Newmont Minings’ chief executive officer Gary Goldberg spoke with the Denver Business Journal following his company’s acquisition of the Cripple Creek & Victor Gold Mine from AngloGold Ashanti for $820 million.
Goldberg told the paper that, “Bottom line, it’s a good fit with our overall strategy. We’ve been looking at improving the overall business — reducing costs, safety and efficiency improvements, and this improves our overall mine cost and reserves. Plus, the U.S. is a good jurisdiction and the mine is a well-run operation with excellent community support.
“We are looking forward to learning from the 550 people who work there,” he said.
“We are making our own opportunities to expand, because you understand those the best,” Goldberg said.
Over the next few years, Goldberg said he believes the “long-term fundamentals” of the gold business are still good.
“We see demand continuing to grow in China, as the middle class grows from 300 million to 500 million people, and India is still a big buyer,” he said.
“And there’s been less investment in new production, meaning gold production will be dropping in the next few years — which is positive on a supply-demand basis.”