Birth of the world's number one gold mining company

Birth of the world's number one gold mining company
15/01/2019

The merger of two mining groups will give birth to the world leader in the gold market.

The American mining group Newmont Mining Corporation has decided to buy out its Canadian competitor Goldcorp. The transaction is expected to reach $ 10 billion and give birth to the largest mining group.

In fact, Newmont and Goldcorp respectively produced 5.3 and 2.6 million ounces of gold in 2017. This corresponds to 224 tonnes or 6.85% of world production. This merger could see the new group producing between 7 and 8 million ounces of gold per year for the next 10 years.

The new entity Newmont Goldcorp will therefore be able to compete with the Barrick Group which merged with the Englishman Randgold. Barrick produced 187 tonnes of gold in 2017 and would be relegated to the second position.

"The alliance will create the world's number one the gold market, with the best assets, the best prospects and the best opportunities for value creation," said Gary Goldberg, Newmont's Managing Director.