Newmont's Strategic Sale: Akyem Operation in Ghana for US$1 Billion

Newmont Corporation, a leading global gold mining company, has announced a definitive agreement to divest its Akyem operation in Ghana to Zijin Mining Group Co., Ltd. for up to US$1 billion in cash. This strategic move aligns with Newmont's ongoing program to divest non-core assets and focus on its Tier 1 assets. The transaction is expected to close in the fourth quarter of 2024.

The proceeds from the sale will support Newmont's capital allocation priorities, including strengthening its balance sheet and returning capital to shareholders. Newmont noted that the transaction is not expected to have a material impact on its 2024 outlook, and the company has not adjusted its non-core guidance for the year. The company remains committed to Ghana, with plans to invest $950 million to $1.05 billion in the Ahafo North gold mining project in the Ahafo region of Ghana.


Zijin Mining, China's largest listed metals producer, will acquire the Akyem gold project, allowing it to mine high-grade ore bodies from one of the world's major gold belts. The open pit mine held 34.6 tons of reserves as of December, with underground operations expected to begin from 2028, extending the mine's life to 2042 and delivering about 5.8 tons of gold a year. Zijin aims to increase its mined output of gold to 85 tons in 2025 and as much as 110 tons in 2028.

The acquisition of Akyem by Zijin Mining is part of the company's ongoing exploration and acquisition blitz, as it seeks to increase its global presence and meet its aggressive output targets. The transaction still requires regulatory approvals and is expected to close in the fourth quarter.


In conclusion, Newmont's strategic sale of the Akyem operation in Ghana to Zijin Mining for up to US$1 billion is a significant move that aligns with the company's capital allocation priorities and ongoing program to divest non-core assets. The acquisition by Zijin Mining further strengthens its global presence and positions it to meet its long-term growth plans. As gold prices continue to rise, the mining industry remains an attractive sector for investors, with both Newmont and Zijin Mining well-positioned to capitalize on future opportunities.