, basic
$ 0.99 
$ 1.04 
Income per common share, diluted
 
 
Continuing operations
$ 1.11 
$ 1.03 
Discontinued operations
$ (0.14)
$ 0 
Income per common share, diluted
$ 0.97 
$ 1.03 
Cash dividends declared per common share
$ 0.35 
$ 0.15 
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Statement of Income and Comprehensive Income [Abstract]
 
 
Net income
$ 603 
$ 670 
Other comprehensive income (loss):
 
 
Unrealized gain (loss) on marketable securities, net of $23 and $(28) tax benefit (expense), respectively
(40)
168 
Foreign currency translation adjustments
10 
89 
Change in pension and other post-retirement benefits, net of $2 and $1 tax benefit, respectively
Change in fair value of cash flow hedge instruments, net of $26 and $11 tax expense, respectively
 
 
Net change from periodic revaluations
69 
55 
Net amount reclassified to income
(35)
(33)
Net unrecognized gain on derivatives
34 
22 
Other comprehensive income
283 
Comprehensive income
611 
953 
Comprehensive income attributable to:
 
 
Newmont stockholders
496 
795 
Noncontrolling interests
115 
158 
Comprehensive income
$ 611 
$ 953 
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Operating activities:
 
 
Net income
$ 603 
$ 670 
Adjustments:
 
 
Amortization
231 
256 
Loss from discontinued operations
71 
Reclamation and remediation
16 
14 
Deferred income taxes
(55)
(33)
Stock based compensation and other non-cash benefits
17 
19 
Impairment of marketable securities
24 
Gain on asset sales, net
(10)
(3)
Other operating adjustments and write-downs
72 
45 
Net change in operating assets and liabilities
(356)
21 
Net cash provided from continuing operations
613 
989 
Net cash used in discontinued operations
(4)
Net cash provided from operations
609 
989 
Investing activities:
 
 
Additions to property, plant and mine development
(696)
(402)
Purchases of marketable securities
(143)
(12)
Acquisitions, net
(11)
(7)
Proceeds from sale of other assets
12 
Other
(17)
(3)
Net cash used in investing activities
(855)
(418)
Financing activities:
 
 
Proceeds from debt, net
3,346 
Repayment of debt
(1,907)
(31)
Payment of conversion premium on debt
(172)
Dividends paid to common stockholders
(173)
(74)
Dividends paid to noncontrolling interests
(15)
Proceeds from stock issuance, net
Other
(2)
Net cash provided from (used in) financing activities
1,094 
(117)
Effect of exchange rate changes on cash
23 
Net change in cash and cash equivalents
852 
477 
Cash and cash equivalents at beginning of period
1,760 
4,056 
Cash and cash equivalents at end of period
$ 2,612 
$ 4,533 
CONDENSED CONSOLIDATED BALANCE SHEET (unaudited) (USD $)
In Millions, unless otherwise specified
Mar. 31, 2012
Dec. 31, 2011
ASSETS
 
 
Cash and cash equivalents
$ 2,612 
$ 1,760 
Trade receivables
349 
300 
Accounts receivable
362 
320 
Investments
179 
94 
Inventories
699 
714 
Stockpiles and ore on leach pads
744 
671 
Deferred income tax assets
263 
396 
Other current assets
884 
1,133 
Current assets
6,092 
5,388 
Property, plant and mine development, net
16,364 
15,881 
Investments
1,479 
1,472 
Stockpiles and ore on leach pads
2,470 
2,271 
Deferred income tax assets
1,652 
1,605 
Other long-term assets
904 
857 
Total assets
28,961 
27,474 
LIABILITIES
 
 
Debt
69 
689 
Accounts payable
497 
561 
Employee-related benefits
245 
307 
Income and mining taxes
343 
250 
Other current liabilities
1,417 
2,133 
Current liabilities
2,571 
3,940 
Debt
6,081 
3,624 
Reclamation and remediation liabilities
1,263 
1,169 
Deferred income tax liabilities
2,100 
2,147 
Employee-related benefits
484 
459 
Other long-term liabilities
397 
364 
Total liabilities
12,896 
11,703 
Commitments and Contingencies
   
   
EQUITY
 
 
Common stock
785 
784 
Additional paid-in capital
8,263 
8,408 
Accumulated other comprehensive income
658 
652 
Retained earnings
3,369 
3,052 
Newmont stockholders' equity
13,075 
12,896 
Noncontrolling interests
2,990 
2,875 
Total equity
16,065 
15,771 
Total liabilities and equity
$ 28,961 
$ 27,474 
Basis of Presentation
BASIS OF PRESENTATION

NOTE 1    BASIS OF PRESENTATION

 

The interim Condensed Consolidated Financial Statements (“interim statements”) of Newmont Mining Corporation and its subsidiaries (collectively, “Newmont” or the “Company”) are unaudited. In the opinion of management, all adjustments and disclosures necessary for a fair presentation of these interim statements have been included. The results reported in these interim statements are not necessarily indicative of the results that may be reported for the entire year. These interim statements should be read in conjunction with Newmont's Consolidated Financial Statements for the year ended December 31, 2011 filed February 24, 2012 on Form 10-K. The year-end balance sheet data was derived from the audited financial statements and, in accordance with the instructions to Form 10-Q, certain information and footnote disclosures required by United States generally accepted accounting principles (“GAAP”) have been condensed or omitted.

 

References to “A$” refer to Australian currency, “C$” to Canadian currency, “NZ$” to New Zealand currency and “$” to United States currency.

 

Summary of Significant Accounting Policies
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

NOTE 2    SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 

Recently Adopted Accounting Pronouncements

Goodwill Impairment

In September 2011, the ASC guidance was issued related to goodwill impairment. Under the updated guidance, an entity will have the option to first assess qualitatively whether it is necessary to perform the current two-step goodwill impairment test. If the Company believes, as a result of its qualitative assessment, that it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, the quantitative impairment test is required. Otherwise, no further testing is required. The update does not change how the Company performs the two-step impairment test under current guidance. The Company's January 1, 2012 adoption of the guidance had no impact on the Company's consolidated financial position, results of operations or cash flows.

Fair Value Accounting

 

In May 2011, ASC guidance was issued related to disclosures around fair value accounting. The updated guidance clarifies different components of fair value accounting including the application of the highest and best use and valuation premise concepts, measuring the fair value of an instrument classified in a reporting entity's shareholders' equity and disclosing quantitative information about the unobservable inputs used in fair value measurements that are categorized in Level 3 of the fair value hierarchy. The Company's January 1, 2012 adoption of the updated guidance had no impact on the Company's consolidated financial position, results of operations or cash flows.

 

 

 

 

 

Segment Information
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
SEGMENT INFORMATION

NOTE 3    SEGMENT INFORMATION

 

     Costs    Advanced         
     Applicable to    Projects and Pre-Tax Total Capital
   Sales Sales Amortization Exploration Income Assets Expenditures(1)
Three Months Ended March 31, 2012                   
Nevada$723 $267 $53 $34 $369 $7,092 $157
La Herradura 93  32  5  6  45  371  21
Hope Bay -  -  -  -  (50)  108  -
Other North America -  -  -  -  (2)  67  -
 North America 816  299  58  40  362  7,638  178
                       
Yanacocha 594  161  50  17  349  2,745  93
Conga -  -  -  27  (27)  1,254  147
Other South America -  -  -  25  (25)  42  -
 South America 594  161  50  69  297  4,041  240
                       
Boddington:                    
 Gold 298  137  32  N/A  N/A  N/A  N/A
 Copper 61  30  6  N/A  N/A  N/A  N/A
  Total 359  167  38  3  143  4,661  23
Batu Hijau:                    
 Gold 34  19  3  N/A  N/A  N/A  N/A
 Copper 172  85  16  N/A  N/A  N/A  N/A
  Total 206  104  19  7  48  3,671  33
Other Australia/New Zealand 427  190  36  15  179  1,300  70
Other Asia Pacific -  -  1  6  5  695  3
 Asia Pacific 992  461  94  31  375  10,327  129
                       
Ahafo 281  96  24  11  150  1,277  50
Akyem -  -  -  4  (5)  653  85
Other Africa -  -  -  2  (2)  5  -
 Africa 281  96  24  17  143  1,935  135
                       
Corporate and Other -  -  5  33  (141)  5,020  38
Consolidated$2,683 $1,017 $231 $190 $1,036 $28,961 $720
                       
 (1)Includes an increase in accrued capital expenditures of $24; consolidated capital expenditures on a cash basis were $696.
SEGMENT INFORMATION
      Costs    Advanced         
      Applicable to    Projects and Pre-Tax Total Capital
   Sales Sales Amortization Exploration Income Assets Expenditures(1)
Three Months Ended March 31, 2011                    
Nevada$582 $272 $72 $17 $216 $3,414 $95
La Herradura 65  18  4  6  36  254  16
Hope Bay -  -  3  44  (48)  2,259  19
Other North America -  -  -  -  (2)  125  -
 North America 647  290  79  67  202  6,052  130
                       
Yanacocha 362  153  53  6  149  2,677  41
Conga -  -  -  3  (4)  335  64
Other South America -  -  -  7  (6)  36  -
 South America 362  153  53  16  139  3,048  105
                       
Boddington:                    
 Gold 232  100  28  N/A  N/A  N/A  N/A
 Copper 53  28  7  N/A  N/A  N/A  N/A
  Total 285  128  35  1  104  4,393  49
Batu Hijau:                    
 Gold 140  34  7  N/A  N/A  N/A  N/A
 Copper 369  89  20  N/A  N/A  N/A  N/A
  Total 509  123  27  -  323  3,627  40
Other Australia/New Zealand 415  166  35  12  197  1,049  62
Other Asia Pacific -  -  1  1  -  548  2
 Asia Pacific 1,209  417  98  14  624  9,617  153
                       
Ahafo 247  80  22  7  136  1,039  15
Akyem -  -  -  1  (1)  320  28
Other Africa -  -  -  -  (1)  6  -
 Africa 247  80  22  8  134  1,365  43
                       
Corporate and Other  -  -  4  25  (126)  6,772  14
Consolidated$2,465 $940 $256 $130 $973 $26,854 $445
                       
 (1)Includes an increase in accrued capital expenditures of $43; consolidated capital expenditures on a cash basis were $402.
Reclamation and Remediation
RECLAMATION AND REMEDIATION

NOTE 4    RECLAMATION AND REMEDIATION

 

At March 31, 2012 and December 31, 2011, $1,136 and $1,070, respectively, were accrued for reclamation obligations relating to mineral properties. In addition, the Company is involved in several matters concerning environmental obligations associated with former, primarily historic, mining activities. Generally, these matters concern developing and implementing remediation plans at the various sites involved. At March 31, 2012 and December 31, 2011, $197 and $170, respectively, were accrued for such obligations. These amounts are also included in Reclamation and remediation liabilities.

 

The following is a reconciliation of Reclamation and remediation liabilities:

 

   Three Months Ended March 31, 
   2012 2011 
 Balance at beginning of period   $1,240 $1,048 
 Additions, changes in estimates and other    105  1 
 Liabilities settled    (28)  (8) 
 Accretion expense    16  14 
 Balance at end of period   $1,333 $1,055 

The current portion of Reclamation and remediation liabilities of $70 and $71 at March 31, 2012 and December 31, 2011, respectively, are included in Other current liabilities (see Note 21).

 

The Company's reclamation and remediation expenses consisted of:

 

   Three Months Ended March 31, 
   2012 2011 
 Accretion - operating   $14 $12 
 Accretion - non-operating  2  2 
   $16 $14 
Other Expense, Net
OTHER EXPENSE, NET
NOTE 5 OTHER EXPENSE, NET       
         
   Three Months Ended March 31, 
   2012 2011 
 Hope Bay care and maintenance $50 $- 
 Regional administration    21  16 
 Community development    31  17 
 Western Australia power plant    4  4 
 World Gold Council Dues  3  2 
 Indonesian value added tax settlement  -  21 
 Other    11  13 
   $120 $73 
Other Income, Net
OTHER INCOME, NET
NOTE 6 OTHER INCOME, NET       
         
   Three Months Ended March 31, 
   2012 2011 
 Reduction of allowance for loan receivable $21 $- 
 Income from developing projects, net  14  24 
 Gain on asset sales, net    10  3 
 Canadian Oil Sands  9  6 
 Refinery income  5  - 
 Interest  5  4 
 Ineffective portion of derivative instruments, net  2  (1) 
 Foreign currency exchange, net    (15)  (11) 
 Impairment of marketable securities  (24)  - 
 Other    6  6 
   $33 $31 
Employee Pension and Other Benefit Plans
EMPLOYEE PENSION AND OTHER BENEFIT PLANS
NOTE 7 EMPLOYEE PENSION AND OTHER BENEFIT PLANS       
          
    Three Months Ended March 31, 
    2012 2011 
 Pension benefit costs, net        
  Service cost   $7 $6 
  Interest cost    10  10 
  Expected return on plan assets    (11)  (10) 
  Amortization, net    6  5 
    $12 $11 
          
    Three Months Ended March 31, 
    2012 2011 
 Other benefit costs, net        
  Service cost   $1 $1 
  Interest cost    1  1 
    $2 $2 
          
Stock Based Compensation
STOCK BASED COMPENSATION
NOTE 8 STOCK BASED COMPENSATION 
         
  Three Months Ended March 31, 
   2012 2011 
 Stock options   $4 $3 
 Restricted stock units  4  7 
 Performance leveraged stock units  3  3 
 Deferred stock  1  2 
   $12 $15 
Income and Mining Taxes
INCOME AND MINING TAXES

NOTE 9    INCOME AND MINING TAXES

 

During the first quarter of 2012, the Company recorded estimated income and mining tax expense of $343 resulting in an effective tax rate of 33%. Estimated income and mining tax expense during the first quarter of 2011 was $305 for an effective tax rate of 31%. The increase in the effective tax rate from 2011 to 2012 is a result of valuation allowances recorded on our Canadian deferred tax assets generated in the quarter. Aside from the above mentioned valuation allowance, the effective tax rates in the first quarter of 2012 and 2011 are different from the United States statutory rate of 35% primarily due to the U.S. percentage depletion deduction.

The Company operates in numerous countries around the world and accordingly it is subject to, and pays annual income taxes under, the various income tax regimes in the countries in which it operates. Some of these tax regimes are defined by contractual agreements with the local government, and others are defined by the general corporate income tax laws of the country. The Company has historically filed, and continues to file, all required income tax returns and pay the income taxes reasonably determined to be due. The tax rules and regulations in many countries are highly complex and subject to interpretation. From time to time the Company is subject to a review of its historic income tax filings and in connection with such reviews, disputes can arise with the taxing authorities over the interpretation or application of certain rules to the Company's business conducted within the country involved.

At March 31, 2012, the Company's total unrecognized tax benefit was $242 for uncertain income tax positions taken or expected to be taken on income tax returns. Of this, $45 represents the amount of unrecognized tax benefits that, if recognized, would affect the Company's effective income tax rate.

 

As a result of the statute of limitations that expire in the next 12 months in various jurisdictions, and possible settlements of audit-related issues with taxing authorities in various jurisdictions with respect to which none of the issues are individually significant, the Company believes that it is reasonably possible that the total amount of its net unrecognized income tax benefits will decrease by approximately $25 to $30 in the next 12 months.

 

The Company's income and mining tax expense differed from the amounts computed by applying the United States statutory corporate income tax rate for the following reasons:

     Three Months Ended March 31,  
     2012 2011  
 Income before income and mining tax and other items   $1,036   $973  
                
 Tax on income at 35% statutory rate  35%$363 35%$341  
               
 Reconciling items:            
  Percentage depletion   (7)  (74) (6)  (55)  
  Change in valuation allowance on deferred tax assets 3  33 -  -  
  Other   2  21 2  19  
 Income and mining tax expense 33%$343 31%$305  
Discontinued Operations
DISCONTINUED OPERATIONS

NOTE 10    DISCONTINUED OPERATIONS

 

Discontinued operations include Holloway Mining Company, which owned the Holt-McDermott property (“Holt property”) and was sold to St. Andrew Goldfields Ltd. (“St. Andrew”) in 2006. In 2009, the Superior Court issued a decision finding Newmont Canada Corporation (“Newmont Canada”) liable for a sliding scale royalty on production from the Holt property, which Newmont Canada appealed. In May 2011, the Ontario Court of Appeal upheld the Superior Court ruling. During the first quarter of 2012, the Company recorded an additional $71 charge, net of tax benefits of $4, to reflect an increase in future expected production at the Holt property due to new reserve and resource estimates published by St. Andrew and an increase in the current spot gold price. 

 

Net operating cash used in discontinued operations of $4 in the first quarter of 2012 relates to payments on the Holt property royalty.

 

Net Income Attributable to Noncontrolling Interests
NET INCOME ATTRIBUTABLE TO NONCONTROLLING INTERESTS
NOTE 11 NET INCOME ATTRIBUTABLE TO NONCONTROLLING INTERESTS 
         
  Three Months Ended March 31, 
   2012 2011 
 Yanacocha   $111 $56 
 Batu Hijau    13  102 
 Other    (11)  (2) 
   $113 $156 

At March 31, 2012, Newmont had a 48.5% effective economic interest in PT Newmont Nusa Tenggara (“PTNNT”). PTNNT operates the Batu Hijau copper and gold mine in Indonesia. Based on ASC guidance for variable interest entities, Newmont continues to consolidate PTNNT in its Condensed Consolidated Financial Statements.

 

Newmont has a 51.35% ownership interest in Minera Yanacocha S.R.L. (“Yanacocha”), with the remaining interests held by Compañia de Minas Buenaventura, S.A.A. (43.65%) and the International Finance Corporation (5%).

Income Per Common Share
INCOME PER COMMON SHARE

NOTE 12    INCOME PER COMMON SHARE

 

Basic income per common share is computed by dividing income available to Newmont common stockholders by the weighted average number of common shares outstanding during the period. Diluted income per common share is computed similarly to basic income per common share except that weighted average common shares is increased to include the potential issuance of dilutive common shares.

 

      Three Months Ended March 31, 
      2012 2011 
            
 Net income attributable to Newmont stockholders $490 $514 
            
 Weighted average common shares (millions):       
   Basic    495  493 
   Effect of employee stock-based awards    2  2 
   Effect of convertible notes  7  6 
   Diluted    504  501 
            
 Net income attributable to Newmont stockholders per       
  common share       
   Basic:       
    Continuing operations   $1.13 $1.04 
    Discontinued operations    (0.14)  - 
     $0.99 $1.04 
   Diluted:       
    Continuing operations   $1.11 $1.03 
    Discontinued operations    (0.14)  - 
     $0.97 $1.03 

Options to purchase 1 and 2 million shares of common stock at average exercise prices of $59 and $57 were outstanding at March 31, 2012 and 2011, respectively, but were not included in the computation of diluted weighted average common shares because their effect would have been anti-dilutive.

 

Under its convertible note indentures, Newmont is required to settle the principal amount of its 2014 and 2017 Convertible Senior Notes in cash and may elect to settle the remaining conversion premium (Newmont average share price in excess of the conversion price), if any, in cash, shares or a combination thereof. The effect of contingently convertible instruments on diluted earnings per share is calculated under the net share settlement method in accordance with ASC guidance. The average price of the Company's common stock exceeded the conversion prices for all periods presented, resulting in additional shares included in the computation of diluted weighted average common shares for the period in which the Convertible Senior Notes were outstanding during the quarter.

 

In February 2012, the holders of the Company's 2012 Convertible Senior Notes exercised their election to convert the notes. The Company elected to pay the $172 conversion premium with cash, and as a result no common shares were issued.

 

Changes in Equity
CHANGES IN EQUITY
NOTE 13 CHANGES IN EQUITY       
           
     Three Months Ended March 31, 
     2012 2011 
 Common stock:       
  At beginning of period $784 $778 
   Stock based awards   1   1 
  At end of period    785  779 
           
 Additional paid-in capital:       
  At beginning of period    8,408  8,279 
   Stock based awards   27  25 
   Conversion premium on convertible notes  (172)  0 
  At end of period    8,263  8,304 
           
 Accumulated other comprehensive income:       
  At beginning of period    652  1,108 
   Other comprehensive income   6  281 
  At end of period    658  1,389 
           
 Retained earnings:       
  At beginning of period    3,052  3,180 
   Net income attributable to Newmont stockholders    490  514 
   Dividends paid     (173)  (74) 
  At end of period    3,369  3,620 
           
 Noncontrolling interests:       
  At beginning of period    2,875  2,371 
   Net income attributable to noncontrolling interests    113  156 
   Other comprehensive income    2  2 
  At end of period    2,990  2,529 
 Total equity   $16,065 $16,621 
           
Fair Value Accounting
FAIR VALUE ACCOUNTING

NOTE 14    FAIR VALUE ACCOUNTING

 

Fair value accounting establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below:

 

Level 1       Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities;

 

Level 2       Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; and

 

Level 3       Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity).

 

The following table sets forth the Company's assets and liabilities measured at fair value on a recurring basis (at least annually) by level within the fair value hierarchy. As required by accounting guidance, assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement.

 

    Fair Value at March 31, 2012 
    Total Level 1 Level 2 Level 3 
 Assets:            
  Cash equivalents  $809 $809 $- $- 
  Marketable equity securities:              
   Extractive industries 1,409  1,409  -  - 
   Other 15  15  -  - 
  Marketable debt securities:            
   Asset backed commercial paper   19  -  -  19 
   Corporate 144  -  144  - 
   Auction rate securities   5  -  -  5 
  Trade receivable from provisional copper             
   and gold concentrate sales, net  222  222  -  - 
  Derivative instruments, net:              
   Foreign exchange forward contracts 231  -  231  - 
   Diesel forward contracts 11  -  11  - 
    $2,865 $2,455 $386 $24 
 Liabilities:            
  Boddington contingent consideration 43  -  -  43 
  Holt property royalty 247  -  -  247 
    $290 $- $- $290 

 

The Company's cash equivalent instruments are classified within Level 1 of the fair value hierarchy because they are valued using quoted market prices. The cash equivalent instruments that are valued based on quoted market prices in active markets are primarily money market securities and U.S. Treasury securities.

 

The Company's marketable equity securities are valued using quoted market prices in active markets and as such are classified within Level 1 of the fair value hierarchy. The securities are segregated based on industry. The fair value of the marketable equity securities is calculated as the quoted market price of the marketable equity security multiplied by the quantity of shares held by the Company.

