Here is a summary of some of the acquisitions and takeovers announced this summer by the world’s precious metals mining industry:
Aug. 6: Zug, Switzerland-based mining giant Xstrata PLC offered $10 billion to take over rival Lonmin PLC, the world’s No. 3 platinum producer. The move is part of Xstrata’s strategy to diversify its portfolio. London-based Lonmin rejected the offer as too low.
July 31: Goldcorp Inc. said it will acquire Canada’s Gold Eagle Mines Ltd. for $1.46 billion in cash and stock to boost operations in the Red Lake district of Ontario, Canada. The deal is expected to close in September.
July 24: Toronto-based Kinross Gold Corp. plans to acquire Canada-based Aurelian Resources Inc. for $1.2 billion in a move designed to boost its mining reserves. The deal will give Kinross control over Aurelian’s gold, silver and base metals reserves in Ecuador.
July 23: Canadian miner Iamgold Corp. acquired the participation royalty on the Doyon/Westwood property in Quebec from Barrick Gold Corp. for $13 million. The deal eliminates the royalty obligation on the Doyon mine, which is 24.75 percent of the gold price above $375 per ounce.
July 21: Toronto-based Barrick Gold Corp., the world’s largest gold producer, offered $407.8 million to acquire oil and natural gas producer Cadence Energy Inc. of Calgary. Barrick said the buyout will act as an economic hedge of about one-quarter of its direct oil consumption and a significant portion of its direct natural gas consumption.
May 13: Canada-based Silver Wheaton Corp. agreed to pay $80 million to Farallon Resources Ltd. to buy a majority of the silver produced at its Campo Morado site in Mexico. The mining company will finance the deal with funds from existing credit agreements and will have the right of first refusal on future Farallon silver.
