Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
Contrary to firms like Minmetals Resources and Equinox Minerals (EQMIF.PK), which are bidding for takeovers in 2011, Goldcorp (GG) was a player in the mergers and acquisitions game last year.
That activity is starting to pay off.Goldcorp has announced that the resource estimate at its newly-acquired Cerro Negro project in Argentina has doubled. Proven and probable reserves jumped from 2.1 million to 4.3 million ounces of gold and 20.5 million to 36.2 million ounces of silver.
That’s more than double the gold and about 75 per cent more silver.