 

The Company's marketable debt securities include investments in auction rate securities and asset backed commercial paper. The Company's corporate marketable debt securities are valued using quoted market prices in non-active markets and as such are classified within Level 2 of the fair value hierarchy. The Company reviews the fair value for auction rate securities and asset backed commercial paper on at least a quarterly basis. The auction rate securities are traded in markets that are not active, trade infrequently and have little price transparency. The Company estimated the fair value of the auction rate securities based on weighted average risk calculations using cash flow assumptions discounted approximately 42%, which reflects an estimated discount for lack of marketability. The Company estimated the fair value of its asset backed commercial paper using a probability of return ranging from 13%-74% for each class of notes, which is reflective of information reviewed regarding the separate classes of securities. As a result of utilizing the unobservable inputs noted above in its fair value estimation of the Company's auction rate securities and asset backed commercial paper, both fair value estimates are classified within Level 3 of the fair value hierarchy.

 

The Company's net trade receivable from provisional copper and gold concentrate sales, subject to final pricing, is valued using quoted market prices based on forward curves and, as such, is classified within Level 1 of the fair value hierarchy.

 

The Company's derivative instruments are valued using pricing models and the Company generally uses similar models to value similar instruments. Valuation models require a variety of inputs, including contractual terms, market prices, yield curves, credit spreads, measures of volatility, and correlations of such inputs. The Company's derivatives trade in liquid markets, and as such, model inputs can generally be verified and do not involve significant management judgment. Such instruments are classified within Level 2 of the fair value hierarchy.

 

The estimated value of the Boddington contingent royalty was determined using a Monte Carlo valuation model which simulates future gold and copper prices and costs applicable to sales. At March 31, 2012 the Company used the following long-term price assumptions: 1) $1,500 per ounce gold price, 2) $3.50 per pound copper price, 3) $90 per barrel of oil, and 4) a $1.00 A$/US$ exchange rate. The Company used an approximately 4% discount rate in the model. The contingent royalty liability is classified within Level 3 of the fair value hierarchy.

 

The estimated fair value of the Holt sliding scale royalty was determined using a Monte Carlo valuation model to simulate future gold prices utilizing a long-term gold price assumption of $1,500 per ounce, various gold production scenarios based on publicly available reserve and resource information for the Holt property and an approximately 4% weighted average discount rate. The sliding scale royalty liability is classified within Level 3 of the fair value hierarchy.

 

The table below sets forth a summary of changes in the fair value of the Company's Level 3 financial assets and liabilities for the three months ended March 31, 2012:

 

    Auction Rate Securities Asset Backed Commercial Paper Total Assets Boddington Contingent Royalty Holt Property Royalty Total Liabilities 
 Balance at beginning of period   $5 $19 $24 $54 $176 $230 
  Settlements  -  -  -  (11)  (4)  (15) 
  Revaluation  -  -  -  -  75  75 
 Balance at end of period   $5 $19 $24 $43 $247 $290 

At March 31, 2012, assets and liabilities classified within Level 3 of the fair value hierarchy represent 1% and 100%, respectively, of total assets and liabilities measured at fair value.

 

Derivative Instruments
DERIVATIVE INSTRUMENTS

NOTE 15    DERIVATIVE INSTRUMENTS

The Company's strategy is to provide shareholders with leverage to changes in gold and copper prices by selling its production at spot market prices. Consequently, the Company does not hedge its gold and copper sales. The Company continues to manage certain risks associated with commodity input costs, interest rates and foreign currencies using the derivative market. All of the derivative instruments described below were transacted for risk management purposes and qualify as cash flow or fair value hedges.

Cash Flow Hedges

The foreign currency, diesel and forward starting swap contracts are designated as cash flow hedges, and as such, the effective portion of unrealized changes in market value have been recorded in Accumulated other comprehensive income and are reclassified to income during the period in which the hedged transaction affects earnings. Gains and losses from hedge ineffectiveness are recognized in current earnings.

Foreign Currency Contracts

 

Newmont utilizes foreign currency contracts to reduce the variability of the US dollar amount of forecasted foreign currency expenditures caused by changes in exchange rates. Newmont hedges a portion of the Company's A$ and NZ$ denominated operating expenditures which results in a blended rate realized each period. The hedging instruments are fixed forward contracts with expiration dates ranging up to five years from the date of issue. The principal hedging objective is reduction in the volatility of realized period-on-period $/A$ and $/NZ$ rates, respectively.

 

In June 2011, Newmont began hedging a portion of the Company's A$ denominated capital expenditures related to the construction of the Akyem project in Africa utilizing foreign currency contracts. The hedging instruments are fixed forward contracts with expiration dates ranging up to two years.

 

In July 2011, Newmont began hedging a portion of the Company's A$ denominated capital expenditures related to the construction of a mine shaft at Tanami in Australia utilizing foreign currency contracts. The hedging instruments are fixed forward contracts with expiration dates ranging up to three years.

 

Newmont had the following foreign currency derivative contracts outstanding at March 31, 2012:

    Expected Maturity Date 
                Total/ 
    2012 2013 2014 2015 2016 2017 Average 
 A$ Operating Fixed Forward Contracts:                       
  A$ notional (millions)    935  987  701  407  202  11  3,243 
  Average rate ($/A$)    0.92  0.92  0.90  0.88  0.89  0.89  0.91 
  Expected hedge ratio  77% 64% 46% 29% 14% 4%   
 A$ Capital Fixed Forward Contracts:                       
  A$ notional (millions)    42  51  22  -  -  -  115 
  Average rate ($/A$)    1.00  0.98  0.96  -  -  -  0.98 
  Expected hedge ratio  41% 24% 48% -  -  -    
 NZ$ Operating Fixed Forward Contracts:                       
  NZ$ notional (millions)    48  29  2  -  -  -  79 
  Average rate ($/NZ$)    0.76  0.78  0.77  -  -  -  0.77 
  Expected hedge ratio  48% 23% 5% -  -  -    
                         

Diesel Fixed Forward Contracts

Newmont hedges a portion of its operating cost exposure related to diesel consumed at its Nevada operations to reduce the variability in realized diesel prices. The hedging instruments consist of a series of financially settled fixed forward contracts with expiration dates ranging up to three years from the date of issue.

Newmont had the following diesel derivative contracts outstanding at March 31, 2012:

    Expected Maturity Date 
             Total/ 
    2012 2013 2014 2015 Average 
 Diesel Fixed Forward Contracts:                 
  Diesel gallons (millions)    20  14  6  1  41 
  Average rate ($/gallon)    2.89  2.94  2.91  2.90  2.90 
  Expected hedge ratio  60% 32% 14% 5%   

Forward Starting Swap Contracts

During 2011, Newmont entered into forward starting interest rate swap contracts with a total notional value of $2,000. These contracts hedged movements in treasury rates related to a debt issuance that occurred in the first quarter of 2012. On March 8, 2012, Newmont closed its sale of $2,500 senior notes consisting of 3.5% senior notes due 2022 in the principal amount of $1,500 (10-year notes), and 4.875% senior notes due 2042 in the principal amount of $1,000 (30-year notes). As a result of the debt issued, the forward-starting interest rate swaps were settled. The total settlement amount of these swaps was $362, of which $349 represents the effective portion of the hedging instrument included in Accumulated other comprehensive income. The net proceeds from the debt issuance were adjusted by the settlement amount of the swap contracts and included as a financing activity in the Condensed Consolidated Statements of Cash Flow.

 

Fair Value Hedges

Interest Rate Swap Contracts

Newmont had $222 fixed to floating swap contracts designated as a hedge against 8 5/8% debentures which matured in May 2011.

Derivative Instrument Fair Values

Newmont had the following derivative instruments designated as hedges at March 31, 2012 and December 31, 2011:

   Fair Value 
   At March 31, 2012 
   Other Current Assets Other Long-Term Assets Other Current Liabilities Other Long-Term Liabilities 
 Foreign currency exchange contracts:            
  A$ operating fixed forwards  $119 $113 $2 $4 
  A$ capital fixed forwards   1  1  -  - 
  NZ$ operating fixed forwards 3  -  -  - 
 Diesel fixed forwards 9  2  -  - 
 Total derivative instruments (Note 19 and 21)$132 $116 $2 $4 
               
   Fair Value 
   At December 31, 2011 
   Other Current Assets Other Long-Term Assets Other Current Liabilities Other Long-Term Liabilities 
 Foreign currency exchange contracts:            
  A$ operating fixed forwards  $121  112  6  4 
  A$ capital fixed forwards -  -  -  1 
  NZ$ operating fixed forwards   2  -  1  - 
 Diesel fixed forwards 4  -  2  1 
 Forward starting interest rate swaps -  -  399  - 
 Total derivative instruments (Note 19 and 21)$127 $112 $408 $6 

The following tables show the location and amount of gains (losses) reported in the Company's Condensed Consolidated Financial Statements related to the Company's cash flow and fair value hedges and the gains (losses) recorded for the hedged item related to the fair value hedges.

      Foreign Currency Diesel Forward Forward Starting
       Exchange Contracts Contracts  Swaps
     2012 2011 2012 2011 2012 2011
 For the three months ended March 31,                   
 Cash flow hedging relationships:                   
  Gain recognized in other comprehensive income (effective portion)    $62 $67 $12 $15 $36 $-
  Gain(loss) reclassified from Accumulated other comprehensive income into income (effective portion) (1)   47  42  3  4  (1)  -
  Gain reclassified from Accumulated other comprehensive loss into income (ineffective portion) (2)   -  -  -  -  2  -

(1) The gain for the effective portion of foreign exchange and diesel cash flow hedges reclassified from Accumulated other comprehensive income is included in Costs applicable to sales. The loss for the effective portion of forward starting swaps reclassified from Accumulated other comprehensive income is included in Interest Expense.

(2) The ineffective portion recognized for cash flow hedges is included in Other Income, net.

 

 

 

    Interest Rate 8 5/8% Debentures 
    Swap Contracts(Hedged Portion) 
    2012 2011 2012 2011 
 For the three months ended March 31,             
 Fair value hedging relationships:             
  Gain(loss) recognized in income (effective portion) (1)? $- $2 $- $(5) 
  Loss recognized in income (ineffective portion) (2)?  -  (1)  -  - 

(1) The gain(loss) recognized for the effective portion of fair value hedges and the underlying hedged debt is included in Interest expense, net.

(2) The ineffective portion recognized for fair value hedges and the underlying hedged debt is included in Other income, net.

 

The amount to be reclassified from Accumulated other comprehensive income, net of tax to income for derivative instruments during the next 12 months is a gain of approximately $70.

 

Provisional Copper and Gold Sales

 

The Company's provisional copper and gold sales contain an embedded derivative that is required to be separated from the host contract for accounting purposes. The host contract is the receivable from the sale of the gold and copper concentrates at the prevailing indices' prices at the time of sale. The embedded derivative, which does not qualify for hedge accounting, is marked to market through earnings each period prior to final settlement.

 

LME copper prices averaged $3.77 per pound during the first quarter of 2012, compared with the Company's recorded average provisional price of $3.75 per pound before mark-to-market gains and treatment and refining charges. During the first quarter of 2012, changes in copper prices resulted in a provisional pricing mark-to-market gain of $31 ($0.53 per pound). At March 31, 2012, Newmont had copper sales of 58 million pounds priced at an average of $3.83 per pound, subject to final pricing over the next several months.

 

The average London P.M. fix for gold was $1,691 per ounce during the first quarter of 2012, consistent with the Company's recorded average provisional price before mark-to-market gains and treatment and refining charges. During the first quarter of 2012, changes in gold prices resulted in a provisional pricing mark-to-market gain of $6 ($4 per ounce). At March 31, 2012, Newmont had gold sales of 95,000 ounces priced at an average of $1,663 per ounce, subject to final pricing over the next several months.

 

Investments
INVESTMENTS
NOTE 16 INVESTMENTS             
     At March 31, 2012 
     Cost/Equity Unrealized Fair/Equity 
     Basis Gain Loss Basis 
 Current:              
  Marketable Equity Securities:             
   Paladin Energy Ltd. $60 $40 $- $100 
   Other  15  10  (1)  24 
      75  50  (1)  124 
  Marketable Debt Securities:             
   Corporate    55  -  -  55 
     $130 $50 $(1) $179 
                 
 Long-term:              
  Marketable Debt Securities:             
   Asset backed commercial paper  $25 $- $(6) $19 
   Auction rate securities    8  -  (3)  5 
   Corporate    87  2  -  89 
      120  2  (9)  113 
  Marketable Equity Securities:              
   Canadian Oil Sands Ltd.  309  342  -  651 
   Gabriel Resources Ltd.    78  161  -  239 
   Regis Resources Ltd.  36  278  -  314 
   Other    80  18  (2)  96 
      503  799  (2)  1,300 
                 
  Other investments, at cost     11  -  -  11 
                 
  Investment in Affiliates:             
   La Zanja  55  -  -  55 
     $689 $801 $(11) $1,479 
                 

     At December 31, 2011 
     Cost/Equity Unrealized Fair/Equity 
     Basis Gain Loss Basis 
 Current:              
  Marketable Equity Securities:             
   Paladin Energy Ltd. $60 $13 $- $73 
   Other  15  7  (1)  21 
     $75 $20 $(1) $94 
 Long-term:              
  Marketable Debt Securities:              
   Asset backed commercial paper  $25 $- $(6) $19 
   Auction rate securities    7  -  (2)  5 
   Corporate    10  1  -  11 
      42  1  (8)  35 
  Marketable Equity Securities:              
   Canadian Oil Sands Trust  302  401  -  703 
   Gabriel Resources Ltd.    76  236  -  312 
   Regis Resources Ltd.  36  218  -  254 
   Other    92  16  (17)  91 
      506  871  (17)  1,360 
                 
  Other investments, at cost     11  -  -  11 
                 
  Investment in Affiliates:              
   La Zanja  66  -  -  66 
     $625 $872 $(25) $1,472 

Included in Investments at March 31, 2012 and December 31, 2011 are $1 and $11, respectively, of long-term marketable debt securities and $15 and $4 of long-term marketable equity securities, respectively, that are legally pledged for purposes of settling asset retirement obligations related to the San Jose Reservoir at Yanacocha.

 

During the first quarter of 2012, the Company recognized impairments for other-than-temporary declines in value of $24 for marketable equity securities.

 

The following tables present the gross unrealized losses and fair value of the Company's investments with unrealized losses that are not deemed to be other-than-temporarily impaired, aggregated by length of time that the individual securities have been in a continuous unrealized loss position:

 

  Less than 12 Months  12 Months or Greater  Total
At March 31, 2012 Fair Value  Unrealized Losses  Fair Value  Unrealized Losses  Fair Value  Unrealized Losses
Marketable equity securities$ 24 $ 3 $ - $ - $ 24 $ 3
Asset backed commercial paper   -   -   19   6   19   6
Auction rate securities    -   -   5   3   5   3
 $ 24 $ 3 $ 24 $ 9 $ 48 $ 12
                  
                  
                  
  Less than 12 Months  12 Months or Greater  Total
At December 31, 2011 Fair Value  Unrealized Losses  Fair Value  Unrealized Losses  Fair Value  Unrealized Losses
Asset backed commercial paper $ - $ - $ 19 $ 6 $ 19 $ 6
Auction rate securities    -   -   5   2   5   2
Marketable equity securities  42   18   -   -   42   18
 $ 42 $ 18 $ 24 $ 8 $ 66 $ 26

While the fair values of the Company's investments in asset backed commercial paper and auction rate securities are below their respective cost, the Company views these declines as temporary. The Company intends to hold its investment in auction rate securities and asset backed commercial paper until maturity or such time that the market recovers and therefore considers these losses temporary.

 

Inventories
INVENTORIES
NOTE 17 INVENTORIES       
         
   At March 31, At December 31, 
  20122011 
 In-process $112 $159 
 Concentrate  123  116 
 Precious metals  35  12 
 Materials, supplies and other  429  427 
   $699 $714 
Stockpiles and Ore on Leach Pads
STOCKPILES AND ORE ON LEACH PADS
NOTE 18 STOCKPILES AND ORE ON LEACH PADS      
         
   At March 31, At December 31, 
   20122011 
 Current:      
  Stockpiles$ 527 $ 506 
  Ore on leach pads  217   165 
   $ 744 $ 671 
 Long-term:      
  Stockpiles$ 2,091 $ 1,904 
  Ore on leach pads  379   367 
   $ 2,470 $ 2,271 

   At March 31, At December 31, 
   2012 2011 
 Stockpiles and ore on leach pads:      
  Nevada$563 $536 
  La Herradura 9  6 
  Yanacocha 600  512 
  Boddington 482  435 
  Batu Hijau 1,220  1,119 
  Other Australia/New Zealand 157  161 
  Ahafo 183  173 
   $3,214 $2,942 
Other Assets
OTHER ASSETS
NOTE 19 OTHER ASSETS      
   At March 31, At December 31, 
   20122011 
 Other current assets:      
  Refinery metal inventory and receivable$500 $796 
  Derivative instruments  132  127 
  Prepaid assets 126  93 
  Note receivable 33  12 
  Restricted cash 2  20 
  Other   91  85 
   $884 $1,133 
         
 Other long-term assets:      
  Goodwill$188 $188 
  Intangible assets 144  147 
  Income tax receivable 142  142 
  Derivative instruments 116  112 
  Debt issuance costs   79  59 
  Restricted cash   49  48 
  Other receivables 19  17 
  Other   167  144 
   $904 $857 
Debt
DEBT
NOTE 20 DEBT            
             
 At March 31, 2012 At December 31, 2011 
 Current Non-Current Current Non-Current 
Sale-leaseback of refractory ore treatment plant  $ 59 $ - $ 165 $ - 
Corporate revolving credit facility (due 2016)  -   -   -   33 
2012 Convertible Senior Notes, net of discount  -   -   514   - 
2014 Convertible Senior Notes, net of discount  -   517   -   512 
2017 Convertible Senior Notes, net of discount  -   457   -   452 
2019 Senior Notes, net of discount    -   896   -   896 
2022 Senior Notes, net of discount  -   1,489   -   - 
2035 Senior Notes, net of discount    -   598   -   598 
2039 Senior Notes, net of discount    -   1,087   -   1,087 
2042 Senior Notes, net of discount  -   991   -   - 
Ahafo project facility    10   45   10   45 
Other capital leases  -   1   -   1 
 $ 69 $ 6,081 $ 689 $ 3,624 
             

Scheduled minimum debt repayments are $69 for the remainder of 2012, $10 in 2013, $527 in 2014, $10 in 2015, $10 in 2016 and $5,524 thereafter.

 

2012 Convertible Senior Notes

In February 2012, the Company's 2012 Convertible Senior Notes matured, resulting in a principal payment of $517. The Company elected to pay the conversion premium of $172 in cash, in lieu of issuing common shares.

 

2022 and 2042 Senior Notes

In March 2012, the Company completed a two part public offering of $1,500 and $1,000 uncollateralized Senior Notes maturing on March 15, 2022 and March 15, 2042, respectively. Net proceeds from the 2022 and 2042 Senior Notes were $1,479 and $983, respectively. The 2022 Senior Notes pay interest semi-annually at a rate of 3.50% per annum and the 2042 Senior Notes pay semi-annual interest of 4.875% per annum.

 

Consistent with the Company's other Notes included in the table above, the 2022 and 2042 Senior Notes contain various covenants and default provisions including payment defaults, limitation on liens, limitation on sales and leaseback agreements and merger restrictions.

 

 

 

Other Liabilities
OTHER LIABILITIES
NOTE 21 OTHER LIABILITIES      
         
   At March 31, At December 31, 
   20122011 
 Other current liabilities:      
  Refinery metal payable$500 $796 
  Accrued capital expenditures 267  248 
  Accrued operating costs 256  231 
  Taxes other than income and mining 86  93 
  Reclamation and remediation liabilities 70  71 
  Deferred income tax 57  50 
  Royalties 43  53 
  Boddington contingent consideration 39  24 
  Holt property royalty 21  17 
  Interest 12  55 
  Derivative instruments 2  408 
  Other 64  87 
   $1,417 $2,133 
         
 Other long-term liabilities:      
  Holt property royalty$226 $159 
  Income and mining taxes   86  88 
  Power supply agreements 46  45 
  Derivative instruments 4  6 
  Boddington contingent consideration  4  30 
  Other  31  36 
   $397 $364 
         
Net Change in Operating Assets and Liabilities
NET CHANGE IN OPERATING ASSETS AND LIABILITIES

NOTE 22 NET CHANGE IN OPERATING ASSETS AND LIABILITIES

 

Net cash provided from operations attributable to the net change in operating assets and liabilities is composed of the following:

 

   Three Months Ended March 31, 
   2012 2011 
 Decrease (increase) in operating assets:      
  Trade and accounts receivable  $(21) $119 
  Inventories, stockpiles and ore on leach pads   (201)  (56) 
  EGR refinery assets   319  (175) 
  Other assets   (74)  (38) 
 Increase (decrease) in operating liabilities:      
  Accounts payable and other accrued liabilities   (32)  4 
  EGR refinery liabilities   (319)  175 
  Reclamation liabilities   (28)  (8) 
   $(356) $21 
Supplemental Cash Flow Information
SUPPLEMENTAL CASH FLOW INFORMATION
NOTE 23 SUPPLEMENTAL CASH FLOW INFORMATION  
         
   Three Months Ended March 31, 
   2012 2011 
 Income and mining taxes, net of refunds   $296 $278 
 Interest, net of amounts capitalized   $23 $20 
Condensed Consolidating Financial Statements
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS

NOTE 24    CONDENSED CONSOLIDATING FINANCIAL STATEMENTS

Newmont USA, a 100% owned subsidiary of Newmont Mining Corporation, has fully and unconditionally guaranteed the 2019, 2022, 2035, 2039 and 2042 Senior Notes, the 2014 and 2017 Convertible Senior Notes and the corporate revolving credit facility. The following consolidating financial statements are provided for Newmont USA, as guarantor, and for Newmont Mining Corporation, as issuer, as an alternative to providing separate financial statements for the guarantor. The accounts of Newmont Mining Corporation are presented using the equity method of accounting for investments in subsidiaries.

                 
   Three Months Ended March 31, 2012
       Newmont
   Newmont      Mining
   Mining Newmont Other  Corporation
Condensed Consolidating Statement of Income Corporation USA Subsidiaries Eliminations Consolidated
                 
Sales $- $1,617 $1,066 $- $2,683
                 
Costs and expenses               
 Costs applicable to sales (1)  -  563  465  (11)  1,017
 Amortization    -  130  101  -  231
 Reclamation and remediation   -  11  5  -  16
 Exploration    -  53  35  -  88
 Advanced projects, research and development    -  88  14  -  102
 General and administrative    -  42  1  11  54
 Other expense, net  -  47  73  -  120
    -  934  694  -  1,628
                 
Other income (expense)                
 Other income, net    (3)  13  23  -  33
 Interest income - intercompany    40  2  5  (47)  -
 Interest expense - intercompany    (5)  -  (42)  47  -
 Interest expense, net    (46)  (5)  (1)  -  (52)
    (14)  10  (15)  -  (19)
Income before income and mining tax and other items                 
 items    (14)  693  357  -  1,036
Income and mining tax expense    5  (146)  (202)  -  (343)
Equity income (loss) of affiliates    499  (11)  67  (574)  (19)
Income (loss) from continuing operations    490  536  222  (574)  674
Income (loss) from discontinued operations    -  4  (75)  -  (71)
Net income   490  540  147  (574)  603
Net income attributable to noncontrolling interests  -  (116)  (32)  35  (113)
Net income attributable to Newmont stockholders $490 $424 $115 $(539) $490
                 
Comprehensive income $496 $541 $139 $(565) $611
Comprehensive income attributable to                
 noncontrolling interests  -  (116)  (34)  35  (115)
Comprehensive income attributable to Newmont               
 stockholders $496 $425 $105 $(530) $496

(1) Excludes Amortization and Reclamation and remediation.

