Australian gold producer Newcrest Mining is set to write A$6bn ($5.65bn) off the value of its assets amid declining gold prices and rising costs.

The company said in a statement that it will focus on maximizing free cashflow by lowering operating costs, corporate costs and capital expenditure.

As part of its efforts to face the current market conditions, Newcrest is planning to close its Brisbane office, reduce its capital spending by one-third in 2014 and cut its investment in exploration by nearly half.

The company also said that it may not pay the final dividend for fiscal 2013.

Newcrest chief executive Greg Robinson said that the company’s proposed move to write down its assets followed a review of its operations for the 2014 financial year which considered the fall in gold prices, the continued high exchange rate and cost environment.

Newcrest is one of the major gold producers with operations in Australia, Papua New Guinea, Indonesia and the Ivory Coast.