Zijin Mining Completes Acquisition of 25.85% Stake in Chifeng Gold

en.Wedoany.com Reported - On October 22, Zijin Mining Group Co., Ltd. announced that its wholly-owned subsidiary Zijin Gold has completed the delivery of the agreement-based transfer of Chifeng Gold's A-shares and the subscription of its private placement of H-shares. Following the completion of the transaction, Zijin Mining holds approximately 572 million shares of Chifeng Gold through its wholly-owned subsidiaries, representing 25.85% of its total share capital, and has formally obtained control of Chifeng Gold. Chifeng Gold owns 6 gold mines and 1 polymetallic mine, with operations in China, Southeast Asia and West Africa.

The transaction consists of two parts: the agreement-based transfer of A-shares and the private placement of H-shares. On October 22, Zijin Gold completed the acquisition of approximately 242 million A-shares held by Li Jinyang, the former controlling shareholder of Chifeng Gold, and his concert party Zhejiang Hanfeng; on the same day, Chifeng Gold completed the delivery of approximately 311 million H-shares privately placed to Zijin Gold. Together with the 18,833,400 shares previously held by other wholly-owned subsidiaries of Zijin Mining, this ultimately resulted in a shareholding ratio of 25.85%.

According to the issuance results disclosed by Chifeng Gold, the issue price of the H-shares in this private placement was HK$29.82 per share, with gross proceeds of approximately HK$9.272 billion and net proceeds of approximately HK$9.180 billion. Zijin Gold has thus become the controlling shareholder of Chifeng Gold, and the actual controller of Chifeng Gold has changed to the Shanghang County Finance Bureau.

Chifeng Gold has gold resources of 583 tonnes, with an average grade of 1.54 g/t. In 2025, it achieved mined gold output of 14.5 tonnes and net profit attributable to shareholders of the listed company of approximately RMB 3.1 billion, up 75% year on year. Its domestic mines are mainly located in Inner Mongolia, Liaoning and Jilin, while its overseas production assets are located in Laos and Ghana. The company is also advancing deep exploration of existing mining areas, reconstruction of mining and processing facilities, and development of new mining areas.

Following the completion of the control transfer, Chifeng Gold has initiated arrangements for the re-election of its board of directors. All directors of the ninth board of directors have submitted resignation reports, and the tenth board of directors is proposed to be elected early. Zijin Mining plans to support Chifeng Gold in carrying out systematic geological exploration and deep prospecting, and to introduce its own mine construction, production operations and cost management systems into Chifeng Gold's projects. The specific additional drilling workload, mine expansion investment and implementation timetable have not yet been announced.