Zijin Mining Group Completes $1 Billion Acquisition of Akyem Gold Mine

The acquisition marks a major step in Zijin Mining Group's push to expand its global footprint and increase gold production. Zijin has completed the $1 billion purchase of Newmont Corporation's Akyem Gold Mine in Ghana's gold belt, an open-pit operation known for its consistent production and efficient processing. The mine has produced a total of 40.6 tonnes of gold between 2021 and 2024, with its strongest performance in 2022, when output reached 13.1 tonnes. In 2023 alone, Akyem generated $574 million in operating income and recorded a net profit of $128 million.

Key Takeaways:

• The acquisition of the Akyem Gold Mine is a significant step in Zijin Mining Group's expansion plans, marking a major investment in the global gold market.
• The mine is an open-pit operation with a consistent production record, handling up to 8.5 million tonnes of ore annually using the carbon-in-leach method.
• Between 2021 and 2024, the mine produced 40.6 tonnes of gold, with the strongest performance in 2022 at 13.1 tonnes.
• In 2023, Akyem generated $574 million in operating income and recorded a net profit of $128 million.
• Zijin plans to invest further in exploration and technical assessments to extend the mine's operational lifespan and boost its resource base.
• The acquisition comes at a time when gold prices remain strong, providing strategic momentum for Zijin's broader ambition to scale up gold production and diversify its asset portfolio.
• Newmont Corporation, the seller of the mine, expects to generate around $4.3 billion from announced divestitures, including $3.8 billion from non-core asset sales.
• The Akyem Gold Mine acquisition is the second significant divestment for Newmont under its restructuring strategy, following the sale of the Porcupine mine.

Statistics:

• The Akyem Gold Mine produced 13.1 tonnes of gold in 2022, marking its strongest performance in the 2021-2024 period.
• The mine generated $574 million in operating income in 2023, alongside a net profit of $128 million.
• Zijin Mining Group invested $1 billion in the acquisition of the Akyem Gold Mine, cementing its presence in Africa's gold mining sector.
• Newmont Corporation expects to generate $4.3 billion from divestitures, including $3.8 billion from non-core asset sales.
• The Akyem Gold Mine has produced a total of 40.6 tonnes of gold between 2021 and 2024.

Sources:

• "Zijin Mining Group Completes $1 Billion Acquisition of Akyem Gold Mine" (no date given)
• "Newmont Corporation Announces Completion of Akyem and Porcupine Divestitures" (Source: Newmont Corporation, April 16, 2024)