Colorado-based Newmont Corp., the world’s largest gold producer, is cutting 19 positions at its headquarters in Denver and a technical facility in Englewood.
The company notified state and local officials Wednesday that the reductions, many of them management jobs, will begin around Oct. 28 and will be permanent. There won’t be a shutdown or closure of all operations at either facility, according to the Worker Readjustment and Retraining Notification Act notice filed with the state.
The layoffs are part of a plan announced in February that includes both labor and non-labor reductions. The employees employees will be offered severance and receive at least 60 days’ advance notice.
“Moves to reshape our structure reflect one of several steps we are taking in 2025 to reduce our cost base and improve productivity — positioning Newmont to deliver on our commitments to shareholders and partners across a range of gold price environments, and for the long-term success of the business,” the company said Thursday in an email.
Investors have been interested in Newmont’s rising general and administrative costs.
“We have a laser-focus on ensuring that these costs are reduced as we transition from 17 to 11 managed operations over the course of this year,” Newmont CEO Tom Palmer said in a February earnings call.
Bloomberg reported that Newmont could be looking at deeper cuts following its $15 billion acquisition of Australian-based Newcrest Mining Ltd. in 2023. Citing unnamed sources, Bloomberg said the mining company could lower costs by as much as 20%.
However, Newmont said in an email that it hasn’t set “a blanket percentage target for headcount reductions” or, as reported, set a cost-reduction target per ounce of gold.
In July, Newmont said its second-quarter earnings included net income of $2.1 billion and a record quarterly free cash flow of $1.7 billion.
Newmont completed its sale of the Cripple Creek & Victor Gold Mine in March. SSR Mining Inc. paid Newmont $100 million in cash and agreed to up to $175 million in additional payments for the Colorado mine.