Newmont Corporation has announced a major transaction involving the sale of its Éléonore gold mining operation in Northern Quebec, Canada, to Dhilmar Ltd, a newly incorporated UK-based private mining company.

The deal, valued at $795 million in cash, is expected to close in the first quarter of 2025, subject to regulatory and customary closing conditions.

The sale is part of Newmont’s strategic effort to optimize its portfolio and focus on Tier 1 gold and copper assets. It aligns with the company’s broader objective of streamlining its operations to enhance long-term value creation and generate substantial free cash flows.

The announcement marks another milestone in Newmont’s asset divestiture strategy, which was launched in early 2024. Speaking about the transaction, Tom Palmer, Newmont’s President and Chief Executive Officer, expressed confidence in the company’s progress.

“Today’s announcement is another step forward in Newmont’s journey to create a go-forward portfolio of Tier 1 gold and copper assets, each with the scale and mine life to generate strong free cash flows for several decades.”
Tom Palmer, Newmont’s President and Chief Executive Officer

Newmont had set an initial target of generating $2 billion in cash proceeds through the sale of non-core assets after its $19 billion acquisition of Newcrest Mining in 2023. However, with the Éléonore sale and other transactions, the company has exceeded this target, securing up to $3.6 billion in gross proceeds to date.

Palmer emphasized that the proceeds would be directed toward strengthening Newmont’s investment-grade balance sheet and delivering returns to shareholders.

“With this announced sale, we have meaningfully exceeded our target by more than $1.5 billion. “Proceeds from this transaction will support Newmont’s comprehensive approach to capital allocation.”
Tom Palmer, Newmont’s President and Chief Executive Officer

The sale of Éléonore is part of Newmont’s wider strategy to divest non-core assets. Earlier in 2024, the company announced plans to sell six operations and two projects across its business units in Australia, Ghana, and North America.

By the close of the Éléonore transaction, Newmont will have completed definitive agreements for the divestiture of four operations and one project. These transactions are expected to generate up to $3.1 billion from non-core asset sales, supplemented by an additional $527 million from the sale of other investments.

Dhilmar Ltd’s Vision and Leadership

Tom Palmer, Newmont’s President and Chief Executive Officer

The Éléonore operation will be transferred to Dhilmar Ltd, which is led by CEO and Managing Director Alexander Ramlie. Dhilmar is supported by a board of directors with extensive experience in surface and underground mining operations across various commodities.

Ramlie is no stranger to collaborating with Newmont, having previously worked with the company in 2016 on the acquisition of the Batu Hijau copper and gold mine in Indonesia.

That acquisition, under the leadership of PT Amman Mineral Internasional Tbk, where Ramlie also served, saw Batu Hijau grow to a market capitalization exceeding $40 billion.

“We are pleased to be selling this operation to Dhilmar,” said Palmer. “They have a wealth of experience in gold and copper mining, and we believe Dhilmar will be excellent stewards of this asset.”

Dhilmar has committed to maintaining high standards in safety, environmental management, and social performance, reflecting a dedication to sustainable mining practices.

Newmont’s decision to streamline its portfolio aligns with its focus on maximizing value from its Tier 1 operations, which include large-scale gold and copper mines with long life spans. These assets, Palmer explained, are critical to maintaining Newmont’s competitive edge and ensuring decades of strong financial performance.

With a legacy of delivering shareholder value, Newmont’s divestment strategy continues to demonstrate its ability to adapt to changing market conditions and reinforce its position as a leader in the global mining industry.