 

                 
   Three Months Ended March 31, 2011
               Newmont
   Newmont         Mining
   Mining Newmont Other    Corporation
Condensed Consolidating Statement of Income Corporation USA Subsidiaries Eliminations Consolidated
                 
Sales $- $1,518 $947 $- $2,465
                 
Costs and expenses               
 Costs applicable to sales (1)  -  566  384  (10)  940
 Amortization    -  159  97  -  256
 Reclamation and remediation   1  10  3  -  14
 Exploration    -  34  28  -  62
 Advanced projects, research and development    -  27  41  -  68
 General and administrative    -  34  1  10  45
 Other expense, net  -  54  19  -  73
    1  884  573  -  1,458
Other income (expense)                
 Other income, net    (5)  25  11  -  31
 Interest income - intercompany    36  2  2  (40)  -
 Interest expense - intercompany    (3)  -  (37)  40  -
 Interest expense, net    (54)  (9)  (2)  -  (65)
    (26)  18  (26)  -  (34)
Income before income and mining tax and other               
 items  (27)  652  348  -  973
Income and mining tax expense  10  (208)  (107)  -  (305)
Equity income (loss) of affiliates    531  1  89  (619)  2
Net income  514  445  330  (619)  670
Net income attributable to noncontrolling interests  -  (192)  (20)  56  (156)
Net income attributable to Newmont stockholders $514 $253 $310 $(563) $514
                 
Comprehensive income $795 $462 $595 $(899) $953
Comprehensive income attributable to noncontrolling               
 interests  -  (192)  (22)  56  (158)
Comprehensive income attributable to Newmont               
 stockholders $795 $270 $573 $(843) $795
                 

(1) Excludes Amortization and Reclamation and remediation.

 

    Three Months Ended March 31, 2012
                Newmont
    Newmont         Mining
    MiningNewmontOther   Corporation
   Condensed Consolidating Statement of Cash FlowsCorporationUSASubsidiariesEliminationsConsolidated
Operating activities:               
  Net income (loss)$490 $540 $147 $(574) $603 
  Adjustments   13  60  (281)  574  366 
  Net change in operating assets and liabilities   (45)  (298)  (13)  -  (356) 
Net cash provided from (used in) continuing operations 458  302  (147)  -  613 
Net cash used in discontinued operations -  -  (4)  -  (4) 
Net cash provided from (used in) operations   458  302  (151)  -  609 
Investing activities:               
  Additions to property, plant and mine development   -  (479)  (217)  -  (696) 
  Purchases of marketable securities -  (143)  -  -  (143) 
  Acquisitions, net    -  -  (11)  -  (11) 
  Proceeds from sale of other assets -  8  4  -  12 
  Other   -  -  (17)  -  (17) 
Net cash used in investing activities   -  (614)  (241)  -  (855) 
Financing activities:               
  Net borrowings (repayments) 1,547  (106)  (2)  -  1,439 
  Payment of conversion premium on debt (172)  -  -  -  (172) 
  Net intercompany borrowings (repayments) (1,662)  1,164  498  -  - 
  Dividends paid to common stockholders   (173)  -  -  -  (173) 
  Proceeds from stock issuance, net 2  -  -  -  2 
  Other   -  -  (2)  -  (2) 
Net cash provided from (used in) financing activities   (458)  1,058  494  -  1,094 
Effect of exchange rate changes on cash   -  (2)  6  -  4 
Net change in cash and cash equivalents   -  744  108  -  852 
Cash and cash equivalents at beginning of period   -  1,526  234  -  1,760 
Cash and cash equivalents at end of period  $- $2,270 $342 $- $2,612 

    Three Months Ended March 31, 2011
                Newmont
    Newmont         Mining
    MiningNewmontOther   Corporation
   Condensed Consolidating Statement of Cash FlowsCorporationUSASubsidiariesEliminationsConsolidated
Operating activities:               
  Net income (loss)$514 $445 $330 $(619) $670 
  Adjustments   21  174  (516)  619  298 
  Net change in operating assets and liabilities   8  (54)  67  -  21 
Net cash provided from (used in) operations   543  565  (119)  -  989 
Investing activities:               
  Additions to property, plant and mine development   -  (238)  (164)  -  (402) 
  Purchases of marketable securities -  (1)  (11)  -  (12) 
  Acquisitions, net -  -  (7)  -  (7) 
  Proceeds from sale of other assets -  6  -  -  6 
  Other   -  -  (3)  -  (3) 
Net cash used in investing activities   -  (233)  (185)  -  (418) 
Financing activities:               
  Net borrowings (repayments) -  (31)  -  -  (31) 
  Net intercompany borrowings (repayments)  (472)  (1,948)  2,420  -  - 
  Dividends paid to common stockholders   (74)  -  -  -  (74) 
  Dividends paid to noncontrolling interests -  (15)  -  -  (15) 
  Proceeds from stock issuance, net   3  -  -  -  3 
Net cash provided from (used in) financing activities   (543)  (1,994)  2,420  -  (117) 
Effect of exchange rate changes on cash   -  (1)  24  -  23 
Net change in cash and cash equivalents   -  (1,663)  2,140  -  477 
Cash and cash equivalents at beginning of period   -  3,877  179  -  4,056 
Cash and cash equivalents at end of period  $- $2,214 $2,319 $- $4,533 

                  
    At March 31, 2012
            Newmont
    Newmont       Mining
    Mining Newmont Other   Corporation
Condensed Consolidating Balance Sheet Corporation USA Subsidiaries Eliminations Consolidated
Assets               
 Cash and cash equivalents   $- $2,270 $342 $- $2,612
 Trade receivables    -  228  121  -  349
 Accounts receivable    1,199  2,268  293  (3,398)  362
 Investments  100  55  24  -  179
 Inventories    -  330  369  -  699
 Stockpiles and ore on leach pads    -  631  113  -  744
 Deferred income tax assets    6  252  5  -  263
 Other current assets    -  124  760  -  884
  Current assets    1,305  6,158  2,027  (3,398)  6,092
 Property, plant and mine development, net    -  7,266  9,127  (29)  16,364
 Investments    -  118  1,361  -  1,479
 Investments in subsidiaries    15,165  24  2,915  (18,104)  -
 Stockpiles and ore on leach pads    -  1,761  709  -  2,470
 Deferred income tax assets    792  808  52  -  1,652
 Other long-term assets    3,607  664  913  (4,280)  904
  Total assets   $20,869 $16,799 $17,104 $(25,811) $28,961
                  
Liabilities               
 Debt   $- $59 $10 $- $69
 Accounts payable    1,472  1,174  1,254  (3,403)  497
 Employee-related benefits    -  171  74  -  245
 Income and mining taxes    -  94  249  -  343
 Other current liabilities    11  468  2,895  (1,957)  1,417
  Current liabilities    1,483  1,966  4,482  (5,360)  2,571
 Debt    6,035  1  45  -  6,081
 Reclamation and remediation liabilities    -  901  362  -  1,263
 Deferred income tax liabilities    -  641  1,459  -  2,100
 Employee-related benefits    5  369  110  -  484
 Other long-term liabilities    548  54  4,103  (4,308)  397
  Total liabilities    8,071  3,932  10,561  (9,668)  12,896
Equity               
 Preferred stock    -  -  61  (61)  -
 Common stock    785  -  -  -  785
 Additional paid-in capital    7,986  3,050  5,697  (8,470)  8,263
 Accumulated other comprehensive income  658  (188)  1,158  (970)  658
 Retained earnings  3,369  6,481  (1,627)  (4,854)  3,369
 Newmont stockholders’ equity    12,798  9,343  5,289  (14,355)  13,075
 Noncontrolling interests    -  3,524  1,254  (1,788)  2,990
  Total equity  12,798  12,867  6,543  (16,143)  16,065
  Total liabilities and equity $20,869 $16,799 $17,104 $(25,811) $28,961
                  

                  
    At December 31, 2011
            Newmont
    Newmont       Mining
    Mining Newmont Other   Corporation
Condensed Consolidating Balance Sheet Corporation USA Subsidiaries Eliminations Consolidated
Assets               
 Cash and cash equivalents   $- $1,526 $234 $- $1,760
 Trade receivables    -  205  95  -  300
 Accounts receivable    1,415  3,447  264  (4,806)  320
 Investments  72  -  22  -  94
 Inventories    -  333  381  -  714
 Stockpiles and ore on leach pads    -  532  139  -  671
 Deferred income tax assets    134  257  5  -  396
 Other current assets    -  91  1,042  -  1,133
  Current assets    1,621  6,391  2,182  (4,806)  5,388
 Property, plant and mine development, net    -  6,917  8,990  (26)  15,881
 Investments    -  29  1,443  -  1,472
 Investments in subsidiaries    14,675  43  2,825  (17,543)  -
 Stockpiles and ore on leach pads    -  1,641  630  -  2,271
 Deferred income tax assets    708  838  59  -  1,605
 Other long-term assets    3,423  641  927  (4,134)  857
  Total assets   $20,427 $16,500 $17,056 $(26,509) $27,474
                  
Liabilities               
 Debt   $514 $165 $10 $- $689
 Accounts payable    2,698  1,327  1,343  (4,807)  561
 Employee-related benefits    -  222  85  -  307
 Income and mining taxes    -  45  205  -  250
 Other current liabilities    450  459  3,186  (1,962)  2,133
  Current liabilities    3,662  2,218  4,829  (6,769)  3,940
 Debt  3,578  1  45  -  3,624
 Reclamation and remediation liabilities    -  809  360  -  1,169
 Deferred income tax liabilities    -  732  1,415  -  2,147
 Employee-related benefits    5  355  99  -  459
 Other long-term liabilities    567  61  3,895  (4,159)  364
  Total liabilities    7,812  4,176  10,643  (10,928)  11,703
Equity               
 Preferred stock    -  -  61  (61)  -
 Common stock    784  -  -  -  784
 Additional paid-in capital    8,127  3,050  5,702  (8,471)  8,408
 Accumulated other comprehensive income  652  (189)  1,168  (979)  652
 Retained earnings  3,052  6,055  (1,744)  (4,311)  3,052
 Newmont stockholders’ equity    12,615  8,916  5,187  (13,822)  12,896
 Noncontrolling interests    -  3,408  1,226  (1,759)  2,875
  Total equity  12,615  12,324  6,413  (15,581)  15,771
  Total liabilities and equity $20,427 $16,500 $17,056 $(26,509) $27,474
                  
Commitments and Contingencies
COMMITMENTS AND CONTINGENCIES

NOTE 25    COMMITMENTS AND CONTINGENCIES

 

General

 

The Company follows ASC guidance in accounting for loss contingencies. Accordingly, estimated losses from contingencies are accrued by a charge to income when information available prior to issuance of the financial statements indicates that it is probable (greater than a 75% probability) that a liability could be incurred and the amount of the loss can be reasonably estimated. Legal expenses associated with the contingency are expensed as incurred. If a loss contingency is not probable or reasonably estimable, disclosure of the contingency and estimated range of loss, if determinable is made in the financial statements when it is at least reasonably possible that a material loss could be incurred.

 

Operating Segments

 

The Company's operating segments are identified in Note 3. Except as noted in this paragraph, all of the Company's commitments and contingencies specifically described in this Note 25 relate to the Corporate and Other reportable segment. The PT Newmont Minahasa Raya and PTNNT matters relate to the Asia Pacific reportable segment. The Yanacocha matters relate to the South America reportable segment.

 

Environmental Matters

 

The Company's mining and exploration activities are subject to various laws and regulations governing the protection of the environment. These laws and regulations are continually changing and are generally becoming more restrictive. The Company conducts its operations so as to protect the public health and environment and believes its operations are in compliance with applicable laws and regulations in all material respects. The Company has made, and expects to make in the future, expenditures to comply with such laws and regulations, but cannot predict the full amount of such future expenditures.

 

Estimated future reclamation costs are based principally on legal and regulatory requirements. At March 31, 2012 and December 31, 2011, $1,136 and $1,070, respectively, were accrued for reclamation costs relating to currently or recently producing mineral properties in accordance with asset retirement obligation guidance. The current portions of $47 and $47 at March 31, 2012 and December 31, 2011, respectively, are included in Other current liabilities.

 

The Company is involved in several matters concerning environmental obligations associated with former mining activities. Generally, these matters concern developing and implementing remediation plans at the various sites involved. The Company believes that the related environmental obligations associated with these sites are similar in nature with respect to the development of remediation plans, their risk profile and the compliance required to meet general environmental standards. Based upon the Company's best estimate of its liability for these matters, $197 and $170 were accrued for such obligations at March 31, 2012 and December 31, 2011, respectively. These amounts are included in Other current liabilities and Reclamation and remediation liabilities. Depending upon the ultimate resolution of these matters, the Company believes that it is reasonably possible that the liability for these matters could be as much as 106% greater or 7% lower than the amount accrued at March 31, 2012. The amounts accrued are reviewed periodically based upon facts and circumstances available at the time. Changes in estimates are recorded in Reclamation and remediation in the period estimates are revised.

 

Details about certain of the more significant matters involved are discussed below.

 

Newmont USA Limited - 100% Newmont Owned

 

Grey Eagle Mine Site.    By letter dated September 3, 2002, the EPA notified Newmont that the EPA had expended $3 in response costs to address environmental conditions associated with a historic tailings pile located at the Grey Eagle Mine site near Happy Camp, California, and requested that Newmont pay those costs. The EPA has identified four potentially responsible parties, including Newmont. Newmont does not believe it has any liability for environmental conditions at the Grey Eagle Mine site, and intends to vigorously defend any formal claims by the EPA. Newmont cannot reasonably predict the likelihood or outcome of any future action against it arising from this matter.

 

Ross-Adams Mine Site.    By letter dated June 5, 2007, the U.S. Forest Service notified Newmont that it had expended approximately $0.3 in response costs to address environmental conditions at the Ross-Adams mine in Prince of Wales, Alaska, and requested Newmont USA Limited pay those costs and perform an Engineering Evaluation/Cost Analysis (“EE/CA”) to assess what future response activities might need to be completed at the site. Newmont intends to vigorously defend any formal claims by the EPA. Newmont has agreed to perform the EE/CA. Newmont cannot reasonably predict the likelihood or outcome of any future action against it arising from this matter.

 

PT Newmont Minahasa Raya (“PTNMR”) - 80% Newmont Owned

 

On March 22, 2007, an Indonesian non-governmental organization named Wahana Lingkungan Hidup Indonesia (“WALHI”) filed a civil suit against PTNMR, the Newmont subsidiary that operated the Minahasa mine in Indonesia, and Indonesia's Ministry of Energy & Mineral Resources and Ministry of Environment, alleging pollution from the government-approved and permitted disposal of mill tailings into Buyat Bay, and seeking a court order requiring PTNMR to fund a 25-year monitoring program in relation to Buyat Bay. In December 2007, the court ruled in PTNMR's favor and found that WALHI's allegations of pollution in Buyat Bay were without merit. In March 2008, WALHI appealed this decision to the Indonesian High Court. On January 27, 2010, the Indonesian High Court upheld the December 2007 ruling in favor of PTNMR. On May 17, 2010, WALHI filed an appeal of the January 27, 2010 Indonesian High Court ruling seeking review from the Indonesian Supreme Court. Independent sampling and testing of Buyat Bay water and fish, as well as area residents, conducted by the World Health Organization and the Australian Commonwealth Scientific and Industrial Research Organization confirm that PTNMR has not polluted the Buyat Bay environment, and, therefore, has not adversely affected the fish in Buyat Bay or the health of nearby residents. Ongoing monitoring of seawater quality by an Independent Scientific Panel continues to confirm that PTNMR's operations have not adversely affected the environment. The Company remains steadfast that it has not caused pollution or health problems.

 

Other Legal Matters

 

Minera Yanacocha S.R.L. (“Yanacocha”) - 51.35% Newmont Owned

 

Choropampa.    In June 2000, a transport contractor of Yanacocha spilled approximately 151 kilograms of elemental mercury near the town of Choropampa, Peru, which is located 53 miles (85 kilometers) southwest of the Yanacocha mine. Elemental mercury is not used in Yanacocha's operations but is a by-product of gold mining and was sold to a Lima firm for use in medical instruments and industrial applications. A comprehensive health and environmental remediation program was undertaken by Yanacocha in response to the incident. In August 2000, Yanacocha paid under protest a fine of 1,740,000 Peruvian soles (approximately $0.5) to the Peruvian government. Yanacocha has entered into settlement agreements with a number of individuals impacted by the incident. As compensation for the disruption and inconvenience caused by the incident, Yanacocha entered into agreements with and provided a variety of public works in the three communities impacted by this incident. Yanacocha cannot predict the likelihood of additional expenditures related to this matter.

 

Additional lawsuits relating to the Choropampa incident were filed against Yanacocha in the local courts of Cajamarca, Peru, in May 2002 by over 900 Peruvian citizens. A significant number of the plaintiffs in these lawsuits entered into settlement agreements with Yanacocha prior to filing such claims. In April 2008, the Peruvian Supreme Court upheld the validity of these settlement agreements, which the Company expects to result in the dismissal of all claims brought by previously settled plaintiffs. Yanacocha has also entered into settlement agreements with approximately 350 additional plaintiffs. The claims asserted by approximately 200 plaintiffs remain. In 2011, Yanacocha was served with 22 complaints alleging grounds to nullify the settlements entered between Yanacocha and the plaintiffs. Yanacocha has answered the complaints and the court has dismissed several of the matters and the plaintiffs have filed appeals. Yanacocha will continue to vigorously defend its position. Neither the Company nor Yanacocha can reasonably estimate the ultimate loss relating to such claims.

 

 

PT Newmont Nusa Tenggara (“PTNNT”) – 31.5% Newmont Owned

 

Under the Batu Hijau Contract of Work, beginning in 2006 and continuing through 2010, a portion of PTNNT's shares were required to be offered for sale, first, to the Indonesian government or, second, to Indonesian nationals, equal to the difference between the following percentages and the percentage of shares already owned by the Indonesian government or Indonesian nationals (if such number is positive): 23% by March 31, 2006; 30% by March 31, 2007; 37% by March 31, 2008; 44% by March 31, 2009; and 51% by March 31, 2010. As PT Pukuafu Indah (“PTPI”), an Indonesian national, owned a 20% interest in PTNNT at all relevant times, in 2006, a 3% interest was required to be offered for sale and, in each of 2007 through 2010, an additional 7% interest was required to be offered (for an aggregate 31% interest). The price at which such interests were offered for sale to the Indonesian parties was the fair market value of such interest considering PTNNT as a going concern, as agreed with the Indonesian government.

 

In accordance with the Contract of Work, an offer to sell a 3% interest was made to the Indonesian government in 2006 and an offer for an additional 7% interest was made in each of 2007, 2008, 2009 and 2010. While the central government declined to participate in the 2006 and 2007 offers, local governments in the area in which the Batu Hijau mine is located expressed interest in acquiring shares, as did various Indonesian nationals. After disagreement with the government over whether the government's first right to purchase had expired and receipt of Notices of Default from the government claiming breach and threatening termination of the Contract of Work, on March 3, 2008, the Indonesian government filed for international arbitration as provided under the Contract of Work, as did PTNNT.

 

An international arbitration panel (the “Panel”) was appointed to resolve these claims and other claims that had arisen in relation to divestment and on March 31, 2009, the Panel issued its final award and decision on the matter. In its decision, the Panel determined that PTNNT's foreign shareholders had not complied with the divestiture procedure required by the Contract of Work in 2006 and 2007, but the Panel ruled that the Indonesian government was not entitled to immediately terminate the Contract of Work and rejected the Indonesian government's claim for damages. In November and December 2009, sale agreements were concluded pursuant to which the 2006, 2007 and 2008 shares were transferred to PT Multi Daerah Bersaing (“PTMDB”), the nominee of the local governments, and the 2009 shares were transferred to PTMDB in February 2010, resulting in PTMDB owning a 24% interest in PTNNT.

 

On December 17, 2010, the Ministry of Energy & Mineral Resources, acting on behalf of the Indonesian government, accepted the offer to acquire the final 7% interest in PTNNT. Subsequently, the Indonesian government designated Pusat Investasi Pemerintah (“PIP”), an agency of the Ministry of Finance, as the entity that will buy the final stake. On May 6, 2011, PIP and the foreign shareholders entered into a definitive agreement for the sale and purchase of the final 7% divestiture stake. Closing of the transaction is pending receipt of approvals from certain Indonesian government ministries. Subsequent to signing the agreement, a disagreement arose between the Ministry of Finance and the Indonesian parliament in regard to whether parliamentary approval was needed to allow PIP to make the share purchase. In October 2011, press reports stated that Indonesia's Supreme Audit Agency had determined that parliamentary approval is required. The Ministry of Finance continues to dispute the need for parliamentary approval and has filed a case with Indonesia's Constitutional Court to have the issue finally resolved. Further disputes may arise in regard to the divestiture of the 2010 shares.

 

As part of the negotiation of the sale agreements with PTMDB, the parties executed an operating agreement (the “Operating Agreement”) under which each recognizes the rights of the Company and Sumitomo to apply their operating standards to the management of PTNNT's operations, including standards for safety, environmental stewardship and community responsibility. The Operating Agreement became effective upon the completion of the sale of the 2009 shares in February 2010 and will continue for so long as the Company and Sumitomo own more shares of PTNNT than PTMDB. If the Operating Agreement terminates, then the Company may lose control over the applicable operating standards for Batu Hijau and will be at risk for operations conducted in a manner that either detracts from value or results in safety, environmental or social standards below those adhered to by the Company and Sumitomo.

 

In the event of any future disputes under the Contract of Work or Operating Agreement, there can be no assurance that the Company would prevail in any such dispute and any termination of such contracts could result in substantial diminution in the value of the Company's interests in PTNNT.

