Newmont Reaches Profit Sharing Agreement with Peñasquito Union

Rhea-AI Summary

Newmont Corporation (NYSE: NEM) has signed a profit-sharing agreement with its workforce at the Peñasquito mine in Zacatecas, Mexico, ensuring continued operations. The agreement allows for uncapped profit-sharing bonuses up to 10%, with an immediate financial impact of $70 million, reflecting 2021 results. CEO Tom Palmer highlighted the cooperation with the National Union of Mining and the absence of operational interruptions. This agreement strengthens the relationship between Newmont and its workforce, contributing positively to the mine's future.

Positive

• Profit-sharing agreement to enhance workforce motivation and retention.
• Immediate financial benefit of $70 million linked to 2021 performance.
• Agreement reached without operational interruptions, ensuring continuity.

Negative

• None.

DENVER--(BUSINESS WIRE)-- Newmont Corporation (NYSE: NEM, TSX: NGT) today announced that it has reached a profit-sharing agreement with its represented workforce at the Company’s Peñasquito mine in Zacatecas, Mexico. The agreement supports the continued operation of Peñasquito into the future.

Consistent with other agreements across Mexico, Newmont Peñasquito will pay its represented workforce an uncapped profit-sharing bonus up to 10%, with an immediate cost equivalent of $70 million, which is representative of the payments related to 2021 results.

“We are pleased to have reached this agreement with the National Union of Mining, Metallurgical, Iron and Steel and Similar Workers of the Mexican Republic,” said Newmont President and CEO Tom Palmer. “Through a respectful dialogue and the active participation of union leadership including Senator Napoléon Gómez Urrutia, we reached this agreement without interruption to the operation, ensuring a lasting relationship for the future of Peñasquito.”

About Newmont

Newmont is the world’s leading gold company and a producer of copper, silver, zinc and lead. The Company’s world-class portfolio of assets, prospects and talent is anchored in favorable mining jurisdictions in North America, South America, Australia and Africa. Newmont is the only gold producer listed in the S&P 500 Index and is widely recognized for its principled environmental, social and governance practices. The Company is an industry leader in value creation, supported by robust safety standards, superior execution and technical expertise. Newmont was founded in 1921 and has been publicly traded since 1925.

At Newmont, our purpose is to create value and improve lives through sustainable and responsible mining. To learn more about Newmont’s sustainability strategy and initiatives, visit our annual Sustainability Report at www.newmont.com.

This news release may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbor created by such sections and other applicable laws. Where a forward-looking statement expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. Forward-looking statements may include expectations regarding the future of Peñasquito and related union and labor relations. Expectations of future events are based upon certain assumptions, which may prove to be incorrect, and remain subject to risks, which could cause actual results to differ materially. For a discussion of risks and other factors that might impact future looking statements, see the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 filed with the U.S. Securities and Exchange Commission (the “SEC”), under the headings “Forward-Looking Statements” and “Risk Factors", available on the SEC website or www.newmont.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220705005310/en/

Media Contact

Courtney Boone

303.837.5159

courtney.boone@newmont.com

Investor Contact

Daniel Horton

303.837.5468

daniel.horton@newmont.com

Source: Newmont Corporation

FAQ

What is the profit-sharing agreement about for NEM?

Newmont Corporation's profit-sharing agreement allows for bonuses up to 10% for its workforce at the Peñasquito mine.

How much will Newmont pay in profit-sharing bonuses?

Newmont will pay an immediate cost of $70 million as part of the profit-sharing agreement.

What is the significance of the agreement for Newmont's operations?

The agreement supports continuous operations at the Peñasquito mine and enhances labor relations.

When was the profit-sharing agreement announced by Newmont?

The agreement was announced on July 5, 2022.

Which union is involved in the Newmont profit-sharing agreement?

The agreement involves the National Union of Mining, Metallurgical, Iron and Steel and Similar Workers of the Mexican Republic.