Newcrest Mining Ltd is planning hundreds of job cuts in Papua New Guinea, according to The Australian.
The miner's Papua New Guinea operations represent about half of its overall mine assets and the cuts will affect local and expatriate jobs, The Australian reported.
The cuts will affect about 150 workers at Newcrest's Lihir gold mine, which employs nearly 3,000 direct employees and an additional 2,000 contractors.
“We have gone to great lengths since the end of April to explain to our employees and contractors as well as landowners, local government and provincial and national government about the external conditions – the significant fall in the gold price, the biggest in the last 30 years – and what that means in terms of Lihir and its workforce,” a Newcrest spokeswoman told The Australian.
Newcrest is facing investigations over potential early disclosures of cost and production downgrades that saw half a dozen analysts downgrade their view of Newcrest before the downgrades were announced.
Newcrest shares fell 7.92% Monday, to close at $9.53. The miner's shares hit a high of $30 eight months ago.