 

Effective January 1, 2011, the local government in the region where the Batu Hijau mine is located commenced the enforcement of local regulations that purport to require PTNNT to pay additional taxes based on revenue and the value of PTNNT's contracts. In addition, the regulations purport to require PTNNT to obtain certain export-related documents from the regional government for purposes of shipping copper concentrate. PTNNT is required to and has obtained all export related-documents in compliance with the laws and regulations of the central government. PTNNT believes that the new regional regulations are not enforceable as they expressly contradict higher level Indonesian laws that set out the permissible taxes that can be imposed by a regional government and all effective export requirements. PTNNT's position is supported by Indonesia's Ministry of Energy & Mineral Resources, Ministry of Trade, and the provincial government. To date, PTNNT has not been forced to comply with these new contradictory regional regulations. On February 4, 2011, PTNNT filed legal proceedings seeking to have the regulations declared null and void because they conflict with the laws of Indonesia. Subsequently, the Ministry of Home Affairs issued a decree declaring these local regulations to be contrary to Indonesian law and thus unenforceable. Further disputes with the local government could arise in relation to these regulations. PTNNT intends to vigorously defend its position in this dispute.

 

Additionally, in September 2011, WALHI brought an administrative law claim against Indonesia's Ministry of Environment to challenge the May 2011 renewal of PTNNT's submarine tailings permit. PTNNT and the regional government of KSB (“KSB”) filed separate applications for intervention into the proceedings, both of which were accepted by the Administrative Court. KSB intervened on the side of WALHI, and PTNNT joined on the side of the Ministry of Environment. On April 3, 2012, the Administrative Court ruled in favor of the Ministry of Environment and PTNNT, finding that the Ministry of Environment properly renewed the permit in accordance with Indonesian law and regulations. WALHI has announced that it has appealed the verdict. PTNNT will continue to defend its submarine tailings permit and is confident that the Ministry of Environment acted properly in renewing PTNNT's permit.

 

Claim against Newmont Mining Corporation relating to PTNNT divestiture

 

The Company is aware of a lawsuit apparently filed by Indonesian citizens living in the province of Nusa Tenggara Barat against Indonesia's Ministry of Finance and other government officials (as defendants) and against PTNNT and the Company (as co-defendants). Plaintiffs claim that the purchase by the central government of the final 7% divestiture stake in PTNNT violates, or would violate, their human rights. PTNNT's alleged liability appears supposedly to arise from being a party involved in the process of divestiture, and the Company's from being a holding company of PTNNT. The allegations regarding alleged liability are vague and unclear. Plaintiffs seek various relief, including an order requiring the defendants and co-defendants to transfer the final 7% stake to the regional government of Nusa Tenggara Barat and a payment of approximately $247 in damages. The Company considers that there has been no proper service of process, that there is lack of jurisdiction, and that the claims, including those pertaining to it and PTNNT, are entirely without merit.

PT Pukuafu Indah Litigation

In October 2009, PTPI filed a lawsuit in the Central Jakarta District Court against PTNNT and the Indonesian government seeking to cancel the March 2009 arbitration award pertaining to the manner in which divestiture of shares in PTNNT should proceed (refer to the discussion of PTNNT above for the arbitration results). On October 11, 2010, the District Court ruled in favor of PTNNT and the Indonesian government finding, among other things, that PTPI lacks standing to contest the validity of the arbitration award. PTPI filed an appeal to the High Court, which was rejected by the High Court on January 4, 2012. PTPI has not yet further appealed the case.

Subsequent to its initial claim, PTPI filed numerous additional lawsuits, three of which have been withdrawn, against Newmont Indonesia Limited (“NIL”) and Nusa Tenggara Mining Corporation (“NTMC”), a subsidiary of Sumitomo, in the South Jakarta District Court. Fundamentally, the cases all relate to PTPI's contention that it owns, or has rights to own, the shares in PTNNT that have been or will be divested to fulfill the requirements of the PTNNT Contract of Work and the March 2009 arbitration award. PTPI also makes various other allegations, including alleged rights in or to the Company's or NTMC's non-divestiture shares in PTNNT, and PTPI asserts claims for significant damages allegedly arising from NIL's and NTMC's unlawful acts in transferring the divestiture shares to a third party. On November 30, 2010, the South Jakarta District Court rendered a decision in favor of PTPI in one of the cases that included an order that NIL/NTMC transfer 31% of PTNNT shares to PTPI and pay PTPI $26 in damages and certain monetary penalties. The order is not final and binding until the appeal process is completed. NIL and NTMC appealed the decision. On June 28, 2011, the South Jakarta District Court ruled in favor of NIL and NTMC in one of PTPI's lawsuits contending that PTPI has rights in or to NIL's and NTMC's non-divestiture shares. In the Company's view, this ruling further conflicts with the November 30, 2010 ruling finding that PTPI has rights in the divestiture shares. PTPI has filed a notice of appeal. In March 2012, the District Court dismissed PTPI's final two cases that were pending at the trial court level, and PTPI has to date appealed one of these lawsuits.

 

In January 2010, PTPI also filed a lawsuit against PTNNT's President Director, Mr. Martiono Hadianto, alleging wrongful acts associated with the arbitration, including failure to properly share certain information. The South Jakarta District Court issued a decision partially in favor of PTPI against the PTNNT President Director, requiring the production of arbitration documents. The PTNNT President Director has appealed the decision, which is nonbinding until the appeal process is completed.

 

Newmont, Sumitomo and PTNNT's management believe that all of PTPI's claims in these matters are without merit and constitute a material breach of a written release agreement executed by PTPI in 2009, in which it and its shareholders committed to cease prosecution of all then-pending lawsuits and not to initiate new proceedings, in conjunction with Newmont's provision of financing to PTPI in late 2009.

 

In August 2010, NIL and NVL USA Limited (“NVL”) commenced an arbitration against PTPI in the Singapore International Arbitration Centre, as provided in relevant financing agreements, seeking declarations that PTPI has violated the release agreement by failing to dismiss its Indonesian lawsuits, that PTPI is in breach of the November 2009 loan facility and related agreements, and that NIL and NVL are entitled to damages arising from PTPI's and its shareholders' conduct.

 

On October 1, 2010, NIL and NVL requested, based upon the release agreement, that the arbitral tribunal issue an interim order requiring PTPI and its shareholders to discontinue the various Indonesian court proceedings and refrain from bringing additional lawsuits. On October 15, 2010, the tribunal issued an order granting NIL and NVL's request. The order of the tribunal restrains PTPI and its agents from “proceeding with or continuing with or assisting or participating in the prosecution of the Indonesian [s]uits” and from commencing additional proceedings relating to the same subject matter as the Indonesian lawsuits. NIL and NVL obtained an enforcement order in Singapore courts but it is not known whether PTPI and its shareholders will abide by the court order. PTPI and its shareholders' proceedings in Singapore court to contest enforcement of the interim award were rejected by the court.

 

On April 7, 2011, the arbitral tribunal issued a final award, while keeping the proceedings open to allow NIL and NVL to seek further relief as necessary, finding PTPI and its shareholders in breach of various provisions of the financing agreements, including the release agreement. The tribunal, for the second time, ordered PTPI and its agents to restrain from proceeding with the Indonesian lawsuits or filing new lawsuits relating to the same subject matter. In addition, the tribunal ordered PTPI and other shareholder defendants, collectively, to pay more than $11 in damages, costs and expenses. NIL and NVL obtained an enforcement order in Singapore courts but it is not known whether PTPI and its shareholders will comply with the court order. NIL and NVL have also registered the final award in the Central Jakarta District Court to seek enforcement in Indonesia.

The Company intends to continue vigorously defending the PTPI lawsuits and pursuing its claims against PTPI.

 

NWG Investments Inc. v. Fronteer Gold Inc.

 

In April 2011, Newmont acquired Fronteer Gold Inc. (“Fronteer”). Fronteer has been named as a defendant in a lawsuit filed in New York State Supreme Court by NWG Investments Inc. (“NWG”).

 

Fronteer acquired NewWest Gold Corporation (“NewWest Gold”) in September 2007. At the time of that acquisition, NWG owned approximately 86% of NewWest Gold and an individual named Jacob Safra owned or controlled 100% of NWG. Prior to its acquisition of NewWest Gold, Fronteer entered into a June 2007 lock-up agreement with NWG providing that, among other things, NWG would support Fronteer's acquisition of NewWest Gold. At that time, Fronteer owned approximately 42% of Aurora Energy Resources Inc. (“Aurora”), which, among other things, had a uranium exploration project in Labrador, Canada.

 

NWG contends that, during the negotiations leading up to the lock-up agreement, Fronteer represented to NWG that Aurora would commence uranium mining in Labrador by 2013, that this was a firm date, that Fronteer was not aware of any obstacle to doing so, that Aurora faced no serious environmental issues in Labrador and that Aurora's competitors faced greater delays in commencing uranium mining. NWG further contends that it entered into the lock-up agreement and agreed to support Fronteer's acquisition of NewWest Gold in reliance upon these purported representations. On October 11, 2007, less than three weeks after the Fronteer-NewWest Gold transaction closed, a member of the Nunatsiavut Assembly introduced a motion calling for the adoption of a moratorium on uranium mining in Labrador. On April 8, 2008, the Nunatsiavut Assembly adopted a three-year moratorium on uranium mining in Labrador. NWG contends that Fronteer was aware during the negotiations of the NWG/Fronteer lock-up agreement that the Nunatsiavut Assembly planned on adopting this moratorium and that its adoption would preclude Aurora from commencing uranium mining by 2013, but Fronteer nonetheless fraudulently induced NWG to enter into the lock-up agreement.

 

NWG has not yet filed or served a complaint upon Fronteer or Newmont. Newmont intends to defend this matter, but cannot reasonably predict the outcome.

 

 

Other Commitments and Contingencies

 

Tax contingencies are provided for in accordance with ASC income tax guidance (see Note 9).

 

The Company has minimum royalty obligations on one of its producing mines in Nevada for the life of the mine. Amounts paid as a minimum royalty (where production royalties are less than the minimum obligation) in any year are recoverable in future years when the minimum royalty obligation is exceeded. Although the minimum royalty requirement may not be met in a particular year, the Company expects that over the mine life, gold production will be sufficient to meet the minimum royalty requirements. Minimum royalty payments payable are $28 in 2012 through 2016 and $223 thereafter.

 

As part of its ongoing business and operations, the Company and its affiliates are required to provide surety bonds, bank letters of credit and bank guarantees as financial support for various purposes, including environmental reclamation, exploration permitting, workers compensation programs and other general corporate purposes. At March 31, 2012 and December 31, 2011, there were $1,482 and $1,354, respectively, of outstanding letters of credit, surety bonds and bank guarantees. The surety bonds, letters of credit and bank guarantees reflect fair value as a condition of their underlying purpose and are subject to fees competitively determined in the market place. The obligations associated with these instruments are generally related to performance requirements that the Company addresses through its ongoing operations. As the specific requirements are met, the beneficiary of the associated instrument cancels and/or returns the instrument to the issuing entity. Certain of these instruments are associated with operating sites with long-lived assets and will remain outstanding until closure. Generally, bonding requirements associated with environmental regulation are becoming more restrictive. However, the Company believes it is in compliance with all applicable bonding obligations and will be able to satisfy future bonding requirements, through existing or alternative means, as they arise.

 

Newmont is from time to time involved in various legal proceedings related to its business. Except in the above-described proceedings, management does not believe that adverse decisions in any pending or threatened proceeding or that amounts that may be required to be paid by reason thereof will have a material adverse effect on the Company's financial condition or results of operations.

 

Supplementary Data
SUPPLEMENTARY DATA

NOTE 26    SUPPLEMENTARY DATA

 

Ratio of Earnings to Fixed Charges

 

The ratio of earnings to fixed charges for the three months ended March 31, 2012 was 13.5. The ratio of earnings to fixed charges represents income before income and mining tax expense, equity income (loss) of affiliates, loss from discontinued operations and net income attributable to noncontrolling interests, divided by interest expense. Interest expense includes amortization of capitalized interest and the portion of rent expense representative of interest. Interest expense does not include interest on income tax liabilities. The computation of the ratio of earnings to fixed charges can be found in Exhibit 12.1.

 

Summary of Significant Accounting Policies (Policies)
Recently Adopted Accounting Pronouncements

Recently Adopted Accounting Pronouncements

Goodwill Impairment

In September 2011, the ASC guidance was issued related to goodwill impairment. Under the updated guidance, an entity will have the option to first assess qualitatively whether it is necessary to perform the current two-step goodwill impairment test. If the Company believes, as a result of its qualitative assessment, that it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount, the quantitative impairment test is required. Otherwise, no further testing is required. The update does not change how the Company performs the two-step impairment test under current guidance. The Company's January 1, 2012 adoption of the guidance had no impact on the Company's consolidated financial position, results of operations or cash flows.

Fair Value Accounting

 

In May 2011, ASC guidance was issued related to disclosures around fair value accounting. The updated guidance clarifies different components of fair value accounting including the application of the highest and best use and valuation premise concepts, measuring the fair value of an instrument classified in a reporting entity's shareholders' equity and disclosing quantitative information about the unobservable inputs used in fair value measurements that are categorized in Level 3 of the fair value hierarchy. The Company's January 1, 2012 adoption of the updated guidance had no impact on the Company's consolidated financial position, results of operations or cash flows.

 

 

Segment Information (Tables)
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Financial Information of Newmont's Segments
     Costs    Advanced         
     Applicable to    Projects and Pre-Tax Total Capital
   Sales Sales Amortization Exploration Income Assets Expenditures(1)
Three Months Ended March 31, 2012                   
Nevada$723 $267 $53 $34 $369 $7,092 $157
La Herradura 93  32  5  6  45  371  21
Hope Bay -  -  -  -  (50)  108  -
Other North America -  -  -  -  (2)  67  -
 North America 816  299  58  40  362  7,638  178
                       
Yanacocha 594  161  50  17  349  2,745  93
Conga -  -  -  27  (27)  1,254  147
Other South America -  -  -  25  (25)  42  -
 South America 594  161  50  69  297  4,041  240
                       
Boddington:                    
 Gold 298  137  32  N/A  N/A  N/A  N/A
 Copper 61  30  6  N/A  N/A  N/A  N/A
  Total 359  167  38  3  143  4,661  23
Batu Hijau:                    
 Gold 34  19  3  N/A  N/A  N/A  N/A
 Copper 172  85  16  N/A  N/A  N/A  N/A
  Total 206  104  19  7  48  3,671  33
Other Australia/New Zealand 427  190  36  15  179  1,300  70
Other Asia Pacific -  -  1  6  5  695  3
 Asia Pacific 992  461  94  31  375  10,327  129
                       
Ahafo 281  96  24  11  150  1,277  50
Akyem -  -  -  4  (5)  653  85
Other Africa -  -  -  2  (2)  5  -
 Africa 281  96  24  17  143  1,935  135
                       
Corporate and Other -  -  5  33  (141)  5,020  38
Consolidated$2,683 $1,017 $231 $190 $1,036 $28,961 $720
                       
 (1)Includes an increase in accrued capital expenditures of $24; consolidated capital expenditures on a cash basis were $696.
Financial Information of Newmont's Segments
      Costs    Advanced         
      Applicable to    Projects and Pre-Tax Total Capital
   Sales Sales Amortization Exploration Income Assets Expenditures(1)
Three Months Ended March 31, 2011                    
Nevada$582 $272 $72 $17 $216 $3,414 $95
La Herradura 65  18  4  6  36  254  16
Hope Bay -  -  3  44  (48)  2,259  19
Other North America -  -  -  -  (2)  125  -
 North America 647  290  79  67  202  6,052  130
                       
Yanacocha 362  153  53  6  149  2,677  41
Conga -  -  -  3  (4)  335  64
Other South America -  -  -  7  (6)  36  -
 South America 362  153  53  16  139  3,048  105
                       
Boddington:                    
 Gold 232  100  28  N/A  N/A  N/A  N/A
 Copper 53  28  7  N/A  N/A  N/A  N/A
  Total 285  128  35  1  104  4,393  49
Batu Hijau:                    
 Gold 140  34  7  N/A  N/A  N/A  N/A
 Copper 369  89  20  N/A  N/A  N/A  N/A
  Total 509  123  27  -  323  3,627  40
Other Australia/New Zealand 415  166  35  12  197  1,049  62
Other Asia Pacific -  -  1  1  -  548  2
 Asia Pacific 1,209  417  98  14  624  9,617  153
                       
Ahafo 247  80  22  7  136  1,039  15
Akyem -  -  -  1  (1)  320  28
Other Africa -  -  -  -  (1)  6  -
 Africa 247  80  22  8  134  1,365  43
                       
Corporate and Other  -  -  4  25  (126)  6,772  14
Consolidated$2,465 $940 $256 $130 $973 $26,854 $445
                       
 (1)Includes an increase in accrued capital expenditures of $43; consolidated capital expenditures on a cash basis were $402.
Reclamation and Remediation (Tables)
   Three Months Ended March 31, 
   2012 2011 
 Balance at beginning of period   $1,240 $1,048 
 Additions, changes in estimates and other    105  1 
 Liabilities settled    (28)  (8) 
 Accretion expense    16  14 
 Balance at end of period   $1,333 $1,055 
   Three Months Ended March 31, 
   2012 2011 
 Accretion - operating   $14 $12 
 Accretion - non-operating  2  2 
   $16 $14 
Other Expense, Net (Tables)
Other Expense, Net
NOTE 5 OTHER EXPENSE, NET       
         
   Three Months Ended March 31, 
   2012 2011 
 Hope Bay care and maintenance $50 $- 
 Regional administration    21  16 
 Community development    31  17 
 Western Australia power plant    4  4 
 World Gold Council Dues  3  2 
 Indonesian value added tax settlement  -  21 
 Other    11  13 
   $120 $73 
Other Income, Net (Tables)
Other Income, Net
NOTE 6 OTHER INCOME, NET       
         
   Three Months Ended March 31, 
   2012 2011 
 Reduction of allowance for loan receivable $21 $- 
 Income from developing projects, net  14  24 
 Gain on asset sales, net    10  3 
 Canadian Oil Sands  9  6 
 Refinery income  5  - 
 Interest  5  4 
 Ineffective portion of derivative instruments, net  2  (1) 
 Foreign currency exchange, net    (15)  (11) 
 Impairment of marketable securities  (24)  - 
 Other    6  6 
   $33 $31 
Employee Pension and Other Benefit Plans (Tables)
Employee Pension and Other Benefit Plans
NOTE 7 EMPLOYEE PENSION AND OTHER BENEFIT PLANS       
          
    Three Months Ended March 31, 
    2012 2011 
 Pension benefit costs, net        
  Service cost   $7 $6 
  Interest cost    10  10 
  Expected return on plan assets    (11)  (10) 
  Amortization, net    6  5 
    $12 $11 
          
    Three Months Ended March 31, 
    2012 2011 
 Other benefit costs, net        
  Service cost   $1 $1 
  Interest cost    1  1 
    $2 $2 
          
Stock Based Compensation (Tables)
Stock Option and Other Stock Based Compensation
NOTE 8 STOCK BASED COMPENSATION 
         
  Three Months Ended March 31, 
   2012 2011 
 Stock options   $4 $3 
 Restricted stock units  4  7 
 Performance leveraged stock units  3  3 
 Deferred stock  1  2 
   $12 $15 
Income and Mining Taxes (Tables)
Income and Mining Tax Expense Reconciliation
     Three Months Ended March 31,  
     2012 2011  
 Income before income and mining tax and other items   $1,036   $973  
                
 Tax on income at 35% statutory rate  35%$363 35%$341  
               
 Reconciling items:            
  Percentage depletion   (7)  (74) (6)  (55)  
  Change in valuation allowance on deferred tax assets 3  33 -  -  
  Other   2  21 2  19  
 Income and mining tax expense 33%$343 31%$305  
Net Income Attributable to Noncontrolling Interests (Tables)
Net Income Attributable to Noncontrolling Interests
NOTE 11 NET INCOME ATTRIBUTABLE TO NONCONTROLLING INTERESTS 
         
  Three Months Ended March 31, 
   2012 2011 
 Yanacocha   $111 $56 
 Batu Hijau    13  102 
 Other    (11)  (2) 
   $113 $156 
Income Per Common Share (Tables)
Income Per Common Share
      Three Months Ended March 31, 
      2012 2011 
            
 Net income attributable to Newmont stockholders $490 $514 
            
 Weighted average common shares (millions):       
   Basic    495  493 
   Effect of employee stock-based awards    2  2 
   Effect of convertible notes  7  6 
   Diluted    504  501 
            
 Net income attributable to Newmont stockholders per       
  common share       
   Basic:       
    Continuing operations   $1.13 $1.04 
    Discontinued operations    (0.14)  - 
     $0.99 $1.04 
   Diluted:       
    Continuing operations   $1.11 $1.03 
    Discontinued operations    (0.14)  - 
     $0.97 $1.03 
Changes in Equity (Tables)
Changes in Equity
NOTE 13 CHANGES IN EQUITY       
           
     Three Months Ended March 31, 
     2012 2011 
 Common stock:       
  At beginning of period $784 $778 
   Stock based awards   1   1 
  At end of period    785  779 
           
 Additional paid-in capital:       
  At beginning of period    8,408  8,279 
   Stock based awards   27  25 
   Conversion premium on convertible notes  (172)  0 
  At end of period    8,263  8,304 
           
 Accumulated other comprehensive income:       
  At beginning of period    652  1,108 
   Other comprehensive income   6  281 
  At end of period    658  1,389 
           
 Retained earnings:       
  At beginning of period    3,052  3,180 
   Net income attributable to Newmont stockholders    490  514 
   Dividends paid     (173)  (74) 
  At end of period    3,369  3,620 
           
 Noncontrolling interests:       
  At beginning of period    2,875  2,371 
   Net income attributable to noncontrolling interests    113  156 
   Other comprehensive income    2  2 
  At end of period    2,990  2,529 
 Total equity   $16,065 $16,621 
           
Fair Value Accounting (Tables)
    Fair Value at March 31, 2012 
    Total Level 1 Level 2 Level 3 
 Assets:            
  Cash equivalents  $809 $809 $- $- 
  Marketable equity securities:              
   Extractive industries 1,409  1,409  -  - 
   Other 15  15  -  - 
  Marketable debt securities:            
   Asset backed commercial paper   19  -  -  19 
   Corporate 144  -  144  - 
   Auction rate securities   5  -  -  5 
  Trade receivable from provisional copper             
   and gold concentrate sales, net  222  222  -  - 
  Derivative instruments, net:              
   Foreign exchange forward contracts 231  -  231  - 
   Diesel forward contracts 11  -  11  - 
    $2,865 $2,455 $386 $24 
 Liabilities:            
  Boddington contingent consideration 43  -  -  43 
  Holt property royalty 247  -  -  247 
    $290 $- $- $290 
    Auction Rate Securities Asset Backed Commercial Paper Total Assets Boddington Contingent Royalty Holt Property Royalty Total Liabilities 
 Balance at beginning of period   $5 $19 $24 $54 $176 $230 
  Settlements  -  -  -  (11)  (4)  (15) 
  Revaluation  -  -  -  -  75  75 
 Balance at end of period   $5 $19 $24 $43 $247 $290 
Derivative Instruments (Tables)
    Expected Maturity Date 
                Total/ 
    2012 2013 2014 2015 2016 2017 Average 
 A$ Operating Fixed Forward Contracts:                       
  A$ notional (millions)    935  987  701  407  202  11  3,243 
  Average rate ($/A$)    0.92  0.92  0.90  0.88  0.89  0.89  0.91 
  Expected hedge ratio  77% 64% 46% 29% 14% 4%   
 A$ Capital Fixed Forward Contracts:                       
  A$ notional (millions)    42  51  22  -  -  -  115 
  Average rate ($/A$)    1.00  0.98  0.96  -  -  -  0.98 
  Expected hedge ratio  41% 24% 48% -  -  -    
 NZ$ Operating Fixed Forward Contracts:                       
  NZ$ notional (millions)    48  29  2  -  -  -  79 
  Average rate ($/NZ$)    0.76  0.78  0.77  -  -  -  0.77 
  Expected hedge ratio  48% 23% 5% -  -  -    
                         
    Expected Maturity Date 
             Total/ 
    2012 2013 2014 2015 Average 
 Diesel Fixed Forward Contracts:                 
  Diesel gallons (millions)    20  14  6  1  41 
  Average rate ($/gallon)    2.89  2.94  2.91  2.90  2.90 
  Expected hedge ratio  60% 32% 14% 5%   
   Fair Value 
   At March 31, 2012 
   Other Current Assets Other Long-Term Assets Other Current Liabilities Other Long-Term Liabilities 
 Foreign currency exchange contracts:            
  A$ operating fixed forwards  $119 $113 $2 $4 
  A$ capital fixed forwards   1  1  -  - 
  NZ$ operating fixed forwards 3  -  -  - 
 Diesel fixed forwards 9  2  -  - 
 Total derivative instruments (Note 19 and 21)$132 $116 $2 $4 
               
   Fair Value 
   At December 31, 2011 
   Other Current Assets Other Long-Term Assets Other Current Liabilities Other Long-Term Liabilities 
 Foreign currency exchange contracts:            
  A$ operating fixed forwards  $121  112  6  4 
  A$ capital fixed forwards -  -  -  1 
  NZ$ operating fixed forwards   2  -  1  - 
 Diesel fixed forwards 4  -  2  1 
 Forward starting interest rate swaps -  -  399  - 
 Total derivative instruments (Note 19 and 21)$127 $112 $408 $6 
      Foreign Currency Diesel Forward Forward Starting
       Exchange Contracts Contracts  Swaps
     2012 2011 2012 2011 2012 2011
 For the three months ended March 31,                   
 Cash flow hedging relationships:                   
  Gain recognized in other comprehensive income (effective portion)    $62 $67 $12 $15 $36 $-
  Gain(loss) reclassified from Accumulated other comprehensive income into income (effective portion) (1)   47  42  3  4  (1)  -
  Gain reclassified from Accumulated other comprehensive loss into income (ineffective portion) (2)   -  -  -  -  2  -

(1) The gain for the effective portion of foreign exchange and diesel cash flow hedges reclassified from Accumulated other comprehensive income is included in Costs applicable to sales. The loss for the effective portion of forward starting swaps reclassified from Accumulated other comprehensive income is included in Interest Expense.

