Minmetals China announced in April 14, that it has put pen to an agreement to buy Glencore Xstrata's Las Bambas copper mine project in Peru for 5.85 billion U.S. dollars.
The project marks the largest external metal mining purchase by a Chinese enterprise.
Located in the Apurimac region in southern Peru, the Las Bambas project is the largest copper mine under construction in the world. On completion, it is expected to produce about 450 thousand tons of fine copper each year. Post-acquisition, China Minmetals will become the largest Chinese enterprise in the the production of copper, and squeeze into the global top 10 of copper producers.
Zhou Zhongshu, the CEO of the group Minmetals said the Las Bambas project dovetails perfectly with the long-term strategy for Minmetals, and will contribute to improving the portfolio of mining assets of the company, as it will offer good strategic synergies to the company's existing business.
The deal is subject to approvals by the governments of both sides, and by the shareholders of China Minmetals. China Minmetals, Guoxin International Investment Corporation, and CITIC Metal Co. own 62.5 percent, 22.5 percent and 15 percent of the joint venture respectively.
The article is edited and translated from中国五矿收购秘鲁铜矿 囊括全球最大在建铜矿项目, source: China News