• 4 minutes Ten Years of Plunging Solar Prices
  • 7 minutes Hydrogen Capable Natural Gas Turbines
  • 10 minutes World looks on in horror as Trump flails over pandemic despite claims US leads way
  • 13 minutes Large gas belt discovered in China
  • 3 hours Chicago Threatens To Condemn - Possibly Demolish - Churches Defying Lockdown
  • 1 hour Let’s Try This....
  • 3 hours The CDC confirms remarkably low coronavirus death rate. Where is the media?
  • 41 mins New Aussie "big batteries"
  • 6 hours COVID 19 May Be Less Deadly Than Flu Study Finds
  • 3 hours Monetary and Fiscal Policies in Times of Large Debt:
  • 7 hours China to Impose Dictatorship on Hong Kong
  • 14 hours 60 mph electric mopeds
  • 22 hours Nothing can shake AMLO’s fossil-fuel fixation
  • 19 hours Iran's first oil tanker has arrived near Venezuela
  • 1 day US-China tech competition accelerates: on Friday 05/15 new sanctions on Huawei, on Monday 05/18 Samsung chief visits China
The Worst Oil Trades Ever Made

The Worst Oil Trades Ever Made

Wall Street is full of…

What The Market Is Overlooking In The Occidental Deal

What The Market Is Overlooking In The Occidental Deal

Occidental Petroleum has caught a…

Dave Forest

Dave Forest

Dave is Managing Geologist of the Pierce Points Daily E-Letter.

More Info

Premium Content

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:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




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