The gas will be supplied from the offshore John Brookes gas field.
it will be processed at the East Spar gas processing facilities on Varanus Island and transported through the Goldfields pipeline.
Santos vice president Western Australia (WA) and Northern Territory John Anderson said the agreement demonstrated strong demand for natural gas in WA.
He said it also reflected Santos' goal to continue to grow its position as a domestic gas supplier in the state.
Santos owns 45 per cent of the John Brookes joint venture, with US-based Apache Energy Ltd holding the majority stake.
The companies market gas from the joint venture separately.
"Commencing in late 2009, total sales revenue under the four-year contract will be approximately A$100 million (US$81.85 million)," Australia's third largest oil and gas producer said in a statement on Monday.
"Gas will be used in Newmont's mining operations at Jundee and in its part-owned Parkeston power station in Kalgoorlie."
The Newmont contract was fully supplied from Santos' share of production, Santos said.
(AAP) rw

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