Sinomine Resource Group Makes Significant Investment in Zambian Copper Mine
Shares of Sinomine Resource Group experienced a notable surge following the announcement of its plan to acquire a majority stake in a Zambian copper mine for USD 58.5 million. Sinomine [SHE: 002738] closed 6.8 percent higher at CNY 40.79 (USD 5.67) on the Shenzhen stock exchange today.
The acquisition will be conducted through Sinomine’s subsidiary, African Minerals, which will purchase a 65 percent stake in Junction Mining from Momentum Ventures and Chifupu Resources.
Junction Mining’s primary asset is the Kitumba copper project in Zambia, boasting 27.9 million tons of proven copper mineral resources, as estimated by a third-party independent organization, MSA Group, in a 2015 report. The company holds mineral rights over a 248-square-kilometer area, valid until November 2039.
Upon completion of the transaction, Sinomine will hold a 65 percent stake in both Junction Mining and the Kitumba copper mine project.
Established in 1999, Sinomine Resource Group is a prominent Chinese mining conglomerate with operations spanning over 40 countries and regions worldwide, boasting a comprehensive industrial chain of mineral resources.
SOURCE:miningfocusafrica.com
