• 2 hours Kinder Morgan Warns About Trans Mountain Delays
  • 8 hours India, China, U.S., Complain Of Venezuelan Crude Oil Quality Issues
  • 13 hours Kurdish Kirkuk-Ceyhan Crude Oil Flows Plunge To 225,000 Bpd
  • 17 hours Russia, Saudis Team Up To Boost Fracking Tech
  • 23 hours Conflicting News Spurs Doubt On Aramco IPO
  • 1 day Exxon Starts Production At New Refinery In Texas
  • 1 day Iraq Asks BP To Redevelop Kirkuk Oil Fields
  • 2 days Oil Prices Rise After U.S. API Reports Strong Crude Inventory Draw
  • 2 days Oil Gains Spur Growth In Canada’s Oil Cities
  • 2 days China To Take 5% Of Rosneft’s Output In New Deal
  • 2 days UAE Oil Giant Seeks Partnership For Possible IPO
  • 2 days Planting Trees Could Cut Emissions As Much As Quitting Oil
  • 2 days VW Fails To Secure Critical Commodity For EVs
  • 2 days Enbridge Pipeline Expansion Finally Approved
  • 2 days Iraqi Forces Seize Control Of North Oil Co Fields In Kirkuk
  • 2 days OPEC Oil Deal Compliance Falls To 86%
  • 3 days U.S. Oil Production To Increase in November As Rig Count Falls
  • 3 days Gazprom Neft Unhappy With OPEC-Russia Production Cut Deal
  • 3 days Disputed Venezuelan Vote Could Lead To More Sanctions, Clashes
  • 3 days EU Urges U.S. Congress To Protect Iran Nuclear Deal
  • 3 days Oil Rig Explosion In Louisiana Leaves 7 Injured, 1 Still Missing
  • 3 days Aramco Says No Plans To Shelve IPO
  • 6 days Trump Passes Iran Nuclear Deal Back to Congress
  • 6 days Texas Shutters More Coal-Fired Plants
  • 6 days Oil Trading Firm Expects Unprecedented U.S. Crude Exports
  • 6 days UK’s FCA Met With Aramco Prior To Proposing Listing Rule Change
  • 6 days Chevron Quits Australian Deepwater Oil Exploration
  • 6 days Europe Braces For End Of Iran Nuclear Deal
  • 7 days Renewable Energy Startup Powering Native American Protest Camp
  • 7 days Husky Energy Set To Restart Pipeline
  • 7 days Russia, Morocco Sign String Of Energy And Military Deals
  • 7 days Norway Looks To Cut Some Of Its Generous Tax Breaks For EVs
  • 7 days China Set To Continue Crude Oil Buying Spree, IEA Says
  • 7 days India Needs Help To Boost Oil Production
  • 7 days Shell Buys One Of Europe’s Largest EV Charging Networks
  • 7 days Oil Throwback: BP Is Bringing Back The Amoco Brand
  • 7 days Libyan Oil Output Covers 25% Of 2017 Budget Needs
  • 7 days District Judge Rules Dakota Access Can Continue Operating
  • 8 days Surprise Oil Inventory Build Shocks Markets
  • 8 days France’s Biggest Listed Bank To Stop Funding Shale, Oil Sands Projects

The Weirdest Mining M&A Partner I've Seen

The past several years we've seen a lot of different buyers for mining projects globally. Corporations, investment funds, sovereign wealth funds, and international financial agencies have all gone in for project purchases.

But yesterday we got news of one of the strangest-sounding buyers I've come across. For mining projects being shed by precious metals developer Aquarius Platinum in South Africa.

That purchaser is the China National Arts & Crafts Corporation. Who Aquarius announced will buy the Blue Ridge platinum project for a total $37 million in cash.

An arts and crafts corporation sounds like an odd owner for the Blue Ridge project. Which includes a developed underground platinum mine, currently placed on care and maintenance due to low metals prices. Are a bunch of scrapbookers going to be out re-starting the dump trucks?

But the deal actually makes more sense after a look at who Arts & Crafts Corporation is. And suggests some interesting trends developing in the platinum business.

The buying group in fact isn't a corporation at all. It's a Chinese government enterprise. One whose mission is to "bring the traditional Chinese culture to the world", according to its website.

Arts & Craft Corp thus deals in things like textiles, ceramics, fine art and jewellery. That last arena apparently being the driver for its interest in platinum mining.

In fact, the group is involved in the import and export of several jewellery-making materials. Including silver, gold, and diamonds. It also happens to be an affiliate of China Platinum Company--a firm that serves as the main import channel for platinum into China.

It would thus appear from yesterday's deal that the company has made a strategic decision to move beyond just import of platinum. And into upstream mining development--taking direct ownership of producing centres and the associated output.

This is a very significant signal. Showing us that Chinese interest in platinum is perhaps ramping up. And that Chinese buyers may represent an expanding source of funding for platinum projects globally.

We'll see if more deals follow from the arts and crafts folks.

Here's to being crafty,

By. Dave Forest




Back to homepage


Comments currently closed.

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News