Antam Acquires 7.5 Percent Interest in Indonesian Mine from Newcrest

Newcrest Mining Limited (TSX:NM) and Antam (ASX:ATM) announced that Antam acquired a further 7.5 percent interest in the Gosowong mine in Indonesia from Newcrest.

As quoted in the press release:

Under the agreement:

  • Antam will acquire 7.5% in PT Nusa Halmahera Minerals (PTNHM), which holds the Contract of Work for the Gosowong gold mine, from Newcrest.
  • Newcrest will receive consideration of US$160m, consisting of US$130m cash on completion and a further US$30m subject to a further 1 million ounces of additional gold resource being defined by December 2017.

Newcrest’s Executive General Manager, Indonesia and Papua New Guinea, Brett Fletcher, said:

Antam’s acquisition of a further 7.5% of Gosowong allows us to deepen our relationship with Antam and to realise a return on our investment in the mine at fair market value.  We recognise Antam as an established and reputable Indonesian state-owned mining company with which we have worked closely in partnership for 18 years.  We will continue to work together to maximise the returns from the mine to our respective shareholders and other stakeholders.

To view the whole press release,  click here.