Company type | State-owned enterprise |
---|---|
Traded as | SSE: 600547 |
Industry | Mining/Financial Services/Property Management |
Founded | 1975 |
Headquarters | Jinan, Shandong, China |
Key people | Li Hang (Chairman) |
Products | Gold/Nonferrous Metal |
Revenue | 7.46 billion USD (2016) |
Number of employees | 12,793 (2015) |
Website | http://www.sd-gold.com/ |
Shandong Gold Group is a state-owned Chinese gold mining company under the provincial government of Shandong. The company is the second-largest producer of gold in China by output and its publicly listed subsidiary ranked #1,898 in the Forbes Global 2000.
Corporate affairs
Shandong Gold Group is the parent company of Shandong Gold Mining, which is listed on the Shanghai Stock Exchange. Following a pact announced in September 2018 with Barrick Gold, the world's second largest gold miner by output, both companies agreed to strengthen ties with each other by cross-investing up to $300 million in each other's shares, with Barrick Gold buy shares in Shandong Gold via the Shanghai Stock Exchange. The cross-investment agreement followed the purchase of a 50% interest by Shandong Gold in Barrick Gold's Veladero mine in Argentina in April 2017.
As a Shandong provincial state-owned enterprise, the company is directly supervised by the Stated-owned Assets Supervision and Administration Commission of the Shandong Provincial Government.
The company is a member of the World Gold Council, a trade body that promotes the gold industry and promulgates social and environmental standards for gold mining.
Operations
Domestic gold mining
The company primary gold mining and exploration activity are domestic. The gold production from its 12 domestic mines in Shandong, Inner Mongolia, Gansu, and Fujian account for 6.6% of national output. A gigantic discovery was announced in September 2018 when the company found a site with at least 382 tonnes of gold worth an estimated $22 billion in the Laizhou-Zhaoyuan area of the Shandong Peninsula.
International gold mining
In April 2017 Shandong Gold purchased a 50% interest in Barrick Gold's Veladero mine in Argentina for US$960 million and also formed a partnership to explore joint-development of the Pascua-Lama deposit. In May 2020, Shandong Gold entered into an agreement to purchase a gold mining project in Nunavut. In October 2020, the Canadian government commenced a national security review of Shandong Gold's proposed purchase agreement in Nunavut. The Canadian government rejected Shandong Gold's bid for national security reasons in December 2020.
In 2021, Shandong Gold Group announced to have acquired Ghana-focused gold mine developer Cardinal Resources Ltd., after winning a bidding war with Russian gold miner Nordgold SE. In 2024, Shandong Gold officially established a representative office in Tashkent, Uzbekistan, with a strategic partner SINOLO LLC.
Non-gold businesses
The company has several non-gold related businesses including nonferrous metal, tourism and real estate. It has financial services subsidiaries in both China and Hong Kong (SD Gold Financial Holdings Group and SDG Asset Management (HK) Limited).
References
- ^ Ye, Josh (March 31, 2017). "Chinese mining firm claims discovery of nation's largest gold seam". South China Morning Post.
- "Global 2000 Leading Companies". Forbes.
- Tang, Shihua (September 27, 2018). "Shandong Gold, Barrick Plan to Cross-Invest up to USD300 Million". Yicai Global.
- "Barrick Gold sells majority stake in China's Shandong for $210 million". Reuters. June 16, 2020. Retrieved September 20, 2022.
- "World Gold Council accepts China's Shandong Gold Group as board member". Xinhua. September 25, 2018. Archived from the original on September 25, 2018.
- Liu, Yujing (September 14, 2018). "State-owned miner Shandong Gold plans US$768 million in Hong Kong initial public offering". South China Morning Post.
- Daly, Tom (May 8, 2020). "China's Shandong Gold to buy Canadian miner TMAC Resources for almost $165 million". Reuters. Retrieved May 10, 2020.
- "China's interest in western Nunavut gold mine is commercial: legal expert". Nunatsiaq News. May 13, 2020. Retrieved May 13, 2020.
- Monga, Vipal (July 26, 2020). "China's Move to Buy Arctic Gold Mine Draws Fire in Canada". The Wall Street Journal. ISSN 0099-9660. Retrieved July 26, 2020.
- "National security review of Nunavut mine purchase by China underway". True North. October 16, 2020. Retrieved October 17, 2020.
- "China's Shandong Gold says Canada extends review of its bid for Arctic mine". Reuters. November 27, 2020. Retrieved November 28, 2020.
- Daly, Tom; Lewis, Jeff (December 22, 2020). "Canada rejects bid by China's Shandong for Arctic gold mine on security grounds". Reuters. Retrieved December 22, 2020.
- "Shandong Gold completes takeover of Cardinal Resources". www.spglobal.com. Retrieved September 20, 2022.
External links
Gold mining companies of China | |
---|---|
Gold mining companies | |
Companies with gold mining assets | |