Successful $10bn Newmont-Goldcorp merger creates gold behemoth

Newmont Goldcorp Corporation has announced the successful conclusion of its transaction combining Newmont Mining Corporation and Goldcorp Inc. to form the world’s leading gold business...


Newmont Goldcorp Corporation has announced the successful conclusion of its transaction combining Newmont Mining Corporation and Goldcorp Inc. to form the world’s leading gold business.

The resulting company features an unmatched portfolio of assets, prospects and talent, a Newmont statement said.

This portfolio includes long-life operations and profitable expansion and exploration options in some of the world’s most favourable mining jurisdictions.

Newmont Goldcorp will also offer investors the highest annual dividend and the largest reserves and resources per share among senior gold producers.

“We’ve met our goal to become the world’s leading gold business, and we’ll maintain that position by executing our winning strategy,” said Gary J. Goldberg, Chief Executive Officer. “That strategy focuses on constantly improving safety and efficiency at our current operations while we continue to invest in expansions and exploration to fuel next generation production. An equally important part of that strategy is to meet stakeholders’ expectations by continuing to lead the sector in value creation and sustainability performance.”

Tom Palmer, President and Chief Operating Officer, added, “Our proven operating model and shared values set the stage for a successful integration process. Getting this process right is fundamental to realising the full potential of the Newmont Goldcorp combination. Ultimately, our goal is to leverage a more prolific portfolio and an even richer talent pool to generate superior value over the course of decades.”

Newmont Goldcorp is expected to immediately:

• Be accretive to Newmont’s Net Asset Value per share by 27 per cent, and to the combined company’s 2020 cash flow per share by 34 per cent,

• Begin delivering $365 million in expected annual pre-tax synergies, supply chain efficiencies and Full Potential improvements, representing $4.4 billion in Net Present Value (pre-tax),

• Target six to seven million ounces of steady gold production over a decades-long time horizon,

• Have the largest gold Reserves and Resources in the gold sector, including on a per share basis;

• Be located in favorable mining jurisdictions and prolific gold districts on four continents;

• Deliver the highest dividend among senior gold producers,

• Offer financial flexibility and an investment-grade balance sheet to advance the most promising projects at an Internal Rate of Return (IRR) of at least 15 percent,

• Feature a deep bench of accomplished business leaders, technical teams and other talent with extensive mining industry experience; and

• Maintain industry leadership in environmental, social and governance performance.

About Newmont Goldcorp

Newmont Goldcorp is the world’s leading gold company and a producer of copper, silver, zinc and lead. The Company’s world-class portfolio of assets, prospects and talent is anchored in favorable mining jurisdictions in North America, South America, Australia and Africa. Newmont Goldcorp is the only gold producer listed in the S&P 500 Index and is widely recognised for its principled environmental, social and governance practices. The Company is an industry leader in value creation, supported by robust safety standards, superior execution and technical proficiency. Newmont Goldcorp was founded in 1921 and has been publicly traded since 1925.


Source: Ghana/ClassFMonline.com/91.3FM



Related Posts

Bawumia’s full EMT town hall speech

Man gets tens of thousands of birthday calls after sons post his phone number on billboards

Ghana may auction Eurobonds with or without final IMF review

Judge questions 1-yr delay in prosecuting man who set 11-yr-old boy ablaze

Muntari joins Spanish side Albacete on one-year deal

Mövenpick saga: "This isn't any serious matter they can't jaw-jaw about" – MP

Mortuary workers angry; threaten strike – again

Yvonne Nelson urges Ghanaians to boycott elections – Yvonne Nelson

Leave a reply
your email address will not be published

Featured Posts

Man City’s quadruple hopes dashed by Spurs in Champions League classic


Mövenpick saga: "This isn't any serious matter they can't jaw-jaw about" – MP


Yvonne Nelson urges Ghanaians to boycott elections – Yvonne Nelson


Yvonne Nelson urges Ghanaians to boycott elections – Yvonne Nelson


ITU selects Ghana’s NCA for QoS training


GTUC students sacked from exam hall over 20-, 80-pesewa debts


Mövenpick saga: "This isn't any serious matter they can't jaw-jaw about" – MP


Mövenpick saga: "This isn't any serious matter they can't jaw-jaw about" – MP


Yvonne Nelson urges Ghanaians to boycott elections – Yvonne Nelson


ITU selects Ghana’s NCA for QoS training


Mövenpick saga: "This isn't any serious matter they can't jaw-jaw about" – MP


ITU selects Ghana’s NCA for QoS training


GTUC students sacked from exam hall over 20-, 80-pesewa debts


GTUC students sacked from exam hall over 20-, 80-pesewa debts