Newmont Mining (NYSE:NEM) announces plans to develop the Merian gold mine in Suriname with a total capital investment of $900M-$1B.
NEM says Merian contains gold reserves of 4.2M oz. and should produce an average of 300K-400K oz./year of gold over a mine life of 11 years; higher grade ore and throughput in the early phases will boost production to 400K-500K oz./year in the first five years.
NEM projects all-in sustaining costs of $750-$850/oz. in the first five years.
Production is expected to begin in late 2016, pending government approval.