Newmont has agreed to sell its Coffee gold project in Yukon, Canada, to Fuerte Metals for up to $150 million in total consideration. Upon completion of the transaction, Newmont will have divested all its non-core assets, six operations and two projects.
“The sale of the Coffee project reflects our ongoing efforts to streamline the portfolio and sharpen our focus on core operations,” said Tom Palmer, Newmont chief executive officer. “Throughout the process, we were committed to identifying a buyer who shares our values and can develop the Coffee project in a socially and environmentally conscious manner. We are pleased to be selling this asset to Fuerte and have full confidence in their ability to honor agreements and relationships with the First Nations partners and other stakeholders that are connected to the project.”
Under the terms of the agreement, Newmont expects to receive gross proceeds of up to $150 million, which includes:
- Cash consideration of $10 million, due upon closing.
- Equity consideration of $40 million in the form of Fuerte shares, to be issued upon closing.
- A 3.0% Net Smelter Return royalty on the Coffee project, which Fuerte retains the option to repurchase for up to $100 million.
The transaction is expected to close in the fourth quarter of 2025.
Source: Newmont