Stockbroking | Wealth Management | Corporate Advice

x

Resizing text on the web

To increase or decrease the magnification of a web page, press Ctrl and '+' (plus) to zoom in or Ctrl and '-' (minus) to zoom out. To return the page to its original size, press Ctrl + 0.

You can also scroll the mouse wheel up and down while holding Ctrl to increase/decrease zoom level.

BHP buys into Ecuador copper-gold project

Mining giant BHP is buying a $50 million stake in copper-gold explorer SolGold, the majority owner of a project in Ecuador.

BHP has agreed to pay Canadian company Guyana Goldfields about 27.4 million pounds ($A49 million) for a 6.1 per cent interest in the London- and Toronto-listed company, which controls the "high quality" Cascabel exploration project.

BHP chief executive Andrew Mackenzie said the investment was in a "highly prospective" location, adding copper was a focus as the global miner seeks to replenish its resources base.

At 1130 AEST, shares in BHP were 55 cents, or 1.7 per cent, lower at $32.53 amid a broad decline in materials stocks following a drop in copper prices.

SolGold in 2016 rejected BHP's bid for a 10 per cent stake - including an offer for a 70 per cent interest in the subsidiary that oversees Cascabel.

The Brisbane-based company instead opted for a financing proposal from gold miner Newcrest Mining and investment fund Maxit Capital.

ASX-listed gold miner Newcrest holds a 14.5 per cent stake in SolGold.

Austrlaian Associated PressBack to Breaking News

Market Indices