UPDATE 1-Newmont reports 2013 gold output at top end of its forecast

Thu Jan 30, 2014 5:53pm EST
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Jan 30 (Reuters) - Newmont Mining Corp said on Thursday it produced 1.5 million ounces of gold in the fourth quarter, resulting in full-year output of 5.1 million ounces, at the top end of the company's forecast range.

The Denver-based miner said it also produced 38 million pounds of copper during the fourth quarter, bringing its full-year output to 144 million pounds.

Newmont, the world's third-biggest gold company by market value, said it expects consolidated gold production in 2014 of between 5.0 million and 5.3 million ounces and copper output of between 160,000 and 175,000 tonnes.

Releasing its quarterly production figures and forecast, Newmont said it will apply a gold price of $1,300 per ounce, down from $1,400 a year ago, for all asset impairment testing as well as in calculating its gold reserves.

In 2014, Newmont said it expects its all-in sustaining costs to be between $1,075 and $1,175 per gold ounce and $2.75 to $2.95 per copper pound. It also expects an approximate 20 percent reduction in overhead expenses.

Newmont, which has mines in the Americas, Asia, Australia and Africa, said it expects a capital spending budget of about $1.3 billion to $1.4 billion this year, about 90 percent of which will be sustaining capital.

Newmont had previously forecast it would produce between 4.8 million and 5.1 million ounces of gold in 2013. It cut its forecast for 2013 copper production in October to between 135 million and 145 million pounds, blaming lower-than-expected output at mines in Australia and Indonesia.