Mei Ri Jing Ji Xin Wen·2025-12-15 12:24Core Viewpoint - Luoyang Molybdenum Co., Ltd. announced the acquisition of three gold mining assets in Brazil from Equinox Gold Corp. for a total consideration of $1.015 billion (approximately RMB 7.153 billion) [1][3]. Group 1: Acquisition Details - The company will acquire 100% equity in Leagold LatAm Holdings B.V. and Luna Gold Corp., which includes the Aurizona gold mine, RDM gold mine, and Bahia complex [3]. - The transaction price consists of a $900 million upfront payment and up to $115 million contingent on sales after one year of closing [3]. - Post-transaction, Luoyang Molybdenum will own four operating gold mines in Brazil, including Aurizona, Bahia complex (which comprises Fazenda and Santa Luz mines), and RDM [3][4]. Group 2: Resource and Production Outlook - The acquired assets hold a total gold resource of 5.013 million ounces with an average grade of 1.88 g/t, and gold reserves of 3.873 million ounces with an average grade of 1.45 g/t [4]. - The expected gold production for 2024 is 247,300 ounces, with guidance for 2025 production set between 250,000 to 270,000 ounces [4]. Group 3: Strategic Importance - The Chairman and Chief Investment Officer of Luoyang Molybdenum expressed confidence in the long-term market prospects for gold assets, stating that this acquisition is a significant step in the company's "copper-gold dual-pole" merger strategy [4]. - The project is expected to create synergies with Luoyang Molybdenum's niobium and phosphate assets in Brazil, further enhancing the company's resource layout in South America [4][6]. Group 4: Recent Performance - In the first three quarters of the year, Luoyang Molybdenum reported a revenue of RMB 145.485 billion, a decrease of 5.99% year-on-year, while the net profit attributable to shareholders exceeded the full-year forecast, reaching RMB 14.279 billion, a year-on-year increase of 72.61% [9].