8-K: SSR Mining Completes Acquisition of Cripple Creek & Victor Gold Mine from Newmont

SSR Mining finalizes the acquisition of the Cripple Creek & Victor gold mine from Newmont Corporation, enhancing its production scale and portfolio diversification.

Summary

• SSR Mining Inc. has completed the acquisition of the Cripple Creek & Victor (CC&V) gold mine from Newmont Corporation on February 28, 2025.
• The consideration included a $100 million cash payment to Newmont, with potential milestone-based payments of up to $175 million in the future.
• CC&V is expected to increase SSR Mining's scale, free cash flow, and portfolio diversification, positioning the company as the third-largest gold producer in the U.S.A.
• As of December 31, 2024, CC&V hosted 2.4 million ounces of gold Mineral Reserves, an 85% increase year-over-year from 1.3 million ounces as of December 31, 2023.
• Newmont also reported an additional 0.8 million ounces of Measured and Indicated gold Mineral Resources and 0.9 million ounces of Inferred gold Mineral Resources for CC&V as of December 31, 2024.
• SSR Mining expects to publish a technical report and life of mine plan for CC&V within the next 12 months.
• Production and free cash flow from CC&V are attributable to SSR Mining effective March 1, 2025.
• The Company anticipates reporting consolidated full-year 2025 production and cost guidance, including attributable guidance for CC&V, before the end of the first quarter.
• SSR Mining expects to remain listed on the ASX under the ticker symbol SSR until market close on April 7, 2025.

Sentiment

Score: 8

Explanation: The document conveys a positive sentiment due to the successful acquisition of a valuable asset, expected increases in production and free cash flow, and positive management commentary. The increase in Mineral Reserves is also a positive indicator.

Positives

• The acquisition is expected to increase SSR Mining's scale, free cash flow, and portfolio diversification.
• CC&V's gold Mineral Reserves increased significantly year-over-year, indicating a valuable asset.
• The addition of CC&V positions SSR Mining as the third-largest gold producer in the U.S.A.
• SSR Mining will gain immediate production and free cash flow from CC&V.

Risks

• The forward-looking information is subject to various risks and uncertainties that could cause actual results to differ materially.
• The historical estimates of Mineral Reserves and Mineral Resources are based on work completed and estimates prepared by Newmont and have not been independently verified by SSR Mining.
• The production estimates made by SSR Mining are based on the Newmont Disclosure and have not been prepared, reviewed or verified by an independent, third-party qualified person.

Future Outlook

SSR Mining anticipates reporting consolidated full-year 2025 production and cost guidance, including attributable guidance for CC&V, before the end of the first quarter. The company also expects to publish a technical report and life of mine plan for CC&V within the next 12 months.

Management Comments

• Rod Antal, Executive Chairman of SSR Mining, said, 'We are thrilled to welcome CC&V and its team to SSR Mining.'
• Rod Antal, Executive Chairman of SSR Mining, said, 'This transaction adds another long-lived, free cash flow generative asset to the portfolio, and we look forward to showcasing our longer-term plans for the operation.'

Industry Context

The acquisition of CC&V allows SSR Mining to increase its presence in the U.S. gold mining sector, positioning it as a significant player among other gold producers. This move reflects a broader trend of consolidation and strategic acquisitions within the mining industry to enhance production capacity and diversify asset portfolios.

Comparison to Industry Standards

• Newmont's 2024 Mineral Reserves were based on a gold price assumption of $1,700 per ounce for Mineral Reserves and $2,000 per ounce for Mineral Resources.
• Newmont's Mineral Reserves and Mineral Resources for 2023 were based on a gold price assumption of $1,400 per ounce for Mineral Reserves and $1,600 per ounce for Mineral Resources.
• The document references Newmont's reported Mineral Reserves and Mineral Resources, but SSR Mining has not independently verified these figures, which is a standard practice in the industry to ensure accuracy and compliance with reporting standards like NI 43-101.

Stakeholder Impact

• Shareholders can expect increased production and potential free cash flow.
• Employees of CC&V are now part of SSR Mining.
• The acquisition could impact suppliers and customers of both SSR Mining and CC&V.

Next Steps

• SSR Mining expects to publish a technical report and life of mine plan for CC&V within the next 12 months.
• The Company anticipates reporting consolidated full-year 2025 production and cost guidance, including attributable guidance for CC&V, before the end of the first quarter.

Key Dates