Panguna, formerly operated by Rio Tinto Group, shut in 1989 after local protests over mine revenue degenerated into a civil war.

After it poured first gold at Magino on June 15, production was delayed by a month while a mill was repaired.

The gold miners’ stocks are lagging gold’s strong young upleg, their gains falling behind.

New results included an intercept of 691.5 g/t gold over 0.9 metre, contained within an interval of 98.84 g/t gold over 6.48 metres.

Tietto said the offer was been "opportunistically timed" by Zhaojin.

The continued exploration success bodes well for adding to and converting current resources, analyst says.

"For me M&A is an ad hoc opportunity to create value," CEO Mark Bristow told Reuters.

Saudi Arabia is in ongoing talks with Pakistan to buy part of the government’s stake in the $7 billion copper project, says Mark Bristow.