As part of its ongoing programme to divest non-core assets, Newmont Corporation has agreed to sell the Telfer operation, Newmont’s 70% interest in the Havieron gold-copper project (Havieron), and other related interests in the Paterson region, all in Australia, to Greatland Gold plc (AIM:GGP) (Greatland). 

The transaction is expected to close in the fourth quarter of 2024, subject to certain conditions being satisfied.

Under the terms of the agreement, Newmont expects to receive gross proceeds of up to $475 million, which includes cash consideration of $207.5 million, due upon closing; equity consideration of $167.5 million in the form of Greatland shares, to be issued upon closing; and deferred contingent cash consideration of up to $100 million.

"The transaction announced today represents the first asset sale in the divestiture program announced in February. I am pleased that Telfer and Havieron are being sold to Greatland, a company with a highly experienced management team and board of directors. I have full confidence that the Greatland team will be outstanding stewards of these assets”, said Tom Palmer, Newmont's President and Chief Executive Officer. 

"Including the Telfer divestiture, we continue to expect to reach at least $2 billion in total proceeds from the sale of our high-quality, non-core assets, enabling us to focus attention on our suite of Tier 1 assets, further reduce debt, and return capital to shareholders,” Mr Palmer added. 

Newmont, in a statement, said it remains firmly on track to deliver on the company’s 2024 commitments. 

With the expectation that the transaction will close in the fourth quarter of 2024, Newmont has made minor adjustments to its non-core gold and copper production guidance to reflect the Telfer divestiture, which was classified as ‘held for sale’ in Newmont’s financial statements.