Newmont, Sumitomo Join in Indonesian Mining Deal:...

Newmont, Sumitomo Join in Indonesian Mining Deal: Newmont Gold Co. of Denver and Japan’s Sumitomo Corp. will jointly develop a large copper and gold deposit on the island of Sumbawa at a cost of $1.5 billion. The companies said construction of a mill and infrastructure will take three years. The deposit will be developed as an open pit mine. Newmont said the mine, Batu Hijau, is expected to produce 245,000 tons of copper and 500,000 ounces of gold per year in concentrates over an anticipated mine life of more than 20 years. Under terms of the proposal, Newmont Gold will retain a 45% stake and Sumitomo will have a 35% interest. The remaining 20% is held by Indonesian company P.T. Pukuafu Indah.