Acquisition of Common Shares of Gabriel Resources Ltd.
Denver, June 2, 2008 - Newmont Canada Limited ("Newmont") announced that it has acquired 3,878,302 common shares of Gabriel Resources Ltd. ("Gabriel") through open market purchases on the Toronto Stock Exchange, representing approximately 1.5% of Gabriel's outstanding common shares. Newmont holds, in the aggregate as of today's date, 50,724,702 common shares, representing approximately 19.9% of the outstanding common shares of Gabriel. The average price paid by Newmont for the acquisition of the 3,878,302 common shares is Cdn. $2.86 per common share.
The acquisition of the common shares of Gabriel was made for investment purposes only. Newmont may, subject to market conditions and in accordance with applicable securities laws, take other actions in respect of its investment in Gabriel, including making additional investments in or effecting dispositions of securities of Gabriel, including additional purchases of common shares of Gabriel.
As previously disclosed by Gabriel, Newmont has entered into a nominee agreement with Gabriel in respect of the appointment of two nominees of Newmont to the board of Gabriel. The nominee agreement also provides, among other things, that at Gabriel's 2008 annual meeting, Newmont will vote its securities in favor of each of Management's nominees for election to the Board, appointment of auditors and amendment of the Company's deferred share unit plan. The Nominee Agreement also restricts Newmont from taking certain actions (subject to certain exceptions), including without limitation, acquiring any securities of Gabriel that would result in Newmont holding 20.0% or more of the outstanding common shares of Gabriel. The Nominee Agreement terminates, among other events, upon the resignation of Newmont's nominee.
Further information (including a copy of the report to be filed with Canadian securities regulators in connection with these acquisitions) can be obtained by contacting:
SOURCE Newmont Mining Corporation