Newmont Mining has completed the $820m acquisition of the Cripple Creek gold mine (CC&V) in Colorado for from AngloGold Ashanti.

The company also acquired 2.5% net smelter return royalty on future gold production from underground ore.

Cripple Creek gold mine is currently undergoing an expansion, which includes a new mill to increase production, improve recovery on higher grade ore, and add capacity for a potential underground operation.

The mill is expected to start operations and reach full production capacity later this year.

The expansion, which is now two-thirds complete, will also include a second leach facility and new recovery plant.

Newmont president Gary Goldberg said: "CC&V is a value accretive acquisition that adds profitable production and free cash flow while improving our portfolio mine life and costs in a favourable jurisdiction.

"Consistent with what we’ve achieved at our other operations, we believe we can lower CC&V’s direct mining costs by up to ten percent through mine plan optimization, and improve mill recoveries by up to two percent by applying proprietary technology."