CHINA’S Zijin Mining Group has announced the purchase of the Akyem Gold Mine Project in Ghana from US-based Newmont Corp for $1bn, the companies revealed on Wednesday. The deal is part of Newmont’s ongoing strategy to divest non-core assets and concentrate on its tier-one projects.
Newmont, one of the world’s largest gold producers, is set to receive $900 million in cash once the transaction closes, with an additional $100 million contingent on meeting specific conditions. The sale marks another step in Newmont’s broader efforts to streamline its operations.
Zijin’s subsidiary, Gold Source International, will take ownership of the Akyem project through the acquisition of a Newmont subsidiary. The deal is expected to be finalised in the fourth quarter of 2024, pending regulatory approvals.
Zijin Mining expressed optimism about the potential of the Akyem project. ‘Based on current and anticipated gold price conditions, we believe the mine’s resources and reserves still hold substantial potential,’ the company stated.
In addition, Zijin noted that certain Ghanaian entities had shown interest in purchasing a minority stake in the mine. The company remains open to exploring these potential investment opportunities.
This acquisition further strengthens Zijin’s portfolio in the gold mining sector and expands its global reach, particularly in Africa, where the Chinese mining giant has been steadily increasing its presence.
The deal underlines Zijin’s strategy to capitalise on valuable gold assets, as gold prices remain strong amid global economic uncertainties.
As Newmont shifts focus to its core operations, it will continue to concentrate on its high-value projects, with the sale of the Akyem mine reflecting this strategic pivot.
The transaction, once completed, will further reshape the global gold mining landscape, with Zijin Mining continuing its ascent as a major player in the sector.
