• 15 mins French Strike Disrupts Exxon And Total’s Oil Product Shipments
  • 2 hours Kurdistan’s Oil Exports Still Below Pre-Conflict Levels
  • 4 hours Oil Production Cuts Taking A Toll On Russia’s Economy
  • 6 hours Aramco In Talks With Chinese Petrochemical Producers
  • 7 hours Federal Judge Grants Go-Ahead On Keystone XL Lawsuit
  • 9 hours Maduro Names Chavez’ Cousin As Citgo Boss
  • 15 hours Bidding Action Heats Up In UK’s Continental Shelf
  • 20 hours Keystone Pipeline Restart Still Unknown
  • 1 day UK Offers North Sea Oil Producers Tax Relief To Boost Investment
  • 1 day Iraq Wants To Build Gas Pipeline To Kuwait In Blow To Shell
  • 1 day Trader Trafigura Raises Share Of Oil Purchases From State Firms
  • 1 day German Energy Group Uniper Rejects $9B Finnish Takeover Bid
  • 1 day Total Could Lose Big If It Pulls Out Of South Pars Deal
  • 1 day Dakota Watchdog Warns It Could Revoke Keystone XL Approval
  • 2 days Oil Prices Rise After API Reports Major Crude Draw
  • 2 days Citgo President And 5 VPs Arrested On Embezzlement Charges
  • 2 days Gazprom Speaks Out Against OPEC Production Cut Extension
  • 2 days Statoil Looks To Lighter Oil To Boost Profitability
  • 2 days Oil Billionaire Becomes Wind Energy’s Top Influencer
  • 2 days Transneft Warns Urals Oil Quality Reaching Critical Levels
  • 2 days Whitefish Energy Suspends Work In Puerto Rico
  • 2 days U.S. Authorities Arrest Two On Major Energy Corruption Scheme
  • 3 days Thanksgiving Gas Prices At 3-Year High
  • 3 days Iraq’s Giant Majnoon Oilfield Attracts Attention Of Supermajors
  • 3 days South Iraq Oil Exports Close To Record High To Offset Kirkuk Drop
  • 3 days Iraqi Forces Find Mass Graves In Oil Wells Near Kirkuk
  • 3 days Chevron Joint Venture Signs $1.7B Oil, Gas Deal In Nigeria
  • 3 days Iraq Steps In To Offset Falling Venezuela Oil Production
  • 3 days ConocoPhillips Sets Price Ceiling For New Projects
  • 6 days Shell Oil Trading Head Steps Down After 29 Years
  • 6 days Higher Oil Prices Reduce North American Oil Bankruptcies
  • 6 days Statoil To Boost Exploration Drilling Offshore Norway In 2018
  • 6 days $1.6 Billion Canadian-US Hydropower Project Approved
  • 6 days Venezuela Officially In Default
  • 6 days Iran Prepares To Export LNG To Boost Trade Relations
  • 6 days Keystone Pipeline Leaks 5,000 Barrels Into Farmland
  • 7 days Saudi Oil Minister: Markets Will Not Rebalance By March
  • 7 days Obscure Dutch Firm Wins Venezuelan Oil Block As Debt Tensions Mount
  • 7 days Rosneft Announces Completion Of World’s Longest Well
  • 7 days Ecuador Won’t Ask Exemption From OPEC Oil Production Cuts

Is South America Set For A Gold Rush?

Is South America Set For A Gold Rush?

There was a very interesting note buried within a report this weekend from the Wall Street Journal on gold M&A from Chinese mining firms. It suggested that a big rush for gold projects may be about to kick off in one particular part of the world.

That’s South America. Where the Journal reported that an up-and-coming Chinese gold miner is on the verge of a significant project acquisition. Related: The Wireless Tech That Will Transform The Energy Industry

The company is Zhaojin Mining — a relatively unknown gold player outside of China right now, which appears to be about to make strides in expanding across the international mining industry.

The Journal quoted Zhaojin’s investment director, Chen He, as saying that the company has “nearly completed all the formalities” of its first major overseas acquisition. Which He said is located somewhere in South America. Related: Why You Shouldn’t Fear Another Drop In Oil Prices

Such a South American asset purchase would be a significant event — given there’s been relatively little involvement by China in the gold sector on the continent up until now.

But with Chinese investment in the copper mining industry of countries like

Peru increasing fast of late, a jump into gold makes a lot of sense. And the Journal suggested that the time is now ripe for Chinese buys in the gold space worldwide — quoting officials at Toronto-based advisors Sprott Asset Management as saying they have been in touch with as many as six major Chinese gold companies that “all have plans for increasing assets overseas.” Related: Why Energy Investors Shouldn’t Panic Going into Earnings Season

A step-out by Chinese miners into South America would be especially interesting given the growing interest here from other parts of the world. India, for example, where investors have been increasingly looking to South American gold projects as a source of supply.

Officials at Zhaojin also said they are considering asset buys in Australia and Canada — either through direct purchase or through buying equity in the local owners. Watch for an announcement on the apparent South American deal, as well as knock-on transactions globally.

Here’s to going for gold,

By Dave Forest

More Top Reads From Oilprice.com:




Back to homepage


Leave a comment

Leave a comment




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