CHINA MINING 2013 will hold Junior Mining & Exploration Investment Forum
Source: www.mlr.gov.cn Citation: www.chinamining.com.cn Date: July 4, 2013
Although last year`s global mining and metals industry mergers and acquisitions and financing activities decrease, mining enterprises in China are still facing good opportunities for overseas M & A. CHINA MINING, the largest event in Asia will be in fifteenth this year adding “ Junior Mining & Exploration Investment Forum ”. During the meeting, A large number of high-quality overseas primary exploration projects will meet with Chinese investors so as to build a high-end platform for Chinese enterprise internationalization.
In the current international market, junior mineral exploration enterprises with high flexibility, rapid implementation of prospecting idea and financing ability in the venture capital market, plays a more and more important role in the exploration stage. According to the survey of the relevant departments in Canada, In recent years, 80% key findings are completed by the junior mineral exploration enterprises. While the exploration and prospecting need to invest a lot of money. Therefore, in the capital market, these junior exploration companies are often not continuous and stable operating performance and cash flow, even the main property is only the right of prospecting.
Exploration investment can’t raise money in a traditional way. High risk of overseas mining investment makes overseas exploration activities of enterprises difficult to obtain commercial financing. In the economic downturn, financial institutions hope to obtain high-quality assets. And the enterprise project unless the competitive, it is difficult to obtain financing.
In the international market, the current global mining capital market suffered serious losses, whether it is Australia, Canada and South Africa, all kinds of mining enterprises financing are in a dilemma. It’s revealed by Wang Jiahua, Executive Vice President, China Mining Association, in this year’s Prospecting Conference that overseas exploration company and mineral company market value has shrunk, most companies have fallen by around 70%, and some even dropped 90%.
According to the analysis, it is a good time for overseas mining investment: the current international metal prices are low; Most of the survey findings come from junior exploration companies in recent years, and in the late stage of exploration, the financing demand will be more intense. At the current low level of metal prices, the financing difficulty of primary exploration enterprise will improve a lot. The intervention at this time will make the overseas mining investment cost much lower. In the meanwhile, the global exploration investment reached a record high; New mines will be increased; Financing needs will be more strongly. China`s implementation of the "going out" strategy for 10 years has accumulated rich experience in overseas mining investment. It is "time to go".
Globally, the supply of mineral resources is unlikely to entirely self-supply to ensure the needs of the national economy. Global allocation of mineral resources is the international access mode. CHINA MINING 2013 will be devoted to open overseas primary exploration investment performance, and the attendance of various financial institutions will provide more financing opportunities. Coupled with the downturn of global economic market and capital market, all countries under the situation of the shortage of funds and investment index dips, should look forward to the new investment than ever. This will create more opportunities for overseas investment of Chinese enterprises.
Then, the mining government and associations, famous experts as well as the experts in capital market and financial institutions will exchange ideas about the topics such as "International Primary exploration and capital", "small and medium-sized mining enterprises investment". They are committed to helping outstanding mining enterprises to understand the policy, docking project and provide strategy in the world mining industry competition so as to form the effective mechanisms of the primary exploration and capital docking. In the forum, participants can also make direct negotiation with the project and its departments; "one-stop" to obtain related services of investment and support policy information. (translated by TLRHVC)
About CHINA MINING
Since first held in 1999, the scope and influence of CHINA MINING has grown rapidly year by year. As a global mining summit forum and exhibition, CHINA MINING Congress and Expo has become one of the world’s top mining events, and one of the world’s largest mining exploration, development and trading platforms, covering all aspects of the whole mining industry chain, including geological survey, exploration and development, mining rights trading, mining investment and financing, smelting and processing, mining techniques and equipment, mining services, etc. playing an active promotion role in creating exchange opportunities and enhancing mutual cooperation between domestic and foreign mining enterprises.
CHINA MINING Congress and Expo 2013 will be held at Meijiang Convention and Exhibition Center in Tianjin on November 2-5, 2013. We invite you to join the event and to celebrate the 15th anniversary of CHINA MINING with us. For more information about CHINA MINING 2013, please visit: m.balanzskin.com.
