Newcrest Mining says its all-in sustaining cost of gold production was up 20 per cent in the June quarter due to higher capital expenditures at three of its mines.
Newcrest said on Tuesday it had an all-in sustaining cost of $1,196 an ounce for the quarter, 20 per cent higher than the previous quarter, due to expenditures at the Lihir mine in Papua New Guinea, Cadia mine in NSW and Red Chris mine in British Columbia, Canada.
For the quarter, Newcrest mined 556,187 ounces, up nine per cent from the previous quarter, but five per cent below consensus expectations.
For the fiscal year, the group mined 2.1m ounces, meeting the lower end of guidance.
Newcrest missed its 2022/23 copper guidance of 135,000 to 155,000 tonnes, producing 133,149, primarily due to lower mill throughput at Cadia and its Telfer mine in WA's Great Sandy Desert.
RBC Capital Markets analyst Alex Barkley said overall it was a weak quarterly result, particularly at Lihir, on Niolam Island in PNG.
"Overall we expect the stock to trade weaker on the soft quarter and lingering questions heading into the release of FY24 guidance," Mr Barkley wrote.
At 10.42am AEST, Newcrest shares were up 0.7 per cent to $26.68.
Australia's largest gold miner has entered into a $29 billion takeover scheme with the world's biggest gold miner Newmont.
The scheme is expected to be put to Newcrest shareholders in October and, if approved, is expected to be implemented by year-end.