(2) The ineffective portion recognized for cash flow hedges is included in Other Income, net.

 

 

    Interest Rate 8 5/8% Debentures 
    Swap Contracts(Hedged Portion) 
    2012 2011 2012 2011 
 For the three months ended March 31,             
 Fair value hedging relationships:             
  Gain(loss) recognized in income (effective portion) (1)? $- $2 $- $(5) 
  Loss recognized in income (ineffective portion) (2)?  -  (1)  -  - 

(1) The gain(loss) recognized for the effective portion of fair value hedges and the underlying hedged debt is included in Interest expense, net.

(2) The ineffective portion recognized for fair value hedges and the underlying hedged debt is included in Other income, net.

 

Investments (Tables)
NOTE 16 INVESTMENTS             
     At March 31, 2012 
     Cost/Equity Unrealized Fair/Equity 
     Basis Gain Loss Basis 
 Current:              
  Marketable Equity Securities:             
   Paladin Energy Ltd. $60 $40 $- $100 
   Other  15  10  (1)  24 
      75  50  (1)  124 
  Marketable Debt Securities:             
   Corporate    55  -  -  55 
     $130 $50 $(1) $179 
                 
 Long-term:              
  Marketable Debt Securities:             
   Asset backed commercial paper  $25 $- $(6) $19 
   Auction rate securities    8  -  (3)  5 
   Corporate    87  2  -  89 
      120  2  (9)  113 
  Marketable Equity Securities:              
   Canadian Oil Sands Ltd.  309  342  -  651 
   Gabriel Resources Ltd.    78  161  -  239 
   Regis Resources Ltd.  36  278  -  314 
   Other    80  18  (2)  96 
      503  799  (2)  1,300 
                 
  Other investments, at cost     11  -  -  11 
                 
  Investment in Affiliates:             
   La Zanja  55  -  -  55 
     $689 $801 $(11) $1,479 
                 

     At December 31, 2011 
     Cost/Equity Unrealized Fair/Equity 
     Basis Gain Loss Basis 
 Current:              
  Marketable Equity Securities:             
   Paladin Energy Ltd. $60 $13 $- $73 
   Other  15  7  (1)  21 
     $75 $20 $(1) $94 
 Long-term:              
  Marketable Debt Securities:              
   Asset backed commercial paper  $25 $- $(6) $19 
   Auction rate securities    7  -  (2)  5 
   Corporate    10  1  -  11 
      42  1  (8)  35 
  Marketable Equity Securities:              
   Canadian Oil Sands Trust  302  401  -  703 
   Gabriel Resources Ltd.    76  236  -  312 
   Regis Resources Ltd.  36  218  -  254 
   Other    92  16  (17)  91 
      506  871  (17)  1,360 
                 
  Other investments, at cost     11  -  -  11 
                 
  Investment in Affiliates:              
   La Zanja  66  -  -  66 
     $625 $872 $(25) $1,472 
  Less than 12 Months  12 Months or Greater  Total
At March 31, 2012 Fair Value  Unrealized Losses  Fair Value  Unrealized Losses  Fair Value  Unrealized Losses
Marketable equity securities$ 24 $ 3 $ - $ - $ 24 $ 3
Asset backed commercial paper   -   -   19   6   19   6
Auction rate securities    -   -   5   3   5   3
 $ 24 $ 3 $ 24 $ 9 $ 48 $ 12
                  
                  
                  
  Less than 12 Months  12 Months or Greater  Total
At December 31, 2011 Fair Value  Unrealized Losses  Fair Value  Unrealized Losses  Fair Value  Unrealized Losses
Asset backed commercial paper $ - $ - $ 19 $ 6 $ 19 $ 6
Auction rate securities    -   -   5   2   5   2
Marketable equity securities  42   18   -   -   42   18
 $ 42 $ 18 $ 24 $ 8 $ 66 $ 26
Inventories (Tables)
Summary of Inventories
NOTE 17 INVENTORIES       
         
   At March 31, At December 31, 
  20122011 
 In-process $112 $159 
 Concentrate  123  116 
 Precious metals  35  12 
 Materials, supplies and other  429  427 
   $699 $714 
Stockpiles and Ore on Leach Pads (Tables)
NOTE 18 STOCKPILES AND ORE ON LEACH PADS      
         
   At March 31, At December 31, 
   20122011 
 Current:      
  Stockpiles$ 527 $ 506 
  Ore on leach pads  217   165 
   $ 744 $ 671 
 Long-term:      
  Stockpiles$ 2,091 $ 1,904 
  Ore on leach pads  379   367 
   $ 2,470 $ 2,271 
   At March 31, At December 31, 
   2012 2011 
 Stockpiles and ore on leach pads:      
  Nevada$563 $536 
  La Herradura 9  6 
  Yanacocha 600  512 
  Boddington 482  435 
  Batu Hijau 1,220  1,119 
  Other Australia/New Zealand 157  161 
  Ahafo 183  173 
   $3,214 $2,942 
Other Assets (Tables)
Other Assets
NOTE 19 OTHER ASSETS      
   At March 31, At December 31, 
   20122011 
 Other current assets:      
  Refinery metal inventory and receivable$500 $796 
  Derivative instruments  132  127 
  Prepaid assets 126  93 
  Note receivable 33  12 
  Restricted cash 2  20 
  Other   91  85 
   $884 $1,133 
         
 Other long-term assets:      
  Goodwill$188 $188 
  Intangible assets 144  147 
  Income tax receivable 142  142 
  Derivative instruments 116  112 
  Debt issuance costs   79  59 
  Restricted cash   49  48 
  Other receivables 19  17 
  Other   167  144 
   $904 $857 
Debt (Tables)
Debt
NOTE 20 DEBT            
             
 At March 31, 2012 At December 31, 2011 
 Current Non-Current Current Non-Current 
Sale-leaseback of refractory ore treatment plant  $ 59 $ - $ 165 $ - 
Corporate revolving credit facility (due 2016)  -   -   -   33 
2012 Convertible Senior Notes, net of discount  -   -   514   - 
2014 Convertible Senior Notes, net of discount  -   517   -   512 
2017 Convertible Senior Notes, net of discount  -   457   -   452 
2019 Senior Notes, net of discount    -   896   -   896 
2022 Senior Notes, net of discount  -   1,489   -   - 
2035 Senior Notes, net of discount    -   598   -   598 
2039 Senior Notes, net of discount    -   1,087   -   1,087 
2042 Senior Notes, net of discount  -   991   -   - 
Ahafo project facility    10   45   10   45 
Other capital leases  -   1   -   1 
 $ 69 $ 6,081 $ 689 $ 3,624 
             
Other Liabilities (Tables)
Other Liabilities
NOTE 21 OTHER LIABILITIES      
         
   At March 31, At December 31, 
   20122011 
 Other current liabilities:      
  Refinery metal payable$500 $796 
  Accrued capital expenditures 267  248 
  Accrued operating costs 256  231 
  Taxes other than income and mining 86  93 
  Reclamation and remediation liabilities 70  71 
  Deferred income tax 57  50 
  Royalties 43  53 
  Boddington contingent consideration 39  24 
  Holt property royalty 21  17 
  Interest 12  55 
  Derivative instruments 2  408 
  Other 64  87 
   $1,417 $2,133 
         
 Other long-term liabilities:      
  Holt property royalty$226 $159 
  Income and mining taxes   86  88 
  Power supply agreements 46  45 
  Derivative instruments 4  6 
  Boddington contingent consideration  4  30 
  Other  31  36 
   $397 $364 
         
Net Change in Operating Assets and Liabilities (Tables)
Net Change in Operating Assets and Liabilities
   Three Months Ended March 31, 
   2012 2011 
 Decrease (increase) in operating assets:      
  Trade and accounts receivable  $(21) $119 
  Inventories, stockpiles and ore on leach pads   (201)  (56) 
  EGR refinery assets   319  (175) 
  Other assets   (74)  (38) 
 Increase (decrease) in operating liabilities:      
  Accounts payable and other accrued liabilities   (32)  4 
  EGR refinery liabilities   (319)  175 
  Reclamation liabilities   (28)  (8) 
   $(356) $21 
Supplemental Cash Flow Information (Tables)
Supplemental Cash Flow Information
NOTE 23 SUPPLEMENTAL CASH FLOW INFORMATION  
         
   Three Months Ended March 31, 
   2012 2011 
 Income and mining taxes, net of refunds   $296 $278 
 Interest, net of amounts capitalized   $23 $20 
Condensed Consolidating Financial Statements (Tables)
                 
   Three Months Ended March 31, 2012
       Newmont
   Newmont      Mining
   Mining Newmont Other  Corporation
Condensed Consolidating Statement of Income Corporation USA Subsidiaries Eliminations Consolidated
                 
Sales $- $1,617 $1,066 $- $2,683
                 
Costs and expenses               
 Costs applicable to sales (1)  -  563  465  (11)  1,017
 Amortization    -  130  101  -  231
 Reclamation and remediation   -  11  5  -  16
 Exploration    -  53  35  -  88
 Advanced projects, research and development    -  88  14  -  102
 General and administrative    -  42  1  11  54
 Other expense, net  -  47  73  -  120
    -  934  694  -  1,628
                 
Other income (expense)                
 Other income, net    (3)  13  23  -  33
 Interest income - intercompany    40  2  5  (47)  -
 Interest expense - intercompany    (5)  -  (42)  47  -
 Interest expense, net    (46)  (5)  (1)  -  (52)
    (14)  10  (15)  -  (19)
Income before income and mining tax and other items                 
 items    (14)  693  357  -  1,036
Income and mining tax expense    5  (146)  (202)  -  (343)
Equity income (loss) of affiliates    499  (11)  67  (574)  (19)
Income (loss) from continuing operations    490  536  222  (574)  674
Income (loss) from discontinued operations    -  4  (75)  -  (71)
Net income   490  540  147  (574)  603
Net income attributable to noncontrolling interests  -  (116)  (32)  35  (113)
Net income attributable to Newmont stockholders $490 $424 $115 $(539) $490
                 
Comprehensive income $496 $541 $139 $(565) $611
Comprehensive income attributable to                
 noncontrolling interests  -  (116)  (34)  35  (115)
Comprehensive income attributable to Newmont               
 stockholders $496 $425 $105 $(530) $496

(1) Excludes Amortization and Reclamation and remediation.

 

                 
   Three Months Ended March 31, 2011
               Newmont
   Newmont         Mining
   Mining Newmont Other    Corporation
Condensed Consolidating Statement of Income Corporation USA Subsidiaries Eliminations Consolidated
                 
Sales $- $1,518 $947 $- $2,465
                 
Costs and expenses               
 Costs applicable to sales (1)  -  566  384  (10)  940
 Amortization    -  159  97  -  256
 Reclamation and remediation   1  10  3  -  14
 Exploration    -  34  28  -  62
 Advanced projects, research and development    -  27  41  -  68
 General and administrative    -  34  1  10  45
 Other expense, net  -  54  19  -  73
    1  884  573  -  1,458
Other income (expense)                
 Other income, net    (5)  25  11  -  31
 Interest income - intercompany    36  2  2  (40)  -
 Interest expense - intercompany    (3)  -  (37)  40  -
 Interest expense, net    (54)  (9)  (2)  -  (65)
    (26)  18  (26)  -  (34)
Income before income and mining tax and other               
 items  (27)  652  348  -  973
Income and mining tax expense  10  (208)  (107)  -  (305)
Equity income (loss) of affiliates    531  1  89  (619)  2
Net income  514  445  330  (619)  670
Net income attributable to noncontrolling interests  -  (192)  (20)  56  (156)
Net income attributable to Newmont stockholders $514 $253 $310 $(563) $514
                 
Comprehensive income $795 $462 $595 $(899) $953
Comprehensive income attributable to noncontrolling               
 interests  -  (192)  (22)  56  (158)
Comprehensive income attributable to Newmont               
 stockholders $795 $270 $573 $(843) $795
                 

(1) Excludes Amortization and Reclamation and remediation.

 

    Three Months Ended March 31, 2012
                Newmont
    Newmont         Mining
    MiningNewmontOther   Corporation
   Condensed Consolidating Statement of Cash FlowsCorporationUSASubsidiariesEliminationsConsolidated
Operating activities:               
  Net income (loss)$490 $540 $147 $(574) $603 
  Adjustments   13  60  (281)  574  366 
  Net change in operating assets and liabilities   (45)  (298)  (13)  -  (356) 
Net cash provided from (used in) continuing operations 458  302  (147)  -  613 
Net cash used in discontinued operations -  -  (4)  -  (4) 
Net cash provided from (used in) operations   458  302  (151)  -  609 
Investing activities:               
  Additions to property, plant and mine development   -  (479)  (217)  -  (696) 
  Purchases of marketable securities -  (143)  -  -  (143) 
  Acquisitions, net    -  -  (11)  -  (11) 
  Proceeds from sale of other assets -  8  4  -  12 
  Other   -  -  (17)  -  (17) 
Net cash used in investing activities   -  (614)  (241)  -  (855) 
Financing activities:               
  Net borrowings (repayments) 1,547  (106)  (2)  -  1,439 
  Payment of conversion premium on debt (172)  -  -  -  (172) 
  Net intercompany borrowings (repayments) (1,662)  1,164  498  -  - 
  Dividends paid to common stockholders   (173)  -  -  -  (173) 
  Proceeds from stock issuance, net 2  -  -  -  2 
  Other   -  -  (2)  -  (2) 
Net cash provided from (used in) financing activities   (458)  1,058  494  -  1,094 
Effect of exchange rate changes on cash   -  (2)  6  -  4 
Net change in cash and cash equivalents   -  744  108  -  852 
Cash and cash equivalents at beginning of period   -  1,526  234  -  1,760 
Cash and cash equivalents at end of period  $- $2,270 $342 $- $2,612 

    Three Months Ended March 31, 2011
                Newmont
    Newmont         Mining
    MiningNewmontOther   Corporation
   Condensed Consolidating Statement of Cash FlowsCorporationUSASubsidiariesEliminationsConsolidated
Operating activities:               
  Net income (loss)$514 $445 $330 $(619) $670 
  Adjustments   21  174  (516)  619  298 
  Net change in operating assets and liabilities   8  (54)  67  -  21 
Net cash provided from (used in) operations   543  565  (119)  -  989 
Investing activities:               
  Additions to property, plant and mine development   -  (238)  (164)  -  (402) 
  Purchases of marketable securities -  (1)  (11)  -  (12) 
  Acquisitions, net -  -  (7)  -  (7) 
  Proceeds from sale of other assets -  6  -  -  6 
  Other   -  -  (3)  -  (3) 
Net cash used in investing activities   -  (233)  (185)  -  (418) 
Financing activities:               
  Net borrowings (repayments) -  (31)  -  -  (31) 
  Net intercompany borrowings (repayments)  (472)  (1,948)  2,420  -  - 
  Dividends paid to common stockholders   (74)  -  -  -  (74) 
  Dividends paid to noncontrolling interests -  (15)  -  -  (15) 
  Proceeds from stock issuance, net   3  -  -  -  3 
Net cash provided from (used in) financing activities   (543)  (1,994)  2,420  -  (117) 
Effect of exchange rate changes on cash   -  (1)  24  -  23 
Net change in cash and cash equivalents   -  (1,663)  2,140  -  477 
Cash and cash equivalents at beginning of period   -  3,877  179  -  4,056 
Cash and cash equivalents at end of period  $- $2,214 $2,319 $- $4,533 
                  
    At March 31, 2012
            Newmont
    Newmont       Mining
    Mining Newmont Other   Corporation
Condensed Consolidating Balance Sheet Corporation USA Subsidiaries Eliminations Consolidated
Assets               
 Cash and cash equivalents   $- $2,270 $342 $- $2,612
 Trade receivables    -  228  121  -  349
 Accounts receivable    1,199  2,268  293  (3,398)  362
 Investments  100  55  24  -  179
 Inventories    -  330  369  -  699
 Stockpiles and ore on leach pads    -  631  113  -  744
 Deferred income tax assets    6  252  5  -  263
 Other current assets    -  124  760  -  884
  Current assets    1,305  6,158  2,027  (3,398)  6,092
 Property, plant and mine development, net    -  7,266  9,127  (29)  16,364
 Investments    -  118  1,361  -  1,479
 Investments in subsidiaries    15,165  24  2,915  (18,104)  -
 Stockpiles and ore on leach pads    -  1,761  709  -  2,470
 Deferred income tax assets    792  808  52  -  1,652
 Other long-term assets    3,607  664  913  (4,280)  904
  Total assets   $20,869 $16,799 $17,104 $(25,811) $28,961
                  
Liabilities               
 Debt   $- $59 $10 $- $69
 Accounts payable    1,472  1,174  1,254  (3,403)  497
 Employee-related benefits    -  171  74  -  245
 Income and mining taxes    -  94  249  -  343
 Other current liabilities    11  468  2,895  (1,957)  1,417
  Current liabilities    1,483  1,966  4,482  (5,360)  2,571
 Debt    6,035  1  45  -  6,081
 Reclamation and remediation liabilities    -  901  362  -  1,263
 Deferred income tax liabilities    -  641  1,459  -  2,100
 Employee-related benefits    5  369  110  -  484
 Other long-term liabilities    548  54  4,103  (4,308)  397
  Total liabilities    8,071  3,932  10,561  (9,668)  12,896
Equity               
 Preferred stock    -  -  61  (61)  -
 Common stock    785  -  -  -  785
 Additional paid-in capital    7,986  3,050  5,697  (8,470)  8,263
 Accumulated other comprehensive income  658  (188)  1,158  (970)  658
 Retained earnings  3,369  6,481  (1,627)  (4,854)  3,369
 Newmont stockholders’ equity    12,798  9,343  5,289  (14,355)  13,075
 Noncontrolling interests    -  3,524  1,254  (1,788)  2,990
  Total equity  12,798  12,867  6,543  (16,143)  16,065
  Total liabilities and equity $20,869 $16,799 $17,104 $(25,811) $28,961
                  

                  
    At December 31, 2011
            Newmont
    Newmont       Mining
    Mining Newmont Other   Corporation
Condensed Consolidating Balance Sheet Corporation USA Subsidiaries Eliminations Consolidated
Assets               
 Cash and cash equivalents   $- $1,526 $234 $- $1,760
 Trade receivables    -  205  95  -  300
 Accounts receivable    1,415  3,447  264  (4,806)  320
 Investments  72  -  22  -  94
 Inventories    -  333  381  -  714
 Stockpiles and ore on leach pads    -  532  139  -  671
 Deferred income tax assets    134  257  5  -  396
 Other current assets    -  91  1,042  -  1,133
  Current assets    1,621  6,391  2,182  (4,806)  5,388
 Property, plant and mine development, net    -  6,917  8,990  (26)  15,881
 Investments    -  29  1,443  -  1,472
 Investments in subsidiaries    14,675  43  2,825  (17,543)  -
 Stockpiles and ore on leach pads    -  1,641  630  -  2,271
 Deferred income tax assets    708  838  59  -  1,605
 Other long-term assets    3,423  641  927  (4,134)  857
  Total assets   $20,427 $16,500 $17,056 $(26,509) $27,474
                  
