Zijin Mining Group (02899.HK) announced on December 3rd that the company, through its overseas wholly-owned subsidiary, Gold Teng (Singapore) Mining Co., Ltd. (referred to as"Gold Teng Mining"), acquired 100% equity of Pan American SilverCorp's ("pan american silver") La Arena gold mine and phase two project (referred to as"La Arena project").

As all the delivery conditions stipulated in the equity acquisition agreement have been fully met or waived, the acquisition was completed on December 3, 2024, Beijing time. The company now holds 100% equity of the La Arena project through Gold Teng Mining.

As of June 30, 2024, the La Arena gold mine has a confirmed + probable ore reserve of 22.6 million tons, containing approximately 8 tons of gold, with an average grade of 0.33 grams/ton. According to a technical report that meets the NI43-101 standard in February 2018, the La Arena Phase Two (indicated + measured + inferred) has an ore volume of 0.834 billion tons, containing 196.5 tons of gold with an average grade of 0.24 grams/ton; containing 2.785 million tons of copper with an average grade of 0.33%.

The La Arena gold mine is currently in production, producing about 3 tons of gold per year, with a remaining service life of 3 years. La Arena Phase Two will develop the northeast skarn-type copper-gold deposit. According to the company's technical team, Phase Two is planned to use open-pit mining, flotation process, with a design capacity of 33 million tons/year. The construction period is 3 years, the production period is 19 years. It is expected to produce approximately 0.1 million tons of copper and 3.8 tons of gold annually after reaching full production.

The company believes that the La Arena project is located in a world-renowned mineralization belt, is a producing mine, with relatively low copper and gold grades but large resources, and has good exploration and storage potential. The basic infrastructure in the mining area is relatively sound, with a long mining service life. Local transportation and electrical utilities conditions are favorable, and significant economic benefits are expected.