Santacruz Silver Mining reports fatality at Tres Amigos mine in Bolivia
Tres Amigos mine, a part of the Caballo Blanco Group of mines, has resumed operations after it was shut down following the incident.
Reuters reports Canadian gold miner IAMGold is on the look-out for acquisitions and while it is not itself up for sale, its chief executive said on Friday the company represents good value right now.
IAMGold has in the past said interested in various stage projects, from exploration through to production and just over the last fortnight has invested in three South American juniors.IAMGold produces roughly 1 million ounces per year from operations in Africa and North and South America and sees bullion topping out at $2,000 an ounce this year or next from current levels around $1,790.
Reuters quotes IAMGold’s (TSE:IMG) CEO Steve Letwin: “That does not necessarily mean we are going to jump on one of them, because you have to negotiate and make sure that it works and fits and is accretive. But certainly there seems to be more out there than there was six months ago.”
In Ocbober IAMGold said in a corporate presentation it looking is looking for projects capable of at least 150,000/oz of gold production per year and has two million oz of reserves. The Toronto-based miner is interested in various stage projects, from exploration through to production.
MINING.com argued earlier this month that it is time for small and mid-tier gold companies to start buffing up their gold projects: the cash at the world’s top six mining companies is estimated to top out at $144 billion by end 2013 and M&A activity this year is already up 67% over 2010. The gold sector has been leading the frenzy and the stock market is where they will be looking to find additional ounces. Read more about the outlook for gold M&A.
So far this year more than 430 gold miners have been taken over. MINING.com reported mid-October after slumping to the level of high teens at the height of the 2008 banking crisis, in 2011 acquirers have been willing to pay an average premium of more than 50% on the value of the shares of a target during the prior month.
This trend will likely accelerate: The most recent large North American deal, AuRico Gold’s C$1.46 billion bid for neighbour Northgate Minerals happened at a premium of more than 62%. Read more about how gold miners are putting their money where their mouths are.
