The Chinese mining company China Molybdenum (CMOC Group) has entered into an agreement to acquire the Brazilian division of Equinox Gold Corp. for $1 billion. This is reported in the CMOC press release.
The value of the deal is over $1 billion, including an advance of $900 million in cash and $115 million a year after the deal closes.
As part of the deal, CMOC will expand its operations in the precious metals sector through the acquisition of two Equinox subsidiaries, Leagold LatAm Holdings BV and Luna Gold Corp., which control several deposits in Brazil.
CMOC is one of the fastest growing mining companies in the world, having overtaken Glencore Plc as the largest cobalt producer in 2023. In addition, the company is engaged in copper mining and demonstrates high profits against the background of rising prices in accordance with the strategy to increase profits through the acquisition of assets for the extraction of copper, gold and other metals.
The deal is a strategic addition to CMOC's assets and strengthens the company's presence in South America. CMOC previously acquired Canadian mining company Lumina Gold Corp. for 581 million Canadian dollars ($422 million) to develop Ecuador's largest gold deposit.
The deal includes the Aurizona, RDM, Fazenda and Santa Luz mines with a total production volume of 8 tons of gold per year and the possibility of increasing to more than 20 tons. The transaction is expected to be completed in the first quarter of 2026.
The price of gold in 2025 reached a number of record levels due to increased demand, while copper rose by more than 30%, taking into account high consumption, also reaching a historic peak.
China Molybdenum (CMOC) is a Chinese mining and metallurgical company. CMOC is a major producer of molybdenum, cobalt, copper, tungsten and other non-ferrous metals. The headquarters is located in Henan Province (China).
Equinox Gold Corp. — a Canadian mining company operating gold and silver deposits in North and South America. The company owns mines in California (USA), Mexico, Brazil and Canada. The headquarters is located in Vancouver, Canada.
Read also in our Telegram channel "Mergers and acquisitions. AK&M».
