Newmont Sells Akyem Gold Mine to Chinese Mining Group Zijin for $1bn
Birim North district, Eastern Region, Ghana - 17 April , 2025 - Chinese mining giant Zijin Mining Group has completed its $1 billion acquisition of Newmont Corporation's Akyem Gold Mine in Ghana, marking a significant expansion of the company's gold production capacity.
The deal, finalized on April 16, was executed through Zijin's wholly-owned overseas subsidiary after meeting all necessary conditions.
The Akyem Gold Mine, located in a major gold belt, has demonstrated stable production in recent years, with an annual throughput capacity of 8.5 million tonnes. Between 2021 and 2024, the mine produced 40.6 tonnes of gold, with 2022 being the peak year at 13.1 tonnes. In 2023, the mine generated $574 million in operating income and posted a net profit of $128 million, highlighting its commercial viability.
Zijin plans to conduct further geological exploration and technical evaluations to increase resource estimates and extend the mine's life. The acquisition comes amid rising gold prices, supporting Zijin's strategy to boost gold output and diversify its assets across key mining jurisdictions.
For Newmont, the sale of Akyem Gold Mine is part of its plan to divest non-core assets and optimize operational efficiency.
Newmont's President and CEO, Tom Palmer, stated that the company has now divested all six non-core operations, generating total after-tax cash proceeds of approximately $850 million. According to him, the company aims to strengthen its balance sheet and return capital to shareholders through ongoing share repurchases.
“Today, I am pleased to announce the successful completion of our non-core asset divestiture program with the sale of Akyem and Porcupine, generating total after-tax cash proceeds of approximately $850 million before closing adjustments,
“This is a significant milestone for Newmont, as we have now divested all six of our non-core operations from the program announced in early-2024. With the cash proceeds received this year, we remain committed to continuing to strengthen our balance sheet and return capital to shareholders through ongoing share repurchases.”
Source: Lead News Online
