Good news for Newmont

Article Excerpt

NEWMONT CORP., $37.27, remains a buy for long-term growth and as a hedge against inflation. The company (New York symbol NEM; Shares outstanding: 794.8 million; Market cap: $29.6 billion; TSINetwork Rating: Average; Dividend yield: 4.3%; www.newmont.com) has now re-opened its Penasquito mine in Mexico after the union representing its workers agreed to a new four-year contract. That ended a four-month long strike. Meantime, Newmont continues to move ahead with its $15.4 billion deal to acquire Newcrest Mining Ltd., which operates gold mines in Australia, Canada and Papua New Guinea. Shareholders of both firms have now approved the merger, as well as regulators in Australia, Canada and Papua New Guinea. Newmont will complete the deal shortly. Better mining techniques and efficiency should let Newmont sharply cut Newcrest’s costs. Newcrest’s significant copper reserves will also help diversify its operations. Newmont Corp. remains a buy. buy…