• 20 mins Trader Trafigura Raises Share Of Oil Purchases From State Firms
  • 2 hours German Energy Group Uniper Rejects $9B Finnish Takeover Bid
  • 3 hours Total Could Lose Big If It Pulls Out Of South Pars Deal
  • 5 hours Dakota Watchdog Warns It Could Revoke Keystone XL Approval
  • 22 hours Oil Prices Rise After API Reports Major Crude Draw
  • 23 hours Citgo President And 5 VPs Arrested On Embezzlement Charges
  • 23 hours Gazprom Speaks Out Against OPEC Production Cut Extension
  • 24 hours Statoil Looks To Lighter Oil To Boost Profitability
  • 1 day Oil Billionaire Becomes Wind Energy’s Top Influencer
  • 1 day Transneft Warns Urals Oil Quality Reaching Critical Levels
  • 1 day Whitefish Energy Suspends Work In Puerto Rico
  • 1 day U.S. Authorities Arrest Two On Major Energy Corruption Scheme
  • 2 days Thanksgiving Gas Prices At 3-Year High
  • 2 days Iraq’s Giant Majnoon Oilfield Attracts Attention Of Supermajors
  • 2 days South Iraq Oil Exports Close To Record High To Offset Kirkuk Drop
  • 2 days Iraqi Forces Find Mass Graves In Oil Wells Near Kirkuk
  • 2 days Chevron Joint Venture Signs $1.7B Oil, Gas Deal In Nigeria
  • 2 days Iraq Steps In To Offset Falling Venezuela Oil Production
  • 2 days ConocoPhillips Sets Price Ceiling For New Projects
  • 5 days Shell Oil Trading Head Steps Down After 29 Years
  • 5 days Higher Oil Prices Reduce North American Oil Bankruptcies
  • 5 days Statoil To Boost Exploration Drilling Offshore Norway In 2018
  • 5 days $1.6 Billion Canadian-US Hydropower Project Approved
  • 5 days Venezuela Officially In Default
  • 5 days Iran Prepares To Export LNG To Boost Trade Relations
  • 5 days Keystone Pipeline Leaks 5,000 Barrels Into Farmland
  • 5 days Saudi Oil Minister: Markets Will Not Rebalance By March
  • 6 days Obscure Dutch Firm Wins Venezuelan Oil Block As Debt Tensions Mount
  • 6 days Rosneft Announces Completion Of World’s Longest Well
  • 6 days Ecuador Won’t Ask Exemption From OPEC Oil Production Cuts
  • 6 days Norway’s $1 Trillion Wealth Fund Proposes To Ditch Oil Stocks
  • 6 days Ecuador Seeks To Clear Schlumberger Debt By End-November
  • 6 days Santos Admits It Rejected $7.2B Takeover Bid
  • 6 days U.S. Senate Panel Votes To Open Alaskan Refuge To Drilling
  • 7 days Africa’s Richest Woman Fired From Sonangol
  • 7 days Oil And Gas M&A Deal Appetite Highest Since 2013
  • 7 days Russian Hackers Target British Energy Industry
  • 7 days Venezuela Signs $3.15B Debt Restructuring Deal With Russia
  • 7 days DOJ: Protestors Interfering With Pipeline Construction Will Be Prosecuted
  • 7 days Lower Oil Prices Benefit European Refiners
Alt Text

World’s Biggest Miner Prepares For The EV Boom

The world’s top mining company…

Alt Text

Don’t Expect Palladium Prices To Plunge

Palladium has recently soared to…

MINING.com

MINING.com

MINING.com is a web-based global mining publication focusing on news and commentary about mining and mineral exploration. The site is a one-stop-shop for mining industry…

More Info

Mick Davis has now almost $5 billion to build new mining empire

Mick Davis has now almost $5 billion to build new mining empire

A few pounds less and some billions more, "Mick the Miner," is ready to go on a buying spree.

After losing out in the Glencore (LON:GLEN) takeover last year, former Xstrata chief executive Mick Davis has been staging a comeback and by now he’s got $4.8 billion from investors to spend doing what he likes the most: buying assets to eventually turn his X2 Resources into a midsize metal and mining group.

"With almost $5bn in equity and access to significant additional debt funding, X2 Resources is uniquely positioned and we are currently reviewing a number of opportunities in the metals and mining sector," Davis said in a statement Wednesday.

The war chest built up by Davis' new venture, however, has yet to be put to use. As CFO of Billiton at the time of the merger with BHP, “Big Mick”, is said to have already tried (and failed) to pick up the mining giant’s unloved assets that will go in the split.

X2 began raising capital in September last year when Hong Kong-based commodities trader Noble Group and private equity firm TPG together stumped up $1bn. At that time five cornerstone investors, who each committed $500m also conditionally agreed to provide another $250m.

“Mick The Miner”, as he is also known in the industry, built his career on this “stronger-for-longer” theory, based on the belief that urbanization in China, India and some parts of sub-Saharan African would send the prices soaring for the copper used in everything from plumbing to the coal burned in electricity plants.

Industry veteran

The 56-year-old South African entrepreneur and the rest of the team behind X2, which also involves former Xstrata finance director Trevor Reid, believes the firm could profit from picking up assets other mining companies, under financial strain of getting funds for ongoing projects, are forced to sell at very low price.

Davis is only one of the many former chiefs of mining companies who have recently launched investment vehicles.

Ex-Barrick Gold (TSX, NYSE: ABX) boss, Aaron Regent, is another one who has grabbed headlines as earlier this month he struck his first deal, spending $500 million in a niobium mine and rare earth deposit from Canadian miner Iamgold Corp. (TSX: IMG) (NYSE:IAG).

By Cecilia Jamasmie

(Source: www.mining.com)




Back to homepage


Leave a comment

Leave a comment




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