Newcrest CEO Would Be ‘Happy’ to Buy Harmony’s Wafi-Golpu Stake
Newcrest Mining Ltd. (NCM), the world’s third largest gold mining company by market value, said the company would acquire Harmony Gold Mining Co.’s 50 percent stake in the A$4 billion ($4.2 billion) Wafi-Golpu joint venture if it was for sale.
“If they wanted to sell it we’d be happy to buy it,” Greg Robinson, chief executive officer of Melbourne-based Newcrest told reporters today on a conference call. Newcrest hasn’t had any recent talks with Harmony about a potential sale, he said.
Newcrest expects the gold-copper project in Papua New Guinea to produce 600,000 to 800,000 ounces of gold and 300,000 to 500,000 metric tons of copper, it said in a presentation accompanying its full-year results. Production may start in 2017 with total construction costs estimated at A$4 billion, the company said.
Newcrest reported a record second-half net profit of A$470 million in the six months to June 30, up 23 percent on the same period last year, according to figures derived from full-year earnings posted today and confirmed by the Melbourne-based company. That compares with a forecast of A$523 million from Royal Bank of Scotland Group Plc.
Newcrest fell 1.5 percent to A$40.12 at 2:50 p.m. in Sydney trading, trimming gains over the past twelve months to 14 percent.
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