In a significant Impact $1.2B Gold by Zijin Mining move to bolster its global gold production capacity, China’s leading gold and copper producer, Zijin Mining, has announced the acquisition of Kazakhstan’s Raygorodok Gold Mine for $1.2 billion.
Details of the Acquisition Zijin Mining
The acquisition agreement, finalized on June 29, 2025, involves Zijin Gold International, a wholly-owned subsidiary of Zijin Mining, and Jinha Mining, a subsidiary of Zijin Gold. The deal entails the purchase of 100% stakes in RG Gold LLP and RG Processing LLP, the entities that own and operate the Raygorodok gold deposit project in Kazakhstan.
The Raygorodok mine, located in the Akmola region of northern Kazakhstan, is one of the country’s largest gold deposits. It boasts estimated JORC-compliant gold reserves of 108 metric tonnes, with an annual production capacity exceeding 6,000 kilograms. The mine’s processing facility has a throughput capacity of 5 million tonnes of ore per year, positioning it as a significant asset in Zijin’s portfolio .
Strategic Rationale Zijin Mining
Zijin Mining’s decision to acquire the Raygorodok Gold Mine aligns with its broader strategy to become one of the world’s top three gold producers by 2028, up from its current position as the sixth-largest. The acquisition is expected to increase Zijin’s gold reserves and output, significantly enhancing the asset scale, profit level, and global industry position of Zijin Gold International. This move also supports the planned listing of Zijin Gold International on the Hong Kong Stock Exchange.
Implications for Kazakhstan
For Kazakhstan, the acquisition represents a significant development in its mining sector. The deal is expected to generate approximately 1,000 jobs and contribute to the growth of small and medium-sized enterprises in the region. The acquisition also aligns with Kazakhstan’s efforts to attract foreign investment and develop its mineral resource base.
Zijin Mining’s acquisition of the Raygorodok Gold Mine marks a pivotal moment in the company’s expansion strategy and underscores the growing importance of Kazakhstan’s mining sector on the global stage. As Zijin continues to integrate the Raygorodok mine into its operations.
Financial Implications and Market Reactions
The $1.2 billion deal is structured as a “cash-free and debt-free” transaction, with final adjustments based on the mine’s financials as of September 30, 2025. The acquisition is expected to significantly enhance Zijin’s asset scale, profit levels, and global industry position.
Following the announcement, Zijin Mining’s market capitalization soared past $100 billion, solidifying its position as the world’s third-largest metals miner by market value. This surge reflects investor confidence in Zijin’s strategic direction and the growing demand for gold amid global economic uncertainties
Zijin Mining’s $1.2 billion acquisition of the Raygorodok Gold Mine marks a significant milestone in the company’s global expansion strategy. As Zijin continues to diversify its portfolio and strengthen its position in the international mining sector, the Raygorodok acquisition stands as a testament to China’s growing influence in the global commodities market.
