Zijin Mining has announced the acquisition of the Akyem Gold Mine in Ghana from Newmont in a $1bn (7.08bn yuan) deal.

The Akyem mine, one of Ghana's largest gold operations, has been producing gold since October 2013.

This move aligns with Zijin Mining's goal to produce more than 100tpa of gold by 2028.

The Akyem Gold Mine has an annual processing capacity of 8.5mt, with gold production in recent years reaching 11.9t, 13.1t and 9.2t.

The purchase of Akyem is Zijin Mining's seventh gold mine acquisition since 2020, reflecting its ambition to expand its gold production capabilities.

The Akyem Gold Mine holds gold resources of 54.4t with a high average grade of 3.36g per tonne (g/t), gold reserves of 34.6t at an average grade of 1.35g/t and an additional 83t as underground mining inventory.

This open-pit mine utilises carbon-in-leach processes.

As of 31 December 2023, the mine's total assets were valued at $1.23bn, with liabilities of $518m and net assets of $709m. In 2023, it reported sales revenues of $574m and a net profit of $128m.

The mine's location in a region with flat terrain and good infrastructure including highways to major cities and proximity to the port of Tema supports efficient operations and the potential for future growth.

Zijin Mining is confident in the development prospects of the Akyem Gold Mine and anticipates further resource and production increases through exploration, economic and technical evaluations, and technological improvements.

The completion of this transaction is contingent upon approvals from relevant authorities in China and Ghana.

In July this year, Canada's Montage Gold launched an equity raise of up to C$170m ($123.33m) that involved Zijin Mining’s investment. Lundin Family Trusts also announced an investment of C$43m, boosting their stake in Montage Gold.