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(Kitco News) - The drama between the two largest mining companies is heating up as Newmont Mining (NYSE: NEM) has rejected an all-stock merger proposed by Barrick Gold (NYSE: GOLD, TSX: ABX).

In a press release Monday, Newmont executives said that they still prefer to move forward with their proposed merger with Goldcorp; the new company would surpass Barrick Gold as the world’s largest gold miner.

“Newmont has previously reviewed and rejected potential combinations with each of Barrick and Randgold Resources Ltd., prior to their merger. Newmont’s proposed combination with Goldcorp represents the best opportunity to create optimal value for Newmont’s shareholders and other stakeholders…,” the company said in the press release. “Newmont’s pending transaction with Goldcorp offers optimal value with greater certainty and a proven management team and operating model.”

The company added that Barrick’s $18-Billion proposal is lower than the company’s current valuation of $19 billion as of Friday. Newmont had some harsh words about the Barrick organization, saying it has an “ineffective operating model.”

“Newmont has previously determined that Barrick’s risk and return profile is inferior on many fronts, including factoring Barrick’s comparatively ineffective operating model, poor track record on delivering shareholder returns and unfavorable jurisdictional risk.

Newmont also noted that they have provided better value for shareholders over the years, compared to Barrick.

“Since January 1, 2014 (merger discussions between Barrick and Newmont ended in April 2014), Newmont has achieved 65 percent total shareholder returns compared to the negative 22 percent total shareholder return delivered by Barrick, while gold prices improved 15 percent during that period,” the company said.

Looking at the proposed deal with Goldcorp, Newmont said that the deal has the potential to create $2.5 billion in value creation.

“The combination will be immediately and highly value-accretive to Newmont’s net asset value and cash flow per share; generate an estimated $75 per ounce in Full Potential cost and efficiency improvements, representing anticipated benefits of approximately $165 million per year, and along with $100 million in pre-tax synergies, generate $265 million in combined expected annual pre-tax synergies,” the company said.