One of the world’s largest mining conglomerates based in China, Zijin Mining Group Company Ltd, the new owners of Newmont’s Akyem Mines in Ghana, is discussing with the Ghana Investment Promotion Centre (GIPC) to facilitate its integration into Ghana’s business environment.
During a high-level meeting with GIPC’s Chief Executive Officer, Simon Madjie, and the Group’s Chief Technology Officer, Jason Zhang, Zijin outlined its broader ambitions to explore both mining and non-mining opportunities in the country.
Mr Zhang also emphasised the company’s willingness to partner with local investors on technology-driven initiatives.
Mr Madjie welcomed Zijin’s strategic interest in the Ghanaian market and congratulated the company on its successful acquisition of the Akyem Gold Mine.
He reaffirmed that Ghana, as Africa’s leading gold producer, remains open to responsible and forward-looking investment.
He further assured the Zijin delegation that GIPC was ready to support their integration by offering aftercare services and facilitating regulatory processes, including the execution of Technology Transfer Agreements (TTAs) and the issuance of work permits.
In October 2024, Zijin Mining bought 100% ownership of the Akyem Gold Mine, one of Ghana’s largest gold mines, for USD 1 billion. This was Zijin Mining’s seventh gold mine acquisition since 2020, and it aims to boost its production.
This Akyem acquisition was crucial for achieving Zijin Mining’s strategic goal of producing over 100 tonnes of gold annually by 2028.
On October 9, 2024, Zijin Mining announced the decision to acquire 100% ownership of the Akyem Gold Mine in Ghana, previously held by Newmont, for USD 1 billion. Akyem, one of Ghana’s largest gold mines, commenced commercial production in October 2013.
The site’s processing plant has an annual capacity of 8.5 million tonnes, and gold outputs in the past three years have been 11.9 tonnes, 13.1 tonnes, and 9.2 tonnes, respectively.
Zijin Mining is the fastest-growing major global mining company in terms of copper production, producing over 1 million tonnes of copper in 2023. The company has frequently expanded its gold mining operations in recent years, with Akyem marking its seventh gold mine acquisition since 2020.
Zijin’s gold resources are well-stocked. Although the world’s leading gold miners’ outputs have generally fallen short of expectations, the company is set to increase its mined gold output from 36.5 tonnes five years ago to about 73 tonnes this year. The acquisition of the Akyem project is crucial for achieving Zijin Mining’s goal of producing over 100 tonnes of gold annually by 2028.
The Akyem Gold Mine has 54.4 tonnes of gold resources, with an average grade of 3.36 grams per tonne, 34.6 tonnes of gold reserves, with an average grade of 1.35 grams per tonne, and an additional 83 tonnes classified as underground mining inventory.
The mine employs open-pit mining and carbon-in-leach processes, with stable operations and well-maintained equipment. As of December 31, 2023, the target company’s total assets amounted to USD 1.227 billion, with liabilities totalling USD 518 million and net assets valued at USD 709 million; it achieved a sales revenue of USD 574 million and a net profit of USD 128 million in 2023.
Located in Ghana, where the political climate is stable and mining policies are favourable, the Akyem mine is in a flat terrain region.
It is well-connected by highways to major cities and the significant West African port of Tema, ensuring convenient transportation and a stable, clean energy supply.
Newmont, the world’s leading gold company and former owner, is renowned for its excellent operational management, which contributes to the mine’s stable performance, good equipment conditions, and strong profitability.
Leveraging its strong technical and operational capabilities, Zijin Mining has consistently transformed challenges into opportunities in its global operations. For instance, the acquisition of the Rosebel Gold Mine in Suriname in February 2023, one of the largest producing open-pit gold mines in South America, not only achieved a positive cash flow within the same year of acquisition but has also become a significant gold producer and profit driver for the company.
The project is now upgrading technologies to produce 10 tonnes of gold annually. Likewise, the Buriticá Gold Mine in Colombia, a project acquired from a Western company, took only half a year to commence production, with an annual gold output of more than 8 tonnes.
This acquisition was driven by Zijin Mining’s focus on the Akyem Gold Mine’s development prospects. Located along a central global metallogenic belt, Akyem is a typical orogenic gold deposit with a strike extending over 2.5 km, dipping southeast with a depth of more than 900 m, and an orebody width ranging from 10 to 100 m.
The deposit exhibits significant continuity and thickness, offering promising development and exploration potential. The project also includes four prospecting licenses, covering a total area of 79.59 km2, three of which are adjacent to the Akyem Gold Mine.
Under current and anticipated future gold prices, the Akyem Gold Mine project holds considerable potential for further resource and production increases through additional exploration, economic and technical re-evaluations, and technological upgrades. This transaction is subject to the approval of the relevant authorities in China and Ghana.
