Chinese firm eyes Argentina mine stake

Source: Xinhua | 2017-04-07

CHINA’S Shandong Gold Mining Co will pay US$960 million for 50 percent of Barrick Gold Corp’s Veladero gold mine in Argentina, the Canadian miner said in a press release yesterday.

The deal will also see the two companies look at jointly developing the nearby undeveloped Pascua-Lama gold and silver project which straddles the border of Argentina and Chile.

Barrick added that the two miners would also look at other additional investment opportunities on the El Indio Gold Belt.

“Shandong is an ideal partner to help us unlock the untapped mineral wealth of the El Indio Belt over the long term, while working with us to generate more value from the Veladero mine today,” Barrick Executive Chairman John Thornton said.

Shandong Gold’s Chairman Chen Yumin said in the release that the miner was looking to “build a long-term relationship” with Barrick.

“We are excited to enter Argentina’s dynamic mining industry in partnership with Barrick at Veladero, while exploring other opportunities in one of the most prospective mineral districts in the world,” Chen said.