Liabilities               
 Debt   $514 $165 $10 $- $689
 Accounts payable    2,698  1,327  1,343  (4,807)  561
 Employee-related benefits    -  222  85  -  307
 Income and mining taxes    -  45  205  -  250
 Other current liabilities    450  459  3,186  (1,962)  2,133
  Current liabilities    3,662  2,218  4,829  (6,769)  3,940
 Debt  3,578  1  45  -  3,624
 Reclamation and remediation liabilities    -  809  360  -  1,169
 Deferred income tax liabilities    -  732  1,415  -  2,147
 Employee-related benefits    5  355  99  -  459
 Other long-term liabilities    567  61  3,895  (4,159)  364
  Total liabilities    7,812  4,176  10,643  (10,928)  11,703
Equity               
 Preferred stock    -  -  61  (61)  -
 Common stock    784  -  -  -  784
 Additional paid-in capital    8,127  3,050  5,702  (8,471)  8,408
 Accumulated other comprehensive income  652  (189)  1,168  (979)  652
 Retained earnings  3,052  6,055  (1,744)  (4,311)  3,052
 Newmont stockholders’ equity    12,615  8,916  5,187  (13,822)  12,896
 Noncontrolling interests    -  3,408  1,226  (1,759)  2,875
  Total equity  12,615  12,324  6,413  (15,581)  15,771
  Total liabilities and equity $20,427 $16,500 $17,056 $(26,509) $27,474
                  
Segment Information (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Dec. 31, 2011
Financial Information of Newmont's Segments
 
 
 
Sales
$ 2,683 
$ 2,465 
 
Costs Applicable to Sales
1,017 
940 
 
Amortization
231 
256 
 
Advanced Projects and Exploration
190 
130 
 
Pre-Tax Income
1,036 
973 
 
Totals Assets
28,961 
 
27,474 
Capital Expenditures
720 
445 
 
Segment Information (Textuals) [Abstract]
 
 
 
Change in accrued capital expenditures
24 
43 
 
Consolidated capital expenditures on a cash basis
696 
402 
 
Nevada [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
723 
582 
 
Costs Applicable to Sales
267 
272 
 
Amortization
53 
72 
 
Advanced Projects and Exploration
34 
17 
 
Pre-Tax Income
369 
216 
 
Totals Assets
7,092 
3,414 
 
Capital Expenditures
157 
95 
 
La Herradura [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
93 
65 
 
Costs Applicable to Sales
32 
18 
 
Amortization
 
Advanced Projects and Exploration
 
Pre-Tax Income
45 
36 
 
Totals Assets
371 
254 
 
Capital Expenditures
21 
16 
 
Hope Bay [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
 
Costs Applicable to Sales
 
Amortization
 
Advanced Projects and Exploration
44 
 
Pre-Tax Income
(50)
(48)
 
Totals Assets
108 
2,259 
 
Capital Expenditures
19 
 
Other North America [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
 
Costs Applicable to Sales
 
Amortization
 
Advanced Projects and Exploration
 
Pre-Tax Income
(2)
(2)
 
Totals Assets
67 
125 
 
Capital Expenditures
 
Total North America [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
816 
647 
 
Costs Applicable to Sales
299 
290 
 
Amortization
58 
79 
 
Advanced Projects and Exploration
40 
67 
 
Pre-Tax Income
362 
202 
 
Totals Assets
7,638 
6,052 
 
Capital Expenditures
178 
130 
 
Yanacocha [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
594 
362 
 
Costs Applicable to Sales
161 
153 
 
Amortization
50 
53 
 
Advanced Projects and Exploration
17 
 
Pre-Tax Income
349 
149 
 
Totals Assets
2,745 
2,677 
 
Capital Expenditures
93 
41 
 
Conga [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
 
Costs Applicable to Sales
 
Amortization
 
Advanced Projects and Exploration
27 
 
Pre-Tax Income
(27)
(4)
 
Totals Assets
1,254 
335 
 
Capital Expenditures
147 
64 
 
Other South America [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
 
Costs Applicable to Sales
 
Amortization
 
Advanced Projects and Exploration
25 
 
Pre-Tax Income
(25)
(6)
 
Totals Assets
42 
36 
 
Capital Expenditures
 
Total South America [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
594 
362 
 
Costs Applicable to Sales
161 
153 
 
Amortization
50 
53 
 
Advanced Projects and Exploration
69 
16 
 
Pre-Tax Income
297 
139 
 
Totals Assets
4,041 
3,048 
 
Capital Expenditures
240 
105 
 
Boddington [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
359 
285 
 
Costs Applicable to Sales
167 
128 
 
Amortization
38 
35 
 
Advanced Projects and Exploration
 
Pre-Tax Income
143 
104 
 
Totals Assets
4,661 
4,393 
 
Capital Expenditures
23 
49 
 
Boddington [Member] |
Gold [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
298 
232 
 
Costs Applicable to Sales
137 
100 
 
Amortization
32 
28 
 
Boddington [Member] |
Copper [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
61 
53 
 
Costs Applicable to Sales
30 
28 
 
Amortization
 
Batu Hijau [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
206 
509 
 
Costs Applicable to Sales
104 
123 
 
Amortization
19 
27 
 
Advanced Projects and Exploration
 
Pre-Tax Income
48 
323 
 
Totals Assets
3,671 
3,627 
 
Capital Expenditures
33 
40 
 
Batu Hijau [Member] |
Gold [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
34 
140 
 
Costs Applicable to Sales
19 
34 
 
Amortization
 
Batu Hijau [Member] |
Copper [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
172 
369 
 
Costs Applicable to Sales
85 
89 
 
Amortization
16 
20 
 
Other Australia New Zealand [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
427 
415 
 
Costs Applicable to Sales
190 
166 
 
Amortization
36 
35 
 
Advanced Projects and Exploration
15 
12 
 
Pre-Tax Income
179 
197 
 
Totals Assets
1,300 
1,049 
 
Capital Expenditures
70 
62 
 
Other Asia Pacific [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
 
Costs Applicable to Sales
 
Amortization
 
Advanced Projects and Exploration
 
Pre-Tax Income
 
Totals Assets
695 
548 
 
Capital Expenditures
 
Total Asia Pacific [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
992 
1,209 
 
Costs Applicable to Sales
461 
417 
 
Amortization
94 
98 
 
Advanced Projects and Exploration
31 
14 
 
Pre-Tax Income
375 
624 
 
Totals Assets
10,327 
9,617 
 
Capital Expenditures
129 
153 
 
Ahafo [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
281 
247 
 
Costs Applicable to Sales
96 
80 
 
Amortization
24 
22 
 
Advanced Projects and Exploration
11 
 
Pre-Tax Income
150 
136 
 
Totals Assets
1,277 
1,039 
 
Capital Expenditures
50 
15 
 
Akyem [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
 
Costs Applicable to Sales
 
Amortization
 
Advanced Projects and Exploration
 
Pre-Tax Income
(5)
(1)
 
Totals Assets
653 
320 
 
Capital Expenditures
85 
28 
 
Other Africa [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
 
Costs Applicable to Sales
 
Amortization
 
Advanced Projects and Exploration
 
Pre-Tax Income
(2)
(1)
 
Totals Assets
 
Capital Expenditures
 
Total Africa [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
281 
247 
 
Costs Applicable to Sales
96 
80 
 
Amortization
24 
22 
 
Advanced Projects and Exploration
17 
 
Pre-Tax Income
143 
134 
 
Totals Assets
1,935 
1,365 
 
Capital Expenditures
135 
43 
 
Corporate and Other [Member]
 
 
 
Financial Information of Newmont's Segments
 
 
 
Sales
 
Costs Applicable to Sales
 
Amortization
 
Advanced Projects and Exploration
33 
25 
 
Pre-Tax Income
(141)
(126)
 
Totals Assets
5,020 
6,772 
 
Capital Expenditures
$ 38 
$ 14 
 
Reclamation and Remediation (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Dec. 31, 2011
Reconciliation of Reclamation and Remediation Liabilities
 
 
 
Balance at beginning of period
$ 1,240 
$ 1,048 
 
Additions, changes in estimates and other
105 
 
Liabilities settled
(28)
(8)
 
Accretion expense
16 
14 
 
Balance at end of period
1,333 
1,055 
 
Reclamation and Remediation Expenses
 
 
 
Accretion - operating
14 
12 
 
Accretion - non-operating
 
Reclamation and remediation expense, total
16 
14 
 
Reclamation And Remediation (Textuals) [Abstract]
 
 
 
Accrued for reclamation obligations relating to mineral properties
1,136 
 
1,070 
Accrued obligation associated with former, primarily historic, mining activities
197 
 
170 
Reclamation and remediation liabilities
$ 70 
 
$ 71 
Other Expense, Net (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Other Expense, Net
 
 
Hope Bay care and maintenance
$ 50 
$ 0 
Regional administration
21 
16 
Community development
31 
17 
Western Australia power plant
World Gold Council dues
Indonesian value added tax settlement
21 
Other
11 
13 
Other expense, total
$ 120 
$ 73 
Other Income, Net (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Other Income, Net
 
 
Reduction of allowance for loan receivable
$ 21 
$ 0 
Income from developing projects, net
14 
24 
Gain on asset sales, net
10 
Canadian Oil Sands
Refinery income
Interest income
Ineffective portion of derivative instruments, net
(1)
Foreign currency exchange, net
(15)
(11)
Impairment of marketable securities
(24)
Other
Total
$ 33 
$ 31 
Employee Pension and Other Benefit Plans (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Other benefit costs [Member]
 
 
Employee Related Benefits [Line Items]
 
 
Service cost
$ 1 
$ 1 
Interest cost
Pension benefit costs, net
Pension benefit costs [Member]
 
 
Employee Related Benefits [Line Items]
 
 
Service cost
Interest cost
10 
10 
Expected return on plan assets
(11)
(10)
Amortization, net
Pension benefit costs, net
$ 12 
$ 11 
Stock Based Compensation (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Stock Option and Other Stock Based Compensation
 
 
Share-based Compensation
$ 12 
$ 15 
Stock options [Member]
 
 
Stock Option and Other Stock Based Compensation
 
 
Share-based Compensation
Restricted Stock Units (RSUs) [Member]
 
 
Stock Option and Other Stock Based Compensation
 
 
Share-based Compensation
Performance leveraged stock units [Member]
 
 
Stock Option and Other Stock Based Compensation
 
 
Share-based Compensation
Restricted stock [Member]
 
 
Stock Option and Other Stock Based Compensation
 
 
Share-based Compensation
Deferred stock [Member]
 
 
Stock Option and Other Stock Based Compensation
 
 
Share-based Compensation
$ 1 
$ 2 
Income and Mining Taxes (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Income And Mining Taxes (Textuals) [Abstract]
 
 
Estimated Income and mining tax expense
$ 343 
$ 305 
Effective tax rate
33.00% 
31.00% 
United States statutory rate
35.00% 
35.00% 
Total unrecognized tax benefit
242 
 
Unrecognized tax benefit, if recognized
45 
 
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Estimated Range of Change, Lower Bound
25 
 
Significant Change in Unrecognized Tax Benefits is Reasonably Possible, Estimated Range of Change, Upper Bound
30 
 
Income Tax Reconciliation [Abstract]
 
 
Income before income and mining tax and other items
1,036 
973 
Tax on income at 35% statutory rate
35.00% 
35.00% 
Percentage depletion
(7.00%)
(6.00%)
Change in valuation allowance on deferred tax assets
3.00% 
 
Other
2.00% 
2.00% 
Income and mining tax expense
33.00% 
31.00% 
Tax on income at 35% statutory rate
363 
341 
Percentage depletion
(74)
(55)
Change in valuation allowance on deferred tax assets
33 
   
Other
21 
19 
Income and mining tax expense
$ 343 
$ 305 
Discontinued Operations (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Discontinued Operations Details [Abstract]
 
 
Loss from discontinued operations
$ (71)
$ 0 
Loss from discontinued operations, income tax benefit
 
Net operating cash used in discontinued operations
$ (4)
$ 0 
Net Income Attributable to Noncontrolling Interests (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Net Income Attributable to Noncontrolling Interests (Textuals) (Abstract)
 
 
Other
$ (11)
$ (2)
Net income attributable to noncontrolling interests
113 
156 
Yanacocha [Member]
 
 
Net Income Attributable to Noncontrolling Interests (Textuals) (Abstract)
 
 
Ownership interest in subsidiaries
51.35% 
 
Net income attributable to noncontrolling interests
111 
56 
Batu Hijau [Member]
 
 
Net Income Attributable to Noncontrolling Interests (Textuals) (Abstract)
 
 
Ownership interest in subsidiaries
31.50% 
 
Effective economic interest percent
48.50% 
 
Net income attributable to noncontrolling interests
$ 13 
$ 102 
Compania de Minas Buenaventura SAA [Member]
 
 
Net Income Attributable to Noncontrolling Interests (Textuals) (Abstract)
 
 
Noncontrolling interest, ownership percentage by noncontrolling owners
43.65% 
 
International Finance Corporation [Member]
 
 
Net Income Attributable to Noncontrolling Interests (Textuals) (Abstract)
 
 
Noncontrolling interest, ownership percentage by noncontrolling owners
5.00% 
 
Income Per Common Share (Details) (USD $)
Share data in Millions, except Per Share data, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Earnings per share reconciliation [Abstract]
 
 
Continuing operations
$ 561,000,000 
$ 514,000,000 
Discontinued operations
(71,000,000)
Net income attributable to Newmont stockholders
490,000,000 
514,000,000 
Weighted average common shares (millions):
 
 
Basic
495 
493 
Effect of employee stock-based awards
Effect of convertible notes
Diluted
504 
501 
Income per common share, basic
 
 
Continuing operations
$ 1.13 
$ 1.04 
Discontinued operations
$ (0.14)
$ 0 
Income per common share, basic
$ 0.99 
$ 1.04 
Income per common share, diluted
 
 
Continuing operations
$ 1.11 
$ 1.03 
Discontinued operations
$ (0.14)
$ 0 
Income per common share, diluted
$ 0.97 
$ 1.03 
Net income attributable to Newmount stockholders and transfers from noncontrolling interest [Abstract]
 
 
Net income attributable to Newmont stockholders
490,000,000 
514,000,000 
Income Per Common Share (Textuals) Abstract
 
 
Anti-dilutive shares - stock options
Options to purchase common shares average exercise price
$ 59 
$ 57 
Anti-dilutive shares - convertible notes
Changes in Equity (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Changes in Equity
 
 
Beginning Balance
$ 15,771 
 
Net income attributable to Newmont stockholders
490 
514 
Net income attributable to noncontrolling interests
(113)
(156)
Conversion premium on convertible notes
(172)
Other comprehensive income
283 
Ending Balance
16,065 
16,621 
Common Stock [Member]
 
 
Changes in Equity
 
 
Beginning Balance
784 
778 
Stock based awards
Ending Balance
785 
779 
Additional paid-in capital [Member]
 
 
Changes in Equity
 
 
Beginning Balance
8,408 
8,279 
Stock based awards
27 
25 
Conversion premium on convertible notes
(172)
Ending Balance
8,263 
8,304 
Accumulated other comprehensive income [Member]
 
 
Changes in Equity
 
 
Beginning Balance
652 
1,108 
Other comprehensive income
281 
Ending Balance
658 
1,389 
Retained earnings [Member]
 
 
Changes in Equity
 
 
Beginning Balance
3,052 
3,180 
Dividends paid
(173)
(74)
Ending Balance
3,369 
3,620 
Noncontrolling interests [Member]
 
 
Changes in Equity
 
 
Beginning Balance
2,875 
2,371 
Other comprehensive income
Ending Balance
$ 2,990 
$ 2,529 
Fair Value Accounting (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2012
Boddington Contingent Consideration [Member]
Mar. 31, 2012
Holt Property Royalty [Member]
Mar. 31, 2012
Foreign exchange forward contracts [Member]
Mar. 31, 2012
Diesel forward contracts [Member]
Mar. 31, 2012
Extractive industries [Member]
Marketable Equity Securities [Member]
Mar. 31, 2012
Other Industries [Member]
Marketable Equity Securities [Member]
Mar. 31, 2012
Asset Backed Commercial Paper [Member]
Dec. 31, 2011
Asset Backed Commercial Paper [Member]
Mar. 31, 2012
Asset Backed Commercial Paper [Member]
Debt Securities [Member]
Mar. 31, 2012
Corporate Debt Securities [Member]
Debt Securities [Member]
Mar. 31, 2012
Auction Rate Securities [Member]
Dec. 31, 2011
Auction Rate Securities [Member]
Mar. 31, 2012
Auction Rate Securities [Member]
Debt Securities [Member]
Mar. 31, 2012
Trade receivable from provisional copper and gold concentrate sales, net [Member]
Mar. 31, 2012
Level 1 [Member]
Mar. 31, 2012
Level 1 [Member]
Extractive industries [Member]
Marketable Equity Securities [Member]
Mar. 31, 2012
Level 1 [Member]
Other Industries [Member]
Marketable Equity Securities [Member]
Mar. 31, 2012
Level 1 [Member]
Trade receivable from provisional copper and gold concentrate sales, net [Member]
Mar. 31, 2012
Level 2 [Member]
Mar. 31, 2012
Level 2 [Member]
Foreign exchange forward contracts [Member]
Mar. 31, 2012
Level 2 [Member]
Corporate Debt Securities [Member]
Debt Securities [Member]
Mar. 31, 2012
Level 2 [Member]
Diesel Fixed Forward Contracts [Member]
Diesel forward contracts [Member]
Mar. 31, 2012
Level 3 [Member]
Mar. 31, 2012
Level 3 [Member]
Boddington Contingent Consideration [Member]
Mar. 31, 2012
Level 3 [Member]
Holt Property Royalty [Member]
Mar. 31, 2012
Level 3 [Member]
Asset Backed Commercial Paper [Member]
Debt Securities [Member]
Mar. 31, 2012
Level 3 [Member]
Auction Rate Securities [Member]
Debt Securities [Member]
Assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash equivalents
$ 809 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 809 
 
 
 
 
 
 
 
 
 
 
 
 
Marketable securities
 
 
 
 
 
1,409 
15 
 
 
19 
144 
 
 
 
 
1,409 
15 
 
 
 
144 
 
 
 
 
19 
Trade receivable from provisional copper and gold concentrate sales, net
 
 
 
 
 
 
 
 
 
 
 
 
 
 
222 
 
 
 
222 
 
 
 
 
 
 
 
 
 
Derivative instruments, net
 
 
 
231 
11 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
231 
 
11 
 
 
 
 
 
Fair value assets
2,865 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2,455 
 
 
 
386 
 
 
 
24 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Boddington contingent consideration
 
43 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
43 
 
 
 
Holt property royalty
 
 
247 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
247 
 
 
Fair value liabilities
290 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
290 
 
 
 
 
Fair Value Accounting (Textuals) [Abstract]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Available-for-sale Securities, Fair Value Disclosure, Significant Assumptions
The Company estimated the fair value of the auction rate securities based on weighted average risk calculations using cash flow assumptions discounted approximately 42%, which reflects an estimated discount for lack of marketability. The Company estimated the fair value of its asset backed commercial paper using a probability of return ranging from 13%-74% for each class of notes, which is reflective of information reviewed regarding the separate classes of securities. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fair Value, Commitments, Valuation Techniques
The estimated value of the Boddington contingent royalty was determined using a Monte Carlo valuation model which simulates future gold and copper prices and costs applicable to sales. At March 31, 2012 the Company used the following long-term price assumptions: 1) $1,500 per ounce gold price, 2) $3.50 per pound copper price, 3) $90 per barrel of oil, and 4) a $1.00 A$/US$ exchange rate. The Company used an approximately 4% discount rate in the model. The contingent royalty liability is classified within Level 3 of the fair value hierarchy. The estimated fair value of the Holt sliding scale royalty was determined using a Monte Carlo valuation model to simulate future gold prices utilizing a long-term gold price assumption of $1,500 per ounce, various gold production scenarios based on publicly available reserve and resource information for the Holt property and an approximately 4% weighted average discount rate. The sliding scale royalty liability is classified within Level 3 of the fair value hierarchy. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Assets measured at fair value hierarchy, percent
1.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Liabilities measured at fair value hierarchy, percent
100.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Changes in the Fair Value of the Company's Level 3 Financial Assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance at beginning of period, assets
24 
 
 
 
 
 
 
19 
19 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance at end of period, assets
24 
 
 
 
 
 
 
19 
19 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Changes in the Fair Value of the Company's Level 3 Financial Liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance at beginning of period, liabilities
230 
54 
176 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Settlements
(15)
(11)
(4)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Valuation
75 
 
75 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Balance at end of period, liabilities
$ 290 
$ 43 
$ 247 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Derivative Instruments (Details)
In Millions, unless otherwise specified
3 Months Ended 3 Months Ended 3 Months Ended 3 Months Ended 3 Months Ended
Mar. 31, 2012
USD ($)
Dec. 31, 2011
USD ($)
Mar. 31, 2012
Senior Notes Net of Discount 2022 [Member]
USD ($)
Mar. 31, 2012
Senior Notes Net Of Discount 2042 [Member]
USD ($)
Mar. 31, 2012
Diesel Fixed Forward Contracts [Member]
USD ($)
Dec. 31, 2011
Diesel Fixed Forward Contracts [Member]
USD ($)
Mar. 31, 2012
Diesel Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
gal
Mar. 31, 2011
Diesel Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2012
AU Dollar Operating Fixed Forward Contracts [Member]
USD ($)
Mar. 31, 2012
AU Dollar Operating Fixed Forward Contracts [Member]
AUD ($)
Dec. 31, 2011
AU Dollar Operating Fixed Forward Contracts [Member]
USD ($)
Mar. 31, 2012
AU Dollar Capital Fixed Forward Contracts [Member]
USD ($)
Mar. 31, 2012
AU Dollar Capital Fixed Forward Contracts [Member]
AUD ($)
Dec. 31, 2011
AU Dollar Capital Fixed Forward Contracts [Member]
USD ($)
Mar. 31, 2012
NZ Dollar Operating Fixed Forward Contracts [Member]
USD ($)
Mar. 31, 2012
NZ Dollar Operating Fixed Forward Contracts [Member]
NZD ($)
Dec. 31, 2011
NZ Dollar Operating Fixed Forward Contracts [Member]
USD ($)
Mar. 31, 2011
Interest Rate Swap Contracts [Member]
USD ($)
Mar. 31, 2012
Interest Rate Swap Contracts [Member]
USD ($)
Mar. 31, 2011
Interest Rate Swap Contracts [Member]
Fair Value Hedging [Member]
USD ($)
Mar. 31, 2012
Forward Starting Swap Contracts [Member]
USD ($)
Dec. 31, 2011
Forward Starting Swap Contracts [Member]
USD ($)
Mar. 31, 2012
Forward Starting Swap Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2012
Foreign Exchange Contract [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2011
Foreign Exchange Contract [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2011
Debentures 8 5/8% (Hedged Portion) [Member]
Fair Value Hedging [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2012 [Member]
Diesel Fixed Forward Contracts [Member]
Mar. 31, 2012
Expected Maturity Date Year 2012 [Member]
Diesel Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
gal
Mar. 31, 2012
Expected Maturity Date Year 2012 [Member]
AU Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2012 [Member]
AU Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
AUD ($)
Mar. 31, 2012
Expected Maturity Date Year 2012 [Member]
AU Dollar Capital Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2012 [Member]
AU Dollar Capital Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
AUD ($)
Mar. 31, 2012
Expected Maturity Date Year 2012 [Member]
NZ Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2012 [Member]
NZ Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
NZD ($)
Mar. 31, 2012
Expected Maturity Date Year 2013 [Member]
Diesel Fixed Forward Contracts [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2013 [Member]
Diesel Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
gal
Mar. 31, 2012
Expected Maturity Date Year 2013 [Member]
AU Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2013 [Member]
AU Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
AUD ($)
Mar. 31, 2012
Expected Maturity Date Year 2013 [Member]
AU Dollar Capital Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2013 [Member]
AU Dollar Capital Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
AUD ($)
Mar. 31, 2012
Expected Maturity Date Year 2013 [Member]
NZ Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2013 [Member]
NZ Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
NZD ($)
Mar. 31, 2012
Expected Maturity Date Year 2014 [Member]
Diesel Fixed Forward Contracts [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2014 [Member]
Diesel Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
gal
Mar. 31, 2012
Expected Maturity Date Year 2014 [Member]
AU Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2014 [Member]
AU Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
AUD ($)
Mar. 31, 2012
Expected Maturity Date Year 2014 [Member]
AU Dollar Capital Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2014 [Member]
AU Dollar Capital Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
AUD ($)
Mar. 31, 2012
Expected Maturity Date Year 2014 [Member]
NZ Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2014 [Member]
NZ Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
NZD ($)
Mar. 31, 2012
Expected Maturity Date Year 2015 [Member]
Cash Flow Hedging [Member]
gal
Mar. 31, 2012
Expected Maturity Date Year 2015 [Member]
Diesel Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2015 [Member]
AU Dollar Operating Fixed Forward Contracts [Member]
Mar. 31, 2012
Expected Maturity Date Year 2015 [Member]
AU Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2015 [Member]
AU Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
AUD ($)
Mar. 31, 2012
Expected Maturity Date Year 2016 [Member]
AU Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
USD ($)
Mar. 31, 2012
Expected Maturity Date Year 2016 [Member]
AU Dollar Operating Fixed Forward Contracts [Member]
Cash Flow Hedging [Member]
AUD ($)
Mar. 31, 2012
Expected Maturity Date Year 2017 [Member]
AU Dollar Operating Fixed Forward Contracts [Member]
USD ($)
Mar. 31, 2012
Gold [Member]
USD ($)
oz
Mar. 31, 2012
Copper [Member]
USD ($)
lb
Foreign Currency Derivatives
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Average rate
 
