Newmont Signs Agreement to Sell Waihi Operations in New Zealand

DENVER--()--Newmont Mining Corporation (NYSE: NEM) (“Newmont” or “the Company”) has signed a non-binding letter of intent with OceanaGold Corporation (TSX/ASX/NZX: OGC) (“OceanaGold”) to sell Newmont Waihi Gold Limited. Terms of sale include cash proceeds of US$101 million, a US$5 million contingent payment, and a one percent Net Smelter Royalty on a recent discovery north of Waihi’s current operations.

“Waihi is a good strategic fit within OceanaGold’s existing portfolio in New Zealand, and their strong safety and sustainability standards position them well to further develop Waihi in the future.”

Following the execution of a definitive acquisition agreement, fulfillment of all conditions precedent and receipt of necessary Board and regulatory approvals, OceanaGold will acquire all of Waihi’s open pit and underground mining assets and liabilities, including all social, environmental and employee obligations.

“Our agreement with OceanaGold for the sale of Waihi represents another step in Newmont’s strategy to further strengthen our balance sheet by selling select assets for cash at fair value,” said Randy Engel, Newmont’s Executive Vice President for Strategic Development. “Waihi is a good strategic fit within OceanaGold’s existing portfolio in New Zealand, and their strong safety and sustainability standards position them well to further develop Waihi in the future.”

Both parties have agreed to complete due diligence and target execution of a definitive acquisition agreement in mid-May.

Waihi is located approximately 150 kilometers southeast of Auckland in New Zealand. Gold was first discovered and mined in the area in 1878. The Martha open pit mine began operations in 1987 and was acquired by Newmont in 2002 during the merger with Normandy. Waihi produced approximately 132,000 ounces of gold in 2014.

About Newmont

Newmont is a leading gold and copper producer. The Company employs approximately 28,000 employees and contractors, with the majority working at managed operations in the United States, Australia, New Zealand, Ghana, Peru, Suriname and Indonesia. Newmont is the only gold producer listed in the S&P 500 index and in 2007 became the first named to the Dow Jones Sustainability World Index. The Company is an industry leader in value creation, supported by its leading technical, environmental, social and safety performance. Newmont was founded in 1921 and has been publicly traded since 1925.

Cautionary Statement Regarding Forward-Looking Statements:

This release contains “forward-looking statements” within the meaning of applicable securities laws that are intended to be covered by the safe harbors created by those laws, including, without limitation, statements regarding future financial performance and balance sheet strength, execution of a definitive agreement, completion of the proposed transaction, future development of Waihi, and other statements that are not historical facts. While such forward-looking statements are expressed by Newmont as stated in this release in good faith and believed by Newmont to have a reasonable basis, they are subject to important risks and uncertainties including, without limitation, those related to the satisfactory completion of negotiations and due diligence, receipt of necessary board and regulatory approvals, and satisfaction or waiver of certain conditions precedent. Investors are reminded that the parties have signed a non-binding letter of intent and have not yet executed a definitive agreement. As such, no guarantees can be made with respect to future performance or the consummation of the contemplated transaction. As a result, the terms of the proposed transaction could be modified, or the transaction may not be completed, and the results or events predicted in these forward-looking statements may differ materially from actual results or events. Newmont does not undertake any obligation to release publicly revisions to any forward-looking statement or to comment on expectations of, or statements made by OceanaGold or other third parties in respect of the proposed transaction, except as may be required under applicable securities laws. Investors should not assume that any lack of update to a previously issued forward-looking statement constitutes a reaffirmation of that statement. Continued reliance on forward-looking statements is at investors' own risk.

Contacts

Newmont Mining Corporation
Media Contact

Omar Jabara, 303-837-5114
omar.jabara@newmont.com
or
Investor Contact

Meredith Bandy, 303-837-5143
meredith.bandy@newmont.com

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