China’s Zijin Mining to finalize acquisition of two gold mines in H2 - chairman
July 29th, 2008 | by mantrionline |Zijin Mining Group Co will finalize the acquisition of two gold mines, including at least one overseas, in the second half of the year, the mainland firm’s chairman Chen Jinghe said.
Chen told a media briefing here that Zijin has 4 bln yuan available for acquisitions in the period.
He declined to give details of the potential acquisitions.
Chen said Zijin is also planning to build two iron ore processing plants in Xinjiang and Qinghai with total investment of 600 mln to one bln yuan.
The annual handling capacity of the plants will be 400,000 tons each.
Chen said the company completed the acquisition of a gold mine in Tajikistan in the first half and that the project is now in the construction and development stage.
Total investment on that project will be 1.3 bln yuan, of which 505 mln yuan has already been spent.
Chen said the Tajikistan investment will play an important role in the company’s overseas expansion.
Asked about the outlook for gold prices, Chen said he expects prices to remain high in the second half of this year despite a slight correction recently.
Zijin Mining announced yesterday a 45 pct rise in first-half net profit to 1.74 bln yuan. (1 usd = 7.8 hkd; 6.85 yuan)
