ASANTE Gold Corp, a Ghana-focused mining company, has revealed its intention to bid for Newmont’s Akyem gold mine, aligning with Ghana’s government’s call for increased local ownership in the mining sector.
‘We expect to be part of this process,’ stated Asante CEO Dave Anthony told Bloomberg on Tuesday. ‘We look at Akyem as being a mine that we’re a natural owner for.’
Ghana’s government has emphasised the importance of local ownership of mining assets, especially Akyem, after Newmont initiated a divestiture process earlier this year. President Nana Akufo-Addo recently stated that discussions are underway with Newmont to prioritise Ghanaian investors, ensuring that the country’s mineral resources benefit its citizens.
Asante, headquartered in Vancouver, Canada, but with significant Ghanaian investor support, including backing from two state-owned sovereign wealth funds, sees itself well-positioned to acquire Akyem. Anthony emphasised the company’s strong local and government support in Ghana as it prepares to make an offer for the mine.
The bidding process for Akyem has attracted interest from Chinese companies such as Shandong Gold Mining Co., Zijin Mining Group Co., and Chifeng Jilong Gold Mining Co., alongside Australian miner Perseus Mining.
Newmont, the world’s largest gold producer, has not commented on the ongoing divestiture process. Opening bids for the Akyem mine, expected to close by the end of April, coincide with record-high gold prices, with the precious metal rallying approximately 14 percent this year.
Akyem, which produced 420,000 ounces of gold annually by the end of 2022, represents a significant asset for Newmont. The divestiture of Akyem is part of Newmont’s broader strategy to raise $2bn in cash through asset sales following its acquisition of Newcrest Mining Ltd. in November. Alongside Akyem, Newmont aims to sell four gold mines in North America and one in Australia.