CMOC Shares Rise After Plan to Buy Brazilian Gold Mines for $1 Billion

By Jason Chau

Shares of CMOC Group rose after the Chinese mining giant said it is purchasing several Brazilian gold mines from Canada's Equinox Gold in a deal worth over US$1 billion.

Under the agreement, CMOC Group will purchase all interests in Equinox's Aurizona mine, RDM mine and two Bahia mines, the Chinese company said Monday.

The deal includes an upfront payment of US$900 million, plus a contingency payment of up to US$115 million based on the mines' sales volume in the first year after the transaction, which is expected to close in the first quarter of 2026.

CMOC's Shanghai-listed shares rose more than 4% in the morning session on Monday before closing 2% higher, while its Hong Kong-listed shares rose over 3% before ending the day 0.6% higher.

CMOC's shares have rallied this year, with its A-shares more than doubling year to date, while the H-shares have more than tripled, reflecting strong market enthusiasm for the Shanghai-based miner.

CMOC Chairman Liu Jianfeng said the deal "showcases our conviction in gold and delivers on our strategy of pillaring the portfolio on copper and gold." The transaction will also grow CMOC's presence in South America, he said.

"We expect the acquisition of gold mines in operation will enrich CMOC's current mining asset portfolio and further increase exposure in gold," Citi analysts said in a note.

Write to Jason Chau at jason.chau@wsj.com

(END) Dow Jones Newswires

December 15, 2025 04:02 ET (09:02 GMT)