Newmont Agrees Price For Santa Fe
Santa Fe were destined to merge with Homestake, and had to pay US$65m in indemnity for canceling the deal. Newmont president Ronald Cambre stated that the new company would have reserves of 55 million ounces of gold, and generate annual savings of US$70-80mn. Average production costs for the company are estimated to fall to US$210 per ounce next year, making the company one of the most profitable gold producers in the world.
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