Newmont Corporation NO It has reportedly started the sale of its Akyem gold mine in Ghana, attracting interest from Chinese producers amid rising gold prices.
Denver-based Newmont has committed Citigroup, Inc. C for sale and has begun contacting potential buyers, Bloomberg reported.
Shandong Gold Mining Co. and Zijin Mining Group Co. are among the companies that have expressed initial interest in the asset, the report said, citing people familiar with the matter.
Chifeng Jilong Gold Mining Co. is also evaluating Akyem, while Australian miner Perseus Mining Ltd. expressed interest in the asset last month, Bloomberg added.
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Newmont seeks to generate $2 billion in cash through divestitures following its acquisition of Newcrest Mining Ltd. in November.
In addition to Akyem, the company aims to offload four gold mines in North America and one in Australia, Bloomberg added.
Last month, the company said it planned to divest six non-core assets, including Éléonore, Musselwhite, Porcupine, CC&V, Akyem and Telfer, as well as two non-core projects, including Havieron and Coffee.
By auctioning off the assets, Newmont hopes to reduce its debt by $1 billion in the near term. Palmer also plans to raise $100 million in free cash flow by integrating Newmont and Newcrest and cutting jobs.
Looking to 2025 and beyond, Newmont expects its portfolio to improve gold production to 6.7 million ounces by 2028.
NEM shares have lost more than 29% over the past year. Investors can gain exposure to the stock via IShares MSCI Global Gold Miners ETF RING AND VanEck Gold Miners ETF GDX.
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