DENVER - NEWMONT MINING CORP. has struck a deal to acquire Vancouver-based MIRAMAR MINING for Cdn$6.25 cash per share for all outstanding shares. The plan puts a nominal value of Cdn$1.5 billion on Miramar and is recommended by Miramar directors.
In November 2005, Newmont acquired a 9.9% interest in Miramar. Now Newmont seeks ownership of Miramar's Hope Bay gold project on the Arctic coast of Nunavut. Miramar has estimated that the numerous deposits contain over 5.2 million oz of gold. (Editors aside: that makes the cost of acquiring this amount of gold in the neighbourhood of US$290 per oz. -M.S.)
Tony Walsh, president and CEO of Miramar, said, "We believe Newmonts offer takes into account the value of the existing resources at Hope Bay along with the significant upside potential. I firmly believe this is a world class project and that its value will continue to be realized under the direction of Newmont, a world class gold mining company."
To examine the Hope Bay gold project in detail, visit www.MiramarMining.com.
Or for details of Newmont's offer for Miramar, see www.Newmont.com.