Higher gold price helps Newcrest increase revenue
The Australian mining company reported on Friday 14 August that its production for the past year totalled 2.1mn ounces, compared with 2.4mn ounces for the 12 months to June 2019. But profits have risen from $3.7bn (£2.82bn) to $3.9bn (£2.97bn), due to a 21% increase in the realised price of gold.
At the same time, underlying profit has grown by 34%, from $561mn (£428mn) to $750mn (£572mn).
Sandeep Biswas, Newcrest Mining’s manager and CEO, said of his company’s results: “The 2020 financial year was a year in which we invested in the future. We invested $1.3-billion to acquire Red Chris and increase our exposure to Fruta del Norte, and a further $400-million to progress our organic growth options and on exploration”.
“Our operational and financial performance, strong balance sheet and outlook have allowed us to increase our dividends to shareholders for the fifth consecutive year, with the full year dividend being 14% higher than last year,” Biswas added.
People Moves: Peter Cunningham appointed Rio Tinto CFO
Rio Tinto has appointed Peter Cunningham as Chief Financial Officer (CFO) with immediate effect. Peter, who has been Interim Chief Financial Officer since 1 January 2021, will also join the Rio Tinto Board as an executive director at the same time.
Peter Cunningham appointed Rio Tinto CFO
Peter Cunningham was previously Group Controller and has held a number of senior financial and non-financial leadership positions across Rio Tinto in Australia and the UK. In a career spanning 28 years with Rio Tinto, he has held roles including Global Head of Health, Safety, Environment & Communities; Head of Energy and Climate Strategy; and Head of Investor Relations.
Prior to joining Rio Tinto, Peter qualified as a chartered accountant.
Rio Tinto CEO Jakob Stausholm commented: “I am delighted to confirm Peter in the role and, having worked closely with him for a number of years, I know he is the ideal person to be our Chief Financial Officer. His detailed knowledge of the company and of the financial and non-financial drivers of our industry will be invaluable as we continue to strengthen Rio Tinto.”
Rio Tinto Chairman Simon Thompson added: "I look forward to Peter joining the Rio Tinto Board and know from experience that his deep understanding of Rio Tinto and commitment to disciplined capital allocation will serve shareholders well and enrich our Board discussions.”
Rio Tinto aiming for net zero by 2050
Rio Tinto is aiming to reach net zero emissions across its operations by 2050. Across the company, it is targeting a 15% reduction in absolute emissions and a 30% reduction in emissions intensity by 2030, from a 2018 baseline.
Aluminium is found in everything from cars to phones. But one of the challenges of producing this essential material responsibly is finding ways to decarbonise the process.
Part of the reason is creating alumina – the main ingredient in aluminium – takes a lot of energy, which in turn creates greenhouse gas emissions. New technologies will be essential to helping reduce emissions, but many haven’t been proven. And some not yet even discovered. Rio Tinto is partnering with the Australian Renewable Energy Agency (ARENA)to develop hydrogen energy options and make a positive step towards these goals.