Proposed transaction subject to completion of acquisition agreement and other terms

DENVER--(BUSINESS WIRE)-- Newmont Mining Corporation (NYSE:NEM) (“Newmont” or “the Company”) today announced the signing of a Letter of Intent (“LOI”) to sell Newmont’s Midas operation in Nevada to Waterton Global Resource Management, Inc. (“Waterton”). The proposed transaction is subject to customary closing conditions, including execution and delivery of an acquisition agreement, completion of confirmatory due diligence and receipt of all required regulatory and third party approvals.

“Consistent with our strategy to deliver value to our shareholders and strengthen our portfolio by divesting non-core assets, we are working with Waterton to explore the sale of our Midas operation in Nevada,” said Randy Engel , Executive Vice President, Strategic Development of Newmont. “Waterton has established a presence in Nevada and is well positioned to enable Midas’s success over the long term by using its processing, and other assets, to support Waterton’s operations in Nevada.”

Mr. Isser Elishis , Managing Partner and Chief Investment Officer of Waterton stated, "We are very excited to be working with Newmont to develop the full potential of both the Midas and Hollister operations. The completion of our acquisition of the Midas Operation will add another high-quality gold mining operation to our portfolio of North American operations.”

The parties have agreed that the LOI will terminate on October 14, 2013, unless extended by mutual agreement of both parties, or earlier superseded by the acquisition agreement. There can be no assurance that the proposed transaction will be completed.

About Newmont

Founded in 1921 and publicly traded since 1925, Newmont is a leading producer of gold and copper. Headquartered in Colorado, the Company has approximately 40,000 employees and contractors, with the majority working at managed operations in the United States, Australia, New Zealand, Peru, Indonesia and Ghana. Newmont is the only gold company listed in the S&P 500 index and in 2007 became the first gold company selected to be part of the Dow Jones Sustainability World Index. Newmont is an industry leader in value creation, supported by its leading technical, environmental, and health and safety performance.

About Midas

The Midas underground mine is located in north central Nevada, between Elko and Reno. Newmont acquired Midas through its merger with Normandy. The mine currently employs approximately 200 people.

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About Waterton Global

Waterton Global Resource Management Inc. is a leading mining-focused private equity investment firm dedicated to developing high quality precious metals projects located in stable jurisdictions. Waterton’s cross-functional, fully-integrated, in-house team of professionals have significant mining, financial and legal expertise. Waterton’s proactive approach to asset management, significant sector knowledge and ability to leverage extensive industry relationships has resulted in a strong track record of managing investments in the precious metals sector.

Cautionary Statements

This release contains “forward-looking statements” within the meaning of applicable securities laws that are intended to be covered by the safe harbors created by those laws, including statements that use forward-looking terminology such as “may”, “will”, “expect”, “anticipate”, “believe”, “continue”, “potential” or the negative thereof or other variations thereof or comparable terminology. Such forward-looking statements may include, without limitation, statements regarding the completion of the proposed transaction and other statements that are not historical facts. While such forward-looking statements are expressed by Newmont or by Waterton, as stated in this release, in good faith and believed by the applicable party to have a reasonable basis, they are subject to important risks and uncertainties including, without limitation, approval of applicable governmental or regulatory authorities, the receipt of all required third party approvals, the satisfaction or waiver of certain other conditions contemplated by the LOI, the inability to realize expected synergies or cost savings, errors in estimates of reserves or future production, parts, equipment, labor or power shortages or other increases in costs, mining accidents or other adverse events, changes in applicable laws or regulations, competition from other mining companies, and the other risks disclosed in Newmont’s public filings, any or all of which could cause actual results to differ materially from future results expressed, projected or implied by the forward-looking statements. As a result of these risks and uncertainties, the proposed transaction could be modified, restructured or not be completed, and the results or events predicted in these forward-looking statements may differ materially from actual results or events. These forward-looking statements are not guarantees of future performance, given that they involve risks and uncertainties. Neither Newmont nor Waterton is affirming or adopting any statements attributed to the other in this release or made by the other party outside of this release. Neither Newmont nor Waterton undertakes any obligation to release publicly revisions to any forward-looking statement, except as may be required under applicable securities laws, or to comment on expectations of, or statements made by the other party or third parties in respect of the proposed transaction. Investors should not assume that any lack of update to a previously issued forward-looking statement constitutes a reaffirmation of that statement. Continued reliance on forward-looking statements is at investors' own risk.

Source: Newmont Mining Corporation