The Tanami power project, which included the installation of two power stations, a 66kV interconnected power line and a 450km natural gas pipeline, is expected to provide the gold mine a safe and reliable energy source, while lowering power costs and carbon emission by 20%.
The gas pipeline was built and will be maintained by Australian Gas Infrastructure Group, while the power stations were constructed and will be operated by Zenith Energy.
Newmont said the project is also expected to generate net cash savings of US$34 per ounce from 2019 to 2023, delivering an internal rate of return of greater than 50%.
Capital costs are estimated at approximately US$245 million, with annual cash lease payments over a 10-year term beginning in 2019.
"In addition to lowering costs and carbon emissions, the completed Tanami power project will pave the way to further extend the life of the operation," said Newmont CEO Gary Goldberg.
"Consistent execution and delivery remain the hallmark of our ability to generate free cash flow and create long-term value for our shareholders and other stakeholders.
"Completion of the project coincides with Tanami pouring its 10 millionth ounce of gold on the back of record production of 500,000oz last year."