06:48 AM EDT, 10/09/2024 (MT Newswires) -- Newmont ( NEM ) late on Tuesday said it has agreed to sell its Akyem operation in the Republic of Ghana to Zijin Mining Group for up to US$1 billion in cash.

Newmont ( NEM ) will receive US$900 million upon deal closing and a further US$100 million once certain conditions are met. Proceeds from the transaction will go to strengthening the balance sheet and returning capital to shareholders. The deal is slated to close by the end of the year.

"The successful completion of this transaction will strengthen our confidence in Ghana as a favorable mining jurisdiction and Newmont ( NEM ) will continue to support the growth and development of the region including our development of Ahafo North," said Newmont ( NEM ) President and CEO Tom Palmer.

The sale is part of Newmont's ( NEM ) ongoing program to divest non-core assets as the company makes a strategic shift to focus on its Tier 1 assets. The transaction is not expected to have a material impact on the company's 2024 outlook. Newmont ( NEM ) has not adjusted its non-core guidance for the year.

Newmont's ( NEM ) share price at last look edged 0.2% lower to US$52.66 in U.S. pre-market trading.