 
 
 
 
 
2.90 
 
0.91 
 
 
0.98 
 
 
0.77 
 
 
 
 
 
 
 
 
 
 
 
 
2.89 
0.92 
 
1.00 
 
0.76 
 
2.94 
 
0.92 
 
0.98 
 
0.78 
 
2.91 
 
0.90 
 
0.96 
 
0.77 
 
 
2.90 
 
0.88 
 
0.89 
 
0.89 
 
 
Notional Amount of Foreign Currency Derivatives
 
 
 
 
 
 
 
 
 
$ 3,243 
 
 
$ 115 
 
 
$ 79 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 935 
 
$ 42 
 
$ 48 
 
 
 
$ 987 
 
$ 51 
 
$ 29 
 
 
 
$ 701 
 
$ 22 
 
$ 2 
 
 
 
 
$ 407 
 
$ 202 
$ 11 
 
 
Expected hedge ratio
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
60.00% 
 
77.00% 
77.00% 
41.00% 
41.00% 
48.00% 
48.00% 
32.00% 
 
64.00% 
64.00% 
24.00% 
24.00% 
23.00% 
23.00% 
14.00% 
 
46.00% 
46.00% 
48.00% 
48.00% 
5.00% 
5.00% 
 
5.00% 
14.00% 
29.00% 
29.00% 
 
 
4.00% 
 
 
Diesel Derivative Contracts Outstanding
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Average rate
 
 
 
 
 
 
2.90 
 
0.91 
 
 
0.98 
 
 
0.77 
 
 
 
 
 
 
 
 
 
 
 
 
2.89 
0.92 
 
1.00 
 
0.76 
 
2.94 
 
0.92 
 
0.98 
 
0.78 
 
2.91 
 
0.90 
 
0.96 
 
0.77 
 
 
2.90 
 
0.88 
 
0.89 
 
0.89 
 
 
Diesel gallons
 
 
 
 
 
 
41,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
20,000,000 
 
 
 
 
 
 
 
14,000,000 
 
 
 
 
 
 
 
6,000,000 
 
 
 
 
 
 
1,000,000 
 
 
 
 
 
 
 
 
 
Expected hedge ratio
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
60.00% 
 
77.00% 
77.00% 
41.00% 
41.00% 
48.00% 
48.00% 
32.00% 
 
64.00% 
64.00% 
24.00% 
24.00% 
23.00% 
23.00% 
14.00% 
 
46.00% 
46.00% 
48.00% 
48.00% 
5.00% 
5.00% 
 
5.00% 
14.00% 
29.00% 
29.00% 
 
 
4.00% 
 
 
Fair values of Derivative Instruments Designated as Hedges
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other Assets Current
132 
127 
 
 
 
 
119 
 
121 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other Long-Term Assets
116 
112 
 
 
 
 
 
113 
 
112 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other Current Liabilities
408 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
399 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other Long-Term Liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Location and Amount of Gains (Losses) Reported in Condensed Consolidated Financial Statements
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gain recognized in other comprehensive income (effective portion)
 
 
 
 
 
 
12 
15 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
36 
62 
67 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gain (loss) reclassified from Accumulated other comprehensive income into income (effective portion)(1)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1)
47 
42 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gain reclassified from Accumulated other comprehensive income into income (ineffective portion) (2)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gains (Losses) Recorded for Hedged Item Related to Fair Value Hedges
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gain recognized in income (effective portion)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(5)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gain (loss) recognized in income (ineffective portion)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Derivative Instruments (Textuals) [Abstract]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Forward starting swaps notional amount
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Long-term Debt, Gross
 
 
1,500 
1,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Charge related to hedge ineffectiveness
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(2)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fixed to floating swap contracts, amount
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
222 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Average price
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1,691.00 
3.77 
Recorded average provisional price
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1,691.00 
3.75 
Provisional pricing mark-to-market gain (loss)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
31 
Provisional pricing mark-to-market gain (loss) rate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0.53 
Provisional pricing quantity sales
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
95,000 
58,000,000 
Average price, subject to final pricing
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1,663.00 
3.83 
Approximate gain amount to be reclassified from accumulated other comprehensive income, net of tax to income
$ 70 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Investments (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Dec. 31, 2011
Investment in Marketable Securities
 
 
 
Current Investments
$ 179 
 
$ 94 
Long-Term Investments
1,479 
 
1,472 
Available For Sale Securities Continuous Unrealized Loss Position Aggregate Losses Abstract
 
 
 
Securities continuous unrealized losses less than 12 months - unrealized losses
 
18 
Securities continuous unrealized losses greater than 12 months - unrealized losses
 
Securities continuous unrealized losses - unrealized losses
12 
 
26 
Available For Sale Securities Continuous Unrealized Loss Position Fair Value Abstract
 
 
 
Securities continuous unrealized losses less than 12 months - fair value
24 
 
42 
Securities continuous unrealized losses greater than 12 months - fair value
24 
 
24 
Securities continuous unrealized losses - fair value
48 
 
66 
Investments (Textuals) [Abstract]
 
 
 
Payments to acquire marketable securities
143 
12 
 
Impairment of marketable securities
24 
 
Current [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
130 
 
75 
Unrealized Gain
50 
 
20 
Unrealized Loss
(1)
 
(1)
Long-term [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
689 
 
625 
Unrealized Gain
801 
 
872 
Unrealized Loss
(11)
 
(25)
Other Investments, at Cost
11 
 
11 
Paladin Energy Ltd [Member] |
Current [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
60 
 
60 
Unrealized Gain
40 
 
13 
Unrealized Loss
 
Fair/Equity Basis - Current Marketable Equity Securities
100 
 
73 
Other Equity Securities [Member]
 
 
 
Investments (Textuals) [Abstract]
 
 
 
Impairment of marketable securities
24 
 
 
Other Equity Securities [Member] |
Current [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
15 
 
15 
Unrealized Gain
10 
 
Unrealized Loss
(1)
 
(1)
Fair/Equity Basis - Current Marketable Equity Securities
24 
 
21 
Other Equity Securities [Member] |
Long-term [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
80 
 
92 
Unrealized Gain
18 
 
16 
Unrealized Loss
(2)
 
(17)
Fair/Equity Basis - Long-Term Marketable Equity Securities
96 
 
91 
Marketable Equity Securities [Member]
 
 
 
Available For Sale Securities Continuous Unrealized Loss Position Aggregate Losses Abstract
 
 
 
Securities continuous unrealized losses less than 12 months - unrealized losses
 
18 
Securities continuous unrealized losses greater than 12 months - unrealized losses
 
Securities continuous unrealized losses - unrealized losses
 
18 
Available For Sale Securities Continuous Unrealized Loss Position Fair Value Abstract
 
 
 
Securities continuous unrealized losses less than 12 months - fair value
24 
 
42 
Securities continuous unrealized losses greater than 12 months - fair value
 
Securities continuous unrealized losses - fair value
24 
 
42 
Investments (Textuals) [Abstract]
 
 
 
Asset retirement obligation restricted asset
15 
 
Marketable Equity Securities [Member] |
Current [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
75 
 
 
Unrealized Gain
50 
 
 
Unrealized Loss
(1)
 
 
Fair/Equity Basis - Current Marketable Equity Securities
124 
 
 
Marketable Equity Securities [Member] |
Long-term [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
503 
 
506 
Unrealized Gain
799 
 
871 
Unrealized Loss
(2)
 
(17)
Fair/Equity Basis - Long-Term Marketable Equity Securities
1,300 
 
1,360 
Asset Backed Commercial Paper [Member]
 
 
 
Available For Sale Securities Continuous Unrealized Loss Position Aggregate Losses Abstract
 
 
 
Securities continuous unrealized losses less than 12 months - unrealized losses
 
Securities continuous unrealized losses greater than 12 months - unrealized losses
 
Securities continuous unrealized losses - unrealized losses
 
Available For Sale Securities Continuous Unrealized Loss Position Fair Value Abstract
 
 
 
Securities continuous unrealized losses less than 12 months - fair value
 
Securities continuous unrealized losses greater than 12 months - fair value
19 
 
19 
Securities continuous unrealized losses - fair value
19 
 
19 
Asset Backed Commercial Paper [Member] |
Long-term [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
25 
 
25 
Unrealized Gain
 
Unrealized Loss
(6)
 
(6)
Fair/Equity Basis - Long-Term Marketable Debt Securities
19 
 
19 
Auction Rate Securities [Member]
 
 
 
Available For Sale Securities Continuous Unrealized Loss Position Aggregate Losses Abstract
 
 
 
Securities continuous unrealized losses less than 12 months - unrealized losses
 
Securities continuous unrealized losses greater than 12 months - unrealized losses
 
Securities continuous unrealized losses - unrealized losses
 
Available For Sale Securities Continuous Unrealized Loss Position Fair Value Abstract
 
 
 
Securities continuous unrealized losses less than 12 months - fair value
 
Securities continuous unrealized losses greater than 12 months - fair value
 
Securities continuous unrealized losses - fair value
 
Auction Rate Securities [Member] |
Long-term [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
 
Unrealized Gain
 
Unrealized Loss
(3)
 
(2)
Fair/Equity Basis - Long-Term Marketable Debt Securities
 
Corporate Debt Securities [Member] |
Current [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
55 
 
 
Unrealized Gain
 
 
Unrealized Loss
 
 
Fair/Equity Basis - Current Marketable Debt Securities
55 
 
 
Corporate Debt Securities [Member] |
Long-term [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
87 
 
10 
Unrealized Gain
 
Unrealized Loss
 
Fair/Equity Basis - Long-Term Marketable Debt Securities
89 
 
11 
Debt Securities [Member]
 
 
 
Investments (Textuals) [Abstract]
 
 
 
Asset retirement obligation restricted asset
 
11 
Debt Securities [Member] |
Long-term [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
120 
 
42 
Unrealized Gain
 
Unrealized Loss
(9)
 
(8)
Fair/Equity Basis - Long-Term Marketable Debt Securities
113 
 
35 
Canadian Oil Sands Ltd [Member] |
Long-term [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
309 
 
302 
Unrealized Gain
342 
 
401 
Unrealized Loss
 
Fair/Equity Basis - Long-Term Marketable Equity Securities
651 
 
703 
Gabriel Resources Ltd [Member] |
Long-term [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
78 
 
76 
Unrealized Gain
161 
 
236 
Unrealized Loss
 
Fair/Equity Basis - Long-Term Marketable Equity Securities
239 
 
312 
Regis [Member] |
Long-term [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Cost/Equity Basis
36 
 
36 
Unrealized Gain
278 
 
218 
Unrealized Loss
 
Fair/Equity Basis - Long-Term Marketable Equity Securities
314 
 
254 
La Zanja [Member] |
Long-term [Member]
 
 
 
Investment in Marketable Securities
 
 
 
Equity Method Investments
$ 55 
 
$ 66 
Inventories (Details) (USD $)
In Millions, unless otherwise specified
Mar. 31, 2012
Dec. 31, 2011
Summary of Inventories
 
 
In-process
$ 112 
$ 159 
Concentrate
123 
116 
Precious metals
35 
12 
Materials, supplies and other
429 
427 
Total Inventories
$ 699 
$ 714 
Stockpiles and Ore on Leach Pads (Details) (USD $)
In Millions, unless otherwise specified
Mar. 31, 2012
Dec. 31, 2011
Stockpiles And Ore On Leach Pads [Line Items]
 
 
Current stockpiles and ore on leach pads
$ 744 
$ 671 
Long-term stockpiles and ore on leach pads
2,470 
2,271 
Total stockpiles and ore on leach pads
3,214 
2,942 
Nevada [Member]
 
 
Stockpiles And Ore On Leach Pads [Line Items]
 
 
Total stockpiles and ore on leach pads
563 
536 
La Herradura [Member]
 
 
Stockpiles And Ore On Leach Pads [Line Items]
 
 
Total stockpiles and ore on leach pads
Yanacocha [Member]
 
 
Stockpiles And Ore On Leach Pads [Line Items]
 
 
Total stockpiles and ore on leach pads
600 
512 
Boddington [Member]
 
 
Stockpiles And Ore On Leach Pads [Line Items]
 
 
Total stockpiles and ore on leach pads
482 
435 
Batu Hijau [Member]
 
 
Stockpiles And Ore On Leach Pads [Line Items]
 
 
Total stockpiles and ore on leach pads
1,220 
1,119 
Other Australia New Zealand [Member]
 
 
Stockpiles And Ore On Leach Pads [Line Items]
 
 
Total stockpiles and ore on leach pads
157 
161 
Ahafo [Member]
 
 
Stockpiles And Ore On Leach Pads [Line Items]
 
 
Total stockpiles and ore on leach pads
183 
173 
Stockpiles [Member]
 
 
Stockpiles And Ore On Leach Pads [Line Items]
 
 
Current stockpiles and ore on leach pads
527 
506 
Long-term stockpiles and ore on leach pads
2,091 
1,904 
Ore On Leach Pads [Member]
 
 
Stockpiles And Ore On Leach Pads [Line Items]
 
 
Current stockpiles and ore on leach pads
217 
165 
Long-term stockpiles and ore on leach pads
$ 379 
$ 367 
Other Assets (Details) (USD $)
In Millions, unless otherwise specified
Mar. 31, 2012
Dec. 31, 2011
Other current assets:
 
 
Refinery metal inventory and receivable
$ 500 
$ 796 
Derivative instruments
132 
127 
Prepaid assets
126 
93 
Note receivable
33 
12 
Restricted cash
20 
Other
91 
85 
Other current assets, total
884 
1,133 
Other long-term assets:
 
 
Goodwill
188 
188 
Intangible assets
144 
147 
Income tax receivable
142 
142 
Derivative instruments
116 
112 
Debt issuance costs
79 
59 
Restricted cash
49 
48 
Other receivables
19 
17 
Other
167 
144 
Other long-term assets, total
$ 904 
$ 857 
Debt (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Dec. 31, 2011
Debt
 
 
 
Total Debt Current
$ 69 
 
$ 689 
Total Debt Non-Current
6,081 
 
3,624 
Debt (Textuals)
 
 
 
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months
69 
 
 
Long-term Debt, Maturities, Repayments of Principal in Year Two
10 
 
 
Long-term Debt, Maturities, Repayments of Principal in Year Three
527 
 
 
Long-term Debt, Maturities, Repayments of Principal in Year Four
10 
 
 
Long-term Debt, Maturities, Repayments of Principal in Year Five
10 
 
 
Long-term Debt, Maturities, Repayments of Principal after Year Five
5,524 
 
 
Conversion Premium On Repayment Of Convertible Debt
172 
 
Proceeds from Issuance of Long-term Debt
3,346 
 
Current [Member]
 
 
 
Debt
 
 
 
Sale-leaseback of refractory ore treatment plant
59 
 
165 
Corporate revolving credit facility (due 2016)
 
 
Ahafo project facility
10 
 
10 
Other capital leases
 
Non-current [Member]
 
 
 
Debt
 
 
 
Sale-leaseback of refractory ore treatment plant
 
Corporate revolving credit facility (due 2016)
 
 
33 
Ahafo project facility
45 
 
45 
Other capital leases
 
Convertible Senior Notes Net Of Discount 2012 [Member]
 
 
 
Debt (Textuals)
 
 
 
Repayments of Convertible Debt
517 
 
 
Conversion Premium On Repayment Of Convertible Debt
172 
 
 
Convertible Senior Notes Net Of Discount 2012 [Member] |
Current [Member]
 
 
 
Debt
 
 
 
Convertible senior notes, net of discount
 
514 
Convertible Senior Notes Net Of Discount 2012 [Member] |
Non-current [Member]
 
 
 
Debt
 
 
 
Convertible senior notes, net of discount
 
 
Convertible Senior Notes Net Of Discount 2014 [Member] |
Current [Member]
 
 
 
Debt
 
 
 
Convertible senior notes, net of discount
 
 
Convertible Senior Notes Net Of Discount 2014 [Member] |
Non-current [Member]
 
 
 
Debt
 
 
 
Convertible senior notes, net of discount
517 
 
512 
Convertible Senior Notes Net Of Discount 2017 [Member] |
Current [Member]
 
 
 
Debt
 
 
 
Convertible senior notes, net of discount
 
 
Convertible Senior Notes Net Of Discount 2017 [Member] |
Non-current [Member]
 
 
 
Debt
 
 
 
Convertible senior notes, net of discount
457 
 
452 
Senior Notes Net Of Discount 2019 [Member] |
Current [Member]
 
 
 
Debt
 
 
 
Senior notes, net of discount
 
 
Senior Notes Net Of Discount 2019 [Member] |
Non-current [Member]
 
 
 
Debt
 
 
 
Senior notes, net of discount
896 
 
896 
Senior Notes Net Of Discount 2035 [Member] |
Non-current [Member]
 
 
 
Debt
 
 
 
Senior notes, net of discount
598 
 
598 
Senior Notes Net Of Discount 2039 [Member] |
Non-current [Member]
 
 
 
Debt
 
 
 
Senior notes, net of discount
1,087 
 
1,087 
Senior Notes Net of Discount 2022 [Member]
 
 
 
Debt (Textuals)
 
 
 
Long-term Debt, Gross
1,500 
 
 
Proceeds from Issuance of Long-term Debt
1,479 
 
 
Interest rate
3.50 
 
 
Senior Notes Net of Discount 2022 [Member] |
Current [Member]
 
 
 
Debt
 
 
 
Senior notes, net of discount
 
 
Senior Notes Net of Discount 2022 [Member] |
Non-current [Member]
 
 
 
Debt
 
 
 
Senior notes, net of discount
1,489 
 
Senior Notes Net Of Discount 2042 [Member]
 
 
 
Debt (Textuals)
 
 
 
Long-term Debt, Gross
1,000 
 
 
Proceeds from Issuance of Long-term Debt
983 
 
 
Interest rate
4.875 
 
 
Senior Notes Net Of Discount 2042 [Member] |
Non-current [Member]
 
 
 
Debt
 
 
 
Senior notes, net of discount
$ 991 
 
 
Other Liabilities (Details) (USD $)
In Millions, unless otherwise specified
Mar. 31, 2012
Dec. 31, 2011
Other current liabilities:
 
 
Refinery metal payable
$ 500 
$ 796 
Accrued capital expenditures
267 
248 
Accrued operating costs
256 
231 
Taxes other than income and mining
86 
93 
Reclamation and remediation liabilities
70 
71 
Deferred income tax
57 
50 
Royalties
43 
53 
Boddington contingent consideration
39 
24 
Holt property royalty
21 
17 
Interest
12 
55 
Derivative instruments
408 
Other
64 
87 
Other current liabilities, total
1,417 
2,133 
Other long-term liabilities:
 
 
Holt property royalty
226 
159 
Income and mining taxes
86 
88 
Power supply agreements
46 
45 
Derivative instruments
Boddington contingent consideration
30 
Other
31 
36 
Other long-term liabilities, total
$ 397 
$ 364 
Net Change in Operating Assets and Liabilities (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Decrease (increase) in operating assets:
 
 
Trade and accounts receivable
$ (21)
$ 119 
Inventories, stockpiles and ore on leach pads
(201)
(56)
EGR refinery assets
319 
(175)
Other assets
(74)
(38)
Increase (decrease) in operating liabilities:
 
 
Accounts payable and other accrued liabilities
(32)
EGR refinery liabilities
(319)
175 
Reclamation liabilities
(28)
(8)
Net change in operating assets and liabilities
$ (356)
$ 21 
Supplemental Cash Flow Information (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Supplemental Cash Flow Information (Details) [Abstract]
 
 
Income and mining taxes, net of refunds
$ 296 
$ 278 
Interest, net of amounts capitalized
$ 23 
$ 20 
Condensed Consolidating Financial Statements (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Mar. 31, 2012
Mar. 31, 2011
Dec. 31, 2011
Condensed Consolidating Statement of Income
 
 
 
Sales
$ 2,683 
$ 2,465 
 
Costs and expenses
 
 
 
Costs applicable to sales
1,017 
940 
 
Amortization
231 
256 
 
Reclamation and remediation
16 
14 
 
Exploration
88 
62 
 
Advanced projects, research and development
102 
68 
 
General and administrative
54 
45 
 
Other expense, net
120 
73 
 
Total costs and expenses
1,628 
1,458 
 
Other income (expense)
 
 
 
Other income, net
33 
31 
 
Interest income-intercompany
 
Interest expense-intercompany
 
Interest expense, net
(52)
(65)
 
Total other income (expense)
(19)
(34)
 
Income before income and mining tax and other items
1,036 
973 
 
Income and mining tax expense
(343)
(305)
 
Equity income (loss) of affiliates
(19)
 
