With gold vaulting into a new phase of its multiyear advance, the gold rush is back in high gear with miners positioning themselves for inevitable consolidation within the sector.
If Newmont Mining's
Located near Pascua Lama, Barrick's key development project covering territory in both Argentina and Chile, El Morro brings another 5.8 million ounces of attributable indicated gold resources into Barrick's fold, plus a significant cost-cutting bonus of 4.4 billion pounds of copper. The project has completed the feasibility stage, where economic viability is confirmed, and is presently seeking environmental permits.
As I pointed out last week, the larger players within the precious-metals mining sector will inevitably be forced to acquire new assets to sustain their scale of production in a world where large new discoveries are getting harder to find.
Pan American Silver
Golden heavyweights Goldcorp
From this Fool's perspective, the clear winner in this latest Barrick deal is the minority holder of El Morro: New Gold