04:46 PM EDT, 09/10/2024 (MT Newswires) -- Newmont ( NEM ) on Tuesday said it agreed to sell the Telfer gold mine and its 70% share in the Havieron gold-copper project located in Australia to UK-listed Greatland Gold (GGP.LSE) for gross proceeds of up to US$475 million.

The No.1 gold producer said the sale is part of an ongoing divestiture of non-core assets. It will receive US$207.5 million in cash from Greatland, as well a US$167.5 million of the buyer's shares and deferred payment of up to US$100 million for the assets, which are all located in Australia's Paterson region.

"The transaction announced today represents the first asset sale in the divestiture program announced in February. I am pleased that Telfer and Havieron are being sold to Greatland, a company with a highly experienced management team and board of directors ... Including the Telfer divestiture, we continue to expect to reach at least $2 billion in total proceeds from the sale of our high-quality, non-core assets, enabling us to focus attention on our suite of Tier 1 assets, further reduce debt, and return capital to shareholders," chief executive Tom Palmer said in a release.

National Bank Financial noted Greatland currently owns the other 30% of Havieron, making it a "logical acquirer" of the assets. Upon closing, expected in the fourth quarter, Newmont ( NEM ) will hold 20.4% of Greatland Gold's shares.

The investment bank noted Newmont ( NEM ) now has five of its six non-core assets remaining for sale; the Eleonore, Musselwhite, Porcupine, CC&V and Akyem mines, and one of its two non-core projects, the Coffee project, remaining for sale.

National reiterated its sector-perform rating on Newmont ( NEM ) and its C$70.00 target price.

Newmont's ( NEM ) shares price closed up $1.02 to $69.85 on the Toronto Stock Exchange.