Papillon Resources Limited (Papillon or the Company) is an emerging West African gold developer focused on aggressively fast-tracking the exploration, appraisal and development of its flagship Fekola Project (Fekola or the Project), located in south western Mali adjacent to the border with... More
Wednesday, Aug 218:21 AMHeavy acquisition activity for Chinese gold miners
Wednesday, Aug 218:21 AM| 5 Comments
- Takeovers and asset purchases by producers based in China and Hong Kong rose to a record $2.24B this year amid the steep decline in gold prices and mine values, according to data compiled by Bloomberg.
- The busy Chinese activity comes as shareholders in Western-based miners warn executives to chill their M&A activity. Chinese miners - often with lower production costs - are less constrained and have continually perky domestic consumption to satisfy.
- Next possible targets are Papillon Resources (PAPQF.OB), Iamgold (IAG), Amara Mining, and Perseus Mining (PMNXF.PK), according to Aussie gold analyst David Brennan. China's largest producer Zijin Mining has previously said it has its eye on three Australian mines Barrick (ABX) has for sale.
- China's appetite for gold is virtually insatiable, says Jon Price of Phoenix Gold (PGLD.PK). "They have a large bank account with which to work, and a lot of U.S. dollars that they perhaps would rather see turned into physical assets."
- Gold mining ETFs: GDX, GDXJ, GLDX, PSAU, NUGT, DUST, GGGG, RING.