Newmont Corporation (NYSE: NEM, TSX: NGT) has announced that its Board of Directors has approved advancing the Ahafo North Project into the execution phase.

The project exceeds the company’s required internal rate of return, adding profitable production from the best unmined gold deposit in West Africa.

“I am pleased to announce the approval of full funding for the Ahafo North Project, expanding our existing footprint in Ghana and adding more than three million ounces of gold production over an initial 13-year mine life,” said Newmont President and CEO, Tom Palmer.

“The development of this prolific ore body will leverage our proven operating model and will be supported by our existing world-class Ahafo South operation”.

“The project will be developed and operated in a sustainable and responsible manner to create value for all our stakeholders.”

Located approximately 30 kilometres north of Newmont’s existing Ahafo South operations, the Ahafo North Project will include four open-pit mines and the construction of a stand-alone mill.

Production from the mine will average approximately 275,000 to 325,000 gold ounces with all-in sustaining costs of $600 to $700 per ounce for the first five years.

Projected capital costs are estimated to be between $750 to $850 million with construction expected to be complete in the second half of 2023.

At current gold prices, the project is expected to deliver more than a 30 per cent internal rate of return (IRR).

The project will create approximately 1,800 jobs at the peak of construction with more than 550 permanent roles created once the mine is operational.

Newmont will work to create lasting value for host communities through local sourcing and hiring.

A key aspect of the Ahafo North project’s workforce planning will be a target to achieve gender parity in the workforce when operations begin.

Newmont has conducted extensive regulatory and community engagements, including meeting with traditional leaders, local and regional government agencies and holding public stakeholder engagement meetings.

Stakeholders have endorsed the Ahafo North’s infrastructure plans and permits necessary to begin construction have been secured.

As the project proceeds, Newmont will continue its robust stakeholder engagement to enhance social acceptance and provide regular updates on the project.

The full scope of funding will be deployed to high-impact activities, including but not limited to:

Finalising engineering and EPCM services, Relocating of the national highway and support of additional resettlement activities, Mining development for four open pits, Constructing and commissioning a 3.7 million tonne per annum plant, Constructing a Tailings and Wastewater Management Storage Facility and, Long-lead sourcing including the acquisition of 14 CAT 770 haul trucks

About Newmont

Newmont 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 favourable mining jurisdictions in North America, South America, Australia and Africa.

Newmont 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 expertise. Newmont was founded in 1921 and has been publicly traded since 1925.