Newmont forms new strategic partnership with Maverix Metals through royalty sale

May 29, 2018

Newmont Mining Corporation (NYSE: NEM) (Newmont or the Company) today announced that it has entered into an agreement to sell its royalty portfolio (the Transaction) to Maverix Metals Inc. (TSX-V: MMX) (Maverix), an emerging precious metals royalty and streaming company. In connection with the Transaction, Newmont will receive 60 million Maverix common shares, representing an ownership interest of approximately 28 percent; $17 million in cash; and warrants for an additional 10 million common shares.

Newmont’s royalty portfolio includes 54 precious metals and industrial minerals royalties, including royalties at TMAC Resources’ Hope Bay mine in Canada and Premier Gold’s McCoy Cove project in Nevada.

“Our strategic partnership and equity interest in Maverix generates value for both companies’ shareholders,” said Randy Engel, Executive Vice President, Strategic Development. “Maverix’s management team has a strong track record of managing and growing high-quality royalty and streaming assets in favorable mining districts on four continents.”

In connection with the Transaction, the parties will enter into a shareholder agreement which will entitle Newmont to a seat on Maverix’s Board of Directors and pre-emptive rights to participate in future financings to maintain the Company’s ownership stake. Newmont’s strategic partnership will provide ongoing exposure to Maverix’s growing portfolio, which currently includes 27 high-quality royalties and streams, 10 of which are on producing mines. Closing of the Transaction is expected to occur in the second quarter of 2018.