LEASE AND OTHER FINANCING OBLIGATIONS

12 Months Ended

Dec. 31, 2023

The Company primarily has operating and finance leases for corporate and regional offices, processing facilities, mining equipment, power generation, and transportation. These leases have a remaining lease term of less than 1 year to 34 years, some of which may include options to extend the lease for up to 15 years, and some of which may include options to terminate the lease within 1 year. Some of the Company's leases include payments that vary based on the Company’s level of usage and operations. These variable payments are not included within ROU assets and lease liabilities in the Consolidated Balance Sheets. Additionally, short-term leases, which have an initial term of 12 months or less, are not recorded in the Consolidated Balance Sheets.

Total lease cost includes the following components:


	Year Ended December 31,
	2023		2022
Operating lease cost	$	23	$	28
Finance lease cost:
Amortization of ROU assets	78		78
Interest on lease liabilities	32		34
	110		112
Variable lease cost	298		332
Short-term lease cost	24		25
	$	455	$	497

Supplemental cash flow information related to leases includes the following:


	Year Ended December 31,
	2023		2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows relating to operating leases	$	23	$	23
Operating cash flows relating to finance leases	$	33	$	34
Financing cash flows relating to finance leases	$	67	$	66

Non-cash lease obligations arising from obtaining ROU assets:(1)
Operating leases	$	23	$	16
Finance leases	$	53	$	20

____________________________

(1)Operating and finance lease obligations assumed in relation to the Newcrest transaction were $13 and $51, respectively.

Information related to lease terms and discount rates is as follows:


	Operating Leases		Finance Leases
Weighted average remaining lease term (years)	8		8
Weighted average discount rate	3.78	%	6.39	%

Future minimum lease payments under non-cancellable leases as of December 31, 2023, were as follows:


	Operating Leases (1)		Finance Leases
2024	$	24	$	110
2025	16		102
2026	14		96
2027	13		78
2028	11		74
Thereafter	42		273
Total future minimum lease payments	120		733
Less: Imputed interest	(15)		(171)
Total	$	105	$	562

____________________________

(1)The current and non-current portion of operating lease liabilities are included in Other current liabilities and Other non-current liabilities, respectively, on the Consolidated Balance Sheets.

As of December 31, 2023, the Company has additional leases that have not yet commenced. At commencement, the Company anticipates that these leases will result in additional ROU assets and lease liabilities of $11. The leases are anticipated to commence in 2024 with a lease term of approximately 2 to 3 years.