Chinese firm Zijin Mining Group Co. has bought Newmont’s Akyem gold project in Ghana for a $1 billion in cash.

The purchase from the US-based corporation will allow China’s largest listed metals producer to mine high-grade ore bodies from one of the world’s major gold belts, Zijin said in a filing to the Hong Kong Stock Exchange on Wednesday.

Newmont said the sale is part of its ongoing programme to divest non-core assets as the company makes a strategic shift to focus on its tier-one assets.

The US gold-producing giant is expected to receive cash consideration of $900 million upon the deal’s closure, with a further $100 million upon satisfaction of certain conditions.

The deal will see Zijin’s unit Gold Source International acquiring a subsidiary of Newmont, which in turn owns the Akyem project.

The transaction is expected to close in the fourth quarter of 2024, subject to regulatory approvals, Newmont said in a statement.

“After the study, the company is of the view that under the current and anticipated future gold price conditions, the project’s utilizable resources and reserves still have significant potential,” Zijin said in a statement.

The Chinese miner said certain Ghanaian entities had expressed interest in acquiring a minority stake in the asset, adding that it was open to exploring such potential transactions.