Closing a mine can have a significant impact on local communities and the local environment. Newmont is committed to leaving a positive legacy for the communities and the environment where we operate. This means that our approach needs to go far beyond minimizing the disturbance of land. Ensuring that the post-closure land is compatible with traditional uses or provides sustainable advantages to local communities is imperative to our success.

The earlier closure is considered during the life of a mine, the better the opportunity is for a site to establish sustainable benefits beyond the end of the mine. In addition to planning for closure before operations even begin, sites are required to set up a process for reviewing and updating closure plans regularly with external stakeholders over the life of the mine.

We work to reclaim disturbed land progressively during the mine's life. Our Closure and Reclamation Technical Team (CRTT) develops and applies a system that ensures the approach to site closure and reclamation are consistently evaluated and reported at each stage of the mine life cycle.

Snapshot: Concurrent Reclamation

In developing and implementing reclamation plans, we apply technical and scientific approaches to address mineral waste generated from the extraction of precious metals. At several of our sites - and at the historic mining sites we never operated but for which we manage the reclamation process - we have pioneered techniques that have been shared in the industry as technically or scientifically proven approaches to mine closure and reclamation.

Snapshot: Improved Outlook for Historic Disturbance

Estimated future reclamation costs are based principally on legal and regulatory requirements. The following amounts were accrued at year-end for reclamation costs relating to currently or recently producing mineral properties in accordance with FAS No. 143, "Accounting for Asset Retirement Obligations."
December 31, 2010: $904 million
December 31, 2009: $698 million
December 31, 2008: $594 million


Of the $904 million, $46 million is classified as current liabilities expected to be spent in 2011. For more details of Newmont's accrual for closure and reclamation, please see the 2010 Annual Report. The company is also involved in several matters concerning environmental obligations associated with former mining activities. Generally these matters concern developing and implementing remediation plans at the various sites involved. For details of each case, please see the 2010 Annual Report.

PT Newmont Minahasa Raya (PTNMR) completed reclamation activities near the former mine area, including planting acres of various trees. An evaluation team assembled by the Government of the Republic of Indonesia rated the site a 93 out of 100 in terms of successful reclamation, based on land management, erosion and sedimentation control. Additional sustainable closure success at Minahasa can be seen in the recovery of the marine environment around the mine site. Careful stewardship during operations and placement of reef balls to promote coral reef development have paved the way for diving and tourism in the area (see snapshot below).

During 2010, an additional 0.4 thousand hectares were disturbed for operational activities across Newmont, bringing the total cumulative disturbed ground to 28.8 thousand hectares.

Newmont concurrently reclaims disturbed ground, which means that we start reclamation while the mining operation is still underway. This ensures we have better equipment, expertise and monitoring capabilities, and more opportunities to engage with local communities to design the post-mine land use. We are in the process of reclaiming 5.3 thousand hectares at our operating sites.

Snapshot: Planting a Forest at Ahafo
Snapshot: Diving and tourism thriving at Buyat Bay

Case Study:
Mine Closure Benefits Community

Back to top of page