Zijin Mining Group Co., Ltd. has finalized the acquisition of Newmont Corporation’s Akyem Gold Mine for $1 billion, marking a major milestone in its international growth strategy.
The deal was completed through Zijin’s wholly-owned overseas subsidiary on April 16, after all regulatory and contractual conditions were satisfied or waived.
Akyem Gold Mine Expands Zijin’s Reach
Located within one of the world’s top gold belts, Akyem is an open-pit mine known for its consistent production. The mine uses a carbon-in-leach (CIL) processing method and has an annual throughput of 8.5 million tonnes.
Between 2021 and 2024, Akyem yielded 40.6 tonnes of gold, peaking at 13.1 tonnes in 2022.
Strong Financial Performance
In 2023, the mine generated $574 million in operating income and $128 million in net profit, emphasizing its profitability and efficiency.
Zijin stated that the site’s favorable mineralization and potential for reserve expansion influenced the acquisition. The company plans further geological surveys and technical assessments to increase resource estimates and extend the mine’s operational life.
Strategic Timing Amid Gold Price Surge
The acquisition comes at a time when gold prices are high, making it a strategic move for Zijin to boost output and diversify its asset base.
Newmont’s Asset Optimization Strategy
Tom Palmer, President and CEO of Newmont, said the sale of Akyem aligns with their broader plan to optimize operations by divesting non-core assets.
“Today, I’m pleased to announce the successful completion of our non-core asset divestiture program with the sale of Akyem and Porcupine,” Palmer stated.
Newmont reports after-tax cash proceeds of approximately $850 million, with a total gross divestiture target of $4.3 billion, including $3.8 billion from non-core divestitures and $527 million from other investments.
