Shang Hai Zheng Quan Bao·2026-01-26 00:10Core Viewpoint - Luoyang Molybdenum's acquisition of Brazilian gold mines for up to $1.015 billion was completed on January 23, 2026, showcasing the company's rapid execution in cross-border mining mergers and acquisitions [1] Group 1: Acquisition Details - The Brazilian gold mines acquired are operational projects expected to contribute 6 to 8 tons of gold production in 2026, enhancing the company's resource reserves [1] - The acquisition includes 100% equity of three gold mine assets: Aurizona, RDM, and Bahia, with a total gold resource of 5.013 million ounces and an average grade of 1.88 grams per ton [1] - The transaction was completed in just 40 days from signing to closing, indicating efficient deal execution [1] Group 2: Future Production and Strategy - The company aims to achieve over 20 tons of annual gold production from the Brazilian and Ecuadorian mines, with a goal of significant growth in gold production by 2030 [1] - Luoyang Molybdenum plans to maintain a "copper and gold parallel" strategy, focusing on both gold and copper resource acquisition [1] - The company has confidence in the future gold price trends and has issued $1.2 billion in convertible bonds to support further acquisitions [1] Group 3: Cost Control and Efficiency - Post-acquisition, the company sees potential for cost reduction and efficiency improvements in various operational aspects, leveraging China's supply chain advantages [1] - The company aims to keep copper and gold project costs within the industry's 50th percentile, ensuring sufficient cash flow regardless of price fluctuations [1] - Luoyang Molybdenum's copper production reached 741,149 tons in 2025, a 9,000-ton increase from 2024, with a target of 760,000 to 820,000 tons for 2026 [1]