Newmont exercising pre-emptive rights

Denver-based Newmont Gold (NYSE) and a Peruvian-based company intend to take whatever steps may be necessary to pre-empt a proposed transfer of another partner’s interest in the Minera Yanacocha property in Peru.

Bureau de Recherches Geologiques et Minieres (BRGM) has a 24.7% interest in Minera Yanacocha. Previously, BRGM announced its intention to enter a joint venture with Normandy Poseidon, an Australian gold company. (Poseidon would own 60% of the venture.)

In addition to being partly held by BRGM, Minera Yanacocha is owned 38% by Newmont, 32.3% by the Peruvian company and 5% by International Finance Corporation.

Minera Yanacocha, which began production in 1993, is expected to produce 250,000 oz. gold this year and 400,000 oz. in 1995.