Income from continuing operations
674 
670 
 
Loss from discontinued operations
(71)
 
Net income
603 
670 
 
Net income attributable to noncontrolling interests
(113)
(156)
 
Net income attributable to Newmont stockholders
490 
514 
 
Comprehensive income
611 
953 
 
Comprehensive income attributable to noncontrolling interests
(115)
(158)
 
Comprehensive income attributable to Newmont stockholders
496 
795 
 
Operating activities:
 
 
 
Net income
603 
670 
 
Adjustments
366 
298 
 
Net change in operating assets and liabilities
(356)
21 
 
Net cash provided from continuing operations
613 
989 
 
Net cash used in discontinued operations
(4)
 
Net cash provided from operations
609 
989 
 
Investing activities:
 
 
 
Additions to property, plant and mine development
(696)
(402)
 
Purchases of marketable securities
(143)
(12)
 
Acquisitions, net
(11)
(7)
 
Proceeds from sale of other assets
12 
 
Other
(17)
(3)
 
Net cash used in investing activities
(855)
(418)
 
Financing activities:
 
 
 
Net borrowings (repayments)
1,439 
(31)
 
Payment of conversion premium on debt
(172)
 
Net intercompany borrowings (repayments)
 
Dividends paid to common stockholders
(173)
(74)
 
Dividends paid to noncontrolling interests
(15)
 
Proceeds from stock issuance, net
 
Other
(2)
 
Net cash provided from (used in) financing activities
1,094 
(117)
 
Effect of exchange rate changes on cash
23 
 
Net change in cash and cash equivalents
852 
477 
 
Cash and cash equivalents at beginning of period
1,760 
4,056 
 
Cash and cash equivalents at end of period
2,612 
4,533 
 
Assets
 
 
 
Cash and cash equivalents
2,612 
4,533 
 
Trade receivables
349 
 
300 
Accounts receivable
362 
 
320 
Investments
179 
 
94 
Inventories
699 
 
714 
Stockpiles and ore on leach pads
744 
 
671 
Deferred income tax assets
263 
 
396 
Other current assets
884 
 
1,133 
Current assets
6,092 
 
5,388 
Property, plant and mine development, net
16,364 
 
15,881 
Investments
1,479 
 
1,472 
Investments in subsidiaries
 
Stockpiles and ore on leach pads
2,470 
 
2,271 
Deferred income tax assets
1,652 
 
1,605 
Other long-term assets
904 
 
857 
Total assets
28,961 
 
27,474 
Liabilities
 
 
 
Debt
69 
 
689 
Accounts payable
497 
 
561 
Employee-related benefits
245 
 
307 
Income and mining taxes
343 
 
250 
Other current liabilities
1,417 
 
2,133 
Current liabilities
2,571 
 
3,940 
Debt
6,081 
 
3,624 
Reclamation and remediation liabilities
1,263 
 
1,169 
Deferred income tax liabilities
2,100 
 
2,147 
Employee-related benefits
484 
 
459 
Other long-term liabilities
397 
 
364 
Total liabilities
12,896 
 
11,703 
Equity
 
 
 
Preferred stock
 
Common stock
785 
 
784 
Additional paid-in capital
8,263 
 
8,408 
Accumulated other comprehensive income
658 
 
652 
Retained earnings
3,369 
 
3,052 
Newmont stockholders' equity
13,075 
 
12,896 
Noncontrolling interests
2,990 
 
2,875 
Total equity
16,065 
16,621 
15,771 
Total liabilities and equity
28,961 
 
27,474 
Convertible Senior Notes Net Of Discount 2012 [Member]
 
 
 
Financing activities:
 
 
 
Payment of conversion premium on debt
(172)
 
 
Newmont Mining Corporation [Member]
 
 
 
Condensed Consolidating Statement of Income
 
 
 
Sales
 
Costs and expenses
 
 
 
Costs applicable to sales
 
Amortization
 
Reclamation and remediation
 
Exploration
 
Advanced projects, research and development
 
General and administrative
 
Other expense, net
 
Total costs and expenses
 
Other income (expense)
 
 
 
Other income, net
(3)
(5)
 
Interest income-intercompany
40 
36 
 
Interest expense-intercompany
(5)
(3)
 
Interest expense, net
(46)
(54)
 
Total other income (expense)
(14)
(26)
 
Income before income and mining tax and other items
(14)
(27)
 
Income and mining tax expense
10 
 
Equity income (loss) of affiliates
499 
531 
 
Income from continuing operations
490 
 
 
Loss from discontinued operations
 
 
Net income
490 
514 
 
Net income attributable to Newmont stockholders
490 
514 
 
Comprehensive income
496 
795 
 
Comprehensive income attributable to Newmont stockholders
496 
795 
 
Operating activities:
 
 
 
Net income
490 
514 
 
Adjustments
13 
21 
 
Net change in operating assets and liabilities
(45)
 
Net cash provided from continuing operations
458 
 
 
Net cash used in discontinued operations
 
 
Net cash provided from operations
458 
543 
 
Investing activities:
 
 
 
Additions to property, plant and mine development
 
Purchases of marketable securities
 
Acquisitions, net
 
Proceeds from sale of other assets
 
Other
 
Net cash used in investing activities
 
Financing activities:
 
 
 
Net borrowings (repayments)
1,547 
 
Payment of conversion premium on debt
(172)
 
 
Net intercompany borrowings (repayments)
(1,662)
(472)
 
Dividends paid to common stockholders
(173)
(74)
 
Proceeds from stock issuance, net
 
Other
 
 
Net cash provided from (used in) financing activities
(458)
(543)
 
Effect of exchange rate changes on cash
 
Net change in cash and cash equivalents
 
Cash and cash equivalents at beginning of period
 
Cash and cash equivalents at end of period
 
Assets
 
 
 
Cash and cash equivalents
 
Trade receivables
 
Accounts receivable
1,199 
 
1,415 
Investments
100 
 
72 
Inventories
 
Stockpiles and ore on leach pads
 
Deferred income tax assets
 
134 
Other current assets
 
Current assets
1,305 
 
1,621 
Property, plant and mine development, net
 
Investments
 
Investments in subsidiaries
15,165 
 
14,675 
Stockpiles and ore on leach pads
 
Deferred income tax assets
792 
 
708 
Other long-term assets
3,607 
 
3,423 
Total assets
20,869 
 
20,427 
Liabilities
 
 
 
Debt
 
514 
Accounts payable
1,472 
 
2,698 
Employee-related benefits
 
Income and mining taxes
 
Other current liabilities
11 
 
450 
Current liabilities
1,483 
 
3,662 
Debt
6,035 
 
3,578 
Reclamation and remediation liabilities
 
Deferred income tax liabilities
 
Employee-related benefits
 
Other long-term liabilities
548 
 
567 
Total liabilities
8,071 
 
7,812 
Equity
 
 
 
Preferred stock
 
Common stock
785 
 
784 
Additional paid-in capital
7,986 
 
8,127 
Accumulated other comprehensive income
658 
 
652 
Retained earnings
3,369 
 
3,052 
Newmont stockholders' equity
12,798 
 
12,615 
Noncontrolling interests
 
Total equity
12,798 
 
12,615 
Total liabilities and equity
20,869 
 
20,427 
Newmont USA [Member]
 
 
 
Condensed Consolidating Statement of Income
 
 
 
Sales
1,617 
1,518 
 
Costs and expenses
 
 
 
Costs applicable to sales
563 
566 
 
Amortization
130 
159 
 
Reclamation and remediation
11 
10 
 
Exploration
53 
34 
 
Advanced projects, research and development
88 
27 
 
General and administrative
42 
34 
 
Other expense, net
47 
54 
 
Total costs and expenses
934 
884 
 
Other income (expense)
 
 
 
Other income, net
13 
25 
 
Interest income-intercompany
 
Interest expense-intercompany
 
Interest expense, net
(5)
(9)
 
Total other income (expense)
10 
18 
 
Income before income and mining tax and other items
693 
652 
 
Income and mining tax expense
(146)
(208)
 
Equity income (loss) of affiliates
(11)
 
Income from continuing operations
536 
 
 
Loss from discontinued operations
 
 
Net income
540 
445 
 
Net income attributable to noncontrolling interests
(116)
(192)
 
Net income attributable to Newmont stockholders
424 
253 
 
Comprehensive income
541 
462 
 
Comprehensive income attributable to noncontrolling interests
(116)
(192)
 
Comprehensive income attributable to Newmont stockholders
425 
270 
 
Operating activities:
 
 
 
Net income
540 
445 
 
Adjustments
60 
174 
 
Net change in operating assets and liabilities
(298)
(54)
 
Net cash provided from continuing operations
302 
 
 
Net cash used in discontinued operations
 
 
Net cash provided from operations
302 
565 
 
Investing activities:
 
 
 
Additions to property, plant and mine development
(479)
(238)
 
Purchases of marketable securities
(143)
(1)
 
Acquisitions, net
 
Proceeds from sale of other assets
 
Other
 
Net cash used in investing activities
(614)
(233)
 
Financing activities:
 
 
 
Net borrowings (repayments)
(106)
(31)
 
Payment of conversion premium on debt
 
 
Net intercompany borrowings (repayments)
1,164 
(1,948)
 
Dividends paid to common stockholders
 
Dividends paid to noncontrolling interests
 
(15)
 
Proceeds from stock issuance, net
 
Other
 
 
Net cash provided from (used in) financing activities
1,058 
(1,994)
 
Effect of exchange rate changes on cash
(2)
(1)
 
Net change in cash and cash equivalents
744 
(1,663)
 
Cash and cash equivalents at beginning of period
1,526 
3,877 
 
Cash and cash equivalents at end of period
2,270 
2,214 
 
Assets
 
 
 
Cash and cash equivalents
2,270 
2,214 
 
Trade receivables
228 
 
205 
Accounts receivable
2,268 
 
3,447 
Investments
55 
 
Inventories
330 
 
333 
Stockpiles and ore on leach pads
631 
 
532 
Deferred income tax assets
252 
 
257 
Other current assets
124 
 
91 
Current assets
6,158 
 
6,391 
Property, plant and mine development, net
7,266 
 
6,917 
Investments
118 
 
29 
Investments in subsidiaries
24 
 
43 
Stockpiles and ore on leach pads
1,761 
 
1,641 
Deferred income tax assets
808 
 
838 
Other long-term assets
664 
 
641 
Total assets
16,799 
 
16,500 
Liabilities
 
 
 
Debt
59 
 
165 
Accounts payable
1,174 
 
1,327 
Employee-related benefits
171 
 
222 
Income and mining taxes
94 
 
45 
Other current liabilities
468 
 
459 
Current liabilities
1,966 
 
2,218 
Debt
 
Reclamation and remediation liabilities
901 
 
809 
Deferred income tax liabilities
641 
 
732 
Employee-related benefits
369 
 
355 
Other long-term liabilities
54 
 
61 
Total liabilities
3,932 
 
4,176 
Equity
 
 
 
Preferred stock
 
Common stock
 
Additional paid-in capital
3,050 
 
3,050 
Accumulated other comprehensive income
(188)
 
(189)
Retained earnings
6,481 
 
6,055 
Newmont stockholders' equity
9,343 
 
8,916 
Noncontrolling interests
3,524 
 
3,408 
Total equity
12,867 
 
12,324 
Total liabilities and equity
16,799 
 
16,500 
Condensed Consolidating Financial Statements (Textuals)
 
 
 
Percent ownership of Newmont USA by Newmont Mining Corporation
100.00% 
 
 
Other Subsidiaries [Member]
 
 
 
Condensed Consolidating Statement of Income
 
 
 
Sales
1,066 
947 
 
Costs and expenses
 
 
 
Costs applicable to sales
465 
384 
 
Amortization
101 
97 
 
Reclamation and remediation
 
Exploration
35 
28 
 
Advanced projects, research and development
14 
41 
 
General and administrative
 
Other expense, net
73 
19 
 
Total costs and expenses
694 
573 
 
Other income (expense)
 
 
 
Other income, net
23 
11 
 
Interest income-intercompany
 
Interest expense-intercompany
(42)
(37)
 
Interest expense, net
(1)
(2)
 
Total other income (expense)
(15)
(26)
 
Income before income and mining tax and other items
357 
348 
 
Income and mining tax expense
(202)
(107)
 
Equity income (loss) of affiliates
67 
89 
 
Income from continuing operations
222 
 
 
Loss from discontinued operations
(75)
 
 
Net income
147 
330 
 
Net income attributable to noncontrolling interests
(32)
(20)
 
Net income attributable to Newmont stockholders
115 
310 
 
Comprehensive income
139 
595 
 
Comprehensive income attributable to noncontrolling interests
(34)
(22)
 
Comprehensive income attributable to Newmont stockholders
105 
573 
 
Operating activities:
 
 
 
Net income
147 
330 
 
Adjustments
(281)
(516)
 
Net change in operating assets and liabilities
(13)
67 
 
Net cash provided from continuing operations
(147)
 
 
Net cash used in discontinued operations
(4)
 
 
Net cash provided from operations
(151)
(119)
 
Investing activities:
 
 
 
Additions to property, plant and mine development
(217)
(164)
 
Purchases of marketable securities
(11)
 
Acquisitions, net
(11)
(7)
 
Proceeds from sale of other assets
 
Other
(17)
(3)
 
Net cash used in investing activities
(241)
(185)
 
Financing activities:
 
 
 
Net borrowings (repayments)
(2)
 
Payment of conversion premium on debt
 
 
Net intercompany borrowings (repayments)
498 
2,420 
 
Dividends paid to common stockholders
 
Dividends paid to noncontrolling interests
 
 
Proceeds from stock issuance, net
 
Other
(2)
 
 
Net cash provided from (used in) financing activities
494 
2,420 
 
Effect of exchange rate changes on cash
24 
 
Net change in cash and cash equivalents
108 
2,140 
 
Cash and cash equivalents at beginning of period
234 
179 
 
Cash and cash equivalents at end of period
342 
2,319 
 
Assets
 
 
 
Cash and cash equivalents
342 
2,319 
 
Trade receivables
121 
 
95 
Accounts receivable
293 
 
264 
Investments
24 
 
22 
Inventories
369 
 
381 
Stockpiles and ore on leach pads
113 
 
139 
Deferred income tax assets
 
Other current assets
760 
 
1,042 
Current assets
2,027 
 
2,182 
Property, plant and mine development, net
9,127 
 
8,990 
Investments
1,361 
 
1,443 
Investments in subsidiaries
2,915 
 
2,825 
Stockpiles and ore on leach pads
709 
 
630 
Deferred income tax assets
52 
 
59 
Other long-term assets
913 
 
927 
Total assets
17,104 
 
17,056 
Liabilities
 
 
 
Debt
10 
 
10 
Accounts payable
1,254 
 
1,343 
Employee-related benefits
74 
 
85 
Income and mining taxes
249 
 
205 
Other current liabilities
2,895 
 
3,186 
Current liabilities
4,482 
 
4,829 
Debt
45 
 
45 
Reclamation and remediation liabilities
362 
 
360 
Deferred income tax liabilities
1,459 
 
1,415 
Employee-related benefits
110 
 
99 
Other long-term liabilities
4,103 
 
3,895 
Total liabilities
10,561 
 
10,643 
Equity
 
 
 
Preferred stock
61 
 
61 
Common stock
 
Additional paid-in capital
5,697 
 
5,702 
Accumulated other comprehensive income
1,158 
 
1,168 
Retained earnings
(1,627)
 
(1,744)
Newmont stockholders' equity
5,289 
 
5,187 
Noncontrolling interests
1,254 
 
1,226 
Total equity
6,543 
 
6,413 
Total liabilities and equity
17,104 
 
17,056 
Eliminations [Member]
 
 
 
Condensed Consolidating Statement of Income
 
 
 
Sales
 
Costs and expenses
 
 
 
Costs applicable to sales
(11)
(10)
 
Amortization
 
Reclamation and remediation
 
Exploration
 
Advanced projects, research and development
 
General and administrative
11 
10 
 
Other expense, net
 
Total costs and expenses
 
Other income (expense)
 
 
 
Other income, net
 
Interest income-intercompany
(47)
(40)
 
Interest expense-intercompany
47 
40 
 
Interest expense, net
 
Total other income (expense)
 
Income before income and mining tax and other items
 
Income and mining tax expense
 
Equity income (loss) of affiliates
(574)
(619)
 
Income from continuing operations
(574)
 
 
Loss from discontinued operations
 
 
Net income
(574)
(619)
 
Net income attributable to noncontrolling interests
35 
56 
 
Net income attributable to Newmont stockholders
(539)
(563)
 
Comprehensive income
(565)
(899)
 
Comprehensive income attributable to noncontrolling interests
35 
56 
 
Comprehensive income attributable to Newmont stockholders
(530)
(843)
 
Operating activities:
 
 
 
Net income
(574)
(619)
 
Adjustments
574 
619 
 
Net change in operating assets and liabilities
 
Net cash provided from continuing operations
 
 
Net cash used in discontinued operations
 
 
Net cash provided from operations
 
Investing activities:
 
 
 
Additions to property, plant and mine development
 
Purchases of marketable securities
 
Acquisitions, net
 
Proceeds from sale of other assets
 
Other
 
Net cash used in investing activities
 
Financing activities:
 
 
 
Net borrowings (repayments)
 
Payment of conversion premium on debt
 
 
Net intercompany borrowings (repayments)
 
Dividends paid to common stockholders
 
Dividends paid to noncontrolling interests
 
 
Proceeds from stock issuance, net
 
Other
 
 
Net cash provided from (used in) financing activities
 
Effect of exchange rate changes on cash
 
Net change in cash and cash equivalents
 
Cash and cash equivalents at beginning of period
 
Cash and cash equivalents at end of period
 
Assets
 
 
 
Cash and cash equivalents
 
Trade receivables
 
Accounts receivable
(3,398)
 
(4,806)
Investments
 
Inventories
 
Stockpiles and ore on leach pads
 
Deferred income tax assets
 
Other current assets
 
Current assets
(3,398)
 
(4,806)
Property, plant and mine development, net
(29)
 
(26)
Investments
 
Investments in subsidiaries
(18,104)
 
(17,543)
Stockpiles and ore on leach pads
 
Deferred income tax assets
 
Other long-term assets
(4,280)
 
(4,134)
Total assets
(25,811)
 
(26,509)
Liabilities
 
 
 
Debt
 
Accounts payable
(3,403)
 
(4,807)
Employee-related benefits
 
Income and mining taxes
 
Other current liabilities
(1,957)
 
(1,962)
Current liabilities
(5,360)
 
(6,769)
Debt
 
Reclamation and remediation liabilities
 
Deferred income tax liabilities
 
Employee-related benefits
 
Other long-term liabilities
(4,308)
 
(4,159)
Total liabilities
(9,668)
 
(10,928)
Equity
 
 
 
Preferred stock
(61)
 
(61)
Common stock
 
Additional paid-in capital
(8,470)
 
(8,471)
Accumulated other comprehensive income
(970)
 
(979)
Retained earnings
(4,854)
 
(4,311)
Newmont stockholders' equity
(14,355)
 
(13,822)
Noncontrolling interests
(1,788)
 
(1,759)
Total equity
(16,143)
 
(15,581)
Total liabilities and equity
$ (25,811)
 
$ (26,509)
Commitments and Contingencies (Details)
3 Months Ended 3 Months Ended 3 Months Ended
Mar. 31, 2012
USD ($)
Mar. 31, 2012
PEN (S/.)
Dec. 31, 2011
USD ($)
Mar. 31, 2010
Mar. 31, 2009
Mar. 31, 2008
Mar. 31, 2007
Mar. 31, 2006
Mar. 31, 2012
Yanacocha [Member]
Mar. 31, 2012
Batu Hijau [Member]
USD ($)
Mar. 31, 2012
NUSA [Member]
Mar. 31, 2012
PTMDB [Member]
Mar. 31, 2012
PTNMR [Member]
Mar. 31, 2012
To PTPI From NIL NTMC [Member]
USD ($)
Mar. 31, 2012
To NVL From PTPI [Member]
USD ($)
Mar. 31, 2012
NWG Ownership In NewWest Gold [Member]
Mar. 31, 2012
Jacob Safra Ownership In NWG [Member]
Mar. 31, 2012
Fronteer Ownership In Aurora [Member]
Mar. 31, 2012
PTPI [Member]
Mar. 31, 2012
Minimum royalty payable year one [Member]
USD ($)
Mar. 31, 2012
Minimum royalty payable year two [Member]
USD ($)
Mar. 31, 2012
Minimum royalty payable year three [Member]
USD ($)
Mar. 31, 2012
Minimum royalty payable year four [Member]
USD ($)
Mar. 31, 2012
Minimum royalty payable year five [Member]
USD ($)
Mar. 31, 2012
Minimum royalty payable thereafter [Member]
USD ($)
Commitments and Contingencies (Textuals)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accrued for reclamation obligations relating to mineral properties
$ 1,136,000,000 
 
$ 1,070,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accrued reclamation operating costs current
47,000,000 
 
47,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accrued obligation associated with former, primarily historic, mining activities
197,000,000 
 
170,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Range of reclamation and remediation liabilities upper limit
106.00% 
106.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Range of reclamation and remediation liabilities lower limit
7.00% 
7.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ownership interest in subsidiaries
 
 
 
 
 
 
 
 
51.35% 
31.50% 
100.00% 
 
80.00% 
 
 
 
 
 
 
 
 
 
 
 
 
Grey Eagle EPA expenditures
3,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ross Adams US Forest Service expenditures
300,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Estimate of possible loss
 
 
 
 
 
 
 
 
 
247,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fine paid under protest for spill of elementary mercury
500,000 
1,740,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Percentage of ownership shares by the Indonesian government or Indonesian nationals in PTNNT
 
 
 
51.00% 
44.00% 
37.00% 
30.00% 
23.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Other company ownership percentage in affiliate
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
86.00% 
100.00% 
42.00% 
20.00% 
 
 
 
 
 
 
Aggregate interest to be offered
 
 
 
 
 
 
 
 
 
 
 
 
 
31.00% 
 
 
 
 
 
 
 
 
 
 
 
Sale and transfer of shares of interest percent
 
 
 
7.00% 
7.00% 
7.00% 
7.00% 
3.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
PTMDB's ownership in PTNNT
 
 
 
 
 
 
 
 
 
 
 
24.00% 
 
 
 
 
 
 
 
 
 
 
 
 
 
Minimum royalty payable
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
28,000,000 
28,000,000 
28,000,000 
28,000,000 
28,000,000 
223,000,000 
Letters of Credit Surety Bonds and Bank Guarantees, outstanding
1,482,000,000 
 
1,354,000,000 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Legal damages
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 26,000,000 
$ 11,000,000 
 
 
 
 
 
 
 
 
 
 
Supplementary Data (Details)
Mar. 31, 2012
Supplementary Data (Textuals)
 
Ratio of earnings to fixed charges
13.5