23 Nov

Northern Star agrees to purchase Newmont power business

ASX: NST Northern Star Resources Ltd (ASX: NST) is pleased to announce that it has agreed to acquire Newmont ’s p ower business from Newmont Corporation’s Australian subsidiary, Newmont Australia, for US$95 million. As part of Northern Star’s purchase of 50 per cent of Kalgoorlie Consolidated Gold Mines Pty Ltd (KCGM) and associated assets, Northern Star paid US$25 million for an option to buy the Newmont power business. Northern Star has now entered into a binding sale agreement with Newmont Australia to acquire all the shares in GMK Investments Pty Ltd, which holds a 100 per cent interest in Newmont Power Pty Ltd and NP Kalgoorlie Pty Ltd. NP Kalgoorlie owns 50 per cent of Goldfields Power Pty Ltd, the holder of the Parkeston Power Station. The cost of the option wil l be deducted from the final purchase price, leaving Northern Star to pay the balance of US $ 70 million at completion which is expected to occur in December 2021 . The 110MW Parkeston Power Station and associated infrastructure primarily provides electricity to KCGM. Parkeston also supplies electricity to the Kalgoorlie area through its connection to the South - W est Interconnected System. The plant has a history of continuous reliable generation. This purchase provides Northern Star with significan t synergies and value , including : ? Infrastructure and power security to support the requirements of KCGM ? L ower power cost s at KCGM ? F urther option s for Northern Star to implement renewable energy Northern Star Managing Director Stuart Tonkin said the acquisition gave the Company greater control over its power supply in Kalgoorlie. “The purchase means our Kalgoorlie power supply will now form part of our studies into ways to meet our commitment to becoming carbon - neutral,” Mr Tonkin said. Authorised fo r release to ASX by Stuart Tonkin , Managing Director . Investor Relations Enquiries : Sophie Spartalis Northern Star Resources Limited T: +61 8 6188 2100 E: investorrelations @nsrltd.c om Media Enquiries : Paul Armstrong Read Corporate T: +61 8 9388 1474 E: paul@readcorporate.com.au ASX Announcement 23 November 2021 NORTHERN STAR AGREES TO PURCHASE NEWMONT POWER BUSINESS
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