Sou Hu Cai Jing·2025-12-15 09:30Core Viewpoint - The company, Luoyang Molybdenum Co., Ltd., is focusing its investment and acquisition strategy on copper and gold, with a recent announcement of a significant acquisition in Brazil [2] Group 1: Acquisition Details - Luoyang Molybdenum announced it will acquire 100% equity in four gold mines in Brazil from Equinox Gold for a total consideration of up to $1.015 billion [2] - The payment structure includes $900 million in cash at closing and up to $115 million contingent on gold sales volume in the first operational year post-acquisition [2] - The acquisition is expected to be completed in the first quarter of 2026 [2] Group 2: Strategic Rationale - The acquisition aligns with the company's strategic focus on copper and gold, as stated by the Chairman and Chief Investment Officer, Liu Jianfeng, who expressed confidence in the long-term market prospects for gold assets [2] - The company completed its first pure gold investment in June 2025, acquiring the Cangrejos gold project in Ecuador for CAD 581 million, which is currently in the exploration phase and expected to start production in 2028, with an annual output of approximately 11.5 tons of gold [2] - Once the Cangrejos project is operational, the company's annual gold production is anticipated to exceed 20 tons [2] Group 3: Market Context - Brazil is noted for its rich gold resources and relatively stable geopolitical environment, which is expected to synergize with the company's existing operations in Brazil [2]